Author: Money Mechanics

You could be in for surprise taxes if you’re planning for retirement in 2026. And we’re not talking about common tax pitfalls, like taking required minimum distributions (RMDs) that force withdrawals from your individual retirement accounts (IRAs). (Though those certainly are important). Several new federal policy changes could hike your retiree tax bill this year. For instance, under the 2025 Trump/GOP tax and spending bill, your “senior bonus” deduction may be lower than expected due to income phase-outs, indirectly resulting in an overall increase in Social Security benefit taxes.For high-earning retirees still in the workforce, 2026 is the year the…

Key Takeaways Attending college a half century ago was expensive, but it was affordable compared to the cost of tuition in 2024-2025. Between the 1974-1975 and 2024-2025 school years, the cost of tuition at public colleges rose by over 355%. Economic conditions, rising operating costs, higher fees, and increased housing costs are pushing the cost of college even higher. Many are questioning whether a college degree is worth the price. Others are attending college but delaying other milestones, like getting married and buying a house. With the cost of the average four-year public college exceeding tens of thousands of dollars…

There’s an old joke that goes: “Retirement: Twice as much husband on half as much pay.”While retirement is no laughing matter, it does share something with comedy, especially improvisation.Go to an improv theater and it can look like performers are inventing everything on the spot. An audience suggestion becomes a scene, passed from actor to actor in real time. When it works, it feels effortless. But behind the humor is a guiding principle that keeps the scene moving: the “Yes, and…” rule. From just $107.88 $24.99 for Kiplinger Personal Finance Become a smarter, better informed investor. Subscribe from just $107.88…

Americans may be tapping cards and phones more often, but they’re not ready to give up cash. A new survey suggests that while digital payments dominate daily spending, most people still want the option to pay with paper bills (1) and they strongly oppose the U.S. becoming a cashless society. The findings highlight a growing tension between convenience and choice, and raise a bigger question: Is relying on cash actually a bad habit, or an underappreciated financial tool? In a survey of roughly 5,000 Americans conducted by the Siena Research Institute, 84% said they oppose the U.S. moving to a…

The US President Donald Trump helped calm markets on Wednesday by announcing a framework agreement on Greenland and dropping the new tariffs he had earlier threatened against eight European countries. This has improved the overall mood in stock markets. With policy worries easing, investors are shifting attention back to the Q4 2025 earnings season, which has started on a strong note. Technology stocks remain in focus, as artificial intelligence and related technologies continue to drive market momentum. That said, the biggest opportunities this earnings season may come outside the most famous names like NVIDIA (NASDAQ:) and Microsoft (NASDAQ:). Many large…

In the war on affordability, President Donald Trump has claimed victory over inflation. Trump said during a speech Wednesday in Davos, Switzerland, that he had “defeated” inflation and reined in consumer prices over the past year. In an address to world leaders and others at the World Economic Forum, Trump said that the U.S. has “virtually no inflation.””Grocery prices, energy prices, airfares, mortgage rates, rent and car payments are all coming down, and they’re coming down fast,” Trump said in a wide-ranging speech, adding: “We’ve done a hell of a job in 12 months.”However, federal data suggests some of those claims…

If your Gmail account doesn’t seem to be working properly today, you’re not alone. The official status dashboard for Google Workspace suggests that the issues began at around 5am Pacific on Saturday morning, with users experiencing both “misclassification of emails in their inbox and additional spam warnings.” For me, that meant my Primary inbox was filled with messages that would normally appear in the Promotions, Social, or Updates inboxes, and that spam warnings were appearing in emails from known senders. Other users have complained on social media that “all the spam is going directly to my inbox” and that Gmail’s…

Key Takeaways Half of Americans under 35 have a retirement account, with participation rising to a high of 62% at ages 45–54.Among those with retirement accounts, typical balances start small, grow with age, and tend to peak in the early years of retirement.Starting early gives savings more time to grow, but boosting contributions later in your working years still makes a difference. How Many Americans Have Retirement Savings It’s easy to assume that most adults are saving for retirement—but whether that’s true depends a lot on age. Federal Reserve survey data show that participation rises quickly in early adulthood, peaks…

Key Takeaways Millennials average a 691 FICO score—though that’s solidly in the “good” range, there’s room for improvement.By your 40s, you’ve likely earned a higher score due to a longer credit history and more mature credit behavior—unless you’ve weathered difficult financial situations that have tested your spending (and your score). If you’re in your 30s or 40s, your credit score is hitting its stride. Millennials (ages 28–43) average 691 and Gen Xers (ages 44–59) average 709. Both are in the “good” range that typically gets you approved for credit cards, auto loans, and mortgages. But age alone doesn’t guarantee a…

Key Takeaways The Fed is widely expected to hold interest rates steady this week after three quarter-point cuts last fall.The best savings account rates tend to stay stable during Fed pauses, since banks can adjust them quickly and often wait for clearer signals.CD rates, however, often adjust in anticipation of Fed moves. But if this pause lasts, the best CD rates could stay steady for some time. What to Expect From the Fed’s Next Rate Decision When the Federal Reserve announces its next interest rate decision this Wednesday, it’s widely expected to leave rates unchanged. If that happens, it would…