Money Management

Sam’s Club has great indoor and outdoor furniture prices. Are you thinking about buying patio furniture at your local club? Here’s what you need to know. [[{“value”:”

Now that the weather is getting nicer, many people are sprucing up their outdoor spaces. In addition to cleaning up and gardening, you might consider upgrading your outdoor furniture. A comfortable and welcoming porch or patio area can encourage you to spend more time outside with your loved ones. If you’re a Sam’s Club member, you may be eyeing some of the furniture at your local club. But should you buy outdoor furniture at Sam’s Club? Let’s find out.

Here’s what shoppers think about Sam’s Club outdoor furniture

While I’m not a Sam’s Club member, I have previously been one. However, I don’t have personal experience buying outdoor furniture there. I primarily purchased groceries, household goods, and toiletries at Sam’s Club to help keep more money in the bank.

But I was curious if outdoor furniture from Sam’s Club is a good investment, so I took time to dig around online to see what other shoppers think. I read several reports of people getting their furniture at Sam’s Club and having it last many years, some even saying their furniture lasted well over a decade!

Members also raved about the prices they paid, saying the outdoor furniture they bought was affordable compared to the prices they found at other retailers. It’s good to know that most shoppers don’t feel like they overpaid for the furniture they got from Sam’s Club.

A writing colleague of mine, Christy Bieber, also likes her outdoor furniture from Sam’s Club. She’s found the prices competitive and says the furniture is durable and lasts. Because of her positive experience, she wrote about why she only buys patio furniture from Sam’s Club.

Are you thinking about buying some outdoor furniture from your local club? One thing to remember is that Sam’s Club has a generous return policy. Most products can be returned anytime if you’re unsatisfied with your purchase.

If you decide to buy new furniture for your patio and notice it’s not holding up well a few months later, you can contact Sam’s Club to initiate a return. This policy should help you feel confident buying pricier items like outdoor furniture.

Three tips for buying outdoor furniture at Sam’s Club

If you’re planning to take advantage of an outdoor furniture deal at Sam’s Club, the following tips may be helpful.

1. Check out the furniture in-club

If there’s a furniture set you’re considering, check to see if your local club has it on display. You can get a better idea of the quality of the furniture by visiting in person instead of ordering online without doing further research.

2. Read reviews

Another strategy to ensure you choose a high-quality furniture set from Sam’s Club is to read online reviews before you buy. You can check out the Sam’s Club website or mobile app reviews to see what other members think about their purchases.

3. Look for extra savings opportunities

You can get an even better deal on outdoor furniture if you shop during a sale, so pay attention to additional discount opportunities. If time is on your side, buying at the end of the season is an excellent way to save money. Sam’s Club typically discounts outdoor furniture after the summer ends.

Get the most out of your membership

If you’re a Sam’s Club member, ensure you get good value from your membership. Taking advantage of the available perks is a great way to get more for your money. Every dollar you save by shopping deals at Sam’s Club is a win for your checking account. But make sure you’re making buying decisions that align with your needs and goals and focus on quality purchases. For additional tips, check out our personal finance resources.

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A lot can happen when you go exploring, both wonderful and frustrating. Take a look at one way that relying on a basic economy ticket can leave you in a lurch. [[{“value”:”

Last week, I got home from a fantastic vacation to Mexico. My husband and I spent eight days split between Ciudad de Mexico and Tulum, and when I tell you it was a much-needed escape from the lingering grasp of Midwestern winter…whew, it felt good to be in the sun again.

I love to travel, but I’m also thrifty by nature, so I feel better about booking trips more often by seeking out lower-priced fares. This means I usually fly on a basic economy ticket. However, my husband and I each have an airline credit card with different airlines. These cobranded credit cards provide a range of benefits, including priority boarding and free checked bags, so we’re almost always able to find a flight at a low price that doesn’t feel like a rock-bottom fare.

I’ve never had any issues with this setup until our most recent trip, and it made me wish we’d paid up for the next fare tier.

When you need to change your flight

I really meant it when I said we had a fantastic trip — but it wasn’t perfect. Our flight from Ciudad de Mexico to Tulum was on a budget airline I’d never flown before, and I was a little nervous about its less-than-stellar reputation online. I didn’t have to wait long to experience the reputation myself, unfortunately, because our flight got canceled an hour before it was supposed to depart, which left us scrambling for a resolution and stuck at an airport more than an hour away from the city.

That’s a whole other saga, but the short story is: We spent the night at an airport hotel, boarded a new flight the next day, and were soon having tacos on the beach. However, we’d paid for an entire day at our hotel in Tulum that we weren’t able to enjoy, and the hotel wasn’t going to refund us that portion of our bill. The front desk did offer to shift our reservation a day later, though. That meant we’d just have to push out our return flight home a day later, and we’d be pretty much square.

But, but! That dang basic economy fare. Of the many benefits my cobranded airline card offers, being able to change or cancel a flight reservation is not one of them. So in the end, we flew home on our original itinerary, and we were out the cost of one night at a hotel.

Compare card and fare options

I’m grateful to say I’ve only ever had to deal with a canceled flight twice before, so my batting average is high. As a result, I don’t really consider that possibility when I book plane tickets because I’ve almost never needed to adjust my itinerary so significantly. But after this experience, it’s something I’m going to keep in mind for future trips.

If you’re comparing credit cards, look at all the features they offer and select the card that best fits your spending habits and desired use. If you’re a homebody, there’s not much sense getting a travel credit card. Similarly, if you love to cook, you might not get much out of a credit card for dining and restaurants.

When you’re booking plane tickets, it’s a good idea to compare the various fare levels before purchasing. If booking a higher-priced ticket would give you the peace of mind in case of any travel hiccups, then it can be well worth it.

Make sure you understand what’s included in your ticket, what benefits a cobranded credit card you use for the purchase offers to fill in the gaps, and what your rights are as an airline passenger in case things go haywire. Hopefully, these three things will be enough to ensure you have smooth travels, even if there are some bumps in the road.

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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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CDs are a popular investment option. Read on to see four things you should know about CDs before jumping in. [[{“value”:”

Certificates of deposit (CDs) have become popular among young investors as their interest rates have increased. It’s not difficult to find CD rates over 5.00% right now.

But CDs aren’t right for everyone. They can be restrictive compared to other investments, so young investors need to understand what happens when they open a CD to determine if this is the best option for their funds. Here are four basics you should know.

1. Your money will be locked away

You’ve probably noticed that CDs have term lengths attached to them. For example, you may have seen 12-month, 3-year, and 5-year CDs advertised online or marketed through your bank. This is because every CD has a specific time for which you agree to hand over your money and leave it locked away.

This is important to understand because the concept of a CD is that you give your money to a bank in exchange for a specific rate of return. Let’s say you put $2,000 into a 12-month CD with a 5.00% APY. If you take the money out six months early, you’ll be charged fees (see below), and your earnings will be about 2.50%.

For this reason, choose a CD term length that you feel comfortable with so you’re not tempted to take your investment out prematurely.

2. You’ll be penalized if you take the money out early

This part goes hand in hand with the CD terms, but it deserves its own section because young investors may not be familiar with CD fees. For terms less than 24 months, banks generally charge 90 days of simple interest on the amount you withdraw early. CDs with terms longer than 24 months usually have a penalty fee of 180 days of simple interest.

Let’s say you open a 3-year CD that pays 5.00% and put $5,000 into it. But after one year, you decide you need the money and take it all out. In this scenario, you could be charged about $122 in fees.

To avoid this, don’t put any money into a CD you need for upcoming expenses or an emergency fund.

3. You’ll get a fixed interest rate

One of the great things about CDs is that the interest rate is fixed. As long as you don’t take your money out early, your money will earn the rate you’re quoted.

This is especially good news right now because you can find CDs that pay 5.00% or even higher. But not all will. The average APY on a 12-month CD is just 1.74%.

Your bank may not be the best place to buy a high-yield CD. Instead, comparison shop online to get the best yield rates. Putting $3,000 into a 2-year CD with a 5.00% APY could earn you more than $307 in interest, while investing the same amount over the same period with a 1.76% APY will earn you just $106.

4. You’ll owe taxes

Young investors may not know that any interest you earn could be subject to taxes. And CDs are no exception.

CDs are taxed just like income, and at tax time, you’ll receive a 1099-INT from the bank reporting the interest you’ve earned.

This is important to consider when deciding how much money to put into a CD: the interest rate, and your tax bracket. If the interest earned from a CD pushes you into a higher tax bracket, you may want to reconsider your options.

Understanding these CD basics should help young investors find the right one for them. Or, they may decide it’s not the right place for their money. While CDs can be an excellent place to grow your money, other alternatives — like high-yield savings accounts — offer similar benefits without tying up your cash.

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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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People who spend a lot at Costco may actually benefit from a membership upgrade. Here’s how to tell if you’re one of them. [[{“value”:”

Costco is known as being great for your budget thanks to its awesome deals. But those deals aren’t available to just anyone. You need to be a Costco member to shop there.

There are two tiers of personal Costco membership:

Gold Star: $60/yearExecutive: $120/year

If you don’t have an Executive membership, you likely get asked about upgrading each time you check out. Even if you have a membership, you may get regular emails about how great it is to renew.

But do you really need an Executive membership? More importantly, is it worth the upgrade? The easiest way to get the answer to these questions is by answering a different one.

Is your average monthly Costco spend at least $250?

Other than some ambiguous “service discounts,” the selling point of an Executive upgrade is that you’ll get 2% back on your in-store purchases. This comes in the form of an annual Costco Reward that pays out once a year.

So, for the upgrade to make sense, you need to get at least $60 back from your Reward each year. Otherwise, what are you paying for?!

Here’s what 2% back looks like in real terms:

You’d need to spend an average of $250 a month — or $3,000 a year — at Costco for you to break even on your Executive upgrade. If you can’t meet that bottom limit, you’re losing money. Unless you’re going to increase your spending, you should downgrade your membership.

On the plus side, Costco should refund you the difference between your Reward and the cost of the upgrade when you downgrade to a Gold Star membership, or refund you the cost of membership (minus the Reward) if you cancel entirely.

If no: Are you saving at least $60 a year?

Folks who realize an Executive membership isn’t worth the cost may have a second question to answer: Should you cancel altogether?

I’m definitely not saying you should cancel your Costco membership if you don’t spend $250 a month. You can easily get back your $60 Gold Star membership fee back in savings spending far less than that.

However, you should crunch the numbers and make sure you are getting your fee back in savings. If you’re giving more money to Costco than you’re getting back in deals and discounts, you’re playing the game wrong.

Ways people save money at Costco

Not sure how to decide if your membership is worth the cost? Here are a few ways you could be saving at Costco:

Switching to Kirkland Signature: A big way a lot of folks save money at Costco is by switching from name brands to Costco’s store brand. A lot of the Kirkland Signature products are still high quality, but you’re paying much less per-unit than you would for name-brand packaging.Deals on name brands: Costco’s house brand is great, but the warehouse club also offers tons of name brand products, including electronics, appliances, and clothing. Catching a good deal on a big-ticket item could easily make up for your membership fee.Discounted gift cards: Costco sells discounted gift cards for up to 25% off. You can save on popular retailers, restaurants, and even on travel.

And these are just the tip of the Costco savings iceberg. There’s also Costco Travel, pharmacy discounts, the Tire Center, and so much more.

A Costco Executive membership is really for those folks who spend a ton at Costco every year. But you don’t need to be a big spender for a regular Gold Star membership to make sense. Crunch your own numbers before joining and/or renewing to make sure you’re investing wisely.

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.Brittney Myers 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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CDs can help you lock in high interest rates, but they have their drawbacks, too. See why I prefer to keep my cash in a savings account. [[{“value”:”

Sky-high interest rates on savings accounts and certificates of deposit (CDs) are one of the few upsides to the high inflation we’ve been dealing with over the last few years. But as inflation cools, many expect bank account interest rates to fall soon.

Some see that as a sign to stash their cash in a CD, which locks in your interest rate for months or even years. But I prefer to keep my cash in a savings account, even if I might not earn as much going forward. Here’s why.

Why I prefer savings accounts to CDs

Both savings accounts and CDs pay interest on your savings, and right now, the best accounts of both types pay around 5% annual percentage yield (APY). But savings accounts and CDs have some key differences that could affect their usefulness for you.

CDs offer a guaranteed interest rate for the full CD term. This is a benefit in falling-rate environments, like the one we’re expecting to see later this year. You lock in a high rate now, and you could potentially earn more over that term than you could with a savings account, which could see its interest rate fall over that time.

Say you have $10,000 and you put it in a 1-year CD with a 5% APY. Your final balance would be about $10,512. You could also put your $10,000 in a savings account with a 5% APY. But let’s imagine the 5% interest rate drops after three months to 3% APY. Then, your final balance after a year would only be about $10,356 — $156 less than you could’ve gotten with a CD over the same timeframe.

But savings accounts have one big advantage over CDs: accessibility. You can withdraw your savings account funds whenever you’d like, but CDs require you to leave your cash alone for the entire CD term. Early withdrawals lead to penalties equal to several months of interest payments. Though rare, it’s even possible to lose some of your principal if you take money out of your CD shortly after opening it.

I prefer having easy access to my cash, especially my emergency savings. For that reason, I keep my money in a savings account, even if it means I could wind up with less interest than I’d earn with a CD. But you may want to make a different call.

Which type of account is right for you?

Whether you go with a savings account or a CD is largely down to personal preference, but there are a few times you may want to choose one over the other. Emergency savings and money you plan to spend within the next few months are best kept in a savings account. You’ll be able to withdraw this money as needed without fear of any early withdrawal penalties.

CDs could be a better fit for funds you don’t plan to spend for years, particularly if you want to remove the temptation to spend that cash. Knowing you could cost yourself by doing so might be the extra push you need to leave your savings alone.

No matter which account you choose, finding a competitive APY is important. But dig deeper than this. For savings accounts, check if it has maintenance fees and learn about your options for depositing and withdrawing money.

For CDs, consider the term length that you’re most comfortable with. Use this to narrow your search, then focus on the banks that offer the best CD rates for those terms. If you’re leery of early withdrawal penalties, you could look for a CD that doesn’t have them. But these are rare, and they sometimes have lower interest rates than traditional CDs do.

It doesn’t hurt to evaluate a bank’s online and mobile tools as well as its customer service before opening an account. It’s possible to change banks after you’ve opened an account, but it can be a hassle. You can save yourself a major headache by choosing your bank and account type carefully from the beginning.

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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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