Author: Jennifer Brazer

Recent legislation changes provide a transition to a new model of interaction between developers and equity holders – project financing of construction. The changes made make the bank a guarantee that home buyers will receive their square meters. And for developers, innovations have added several difficulties.

Developers will be able to continue to attract money from private investors, while you will make all payments according to the new scheme. You will not transfer investors’ money directly to the developers’ accounts but to a particular escrow account. In 2019, developers can work on the project using their credit or investment funds. In the latter case, investors lose and cannot withdraw the money invested in the task ahead of schedule.

In 2018, the market for new buildings was being transferred from equity to project financing. To approve the loan, the bank examines the project’s parameters for compliance with the established requirements. The developer has the right to use both own and credit funds for construction. While financing the construction, the bank controls expenses to exclude misuse of funds. 

Project Financing of Housing Construction

Project financing is designed to provide the developer’s costs up to 85% of the project budget. The loan amount depends on the financing scheme and is determined based on the assessment results of the project’s financial model. The bank will offer various financing structures, considering the legal requirements applicable to the facility, depending on the date of the construction permit. Financing is possible for up to 8 years. The transition to project finance for construction has impacted accounting – working with escrow accounts differs from accounting for operations with ordinary bank accounts. The account is opened upon acquiring real estate, shares, services, and functions.

Project Finance Requirements

Construction project financing is intended to strengthen the existing real estate market, leaving only strong players in it. Smaller players are likely to leave the market as it is more difficult for them to get funding or credit. When trying to obtain permission to build an object within the framework of project financing, you must meet several requirements:

1. According to the available project documentation, the company must have at least 10% of the total cost of the facility under construction.
2. The developer must confirm the availability of the specified amount of funds in his current account. You must submit appropriate supporting documents and the project declaration to the territorial authority.
3. The developer shall not issue any securities other than shares.
4. The company must have no current delinquencies on targeted loans and credits.
5. You must not use the developer’s property to fulfill obligations to third parties.
6. The developer should not engage in other activities other than construction.

System Disadvantages

Despite the apparent advantages, the system has a significant drawback. So far, almost no one knows how to use it. The top reasons include:

• Poor financial and engineering design of the project
• An incomplete package of documents
• A lack of the developer’s capital
• A lack of reputation in the market

90% of regional developers have no experience attracting project financing or credit history. As a result, banks do not approve almost 40% of applications. It means that the developer cannot receive funds for implementing his project and either stops construction or builds according to the most budgetary scheme. This situation may significantly reduce construction volumes and increase housing prices, especially in the regions.

Mortgage

Now, mortgages in the field of individual housing construction are poorly developed. The share of mortgage transactions in this segment is less than 4%. You can get a traditional mortgage to purchase and construct private houses in several large banks. The main reasons for the low share of mortgages in individual housing construction are the high risks of building in progress, the difficulty of assessing collateral during the construction phase, and, as a result, the lack of a single loan product for such houses. Mortgages for the construction and purchase of a home you can issue today within the framework of several state programs.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

It’s not easy being a parent. The most pressing problem for new parents is how to handle their own money because of the birth of a child. They have a lot to think about before their baby arrives.

Reduce Your Debts

First and foremost, you must reduce unneeded debt such as credit card balances and personal loans. Eliminating high-interest accounts can benefit parents because they will have more income and will not have to give up their savings. Paying more than the minimum on your credit card debt is also good. Credit counseling services can assist you in developing a payment plan that allows you to balance your resources if you need assistance arranging your finances.

Create a Budget

According to MSNBC, one of the most efficient techniques for finding balance is to create a budget before the baby arrives. Begin by making a list of your highest costs. Rent or mortgage, energy, water, telephone, food, and gasoline are a few examples. List additional expenses, such as entertainment, hairstyling, and outing attire. Try to eliminate any unnecessary costs from the list of other expenses. If you can’t get rid of them, try to minimize them.

Save for Emergencies

When you’re having a baby, making an emergency plan is also a good idea because you never know when you’ll need money for anything unexpected. Try to set aside 2% to 5% of your monthly income in an account you won’t touch regularly.

Do Not Get Carried Away by Fashion Trends

What mother doesn’t want to see her child dressed in the cutest clothes and playing with the cutest toys? Although designer clothes and trendy toys appeal to her, she understands that her baby will increase and won’t be able to wear them for long. Toys are the same way; youngsters don’t keep the same toys for very long. Avoid buying too much clothing at budget stores such as Target, Babies R US, and Walmart. You can also get clothes and toys for your baby at your baby shower. Tell her friends what she requires so she can obtain it rather than having to purchase it.

Life is Expensive

Isn’t this self-evident? Perhaps not for a child. When you take the youngster to the store with you, he immediately understands that food, drinks, and clothes cost money, but paying rent, water, and power bills and purchasing gasoline are usually concepts he has trouble grasping. Don’t allow your children to take these things for granted.

In a recent story for the New York Times, personal finance journalist Ron Lieber described how he once took home his whole income in hundred-dollar bills. Then he separated the accounts into heaps and explained where each went to the kids. In other words, he displayed the family’s finances. And the kids could see for themselves how little money was left over from the salary.

• Better to work smarter than harder
• This morality can be difficult to comprehend because the work ethic is ingrained in us culturally. As a result, it is preferable to instruct a teenager.
• Most Estonians work 8-10 hours daily, yet wages vary substantially. The additional value created at various workplaces, i.e., performance, varies. What caused that to happen?
• Children have a hard time explaining this. They must demonstrate that it is sometimes worthwhile to spend time planning and preparing for work to accomplish equivalent results sooner and with less effort.
• Experience brings more happiness than things.

Daniel Gilbert, Elizabeth Dunn, and Timothy Wilson surveyed US citizens. He published the results in an article titled “If Money Doesn’t Make You Happy, You’re Probably Spending It Wrong” (also known as “If Money Doesn’t Make You Happy, You’re Probably Spending It Right” on the Internet). The article’s writers concluded that buying experiences rather than things makes individuals happier. It isn’t a guess; it’s a verified truth.

We become used to things rapidly – the scent of a new automobile fades quickly, and an exotic trip is recalled in vivid colors for a long time. Children should be taught that saving money for a trip is preferable to buying a toy that would bore them in days or weeks.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

You decide to sell the car and set the market price. It is challenging because everyone analyzes cars differently, and no consistent system is in place. The next-door neighbor will begin to persuade you that such a swallow should be sold for more money. Other resellers will claim they are genuinely doing you a favor by picking up such “waste” for a symbolic amount. We’ll tell you the truth about the available ways of analyzing a car and its features so you don’t have to travel through 9 circles of hell on Earth.

Notice Boards

The most popular method is bulletin boards, although even pros find it challenging. Most proposals show the intended pricing rather than the actual sales prices before the “at the hood” bidding, usually 5-10%. Also, keep in mind that there are a lot of shady offers on the Internet. Furthermore, unprepared car owners are vulnerable to problems that few people consider.

One of the most challenging blunders is limiting the search for similar advertising. When evaluating a car, you examine the boards through the eyes of the seller, analyzing the offers that are the most like your vehicle. On the other hand, Buyers take a different approach to the boards. According to TNS, an international research firm, 67% of consumers are undecided about the car they want to buy.

Check out what else is available in the same price range, what other companies have to offer, and even the years of production. For example, someone might look at all sedans for up to $50,000, compare three brands, and buy a car only based on “mechanics” without regard for the brand. As a result, if you want to know the price correctly, put yourself in the buyer’s shoes and don’t limit your price research to the clearest filter.

Another issue is objectively comparing a car to usual market offerings to determine whether it should cost more, the same, or less. For example, you believe your vehicle is flawless: it has always been serviced by an authorized dealer, has a mileage of up to 100,000 miles, and has only been in one minor accident covered by insurance. You look at the bulletin board, acquire a list of analogs, and get your first shock. Due to unethical vendors, it turns out that your car has the most excellent mileage on the market. Alternatively, some of the cheapest advertisements claim the vehicles are in the same flawless condition as yours. Of course, you may pretend to be a potential buyer and call ads from the lower, medium, and high-price segments to understand how they differ from your car.

Official Dealer

People go to an authorized dealer to buy a new car, not to appraise an old one. If this is your tale, you can visit various dealerships, exhibit the automobile, and get forgiveness offers. Appropriately, you can estimate the cost of an urgent automobile purchase in one day and negotiate with the dealer or inquire about a new car discount. People go to an authorized dealer to buy a new car, not to appraise an old one. If this is your tale, you can visit various dealerships, exhibit the automobile, and get forgiveness offers. You can estimate the cost of an urgent automobile purchase in one day, negotiate with the dealer, or inquire about a new car discount. The math is straightforward: market price minus value equals the dealer’s offer. The discount amount is subject to change. Because dealers assess the cumulative margin from the sale and purchase of the vehicle, the dealer’s discount from the market price is lower when a car is traded in than when purchased separately. It is 10-20% of the market price for popular vehicles. When selling a high-profile brand while buying a new car through a trade-in, the minimum discount will apply when selling a non-core brand without purchasing a replacement vehicle.

Independent Expertise

If you want it right away, it will take a long time and cost a lot of money. The cost of an appraisal varies from $1,500 to $5,000, depending on the appraisal company; some may charge an additional price for an official written opinion signed by a certified appraiser. Writing such a conclusion takes around 3 to 5 days.

Independent expertise is conservative and is typically required for tax, court, insurance, banks, and tenders. Chartered appraisers employ specialized techniques while adhering to legal guidelines. Even with literature, understanding the computations and applied coefficients is quite tricky.

Online Calculator

The quickest and most convenient way to assess a vehicle; however, there are several hazards. There is still no widely recognized and trustworthy service in America to whom you may turn for reliable information. Instead, many companies on the Internet have online calculators embedded in their pages. Many work merely to drive attention to the site by providing fake news and breaking advertising regulations so that you can contact not everyone.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Those who can earn money and handle it logically find happiness and success in life. As a result, it would be advantageous to instill a positive attitude about money in children early.

Should You Give Pocket Money to Children?

 Arguments for:

When they buy trinkets that are meaningful to them or something tasty, the child does not feel degraded in front of other children.

• Properly managing pocket money from childhood provides experience in developing a personal budget and prepares for future financial responsibility.
• A child’s lack of pocket money can lead to an unfavorable attitude toward their parents.

Arguments against:

The family will incur some loss because the children still do not understand how to use money rationally. As a result, it is more financially advantageous for parents to purchase everything a child requires.

• If the child does not have a financial constraint, he will be unaware of the price.

Learn to Value Money

Initially, children are given pocket money in this manner. However, as a child grows older, it becomes increasingly crucial to understand that funding is not a given but rather an opportunity that is primarily dependent on the child himself.

You can use earnings to pay for household assistance, but only if it goes beyond children’s expectations. Your pupil, for example, may begin each week with a zero balance and earn pocket money by the weekend. Cleaning their room is not compensated, but if the youngster organizes the kitchen or bathroom, he will be compensated with an additional $20-30. Another alternative is to pay extra for higher grades than the agreed-upon grade.

Give Money Regularly

Giving pocket money weekly or even monthly (in the case of teenagers) is one of the most acceptable ways to teach budgeting. Naturally, it would help if you got to this point only after you’ve figured out the structure of your spending and learned to divide it into mandatory and optional categories.

After receiving a certain amount for the week, the student must prioritize autonomously, allocating the funds so there is enough for fundamental needs, such as purchasing a transport card, paying for school lunches, and modest pleasures.

Discuss Financial Matters

Most parents avoid discussing money with their children. However, because of this, individuals may believe that money is a negative and shameful thing.

Children will not grasp what and how much it costs if you never talk about money with them and will always want more and more new items from you. Please do not assume that your child is too young to understand money; you can begin teaching them about money at a young age. Preschoolers and children aged 10 to 12 can grasp fundamental financial concepts and accept responsibility for purchasing some household items or products.

Give Money Consciously

Giving a tiny amount with a strict condition is just as dangerous as giving money without an account. In all circumstances, the youngster has a slim possibility of estimating their own needs autonomously. Furthermore, there is no compelling reason to prioritize these needs. After all, the funds’ objective is either too narrowly defined (there isn’t enough money for anything else than a “bun”) or too broad (relatively speaking, enough for everything).

Encourage Children’s Savings

Assist your youngster in turning their dreams into attainable financial objectives. Money isn’t always enough to satisfy one’s desires. He must learn to decide – to give up the unnecessary in favor of something more worthwhile. For example, instead of buying chocolates daily, treat yourself to a new toy at the end of the month.

Some parents mistakenly give their children a present before they know what they desire. As a result, their child has no bonus to dream of or financial objectives because he has already purchased everything.

Trust Your Kids to Buy

Play “picky shopper” with your child, comparing the ripeness of fruits, the freshness of vegetables, the weight of yogurts, and the composition of cakes in different supermarkets. Demonstrate how similar items can be priced differently and how to buy good products at the best price.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

This article will discuss ten good reasons to convince you to save money in your 20s.

Reason # 1: Building Wealth is Correlated to Your Saving Rate

Simply put, building one trade center of your wealth depends on your tendency to save. You don’t increase your primary income here; you make wealth by eliminating a few bad attributes and saving a fortune. Therefore, becoming more efficient with money has a lot to do with our future.

Personal savings are a financial conservation and efficient part of the money equation that is in your control and guarantees a successful result. The biggest reason to save is to overcome financial crises and achieve financial independence because wealth is built by accumulated leftovers. If you start saving in your 20s, imagine the wealth you will create in the succeeding years if you commit to it.

Reason # 2: The Value of Wealth is Reciprocal to Your Needs

Suppose your income is comparatively higher than ours. But we are more efficient with managing money. For instance, we only need half the funds to lead a happy life. On the other hand, your lifestyle compounds as fast as your assets. However, we are better than you are. Therefore, the need to practice living happily with less money develops a gap between your current essentials and what you want.

A high savings rate is relative to lower expenses. Therefore, this financial equation offers an excellent opportunity to attain financial independence in the years after 20.

Reason # 3: Saving Filtrates Ego

When we earn a good income, our narrative tends to overspend to impress people. Spending beyond our means reflects our ego surpassing our income and, hence, a bleak future. One of the best reasons and a meaningful way to increase savings is to raise your humility.

Reason # 4: Savings Enhances Our Psychological Narrative

Our behavior with money is interrelated to our psychological relationship with it. How we treat our money in our 20s, 30s, and 40s interprets the comfort level of our retirement. By saving, we prepare for a better and healthier future. You can buy a luxurious lifestyle if you treat your finances well in your 20s. Savings empower you to create an independent and debt-free life.

Reason # 5: Saving is a Hedge Against Life’s Inevitable Capability to Surprise You

People get into financial difficulties because they are overconfident and ignore the possibility of it happening. You break the chain when you save for unplanned expenses, such as growing interest in monthly installments or unforeseen medical concerns. Emergencies arise without warning, so set aside a savings account in your budget, even if it’s only $15. Furthermore, if you suffer from overspending, you can automate your savings. You will send a portion of your monthly payment directly into your account. Take the initial step, and you’ll gain confidence and financial success.

Reason # 6: It Teaches a Mindfulness Journey

 Regardless, buying more mindfully offers various ways to start this significant mindfulness journey. To begin, make a list and shop carefully. Then, to avoid impulse purchases, remind yourself of your monthly target regularly. You’ve got this! These are the steps to take if you wish to save money.

Reason # 7: Saving Demonstrates the Value of Money

Starting to save in your 20s will teach you how important it is to spend your money intelligently. Then, with the money saved, you can buy your own home, offer a comfortable lifestyle for your family, buy a new automobile, and so much more!

Reason # 8: It Provides Your Children With an Intellectual Framework

Financial management skills are among the most important things young parents can teach their children. By being good with your money at a young age, you can demonstrate to your children the importance of starting early, saving, and living a well-organized life.

Reason # 9: Independent Retirement Life

You can relish financial freedom and not rely on anybody else to cover your costs. Investing money in your 20s with a reputable investment firm is wise. You will have amassed a substantial chunk of wealth by retiring.

Reason # 10: Sign Up For a Bright Future

Life only becomes more convenient if you start saving in your twenties. Developing a habit today will assist you in the future when you want to make significant life decisions like wedding plans or buying a home.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Studies have shown that people who retire from proactive careers suffer from depression due to unplanned retirement. However, retirement is a golden opportunity to revive long-delayed and unachieved inclinations. Regardless, your motto for retirement must be ‘Be mentally and physically productive’; this way, you will attain and enjoy a successful retirement. 

Wisdom and experience come with age, so we clearly discover specific goals in our retirement phase; that’s an excellent prospect for fulfilling our commitments.

Strike on Your Buried Talent

You can be ready to retire with sufficient balance in the bank, claim Social Security benefits, and have a creative plan but aren’t willing to give up work. It is where the problem lies. Since the early years, leading a vigorous working life has become a lifestyle, and it’s hard to break the chain and feel satisfied with the retirement phase. In addition, our jobs granted us money, and as a result, we could afford the necessities of life. But, for the passionate masses, jobs were beyond paychecks. Their careers translated to higher achievements and more significant challenges that made them respectable and reputable and gave them an identity. Moreover, their achievements helped them in finding their role in society.

Moreover, In America, citizens usually measure the value of people by their title and work. However, soon after these respectable workers retire, they go through an identity crisis; they feel they have lost a chunk of their identity. Retirement tampered with their image.

This unpleasant circumstance can occur if you don’t plan your retirement phase wisely. Discover a deep longing desire you couldn’t fulfill in your early years due to a stack of responsibilities. Do that now; treat retirement as a good fortune to bring those talents to life, be it painting, social work, writing, or anything you prefer.

Build the Retirement Nest Egg Farsighted

Your thinking paradigm about money and how well you treat it in your late 20s, 30s, or 40s determines the level of comfortable lifestyle you can afford when you retire. 

However, a wise individual in his 30s would commence saving for retirement; this way, you will reach a hefty sum of money sufficient to pay for a relaxed retirement. 

Furthermore, assess your current financial standing and ask yourself, are you willing to retire? You cannot expect retirement nirvana to be a happy life without problems. You must adjust your lifestyle according to your social security benefits and pension.

Tip: if you find yourself financially unstable at 62, work hard until 70. In short, postpone your Social Security benefits. Why? If you delay your retirement, you will also receive multiplied benefits and a bonus. Moreover, if you have already claimed it, ask your wife if she’s a working woman to delay it; this way, you can enjoy a higher reward, which will be a significant financial help to you.

Train Your Mind for Retirement

Many retirees undergo dramatic financial change and have no idea how to deal with it. For instance, you earned a significant amount one day and relied on social security benefits and pension checks the other day. As a result, you eliminate the factor of occasional improvement, bonuses, and raises. This emotional jolt of squandering financial Security can result in significant economic differences from working to retirement life.

You must conduct comprehensive research on how to adapt to the new beginning and maximize it quickly. It can be a good chance for working couples to spend valuable time together and enjoy the missed moments owing to demanding work.

Apply for a 401(K)-Retirement Program

This program is a company-sponsored retirement account allocated to devoted employees. It allows them to save a proportion of their pre-tax salary and automatically transfer it to the account.

Moreover, these funds are utilized by investing in diversified assets to ensure a higher return.

Are You Excited About the Last Quarter?

In a football game, the last quarter is usually the most interesting. It’s the same with retirement. It is a unique chance to accumulate their best ambition and pursue it without thinking much. Though it isn’t an ideal fantasy world where you can afford a luxurious villa and vacation, it can be possible, but retirement is just a sign of aging for a reality check. Nothing more than that. You ought to maintain your physical fitness and discover your inner skills, which you may not be able to do due to the hustle and bustle of life.

Furthermore, claim health insurance for any medical illness’s unforeseen occurrence. About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Where Can I View My Student Debt?

Did you know that in 2008 the average student debt among students was $12,000? Eight years later, this is already an amount of $15,000. This amount will increase further due to the abolition of the basic grant.

How is My Student Debt Built Up?

HBO and WO: Under the new system, your student debt is made up of the following four components:

• A loan
• The student travel product (student public transport)
• The supplementary grant
• And the tuition credit

The supplementary grant is different for everyone. This depends on the income of your parents.

When dDoI Have to Pay Off My Student Debt?

Fortunately, you do not have to pay off your student debt immediately after graduating. Have you graduated? Then you must stop and manage your daily finances yourself. The start-up phase starts on January 1 to the following year. This phase lasts two years. After this period, you must begin paying off your student debt every month.

• Example: did you graduate in September 2016? Then, the start-up phase started on January 1, 2017. 
• How long do you have to pay off:  
  • Before 2012: 15 years or longer if you choose not to include your partner
  • Between 2012 and 2017: maximum of 15 years
  • From 2018: maximum 35 years

You may have received/graduated student grants under both the old and the new system. Is this the case with you? Only then can you decide whether you want to pay off your student debt under the old or unique plan.

When Will My Student Debt be Converted into a Gift?

It will convert your student debt into a gift if you obtain your diploma within the agreed term (part of).

Under the new system, you can convert the supplementary grant and the student travel product into a gift. To do this, you must have obtained your diploma within ten years. The number of years converted into a gift depends on the value of your diploma.

Under the old system, you can convert the basic grant, the supplementary grant, and the student travel product into a gift. This condition is that you have obtained your diploma within ten years. Also, it depends on the value of your diploma and how many years of your student grant are converted into a gift.

Obtaining your diploma is automatically passed on to DUO. The part of your student debt converted into a gift is entered in January of the following year. You will then receive a refund of any overpaid amount from this month.

How Much Student Debt Do I Have to Repay Per Month?

The monthly amount that you must repay each month depends on several factors, including the amount of your debt and the interest rate expectation. DUO also looks at the level of your income and ability to pay and, on that basis, determines what a reasonable amount is to repay. Do you earn more? Then, you also pay off a higher amount.

The income can only ensure that the total monthly amount decreases; the amount will not increase due to your income level. You can check the approximate monthly amount on the DUO website.

There are several situations where the monthly amount can increase: 

• The newly determined interest rate is higher than the previous interest rate
• You choose to pay off more (and therefore faster)

You can also reduce the monthly amount. For example, in the following cases:

• The interest rate is lower than before
• An extra repayment by you, which reduces the total amount and therefore also reduces the monthly amount
• Your income has decreased and is included in the calculation for the monthly amount so that it also decreases

Do you have a partner?

In that case, your partner’s income is also included in calculating the monthly amount and your repayment period. Notify DUO if you have a partner so that they can calculate the correct amounts for you.

Are you praying according to the pre-2012 refund rules? Then you can choose to disregard your partner. For example, do you decide not to include your partner’s income in this calculation for three months? Then the total length of your repayment period will be 15 years and three months.

How Does Interest Work for Student Debt?

In addition to calculating interest on your student debt, compound interest is also used. This means that you also pay interest on the claim. The level of your interest rate depends on the last year you received student finance and is determined again each year in which you still receive student finance. The interest rate is predetermined every five years if you are no longer entitled to student finance.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

A Bond is a Loan of Sorts

A bondholder loans money to an individual or business entity (the issuer) and receives interest on that loan until the bond matures. At that point, the issuer repays its debt, which includes principal and interest, to the investor.

A bondholder must be willing to take certain risks to earn this return on investment. Suppose a loan default or some other adverse event occurs concerning the issuer’s ability or intent to repay its loans or even just a decline in revenues due to bad economic conditions. In that case, investors holding bonds from that company or government entity could lose money.

Bonds are Often Less Risky than Stocks

Stocks and bonds are two types of investment vehicles that you can use to build your wealth. Stocks provide a share in the ownership of a company, while bonds are IOUs from companies or governments that pay interest and principal back to you over time. Both offer different levels of risk and reward, but one thing is sure: Bonds tend to be safer than stocks in terms of performance. While there is always the chance that your stock will lose value, the possibility of losing money on a bond is much less likely unless it defaults. 

Furthermore, bonds tend to be more predictable because they have fixed maturity dates when they pay out their face value to investors at maturity instead of fluctuating with market conditions as stocks do.

Bonds are One of Three Ways for Investors to Own a Share in Companies

Stocks, bonds, and cash are the three main ways investors own company shares. Stocks are shares of ownership in a company; bonds are loans made to a company; and cash is money sitting in your bank account.

Bonds have several advantages over stocks: they are less volatile than stocks. They offer higher yields on average, meaning you get paid more interest on them than you would on most other investments like CDs or savings accounts.

Diversifying Your Investments Can Help Mitigate Risk

When you invest in a single asset class, you take on more risk than if you diversify by investing in several different asset classes. While diversification is not guaranteed to always work, it can effectively mitigate some risks associated with investing in just one type of security.

Diversifying also allows investors to gain exposure to different types of assets with varying levels of volatility, which helps them manage their portfolio’s overall risk profile and achieve their investment objectives over time.

Most bonds fall into two categories: government bonds and corporate bonds. Corporate bonds are backed by the company that issues them, while government bonds are endowed by their respective governments. While there’s a lot of overlap between the two categories, there are some crucial differences you should be aware of before investing in either type of bond.

Some corporate bonds are also available through banks, but most investors buy them through mutual funds or exchange-traded funds (ETFs). The yield can vary widely depending on factors like maturity date and interest rate structure, so it pays to know what you’re getting into before committing any money.

You can Purchase Bonds Through the U.S. Treasury and From Major Brokerage Firms

This online service lets you buy and sell individual treasury securities in denominations as small as $50 per bond up to $100,000 per transaction (subject to certain restrictions). You do not have to own an account with a broker or bank to buy bonds through this method; however, if you want to transfer funds from another institution into your account at Treasury Direct for purchasing purposes, then that would require opening an account there first (or link your existing account).

Bonds Offer Stable, Predictable Returns and Aren’t as Complicated as Stocks

Bonds are a great way to invest for the long term. They aren’t as risky as stocks and offer stable, predictable returns. Bonds can be an excellent way to diversify your portfolio and are an easy way to protect yourself against volatility in the stock market.

When you buy bonds, you do so through an investment broker or financial advisor. You can also purchase them directly from companies selling bonds (called “directly-issued” bonds).

Conclusion

The most important takeaway is that bonds are not as complicated as stocks. They’re simpler because they share some of the same characteristics, such as maturity date and coupon rate. But there are also a lot of nuances that make them unique and exciting investments. If you have questions about how to get started investing in bonds, we can help you out! About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

The U.S. is witnessing a significant increase in identity theft. It has now become prevalent. The Federal Trade Commission received 1.4 million complaints of identity theft from consumers. In addition, the purpose behind committing such an act is to impersonate you and accomplish their criminal objectives. Still, for instance, your credit card details, social security number, taxpayer, medical, account identity theft, etc.

Why is Identity Protection Important?

Every day, we are likely exposed to this heinous crime that has resulted in the terrible lives of many innocent citizens. The cybercrime rate has tremendously increased due to social media platforms where people frequently share about themselves. This element has allowed identity thieves to collect information on a person with a few clicks.

Protecting your identity creates a barrier and limits access to your sensitive information. According to authentic resources, Identity theft negatively impacts tens of millions of people in the U.S. annually. The number is quite surprising and alarming enough to convince you to protect your identity; otherwise, you may be counted among the tens of millions of U.S citizens. Furthermore, due to damaged reputation, police interaction, or other crimes, identity theft results in unemployment. You may not know what criminal activity your personal and financial information is being used for. Cybercriminals are hungry for such information. So, watch out.

The Risks of Not Protecting Your Identity

Let me give you a spoiler: this activity is much worse than you think; you cannot assess the intention of a cyber-criminal. Every day in the news, we are enlightened regarding the innovative and intelligent ways that criminals conduct to steal your personal information. In worst cases, Dark web hackers can hack it. Let’s unveil the profound and life-changing consequences if you fail to maintain identity protection.

According to the Federal Trade Commission, 2021 was the worst year for identity theft. More than 5.7 million Americans were victims of identity theft and fraud, suffering losses in the billions.

Bear in mind that identity theft is not solely related to financial losses. Still, once the criminals achieve your sensitive data, they can badly influence your reputation and career opportunities, damage your credit history, and associate you with a criminal record. And the aftermath depends on the severity of the act, which could take years to recover.

Steps to Take to Protect Your Identity

We are done with learning what identity theft is and what its consequences are. Now, the critical question you must be wondering is how to dodge this heinous crime in the presence of social media and other platforms where you are obliged to provide your personal information such as bank accounts, emails, etc. Though the date might be encrypted, however, it does not entirely eradicate the occurrence of stealing your identity.

As more of our lives move online, it’s essential to protect our identities. Here are a few things you can do to safeguard your personal information. These simple steps can help protect your identity and keep your data safe.

• Make use of a secure password. Use strong passwords for all your online accounts, and never reuse passwords.
• Check your credit card statements frequently.
• Don’t click on links or open attachments from unknown senders.
• Be cautious about your online posts, and consider making your social media accounts private.
• Use a VPN to encrypt your data and hide your IP address when connecting to public Wi-Fi.
• Never, NEVER share your personal information on non-authentic websites.
• Download virus and spyware protection software and keep your anti-virus and anti-malware software current.
• Protection of social security number.
• Assess your credit report monthly.

Your Best Defense Against Identity Theft

Identity theft is a severe problem that can have a lasting impact on your life. Luckily, there are things you can do to protect yourself from becoming a victim.

One of the best things you can do is to keep your personal information safe. Be careful about who you give your information to and only share it with people you trust. You should also monitor your credit report and report any suspicious activity immediately.

Another good defense against identity theft is to use strong passwords and never reuse them. It would help if you never wrote your passwords down or stored them on your computer. Be sure to choose passwords that are difficult to guess and change them regularly.

Identity theft is a severe threat, but you can protect yourself by being vigilant and taking the necessary precautions. Follow these tips shared by experts to help keep your personal information safe. About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

How do You Perceive ‘Fitness’?

Initially, you extensively acknowledged the term’ fitness’ in physical terms. To date, fitness is regarded as the fundamental activity in a person’s health and well-being. Moreover, in prehistoric times, the pursuit of fitness was motivated by the dire need to survive actively.

Nevertheless, if we revisit the origin of fitness, it is interpreted as ‘the quality of being suitable’- be it physical or financial.

Suppose you do not exercise regularly or consume a healthy diet; your health and quality of life will gradually deteriorate. Simultaneously, when you imprudently conduct your financial affairs, results vary, but one thing remains the same—the quality of life deteriorates. Simply put, physical fitness helps you live better, and so does financial wellness.

When trying to maintain your sanity and lead a relatively better life, it’s paramount to conceive both as equally important. In this article, I intend to highlight the significance of treating your financial and physical fitness correspondingly.

A Comparison of Physical and Financial Fitness

Physical fitness involves the right balance in your life regarding health. Conversely, financial fitness is the feeling of conducting the correct treatment with your money presently and forthcoming.

The Importance of Commitment

One apparent reason for success and failure among individuals is commitment. Commitment is the underlying conscious factor that drives motivation and stimulates growth in an individual. It encourages disciplined and productive decisions aligned with one’s financial objective.

When you truly grasp the importance of maintaining financial fitness through disciplined decisions, it propels progress and transforms your life. For instance, a widespread practice for physical fitness is losing weight. To accomplish the specified kilograms set for weight loss, you tirelessly try to attain it. Regardless of the challenges, you are ready to embrace them to obtain that ideal figure. If we put this example into financial fitness, imagine you have planned a whole journey to achieve financial independence in the next ten years. To be successful, you will go above and beyond to make things happen, for instance, creating a budget, cutting unnecessary expenses, preventing impulsive buying, practicing delayed gratification, and so on.

What has driven you to pursue these actions? Commitment! The most influential factor in a human’s life!

Steps to Take to Improve Your Financial Fitness

Let’s begin with our low-calorie diet for ‘financial’ fitness.

The Mediterranean diet- budgeting

This diet plan is the gold standard in the financial realm, resulting in wellness and financial longevity. It is famously known as ‘budget,’ a prevalent practice among financially intelligent people.

This low-calorie plan includes tracking and planning your spending, managing expenses effectively, funding your needs, and allocating an amount for savings. Do this for three months! You will lose at least 10 kgs of unnecessary and impulsive spending-guaranteed!

The DASH diet- tracking your spending!

This diet plan differs from those mentioned above but has the same purpose- to gain financial fitness. For instance, in the dash diet, you eat five servings of either fruit or vegetable or two servings of low-fat dairy products. Similarly, this plan involves tracking where your money goes, like reviewing calories before consuming any food item and assigning daily servings.

A cheat day or an impulsive purchase has equivalent consequences- a negative impact on the entire plan! To avoid being trapped in this, install a personal finance app for a convenient and effortless experience. It will assemble all your credit in one place and offer a comprehensive view of your current financial standing.

The MIND diet- spending mindfully

Mindfully and wisely, as the name suggests, this plan is the intervention of both earlier-mentioned plans. The Mediterranean-DASH Intervention motivates the follower to consume a beneficial diet for a healthy brain. Likewise, in the MIND diet of the financial world, you must spend your money and avoid overconsumption! It is the time to make purchases consciously for the best outcome! This step is the most suitable as you have already prepared a budget and begun to track the spending.

Savings!

Enough with the diet plans. Sorry, we ran out of plans! Because we are heading towards the gym, let’s get into some gym attire!

Saving money is an exercise for your financial fitness. You can attain it very quickly by setting a goal and contributing a small amount daily to the aim till it reaches the destination!

The Benefits of a Healthy Financial Life

A healthy financial life has many benefits. It can help you achieve your goals, reduce stress, and improve your overall well-being.

When you control your finances, you can choose the best choices for you and your family. You can set aside money for emergencies, retirement, and other long-term goals. You can also enjoy the peace of mind that comes with knowing you are prepared for the future.

A healthy financial life can also help you reduce stress. Money problems are a leading cause of stress for many people. But when you have a plan and are in control of your finances, you can avoid the worries that come with financial insecurity.

There are many benefits to having a healthy financial life, including:

• Improved mental and physical health
• Increased productivity
• Improved relationships
• Increased savings
• Improved credit score

Everyone should strive for a healthy financial life. Improving one’s finances can improve one’s overall quality of life.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.