Retirement

A benefit of the Roth IRA is that the account can exist, essentially, forever without any minimum required distributions."The Roth IRA can be passed down to the next generation and provide tax-free earnings for that generation and the next," says Barber.
A Roth 401(k), on the other hand, will require distributions starting at age 70½. If you need the money, you may not mind taking the distributions. But there is a way around it if you prefer to keep your savings working for you tax-free.
The contribution limits for a 401(k) are roughly three times higher than that of an IRA.

 The most distinguishing characteristic of 401(k)s, whether Roth or traditional, is the high contribution limit, allowing employees to squirrel away up to $16,500 per year. For workers over 50, the ceiling is $22,000.

Social Security is a social insurance program that is funded through dedicated payroll taxes called Federal Insurance Contributions Act (FICA). Tax deposits are formally entrusted to the Federal Old-Age and Survivors Insurance Trust Fund, the Federal Disability Insurance Trust Fund, the Federal Hospital Insurance Trust Fund, or the Federal Supplementary Medical Insurance Trust Fund^.

                                    

Credit Cards

 Reward redemption fees: This is most frequently associated with redeeming airline miles. Some airlines allow you to avoid the fee by booking your trip online and only charge you for redeeming miles over the phone or at a ticket counter. Another way to avoid these fees is if you have a ton of frequent flier miles with a particular airline and get a fee waiver as a perk.
  
Foreign transaction fees: A fee charged to conduct transactions that involve a foreign bank if you buy a good or service from a company in a foreign country or use your card to buy a good or service in a foreign country. These used to be called currency conversion fees because card issuers said they imposed them to cover the cost of converting a foreign transaction into U.S. dollars, but  now they're called foreign transaction fees because they're charged even for deals made entirely in dollars

Paper statement fees: A fee to receive a paper statement in the mail. Bank of America, for example, has begun to roll out a $9 per month charge for paper statements on some checking accounts.

 

 

 

How to apply for Credit Cards:

Find out information about credit card plans, rates and terms on the Internet, in personal finance magazines and in newspapers.

http://www.creditcards.com/credit-card-news/6-credit-card-fees-you-might-not-know-about-1264.php

 

Personal Budget

A personal budget is a finance plan that helps decide your future personal income towards savings, dept and expenses.  Fixed expenses are expenses that you use towards the essentials.  They usually stay the same price. Some fixed expenses are your car payments and mortgage.  Flexible expenses are the expenses that change all the time.  A few examples of flexible expenses are going to the bars with your friends, restaurants with the family, and groceries.

Simple and compound interest on your savings account is important to know.  Simple interest is normally used for a single period of less than a year, such as 30 or 60 day, while compound interest can be yearly, semiannually, quarterly, or even continuously.

One importance of saving is that if you have gotten fired from your job, or let off, then you'll have no income to pay off all of your bills, or to have fun.  If you were to save up, per-say over 10,000, you should be good for a few months.  Some great advice is the sooner you start saving, the better. Start saving, so then you are ready for anything that happens in the future.

If you are wanting to spend your money, instead of save it. I'd reconsider that thought. Though it's very understandable that you need to pay off your fixed expenses, but be very lenient on your flexible expenses.  Instead of going out and spending your extra money on fast food everyday, get groceries, that you absolutely need and live off of them.  Afterward, take your extra money and start saving, it'll be for the best in the end.

News Article:
http://www.usnews.com/topics/series/money_saving_tips

Resources:
Objects, G. (2002). Interest. Retrieved 5 18, 2011, from Simple and Compound Interest Rates: http://www.getobjects.com/Components/Finance/TVM/iy.html

Importance of Saving Money. Retrieved 5 19, 2011, from Extra Income Simplified: http://www.extra-income-simplified.com/Importance-of-Saving-Money.html

Buying a Car

To buy a car, you would want to take a loan out of the bank.  In doing so, you should start out by investigating loans to know how much you can afford to spend.  You'll need to call around to many different banks to find the best interest rate for you.  Most banks will require you to pay a down payment on the loan.  You'll also want to make sure that you have somebody who you can trust for your cosigner.  Down payments are important, so then they can give you a higher amount on the loan, and it helps you in the long run financially. The time frame of the loan affects you because depending on how long the loan is, you might not be able to pay it all off on time. The value of loans changes from year to year because of the growing economy and all of the changes of prices all around the world. Three things that you should know to buy a car would be to decide which vehicle best suits your needs and budget, to research different loans so that you can get the best, and finally to pay off your loans on time so then you don't get in debt. Loans can be a tricky thing.

News Article:
http://autos.aol.com/gallery/2011-consumer-reports-top-picks/

Source:
McDougal, H. (2011). Economics - Concepts and Choices. Orlando: Houghton Mifflin Harcourt Publishing Company.