Money Management

You might get the best interest out there with a 12-month CD. Read on to see why you should — or shouldn’t — open one this month. [[{“value”:”

There’s a reason so many people are opening CDs this summer. CD rates are the highest they’ve been in years. So why wouldn’t you want the opportunity to score a risk-free return on cash you aren’t using for something else?

These days, it’s pretty easy to score a 5% APY on a 12-month CD. And some banks may even be paying a little more, so it makes sense to shop around for the best rate possible.

But is opening a 12-month CD this month the right move for you? Here’s why it could be — or why you may want to go a different route.

The case for opening a 12-month CD this July

The primary reason to open a 12-month CD right now? It’ll allow you to get in before CD rates start to fall.

A big reason CD rates are up right now is that the Federal Reserve raised interest rates numerous times in 2022 and 2023 to slow inflation. And thankfully, the central bank’s efforts have worked.

But now, the Fed is planning to cut interest rates, which should provide some financial relief for consumers who are juggling credit card balances or who need to sign loans. Once that happens, though, CD rates could start to fall in short order.

In fact, July may be the last time you’re able to lock in a CD rate before the Fed’s next interest rate cut, since the central bank is set to meet on July 30-31. We don’t know for sure whether the Fed plans to announce a rate cut at its next meeting. But if it does, CD rates may dip lower in August — all the more reason to make a move in July.

Why you shouldn’t open a 12-month CD this July

Tempting as it may be to lock in a 12-month CD now, when you open a CD, you’re forced to keep your money in the bank or otherwise risk an early withdrawal penalty. And that’s not something you want.

You should steer clear of CDs this July if you don’t have money beyond your emergency fund to lock up. Your minimum emergency savings goal should be three months of essential expenses.

So if you spend $2,400 a month on essentials now and have $7,200 in the bank, you’re in great shape. But you should be keeping that money in a regular savings account so you can take a withdrawal at any time without having to worry about risking a penalty.

You should also hold off on opening a CD if you’re not confident you won’t need the money for something else before your CD matures. Maybe your car is older and is starting to show its age. Maybe you’re well aware that your home’s air conditioning system isn’t functioning optimally.

You don’t want to tie up money you might need for a near-term expense that’s on the larger side. So unless you’re 100% confident you can afford not to touch your money for 12 months, don’t open a 12-month CD. It’s not worth chasing the higher rate if it means potentially subjecting yourself to a costly penalty and a world of stress.

Alert: highest cash back card we’ve seen now has 0% intro APR until 2025

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 

Want to make extra cash in the fast-growing pet care industry? See how to make $17-$43 (or more) with pet care side hustles. [[{“value”:”

People are spending more money than ever before on pet care, pet products, and pet insurance — and that means there are some great opportunities for pet lovers to start side hustles.

Do you love taking care of dogs and cats? People will pay you to help. “People” means “me.” My family has a dog, and I will happily pay extra for good help dealing with my dog’s various issues — grooming, training, dog walking, dog sitting…I love our dog, but he’s kind of a mess.

Anyway, enough about my dog! The point is: If you’re up for spending some extra time and TLC with other people’s pets, grateful pet owners will spend money on your side hustle services.

Here are a few of the best side hustles for pet lovers — and how much you can make per hour.

1. Dog walker ($43 per hour)

Walking the dog is a necessary and often enjoyable part of everyday life, but people don’t always have time to do it themselves — and some dogs need more walks than one person can reasonably provide. That’s where dog walkers come in.

Starting a side hustle as a dog walker can be a fun, flexible way to get exercise, meet new furry friends, and earn extra cash.

April 2024 research from Preply, an online tutoring platform, found that dog walkers can earn an average of $43 per hour. That hourly rate seems to be on the high end, because I’ve seen a lot of dog walkers on Rover (rover.com) in my city who charge a lot less — as little as $13 per walk.

But if you can build up a reputation as a reliable, professional dog walker, and find loyal clients who are willing to pay extra, $43 per hour (or more) might be doable. Dog walkers might make the best rates in big cities where time-starved, affluent professionals spare no expense for the best services for their pets.

2. In-home pet care ($17 per hour)

Being a dog walker is not the only way to make money caring for pets. In-home pet care and pet sitting, whether it’s doggy daycare or overnight cat sitting, can be a great way to earn money. This side hustle also provides a valuable service so pet parents can take a much-needed vacation.

Survey data from Salary.com shows that the average hourly rate for pet sitters is $17 per hour.

But if you start a side hustle as a pet sitter, you can create your own package of services and charge whatever you and your clients agree to — for example, you might charge more for overnight pet sitting, or offer a bulk discount for a week of pet care combined with housesitting.

3. Dog trainer ($17 per hour)

Do you have a knack for getting dogs to sit, stay, fetch, and roll over? Dog training has become a must-have for many families who want to improve their canine’s behavior and help their pet feel calmer, be a more harmonious part of the family, and blend in better in social situations.

You don’t need a state license or certification to be a dog trainer. But this side hustle could take more time to start than being a dog walker or pet sitter. You might want to set up a small business website to introduce yourself to potential clients and share your approach to dog training.

Dog trainers might also want to do social media marketing to share content about your dog training perspectives and techniques, so people can feel comfortable with you before they decide to hire you.

Salary.com says that dog trainers earn an average of $17 per hour. But just like with any side hustle or small business, you can command higher income if you can create stronger demand for your services.

4. Sniffspot host (up to $3,000 per month)

If you have a dog-friendly backyard or other property, check out Sniffspot (sniffspot.com). It’s like Airbnb for dogs — Sniffspot lets you turn your yard or other land into a private dog park for short-term rentals.

Sniffspot says that some of its hosts can earn up to $3,000 per month — which could be doable if you book $100 of rentals per day, 30 days per month.

5. Dog groomer ($18 per hour)

If you love washing, trimming, and clipping dogs, you could start a side hustle as a dog groomer. Unlike human barbers and hair stylists, dog groomers do not need to have a license or certification to start a side hustle. But you might need to invest in some equipment, a space in your home (or mobile dog grooming accessories), and a small business website or other marketing costs.

Salary.com says that dog groomers earn an average of $18 per hour, but you can charge more if you choose — some pet owners will pay extra for dog groomers that make their pets look their best, and that are reliable, easy to work with, and gentle with the pets. Just like with any side hustle, it’s all about service and helping the client feel good about the deal.

Bottom line

There are several opportunities for pet lovers to earn extra cash by starting a side hustle. If you love to walk dogs, care for pets, give dogs a warm bath and a haircut, and otherwise make life happier for pets and their people, you can get some extra money in your bank account.

Alert: highest cash back card we’ve seen now has 0% intro APR until 2025

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 

Seeing the world can get expensive, but it doesn’t have to drain your bank account. Find out a few items that will cost you a little but save you a lot. [[{“value”:”

I love to travel, but I also love to save money. Unfortunately, those two things don’t often go hand in hand. Scour all the flight deal websites you want, but you’re still going to have to pony up some cash to get a plane ticket. And that beachside hotel, or guided mountain hike, or five-star restaurant meal? Don’t expect those to come cheap, either.

Since I’m not willing to stay home and leave the world unexplored, I’ve started testing out other ways to save money while I travel. Here are a few that work well for me.

1. Packing cubes

Give me the option of checking a bag or going carry-on only, and I’m picking carry-on. I prefer to keep all of my possessions within eyesight for several reasons: I want to avoid the waiting game at the baggage carousel, I don’t want to stress about lost luggage, and I don’t want to pay a checked bag fee.

The average cost for a single checked bag is $30 to $35 — one way. A roundtrip flight can cost an extra $70 with a checked bag. A set of compression packing cubes, on the other hand, can cost less than $20 and shrink down your wardrobe into a small enough pile to fit in a carry-on bag.

After one trip, you’d be ahead $50. And since these bags can last as many years as you can take care of them, you’re in a good position to save hundreds of dollars on checked bag fees.

2. Bar of laundry soap

Another trick to keep my packing list down for longer trips is to wear items more than once. That way, I can stick to my carry-on bag rather than bring half my closet with me. One really affordable way to do this is to pack a bar of laundry soap. Again, this small investment can save me $70 roundtrip on checked bag fees.

I purchased a solid laundry soap bar for around $12 a year and a half ago, and it still has a lot of sudsy life left. It tucks away easily into my luggage and allows me to hand-wash some of my clothing items while I travel, meaning I get to pack lighter. It’s also great for spot-cleaning small stains and spills while on the road, so I can eat salsa-covered tacos al pastor to my heart’s content.

3. Google Maps

Affordable is great, but free is even better. I like to save the offline version of Google Maps for the areas I’ll be traveling before I head out on a trip. This allows me to search and navigate without having to pay for wifi or cell service.

I spent a week driving the south coast of Iceland last summer, and Google Maps was a great money saver. Rather than paying my cellphone service provider $10 per day, I just downloaded Google Maps for the area ahead of time, saving me $70. I was even able to get directions to a crepe truck next to a glacier lagoon with zero cell service. Technology is wild.

4. Travel guidebooks from the library

I interned one summer at a travel guidebook publisher, so I still have a soft spot for doing some of my trip planning out of a book. However, I don’t love the idea of paying for an entire guidebook that I’ll likely only use part of, and only use once.

My husband came up with the idea of checking out travel guidebooks from the library to do some of our research before a trip. This gives us access to a lot of well-vetted travel tips and detailed maps for exactly zero dollars, all while supporting our local library. Win-win, I say.

5. Rewards credit cards

I don’t have a very deep roster of credit cards in my wallet, but it’s a very targeted collection. For travel credit cards, I’ve selected two that match my spending and travel habits to not only earn me rewards but also provide perks I’ll use for my vacations.

I have a cobranded credit card for an airline that I fly with often. It includes free checked bags, priority boarding, and two annual airport lounge passes among its perks, saving me quite a bit each year. I also have a general travel credit card that earns bonus points on all my travel-related spending. I’m able to earn extra reward points that I can then redeem for future travel, making my vacations cheaper.

Many rewards credit cards come with an annual fee, but depending on how many of the perks you can benefit from, you can come out well ahead in the end.

Save money without spending a lot

If you’d like to travel more but have trouble making it work for your budget, give some of these tips a try. By keeping your checked baggage fees down, taking advantage of free planning options, and making rewards credit cards work for you, you’ll be able to get out and see the world with a lot less worry.

Alert: highest cash back card we’ve seen now has 0% intro APR until 2025

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.Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. The Motley Fool has positions in and recommends Alphabet and Target. The Motley Fool has a disclosure policy.

“}]] Read More 

What is financial security? And most importantly, do you have it? A recent survey attempted to answer those questions. Read on to learn more. [[{“value”:”

If you spend enough time on social media, you’ll find them: the financial security bros. They’ll tell you how to become more financially secure with their 14-point plans, but they never really tell you what financial security means.

This is probably, in part, because financial security can mean a lot of different things to different people, depending on their income and financial situation. But unlike trying to define “financial independence” or “wealth,” “financial security” is a term that many people have some idea about what that means to them.

Recently, CNBC conducted a survey to find out what financial security meant to its viewers, and the results might surprise you.

1. Financial security means having no outstanding debts

Of those surveyed, 59% agreed that having no outstanding debts was the most important element of financial security. The average consumer debt, according to the Federal Reserve Bank of St. Louis, was 5.78% of disposable personal income as of Q4 2023.

Consumer debt doesn’t include mortgage payments, just things like credit cards and installment loans. When mortgages are figured in, household debt service payments as a percentage of disposable income topped 9.79%, in Q4 2023.

But that’s an average, so households with zero outstanding debt will tug the number down, while households with incredibly high debt that might include educational debt or new mortgages, will pull it upward, and both will cause some distortion.

2. Financial security means high levels of savings

The second most important element of financial security, according to CNBC, was having a high level of savings — 47% of those surveyed said this was vital. Considering that the personal savings rate as a percentage of disposable income in May 2024 was just 3.9%, it feels like this may be one of the harder items to achieve on the path to financial security.

Of course, high levels of savings are much easier to achieve if you have no debt, so the first two on the list kind of go hand in hand.

3. Financial security means owning your own home

It’s not exactly surprising that CNBC respondents put homeownership up there in the top three elements of financial security. In fact, 45% thought that owning your own home was vital to being financially secure. As a former Realtor, I can’t really disagree with this idea. Owning a home means a certain amount of your housing budget is fixed, making it easier to plan for the future.

The current homeownership rate in the United States, despite all the press about how no one can buy a house these days and how nothing is affordable, was sitting at a respectable 65.6% as of Q1 2024. The highest it’s ever been since records started being kept in 1965 was 69.2% in both Q2 2004 and Q4 2004, and the lowest was 62.9% at several points along the way.

4. Financial security means having a good-paying job

I think it’s interesting that a well-paying job in a secure field ranked fourth for CNBC survey respondents, since this is what it takes to easily ensure the top three on the list. But 38% of those surveyed also agree that earning a decent income is vital to financial security. I think a lot of Americans would agree with that, even if they weren’t being surveyed.

This one is a lot harder to achieve, it would seem, based on economic data. The median personal income in the US in 2022 was $40,480, which is about $3,373 per month. But the median home sales price as of Q1 2024 was $420,800. Even if you had put 10% down on a 30-year fixed-rate mortgage with a 7.188% rate, you’d be paying $2,568 per month for that house. That math just doesn’t math.

If you consider median household income, which was $74,580 per year in 2022, you’re closer to achieving that house, the savings, the payment-free life on an income of $6,215 per month — but that’s for everyone in the household who works. And more people means more expenses, and the need for things like child care. It gets complicated, and the benefits of that additional income may be wiped out.

Financial security is what you make it

Being financially secure can mean a lot of different things to different people, but I’d definitely agree that the top three on CNBC’s list are must-haves. But what do you do if you work in a field where high incomes just don’t happen (think social work, teaching, or law enforcement)?

Well, you do the best you can. There are homes cheaper than the median almost anywhere, though they are usually highly competitive to purchase. There are ways to get out from under debt, though it will take much longer. But once you do that, you’ll be able to put savings in an emergency fund that will support your lifestyle should something go awry.

So, while it may be harder to achieve some semblance of financial security without a six-figure income, it’s all relative, really. The real question is, do you feel safe financially? That’s all that really matters at the end of the day.

These surveys are interesting, but they’re only ever a starting point and never a reason to beat yourself up for not keeping up with someone whose life is utterly and entirely different from your own. Success is what you make it.

Alert: highest cash back card we’ve seen now has 0% intro APR until 2025

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 

CD investors can’t win right now because either inflation stays high or CD rates go down. Read on to learn how CD laddering can help. [[{“value”:”

Certificate of deposit (CD) investors have been benefiting from record high rates throughout 2024, and they’ve had an amazing opportunity to invest in CDs and earn returns of around 5.00% or higher. This is unprecedented in the modern era.

Unfortunately, while they may have had a great run, those who like to invest in certificates of deposit are actually facing a lose-lose situation right now. Here’s why.

Bad news for CD investors

CD investors are in a bad situation right now because one of two things is inevitably going to happen:

CD rates are going to fall if the Federal Reserve lowers interest rates.CD rates will increase or stay stable if the Federal Reserve keeps rates where they are or raises them — which is likely to happen only if inflation stays at current levels or increases.

The Federal Reserve has repeatedly indicated that it wants to cut interest rates, with the central bank targeting at least one rate cut in 2024 and several cuts in 2025.

If the Federal Reserve takes action to lower interest rates, CD rates will likely follow. This is obviously bad news for those who invest in CDs because the chance to earn a generous return could disappear quickly once the Fed starts with rate cuts.

On the other hand, CD rates are likely to stay steady or increase only if the Fed doesn’t act or if the Fed raises rates instead. The central bank has kept rates steady throughout 2024 because inflation hasn’t been as bad as it was in the last two years. CD rates have already begun to decline a bit this year, with fewer than 3,000 CDs offering rates of 5.00% or above in March of 2024 — compared with over 3,900 CDs offering those yields at the end of 2023.

This trend is likely to continue if inflation stays steady, so the only way that rates are likely going to stay stable or increase is if there are signs that inflation is picking back up again. Unfortunately, this would also be bad news for CD investors. That’s because high inflation makes everything more expensive, eroding the real buying power of their savings and investments.

So, basically, CD investors can’t win. Either rates go down and the great investment opportunities disappear, or rates stay the same or go up, leaving investors with less money because they’re spending more on everything else in their life.

Here’s what investors can do about it

This is not a great situation for CD investors to be in, but there is something they can do: They can build a CD ladder. This means:

Buying some short-term CDs at really competitive rates that will mature soon.Buying some long-term CDs at pretty competitive rates that will lock in today’s great yields for years to come.

You might put money into a 1-year, 2-year, 3-year, 4-year, and 5-year CD with each of those making up a different rung on your ladder.

If you take this approach, you’ll benefit if interest rates do go down. While you’d enjoy lower inflation, you’d still be able to earn high rates on your CDs for years into the future. Plus, you aren’t hurt as much if rates go up. You’ll be able to take money you invested in short-term CDs that you get back quickly and reinvest it in CDs paying higher rates in the future. This will help protect the value of your savings from eroding due to inflation.

Check out the best short-term CDs and the best 5-year CDs today to build your ladder so you can turn this lose-lose situation into a win.

Alert: highest cash back card we’ve seen now has 0% intro APR until 2025

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.Christy Bieber has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Target. The Motley Fool has a disclosure policy.

“}]] Read More 

Storm cleanup can be costly and time consuming, but you don’t have to drop a fortune. Take a look at some ways to save. [[{“value”:”

It’s that time of year again, the most magical and wonderful time of year: storm season. Early summer is especially heinous for storms, since it’s when both tornado and hurricane season overlap, creating a ton of chaos for homeowners in areas where one or both occur.

This year, though, you can change the narrative and save yourself money on dreaded storm cleanup for years to come. Here are three moves to make this summer storm season after a storm strikes.

1. Call your insurance agent

Most people are downright afraid to call their insurance agent when something goes wrong because there’s a pervasive attitude that so much as a whisper of an issue will drive their rates up.

Well, I’ve got news for you — your rates are going up anyway due to the radical changes in the climate, so you might as well use your policy.

When a storm strikes, there’s a lot that your insurance company may cover, depending on what kind of policy you have. For example, a tree that falls on your house is generally covered, as are the repairs to your roof, even if you just have a basic home insurance policy.

Always call your agent first to see what is covered, what isn’t covered, and what it costs if you choose to use your policy. The $3,000 tree removal and the $2,000 roof repair might all be covered by your $1,000 deductible.

The same applies if that tree fell on your car instead — your car insurance may cover much of the damage. Check with your agent to check your coverages and even update them before you need to use them.

2. Save your storm supplies

For many people, storm supplies are items they buy, don’t use, and then toss out or use up after storm season is over. But tarps and plywood are good to keep on hand, just in case you do have a broken window or a leaky roof happen as a result of a bad storm. You can store them almost anywhere, even just leaned against the wall in the garage.

If you buy them once, you don’t need to buy them twice, even if you do use them. These are durable materials that can be used over and over again. Just handle them with care, and if you have to cut them to size, label them so you know where they were used last.

It’s not only important to have the right materials on hand before the storm hits, but it’s cheaper, too. Buying plywood when everyone else is rushing to do the same means you’ll almost always pay more and you risk not being able to find any at all.

3. Repair damage with storm-rated materials

I’m sorry to say this, I truly am, but these storms are only going to get worse as time goes on. I get it, I’m Tornado Alley–adjacent myself. I grew up here, I’ve seen how these storms have changed in intensity in the last several decades. Climate change is real.

We can give up and move away, or we can be better prepared for the next storm, which saves a ton of money on cleanup for the next one — and there’s always a next one. That means when we do our storm repairs, we don’t just phone it in with cheap materials, but actually invest in our homes to make them more resilient in the face of storms.

Materials like vinyl siding will blow off in a tornado, but fiber cement siding will hold steady in more aggressive wind conditions because it’s significantly heavier. It might cost a little extra this season to install, but not having to constantly replace cheaper siding is actually a way to save money in the long run on your cleanup.

The same goes for roofing, windows, or anything in your home that’s exposed to the elements.

Storms never really end, we just get breaks in between to rebuild

If you live in a storm-prone area, you know that storms never really end. Sure, there’s a calm window, but it’s really just that — a window. That’s why we need to think ahead when doing storm cleanup this year. There’s always going to be more, and the better we plan now, the cheaper next year will be.

Owning a home can be an expensive undertaking. But if you think about the hazards your home is likely to experience, keep materials around to help make those necessary temporary repairs, choose storm-rated materials for permanent repairs, and work with your insurance agent, you’ll be able to save some money this storm season and next.

Alert: highest cash back card we’ve seen now has 0% intro APR until 2025

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