Money Management

Black Friday is coming. Read on to make sure you don’t end up with a bum deal. 

While it might seem like only yesterday that you were giving out candy for Halloween, at this point, we’re deep in the throes of the holiday shopping season. And that means Black Friday will be here before we know it.

If you anticipate running up a pretty large Black Friday credit card tab, you’re not alone. Data from Capital One Shopping reveals that the typical consumer spends an estimated $480 on Black Friday.

Not only that, but up to 81.4% of Thanksgiving Weekend shoppers make purchases on Black Friday. So if you’re hitting the stores, anticipate large crowds to go along with those sales.

That said, some of the “sales” you’ll see on Black Friday aren’t actually such great deals. And it’s important to not fall into that trap. Here’s how savvy Black Friday shoppers can distinguish true deals from gimmicks.

1. They check model numbers on electronics

It’s common for retailers to partner up with manufacturers to have electronics made specially for Black Friday. These items are commonly produced with inferior components to allow them to be marked down significantly.

If you want to make sure you’re not getting a lower-quality version of the laptop or TV you think you’re buying, check the model number. If you can find it all over the place at other stores, it means a given retailer really is slashing its price. If you can’t find it elsewhere, it means it’s an item produced specifically for Black Friday. From there, you’ll need to decide if the lower price is worth potentially compromising on quality.

2. They check to see if the items in question are available elsewhere

It’s not just electronics that are commonly produced for Black Friday purposes only. Other items, from toys to games to kitchen gadgets, may fall under that umbrella, too.

A good way to know if you’re getting a Black Friday-only item or not is to see if it’s available at other stores. If not, then it’s probably a one-time run. However, unlike electronics, you’re taking less of a risk in the context of things like kids’ toys and games.

Let’s say you’re buying your child a slime kit for $24.99. So what if it’s only produced for Black Friday? It’s hardly a long-term investment like a TV or laptop might be. The only reason you should care is in the context of price. So if you’re getting a slime kit that can only make 12 jars for $24.99 and there’s a kit for $29.99 that can make 24 jars, the latter is the better deal. (Of course, one can argue that there’s no such thing as a good deal on slime because it’s such an annoying mess, but it tends to make kids happy.)

3. They keep tabs on items’ original prices

Retailers tend to employ the tactic of artificial markups on Black Friday. What they’ll do is inflate the price of a given item and then discount it, so it looks as if there’s a big sale happening.

To avoid falling into this trap, research prices for the items you want ahead of Black Friday. If you’re eyeing a certain toy for your child, see what it costs 10 days before the big event. That way, if, come Black Friday, you see it marked down from $49.99 to $24.99, you might look at your notes and discover that the original price was actually $34.99.

Of course, in this context, you’re still getting a deal. You’ll just need to decide if it’s a good enough deal, or if you should seek out that item elsewhere.

There are some good deals to be had on Black Friday. But a lot of the so-called sales you’ll see advertised are not the bargains you’d expect them to be. Do lots of careful research to protect your personal finances and avoid regretting your purchases after the big event.

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Simple changes can make your kitchen the focal point of your holiday celebration. Give these DIY upgrades a try before calling in the pros this season. 

The holiday season is rapidly approaching, and if it’s your turn to host Thanksgiving or Christmas this year, it can feel as if there’s a ton of pressure to make your home look all brand-new and shiny. The problem with this, of course, is that it’s a huge undertaking to remodel this close to the holiday season. According to Angi, the average U.S. homeowner will spend over $26,000 on a kitchen remodel, which seems like an awful lot of money to put into one Christmas or Thanksgiving celebration.

Don’t worry, we’ve got you covered with some inexpensive ideas that you can DIY over a weekend to make your space look great, just in time for dinner with the family.

1. Add a new coat of paint

The Sherwin-Williams color of the year for 2024 is a light, cool blue that would go well with any cool-toned room. Painting an accent wall can really make special features like built-in bookcases or china hutches pop. Or you could do the whole room for an instant update and that lingering fresh paint smell that really sells the whole “new room” feel.

2. Upgrade your old countertops

What’s a holiday meal without time spent preparing food in the kitchen? There’s always a lot going on in there, and you know people are going to notice the countertops. If yours are starting to show their age, or you’ve simply been thinking about upgrading for a while, redoing your counters can be a simple weekend project.

Formica is time-tested, makes a great solid surface, and goes down in no time, but even a simple tiled counter is easy enough as a well-planned DIY project.

3. Change the lighting

It always amazes me how much changing the lighting in a room can change how it feels. It also kind of works double duty in a kitchen. When you’re upgrading kitchen lighting, you can create more useful work spaces for holiday preparation and entertaining, adding light and color where there might not have been any before.

Explore some fun options like modern track lighting to shine light on specific spots on your counter or island, or pendant lights to create pools of intimacy near sitting areas. Even a giant eclectic chandelier shaped like a dandelion in seed (like the one I bought last month) can refresh your dining area in ways you might not expect.

4. Modernize your cabinet hardware

Upgrading your cabinet hardware (like knobs and drawer pulls) is another easy job that you can get done in no time but will make huge visual waves. People often underestimate the way that old hardware dates their otherwise generic kitchen cabinets, and are often surprised to see that a few hundred dollars spent on new handles, knobs, and hinges makes everything look new again.

As long as your cabinets are in good shape, this should work like a charm — otherwise, consider a fresh coat of matching finish for the worn spots on your cabinets, too.

5. Buy some new appliances

It’s a much bigger investment than some new paint or countertops, but new appliances can make a boring kitchen really pop. If you already have other remodeling projects in process, or still have a HELOC (home equity line of credit) that’s open from a project that was recently wrapped up, this could be a great time to add some new appliances, too.

Generally, choosing a new stove or refrigerator is the hardest part, since many home improvement stores have a dazzling array of options available to take home the same day.

A DIY kitchen upgrade doesn’t have to cost a fortune

You may be ready for a full-blown kitchen remodel, but you don’t have to consult with your local mortgage lender to get the job done in time for the holidays. Instead of adding the stress of a big-budget kitchen redesign and a new mortgage payment to an already stressful season, why not try a few DIY projects to give your kitchen a facelift? You might find out that your old kitchen only needed a little love to bring out a dazzling new face all along.

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Thanksgiving turkeys were pretty pricey last year. Here’s what you can expect when shopping for Thanksgiving 2023. 

Thanksgiving came with a side of sticker shock last year with turkey prices skyrocketing due to inflation and an outbreak of avian flu. Things are shaping up to be a little better this year, which is great news if you’re on a budget. Here’s a closer look at how much you can expect to pay for your turkey in 2023, along with some other steps you can take to keep costs down.

Turkey prices are down this year

Thanksgiving dinner costs rose a painful 20% last year, with a 16-pound turkey costing $28.96 or about $1.81 per pound, according to the American Farm Bureau. This was due largely to an outbreak of Highly Pathogenic Avian Influenza (HPAI) that reduced the number of commercial turkeys available in 2022.

This has fortunately resolved itself and the turkey population has recovered. As a result, prices are expected to drop a little this year to about $1.27 per pound. That’s about $20.32 for a 16-pound turkey.

And if you’re willing to be a bit non-traditional, you may be able to save even more. The same survey found that boneless, skinless turkey breast prices have fallen nearly 61% from last year, and they are easier to cook than an entire bird, too.

It’s uncertain whether rising costs on other holiday meal staples will offset the lower turkey prices. A lot of this depends on what you hope to buy and where and how you shop.

How to save on your Thanksgiving meal

Though Thanksgiving is still a couple weeks away, it doesn’t hurt to start planning your meal now so you know what ingredients you need to buy. With this plan in place, you can keep your eyes out for sales and avoid purchasing items you don’t need when you go to the store.

Some retailers, like Walmart and ALDI, are running special sales throughout November and December to help customers score holiday meal items at affordable prices. These are worth checking out if you live near one of these stores. You could also check with grocery stores in your local area to see if they are running specials on turkeys or other Thanksgiving items.

Take a few minutes to check your local newspaper and online for coupons before you go shopping too. You may only save a few cents on a few items, but it all adds up over time.

And you don’t have to take on all the work yourself if you’re not up for it. Consider arranging a Thanksgiving potluck with family members so you don’t have to do all the cooking and shopping yourself. You don’t even have to go with a traditional turkey dinner if you’d prefer something else. At the end of the day, all that matters is getting together for a good meal with family.

It’s up to you to decide what works best for you and your checking account. But the sooner you begin shopping around, the better your chances of scoring great deals. If you wait until the week of Thanksgiving, you may just have to settle for whatever is left in the store.

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Gearing up to shop on Black Friday? Read on to see why you may want to think twice. 

The holidays themselves may not be here quite yet, but it’s fair to say that the holiday shopping season is in full swing. And this year, consumers seem to be going all in.

Data from RetailMeNot finds that shoppers are planning to spend considerably more this year on the holidays compared to last year — $932 versus $725. And chances are, a lot of people will do a fair share of their shopping on Black Friday.

That might seem like a good way to save money. But some of the so-called Black Friday sales you’re apt to come across may not be what you think they are. Here are some common lies you’ll hear in the context of Black Friday.

1. You’re getting the lowest prices of the year

Many retailers will lead you to believe that their Black Friday prices are the lowest of the year. But if you do your shopping before or after Black Friday, you may find a lower price.

Now, the good news is that a lot of retailers will offer a price match — so if you buy something on Black Friday and it becomes available for less in the weeks that follow, you’re not necessarily out of luck. But retailers won’t price match after the fact — meaning, if you miss a great sale the week before Black Friday and the Black Friday price is higher, you shouldn’t expect to get the difference back.

2. You’re getting a big break based on the original price

You might see a $100 item marked down to $60 on Black Friday. And that might read like a pretty good deal.

But are you sure the original price was $100? Chances are, it wasn’t. Retailers can slap any old price tag on a given item and then mark it down so that it looks like you’re getting a bargain. The best way to avoid that trap is to track prices during the entirety of the holiday shopping season, either manually or by using an app like ShopSavvy.

3. You’re getting the same items you’d normally find all year round

Have you ever found it odd that a TV that normally retails for $900 could suddenly become available for just $650 on Black Friday? Well, there’s a reason for that.

It’s common for retailers to partner with electronics companies to produce special-run products for Black Friday only. And the reason these items can be sold at a much lower price point is that they tend to come with inferior components. Or they might lack certain features their original counterparts had to offer.

Before you hand over your credit card to buy electronics on Black Friday, do a simple model number check. A general rule is that if there is no model number, or if you can’t find that same model number for sale elsewhere, then you’re getting a special-run version of the item you thought you were getting.

Many consumers are wired to believe that Black Friday is the best day of the year to shop. But actually, you may be better off doing your shopping another time for these key reasons.

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You’d think a decline in mortgage activity would mean lower home prices, but that’s not the case. Read on to see why. 

It’s fair to say that 2023 has been an expensive year to borrow money. That largely has to do with the numerous interest rate hikes that have been implemented by the Federal Reserve over the past 18 months and change.

Recent data from TransUnion shows that between the third quarter of 2023 and the third quarter of 2022, credit card originations fell almost 4%, while auto loan originations fell almost 9%. And personal loan originations were down 14.5%.

But the loan product to see the biggest drop in originations was mortgages. Between Q3 2023 and Q3 2022, mortgage lenders wrote 37% fewer loans.

Given that trend, you’d think home prices would have dropped over the past year or so. After all, a smaller number of mortgage signings would seem to be indicative of a decline in buyer demand, right?

But unfortunately, it’s not that buyer demand has really slowed. Rather, it’s that real estate inventory has been sluggish for a long time. And that explains why homes are still so expensive to buy.

There’s just not enough supply

In September, the median existing home sold for $394,300, says the National Association of Realtors (NAR). That’s a 2.8% increase from a year prior.

The reason home prices remain strong despite such high borrowing rates is that inventory is sorely lacking. As of the end of September, there were only 1.13 million unsold housing units on a national level, says the NAR. That represents just a 3.4-month supply of available homes for sale. It can take up to a six-month supply of homes to meet buyer demand in full.

A circular problem

A big reason U.S. inventory has been unable to increase has to do directly with today’s mortgage rates. Many current homeowners have reasonably low interest rates on their mortgages because they either signed their loans before rates started climbing, or they refinanced their mortgages to lower rates when they became available in 2020 and 2021.

But homeowners in that boat aren’t so eager to double their mortgage rates or more by signing new loans today. As such, they’re staying put — and keeping inventory at a low.

Now, it’s fair to say that today’s mortgage rates, which are notably high, may be pushing some buyers out of the market — hence a 37% decline in year-over-year mortgage originations. But that drop can also be attributed to the fact that there just haven’t been homes to buy. And when there aren’t homes available to purchase, buyers just plain don’t need mortgages.

When will the housing market improve?

Although the Federal Reserve does not set mortgage rates, its actions influence them, as is the case for other loan products as well. There’s a good chance the Fed will start to cut rates at some point in 2024 if inflation continues to cool. Once that happens, mortgage rates could start to drop, perhaps loosening up the market to some degree.

But it’s unlikely that mortgage rates will reach the record lows buyers were enjoying in 2020 and 2021 anytime soon. So unfortunately, we may be in for an extended period of sluggish real estate inventory.

Buyers can try to get around that by seeking out new construction opportunities if their budgets allow for it, or by expanding their home searches to different neighborhoods. But ultimately, for a lot of buyers, patience may end up being the key to snagging their dream homes.

As for those who are worried about today’s mortgage rates, the good news is that rates are apt to drop at some point. Then, it’s possible to look at refinancing. So if you can afford a home today, and you manage to find one that meets your needs, you may want to jump on the opportunity, even if it ends up being a pretty expensive one.

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A basic Sam’s Club membership will run you $50 a year. Here’s how to tell if it’s worth paying. 

The end of the year is often when we take stock of our finances and start making plans for the year to come. If you’re looking at ways to save on everyday expenses, those plans might involve joining a warehouse store like Sam’s Club.

While Sam’s Club can certainly be a good financial choice for some families, it’s not the right move for everyone. But how to tell whether a Sam’s Club membership should be part of your 2024 plans? You need to do the math.

Crunching the numbers

The only way to know whether a Sam’s Club membership is a good value is to look at the real numbers. In other words, evaluate the cost, your spending, and the potential for savings. Then let the math decide.

The membership cost

Sam’s Club has two membership levels. The basic Club membership gets you in the door. The Plus membership offers everything a Club membership does, as well as extra perks like free shipping and curbside pickup. A Plus membership is more than twice as much as a regular Club membership.

You pay your membership annually. But for the sake of the math, we’ll also look at what that would work out to monthly:

Your typical savings

Sam’s Club’s online experience is excellent. You can not only see what’s in stock, but you can see real prices on most of it without needing to have a membership. This makes it super easy to do a little comparison shopping.

(Some online items will be even cheaper in the store than online, but you won’t see the ridiculous online markups that some other warehouse stores add — looking at you, Costco.)

To get an idea of what you might save, grab your most recent receipt from whichever store you’d like to compare — and pop onto samsclub.com. Then, compare what you paid on your regular purchases to what you’d pay at Sam’s Club. Add up any savings to see your total.

For a Sam’s Club membership to make sense, you need to save more than $4.17 a month ($9.17 a month for Plus members) by shopping at Sam’s Club versus other stores. If your total savings comes out to be higher than that, you may benefit from joining.

Potential Sam’s Cash earnings

Another thing to keep in mind when crunching your numbers is the Sam’s Cash earnings opportunities. For one thing, all members can take advantage of Sam’s Cash Bonus Offers, which provide Sam’s Cash rebates on non-Sam’s Club purchases.

Then there’s the Sam’s Cash you can earn as a Plus member. Specifically, Plus members earn 2% back in Sam’s Cash on most Sam’s Club purchases. Here’s what that looks like in real numbers:

While you may not pay for your entire Plus membership with 2% back unless you’re a really big spender, it may be enough to make upgrading from a Club membership worthwhile.

The only sure way: Try it and see

When all is said and done, the only foolproof way to see if a Sam’s Club membership is going to save you money is to try it. Get a membership and use it for a year. At the end of 2024, you can compare what you spent on groceries and household goods compared to 2023.

While there will be some items that go up in price either way — inflation never sleeps — you should be able to get a fair estimate of whether you came out ahead with a membership. (Just don’t forget to subtract the membership fee from any year-over-year savings.)

If you do decide to get a membership and realize it’s not for you, don’t worry; you can actually get a refund on your membership. Here’s what Sam’s Club says:

“We offer a 100% satisfaction guarantee on your membership or your money back. If at any time you’re unsatisfied with your membership, let us know and we will cancel your membership and provide a refund of the amount paid for your current year membership fee. There’s a limit of one Plus membership refund per member or business per year.”

How to get a refund on a Sam’s Club membership

You can cancel your Sam’s Club membership at any time and get a refund. There are two methods depending on whether you have a store nearby (and feel like going there).

1. In store

If you have a local Sam’s Club and don’t mind stopping in, you can cancel and get an immediate refund simply by requesting it at the Membership Desk.

2. Call customer service

If you don’t want to head to the store, you can cancel and request a refund over the phone by calling: 1(888)746-7726

Keep in mind that if you cancel over the phone, your refund will be issued in the form of a Sam’s Club eGift Card. You don’t need to spend it at Sam’s Club, however, as the gift cards also work at Walmart and walmart.com.

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We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Brittney Myers has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale and Walmart. The Motley Fool has a disclosure policy.

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