FINANCIAL HEALTH
Banks, government and companies will not ask you to pay a bill on the phone. Don’t send money or give out personal information over the phone or by text.
Scammers can put up fake caller ID information. It may look like it’s from someone you know when it’s not. Don’t believe caller ID.
These methods of payment don’t provide fraud protection. Real companies won’t ask you to do this. Know the risks of wiring money and gift cards.
© American Institute for Preventive Medicine
FINANCIAL HEALTH
The recent popularity of Bitcoin may have you wondering what it’s all about. Here’s what you need to know.
* Digital currency. Bitcoin is not linked to any physical representation of value. It is used as a medium of exchange or a store of value.
* Decentralized. No bank or organization controls Bitcoin, and it is not backed by any government or economy.
* Mined. Bitcoins are generated through a process called “mining.” It takes massive computer systems (and a lot of electricity!) to mine Bitcoins.
* Blockchain. Mining uses complex math puzzles to create a new “block” that is added to the Bitcoin chain. The blockchain is recorded in a public ledger.
* Stored in a “wallet.” A digital wallet is required to store the encrypted key that accesses your Bitcoin. It’s like a virtual bank account.
* Unregulated. No government or organization has regulatory oversight of Bitcoin. Bitcoin is anonymous and there is no recourse if stolen.
© American Institute for Preventive Medicine
Financial Health
© American Institute for Preventive Medicine
FINANCIAL HEALTH
A federal tax extension allows you extra time to file your taxes. You can request an extension for any reason and receive an additional six months to complete your return. Here’s what you need to know.
* You must request an extension before your filing deadline. Don’t delay or you risk a penalty.
* Submit the form via mail or electronically by your regular tax return deadline, usually April 15th.
* To avoid any potential penalties, pay estimated taxes at the time you submit the form.
* If you cannot pay what you owe, you can request a payment plan. Visit the IRS website to learn more.
* Use the extra time to file your return. The IRS does not allow a second extension, so don’t let the time slip away.
* Fill out the Application for Automatic Extension of Time To File U.S. Individual Income Tax Return available atirs.gov.
© American Institute for Preventive Medicine
FINANCIAL HEALTH
A lottery ticket, bingo, or a few pulls of a slot machine-these are all types of gambling that can be fun and harmless. But sometimes, people don’t just gamble for fun. It can become an addiction.
Problem gambling is when gambling becomes unhealthy to the gambler, their family or others. Over time, problem gambling can get worse and lead to health problems. The person may ignore their physical health, smoke, drink too much alcohol, or lose their job or relationships.
Problem gambling is not something the person can “just stop.” Often, they need help from a doctor or a mental health professional. That’s because for some people, gambling can stimulate areas in the brain that make it addictive, like nicotine in tobacco.
Signs of problem gambling:
* You think about gambling all the time.
* You gamble with money that is needed for other things.
* You don’t tell others how much you are gambling.
* You feel uneasy if you try to quit gambling.
* Even if you lose money, you keep gambling to try to win it back.
* You feel the need to gamble with larger and larger amounts of money.
* You lose a job, relationship or opportunity because of gambling.
* You feel like you simply can’t stop gambling, even if you try.
A person should not feel embarrassed if they have a problem with gambling. Doctors have different treatments for problem gambling that work. Getting medical care for problem gambling can save a person’s physical, mental and financial health.
Source: National Institutes of Health
© American Institute for Preventive Medicine
Financial Health
Manage and minimize misuse of your personal information
Consumers lose billions of dollars every year to crooks who steal their identity and money through fraud. Avoid becoming a victim.
Keep your personal information safe and secure:
* Put your Social Security card, Medicare card, military ID, and passport in a secure place, unless you need to use them. Memorize your social security number (SSN). Lock your purse or wallet in a safe place at work. Or carry your wallet with you.
* Shred or cut up bank statements, checks, credit card applications, expired charge cards, medical and insurance forms, and prescription labels you no longer need before throwing them away. Otherwise, keep them locked up. You can opt out of credit card offers received in the mail atwww.optoutprescreen.comor by calling (888) 567-8688.
* Use passwords and PIN numbers to protect your credit card and bank accounts, your smartphone, and all computer devices. Choose passwords with upper and lower case letters, numbers, and symbols. Nix using common items like your house numbers, phone number, and last four digits of your SSN.
* Install and regularly update anti-virus and anti-spyware on your smartphone and computer devices.
* Use only secure sites online when you need to give financial or personal information. These have Web addresses with “https” or “shttp” or show a lock symbol.
* When you are away, have someone you trust pick up your mail or have the post office hold it for you.
Avoid scams:
* Do not give your social security number or bank account numbers to persons in emails or on the phone.
* Don’t wire money to strangers, to sellers who insist on wire transfers for payment, or to anyone who claims to be a relative or family friend in an emergency who wants to keep the request a secret.
* Check your credit card, medical bill, and bank statements when you receive them in the mail or online. Report charges you did not make to the company right away.
* To help avoid ATM theft, use machines inside banks and ones you are familiar with. Don’t use machines that have extra items, even brochure holders, that could be cameras or that say they are “card cleaners.”
Action Step
Request a free copy of your credit report once every 12 months from three nationwide consumer reporting companies – Equifax, Experian, and TransUnion. Call (877) 322-8228. Check the reports for accuracy.
© American Institute for Preventive Medicine
FINANCIAL HEALTH
© American Institute for Preventive Medicine
FINANCIAL HEALTH
If you’re not close to retirement, you may not think much about your Social Security statement. But you can – and should – check it once a year. Here’s why:
* There could be errors in your wages that need to be corrected.
* You can see how much you’ve paid into Social Security.
* You can get an estimate of your future Social Security payments.
* You can make sure your address or direct deposit information is correct.
Check your statement for free online at the official Social Security website atssa.gov. Make sure you are on a website that ends in “.gov” or it’s not the official website.
© American Institute for Preventive Medicine
Financial Health
It’s never too early or too late.
Whether you are in your 30s, 40s, 50s, or even your 60s, plan for your retirement. Research shows that people who think about and plan for retirement save more than those who don’t.
Add up all sources of monthly income.
* Social Security. Find out how much you will get, monthly, from the Social Security. This depends on your work history and if you choose to start getting benefits at age 62 or your full retirement age (65, 66, or 67) or wait until age 70. A yearly statement mailed to you gives this information. Or, find out from Social Security benefit calculators atwww.socialsecurity.gov/retire2/index.htmandwww.socialsecurity.gov/planners/index.htm#a0=1. Do the same for a partner who will also receive Social Security benefits. In general, the amount you receive for Social Security retirement accounts for about 40 percent of your pre-retirement earnings. $____
* Private pensions from all employers $____
* Personal savings. This includes money you have in the bank and earnings on 401(k)s, 403(b)s, traditional and Roth IRAs, and other investments: $____
* Cash value life insurance. These are whole life or variable life policies. $____
* Part-time income you and/or your partner expect to make. $____
Total monthly sources of income: $____
You do the math:
Total monthly income needed: $______
Subtract total monthly sources of income: – $______
How much you’ll need to make up for each retirement month: = $______
Plan, now, ways to earn and/or save more for retirement.
Figure out how much you’ll need.
According to the Employee Benefit Research Institute, 56 percent of workers have no idea how much they need to save for retirement. On average, people need at least 70 percent of their yearly pre-retirement income. This can vary, depending on your age and needs. You will need more if you need to pay for your medical care. To estimate how much you might need, use a tool atwww.choosetosave.org/ballpark. Other calculators to help you plan can be found atwww.choosetosave.org/calculators. Include estimates for health care and other costs, such as a new car and home repairs. {Note: It will be easier to get a car loan if you buy the car while you are still employed.}
Total monthly income needed: $____
Action Step
Make an appointment with a financial planner at work or on your own to discuss retirement saving options that best meet your needs.
© American Institute for Preventive Medicine
FINANCIAL HEALTH
A home equity loan is a loan for a set amount of money. You get the loan by using equity, or value, in your home. Each month, you make payments on the loan to gradually pay it back.
There is some risk involved with home equity loans. If a person doesn’t make the payments, the lender can foreclose on their home. But they can be a good way to borrow extra money for home upgrades or other large expenses. Here’s what you need to know.
Choose a lender carefully
You can ask friends and family for recommendations. Then, look at what each one offers. Banks, credit unions and other lenders may all have different interest rates. They may also have different payment terms for the loan.
Ask questions
Your lender should explain the home equity loan to you. If you don’t understand something, ask. Make sure you know:
* The interest rate of the loan
* The monthly payment amount
* Annual percentage rate (APR), which includes fees and other charges
* Fees that may be charged for applying or closing on the loan
Get your credit score
When you apply for a loan, the lender will usually check your credit score. This is a number that tells the lender about your financial history. It includes things like how many accounts you have, late payment history and debt.
Your lender can tell you your credit score when they check it. You also have a right to see a free copy of your credit reports once each year. You can get your free report atannualcreditreport.com.
Shop around
You can talk with more than one lender before you choose one. If lenders know you are looking at other options, this can help you get the best deal.
Ask each lender for the lowest interest rates and fees. You can also ask them to beat the terms of another lender.
Read carefully
Before you sign, read the loan closing papers. They should match what you agreed to. Don’t sign if you’re not sure.
Source: Federal Trade Commission
© American Institute for Preventive Medicine