Check out the 5 financial tips for the 4th week of April 2012.
Tip no 1 - If you have settled a debt for less than the actual amount owed, remember to include a 1099c form when you file your taxes.
This tip will come useful whenever you settle your debts with the creditors/collection agency. In debt settlement, you're able to come out of the debt ditch by paying less than the outstanding balance. For example: you debt amount is $20,000. You settle the debt at $10,000. This means you are saving $10,000. IRS will impose tax on this $10,000. Your creditors will send you a 1099C form before the tax season kick starts. Just fill out the form and when you file your income taxes. Be a responsible citizen of the country.
Tip no 2 - Your creditors can't file a lawsuit against you if the debt is past the state SOL.
Statute of Limitations (SOL) period is the number of years within which the creditors/collectors can register a civil suit against you for a past due debt. However, if the SOL period is over, then the creditors lose their right to file a lawsuit against you. This means they can't win default judgment against you.
Whenever a creditor/collector asks you to pay a debt, calculate the SOL period in your state. Find out if the debt has crossed the SOL period. If the debt has crossed the SOL period, then you can skip the payments.
Tip no 3 - Shop smartly before buying an auto insurance policy so as to get the required coverage.
Auto insurance is mandatory for all the vehicle owners. Auto insurance policy gives the financial protection to the vehicle owners against any unfortunate incidents. If you have purchased a vehicle, then you need to buy an auto insurance policy within a few days. Compare the auto insurance quotes before purchasing an auto insurance policy. Try to avoid buying a policy where you have to pay high premiums. However, this does not mean that you should buy a policy which offers bare minimum coverage to your vehicle. This will not be profitable for you. Compare the coverage before signing a contract. Choose an insurer who is financially stable.
Tip no 4 - Collect the information about the company before going for the job interview.
Gather all the information about the company before attending a job interview. Know the past achievements and future goals of the company. Find out where the company is located. Try to know about the work culture and your job profile. Know how many employees work in the company. You can get all these details from the official website of the company.
Browse through the different sections of official website. Find out what the employees have to say about the company. Are they happy or utterly disgusted with the management? Check out the special benefits offered to the employees.
Tip no 5 - Curtail your job costs by carrying your own lunch.
You go to the office to earn money. You work 9am to 5pm for getting a paycheck at the end of the month. Use your hard earned money wisely. Don't waste it while working in the office. Reduce your job costs as much as possible. Carry your own lunch. Make your own lunch at home. This will help you save money on foods. If you don't have time to cook food in your home, then ask your family member to prepare it. Eat healthy foods at your office and stay physically fit.