Category: Finance Page 3 of 4

Laptop, cellphone, pens sitting on a desk, image used for Nicholas Fainlight blog on why you should get a side hustle

5 Reasons You Should Get a Side Hustle

On November 29, 2017

No matter where you are in your professional journey or what your personal finances look like, there are plenty of reasons to start some kind of side hustle. If you’re young, it’s even more of a reason to find an additional source of income! When you’re young, you usually have less responsibilities than someone older does, such as family, an established career, or something else. If you have free time, use it to devote to generating additional income; your future self will thank you.

You can pursue a passion

For many people, their day job isn’t necessarily their dream or what they’d be doing if they could do anything at all. We usually pick our full-time jobs because they pay the bills and it was the best option at the time. A side hustle allows you to pursue your passion and do something that’s more fulfilling than your day job. Even if you love your full-time job, a side hustle allows you to be more creative and be your own boss.

You’ll meet interesting people

No matter what side hustle you choose, you’ll end up interacting with people you wouldn’t have met in your regular job. You’ll make great connections that could seriously impact the future of your career and the choices you make. You could find an incredible job opportunity or friend that changes the course of your life. Do not be afraid to talk to people and expand your network, especially in connection with your side hustle.

It helps cover expenses

If you’re in significant debt, a side hustle could be an answer to your financial issues. You can find an additional source of income that fits your income, even if it’s simply freelancing online. Use the extra money you make to put toward paying off debt or to cover your rent each month. It’s up to you to decide what to do with the extra money you’re making, but it’ll definitely help ease financial stress.

You’ll develop new skills

As you work on your new side hustle, you’ll develop and hone skills you didn’t have before. Maybe you’re working at a restaurant or doing something that involves writing; there’s a big change you weren’t using those skills in your full-time job. Maybe you’ll start a side hustle that requires you to learn completely new skills; many of these skills can benefit you in other areas of your life as well

You’ll feel secure

For many people, their side hustle is the start of a full-time business venture. Even if you’re only making a small amount of money with your side hustle, you still know you have some source of income if you’d lose your full-time job. You might not make enough to cover all of your expenses, but it’s at least something, especially if you can turn it into a full-time job.

Dollar bills rolled and stuck in the ground like plants, image for Nicholas Fainlight blog about how to become debt free

Worrying About Debt? 5 Ways to Become Debt Free

By Nicholas Fainlight

On November 25, 2017

In Finance, Nicholas Fainlight

According to a recent study, Americans are leaving behind around $62,000 worth of debt. This number is overwhelmingly high and shows there’s a serious problem facing people living in the United States. Far too many people are in debt, for various reasons. Some of the biggest culprits are student loans, credit card debt, and mortgage debt. For most people, garnering some amount of debt is basically unavoidable, but you can keep it to a minimum and pay it off responsibly. No matter how far you are in debt, here are some tips you can take advantage of and start repairing your financial life.

Create an emergency fund

While first saving before paying on debt may seem counterproductive, it’s a step you must take. Create at least a month or two of savings that’s enough to cover your monthly payments. This way, if an emergency ever arises, you’ll have money to still cover your debts and make payments that month. An emergency fund gives you peace of mind and allows you to fully focus on getting rid of debt.

Make a stable budget

Before you begin tackling debt, make sure you set a realistic budget. Evaluate your lifestyle and monthly expenses and plan a budget that takes into account what you need to spend money on each month. Identify areas of your lifestyle where you can cut back; avoid going out to eat as much, buy cheaper groceries, or downsize to a smaller apartment. Avoid going on an expensive vacation or buying lots of new clothes or a car. Once you make your budget, stick to it, and avoid unnecessary spending.

Avoid more debt

Once you establish your budget, avoid getting into more debt. Do not use credit cards and only purchase something if you actually have the funds to pay for it. Debt for school or a mortgage are sometimes unavoidable, but do all you can to minimize the amount you’re paying.

Craft a solid plan

After you establish a budget, take a good, long look at the debt you currently have. See if you can consolidate or refinance anything to lower your interest rates. Determine how you want to pay off your debt, whether it’s the highest interest rate first, the lowest total amount of loan, or some other way that works for you. Put as much extra money toward your debt as you can each month. You might have to live simply for a few months or even years, but it’ll be worth it to be debt-free.

Find a side hustle

Sometimes, you just don’t make enough money to pay more on your debts or cover all your expenses. If you’re at this point, it’s time to look into getting a second job or some kind of side hustle. Start a blog about something you’re passionate about, have a yard sale, get a second job, or do some freelance work online. Find any way you can to generate more money to put toward your debt.

Change spilling out of a glass jar, image used for Nicholas Fainlight blog on how saving doesn't have to be hard along with how to get started

Saving Doesn’t Have to Be Hard: 3 Tips to Get You Started

By Nicholas Fainlight

On November 21, 2017

In Career, Finance, Investing, Nicholas Fainlight

The value of saving money is pretty apparent to most people, but the actual process of doing so is a lot more difficult. As human beings we often do not actually want to save up the money we have worked so hard to get. The temptations to spend that money are all around us and it can sometimes be challenging to see the future benefits of saving it. While saving may be more difficult than spending, there are some tips on saving that can take away at least a little of the pain of doing so.

Save money from windfalls

Windfalls of cash do not happen often to the average person, but many can claim the event has occurred at least once in their life. Take the idea of a tax return as an example; most people can relate to this because so many of us elect to have a tax return come our way at the end of the year and end up with a decent sum of money.

When that money does come in, consider banking it rather than spending it. The government and economy might benefit if you spend it, but you as an individual would be better off pocketing as much of it as you can muster. A possible exception to this rule would be if you have significant debt to pay off. Then, using a windfall to get out from debt could be equally beneficial, just remember to save the money you would have used for that debt.

Use the 24-hour rule

Is one day really too long to wait on a purchase? Not when you are using the 24-hour rule to help eliminate wasteful spending. This rule says that before you make a purchase, you must wait at least 24 hours to decide if it is really something you truly need. Establishing this rule for yourself can cut out so much of the wasteful spending many of us are prone to doing. After a single day of cooling off, many purchases will seem completely unnecessary. It can also be beneficial to carefully think about how you’ll use this item, whether it’ll make you feel good for a little bit or if it’s a long term investment.

Unsubscribe from services you do not use

If you have a cable subscription but practically never use it, why do you have cable? Likewise, if you subscribe to any other services that you honestly do not get your money’s worth out of, get rid of them. It may seem like just a few dollars here or there each month, or each year, but subscriptions can add up to serious amounts of money over time. Besides, if you are not getting the intended value out of these subscriptions, then there is really no reason to hang on to them. It is fairly easy to rid yourself of these subscriptions once you put your mind to it. Spend some time today figuring out what you can cut out.

Lots of people walking around a mall, many figures blurred, used for Nicholas Fainlight blog about black friday shopping

4 Tips for Finding the Best Deals on Black Friday

By Nicholas Fainlight

On November 15, 2017

In Finance, Nicholas Fainlight

From new homeowners and aspiring professionals to young students and teenagers, Black Friday appeals to all age groups. Everyone loves a good deal and this is the day to find them. With these simple tips, you’ll have a better time searching for a stunning product with an affordable price this season and cut down on wasting time in random stores.

Do your research

Sometimes, advertisements show up early to entice potential customers with crazy price drops. With plenty of the nation’s most popular stores offering unbelievable discounts, it’s vital you remain attentive and choosy. It’s easy to get swept up in the hype of Black Friday, but you’ll make more satisfying purchases by looking at advertisements, websites, and online forums. Research stores that had good deals in the previous years and keep them on your radar. Likewise, spend some time asking friends what they have bought on Black Friday before and whether or not they were satisfied. With this extra information, you can easily fine-tune your search for the best deals on Black Friday.

Show up early

Whether you enjoy the camaraderie of shopping at midnight or you simply want to find a great deal, getting to the store early is undeniably a great way to find deals. Not only will you be one of the first people to scour the shelves for something interesting, but you’ll also have more time to move on to the next store if you don’t find something valuable at your first stop.

Get online

Sometimes, the best deals are online. You may not have to even leave your house to make the most of this year’s Black Friday. Many websites also offer free shipping for Black Friday, making it easier to enjoy those deals. The best tip for online shopping is to make a list of the websites you typically visit before Black Friday rolls around, so you don’t forget to look at all the possibilities. Likewise, consider setting a budget for yourself in order to avoid overspending on items that aren’t actually worth your money. When shopping online, it’s easy to see hundreds and thousands of potential deals in a day, making it vital to ensure you only pay for the best products.

Find smaller stores

As exciting as it can be to visit a popular chain like Walmart, Target, or Best Buy, you can also find great deals at smaller stores. With these locations, you’ll still have a chance at finding an item that suits your tastes, and your wallet. It’s hard to compete for the best TV when visiting your town’s most popular stores. By checking out the smaller stores on Black Friday, you’ll support local businesses while enjoying an easier shopping trip.

Man using a tablet with an icon that says finance pulled up, image used for Nicholas Fainlight blog about finance apps

5 Apps for Managing Your Finances

By Nicholas Fainlight

On November 10, 2017

In Finance, Investing, Nicholas Fainlight

Everyone looks forward to receiving compensation after working hard. However, due to rising expenses, many people see their compensation vanish within a few days. Struggling with your finances is difficult, but there are ways that you can receive help. Thanks to the age of technology, there are multiple financial apps currently available to help manage your finances and get things under control.

Mint

Mint allows you to manage your monthly expenses, bank accounts, and credit cards under one joint account. You can view your net worth at any time. Mint calculates your spending each month, so you can keep track of your budget. It also provides different charts to help manage your finances without any issues. Mint will also send you notifications when you have upcoming payments.

Penny

Penny will interact with you and answer any questions you may have about your finances. It helps you keep track of your finances by showing you information about your daily spending and what bill payments are soon due. Penny also includes different financial charts and graphs to help you get a clear understanding of your financial situation.

BillGuard

BillGuard helps users understand their spending habits, while also protecting their financial information from fraudulent activity. This app can sync with your bank accounts, which allows you to see your overall balance, with a breakdown of every transaction. BillGuard also checks with you to make sure you made those transactions and not an impostor. If something is wrong, the transaction will be flagged until you speak with your bank or the merchant. BillGuard also includes analytics, such as spending per category, which gives you an enhanced look at your finances.

Expensify

Expensify is available on your phone, as well as the internet. The user interface is easy and divided into multiple sections; SmartScan, Track Time, Track Distance, and Add Expense. Track Time allows you to keep a tab on your daily earnings. The popular SmartScan option allows you to take pictures and electronically save receipts. You can also add your credit or debit card to Expensify and track your balances from there.

You Need A Budget

You Need A Budget (YNAB) emphasizes being flexible. You’ll be tasked with assigning your money to a specific category, such as food, gas, and utilities. With YNAB’s structure, you’ll be able to easily recognize patterns in your spending and see which areas need to be improved.

Person skydiving in a clear blue sky, image used for Nicholas Fainlight blog on risk in finance

The Importance of Risk When It Comes to Finance

By Nicholas Fainlight

On November 3, 2017

In Finance, Investing, Nicholas Fainlight

Risk is involved in every aspect of life. The risk of taking your first steps is falling; the risk of asking a person on a date is rejection; the risk of interviewing for a job is failure; the risk of parallel parking is hitting another vehicle. So, it is guaranteed that creating a business or investing in something financially, as well as physically, involves considerable risk.

What is risk? According to Google, risk is the possibility that something unpleasant or unwelcome will happen. However, according to the business dictionary, risk is a probability of damage, liability, loss, or any other negative occurrence that is caused externally.

From a finance point of view, risk is the probability that an investment’s return will be less than expected. However, risk also offers the chance of reward. For example, a reward could be an increased return compared to a lower expectation. Financial risk is comprised of multiple categories: basic risk, capital risk, delivery risk, exchange risk, interest rate risk, political risk, settlement risk, underwriting risk, and much more.

Examining financial risk includes looking at daily finance operations, such as cash flow, transactions made by the business, and the business’ financial systems set in place. You may consider things like which clients owe the company, how the company plans to retrieve the money, insurance, and its coverage, as well as whether the business can extend credit to customers and how.

When calculating financial risk, external factors like interest rates and foreign exchange rates should be considered. Those factors can affect company competitiveness with services produced abroad; changes in interest rates and exchange rates can immediately affect debt repayments.

All businesses should extensively discuss risk management within the business’ strategic management. Doing so allows the company to identify and tackle any risks before they become an issue, which will in turn aid the chances of reaching defined business goals.

Once the risks have been pinpointed, there are several ways to address them: accept it, transfer it, reduce it, and eliminate it. Acceptance of a risk might happen if the costs are too high to handle it in any other way. The risk could be dealt with by transferring, which typically takes place with the company insurance. Reducing a risk is merely introducing safety measures to keep the risks from occurring, and eliminating the risk could be something like changing the production process. Once the risks have been determined and the type of management has been decided, take steps to put the measures into place.

Risk management is not a one time kind of deal; it requires consistent monitoring and should often be reviewed to ensure the management approach is successful. Set the plan in stone by creating a risk management policy that will identify the company’s approach to risk, and it’s management. The CEO’s and the board should all be on the same page before moving to the management policy phase.

All choices in life and business involve risk to some extent. By understanding what risk is and how to manage it, business and employees are more likely to meet their financial goals.

Piece of paper with a graph on it sitting on a table, image used for Nicholas Fainlight blog about learning to invest

How to Teach Yourself About Investing

By Nicholas Fainlight

On October 24, 2017

In Finance, Investing, Nicholas Fainlight, Technology

Far too many people are unaware of the basics of investing, even though it’s one of the best ways to build your wealth. Public schools do not teach anything about it and if you go to college, you really only learn about investing if you take business or finance courses. This lack of knowledge leads to people shying away from investing and relying on a steady and reliable source of income. They often view the stock market as a way to simply lose money, especially if they lack basic knowledge about investing. This viewpoint is completely understandable, but not one you should subscribe to. If you know nothing about investing, it’s never too late to learn! Here are some ways you can teach yourself more about investing and get ready to start a portfolio of your own!

Take a look at your finances

The first step you’ll need to take is examining your finances and determining how much money you want to put into investments. If you’re heavily in debt or have no savings, you should take care of those issues before attempting to invest large amounts of money. Get an accurate picture of your finances so you know how much you have available to invest.

Learn the basics

When you first begin looking at everything that goes into the markets and investing, it can feel overwhelming. People spend years trying to learn the secret to investment success. Instead of feeling intimidated by these approaches, simply start by learning the basics of investing. Learn what different terms mean and how creating an investment portfolio works. But, don’t take too long; the sooner you begin investing, the better!

Check out online resources

After you feel like you have a basic understanding of investing, it’s time to start learning about the different approaches people take and cultivate a deeper understanding of the market. A great place to look is online, because there’s a seemingly endless amount of online resources, such as ebooks, blogs, podcasts, and many websites that offer expert advice. Check out the credentials of a source before believing everything you read, but most information on investing can be useful, even to just teach you what not to do.

Find experienced people

You might know someone who’s a financial advisor or who spends a lot of time following the market and knows about investing. These are the people you should talk to. Even if you don’t personally know anyone like this, you can certainly find a forum or website where you can chat with someone who can give you actual advice about investing.

Set your goals

Before you actually start investing, take a bit of time to set your individual goals. How much money do you want to invest? Why are you investing? What return do you hope to see? People invest for different reasons, not simply to generate wealth. Once you’ve decided what your individual goals are, you can start investing.

Start small

As you begin your journey as an investor, remember to first start small. You definitely shouldn’t take your entire savings account and invest in high risk stocks; use a smaller, manageable amount first and invest smart. Research the best types of stocks and start out with moderate risk.

Person holding a phone with a bunch of apps on the screen, image used for Nicholas Fainlight blog on whether or not investing apps are worth it

Are Investing Apps Really Beneficial?

By Nicholas Fainlight

On October 16, 2017

In Finance, Investing, Nicholas Fainlight, Technology

Lately, there’s been a rise of apps offered to help you manage your personal finances. There are various types of apps and options to choose from. Whether you merely want to work on budgeting, keep track of your credit score, or begin investing, you have plenty of apps to check out. However, many people question whether or not these apps are actually worth it, especially investing apps. Is your information secure? Are you wasting money? Will you see any kind of return? I’d like to examine whether or not investing apps actually benefit the user.

The concerns about them

One of the main issues surrounding investment apps is the security of them. When you create an investment portfolio with a recognized bank or investment company, you must go through layers of security every time you want to do anything, even if it’s simply transferring money into an account. With investment apps, it doesn’t seem as though there’s as much security. Many people are also wary of putting their information online, so creating a new account with an app seems like the perfect way to have your account information compromised. While this concern is completely understandable, all of the popular investment apps have layers of cybersecurity, very similar to that of a banking website. Many apps also guarantee insurance for accounts up to a hundred thousand dollars, so if you’re below that number, you’d still be able to recover all of your money.

Another concern is whether or not the apps are worth the cost. Some of them charge high trading fees or have regular monthly fees, which can seem like a waste of money, especially when you’re trying to grow your wealth. The answer to this issue is a little murkier than the last. While you should certainly be investing your money in some way, it’s up to you what app you choose. Research the fees associated with each app and learn what different keywords mean, such as how much the app charges per trade. Decide how much you’ll be planning on investing into these accounts and whether or not regular fees are worth it.

Benefits of investing apps

One of the greatest benefits of investing apps is how most of them are designed for beginners to use. Many people do not have the first clue about investing and the best practices for it, so these apps have been designed with this issue in mind. Most investing apps are relatively simple to use once you take some time to play around with them. Some even offer blogs and other tips to help you with investment decisions. Still others offer you direct assistance from a financial advisor.

Another great benefit of investment apps is that you can open an account with relatively small amounts of money. You can start investing spare change or a few dollars and grow your portfolio. For younger investors, this feature is great, especially since many traditional investment companies require you to have a minimum of a few thousand dollars to invest upfront.

How to make them work for you

Finally, if you decide you do want to get into the world of investing and an app on your phone is the best option for you, there are ways to make sure you make the most of it. The best thing you can do is take your time and research the various apps. Check out blogs that focus on investing, financial advice, and financial apps to see what expert opinions are on the different apps and decide which one best fits your needs.

Nicholas Fainlight- Face Recognition Technology

All About Face Recognition Technology

By Nicholas Fainlight

On October 13, 2017

In Finance

How We Pay

The ways that individuals have paid for items and services has changed greatly over the years. At one time, different cultures would do trade for services or items. Now the majority of countries use currency or credit cards in order to make payment. Many credit cards have evolved to include a chip that is supposed to make credit card purchases more secure. In China, they are rolling out a completely new way to make payments.

Face Recognition Technology

Face recognition technology is taking purchasing to a different level. It is a technology that promises to replace credit cards, passwords, and identification. In China, there is a new app that has rolled out, and it is being used by 120 million people. This is an app that allows individuals to transfer money using a facial recognition technology. This technology enables an individual to leave their currency and cards at home. All they have to do is use their smile, and they can make a purchase. This application is called AliBaba Auto Pay Experts. This face recognition technology is sure to become popular in the Western world as well because it is highly accurate.

How Does Face Recognition Work

Face recognition is a technology that has been around for years, but it has greatly improved. Face recognition is precise, and it uses advanced technology to identify the special features on a person’s face. This technology has been shown to be more precise than voice recognition. This is a technology that can identify faces in different lighting and at different angles. There are some financial institutions in China that have gone as far as using face recognition to give out loans.

What Companies Are Interested In Face Recognition

Companies such as Google, Amazon, Facebook, and Apple are interested in face recognition technology. These companies could use this face recognition technology to learn about their customers interest, hobbies and preferences. Also, this technology can enable social media sites to tag an individual’s face on their friend’s photos.

Face Recognition And You

Face recognition could bring huge benefits to consumers all around the world. With the huge amount of theft that occurs currently, an individual can feel secure in knowing that he or she has nothing on their person that can be taken away. Face recognition is definitely the way of the future.

Do Natural Disasters Affect Stocks?

By Nicholas Fainlight

On October 2, 2017

In Finance

A natural disaster such as a hurricane or earthquake can create devastating consequences for any human or home that stands in its way. Buildings are crumpled, water damage from flooding wreaks havoc and what was once a community becomes an area requiring total repair. However, this wreckage does not always indicate that a disruption will also take place in the stock market. While there may be short-term fluctuations in the price of oil and insurance stocks, the long-term health of the stock market is dependent on other factors as well.

Looking To The Past

To understand how natural disasters affect the stock market, it’s best to look at the past and see how it fared after the occurrence of major hurricanes. One example of a major natural disaster that caused widescale destruction was when Hurricane Katrina passed through Alabama, New Orleans and other areas near the Atlantic Ocean. This 2005 event created $108 billion in damages — still the costliest on record. Yet, the stock market continued to head higher and shake off the devastation. How could this be?

What Drives Markets Higher?

While the devastation from a natural disaster does cause a considerable amount of monetary damage, the spectrum of events that occur after the damage has taken place must be examined. In the short term, there will be price fluctuations related to equipment or buildings that have been taken out. However, the United States stock market seems to shake off disasters and continue its steady price movement upwards. This could be due to other economic factors that are already in place such as low inflation, declining unemployment or policy from the Federal Reserve.

Outcome of Hurricanes Harvey and Irma

Hurricane Harvey passed through Texas in late August 2017 with wind speeds reaching 130 miles per hour. One week later, the state of Florida was hit by Hurricane Irma — a Category 4 hurricane. Both of these monsters destroyed anything that stood in their path. Yet, near the end of September, the S&P 500 was reaching new highs. One must consider the rebuilding and investment that will need to be done to create new communities. These factors may be part of the reason for the continued gains seen in the stark market as well as other economic factors that are already in place.

While one would think that major hurricanes or other natural disasters would cause the stock market to fall — that’s not the case — the stock market has continued to rise after these devastating events.