Monthly Archives: January 2018

Here How Can An Heir Borrow Against Inheritance

If funding is needed by one of your grandchildren to begin a medical practice or to a start up a firm, you should help him to gear up his career. You may have saved money for the inheritance of your children and grandchildren and somehow you have agreed to loan your son out of that money.

A promissory note generally secures this money, even when its terms are not strictly enforced by some parents. If the promissory note is left unpaid until the death of the parents, the estate will count it as its asset that must be paid for. Interest will be imputed by the tax authority, if it is a larger amount of money. The loan will become a taxable income of the child, if the loan is forgiven by the parents.

Loan documents and estate documents control

These issues are generally controlled by the parents during his or her lifetime. You must write the loans on paper along with the repayment schedule. Extensive outlines of the remedies make up most of the loan and available on the open market that is reserved by the creditor. These are not so important, if the parents do not want to exercise these remedies in the document. The parents can then write the ways of treating these loans as per their will.

There are also many situations where it is common for a parent to find his or her child and to document the loaned amount and paid back off. In this circumstance, the money which is not paid off acts as a gift, as there are no such rights.

Cancellation of Gift or Debt

Loans can be forgiven by the parent. In this case, cancellation of debt becomes taxable income. If the parent documents or probates the estate, such as, the returning of inheritance tax or state estate, this information can be cross checked by the tax authorities with the tax return of debtor’s child. The balance of the loan is also forgiven by the parent in some cases at the time of his or her death. Loan below $a certain limit is counted as a gift.

Offset

It can also be decided by the parent not to repay the full loan. Parents can also offset the unpaid amount against the money received by the child. This helps the parent to share the money between the heirs equally.

Direct Repayment

Money is received by the estate from the promissory note after the full repayment of the debt by the parent.

Always hire an experienced estate planning lawyers to make future loan plans in advance.

Tips Turning Your Cash Flow From Negative to Positive

First and foremost, cut your expenses.

Here are a few ideas on managing your expenses to help you achieve your financial goals:

Take a look at your budget’s top 10 or so monthly expenses, there are almost always at least one or two items that you could do without, that you’ll end up with more cash at the end of each month.

Now is the time to ditch those bad habits of yours.

If you smoke, that will be the number one habit to kick. First- and second-hand smoking cause harm to both the one who smokes, and the people around him/her. Not to mention to raising tax on smoking habits.

Create a budget and stick to it. A budget helps you compare your monthly income and expenses, and determining needs versus wants.

Live Within Your Means. This is a no brainer. If you spend everything you earn at the end of each month, you’ll have nothing left to invest.

Keep a budget and plan for your finance. Be frugal. Buy only what you can afford and need. Don’t dress to impress your enemies.

Increase deductibles on your auto, homeowners and other insurance policies, which can help lower premiums

Pay off your mortgage as fast as you can, especially if you’re paying mortgage insurance. Mortgage insurance protects the mortgage lender, not you or your family.

Pay off your bad debts

Employ these strategies to increase your income.

Sell extra stuff you have sitting around in your house. Things that you have no use of anymore. Sell them on Craigslist or have a garage sale.

Rent out your spare room. Millions of home owners worldwide are now renting out rooms or floors of their current homes for short periods of time on sites like Airbnb.

Rent out your car. Sites like Uber and Turo allow you to rent out the extra seats in your car – or the whole vehicle, if you’re not too faint of heart!

Use your skills and time. Got extra time still after selling your stuff? Leverage your earning power during your off-time, evenings and weekends with your professional skills or personal hobbies to bring in some extra cash. If you love doing crafts, you can sell creative items on Etsy.

You can sell fruits from your tree at local farmer’s market. In Hawaii, many houses have fruits trees in the yards. Do you have a special recipe that everyone enjoys? Sell that at local farmer’s markets.

You can also earn extra money with cooking, house cleaning, babysitting or dog walking. The opportunity is limitless. You can list your services on sites like TaskRabbit. You can also sign up for Mechanical Turks at Amazon, where you can complete tiny miscellaneous task for a fee.

Starting a second career or a part-time opportunity to earn additional income.

Adjusting your W-2 allowances if you are expecting a tax refund, but consult with your tax advisor before making this change.

This Money Mistakes and Their Easy Fixes

Sometime during our lifetime we spend more than we planned, saved less than we should have or just made some horrible financial decisions. A few financial misfortunes here and there can add up to a lot of lost cash. Check out these common money mistakes and follow the advice to help put you on the path to a brighter financial future.

Money Mistake #1: No idea where your money is going.

What’s The fix? Making a budget is the best thing you can do to find out all the ways you are throwing away your money. At the end of the month you see you have spent $250 on fast food and $0 on paying down your high interest credit card then you need to make some spending adjustments.

Money Mistake #2: Not having an emergency fund.

What’s The Fix? Try and save a chunk of money in case something unexpected happens. It’s a good rule of thumb to have 3-6 months of expenses saved in case of an emergency. Set a goal and don’t stop saving until you hit your goal. If you’re not sure how much to save look at your monthly budget and figure out where you can cut to start saving for a rainy day.

Money Mistake #3: Waiting to save

What’s The Fix? Start saving NOW. Opening a retirement account in your 20s can potentially give you twice as much money as someone who starts one in there 30s.

My recommendation is to follow the Ten Cent Law. Take ten cents of every dollar you earn and put it in your savings account. It won’t be hard to Live on of your income, and you’ll soon have a very nice nest egg.

Money Mistake #4: Using High-Interest Debt

What’s The Fix? If you are regularly overdrawing your checking account, using credit card advances or payday loans, you are essentially throwing your money away. Borrowing is OK, but those forms of debt are way to expensive. These forms of debt most always come when you have exhausted all other options.

Money Mistake #5: Paying off debts in the wrong order

Bigger balances on things like student loans and mortgages can seem overwhelming, but it’s the smaller credit card bills that can really hurt you.

What’s The Fix? Pay off the card whose balance is closest to its limit (having balances close to your limit lowers your credit score), and then start chipping away on the card with the highest interest rate. Also, refinance big-ticket balances (mortgage, etc.) to make payments a little more manageable.

Money Mistake #6: Spending money on items you could get for absolutely FREE

What’s The Fix? Did you know you can get music, books, magazines educational classes, book clubs, and even printing services at the local library? Just access their website and see what they have available. Also, get involved in a clothing swap, borrow from a friend instead of buying, and maybe talk a walk in the park or hike a national park instead of going to the mall. There are plenty of free options. You just need to find them.

Money Mistake #7: Buying NOW

If you MUST have things BEFORE you have money to cover them, you’ve fallen prey to the great American debt trap. Just look at interest charges – debt isn’t cheap.

What’s The Fix? Are you buying things before you have the money to pay for them? Remember, debt isn’t cheap. I believe in good things come to those who wait. I’m sure you’ve heard this before. If you can wait until later to buy that all important item and put money away to save for it, you won’t have to use high interest credit cards. That’s how you become debt free.

Money Mistake #8: Spending too much on housing

What’s The Fix? As we all know, it’s easy to spend way too much on housing. The rule of thumb is, you shouldn’t spend more than of your income on housing. If that doesn’t work for you, living with parents or roommates is a perfect strategy. And, when you decide to move out on your own make sure your mortgage or rent do not put your long-term financial goals in jeopardy.

Financial mishaps are certainly a part of life but it is easy to recognize your mistakes and learn from them. Make it your goal to stop making these common money mistakes. In the end, your piggy bank will thank you.

If money mistakes have gotten you off-track, reach out to the member services team at allU.S. Credit Union https://www.alluscu.com to see how we can help you become more money savvy. We take the financial well being of our members very seriously. We’re committed to being your financial advocate, providing you the necessary resources to better manage your money and make informed financial choices.

This How Tally Confirms In Top Position Over The Years

Tally, as an organisation, has gone through a roller coaster ride- right from being a start-up to a market leader, to seeing a meltdown in product pricing. It has several future goals and the main one is to become a 5,000 crore company in the near future. Bharat Goenka, the founder of Tally Solutions – India’s largest company in the accounting software domain has great ambitions. The company intends to surpass $2 billion in revenues by the completion of FY 16-17 at a growth rate that might make other start-ups to think.

Growing twenty times in few years’ time might come across as an unreasonable dream; however, the ambition to do so is perhaps more of a product of Tally’s unrealised ambitions than a statement of overconfidence. After a long road dented with struggle, success and then some huge mistakes, Tally seems to have discovered itself and sees no reason why it shouldn’t take the open road ahead in an alarming speed. The company’s founder seems to be clear on his priorities for the company this time around. According to him it’s quite easy to make money but not that simple to create an impact and if the company succeeds in doing so, it’s natural that the money will flow in.

Tally’s flagship software, ERP 9, is widely considered the best accounting package available to businesses today. Its ease of use and capability to impart real time information access, thus allowing up-to-date cash flow analysis and offering capability to better understand the numbers behind a business on an ongoing basis are what make Tally unique in India. Today, its product has an 80{0ef4929820f167e8f8519b00d9326892f772d73dd41cde984d23145009372787} market share and as per Mr Goenka, manual book keeping is the only competition. Though financial accounting is a global product, it’s extremely unique for every market.

According to experts, the accounting standard and rules in India are quite different and they change very fast as well. One of the biggest benefits Tally possesses is the understanding of the regulatory environment in the country and the fact that they update their products with great frequency. The other big benefit for Tally ERP is its strong network of partners, who actually go and sell their products in the market. Expert opine that for any global company to succeed in India, wherein lot of small businesses require to have individuals coming and selling and getting their products installed, this is a tough act to follow.

Going Forward

Tally primarily sells its products under two brands; Tally and Shoper. The company has introduced its latest version Tally ERP 9 that has been extremely successful. Going forward, it has also identified an area of opportunity, majorly ‘supply chain visibility’; looking to harness its wide reach to offer the last mile connectivity to small and mid-sized organisations.

For Tally to go past the growing completion and hit the aimed $2 billion mark, it needs to get back to the things that made it successful in the first place, which is innovation and unmatched work ethics.

Riyaz Tamboli is a Director at Antraweb Technologies Pvt. Ltd, a leading provider of Tally ERP 9 Software and support. Antraweb is a Master Tally Solutions’ partner with over 20 years of experience in providing Tally services including integration, customization, providing mobile apps, add-ons and more. His knowledge and experience has been instrumental in developing customized solutions for various businesses. Organizations can benefit from implementing Tally ERP 9 for their business and can download it from website.

This Islamic Banking Model

The origin of Islamic banking dates to the very beginning of Islam in the seventh century. The prophet Muhammad’s first wife, Khadija, was a merchant, and he acted as an agent for her business, using many of the same principles used in contemporary Islamic banking. In the Middle Ages, trade and business activity in the Muslim world relied on Islamic banking principles, and these ideas spread throughout Spain, the Mediterranean and the Baltic States, arguably providing some of the basis for western banking principles. In the 1960s to the 1970s, Islamic banking resurfaced in the modern world.

This banking system is based on the principles of Islamic law, also referred to as Sharia law, and guided by Islamic economics. The two basic principles are the sharing of profit and loss and the prohibition of the collection and payment of interest by lenders and investors. Islamic banks neither charge nor pay interest in a conventional way where the payment of interest is set in advance and viewed as the predetermined price of credit or the reward for money deposited. Islamic law accepts the capital reward for loan providers only on a profit- and loss-sharing basis, working on the principle of variable return connected to the actual productivity and performances of the financed project and the real economy. Another important aspect is its entrepreneurial feature. The system is focused not only on financial expansion but also on physical expansion of economic production and services. In practice, there is a higher concentrated on investment activities such as equity financing, trade financing and real estate investments. Since this system of banking is grounded in Islamic principles, all the undertakings of the banks follow Islamic morals. Therefore, it could be said that financial transactions within Islamic banking are a culturally distinct form of ethical investing. For example, investments involving alcohol, gambling, pork, etc. are prohibited.

For the last four decades, the Islamic banking system has experienced a tremendous evolution from a small niche visible only in Islamic countries to a profitable, dynamic and resilient competitor at an international level. Their size around the world was estimated to be close to $850 billion at the end of 2008 and is expected to grow by around 15 percent annually. While system of banking remains the main component of the Islamic financial system, the other elements, such as Takaful (Islamic insurance companies), mutual funds and Sukuk (Islamic bonds and financial certificates), have witnessed strong global growth, too. Per a reliable estimate, the Islamic financial industry now amounts to over $1 trillion. Moreover, the opportunity for growth in this sector is considerable. It is estimated that the system could double in size within a decade if the past performances are continued in the future.

News : Is It Possible to File For Bankruptcy For Free

The short answer is “Yes,” it is possible to file for bankruptcy for free, which means, at no cost to the filer. First, the costs of filing for bankruptcy include the court’s filing fee, which currently is $335.00 for a Chapter 7 case, and $310.0 for a Chapter 13 case. These are the mandatory court filing fees, however, they can be waived.

In order to obtain a fee waiver of the bankruptcy court’s filing fees, at least here in the Central District of California, in some situations, the court may approve a filing fee to be paid in installments or waived completely. Note that if an installment payment plan is approved, the payment schedule must be complied with or the bankruptcy case may be dismissed without the debtor obtaining a discharge of debts.

Chapter 13 Petition Package – In chapter 13 bankruptcy cases, it is generally not allowed to have a filing fee waived or to pay in installments. The purpose of chapter 13 is to keep current with payments, and therefore if the filing fee is not affordable, the court will question a debtor’s ability to succeed in a chapter 13 case. There is a 99{0ef4929820f167e8f8519b00d9326892f772d73dd41cde984d23145009372787} fail rate in Chapter 13 without an attorney, due to the complexity of a repayment plan case.

Chapter 11 Petition Package – In chapter 11 bankruptcy cases, fee waivers or installment payments usually are not allowed. Here, as in Chapter 13, filing without a bankruptcy attorney will doom your case to failure, again, due to the complex nature of these cases.

Chapter 7 Petition Package – If a debtor files a chapter 7 bankruptcy case and the debtor’s income is less than 150{0ef4929820f167e8f8519b00d9326892f772d73dd41cde984d23145009372787} above the federal H.H.S Poverty Guidelines (which varies depending on your family size), the court may waive the filing fee completely or approve payments in installments. The debtor must make a written request to the court and submit the request at the Clerk’s Office intake window at the time the bankruptcy petition is filed. The intake staff will contact the judge to whom the bankruptcy case is assigned, and the judge will make a decision as soon as is possible. This may require the debtor to wait at the courthouse for a few hours if the judge is not available right away, or the debtor may have to return on the next day that the court is open. Even if the court does not waive the filing fee, the court may allow a debtor to pay the filing fee in installments.

My understanding of the fee waiver program in our courts is the judge’s position in deciding whether to waive the fee is this: You cannot obtain a fee waiver if you hire a professional to assist you in the petition preparation phase. I would agree with our courts that if you can afford to hire even a petition preparer at their maximum allowed rate of $200.00, then you can certainly afford the $335.00 filing fee.

In addition to the court’s filing fee, there are two credit counseling courses that are required. You can usually obtain a fee waiver, if you are eligible as low-income. You’ll have to ask for it, but this too, is possible.

After that, the only additional costs are incurred, if you hire either a petition preparer that is not a lawyer, or if you hire an attorney to represent you in your bankruptcy case. Now, don’t get me wrong, attorney assisted bankruptcy filings tend to run much smoother than a case prepared without one, but that doesn’t mean that it’s impossible.

Someone looking to save money when filing bankruptcy, needs to consider whether they have anything to lose by doing it this way. Simply put, in Chapter 7 bankruptcy, the trustee’s job is to look for assets to take, to pay your creditors. If you have assets to protect, and you’re not familiar with how to properly protect that from the trustee’s taking, then, it would be wise to hire an attorney.

However, if you’re truly low-income, and have no assets to protect, then, you are a prime candidate to file bankruptcy on your own and obtain waivers for the filing and counseling courses fees. In fact, here in the Central District of California, we just changed our forms, in the hopes to make it more simple to file. We also have electronic self-representation ( ESR ) too, so you can handle all of this from the comfort of your home and file bankruptcy from your computer. As if that weren’t enough, there are also self-help videos and a self-help desk in most of our courthouses.

So, if you’ve got nothing to lose but time, then preparing your own bankruptcy case can save you money. It may even turn out better than if you shopped for the cheapest bankruptcy lawyer, paid them, and they messed up your bankruptcy case. Never fear, if you get into trouble, or if you encounter a unhappy trustee that asks you questions, or recommends you consult with an attorney, we’re still here to assist and correct the record; for a fee.

The Law Office of Christine A. Kingston is a Federal Debt Relief Agency. We help people file for bankruptcy under the Bankruptcy Code. Our practice is limited to Chapter 13 and Chapter 7 bankruptcies, student loans and debt settlement.

Some Tips on Improving Your Finances for Life

There is no way to avoid dealing with money and finances these days. Therefore you should try to learn as much as possible to help you make good financial decisions and to increase your confidence about money.

When you make a budget, it should be realistic regarding your income and spending habits. Be sure to include all of your income such as alimony, child support, rental income, or any other. Always use your net income not your gross earnings in these calculations. Once you have the numbers, you can consider how to adjust your spending to stay within your income range. To maintain your budget never exceed your incoming cash flow.

The next step is to total up your expenses, and you should make a list of all monthly expenses. Your list should document each and every expense that you have whether it expense, spontaneous or just a one time expense. Remember that this list needs to have a complete breakdown of your costs. Be sure to add in expenses that you have from restaurant dinners and fast food as well as grocery bills. Reduce expenses linked to your cars, such as gas and insurance. If you have payments that you make quarterly or less frequently, divide them up to reflect a monthly payment. Make sure you include incidental expenses, for instance, baby sitters or storage unit rentals. Try to have the most accurate list possible.

Now that you have a good idea of your income and expenditures, you can start planning a new budget. Look at each expenditure on your list, and decide what you could do without. If you normally buy coffee from a cafe, calculate how much money you would save on a weekly basis if you bought it from McDonald’s instead, or made it at home. Exactly what and how much you are willing to compromise is completely up to you. The first step is identifying expenses that are not necessary so you can use the money for something else.

If your utility bills are rising, you may want to upgrade your appliances to save some money. Upgrading to well-fitted double-glazed windows, for example, can reduce your heating bill dramatically. Besides you can repair any leaky pipes and only run the dishwasher with a full load.

Swap old, inefficient appliances for those that use less energy. Although doing so may cost you some money upfront, over the long-term you will save a fair penny on your utility bills. Unplug the appliances you do not need. In time you will notice significant savings in your energy consumption.

You can make a significant decrease in your heating and cooling bills by improving your insulation, as well as the roof above it. Insulation or roofing issues can be very costly, as maintaining a regular temperature in the home can be expensive. If you invest in the upgrades, it will save you a lot of money in the long run.

Using these tips not only saves you money, but it also helps you start bringing your budget under control. An expensive upgrade can save a lot of money in lowering electricity or water bills. This is one way that you can make your budget more reliable.