Money Smart Week is here!

I hope that the posts from the past month or so have been helpful as you think more about the future of your finances. With Money Smart Week upon us, I want to give another reminder that tomorrow, April 23 @ 6:45 PM here in the Grand Blanc branch, we will join a national simulcast of "Be a Money Smarty." 

This event will include fantastic money advice from leading experts from across the county. Please take advantage of this opportunity to gain from their experience. To make a reservation click over to the GDL's calendar of events HERE and choose "join." In addition to the seminar, there will be a wide selection of print material available compliments of various financial institutions.

The GDL Business Center exists in part to increase the financial literacy of our patrons of all ages. Have questions? Don't hesitate to call or email the business librarian.

Looking for work? Read on...

Resume Workshop coming to Genesee District Library

Attend. Get Hired. Succeed.

Looking for a job is stressful and it doesn't take much to feel lost among the many career websites and multitude of opinions regarding your resume. The Genesee District Library has partnered with  the local office of Michigan Works! to host a set of three seminars focused on getting you prepared for your next job. Our next FREE event, "Resume's that Work" is THIS MONDAY, April 22nd from 10:00 AM - Noon here at the Grand Blanc branch.

Michigan Works! has close relationships with many local businesses who are hiring, and has access to job postings found nowhere else. Coming to this workshop might well connect you to your next employer. I have here a list of local, open positions from last week's seminar. Michigan Works can help you take the next step. 

Take advantage of this incredible opportunity. 

Bring Your Resume. 

Make a Reservation Below.

Date: Monday, April 22

Time: 10:00 AM -Noon

Location: McFarlen Library 515 Perry Road, Grand Blanc

Click HERE to make a reservation

ValueLine & Morningstar: Money Smart 2013

Using ValueLine and Morningstar to Monitor Your Investments

Whether you hire a investment professional or manage your portfolio on your own, monitoring the status of your stocks, bonds, mutual funds, or other investments is certainly necessary. The more you know about your current financial status, the better financial decisions you will make going forward. Watching the market can be time-consuming, and at times (many times) unnerving as you watch IRAs and stock prices fluctuate, and getting some perspective on the broader situation will help as you make decisions. The GDL Business Center has many such resources, including the Wall Street Journal, business magazines such as Bloomberg, Inc., and Forbes. Located in the business center you will also find several investment newsletters, including the Fidelity Monitor, Kipplinger Letter, and Dick Davis' Investment Digest.

In addition to these print sources, the library subscribes to both ValueLine and Morningstar, investment resources that offer advice and perspective on stocks and mutual funds.

Previously delivered in print format, the library now has online access to ValueLine, which means that with a valid library card and PIN number, you are able to access this resource anywhere an internet connection is available from the Personal Finance page of our website. If you access the resource from outside any of our branches, the site will prompt you to enter your barcode and PIN after clicking "View this Resource."

Updated every Monday at 8:00 AM ET, ValueLine has several different informational reports available:

1. Ratings & Reports: Here you will find detailed reports on 134 companies, especially important if you are looking to invest in their stock. These reports contain historical and current stock data and ValueLine's commentary on the company's performance.

2. Selection & Opinion: This resource contains ValueLine's view on the market overall, and contains additional economic commentary for the week. 

3. Last listed is the Summary and Index, which is helpful for an at-a-glance view of a stock's performance; companies are listed alphabetically. Near the end of this report ValueLine has listed industries by their timeliness, and then corresponding stocks in those industries, also listed by timeliness. Listed last in this Summary section is a group of stocks ranked 1 (the highest) for performance over the next 12 months. See a snapshot of today's report below:

The other online resource you will find helpful as you review your investments is Morningstar, the organization known for its ratings of stocks, mutual funds, and exchange traded funds (ETFs). 

 Morningstar offers comprehensive stock and fund information, with analysis, and suggestions for the types of funds you might consider depending on your particular situation. You can search morningstar several ways. If you know the ticker symbol for a company or fund simply type that in the header search box on the right side of the screen. For other searches by name, or fund type, use one of the "screens." Think of Morningstar's screens as just that, the ways you sift out exactly what you need and nothing that you don't need. Take a look at the stock screen below:

 

On the initial Morningstar screen I chose screen for funds, then "Fund Name" (viewable behind the screen function above, from a long list of searching options. You can then begin by typing a firm (MorganStanley, Fidelity, Vanguard, Merrill Lynch) and search for the fund you're looking for. After you've entered the name, be sure to click the button on the bottom right to view results. 

As you can see from the screen clipping from my search for funds that include the word "Fidelity," the resulting list contains the dates of the last report, the type of fund, the star rating, and total assets. Clicking on the link to any of the funds listed will direct you to the full Morningstar report.  

GDL wants you to win with your money, so check out these trusted sources for financial information today. Don't forget that Money Smart Week is next week, April 21-27th; please join for a special presentation on Tuesday, April 23rd, 6:45 PM, at our Grand Blanc branch. Click on our calendar of events to make your reservation today!

Upcoming April Events!

April is a busy month filled with activities here in Grand Blanc. Not only is Money Smart Week April 21-27, but the library is welcoming both Genesee/Shiawassee Michigan Works! and GreenPath Debt Solutions. The details for each event are below.

Set of 3 FREE Seminars

Monday, April 15, 22, and 29th

10:00 AM - Noon

Grand Blanc - McFarlen Library

 April 15: Forces Impacting Your Job Search

April 22: Resumes' that Work

April 29: Breaking the Hidden Job Market

Please pass this information along to anyone who is struggling to find work, and wants more information on the current status of the job market. These are local hiring experts who know this area well. 

After being cancelled back in March due to weather conditions, the debt professionals from the Flint office of GreenPath Debt Solutions will return to present "How to Understand Your Credit Report." This is another FREE event. Please register online by clicking HERE. 

Date: Thursday, April 18th

Time: 6:00 PM - 7:00 PM

Grand Blanc - McFarlen Library

Bring your questions for a post seminar Q & A session!

Money Smart Week is fast approaching and I hope the previous posts regarding some of the free resources available have been helpful. Keep checking back for posts, there is so much more to share! The highlight of Money Smart Week will be Tuesday, April 23 at 6:45 PM here at the Grand Blanc branch, as we will join a live webcast which includes more tips and information from finance experts from across the country. The library has also received a great deal of excellent resources from FINRA that will be available at this time.

Please register for this event through the GDL's event calendar, available on our website, thegdl.org, very soon.

Investing for Beginners: Money Smart 2013

Unbiased Investor Information Freely Available

This week I want to focus on fundamental investment information that everyone should know, whether or not they are currently investing. Because many people go beyond a traditional savings account for their long-term financial planning, educating yourself on some basics will be an asset if you decide to speak with someone who invests for a living, a Certified Financial Planner (CFP), for example. These investment professionals can be verified through BrokerCheck, which will be discussed below. Whether you decide to employ a professional to offer investment advice, or opt to self-manage your money, the unbiased financial information found through the Financial Industry Regulatory Authority (FINRA) is a great place to start. Again, this organization regulates financial institutions and is it not an investment firm. The advice they publish can be trusted!

Before looking further into investment information, be sure to read through the FINRA's page discussing Bank Products. It explains how savings and checking accounts operate, how your money is secure with federally-backed insurance, and other savings tips. This is great information at any age, and would be particularly useful if you're looking to speak with children or teens about money. 

Before you decide what and where to invest I highly recommend the Getting Ready to Invest page through FINRA. It takes a step-by-step approach and highlights aspects to consider. What are your goals? What are your monthly expenses? What impact does your credit score have on your finances? Why do I need an emergency fund? FINRA recommends that if your net worth is positive (you own more that you owe) it is safer to invest than if your net worth is negative. Figuring your net worth is step two of "Getting Ready to Invest" and a sample worksheet is available. The Securities and Exchange Commission also has a useful page entitled Beginners' Guide to Investing where they list numerous SEC publications available online, including questions every investor should ask.

 Both the SEC and FINRA suggest checking the background of a financial professional before you invest with that person. BrokerCheck, a FINRA tool, can be used to locate individuals and firms in your area and ensure they are licensed and in good legal standing. 

Clicking the "BrokerCheck" link above will take you directly to this resource. As you can see from the screenshot, you can locate an individual or firm and limit the search by a given radius to your location. Once the search is completed you can view a profile of the individual, where they are permitted to do business and possibly see a background report. If you're in a position where you're not sure the credibility of an individual or a company that offers investment advice, this is a way to put your mind at ease before you hand over any money.

In addition to these free online resources, the Business Center has a wide range of print resources focused on helping you get your finances in order, including "Finding a Financial Advisor," 332.024 J. Looking to create a budget or find ways to save money around the house? We have books which will help with that, too. With the vast amount of information available to you involving your finances, please take advantage of it and pass the information along to those who might benefit from it.

Be sure to mark April 23rd on your calendar, as we will join a live webcast of "Be a Money Smarty" at 6:45 PM here at the Grand Blanc branch. It will include financial tips from a range of professionals. All are welcome1

College Savings & Loans: Money Smart 2013

Admission Decision Season is here!

Whether or not someone should attend college continues to be a hot topic of discussion. While some opportunities are closed to those who have not completed a four-year degree, there are many individuals (NBC's Brian Williams & Facebook CEO Mark Zuckerberg come to mind) who are immensely successful despite not completing college. A few weeks ago I posted an article by Forbes contributor John Tamny where he said, among other things, that "college doesn't make you smart or hard working as much as smart and hard working people often go to college." While he says no job requires a college degree, and I think he's on to something here, the fact remains that many employers require it.

This morning I happened upon another article from Onlineuniversities.com that gave me pause while researching information regarding college savings. The article gives 10 reasons not to save for your child's college expenses, and they should be considered. Among them, the reality that not all parents can afford to set aside this money, and that one's retirement should not be jeopardized to pay college tuition. Investigating college savings plans, and student loans policies and procedures well in advance will better prepare you and your student should s/he decide higher education is right for them.   

Know the Cost of College Loans 

The best way to reduce the cost of higher education is through scholarships. These could be scholarships separate from the college or university, or directly from the school via merit (academic) or athletic scholarships. Doing well in high school is worth big bucks. Not only will this alleviate the burden parents face, but the student will be in a better position to save income post-graduation.

In addition to academic or athletic "full-ride" scholarships (which sometimes only cover tuition, not room & board), schools often offer lower scholarships which can be just as competitive. This is where student loans become necessary. If your student will need some additional funding, the federal government offers student loans, which are always preferable to private loans, due to their flexible repayment options and lower interest rates. Click the highlighted link above for more information. Each year, your family's financial need will be calculated using the Federal Application for Federal Student Aid (FAFSA), which you or your student completes online. It is not unusual for a tax return to be requested to verify information you provided. Depending on your financial need, you will qualify for either subsidized (the interest is deferred until graduation), or unsubsidized (interest is not deferred) loans, or both. These are the federal borrowing limits for traditional undergraduate students: 

1st Year: $5,500

2nd Year: $6,500

3rd & 4th Year: $7,500

 Student must be considered dependents to borrow these amounts, and might qualify for additional money if their parents are not qualified for Parent PLUS Loans. Notice that these loans cover only $27,000 of the total 2 or 4 year cost. For some perspective on this amount, consider that two semesters (one full year) for an in-state student at Michigan State University is currently $21,200. While tuition will surely rise over time, a college savings plan can help pay for school after federal student loan options are exhausted. 

Smart Saving for College

The Financial Industry Regulatory Authority (FINRA) has a great deal of impartial information about college savings plans, and should be used when considering your options. The "Smart Saving" link above it a portal into the college savings information available from FINRA. Be sure to click on the college savings plan comparison chart, for a quick summary, and read FINRA's tips when browsing your options. Types of college savings plans include:

529 Savings Plans

(be sure to use the 529 Plans Fees & Expenses Analyzer)

529 Prepaid Tuition Plans

Coverdell Education Savings Account (ESAs/Education IRAs)

Custodial Account

Series EE & I Savings Bonds

Please take advantage of all the information freely available as you prepare for the future. FINRA's site is easy to navigate and full of financial information of all kinds. With some hard studying on the student's part, and armed with quality information, college can be a manageable financial obstacle.

Check back for the next Money Smart post soon!

Savings & Loan Calculator: Money Smart 2013

Prepare for Your Next Loan & Save for the Future

In this first post in a series discussing the many financial tools freely available, I want to focus on two simple online resources which will better prepare you for your next loan. Most of us have loans of some sort: car loans, mortgages, student loans, and the most expensive of loans, credit card balances. But, before you walk into a lending institution you can do some homework and have a good idea a) how much you need to save in advance of the loan, possibly to lower your payment, and b) your desired loan duration based on the monthly payment the bank or credit union will expect. 

Now, it is certainly true that not everything will be under your control during the process, but at the very least, you will go into the meeting with reasonable expectations. While a loan with a longer duration might seem more affordable in the short term (lower monthly payment), it is in fact more expensive, as more interest will accrue as time passes. However, an exception of this is interest-free financing (remember all the auto dealer commercials...), and if it corresponds with a need you have, is certainly a great way to save money. 

Savings Calculator

Both of these highlighted resources are provided by FINRA, the Financial Industry Regulatory Authority, a company you've probably never heard of, but is responsible for the monitoring of financial institutions across the country. Click the "Savings Calculator" link above to give it a try, a screenshot of it appears below.

 

This calculator can be used to plan toward a savings goal, whether it be for your next car, home improvement project, or family vacation. I have imputed a $500 monthly savings goal with a starting amount of only $1,000. You can see that in three short years of consistent saving you can easily save the recommended 3-6 month emergency fund, depending on your income, or have a significant down-payment for your next loan. This is a great motivational tool!

Loan Calculator

The second of these resources is the loan calculator. Say you need a new car, and it costs around $25,000. You've been diligently saving and intend to pay $10,000 of it in cash to lower your monthly payment. The Loan Calculator can be used to determine exactly how much you can afford to finance, by way of the ultimate monthly cost of the loan.

I researched a local credit union's best interest rate for an auto loan and inserted that information and the loan amount into the calculator. How long do you want to pay for your car? This might be determined by the monthly payment, so you can try several different loan terms. I settled with an manageable payment just over $300/month over 4 years for this example. 

This could also be a great learning tool for children and teens, too. Please pass along this information to others who might find it useful, financial literacy is too important for us to neglect!

Stay tuned for another post soon!