Wall Street jitters are not the jitters of Americans.

Boomers are retired. They are on a fixed income. Costs of living are important. But, the generations employed coming off the pandemic unemployment payments are not as bad off as they could have been.

The housing crisis didn't always hurt those that saw the opportunity to trade up. There are definitely housing crisis in the USA, but, not everyone is feeling it.

November 22, 2022

By Adam Hardy

For most of 2022, (click here) an inflation rate hovering above 8% took a toll on the wallets of Americans across the board. But a new report shows that Gen Z is especially confident that they’ll be able to turn things around next year.

A survey released this month by the financial firm Goldman Sachs found that Gen Zers are far more optimistic about their finances in 2023 than any other generation.

The firm asked more than 2,400 Americans across age groups if they expect their financial situation will be better or worse next year. Of all respondents, only 45% say they believe their situation will improve in 2023. For Gen Z, though, a whopping 77% believe their finances will improve next year.

Most millennials were optimistic, too: 54% say they will be financially better off in 2023, while 45% of Gen X report the same.

Boomers are far and away the least optimistic. Only 28% report that they believe their finances will improve in 2023....

The only thread between the pains Wall Street feels and Americans in general are 401k.

November 29, 2022

by Ashlyn Brooks

Morningstar (click here) recently compared the numbers on different scenarios for investors who may be thinking of pausing their 401(k) contributions. The result was not favorable for those who opted to stop contributing to their retirement plans, and the data showed that it rarely ever is.

After comparing those who continued investing to others who withheld and tried out the "wait and see" approach, the end return was quite drastic in terms of dollars earned and dollars lost. Let's look at their results and see an example of what you could stand to lose should you choose to pause your retirement investing.

Investors needing guidance on creating a resistant retirement plan can find assistance through a financial advisor. You can connect with a financial advisor for free in just five minutes....

I never followed by 401k much. I saw it mostly as a savings account with 4 percent interest. 4 percent was the employer contribution to my deposits. I realize 401ks are a sweet spot for Wall Street, but, if anyone gets caught up in the markets and tries to ride bubbles with them, it usually doesn't work out.

Wall Street and citizen investors through 401ks make money if the funds are left in guaranteed money market accounts or secured investments with known returns. Otherwise, leave the money in a standard reliable money market with annual interest and consider it an addition to the 4 percent from the employer. 

Uncertainly in the markets is simply a meaningful reason to keep the money in guaranteed income accounts.

November 30, 2022

By Andrew Keshner

Amid stubbornly high inflation, (click here) a record-breaking share of Americans are turning their 401(k) accounts into emergency piggy banks, according to Vanguard.

Dissecting data from a sample of the approximately 5 million employer-sponsored 401(k) accounts that Vanguard handles, researchers said 0.5% of account holders were making hardship withdrawals in October.

That’s a “concerning” all-time high, said Vanguard, the retirement-savings and asset-management heavyweight, offering a view that stretches back to 2004.

For comparison, 0.3% of accounts had hardship withdrawals last October, and during October 2020, the share was 0.2%, Vanguard’s data showed. In October 2019, it was 0.4%, it said.

At the same time, Vanguard’s numbers show that 401(k) loans and nonhardship withdrawals are also currently rising. In October, 0.9% of 401(k) plan participants had loans and another 0.9% had nonhardship withdrawals....

Hardship loans and withdrawals may only be a hardship for Wall Street in losing volume of funds in their accounts. The fact is sometimes if payments are made to existing loans for the consumer it can open up important disposable income and/or opportunity to leave high interest rates behind. This is not necessarily bad news depending on the focus of the consumer.

November 21, 2022
By Sarah Hansen

2022 just keeps getting worse for cryptocurrency investors. (click here) 

More than half of all bitcoin investors are now in the red, according to data from blockchain analytics platform IntoTheBlock. As of Tuesday morning, 54.5% of all bitcoin addresses were categorized by IntoTheBlock as “out of the money,” meaning that the bitcoin held by that investor is worth less now than it cost on average.

That figure is based on a recent bitcoin price of $16,171.61 per coin, which is 66% lower than bitcoin’s price at the beginning of the year and its lowest level since November 2020....

Cryptocurrency is a permanent bubble. Long term investment usually results in losses. It is not a retirement wonderland. It is opportunistic and is a climate crisis nightmare.

Working at home is less expensive and provides perks that contribute to quality of life. Additionally, it is easier on the climate.

September 14, 2022
By Mary Ellen Cagnossola

Employees (click here) who returned to the office are probably spending far more compared to working from home. How much more? According to recently released data, working at the office can cost twice as much — adding up to an extra $5,000 a year — even if employees are only commuting a couple days a week.

A new survey from Owl Labs, a video conferencing solutions company, found that employees who go into the office at least part-time spent an average of $863 per month in work-related expenses. Employees working full-time remote jobs averaged less half that amount, spending $423 per month on internet, phone, meals, utilities and other expenses.

That's a difference of $440 per month, or $5,280 over the course of a year....