December 12th, 2015 12:23 PM by Dale DiGennaro
Custom Lending Group
December Edition
One of the most-hated times of year is Tax Season. We dislike letting go of money, yes, but we also dread tracking down the necessary documents and scraps of paper. If you are like many Americans, who start to think about filing taxes sometime between ”in like a lion” and “out like a lamb,” perhaps you could use some advice on getting your house in order. You’ll want to organize your documents into three “buckets.” Depending on your circumstance and organization style, you can get as detailed as you need. These can be three boxes with more specific files inside, three accordion files holding various categories or months within, or three roomy file folders. (You can use actual buckets if you like, but we don’t recommend it). Label your "buckets," putting related documents within.
If you are considering software or online tax preparation services, you have many options of varying cost. Depending on your income, you may be able to file free online with programs like TurboTax or TaxAct. Most people with simple returns will pay a small fee to file with these services. They may ofter a free federal return and require payment to file the state return. Be sure to do your research on these programs, keeping in mind security, accuracy, and the features you prefer. As you sort through your documents, filing them in their respective “buckets,” you’ll want to keep last year’s tax return handy. It will help you compile a check-list of important deductions or investment documents you will need for the current year. Of course, you will do better next year. You’ll start early. You’ll start tomorrow. You’ll start right now. Hang on to those good intentions and quickly label your three “buckets” for next year before the moment is gone. As the mail comes in through the coming months, you can throw things into the appropriate file. You will be less likely to procrastinate next year, knowing everything is already together, waiting for you.
Dale DiGennaroCustom Lending Group(707) 252-2700
We'd love to help! Are you ready to fill out a loan application today? Just curious about rates/ regardless, I'd be glad to help you go over your options. Give me a call at (707) 252-2700 or visit me online.
The Gift for Someone Who Has Everything Try a personalized jigsaw puzzle, a family photo calendar, a pre-loaded digital photo frame, or a photo collage poster. Just search for any of these terms on your favorite search engine and you'll find at least half a dozen vendors competing for your last-minute holiday shopping dollars.Flameless Candles: A Safe Home Decor Option Have you seen real wax candles with LED light bulbs? These beautiful candles flicker and look just like the real thing, but carry none of the fire risk. And since they're LEDs, their batteries last a very long time.A Special Card for Grandma and Grandpa Grandparents who have everything will appreciate cards made by their grandchildren much more than an electric nose-hair trimmer or the latest airline catalog gadget. Include a snapshot of the child, or a picture with Santa.
ECB Stimulus Disappoints
During a week packed with major economic news, the biggest story came from Europe. On Thursday, the ECB added less stimulus than expected, causing global bond yields to increase sharply. Weaker than expected manufacturing data on Tuesday helped offset the increase in mortgage rates, however. Friday's key labor market data had little net impact. Mortgage rates ended the week just a little higher.
The European Central Bank (ECB) announced additional stimulus measures, but the package was smaller than investors had expected. The ECB cut rates and will extend its bond purchase program by six months, but the quantity of monthly purchases will remain at $60 billion euros. Investors were looking for a large expansion of this figure. The smaller than expected package means less added demand for bonds, and bond yields around the world, including U.S. mortgage-backed securities, moved higher on the news. This caused mortgage rates to move higher.
While Europe and most other countries are adding stimulus, the Fed is beginning a cycle to tighten monetary policy. This has raised the value of the U.S. dollar, which increases the cost of U.S. goods for foreign consumers and hurts the U.S. manufacturing sector. This was seen on Tuesday as the ISM national manufacturing index unexpectedly dropped to the lowest level since 2009. Slower economic growth is positive for mortgage rates, because it reduces inflationary pressure, and this report caused rates to move lower.
Friday's important BLS employment report was a little stronger than expected. Against a consensus forecast of 190K, the economy added 211K jobs in November. Upward revisions to prior months added another 35K. The Unemployment Rate remained at 5.0%. Average hourly earnings, a proxy for wage growth, were 2.3% higher than a year ago.
The report caused some volatility, but it had little net effect on mortgage rates. The solid labor market data made investors nearly certain that the Fed will hike rates at the next meeting on December 16.
Next week, the second biggest report of the month, Retail Sales, will be released on Friday. Retail sales account for about 70% of economic activity. Before that, the JOLTS report will be released on Tuesday. JOLTS measures job openings and labor turnover rates, and this report is closely watched by Fed officials. In addition, there will be Treasury auctions on Tuesday, Wednesday, and Thursday.
Helping someone anonymously, especially a stranger is sure to put a smile on your face. Here are some of the best ideas we found to get you started.
Give us a call at (707) 252-2700 or send us an email at dale@clgroup.net. We're glad to answer questions — no obligation, of course.NMLS# 298353 | 845079 BRE# 966782 | 944064