Author: Money Mechanics

Roughly 56,000 U.S. home-purchase agreements were canceled in August, equal to 15.1% of homes that went under contract that month—the highest August percentage in records dating back to 2017. Buyers frequently back out of deals when they find issues during the inspection, they have trouble selling their existing home or their financing falls through, according to a survey of Redfin agents. Homebuyers in America are getting cold feet.  “One of my buyers almost canceled a contract because she accidentally flushed her engagement ring down the toilet during the home inspection,” said Manny Bermudez, a Redfin real estate agent in Phoenix.…

Key Takeaways The Federal Reserve is expected to trim rates by about half a point by year-end, which could cause savings and certificate of deposit (CD) yields to decline similarly. Even with rates likely to drift down, it’s still smart to move cash to a high-yield savings account—earning 4% to 5%—so inflation doesn’t erode your buying power. The best nationwide CDs let you lock in rates above 4% for months or years, offering guaranteed earnings no matter what the Fed does next. The full article continues below these offers from our partners. Why Savings and CD Rates Are Easing—and How…

Key Takeaways American workers log an average of 1,796 hours annually—465 more hours than Germans and 389 more than Norwegians.The U.S. is the only advanced economy with zero mandated paid vacation—and 23% of American workers get none at all.More hours do not necessarily mean more output, as several European nations with significantly more time off outperform the U.S. in productivity per hour worked. Add it up, and the typical American spends more time working each year than most employees in the developed world. Americans average 8.4 hours of work each weekday, according to the Bureau of Labor Statistics—about 1,796 hours…

Key Takeaways As National Savings Day on Sunday, Oct. 12, spotlights the value of saving, you can still earn strong returns on cash despite last month’s Fed rate cut. The top high-yield savings and money market accounts continue to offer up to 5.00%, while the best CD rate stands at 4.45%. The best brokerage and robo-advisor cash accounts currently pay up to 4.05%, while U.S. Treasuries yield as much as 4.63% today. Our tables below compare today’s top rates across banks, credit unions, brokers, robo-advisors, and Treasuries. The full article continues below these offers from our partners. Cash Yields Reach…

Key Takeaways The Bureau of Labor Statistics is putting out a key inflation report Oct. 24 despite a government shutdown that is delaying most government data.The Consumer Price Index report for September was originally scheduled to go out Oct. 15.The data will help the Social Security Administration determine its annual cost-of-living adjustment and officials at the Federal Reserve set interest rates. The Bureau of Labor Statistics will release a key report on inflation for September despite an ongoing government shutdown that is delaying most of the statistics produced in Washington.The Bureau of Labor Statistics is planning to bring back some…

It’s been another busy week on the financial front with Kiplinger covering the soaring gold price, the new IRS CEO and the release of the new tax brackets, among other stories. But how much do you remember about the week’s financial and business news? Our editors have put together a quiz to test your knowledge…(And if you slip up on an answer or two, you can follow the links below the quiz to refresh your memory.)Fancy testing your memory? Try last week’s quiz, or try one from our quiz archive.Read more on our featured topicsRead more on the topics featured…

Key Takeaways Buffett calls self‑development “the best investment by far” because skills can’t be taxed or “inflated away.”The next‑best hedge is to own stock in companies whose products require little new capital but can raise prices at the rate of inflation or even higher.Firms built on royalty-like models or networks often convert revenue to cash without big reinvestments, giving them room to outpace rising costs. Inflation may ebb and flow, but Warren Buffett’s two lessons for fighting it are timeless. Become so good at what you do that people will pay a premium for your skills.Own stock in businesses that don’t…

Each week, in our Ask the Editor series, Joy Taylor, The Kiplinger Tax Letter Editor, answers questions on topics submitted by readers. This week, she’s looking at questions on capital-loss harvesting and the wash-sale rule. (Get a free issue of The Kiplinger Tax Letter or subscribe.)1. What is capital-loss harvesting?Question: I keep hearing about capital loss harvesting as a strategy for year-end tax planning. What is capital loss harvesting? Joy Taylor: Tax-loss harvesting (or capital-loss harvesting) is a way for investors to lower their federal income tax bills. The strategy involves selling stocks or other securities in your taxable investment…

KEY TAKEAWAYS Bureau of Labor Statistics employees are returning to work so it can release its September inflation report on Oct. 24.This will allow the Social Security Administration to calculate the 2026 cost-of-living adjustment before the Nov. 1 deadline.Although the government remains shut down, Social Security beneficiaries will soon know how much their checks will increase next year. Security beneficiaries will get an idea about what next year’s benefit checks will look like after all. The federal government said it is bringing back some furloughed Bureau of Labor Statistics employees to release the September Consumer Price Index on Oct. 24.…

Income for single-filers Income for married couples filing jointly Marginal Income Tax Rate $640,601 or more $768,701 or more 37% $256,226 to $640,600 $512,451 to $768,700 35% $201,776 to $256,225 $403,551 to $512,450 32% $105,701 to $201,775 $211,401 to $403,550 24% $50,401 to $105,700 $100,801 to $211,400 22% $12,401 to $50,400 $24,801 to $100,800 12% $12,400 or less $24,800 or less 10% Tax Brackets Can Be Used To Help Guide Your Withdrawal Strategy Patrick Huey, a CFP and owner of Victory Independent Planning, suggests that knowing where you fall within the tax brackets can help you make smarter decisions about…