Money Management

It’s an option that could save you a lot of money. 

Remote work used to be a privilege only a small percentage of employees benefited from. But then the pandemic hit, and for better or worse, it changed the commuting landscape on what’s probably a long-term basis.

As of 2022, an estimated 26% of U.S. workers were doing their jobs remotely, according to Zippia. And there are numerous benefits to being able to work from home, like having an easier time juggling household responsibilities and potentially saving on childcare costs.

Working from home might also mean you don’t drive your car as frequently as you once did. But if that’s the case, one thing you don’t want to do is overpay for auto insurance. And that’s why it could pay to see if your car insurance company offers a pay-per-mile option.

How pay-per-mile auto insurance works

With pay-per-mile auto insurance, your costs are determined based on your actual mileage. The upside of pay-per-mile auto insurance is that you might end up saving money if you don’t do a lot of driving.

See, the more you drive, the more likely you are to get into an accident. That’s something auto insurers take into account when establishing premium rates. But if you don’t drive very often, your insurance company takes on less risk. And in exchange, it may be willing to reward you with lower-cost insurance, which pay-per-mile plans tend to be.

How your mileage is measured

For pay-per-mile auto insurance programs to work, your insurer needs a way to track your mileage. This can generally be done in one of two ways.

You may be given a device that plugs into your vehicle that tracks your mileage as you go. If you find this option too invasive, you may be able to instead work out an arrangement where you take a picture of your odometer every month to prove how far you’ve driven. You may also need to revert to this option if you have an older vehicle.

Is pay-per-mile auto insurance really going to save you money?

The quick answer is that it depends. To see if this option makes sense, you’ll want to reach out to different auto insurers and see if you can get a per-mile quote. You can then do your best to estimate your mileage for a year and compare the cost of pay-per-mile auto insurance to the cost of a standard policy.

Should you sign up for pay-per-mile auto insurance if you work from home?

Just because you work from home doesn’t mean you don’t do a lot of driving. Maybe your job is remote, but two of your kids play on a travel soccer team that has you driving all over the state several times a week. But if you don’t do a lot of driving in general, then it could pay to look into one of these plans.

Incidentally, pay-per-mile auto insurance could also make sense if you commute to work but don’t drive very far. It might be a similarly cost-effective option if you’re retired and don’t use your car very often.

Either way, it certainly doesn’t hurt to explore your options and crunch the numbers. And who knows? You may find that you’re able to reduce the cost of car ownership by changing your auto insurance policy.

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Image source: Getty Images
What happenedThe IRS has announced that victims of a wave of destructive storms now have until July 31, 2023 to complete their 2022 tax returns and make any payments owed from the previous tax year. Tax returns are due this year by April 18, and failing to file and pay on time can result in penalties. However, those impacted by recent weather events will get additional time to complete and pay their taxes without being considered late.So whatOn April 1, a series of violent, tornado-spurring storms hit the Midwest. The storms resulted in multiple deaths, and Arkansas was among the hardest-hit.
Discover: Find the best tax software for your situation hereSave: We researched free tax software and put together a list of the best here
At least 50 people were sent to hospitals in Arkansas’ Pulaski County, where a tornado hit the Little Rock area on Friday. Mayor Frank Scott Jr. told CNN that close to 2,600 structures sustained damage. This means many Arkansas residents may be facing property damage — and may be sitting on piles of destroyed tax documents needed to file their 2022 returns.“Many people were not at their homes (at the time of the storms),” he explained. “If they were, it would have been a massacre.”Now whatThe IRS does not impose penalties for being late with a tax return when a tax refund is due. In that case, all that happens is that filers have to wait longer for their money to hit their bank accounts. But when filers owe money to the IRS and are late with their returns, the penalties can be huge.The IRS imposes a 5% penalty per month or partial month if a tax return is late in that scenario, up to a total of 25%. For those owing large amounts, those penalties can quickly add up. As such, the fact that the IRS is giving Arkansas residents more time to file their taxes is key, as it could be sparing many people the expense of a penalty at a time when they’re already dealing with property damage.What’s more, the IRS imposes a 0.5% penalty per month or partial month tax payments are late beyond the filing deadline, up to 25%. This penalty, too, is waived for Arkansas residents impacted by the recent storm.Thankfully, this isn’t the first time the IRS has extended such relief to storm victims. Just last week, it pushed back the tax-filing and payment deadline to July 31 for victims of storms in Mississippi that occurred on March 24 and 25.If you’ve been impacted by a storm or natural disaster, it could pay to reach out to the IRS and see if it’s possible to get more time to file your tax return and make your tax payment. Any filer who needs more time to complete a tax return can request an automatic six-month extension, but that doesn’t allow for more time to pay. However, the agency has historically worked with storm victims to help them avoid penalties on the filing and payment front.Alert: highest cash back card we’ve seen now has 0% intro APR until 2024If you’re using the wrong credit or debit card, it could be costing you serious money. Our experts love this top pick, which features a 0% intro APR until 2024, an insane cash back rate of up to 5%, and all somehow for no annual fee. In fact, this card is so good that our experts even use it personally. Click here to read our full review for free and apply in just 2 minutes. Read our free reviewWe’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.The Motley Fool has a disclosure policy. 

What happened

The IRS has announced that victims of a wave of destructive storms now have until July 31, 2023 to complete their 2022 tax returns and make any payments owed from the previous tax year. Tax returns are due this year by April 18, and failing to file and pay on time can result in penalties. However, those impacted by recent weather events will get additional time to complete and pay their taxes without being considered late.

So what

On April 1, a series of violent, tornado-spurring storms hit the Midwest. The storms resulted in multiple deaths, and Arkansas was among the hardest-hit.

At least 50 people were sent to hospitals in Arkansas’ Pulaski County, where a tornado hit the Little Rock area on Friday. Mayor Frank Scott Jr. told CNN that close to 2,600 structures sustained damage. This means many Arkansas residents may be facing property damage — and may be sitting on piles of destroyed tax documents needed to file their 2022 returns.

“Many people were not at their homes (at the time of the storms),” he explained. “If they were, it would have been a massacre.”

Now what

The IRS does not impose penalties for being late with a tax return when a tax refund is due. In that case, all that happens is that filers have to wait longer for their money to hit their bank accounts. But when filers owe money to the IRS and are late with their returns, the penalties can be huge.

The IRS imposes a 5% penalty per month or partial month if a tax return is late in that scenario, up to a total of 25%. For those owing large amounts, those penalties can quickly add up. As such, the fact that the IRS is giving Arkansas residents more time to file their taxes is key, as it could be sparing many people the expense of a penalty at a time when they’re already dealing with property damage.

What’s more, the IRS imposes a 0.5% penalty per month or partial month tax payments are late beyond the filing deadline, up to 25%. This penalty, too, is waived for Arkansas residents impacted by the recent storm.

Thankfully, this isn’t the first time the IRS has extended such relief to storm victims. Just last week, it pushed back the tax-filing and payment deadline to July 31 for victims of storms in Mississippi that occurred on March 24 and 25.

If you’ve been impacted by a storm or natural disaster, it could pay to reach out to the IRS and see if it’s possible to get more time to file your tax return and make your tax payment. Any filer who needs more time to complete a tax return can request an automatic six-month extension, but that doesn’t allow for more time to pay. However, the agency has historically worked with storm victims to help them avoid penalties on the filing and payment front.

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If you’re using the wrong credit or debit card, it could be costing you serious money. Our experts love this top pick, which features a 0% intro APR until 2024, an insane cash back rate of up to 5%, and all somehow for no annual fee.

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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.The Motley Fool has a disclosure policy.

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No gift has to be perfect if it’s given from the heart. 

As I circled the gift basket display this weekend, a young woman walked up to examine the merchandise. Her first words were, “Are you kidding me?” and we both laughed. I got what she was saying. The woman looked like she might be 28-29 years old and shopping for a child. Dropping $100 on a gift basket may have not been in the budget.

Two reasons to skip a Costco gift basket

Let me begin by saying the Costco Easter baskets are stunning this year. Whoever designed them deserves a raise. Goodies are contained within a gorgeous white willow basket that kids can use to collect eggs, or parents can purloin to use for another decorative purpose. Seriously, the display is top-notch.

However, as a mother of two and grandmother of three, I know what my kiddos like, and this $100 Easter basket would not do the trick. Here are two reasons you may want to go with another option if you’re buying for young kids.

1. It’s overwhelming

I immediately had a comical mental image of my two youngest granddaughters lugging that thing around. They’re 4 and 7, but the 7-year-old is tiny. It would likely knock her over.

More importantly, the sheer volume of treats in the deluxe basket is overwhelming — even for me. There are 17 different items, and if there’s one thing I’ve learned about kids, it’s that they do best with fewer items to choose from. I wouldn’t lay 17 toys before a child and ask them to choose. I can’t imagine doing it with sweets.

2. You know what people like

Of the 17 items included in the deluxe basket, there were nine I could imagine one of the girls enjoying. It’s not that they’re picky; it’s just that they know what they like when it comes to confectionary treats. One dislikes chocolate, while another doesn’t want anything sour.

This is a relatively sophisticated basket if you overlook the Dum Dum lollipops, cotton candy, and Peeps (eek!). And given that the girls still giggle when I read the book I Need a New Butt to them, they are decidedly unsophisticated.

The items arranged neatly in the basket are:

Fruit jellies from MexicoStrawberry cheesecake trufflesLemon cakes from SpainSea salt cookiesRaspberry fruit jellies from ItalyPetite sponge cakes from Spain

If you’re looking for something a child is more likely to enjoy, Costco has two smaller, but adorable Easter baskets. Perhaps one of these would be a better option, especially if you’re watching your monthly budget:

Houdini Bunny Basket, a canvas bunny stuffed with kid-friendly candy like M&Ms, Gummy Bears, Skittles Freezer Pops, Ring Pop, a Reese’s peanut butter egg, and Tootsie rolls. Price: $22Tie Dye Tote, a canvas tie-dyed tote filled with Gummy Worms, Mike and Ike, Dots, Palmer Double Crisp Milk Chocolate Bunny, and more. Price: $24

Three reasons to buy a Costco gift basket

Yesterday, I revisited the Costco Easter basket in my mind and remembered that Easter gifts aren’t just for small children. There are plenty of other people who would thoroughly enjoy such a basket, even if it does make a slightly bigger dent in your checking account. Here are three examples of when this gift basket might make sense.

1. You’re buying for a gathering

Let’s say you’re having an Easter brunch and inviting friends or family members. Costco’s deluxe basket works as an additional dessert or appetizer. Had I considered my grown children, it might have occurred to me that they would love to try a sponge cake from Spain or raspberry fruit jellies from Italy.

Instead of spending $70 or $80 on a floral centerpiece, the gift basket is impressive enough to display in the middle of the table.

2. You want to impress business customers

Own a small business with a few special customers that help keep your business humming each year? While I can’t help but think of Michael Scott and Dwight Schrute delivering gift baskets on The Office as I write this, a deluxe gift basket really is a great way to show your appreciation.

3. You’re in a pinch

If you’re away from friends and family and want to let them know you’re thinking about them, this gift basket is a simple way to make it happen. Standard Shipping via UPS Ground is included in the price of the basket. You can make the purchase online, and it will arrive within three to five days of receiving your order. Express Shipping is available at a reasonable price if you need it there faster.

Think about the last time you received a gift. You probably didn’t care what the gift was or if it was “perfect.” You were just thrilled that someone thought of you. With these Easter baskets, Costco makes it possible for you to do the same for someone else.

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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.Dana George has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool has a disclosure policy.

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