Car Shopping? Budget Tips for Buying or Leasing a Car

Before you start shopping around for a car, either to lease or buy, you need to know your budget. And keep this in mind: “A car is transportation,” notes Jim Blankenship, a certified financial planner practicing in New Berlin, Illinois. “It won’t make you money, and it won’t make you better looking or more popular. It’s a practical purchase only if you’re getting value for your money. The value provided by a car is mobility.”

Budgeting Conundrum: What Are the Benefits of a 401(k) Loan to Pay Off Debt?

Your 401(k) plan is designed to help you save for your retirement. Anytime you take money out of the account, you’re depleting your long-term savings. To discourage you from accessing the funds early, the Internal Revenue Service taxes and penalizes withdrawals before retirement age. However, if you have a short-term emergency need for funds, you may be able to avoid these costs by taking a 401(k) loan. Properly done, a 401(k) loan avoids all penalties and taxes.