Cost Of Owning vs. Cost Of Renting Your Home

When it's time to find a place to live, you are faced with either buying a home or choosing to rent a property. Since the decision you make will impact you financially in many ways, it's important to know as many details as possible regarding the costs of owning or renting a home.

You're Making a Payment Either Way

Whether you buy a home or decide to rent, you will be making a monthly payment either way. While many people tend to think they are throwing away their money by paying rent month after month, that's not necessarily true. 

Even if you are not building up equity with your rental payments, you are still paying for a fine home that you can enjoy.

Unexpected Repair Costs

When you rent a home, all the repairs and the costs associated with them are taken care of by your landlord. Thus, as a renter, you know exactly how much money you will spend on your housing costs each month. However, it's not like this if you are a homeowner. 

While one month may find you making only your mortgage payment, the next month may have you calling a roofing company for the leak you have. 

If you’re wondering about the frequency of people having leak issues, it may be worth contacting a local roofing company for their insight to see if you are at risk. A roofing company can install a new roof, which may cost you money that you weren’t anticipating.

Rent Increases

When you rent, you may go years paying the same amount each month. However, when your lease is about to expire, your landlord may come along and choose to raise your rent. 

If the increase is steep enough, you may be forced to move and find more affordable housing options, greatly disrupting your life. But if you own your home and have a fixed-rate mortgage, you can count on your monthly payments staying the same each month until the mortgage is paid off.

A Home Can Lose Value

When you buy a home, you likely assume it's a given that it will increase in value substantially as the years go by. While this might happen, it is by no means guaranteed. 

For example, if a major employer in your area leaves town, your neighborhood could quickly decline, impacting property values. Should you instead be renting, you won't have to worry about this issue.

If you are seeking stability and want a place to call your own, having a home and the costs that come with it may be your goal. Yet before doing so, carefully compare the costs of owning vs. renting to make sure your final decision works best for you and your family.

About the Author

Anica is a professional content and copywriter who graduated from the University of San Francisco. She loves dogs, the ocean, and anything outdoor-related. She was raised in a big family, so she's used to putting things to a vote. She recommends PM Roberts LLC for your roofing needs.

Got Foundation Problems? 5 Reasons to Call a Professional Repair Service

The foundation of your house is what supports your entire home. A foundation is what allows the walls and roof to be built so it can be livable for you and your family. 

It's the base of everything else, and without a strong one, your home could be in some serious trouble that can cost you a fortune to fix or replace. 

If you notice cracks or other problems with your foundation, it's important to call a professional repair service as soon as possible. Let’s dive into the five reasons why you should call a professional service.

It Could Cause Serious Structural Damage

If you don't catch foundation problems soon enough, it could cause serious damage to your home, which can be costly depending on the repairs needed. It's the support system for the entire structure, and without a strong one, things begin to deteriorate quickly. 

You might start noticing cracks in other parts of your house, like in the walls and even ceilings. This is because they're all connected to each other and if one is damaged, then there's a high possibility that the other parts of the house are being affected by it. 

If there are any potential problems arising, a professional repair service will let you know of them and guide you in the right direction to take proper action so there are no further damages.

Costly Repairs

Foundation problems can also cause serious damage to other parts of your home, which means you're looking at costly repairs you may not have been prepared for. 

If the problem is left untreated for too long and causes even more issues with the structure of your house, then things will start getting extremely expensive. You might find yourself wanting to replace walls or floors because of how extensive the damage is. 

Even if you're able to repair everything back to normal, it can still be very expensive and cause a huge setback for you or your family's financial situation.

Can Cause Health Problems

Foundation problems can also cause serious health issues that you might not think about or notice at first. If water is seeping into your home due to cracks in the foundation, it could offer a good home for mold or other contaminants that are hazardous for humans. 

Mold will start growing and creating spores inside your walls, which causes respiratory issues like allergies or asthma.

Need Proper Repairs

Foundation problems are not something that you want to try to repair yourself. If the problem is too extensive or a structural issue causes it with your home, then you're going to need professional help getting everything fixed back up again. 

Foundation cracks can be repaired, but there might also be a need for foundation replacement if they've gotten large enough.

Save Yourself Time & Money

Foundation problems can be serious and even cause damage to other parts of your home if left untreated for too long. Foundation repairs will take some time, so it's best to work with a professional who will get the job done efficiently while also saving you money along the way. You'll find that these services are usually very affordable and worth every penny.

In conclusion, foundation problems can be a serious problem for homeowners. If the issue is left untreated, it could cause damage to other parts of your home, which means costly repairs in most cases. 

It's best to call a professional service when you notice these problems and get everything taken care of quickly, so you don't have to worry about further issues down the road.

How Retirement Can Affect Your Taxes

As you plan for and ultimately begin your retirement, you'll be thinking about the many things you want to do and places you want to see. But to see many of these plans come to fruition, it takes money. 

Though you've been a careful planner for many years, you may not understand just how many ways retirement can affect your taxes. To help you make the right decisions regarding your retirement accounts and taxes, here are some important tips to remember.

Paying Income Taxes

If you assumed paying income taxes was a thing of the past once you retired, you may need to rethink this idea. Should you have income that is not tax-exempt, filing and paying taxes will still be part of your life each year. 

As of the tax year of 2020, if you filed jointly with your spouse who is also at least 65 years old and your income exceeded $27,400, this income could be taxed. Also, if you have income from a part-time job, you may meet the threshold necessary for you to pay taxes.

Maximize Benefits with Roth IRA

Since any contributions you make to a Roth IRA are done so with after-tax dollars, this means any withdrawals you make from this account during your retirement are tax-free. 

By working with a tax preparation expert on this, you can enjoy a steady retirement income without paying income taxes. Be sure to find a professional since handling your taxes incorrectly could result in serious legal consequences.

Take Advantage of Tax Credits

Once you retire, take full advantage of any and all tax credits that are available for you and your situation. For many retirees over age 65, the Credit for the Elderly or Disabled can be very helpful, especially if both you and your spouse are over age 65 and have a lower income.

Self-Employment and Retirement

If after retiring from your 9-5 job you decided to become self-employed, you can take advantage of some deductions regarding Medicare. 

In fact, you can deduct your Medicare Part B and Part D premiums, so long as you do not currently have access to healthcare through your spouse's employer. 

Also, even if you do not itemize on your taxes, you are allowed to deduct your costs for Medicare Advantage or any supplemental Medicare coverage, which could save you thousands of dollars per year.

Since you spent so many years planning for your retirement, it makes sense to do the same regarding your taxes after you're retired. From maximizing your Roth IRA contributions to knowing which tax credits you can take, you'll soon have even more money to spend on the fun things in life.

Ways to Finally Feel Relief From Being in Debt

Many people find themselves in a situation where they have racked up a lot of debt and just aren't sure what to do about it. Having a lot of debt can be scary, and you may feel like you are drowning in bills all of the time. 

Fortunately, there may be some things that you can do to alleviate some of the financial stress that you are feeling. 

Here are some ways to finally feel relief from being in debt.

Make Payment Arrangements With the Creditors

If your payments are more than you can afford, call up your creditors to see if you can make some kind of payment arrangements with them that you can afford. 

There's a good chance that they will work with you as they would rather you pay them something every month instead of nothing. It may take you longer to pay them off, but it will give you a bit of relief.

Talk to a Bankruptcy Attorney

It's not that uncommon for some individuals to be so overwhelmed by debt that the only way they can get some relief is by filing for bankruptcy. If you feel like you are too far in over your head to ever be able to pay everything off, you may want to talk to a bankruptcy attorney like Brian R. Cahn & Associates, LLC. 

They will talk to you about your finances and help you determine whether or not bankruptcy may be right for you.

Create a Budget to Know Where All of Your Money Is Going

Many people find themselves having a difficult time paying off debt because they just don't know where their money is going every single month. If you don't have a budget, now is the time to create one. 

Write down your monthly expenses as well as how much money you bring in. You can use this information to determine how much money you have leftover to pay off your debt.

Find Some Ways to Bring in Extra Money

If you want to pay off your debt as quickly as possible, you should find some ways to bring in extra money. Ask your job if you can work overtime, or look into side gigs that you can do around your full-time job.

If you are in debt and feeling stressed about it, there are some ways that you can finally feel relief. By utilizing all of the tips mentioned above, you can tackle your debt and not feel like you are in a hopeless situation.

What Can You Do When Your Clients Don't Pay Their Bills on Time?

The success of your business depends upon both your company and your clients fulfilling your obligations to each other. While you can do your best to carefully screen clients to make sure that you only work with reputable people or companies, there are times when even that isn’t enough. 

There are many reasons why a client might not pay their bills on time, and knowing how to handle it protects your company’s bottom line.

Incentivize Paying on Time With Late Fees

The ideal way to handle late payments is to avoid having the problem in the first place. If your clients tend to pay late regularly, then it might be time to add some new policies to your business plan. 

Late fees help to encourage people to pay on time so that they don’t have negative impacts on their budget. Depending upon the severity of the problem, you can offer a warning first before late fees kick in.

Send Out Soft Calls and Reminder Letters

People who chronically pay late may have simply forgotten or gotten in a temporary bind. They may also think that you are just too nice or too small of a business to take the issue any further. 

There are services that can help you to send out reminder letters to your clients that let them know that you have the time and ability to make sure they pay their debt. 

This is often the gentler way to begin working with clients who are late without losing their business.

Stop Providing Services

Once someone is well past paying on time, you need to consider the risk of doing any further business with them. You may choose to suspend any ongoing services that they may need. 

You can also refuse to work with them on any further projects until they are paid up. This type of information can be included in the reminder letter to make sure that they understand why you are suspending their services.

Pursue Legal Action

After using softer methods, you may need to take your payment enforcement methods to the next level. Telling your clients that they could face legal consequences for not paying their debt could help them see the benefit of meeting their obligation for making a payment.

Debt collection services, like those offered by Leib Solutions, can also help with this part of the process. They can help pursue the collection of fees and can ensure that any communication that you have with a client is done legally and respectfully. If issues persist, they can give you advice for your next steps.

No one wants to have to take a client to a court or cut off services. However, there may be times that you have to do just that to protect your business and income. When it gets tough, letting the professionals handle it helps you to focus on doing what you do best.

Ways to Monitor Your Home for Leaks

Leaks are one of the most common plumbing issues a home can have. Unfortunately, many people do not realize that they have a leak until damage has already been done to their home. 

To try and circumvent this, here are a few ways you can monitor your house for any potential leaks and try to catch them early.

Check the Water Meter

One of the simplest things that you can do in order to see whether you have a leak is to check the water meter. Before you check the water meter, you should turn all the water off. 

Check the numbers and wait an hour. See if the numbers change after an hour. If the numbers change, then you most likely have a leak.

Listen for a Dripping Sound

A common sign of a leak is a dripping sound, though depending on the location of the leak this may not be true. Commonly, however, you will be able to hear if anything inside your house is dripping when it shouldn’t be. 

This can include faucets, toilets, or any pipes. Taking care of the dripping sound may also mean checking for cracks or checking to make sure valves and faucets are turned off. If you hear a dripping sound, then it is time for you to call plumbers.

Monitor Your Bill

A good way to tell if there is a leak in your home is to look at your water bill. Compare the bills that you have had over the past couple of months. 

Your water bill should only fluctuate by a few dollars from month to month, but if you notice a dramatic spike that could indicate a problem. If you notice a drastic change in how much you’re spending, then a leak may be to blame for this.

Musty Smells

Mold and mildew require darkness and moisture in order to grow. It only takes a small amount of unattended moisture to initiate an infestation, and depending on the location it could be hard to detect until it’s already too late. 

It would be a good idea to occasionally check all areas of your house, especially areas that are dark or easy breeding grounds for mold. A musty smell is a sign that you have mold and mildew. 

You may also notice black splotches in the areas where mold has grown. It’s important to take care of it as soon as you discover it, as mold can make you sick.

Use a Leak Detector

A leak detector will be able to immediately tell you that you have a leak in your home. However, you have to install the leak detector near the pipes and fixtures of your home. 

There are some fixtures that are more prone to leaking than others. For example, the water pipes that are outside are more likely to freeze and burst in the wintertime than the ones inside.

Leaks are a common issue that can ruin your home. The good news is that you can monitor them by checking your water bill and water meter. You should also listen out for a dripping sound. 

Musty smells are another indication that you have a leak. Additionally, you can use a leak detector in order to see whether there is a leak in your home.