In this week’s recap: A difficult week for stocks, reacting to delayed stimulus, little good news on COVID-19 treatment, and jobless claims. THE WEEK ON WALL STREET Stocks treaded water last week amid fading prospects for a stimulus bill, fears of a second wave of COVID-19 cases, and increasing political and regulatory pressures on Big Tech companies. The Dow Jones Industrial Average added just 0.07% while the Standard & Poor’s 500 eked out a gain of 0.19%. The Nasdaq Composite … [Read more...]
The Social Security Administration Announces 2021 COLA
What you should know about the most recent cost-of-living adjustment. On October 13, 2020, the Social Security Administration (SSA) officially announced that Social Security recipients will receive a 1.3 percent cost-of-living adjustment (COLA) for 2021. This adjustment will begin with benefits payable to more than 64 million Social Security beneficiaries in January 2021. Additionally, increased payments to more than 8 million Supplemental Security Income (SSI) beneficiaries will begin on … [Read more...]
October Is Financial Planning Month
Six areas of personal finance to review. When training to become a financial professional, much of our course work centers on the six critical areas of creating a financial strategy. Some recognize October as Financial Planning Month, so it's an excellent opportunity to review those six personal finance areas.1 Cash Management: This is a broad topic that can address many issues. One area is creating an emergency fund, which is money that's set aside for unplanned expenses. Cash management … [Read more...]
Annual Financial To-Do List
Things you can do for your future as the year unfolds. What financial, business, or life priorities do you need to address for the coming year? Now is an excellent time to think about the investing, saving, or budgeting methods you could employ toward specific objectives, from building your retirement fund to managing your taxes. You have plenty of choices. Here are a few ideas to consider: Can you contribute more to your retirement plans this year? In 2021, the contribution limit for a … [Read more...]
Dow 30 Changes Its Starting Lineup
What you should know about the change. The Dow Jones Industrial Average (DJIA), one of the most widely followed stock market indices, has made some key changes to its starting lineup. Salesforce.com, Amgen Inc., and Honeywell International Inc. have replaced Exxon Mobil Corp., Pfizer Inc., and Raytheon Technologies Corp. The change went into effect before the market opened on Monday, August 31.1 It’s important for investors to know that the changes took effect so they have a better … [Read more...]
The Fed’s Year-Long Review Expected in September
Changes may be on the way. As many of you know, the Federal Reserve's Open Market Committee has eight scheduled meetings each year when the seven board members review the nation's economic activity and set the federal funds rate's target rate. In this extraordinary year, the Fed may announce in September the results of its year-long policy review. The Fed's focus has been where Americans might expect: examining inflation and employment as the nation recovers from the volatility that … [Read more...]
What Is Earnings Season?
Financial results are reported each quarter. Every few months, you may hear the phrase “we’re entering earnings season” as you read financial news. But what exactly is “earnings season” and why is it important to Wall Street? Earnings season is the period of time when a majority of publicly traded companies release their quarterly financial reports. Companies often go into great detail about the forces that influenced their business for the prior three months, and some may provide … [Read more...]
Who Is Your Trusted Contact?
This vital investment account question should be answered sooner rather than later. Investment firms have a new client service requirement. They must now ask you if you would like to provide the name and information of a trusted contact.1 You do not have to supply this information, but it is encouraged. The request is made with your best interest in mind – and to lower the risk of someone crooked attempting to make investment decisions on your behalf.1 Why is setting up a trusted … [Read more...]
Retirement Plan Options for Small Businesses
The SECURE Act and CARES Act may complicate the decision. As a small-business owner, figuring out retirement choices can be a little intimidating. How do you pick the most appropriate retirement plan for your business as well as your employees? There are three main types of retirement plans for small businesses: SIMPLE-IRAs, SEP-IRAs, and 401(k)s. Read on below to learn more about each type of retirement plan. Also, keep in mind that recent legislative changes that occurred with the … [Read more...]
A Stock Market Lesson to Remember
Confidence can quickly erode, but it can also quickly emerge. Undeniably, spring 2020 has tried the patience of investors. An 11-year bull market ended. Key economic indicators went haywire. Household confidence was shaken. The Standard & Poor’s 500, the equity benchmark often used as shorthand for the broad stock market, settled at 2,237.40 on March 23, down 33.9% from a record close on February 19.1 On April 17, the S&P closed at 2,874.56. In less than a month, the index rallied … [Read more...]