Money Management

Shopping at Costco.com can be convenient. Read on for a few reasons why hitting the store is probably your better bet. [[{“value”:”

I’ve never liked crowds. When I got dragged to a packed nightclub in my early 20s, I remember pushing my way out after five minutes and spending the next two hours chatting with the friendly security guard stationed outside while I waited for my friends to get their fill of dancing. That was a long time ago, and I don’t think I’ve ever so much as walked by a nightclub again.

But I’ll also admit that my dislike of crowds is perhaps more extreme than the average person’s. Because of this, shopping at Costco can be a challenge.

Costco is the type of store that’s always crowded — at least where I live. So at times, I’ve been tempted to skip the in-person visit and do my shopping on Costco.com instead.

However, that option isn’t great for my wallet — and it may not be the best for yours, either. Here’s why you should aim to do your Costco shopping in person — albeit strategically.

1. The online prices are higher

The whole benefit of joining Costco is getting to save money on your various purchases, whether it’s groceries or cleaning supplies. But Costco.com marks up the online price of these items to make up for the expense of shipping them.

So while there’s usually no separate shipping fee, you’re paying that fee in the form of a higher per-item cost.

For example, you might pay $3 more for a case of chips or $2 more for a bottle of sauce on Costco.com compared to a Costco store. In a one-off situation, that’s not terrible. But if you repeatedly order from Costco.com, you could easily end up spending hundreds of extra dollars over a year.

2. You may not get the freshest food

Costco.com gives you several options for buying food. You can order fresh groceries for same-day delivery, non-perishables for two-day delivery (which is free if your order totals $75 or more), or regular delivery. But either way, you may not get the freshest groceries if you order online.

For same-day orders, the person hand-picking your berries may not notice that the bottom layer is moldy. Or, they might add a case of muffins to your order with a same-day sell-by date when there were other cases available whose sell-by is two days later.

The same thing can happen for non-perishables. And while you get more leeway there, would you rather have a jar of pretzels whose sell-by date is six weeks out or 12 weeks out?

Do your in-person shopping strategically

If you tend to avoid Costco stores because of the crowds, I can clearly relate. But I’ve devised a strategy for my in-person shopping that may work for you.

For one thing, I usually aim to get to Costco when it first opens. But here’s a lesser-known secret. Sometimes, Costco employees will let customers in the door a touch before then, so it pays to show up 10 or 15 minutes early and see what happens.

At my local Costco, the official opening time is 10:00 a.m. But if I park at 9:45 a.m. and head to the door at 9:50 a.m., an employee will often wave me in. Not only does this give me a few glorious minutes of a virtually empty store, but if I do my shopping quickly, I can often get to the checkout area before long lines start to form.

I suggest arriving at your local Costco a touch before it’s set to open and see if you have any luck there.

Another thing you can do to avoid crowds at Costco is ask a store employee what times of the day and week are usually the least busy. I find Costco employees to be extremely helpful. If you’d rather not do the trial-and-error thing yourself, ask the question.

Of course, if you occasionally find that you need to fall back on Costco.com, so be it. But all told, you’re just not getting the best prices online, and you may not get the freshest food delivered, either. So it pays to do what you can to make in-person Costco visits more tolerable.

Top credit card to use at Costco (and everywhere else!)

If you’re shopping with a debit card, you could be missing out on hundreds or even thousands of dollars each year. These versatile credit cards offer huge rewards everywhere, including Costco, and are rated the best cards of 2024 by our experts because they offer hefty sign-up bonuses and outstanding cash rewards. Plus, you’ll save on credit card interest because all of these recommendations include a competitive 0% interest period.

Click here to read our expert recommendations for free!

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.Maurie Backman 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.

“}]] Read More 

Although CD rates are pretty high right now, most people will still find that CDs don’t make a lot of sense for them. Here’s why. [[{“value”:”

CD rates are currently above 5.00%. Since this is higher than rates have been for many years, they seem like a good investment — especially since they are insured by the FDIC, so losing money isn’t likely.

Although buying a CD may appear to be a good thing to do with your cash, for most people, it simply makes no sense to buy one. That’s because CDs are good only for people who can tie up money for a very specific and narrow time window. It’s rare for most people’s investment goals and timelines to align perfectly with this time frame.

CDs are a good option in very limited situations

CDs are not good for most people because it makes sense to invest in them only if:

You can leave your money locked up for a period of a few months to a few years, depending on what term length you choose when you buy your CDYou cannot leave your money alone long enough that it’s safe to invest it in the stock market.

It is important to realize that your money only belongs in CDs when both of these things are true. Here’s why.

You cannot put money into a CD that you may potentially need soon because CDs require you to make a commitment to stay invested for the whole term. This term usually ranges from three months to five years with most banks. If you take money out early, you’re hit with penalties.

You don’t want to lose your returns or even some of your principal to penalties, so it makes no sense to buy CDs unless you are 100% confident that the money isn’t going to be necessary for a few months to a few years. This means any money you might need for the short term doesn’t belong in a CD.

On the other hand, if you have an investing timeline of at least a few years, the stock market is a better place for your money. You can buy an S&P 500 index fund that could produce 10% average annual returns over the long haul, as that’s what the S&P 500 has done for decades. There’s a greater risk of loss in the stock market than with a CD, but as long as your timeline is long enough to wait out any market downturns, that risk is still pretty minimal with an S&P fund.

With long-term investments better off earning higher returns in the stock market and short-term investments better off in a savings account where they are accessible, that simply doesn’t leave much — if anything — for CDs.

Does it ever make sense to buy a CD?

While most people don’t have a need for a CD, there may be some very limited circumstances where buying one makes sense.

Say, for example, you’re saving for a home down payment and plan to buy in two years. You don’t have enough time to put the money in the stock market, but if you absolutely 100% for sure won’t be buying sooner, you could put some of this money in a 2-year CD.

Even that’s a risk, though, because if the perfect house comes up after 18 months, your money would be tied up and you’d have to pay a penalty to get it out early.

Ultimately, even this example shows why it just makes little sense for most people to choose CDs. Think twice if you’re considering one and make sure there are no better options for your funds.

Alert: highest cash back card we’ve seen now has 0% intro APR until nearly 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

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.

“}]] Read More 

From brand deals to TikTok Shop to affiliate marketing, TikTok money-making options are plentiful. Read on for actionable tips you can take today. [[{“value”:”

A few months ago, I found myself following a TikTok influencer (with a total of 250,000 followers) who really resonated with me. I write books and articles about small business and money management, and as that was his expertise, I began to watch his daily videos. I have never written anyone a “fan letter” before, but I DMed him one day and told him how much I enjoyed his content and thanked him for that.

What I never expected was that he would write back. We went back and forth a bit, and lo and behold, today I am ghostwriting his book. In addition, he is coaching me on how to grow my own TikTok following.

So yes, there are many ways to make money on the fastest growing, most lucrative social media app out there, TikTok. How lucrative? According to Sprout Social, “TikTok was the highest grossing app of 2023.” In fact, it grossed $2.7 billion last year. Here’s how you can get a piece of the pie.

Become a TikTok influencer

It’s not as hard as you may think.

I saw one woman today on TikTok who has amassed 5,000 followers in one week. My new coach shows people how to get six-figure followings in a few months. That’s a lesson for a different day, but the point is, by posting quality content consistently and following a few social media hacks, you too can grow a large following in fairly short order.

For starters, you can sell your own services, and because having a social following takes time but not money, all of your marketing is essentially free. One of my coach’s students is a counselor. In a few months, she gained 150,000 followers who love her daily tips. She says her counseling service has exploded with patients.

Similarly, and maybe even better, brand deals become possible when you have a big TikTok following. Because brands pay creators to promote their products or services, collaborating with brands for sponsored content can be a very lucrative way to make money on the app.

Requirements:

Have a substantial following, typically starting from 10,000 to 50,000 followersHave high engagement rates (clicks, shares, comments, etc.)Have a niche audience that aligns with the brand’s target market

TikTok Creator Fund

You can also get paid by TikTok directly for creating videos that get a lot of views. How much? According to Social Media Hub, “TikTok pays around $0.02 and $0.04 for every 1,000 views. These are reports based on payments received through the TikTok Creator Fund. This is a program that TikTok introduced in 2021 in a bid to compensate content creators for creating content on the platform.”

While a few cents per 1,000 views may not seem like a lot, if one of your videos goes viral, you will quickly change your mind as your checking account balance grows.

Requirements:

Minimum of 10,000 followersAt least 100,000 video views in the last 30 daysMust be at least 18 years old

TikTok Shop

This could be the goldmine. Think of TikTok Shop like the app version of Amazon. Just as with Amazon, you can set up your own shop on the site and sell goods, or you can simply become an affiliate marketer for someone else’s goods and store. Either one can be very lucrative,

Owning the shop: TikTok Shop allows creators to sell products directly through the platform. This can include merchandise, handmade items, or other products.

Requirements:

No minimum follower count (but having a larger audience increases sales potential)A verified TikTok Shop accountCompliance with TikTok’s policies

TikTok Shop affiliate

Becoming a TikTok Shop affiliate lets you earn commissions by promoting products available in other people’s TikTok Shop. All you need to do is create videos that people watch (they can be faceless too if you are the shy type.) You earn commissions on sales made through referral links in your bio or integrated into your content.

Requirements:

Minimum of 1,000 followersAbility to create engaging promotional content

It might help to recall how Amazon was minting money for entrepreneurs new to that site back in the early 2000s. That just may be what is happening on TikTok today. Don’t miss out. This is a golden opportunity and the clock is ticking…or should I say, TikToking?

Alert: highest cash back card we’ve seen now has 0% intro APR until nearly 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

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.John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. The Motley Fool has positions in and recommends Amazon. The Motley Fool has a disclosure policy.

“}]] Read More 

Americans are doing better with saving money, but most still don’t have enough. Here are four shocking stats to know about savings. [[{“value”:”

Saving money is really important. Money in a savings account provides a cushion against unexpected expenses or financial hardships like a job loss.

So, how much money do Americans actually have in their savings accounts? Some of the numbers may shock you.

1. The average American has $8,000 in savings

According to recent research from The Motley Fool Ascent, the median savings account balance in the United States is $8,000. This includes money in transaction accounts, including savings and money market accounts, checking accounts, call accounts, and prepaid debit cards.

That’s an increase from 2019, when the median savings was $6,140. It’s good news that Americans have saved more, but that median balance still may mean that many people don’t have quite enough to protect against calamities.

Most experts recommend having enough to cover three to six months of living expenses, and for most people, having $8,000 in checking and savings accounts wouldn’t be enough to do that.

That’s especially true, as the Bureau of Labor Statistics reported in 2022 that the average annual expenses among all consumer units was $72,967 or around $6,080 per month.

In fact, The Motley Fool Ascent’s research also revealed that millions of Americans aren’t fully prepared for surprises, with just 54% of people actually holding three months’ worth of emergency savings in the bank.

2. The richest Americans have more than five times the savings of the upper middle class

While the average American may not be doing as well as they could be, the rich have a whole lot saved. In fact, The Motley Fool Ascent’s data showed Americans in the top 10th percentile of net worth have a median transaction account balance of $128,000.

That’s not just more than most people — it’s actually more than five times the median balance of Americans in the 75th to 89th percentile. Those in this upper-middle-class group have a median savings balance of only $41,500.

It’s expected that the rich will have more money, but the huge gap between the very wealthiest and the upper middle class shows just how great the wealth disparity is in the United States.

3. Almost half of young Americans have a separate emergency fund

The stats show some surprisingly good news for younger generations, though. Both Gen Zers and millennials are taking emergency saving far more seriously than their older counterparts. Within this age group, 40% have a separate savings account for emergencies, compared with only 32% of Gen X and baby boomers.

Growing up during the Great Recession in 2008 and the COVID-19 pandemic in 2020 may just have prompted this group to be a little more risk-averse when it comes to emergency savings.

4. 66% of Americans have their savings in the wrong account

Finally, the last shocking stat has to do with where Americans put their savings. Only 34% have their money in an account with an interest rate of at least 4.00%. Those who don’t are missing a huge opportunity in high-yield savings accounts right now.

Understanding these statistics can help you make informed choices about your own saving behaviors. You should join younger Americans in having dedicated emergency savings and find an account paying upward of 4.00%. Making these moves should help you grow your balance above the $8,000 median, so you can build more financial security for your future.

Alert: highest cash back card we’ve seen now has 0% intro APR until nearly 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

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.

“}]] Read More