Welcome to Kiplinger's My First $1 Million series, in which we hear from people who have made $1 million.

They're sharing how they did it and what they're doing with it. This time, we hear from a married 73-year-old Oklahoma man who retired from the oil industry in 2011 with a salary of $150,000.

See our earlier profiles, including a writer in New England, a literacy interventionist in Colorado, a semiretired entrepreneur in Nashville and an events industry CEO in Northern New Jersey. (See all of the profiles here.)

Each profile features one person or couple, who will always be completely anonymous to readers, answering questions to help our readers learn from their experience.

These features are intended to provide a window into how different people build their savings — they're not intended to provide financial advice.

To learn what these millionaires have taught us, check out the articles 5 Key Insights We Learned From 50 Millionaires and 5 Things 50 Millionaires Wish They'd Known Before They Retired.

And to hear more about My First $1 Million, you can check out this podcast with bestselling author and tax attorney Toby Mathis:

The Basics

How did you make your first $1 million?

In 1982, I had $30,000 saved and invested in the market until 1995, when I hit $1 million. It dropped and then came back to $1 million, then $2 million by 2011. Most investments were old-style stocks, high dividend yield, reinvested, not much tech.

Continued to invest as extra money came in.

Hit $4 million four years later, then $5 million in 2024, then $6 million in 2026.

What are you doing with the money?

Continued to invest heavily until 2022 when I sold the house. Already retired by then.

We donate through endowment funds to various organizations.

The Fun Stuff

Did you do anything to celebrate?

Every time we reach an additional million dollars, we watch one scene from the movie Giant. James Dean hits an oil well and says, "I'm a-richin'. I am a rich boy." A pretty funny scene.

Then we usually go out and have a Mexican dinner.

What is the best part of making $1 million?

I have a coin collector mentality. I like collecting bunches of different stocks. I probably have well over 120 stocks and maybe another 20 bonds.

Did your life change?

Yes, it allowed us to move into a nice retirement home. The important thing is not the amount of money you have, but the cash flow from that money that you can depend on.

It is like having a self-made annuity that helps to make life more stress-free.

Does anyone know you're a millionaire?

Due to where we live, it is implied that we must be rich.

Did you retire early?

Retired at 59.

Looking Back

Anything you would do differently?

I would have learned to do better research. I lost a lot of money on bad stock decisions. Fortunately, I was lucky on my good decisions. I usually bought on dips.

What advice would you give to your younger self?

Learn to do better research.

Did you read any books that helped you on your journey?

Yes, by Geraldine Weiss, a compatriot of Warren Buffett. One of the first women on Wall Street.

Also, my favorite newsletter, called Retirement Watch, which has a lot of great information in it, written by Bob Carlson, a CPA/attorney/investor.

Did you work with a financial adviser?

No.

Did anyone help you early on?

Yes, I had a friend who was saving and investing back in the 1980s. He got me started in saving and investing.

Looking Ahead

Plans for your next $1 million?

I have over $6 million right now. I plan to give away most of anything that I make over that amount. Mostly to charities.

Also to have nice parties and dinners for my friends.

Any advice for others trying to make their first $1 million?

Keep your costs down and invest the profits.

Do you have an estate plan?

Yes, with trusts, POA, advanced care directives, etc.

Most important is a booklet that has about 100 pages of directions for my daughter once I am gone.

It is based on the NOLO book called Get It Together: Organize Your Records So Your Family Won't Have To (by Melanie Cullen and Shae Irving).

I used those ideas and then created my own forms.

What do you wish you'd known …

Before you retired? I started bracing for retirement eight years before I retired, so I was ready when I did retire. I always say I was born to retire.

When you first started saving? Do better research.

When you first started investing? Do better research.

If you have made $1 million or more and would like to be anonymously featured in a future My First $1 Million profile, please fill out and submit this Google Form or send an email to MyFirstMillion@futurenet.com to receive the questions. We welcome all stories that add up to $1 million or more in your accounts, although we will use discretion in which stories we choose to publish, to ensure we share a diversity of experiences. We also might want to verify that you really do have $1 million. Your answers may be edited for clarity.

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Trump Accounts went live on July 4, and parents have been signing up ever since. The pitch is easy to like.

Any child under age 18 with a valid Social Security number can have a Trump Account established on their behalf. Eligible children born between January 1, 2025, and December 31, 2028, who are U.S. citizens can get a $1,000 contribution from the federal government.

With or without that contribution, you can add up to $5,000 a year to the account, and your employer can contribute as much as $2,500 of that total without it counting as taxable income to you.

Free money for a newborn is a good deal, and you should claim your kid's $1,000 if they're eligible.

But I keep hearing the same question from parents: Should I put college savings here instead of a 529 plan?

The answer is no, and the reason has nothing to do with politics. It is in the tax code.

A retirement account under a different name

Strip away the branding and a Trump Account is a retirement account with a head start. Here is how it works. Until the year your child turns 18, the money is locked in what the law calls a growth period. It has to sit in a low-cost fund tracking a broad index of American stocks, with fees capped at 0.1% and no leverage allowed. Nobody can take money out during those years — not you and not your kid.

Then the account turns 18 and becomes a traditional IRA. That single fact drives everything else. Money in a traditional IRA grows tax-deferred, not tax-free, and when it eventually comes out, the earnings are taxed as ordinary income. Pull money before age 59½ and you generally owe a 10% penalty on the taxable portion unless an exception applies.

There is one more wrinkle that catches people. Only the money you and your family contribute creates "basis." The government's $1,000, anything your employer adds and any state or charitable contributions do not.

That means those dollars, plus every dollar of growth on top of them, come out fully taxable down the road.

Why a Trump Account is a poor substitute for a 529 plan

Put the two side by side and the gap is obvious. A 529 also grows without annual tax drag, but when you spend it on qualified education costs, the withdrawal is tax-free. Not deferred. Free. That is the whole point of the account, and it is exactly what a Trump Account does not offer.

Say you use a Trump Account to help pay for college. Because it is a traditional IRA by then, an exception can spare you the 10% penalty for qualified higher education expenses. Good.

But the earnings still land on the tax return as ordinary income, at whatever rate applies. The same dollars pulled from a 529 for the same tuition bill would have come out untaxed.

For a college goal, one account is built for the job and the other is being asked to moonlight.

The 529 also just got better, which sharpens the comparison. The annual K-12 withdrawal limit doubled to $20,000. Qualified expenses now include tutoring, SAT and AP fees, and educational therapies. And 529 money can now pay for workforce credentialing programs, not just traditional degrees.

If you want to see how the vehicles stack up against your actual goal, a college savings comparison guide like the one at the website I founded, CollegeLens, is a better starting point than a headline.

So where does a Trump Account fit?

It fits — just not where people are trying to put it. Think of the Trump Account as your child's first retirement account, funded by someone else. A thousand dollars invested in a broad stock index at birth, left completely alone for six decades, is a genuinely powerful thing.

That is not a small gift, and the lock-up that makes it useless for tuition is the same feature that makes it work as long-term compounding.

A few practical tips:

• Open the account and take the $1,000. It costs you nothing and there is no reason not to claim if your child is eligible.
• Ask HR about the employer contribution. Up to $2,500 a year, tax-free to you, is a benefit many workers do not know exists yet.
• Keep your college money in the 529. If a dollar is earmarked for tuition, it belongs in the account that lets you spend it tax-free.
• Do not skip the 529 to fund this. Contributing $5,000 a year here while your college plan sits empty is optimizing for the wrong decade.

The bigger picture

New accounts arrive with a lot of noise, and the noise tends to drown out the mechanics. The mechanics are what decide whether an account helps you. A Trump Account is a retirement vehicle wearing a family-finance label, and it is a decent one, especially if someone else is making the first deposit. It is simply not the thing that pays a tuition bill.

So take the free money. Open the account, let it sit and let it compound for 50 years. Then go back to funding the account that was actually designed for the goal you are worried about.

Two different jobs, two different tools, and the mistake would be asking one to do the other's work.

One caveat worth noting: The IRS has said more guidance and regulations are still coming, and state tax treatment does not always follow the federal rules.

If you are making a large contribution, it is worth checking where things stand before you commit.

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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

As gas and grocery prices rise, more and more Americans are struggling to keep up with the costs of everyday expenses. This makes it more important than ever to look for any waste in your budget.

Because of how habitual your grocery shopping trips can become, this is one of the areas in a budget that is most vulnerable to waste — whether you're buying duplicates of things you already have, being swayed by sales on items you would never normally buy, or just watching a lot of perishables sit uneaten in your fridge until they expire.

If it seems like there's no way to spend any less on groceries than you already do, you might be surprised at just how many sneaky sources of waste are hiding in your monthly grocery spend. If you're making any of the following mistakes, you could be wasting hundreds each month.

1. Driving around to multiple stores in a single trip

This is one of those seemingly frugal habits that aren't actually worth it. Having a store rotation is great. Costco might have the best prices for some items, but not for others – or there might be some specialty items on your list you can only get at a more niche market.

But if you're visiting every store every week, you're using up a lot of gas and a lot of time. Instead, you should make a rotation. If Costco is your go-to for bulk buys, try to plan your trip so that you buy a month's worth of groceries from the wholesale club in one trip. Next week, get a week or two of groceries from the next store in your rotation.

2. Not using a cash back card to pay for groceries

Even if you have the most meticulous strategy for eliminating wasteful spending from your grocery budget, you're still leaving money on the table if you're paying for those groceries with cash or debit.

There are so many great rewards credit cards available now that there's no reason not to earn something back on the spending you know you have to do every month. I earn over $300 each year on gas and groceries just by making sure I swipe the right card.

The key here is to continue strictly budgeting how much you spend on groceries every month and paying off the balance in full by the statement's due date so that you can earn cash back without paying interest on credit card debt.

3. Paying for multiple shopping memberships

This is a sneakier form of subscription creep that can feel justified if you don't do the math. If you've got both Costco and Sam's Club memberships, for example, take some time to look through your bank statements and find out how much you're really using each and whether you get enough value out of each to keep them.

While some families might be able to squeeze enough value out of each membership to make the annual fees worth it, a lot of families don't really need so many.

If you prefer the grocery selection at Costco but keep Sam's Club because the gas station is closer, for example, maybe you can ditch the Sam's Club membership and get the Costco credit card which offers 4% back on non-Costco gas stations. The cash back on the credit card and the amount you're saving by skipping the Sam's Club annual fee might be enough to make up for any savings you were getting at Sam's Club gas stations.

Do the same math for other shopping memberships like Amazon Prime or Walmart+. Think about which perks you're actually using and whether or not there's a cheaper way to get those perks.

4. Shopping without a list

Every grocery shopping trip should start with looking through your fridge and pantry to find out what items are actually running low and what items need to be used up. Then, use that information to come up with at least a loose meal plan for the coming week.

Even if you don't have the energy or desire to create a detailed meal plan, you can at least jot down a few of the meals you typically cook every week or the kinds of meals you're craving. That plan should be built on the items you already have so that you're shopping to supplement what's already there rather than buying all new ingredients.

Without a list, you can end up with a fridge stocked with four bottles of ketchup and not a single food item that goes with ketchup. Shopping without a list also leaves you vulnerable to sales and impulse buys that you don't actually need.

5. Shopping for the person you want to be instead of the person you are

Trying to eat healthier is a great goal. But how many bags of spinach have you bought only to watch them quietly turn to slime in your fridge? If you're buying a bunch of fresh veggies with no plan for them, you're just pouring money into the garbage.

If you're in the process of changing the way you eat, meet yourself where you are. Get frozen or canned veggies that won't spoil so quickly. Get precut fruit so it's easier to grab as a snack. Find ways to incorporate healthier foods into what you already eat — like sneaking some oatmeal or chia seeds into the meatballs you're making for dinner or adding a can of peas to your favorite stew.

Don't just buy the foods you think you should be eating and hope you'll actually eat them. That's a recipe for wasting money without making any progress on your health goals.

6. Buying the wrong things in bulk

Bulk deals can be a great way to save money on the things you use regularly. But it's not the most cost effective move for every item on your grocery list. You have to be especially careful with anything that's perishable — make sure you only buy as much as you can eat before it turns.

Even some food items that seem a little more shelf-stable can still be bad to buy in bulk if your family won't use it fast enough. That includes things like coffee (especially if it's already ground) and olive oil.

Always check the expiration date when buying large quantities. Try to estimate how much of that item your family can eat in that time frame and limit your purchase to that quantity.

Buying 10 pounds of potatoes because it's cheaper per pound than buying a five-pound bag only works if you can eat 10 pounds of potatoes before they expire. If you only end up eating five pounds or less, you paid more for the five pounds you actually consumed than you would have if you'd just bought a five pound bag to begin with.

7. Not having a grocery budget

With rising grocery prices, this one can seem impossible. But having a target number you want to stay under can help more than you think. By the end of the month, if you're cutting it close to that target number, you know it's time to get creative with what you've already got at home rather than just buying more of the usual on autopilot.

Just about every kitchen is stocked with those neglected canned foods, forgotten frozen veggies or the leftovers from a couple nights ago you swore you'd eat. Holding yourself to a budget can force you to actually make use of those things before buying more.

If you're not sure where to start with setting a grocery budget, look at how much you spent on groceries last month and then challenge yourself to spend, say, $100 less than that this month. Keep pushing that number down each month until you find an amount that you can comfortably afford while eliminating wasteful spending and stockpiles of uneaten food.

Cutting waste from your grocery budget isn't just about spending less at the supermarket. The money you free up can be redirected toward bigger financial goals, whether that's building an emergency fund, paying down debt or saving more for retirement. Want help deciding where those extra dollars could make the biggest difference?

Use the Bankrate tool below to connect with a vetted financial professional who can help you with a strategy to reach your financial goals.

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Americans who move to Europe often report the sheer number of details that must be addressed. One detail that may not immediately come to mind is the question of whether to ship one's car to the new country, or to sell that vehicle and buy a new one on arrival.

If you already own a reliable vehicle, the best choice may seem to be to take it with you. In practice, this can be one of the most misunderstood decisions in an international relocation.

As an Italian attorney who helps Americans moving to Italy and other parts of Europe, I've seen many cases where the cost and complexity of shipping a vehicle end up far exceeding expectations. In some situations, the decision still makes sense, but in many others, purchasing locally after arrival is not only simpler but also significantly more economical.

Customs duties, registration requirements, insurance constraints, compliance rules and logistical risks can quickly turn what seemed like a simple shipment into a costly, time-consuming process.

The hidden costs of shipping a vehicle overseas

At first glance, international auto shipping quotes can appear reasonable. Depending on the origin and destination, Americans may see base prices ranging from a few thousand dollars to more than $10,000 for enclosed transport.

But the shipping fee is only part of the equation.

Once the vehicle arrives in Europe, it must pass through customs clearance. In many cases, import duties and value-added tax (VAT) apply unless the owner meets specific exemption criteria, such as transferring residency and proving long-term ownership of the vehicle before relocation. Even then, documentation requirements are strict and inconsistently applied across jurisdictions.

Italy, for example, has detailed registration and other requirements that can create significant hurdles for imported vehicles. Cars must comply with European technical standards, and modifications may be required for headlights, emissions systems or other components. These adjustments can be expensive and sometimes impractical for older or highly specialized vehicles.

Car insurance presents another layer of complexity. U.S. insurance policies are not valid abroad, and European insurers may be hesitant to fully cover imported vehicles, particularly in the initial registration period. Premiums can be higher and coverage limitations more restrictive than many Americans expect.

When all of these factors are combined — shipping, customs, modifications, registration fees and insurance — the total cost of importing a car can exceed the price of purchasing a comparable used vehicle locally.

When shipping a car does make sense

Despite these challenges, there are circumstances where shipping a vehicle can be justified.

One common case involves individuals relocating temporarily under specific visa arrangements or diplomatic postings where the stay is short and the vehicle is already adapted to international standards.

Another scenario involves high-value or specialized vehicles, such as classic cars or models that are significantly more expensive or difficult to source in Europe. Even then, careful planning is essential, including confirming import eligibility and compliance requirements before the vehicle leaves the U.S.

For most long-term relocations, however, particularly those involving families settling into everyday life abroad, buying a car locally is often the more efficient path.

The risks of choosing the wrong shipping company

Beyond regulatory and financial considerations, one of the most common problems involves the shipping process itself.

The international vehicle transport industry is not uniform, and standards vary widely. Some companies are highly professional and experienced in cross-border logistics, others are not.

A recurring issue is the presence of hidden fees that appear only after the vehicle has been collected. These can include unexpected port charges, storage fees or administrative costs that were not clearly disclosed in the initial agreement.

Insurance coverage is another area where misunderstandings arise. Clients often assume their vehicle is fully insured door-to-door, only to discover that coverage is limited during certain stages of transport or that claims are subject to strict exclusions.

Delays are also common. Vehicles can be held at customs for extended periods owing to incomplete paperwork or compliance questions. In some cases, owners are forced to pay additional storage fees while issues are resolved.

In the worst cases, clients may fall victim to outright fraud — paying deposits to companies that are not properly licensed or that outsource transport without clear contractual accountability.

Why local purchase is often the smarter financial decision

When Americans arrive in Europe, they are often surprised by how functional and accessible the local used car market can be. While vehicle preferences and driving styles differ from those in the U.S., many regions offer well-maintained, reasonably priced vehicles that are already fully compliant with local regulations.

Buying a used car locally means new residents avoid customs complexity, eliminate shipping risks and gain immediate access to proper insurance coverage. They also have the advantage of selecting a vehicle that fits local driving conditions, which in many European cities can include narrower streets, limited parking and lower speed limits.

From a financial planning perspective, this approach often reduces uncertainty at a time when many other relocation costs are already coming into focus.

A decision best made early in the relocation process

Transportation decisions should be made early in the relocation process, not as an afterthought once logistics are already underway.

The question is not simply whether a car is worth shipping, but whether the cost, risk and administrative burden align with the broader goals of the move. In many cases, the answer becomes clear once all factors are fully considered.

For Americans moving abroad, the emotional attachment to a familiar vehicle is understandable. But international relocation is full of hidden trade-offs, and this is one area where practicality often outweighs sentiment.

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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

Android users have several top-quality Samsung Galaxy phones to choose from in 2026. This year's lineup includes the Galaxy S26 Ultra and the Galaxy Z Fold8, both packed with cutting-edge features.

If you're considering upgrading to a new Samsung Galaxy, Verizon has some competitive deals when you pair your device with one of its premium plans. These plans are geared toward heavy phone users who can take advantage of features such as unlimited hotspot data.

Whether you're ready to upgrade, thinking about switching to Verizon or simply like having one of the latest top-of-the-line devices, these Samsung Galaxy deals are worth considering.

Galaxy S26 Ultra: Best for traditional smartphone users

The Samsung Galaxy S26 Ultra is a solid option for traditional smartphone users who want Samsung's most powerful smartphone, but who don't want to fundamentally change how they use their device.

The S26 Ultra's camera is designed to capture detailed photos even in low light, making it useful for nighttime photography. Photo Assist with Galaxy AI can also help enhance images after they're taken. Now Nudge, another Galaxy AI feature, analyzes what's on your screen and suggests relevant actions, such as adding an event to your calendar, opening a shared location or finding photos to share. A built-in privacy display can also help limit what others see when you're using your phone in public.

The S26 Ultra's durable build may also appeal to users who don't want the added complexity of a foldable phone. And at about $600 less than the Samsung Galaxy Z Fold8, it's the more budget-friendly option of the two.

Verizon currently offers several ways to save on the Galaxy S26 Ultra. Customers can get the phone for $0 per month for 36 months with an eligible Unlimited plan. The discount is provided through monthly bill credits, so you'll need to keep the line on an eligible plan to continue receiving the credits.

Another option is Verizon's Simplicity Pro program, which costs $50 per month in addition to the qualifying Simplicity phone plan. Simplicity Pro includes a monthly device credit and Flex Upgrade, which lets you upgrade your phone after you've paid at least 33% of the device payment agreement and meet Verizon's other requirements. The program also includes Premium Visual Voicemail, two TravelPass days per month and Global Choice for calling one eligible country.

Galaxy Z Fold8: Best for multitaskers

The Samsung Galaxy Z Fold8 is a strong choice for multitaskers who want the flexibility of a phone and tablet in one device. Its 7.6-inch folding display provides extra room for working across multiple apps, while the larger screen is also well suited for streaming and entertainment. The 50MP dual camera system adds versatility for photos and video.

Despite its larger folding display, the Z Fold8 weighs just 7.09 ounces, making it relatively easy to carry. It's best suited for people who frequently work or multitask from their phone or simply want more screen space than a traditional smartphone provides.

Verizon is currently offering $460 off the Galaxy Z Fold8, bringing the full retail price from $1,899.99 to $1,439.99. Customers can finance the phone for $29.99 per month for 48 months, with shorter financing terms also available.

Verizon is also promoting its Simplicity plan with the Fold8. The plan includes unlimited 5G Ultra Wideband data, 10GB of high-speed mobile hotspot data, satellite texting and talk, text and data in Mexico and Canada. New customers who meet Verizon's switching and Auto Pay requirements can get the plan for $30 per month, down from $55 per month.

The plans matter just as much as the phone

The phone is only part of the equation when comparing these Verizon deals. Before choosing an offer, make sure the required phone plan fits your needs and budget.

For example, Verizon's Unlimited Ultimate plan includes features geared toward heavy phone users, including unlimited mobile hotspot data and international talk, text and data in more than 210 countries and destinations. Other plans may cost less but include fewer premium features.

Those extra phone plan perks can add to your monthly costs. When comparing offers, look at the total monthly bill, including the phone and required service plan, rather than focusing on the device discount alone. That will give you a better sense of whether you're actually getting a good deal.

Which Verizon deal makes the most sense?

If you're ready for a new Android phone, Verizon's current Samsung Galaxy deals offer options for different types of users and budgets. Here's how to decide which phone is the better fit.

Choose the Galaxy S26 Ultra if you:

• Want a traditional smartphone: The Galaxy S26 Ultra delivers Samsung's premium features without the folding design of the Z Fold8.
• Prioritize the camera: Its camera is designed to capture detailed photos, including in low-light conditions, making it a strong choice if photography is a priority.
• Prefer durability: Without a folding screen and hinge, the S26 Ultra has a more traditional, durable design.
• Want to spend less: With a lower retail price than the Z Fold8, the S26 Ultra is the more budget-friendly option of the two.

If you want more screen space and don't mind paying more for a foldable design, the Z Fold8 may be the better fit.

Choose the Galaxy Z Fold8 if you:

• Want a foldable phone: The Z Fold8 is designed for users who like the flexibility of a traditional smartphone that opens into a larger, tablet-like display.
• Multitask frequently: The larger display lets you use multiple apps at once, giving you more room to work than a traditional smartphone.
• Want more room for entertainment: The 7.6-inch display provides extra screen space for streaming video, reading and browsing.
• Don't mind a longer financing term: Verizon's lowest monthly device price requires 48 months of financing, so consider how long you plan to keep the phone before choosing this option.

Verizon's deals can make these Samsung Galaxy phones more affordable, but the device discount is only part of the equation. Before signing up, compare the cost of the phone and service plan, consider how long you'll be committed to the financing agreement and review the promotion requirements. The best deal is the one that fits both how you use your phone and your budget.

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It's that time of year when parents are rushing to buy all the supplies for their college-bound child.

Getting the mini-fridge, the microwave, a new laptop, books, even on-campus meal plans is all part of the process of helping your child feel prepared and equipped to succeed in the next chapter of their life.

However, one essential item is often left off the checklist: Having a conversation about personal finance.

College is often when young adults start making financial decisions by themselves. Whether it's learning how to use a credit card, following a budget or deciding how to live on limited funds, the habits they develop during this time can have lasting financial consequences.

Before move-in day, parents should take this opportunity to teach their children how to make smart financial decisions from the start.

Start with a conversation

Before getting into budgeting, credit card use or opening new bank accounts, start with a much simpler conversation: Explaining how money works. Many college-age children understand spending money, but often don't understand how the financial choices they're making can either work for them or against them.

In life, money can be managed well, working for your benefit, or it can create obstacles and eventually start managing you.

While it's getting better, many of us weren't taught these fundamental financial skills in school or at home. For a long time, finances weren't openly discussed, which is why it's important for parents to break the cycle by having those conversations before their child leaves home.

Set up an emergency fund

One of the first lessons I encourage parents to teach is understanding that not every purchase has the same impact. For example, some of the things we buy, such as food, hygiene products, clothing and school supplies, are necessities that will eventually have to be replaced.

Other purchases have the potential to earn money or increase in value over time. These can be investments, starting a business and renting out property.

Money should also be set aside in an emergency fund, for example in a cash savings account, to help cover unexpected expenses, such as a car repairs, medical bills or a sudden job loss.

Saving these dollars and using them for emergencies only can help avoid taking on debt that could take years to pay off, or taking from your future by selling long-term investments and other valuable assets.

Use credit sensibly

College is also the first time many students take out their first credit card. While using credit responsibly can help build a positive credit history, it's important to teach them that a credit card is not an extension of their income.

They don't own this amount of money to spend — they're borrowing it to use now and will be held responsible for paying it off later. It's a loan. And loans carry interest.

When statement balances aren't paid in full each month, they start accumulating interest. This means that a $200 shopping spree could have the potential to end up costing $500-plus once that loan is paid back. This can create consequences that follow them long after graduation.

When it comes to credit card use or the impacts credit history can have on future opportunities, I like to tell families to introduce credit scores by explaining them as a lifelong financial report card.

The behaviors students fall into now — paying bills on time, keeping balances low, living within a budget and saving — can influence every milestone in their future, from buying a car to qualifying for an apartment or loan or even securing their first job.

That's why developing good financial habits from the beginning is crucial. It's much easier to build healthy habits early than to repair poor ones in the future.

Learn from mistakes

Through this process, it's also important for parents to remember that just because their student is leaving for college, it doesn't mean they have to stop being involved in their child's finances.

Continuing to provide additional guidance and support, especially during those first few months, can help reinforce healthy habits while giving students the opportunity to learn from small mistakes before they pose a risk to future financial security.

This doesn't mean controlling every purchase. The goal isn't to remove mistakes entirely. Instead, putting together a simple budget, reviewing recent purchases or setting reasonable spending limits on first-time credit card use until the child has demonstrated they can use it responsibly are all healthy ways to remain a part of your child's finances while still giving them the room to learn from their mistakes.

Build strong financial foundations

One of the most valuable financial lessons parents can teach their college-bound child is to think beyond the present.

Before they make a financial decision, encourage them to consider how it might affect their future. Whether it's taking on unnecessary debt or prioritizing saving for the future, whatever choice they make now can shape the opportunities they'll have in the future.

As your student heads off to school, use these final moments of summer as an opportunity to lay that foundation. As well as maximizing your time with them, talk to them about how money works, share mistakes you hope they avoid making and continue to reinforce the importance of making thoughtful financial decisions.

This will not only help them prepare for the next four years, but also give them the tools to build lifelong financial independence.

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• I'm an Investment Professional: These Are the Three Money Tips I'm Giving My College Grad
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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

Each week in our Ask the Editor series, Joy Taylor, The Kiplinger Tax Letter editor, answers questions on topics submitted by readers. This week, she's looking at four tax questions from readers on tax breaks for buying a vehicle, using a vehicle in your business and more. (Get a free issue of The Kiplinger Tax Letter or subscribe.)

1. Is there still an EV credit?

Question: I am planning to buy an electric vehicle for personal use. Can I get a federal income tax credit for buying the car?

Joy Taylor: No. Unfortunately, the electric vehicle tax credit has expired. The up-to-$7,500 tax credit for buying a new EV and up-to-$4,000 tax credit for buying a used EV expired for vehicles bought after September 30, 2025. Last year's One Big Beautiful Bill repealed this popular tax break.

2. What's the IRS's standard mileage rate?

Question: I am a self-employed real estate agent, and I use my car in my business. Each year, on Schedule C of Form 1040, I claim the IRS's standard mileage allowance as a deduction for my business driving. What is the standard mileage rate for 2026?

Joy Taylor: This year, calculating your mileage expense using the IRS's standard mileage rate is a bit more complicated than normal. For your business driving from January 1 through June 30, the rate is 72.5¢ per mile. The rate increases to 76¢ a mile for business driving from July 1 through December 31. The IRS opted to increase the standard mileage allowance due to higher gas prices at the pump caused by the U.S. war with Iran.

Note that the IRS also increased the standard mileage rate for medical travel to 23.5¢ a mile for the last six months of 2026. The rate is 20.5¢ a mile for January 1 through June 30, 2026.

3. Bonus depreciation for buying a new business vehicle

Question: I am self-employed and am planning to buy a new vehicle this year that I will use 100% in my business. Can you please tell me what tax breaks I might be eligible for by purchasing the auto?

Joy Taylor: Buyers of business vehicles get generous tax breaks, such as the following:

• If you buy a heavy SUV used for business and place it in service after January 19, 2025, then you can write off the full cost of the vehicle because of 100% first-year bonus depreciation.
• If you buy a big truck and put it into use this year, you can expense up to 100% of the cost (subject to the limit that the total amount expensed cannot exceed the taxable income from your business).
• For other passenger automobiles bought and placed in service this year, you can take annual depreciation deductions. With bonus depreciation, you can deduct up to $20,300 in 2026, $19,800 in 2027, $11,900 in 2028, and $7,160 in each year thereafter. Absent bonus depreciation, you can deduct up to $12,300 in 2026, $19,800 in 2027, $11,900 in 2028 and $7,160 in each succeeding year.
• If you finance the purchase of your business vehicle, you can deduct the interest that you pay each year on Schedule C.
  
  Read more: Tax breaks for the self-employed.

4. Deductions when buying an auto for personal use

Question: I bought a car earlier this year for personal use. I took out a loan from the auto dealership to finance the car. Can I take a tax deduction for the interest that I pay each year on the loan?

Joy Taylor: It depends. Last year's One Big Beautiful Bill gave individuals a temporary deduction of up to $10,000 a year for interest paid on loans to buy a new vehicle for personal use. This break kicked in for 2025 tax returns filed this year and ends after 2028, unless lawmakers agree to extend it. It is available to people who itemize on Schedule A of Form 1040 and to those who claim standard deductions. Filers use Part VI of Schedule 1-A to figure the deduction. There are several requirements to take this deduction:

• Only interest paid on the purchase of a new qualified passenger vehicle is eligible for the deduction. A qualified passenger vehicle is a car, minivan, van, SUV, motorcycle, or pickup truck with a gross vehicle weight rating of less than 14,000 pounds.
• Final assembly of the vehicle must take place in the U.S.
• The vehicle must be bought for personal use.
• You must purchase the vehicle in 2025 or later. So, for example, if you financed the cost of a vehicle that you bought in 2024 for personal use, you cannot deduct the interest that you pay on the car loan.
• You cannot deduct interest paid on a loan to buy a used vehicle.
• The tax write-off begins to phase out at modified adjusted gross income (AGI) over $200,000 on joint returns and $100,000 on other returns and ends at modified AGI above $250,000 on joint returns and $150,000 on others. Modified AGI is AGI shown on line 11 of the Form 1040 plus any foreign earned income exclusion, foreign housing exclusion, and certain income excluded because it was received from sources in Puerto Rico, Guam, American Samoa or the Northern Mariana Islands.
• The lender must file an information return with the IRS reporting the amount of interest received from the buyer of the vehicle and send a copy of that return to the purchaser. Note that the IRS provided some transitional relief on this requirement for 2025.

About Ask the Editor, Tax Edition

Subscribers of The Kiplinger Tax Letter, The Kiplinger Letter and The Kiplinger Retirement Report can ask Joy questions about tax topics. You'll find full details of how to submit questions in each publication. Subscribe to The Kiplinger Tax Letter, The Kiplinger Letter or The Kiplinger Retirement Report.

We have already received many questions from readers on topics related to tax changes in the One Big Beautiful Bill, retirement accounts and more. We will continue to answer these in future Ask the Editor roundups. So keep those questions coming!

Not all questions submitted will be published, and some may be condensed and/or combined with other similar questions and answers, as required editorially. The answers provided by our editors and experts, in this Q&A series, are for general informational purposes only. While we take reasonable precautions to ensure we provide accurate answers to your questions, this information does not, and is not intended to, constitute independent financial, legal, or tax advice. You should not act, or refrain from acting, based on any information provided in this feature. You should consult with a financial or tax advisor regarding any questions you may have in relation to the matters discussed in this article.

More Reader Questions Answered

• All Ask the Editor Q&As
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• Ask the Editor: Estimated Tax Payments and Withholding
• Ask the Editor: Questions on Selling a Home
• Ask the Editor: 10-Year Rule for Inherited IRAs
• Ask the Editor: Tax Questions on Roth IRA Conversions
• Ask the Editor: Tax Rules for Landlords

Nine in 10 midsize businesses plan to implement AI in 2026, according to J.P. Morgan's latest Business Leaders Outlook survey. But while it's incredibly easy for companies to simply "turn on" AI tools, poor AI implementation in the workplace is a growing cause of employee burnout and disengagement.

For businesses, adopting AI isn't just about technological capability. How it fits into a company's culture and systems is just as important.

AI tools as standard

Thanks to tech companies' race for AI dominance, it's never been easier for businesses to become "AI-optimized." Enterprise software now comes with AI integrated into email and basic productivity tools as standard, which means teams can use tools such as Windows Copilot or Google Gemini for practically anything.

But it's often given to employees without clear instructions or guidance. The AI tools employees most commonly use are large language models that run on user-generated prompts and back-and-forth dialogue, so most leaders assume their staff can and will figure it out for themselves.

It's imagined that through back-and-forth prompt engineering, they will eventually get the outcome they're looking for.

Research has revealed a significant gap between companies' desire to use AI and their employees' understanding of how best to do so. According to Slingshot, 77% of employees report being confused about how to use AI in their jobs, while 56% of employees in a KPMG report said they were making mistakes as a result of AI.

This hugely transformative technology is being unleashed on employees. Instead of guiding them through how to use it, it's being treated like a simple tool they can "figure out" for themselves. That is a damaging mindset for businesses and their employees, and it risks client security, employee satisfaction and burnout.

This is why leaders should develop a structured, change-management process — one that considers the risks and governance of AI within the business.

AI has the potential to transform company culture for the better, but only if the technology is rolled out in a way that fully recognizes the dynamics surrounding it. Here's how firms should be rolling out AI tools to their employees.

1. Start with vision

Companies that want to be fully AI-optimized need to start by developing a plan and a vision for their AI use. With a tool like AI that has so many potential uses, this vision offers employees a framework to address their concerns.

Rather than being fearful that they're simply training their replacement or frustrated that they're being asked to do something else on top of their regular job, a vision allows leadership to articulate how they expect AI to change the way individuals work — and, equally significant, what won't change.

2. Start small

While the ease of AI integration makes it possible for companies to grant everyone immediate access, that's not the best practice for successful implementation. Change requires buy-in and sponsors from peers and leaders, which is why any AI should be rolled out with a small pilot cohort to gain support, work out kinks and prove where it works best in the business.

Company-wide technology mandates can cause stress and resentment, but having cohort champions who can co-sign that this technology really does improve efficiency builds trust.

It also creates peer-level support systems so that, when a company-wide rollout finally does come about, employees know who can help troubleshoot problems and pass on best practices.

3. Build a culture of trust

One of the most significant ways that AI differs from most other technologies — especially more specialized digital industry tools — is that it's not perfectly honed. AI continues to evolve and make mistakes — but the only way companies can improve AI use is through a culture of trust.

Employees need to be comfortable enough to raise their hands when things aren't working, but also vulnerable enough to share when they think they've uncovered something new. Refining AI use is an experimental process, and that can be deeply uncomfortable for those used to more black-and-white processes and cultures.

Firms that want employees to use AI have to set new standards within their culture, elevating and celebrating incidents in which employees are willing to learn and share through collaborative problem-solving.

The bottom line

As AI continues to proliferate across the corporate landscape, having a clear change-management plan for its introduction isn't a nice-to-have: It's a critical need. Successful AI use won't happen on its own — especially at firms that haven't invested in the culture of trust AI needs to succeed.

Employees are crying out for guidance. In the 2025 AI at Work survey, 61% of employees said they want more transparent communication from leadership about AI use. It's up to leaders now to deliver.

Companies need to adopt AI to remain competitive, but without thoughtful change management, they're destined to fall behind.

Related Content

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• Are Your Employees Quietly Cracking? How to Repair the Cracks Before Everything Breaks

This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

Back-to-school brings a familiar cash-flow crunch for parents. Between upcoming college tuition bills, essential supplies, and student loan obligations, families face tough financial trade-offs.

One of the costliest compromises is saving less for later in life.

According to the American Institute of CPAs (AICPA), over half (53%) of personal and parent borrowers say student debt directly hinders their ability to save for retirement. For these households, the default reaction may be to reduce or even pause monthly 401(k) contributions.

However, scaling back 401(k) savings may trigger a higher income tax bill and forfeit compounding growth — all while causing taxpayers to miss out on federal relief. Here's what you can do.

The hidden tax penalty of pausing 401(k) contributions

AICPA data shows that over 70% of parent and personal student loan recipients are worried about their ability to keep up with payments. To cope with this financial pressure, many borrowers may be quietly cutting back on long-term retirement savings.

But reducing pre-tax 401(k) contributions doesn't just free up cash; it can immediately raise your federal tax bill.

What does that look like in practice?

Suppose a family pauses their $8,000 annual pre-tax 401(k) contribution to pay down student loans.

Because 401(k) contributions lower their adjusted gross income (AGI) dollar-for-dollar, pausing them exposes $8,000 to the following potential tax traps:*

• Tax bracket creep: a higher AGI can push a portion of that income into a higher federal marginal tax bracket (e.g., jumping from 22% to 24%).
• Shrinking loan deductions: the student loan interest deduction (worth up to $2,500) phases out at higher income levels, meaning your tax break shrinks just as your taxable income rises.
• Loss of credits and Roth eligibility: a higher AGI can reduce your eligibility for child tax credits, education credits, and direct Roth IRA contribution limits.

*Note: The exact impact depends on your filing status and overall income.

In short, cutting retirement savings to cover student loans may improve cash flow today, but create a financial headache at tax time.

The SECURE 2.0 solution: the 'student loan match'

While it may feel like an all-or-nothing choice: pay off student debt or capture workplace retirement matching funds, you can actually use federal tax law to achieve both.

Thanks to the SECURE 2.0 Act, some employers now provide matching contributions to 401(k), 403(b), governmental 457(b), and SIMPLE IRA plans based on your qualified student loan payments (QSLPs).

How the rule works:

• To qualify, you must be making student loan payments and have a direct legal obligation to repay the loan (guarantors do not qualify).
• Parents paying installments on Parent PLUS loans taken out for their children's education are also eligible for this match (which may provide much-needed relief, as new caps of $20,000 per year and a $65,000 lifetime limit per student went into effect under the 2025 Trump tax bill).
• Total matched loan payments and direct 401(k) contributions combined cannot exceed the annual federal IRS deferral limit ($24,500 for 2026, excluding catch-up contributions).

Here's an example. Say your employer offers a 4% match on your 401(k), and you contribute at least 4% of your salary toward eligible student loans. Your employer can deposit the full match into your 401(k).

You also don't need to send every bank receipt to HR to qualify. Under IRS guidelines, you only need to provide a simple annual certification confirming your payment amounts and loan details.

The bottom line. You receive 100% of your employer's free retirement match money without putting a single new dollar directly into the 401(k) plan yourself. For more information, check out Kiplinger's report on the SECURE 2.0 Act.

How to find out if your employer offers a student loan match

However, not all companies offer student loan matching. So follow these steps to check your options and protect your budget:

1. Ask HR about "QSLP matching": Review your company's 401(k) plan documents to see whether student loan matching is enabled. Because employer adoption is optional, companies must proactively add this feature to their plan.
2. Scale back to a "micro-contribution" (if unsupported): If your employer doesn't offer student loan matching yet and you can't afford the full match amount, try contributing a small amount to your 401(k). Even contributing just 1% or 2% to a tax-advantaged account is better than nothing.
3. See if you're eligible for the $2,500 interest deduction: Check if you qualify for the federal student loan interest deduction. This tax break helps claw back some of the interest you pay to your loan servicer — and best of all, you can still claim the standard deduction.

Strategies for borrowers to protect retirement funds

If your employer hasn't adopted a 401(k) student loan match, here are some further ideas to help balance retirement savings with your monthly budget.

• Look into income-driven repayment (IDR) plans: An IDR plan bases your federal student loan payments on your income and family size instead of your total debt. This lowers monthly payments for some and may free up extra cash to put toward your 401(k). (Keep in mind: Parent PLUS loans have special rules and may need to be combined into a single direct-consolidation loan first.)
• Explore other tax-free employer assistance: Under Section 127 of the tax code, employers can provide up to $5,250 annually in tax-free student loan repayment assistance directly to employees. Ask your benefits department if this student loan benefit is available.
• Time extra payments wisely: If you have extra cash to save, prioritize capturing your full employer 401(k) match before making accelerated principal payments on low-interest student debt. An employer match represents an immediate 50% to 100% return on your investment, a rate that typically outperforms the interest saved by paying down low-rate loans early.

Managing student debt shouldn't force you to sacrifice your long-term financial security. By taking advantage of federal tax law, you may be able to pay down loans today without putting your retirement on hold.

Read More

• Does Your College Student Really Have to File Taxes This Year?
• Don't Overpay the IRS: 6 Mistakes That Could Be Raising Your Tax Bill
• SECURE 2.0 Act Summary: New Retirement Savings Changes to Know

Americans get plenty of advice on how to achieve financial freedom, but not nearly enough on how cybersecurity factors into it.

An investor could do a great job of building assets through investing strategies and portfolios structured to produce income, but then risk it all by failing to put the correct digital safeguards in place. And the need for protection is increasingly critical.

As a large wealth advisory firm, we are seeing more and more examples of investors having their emails compromised or their identity impersonated. What used to be very rare is becoming more frequent.

The FBI's Internet Crime Report revealed that total financial losses in 2024 from suspected internet crime totaled $16 billion, a 33% increase from 2023. People over 60 reported the most losses by age group, which is consistent with other reports showing that older investors are frequently targeted and may be the most vulnerable. And it's likely the numbers will keep increasing.

Company data breaches and hacks have already created a treasure trove of personal information for bad actors to use in their schemes, including Social Security numbers (SSNs), emails, addresses and phone numbers.

That data cannot be deleted or removed from the web once it's out there, nor can you change your SSN or easily change phone numbers or emails without disruption. The only thing you can do is use cybersecurity best practices to protect yourself.

What can happen if you lose access to your email or cellphone number?

You should always use financial institutions (banks or brokerage firms) that have strong data protections in place. But you still have to help protect your own identity and account access to prevent potential takeovers.

If a hacker takes over the email account you use and locks you out, they may be able to gain vital information that then allows them to request cash distributions or transfers from your financial accounts.

While the best-case scenario is that you recover your assets over time, there could be a long period during which you are unable to access your investments, as they may be frozen during the investigation.

Hackers can also take over your cellular number in a scheme called SIM swapping. Having access to your incoming calls and SMS messages allows them to intercept one-time security codes sent to your phone for two-factor authentication (2FA).

If your bank or investment custodian uses these codes for access and the hacker can determine your password, this gives them the keys to the kingdom.

You may not even notice your cellular number has been hijacked right away. Your phone would lose service, and it might just seem like a temporary glitch. But it could be something much more serious.

If an online custodial account is hacked, the hacker can link a new bank account to your investment account and attempt to transfer assets from it. Only prompt attention and action can prevent this type of damage.

Some custodians have certain 'hacking guarantees' in place — but where the liability falls in each circumstance is murky, and you really don't want to have to fight to recover lost assets. This speaks to the critical importance of maintaining unique and strong passwords as well as the most robust forms of 2FA.

Finally, financial institutions may authenticate your identity using an SMS code or similar, so losing access to the device you receive those on, or your email account, may seriously delay their ability to help you in an emergency.

Digital risks — weak passwords and your accounts

Accounts and account management for financial assets are now digital and online. That means if you choose to ignore cybersecurity, you do so at your own risk.

Even if you don't intend to manage your accounts online, at the very least you should set up your profile on each account and enable all the available security and privacy settings, so that someone posing as you can't do so on your behalf.

It used to be that registering your phone number with your bank or custodian was enough. However, due to the growing prevalence of SIM swap attacks, many providers are moving away from SMS-based codes. Using time-based or token-based authenticator apps or passkeys is now the more robust and secure option.

If your institution still primarily offers SMS, see if one-time email codes are available instead. If they are, you can then move on to hardening the security of your email account.

You don't want to lose access to the email accounts your financial institutions communicate with, so enabling all available security controls on your email is a must. This may involve setting up backup 2FA methods, such as authenticator tokens and passkeys, backup codes, and using a unique, complex password. Check whether your email providers offers a security checkup or recommends which security settings to enable to secure your account.

Digital independence also means reducing your reliance on a single platform or point of failure (in case you lose access to it). For example, using a password manager is crucial to security and password hygiene, and many web browsers have them built in.

But using one that isn't built in may help you retain access to all your passwords if you ever lose your primary device or are locked out of it.

Many password manager apps run in the cloud and have accompanying mobile apps. They can also store your unique 2FA tokens.

Taking responsibility for your digital literacy

Given how fast cybercrime is evolving, we all need to educate ourselves on the risks and maintain good cyber hygiene. Digital literacy is now intertwined with financial literacy and protecting your assets, just as diversification helps protect against market risk.

Unfortunately, there is no centralized playbook or one-size-fits-all guide for protecting yourself online. U.S. government agencies, such as the National Institute of Standards and Technology (NIST) and the Cybersecurity and Infrastructure Security Agency (CISA), offer online educational materials for individuals and organizations. AARP also offers some courses and educational content on cybercrime.

Cybersecurity and digital access are important parts of asset protection, just like diversification and other financial planning tools. But they're important for estate planning as well. If a family member passes and their online accounts are locked or next of kin are unable to access them, that creates additional financial headaches, especially if immediate access to funds or liquidity is needed.

A trusted advisory team can be a valuable resource, providing ongoing digital education and assistance, and making sure critical account settings are in place.

Financial advisory professionals with dedicated trading teams that monitor account transactions will also be able to help spot potential fraudulent transactions in real time.

Related Content

• How to Protect Yourself From Rising Financial Fraud, According to an Expert
• Seven Things to Do Right Away If You're a Victim of a Data Breach
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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

Imagine: You're out on a nice drive when you turn a corner and someone, busy doing a livestream instead of driving, merges without looking, smashing into your car. Vexing, but no worries; you get out to assess the damage and exchange insurance information.

The only problem is the other driver has a different story of the events. They claim you cut them off. Several witnesses come forward, some siding with you, others siding with the other driver. While cops and insurance adjusters will investigate the scene to determine the cause, sometimes you could do nothing wrong and still be found at fault.

This can have significant financial ramifications. First, it could raise your car insurance rates. It could also cost you money out of pocket if the damages a judge awards the other driver exceed your insurance coverage. This is where a dash cam can level the playing field.

The essential tool every driver needs

Dash cams provide video recordings of events as they happen. Using the above example, it would capture the other driver running into you while livestreaming. This provides concrete evidence to police and insurance adjusters when they determine who was responsible.

In turn, it could prevent you from incurring rising insurance costs for something that wasn't your fault. You also wouldn't have to worry about being liable for other damages the court could have awarded without the evidence.

So, with this in mind, what are some factors you should consider when choosing a dash cam? Here are the most important:

• Video quality: Find cameras that offer 1080p resolution and a wide field of view to ensure they capture license plates and your surroundings.
• Night vision: With some accidents occurring in low-light conditions, prioritize a model with high-quality sensors (like STARVIS) to keep your recordings clear.
• Smart features: Seek out dash cams with loop recording, which prevents storage issues. Also, look for units with G-force sensors, as they lock footage during a collision.
• Driving behaviors: If you plan to drive often at night or through inclement weather, look for dash cams that offer thermal imaging and alerts, as they can detect wildlife and other road hazards.

Top dash cam options to consider

Now that you know what technical specs to prioritize, let's look at some of the most reliable models currently on the market to help you make your final choice:

If you choose a dash cam with SD card storage, check it periodically to ensure that it has not become corrupted. You can do this by removing the card from the cam and plugging it into your computer to view files.

Don't forget to do this before installing

Before you install your dash cam, it's ideal to check your state and local laws to ensure that where you place it is compliant.

Here are two areas of emphasis:

• Windshield obstruction: Some states have rules about where you can mount a camera in your car to prevent obstruction of the driver's view. In Ohio, you cannot install a dash cam on a windshield.
• Audio recording: Your state might have restrictions on recording other passengers without their knowledge. You can address this by asking each passenger's permission before they enter your car.

Ultimately, a dash cam isn't just about managing insurance claims; it’s about having peace of mind so you can focus on the road ahead. In turn, it can protect you from financial ramifications, such as higher insurance bills and out-of-pocket settlements from judgments in accidents you didn't cause.

Related content

• You, an Honest Driver, Are Paying for Insurance Fraud Schemes: What You Can Do About It
• Crash for Cash: The Sneaky Scams Driving Up Every Driver's Insurance Bill
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Single drivers in California may pay more for auto insurance than married drivers following a recent court ruling.

In July, a California appeals court upheld a decision allowing insurers to continue using marital status as an optional factor when setting auto insurance rates, according to the Los Angeles Times. The court rejected a lawsuit arguing that the practice violated California’s anti-discrimination laws.

Here’s what the ruling means for California drivers, whether it could affect drivers in other states and what you can do if you're paying more for coverage.

What it means for California drivers

Given the appeals court’s ruling, married drivers in California may continue to pay lower auto insurance premiums than unmarried drivers with similar risk profiles. Depending on the insurer and policy, single, divorced and widowed drivers could pay approximately $56 to $100 more per year.

Marital status is just one of many factors insurers may use to calculate premiums. Your driving record, annual mileage, location, claims history, vehicle type, age and gender can also influence how an insurer assesses your risk and, ultimately, how much you pay for coverage.

Could this affect drivers outside California?

Insurance rating laws vary widely by state. Some states prohibit or restrict insurers from using certain personal characteristics in their rating calculations. For example, while many states allow insurers to consider a driver’s credit score when calculating their rates, Massachusetts, Michigan, Hawaii and California have banned the practice.

New York prohibits insurers from using a driver’s occupation and education as rating factors, while Michigan prohibits the use of factors like gender and education.

California’s court ruling doesn’t change insurance laws in other states, but regulators, insurers and consumer advocates may watch its impact. The decision allows California insurers to use marital status as a rating factor when it can be shown to relate to driver risk.

At this time, only Massachusetts and Hawaii have barred insurers from using marital status as a factor.

What drivers can do if they're paying more

If your car insurance costs continue to climb or suddenly spike, you may be overpaying. Regardless of your marital status or where you live, there are several ways you may be able to lower your premiums:

• Compare quotes every renewal: When your policy renews, shop around and compare quotes from other insurers. If another insurer offers you a lower premium for the same coverage, your current insurer might be willing to match that quote to retain you as a customer. Alternatively, you might find that another insurer offers you a better deal and decide to switch your insurance.
• Ask which discounts you're eligible for: Call your current insurer and ask about their available discounts. You might find you qualify for discounts that you’re not currently receiving, and adding those discounts in can help lower your premiums.
• Bundle policies if it makes financial sense: You may be able to save money by bundling policies, such as bundling your home and auto insurance policies. Just make sure that the decision makes sense for you, and that you’re not transferring a policy to an insurer that doesn’t really meet your needs, just to take advantage of a bundle offer.
• Review your deductible: You may be able to lower your auto insurance premium by increasing your deductible, but this decision comes with some risk. If you ever have to file a claim, you’ll need to pay the deductible upfront, so make sure you have enough cash set aside to do so. If you decide to choose a higher deductible, it’s a good idea to put the payment for the deductible in a high-yield savings account so it’s accessible if you need it but earns interest in the meantime.  
• Evaluate your optional coverage: Depending on your state, certain types of car insurance are optional. Collision and comprehensive are often optional as long as you own your vehicle outright, and roadside assistance and some higher policy limits are optional, too. Dropping some optional coverages can help lower your premium, but you’ll need to consider the level of risk that you’re comfortable with before you decide to drop the coverage.

Since insurers weigh rating factors differently, simply shopping around for auto insurance is one of the best ways to ensure you’re getting a good rate.

Make sure that you’re comparing policies with the same types of coverage, coverage limits and deductibles. It’s easy to renew your policy out of habit, but making a point of shopping around at least once a year may help you lower your car insurance rate while still getting the coverage you need.

Use the Bankrate tool below to gather quotes and compare today's top car insurance offers:

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Credit card debt can quickly become overwhelming, especially when high interest rates make it difficult to reduce your balance even as you make payments. While Experian reports that the average credit card interest rate is 19.35% as of July, rates can reach nearly 30%. If you're only making minimum payments, it can be difficult to keep up.

Your home's equity may offer a way to manage that debt. By borrowing against your home equity, you may be able to pay down or eliminate your credit card balance and potentially reduce the amount you're paying in interest. But using an option such as a home equity line of credit (HELOC) also puts your home on the line.

If you're struggling with credit card debt but have equity in your home, you have options. Before you tap your home equity, make sure you understand how each option works and the risks involved.

When using home equity to pay off debt makes sense

Using home equity to pay off credit card debt can make sense in certain situations. If you have credit card debt with an APR of 20% or higher, for example, a HELOC or home equity loan may offer a lower interest rate and reduce the amount of interest you pay.

But interest rates aren't the only factor to consider. If you can't make the payments on a HELOC or home equity loan, you could potentially lose your home. Before borrowing, make sure the payments comfortably fit your budget and you have a clear plan for paying off the debt.

You'll also need enough home equity to qualify. Many lenders limit how much of your home's value you can borrow against, often requiring you to retain a certain amount of equity in the property.

For example, say your home is worth $400,000 and you owe $250,000 on your mortgage. That gives you $150,000 in equity. If your lender requires you to maintain 20% equity, or $80,000, you may be able to borrow up to $70,000 of your available equity, depending on the lender's requirements and your qualifications.

Compare your options before borrowing

There are several ways to pay down credit card debt, including options that let you borrow against your home equity. Each comes with different costs, requirements and risks, so it's important to compare them before deciding which approach is right for you.

Both a HELOC and a home equity loan use your home as collateral. With a HELOC, you can borrow from a revolving line of credit as needed, up to your approved limit. A home equity loan, on the other hand, provides a lump sum that you repay over a set period.

The biggest downside: You're putting your home on the line

HELOCs and home equity loans are forms of secured debt and typically have lower interest rates than credit cards. But that lower rate comes with a significant risk: Your home serves as collateral. If you fall behind on payments, you could face foreclosure and potentially lose your home.

Even if you have a solid repayment plan, consider how an unexpected job loss, medical bill or other major expense could affect your ability to make payments. HELOCs come with another consideration: They typically have variable interest rates, meaning your rate and monthly payment could increase over time.

Using a HELOC or home equity loan also doesn't address the reason you accumulated credit card debt in the first place. Before taking on new debt to pay off your credit cards, consider what led to the balances and whether you've addressed the underlying issue.

Questions to ask before using your equity

If you're on the fence about using your home equity, these questions may help you decide:

• Can I realistically pay this off? Make sure the monthly HELOC or home equity loan payment comfortably fits into your budget, with room for other expenses.
• Will my monthly payment decrease? Depending on your credit card balance and interest rate, switching to a HELOC or home equity loan may result in only a small reduction in your monthly payment, or none at all.
• Am I solving a temporary problem or creating a bigger one? Consider what caused you to accumulate credit card debt and whether you've addressed that issue before taking on new debt to pay it off.
• Is my income stable? Consider whether you could continue making payments if your income dropped or you unexpectedly lost your job.
• Do I have an emergency fund? Ideally, have enough savings to cover three to six months of living expenses so an unexpected expense doesn't interfere with your debt repayment plan.

Alternatives that may be safer

Using home equity isn't right for everyone, and there are several alternative options that may be safer:

• Debt consolidation loan: A debt consolidation loan lets you combine multiple debts into a single loan with one monthly payment. If you qualify for a lower interest rate than you're currently paying, you could also save money on interest. Compare rates, fees and repayment terms before applying.
• Balance transfer credit card: A balance transfer card may offer a 0% introductory APR for a limited time, allowing you to pay down your balance without accumulating additional interest during that period. Most cards charge a balance transfer fee, and any remaining balance may be subject to a much higher APR once the promotional period ends.
• Debt avalanche method: If you have multiple debts, the debt avalanche method can help minimize interest costs. Make the minimum required payment on each debt, then put extra money toward the debt with the highest interest rate. Once that's paid off, move on to the debt with the next-highest rate.
• Credit counseling: A nonprofit credit counseling agency can help you review your finances, create a budget and develop a plan for paying down debt. Depending on your situation, a counselor may also discuss whether a debt management plan is appropriate.
• Budget adjustments: Look for expenses you can temporarily reduce and redirect that money toward your credit card balance. Even smaller cuts to discretionary spending, such as dining out or entertainment, can give you more money to put toward debt each month.

Your home equity can be a valuable financial tool, but it isn't free money. Borrowing against it means taking on new debt and putting your home at risk if you can't make the payments.

Before using home equity to pay off credit card debt, consider what led to the debt and whether you have a realistic plan for repaying what you borrow. A lower interest rate can save you money, but only if you can comfortably manage the new debt without putting your home at unnecessary risk.

If you’re considering tapping your home equity, refinancing may be another option worth comparing to see how today’s rates and offers could affect your monthly costs.

Use the Bankrate tool below to compare today's top refinance offers:

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Every financial decision, from paying the monthly bills to investing for retirement, contributes to a larger picture of long-term financial health.

While markets, tax laws and economic conditions continue to evolve, the habits that most often determine financial success remain remarkably consistent. The difference between staying on track and falling behind is often shaped by a handful of everyday decisions that compound over time.

Building wealth is about establishing strong financial habits, planning for the unexpected and making intentional choices with the resources you have today, not about finding the perfect investment or following the latest financial trend.

By recognizing some of the most common money mistakes and understanding how to avoid them, you can create a stronger foundation for both your current financial well-being and your future goals.

Mistake No. 1. Focusing on small expenses while ignoring the big ones

Many budgeting conversations center on cutting out lattes or canceling streaming subscriptions, essentially finding ways to save a few dollars here and there.

While those habits can help, they often distract from larger expenses, such as housing, transportation and food, that have a much greater impact on long-term financial health. These typically consume the largest portion of a household budget and offer the greatest opportunity for meaningful savings.

By downsizing a home, choosing a less expensive vehicle, utilizing public transportation or reducing restaurant and delivery spending, you can have a far greater financial impact than trimming minor discretionary purchases.

As a general guideline, housing costs should ideally remain at or below 30% of your gross monthly income.

Overall fixed expenses, such as housing, utilities, debt payments and food, should generally fall within 50% to 60% of your gross income to maintain financial flexibility and avoid living paycheck to paycheck.

Mistake No. 2. Avoiding financial conversations and planning

Money remains one of the most uncomfortable topics for many families and couples. Avoiding these conversations often leads to unclear goals, inconsistent saving habits and conflicting financial priorities.

Without defined objectives, it's difficult to create a road map for the future. You may focus exclusively on current spending needs while neglecting long-term goals such as retirement, education funding or debt reduction.

Additionally, many people focus heavily on investing while overlooking the foundational elements of financial security, like emergency savings, insurance and estate planning.

An emergency fund can help prevent a temporary setback from becoming a long-term financial crisis. Unexpected expenses such as job loss, medical issues or family changes can quickly force people into high-interest debt if adequate reserves are not available.

Disability insurance, umbrella liability coverage and appropriate health, auto and homeowners insurance help protect against risks that could otherwise derail years of financial progress.

Younger people may assume they don't need these protections quite yet, putting them off until they are "ready," but unexpected events rarely arrive on schedule.

Securing reliable insurance can protect you from draining your finances in a catastrophic situation or taking on a massive amount of debt.

Likewise, estate planning, including having a basic will, powers of attorney, beneficiary designations and trust planning, where appropriate, can give you peace of mind, ensuring that assets transfer in the appropriate way while reducing unnecessary complications for loved ones.

Working with a financial planner can help bring structure and accountability to the process. Beyond investment advice, a qualified adviser can assist in developing these foundational elements, as well as help establish goals, educate you on key financial topics, facilitate family discussions and create financial plans designed to support both short- and long-term objectives.

Mistake No. 3. Losing track of financial accounts and investments

As career paths become increasingly dynamic, people often find themselves with retirement accounts from several employers. Failing to monitor old employer-sponsored plans, such as 401(k)s and 403(b)s, can result in forgotten assets and missed opportunities.

Before leaving an employer, you should evaluate whether it makes sense to leave assets in the current plan, roll them into a new employer's plan or transfer them to an IRA. You could also withdraw the assets as cash, though that would not be recommended because you may owe taxes and a potential 10% penalty.

Equally important, you'll want to ensure that assets are actually invested. Many rollover accounts default to cash-like holdings until investment elections are made. Investors can unknowingly miss years of market growth simply because they assumed their money was already invested.

Even automatic enrollment features deserve periodic review. While they are highly effective at encouraging participation, default contribution rates and target-date funds may not align with an individual's actual goals, risk tolerance or retirement timeline.

Mistake No. 4. Ignoring the impact of taxes

Taxes play a significant role in long-term wealth accumulation, yet they are often treated as an afterthought.

Decisions regarding retirement accounts, investment account types and withdrawal strategies can have a meaningful impact on after-tax outcomes.

For example, some investors may benefit from contributing to Roth accounts and paying taxes today, while others may get more value from traditional pretax contributions.

Maintaining a mix of taxable, tax-deferred and tax-free accounts can create flexibility in retirement and help manage future tax uncertainty.

While no one can predict future tax law changes, investors can still make informed decisions based on today's rules.

Mistake No. 5. Using debt to finance lifestyle purchases

The rise of Buy Now, Pay Later programs and easy financing options has made it possible to borrow for nearly any purchase.

While debt can be a useful tool for major purchases such as a home, education or transportation, it becomes far more problematic when used to fund discretionary spending.

Financing concert tickets, furniture, electronics, vacations or everyday wants can create a cycle of payments that limits future financial flexibility and increases overall costs through interest charges and fees.

Before financing a purchase, individuals should ask whether the item is a need or simply a want. In many cases, creating a savings plan or paying cash is the more financially responsible approach.

Financial success is rarely determined by a single decision. Instead, it is shaped by the cumulative effect of everyday choices.

By focusing on major expenses, preparing for unexpected risks, staying organized, investing thoughtfully, managing taxes strategically and using debt responsibly, you can avoid many of the most common mistakes that continue to hold many people back.

The goal should be to create a financial plan that supports both your current lifestyle and your future goals.

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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

For millions of Discover cardholders, the long-awaited integration with Capital One is becoming a reality. After Capital One completed its acquisition of Discover in 2025, customers are now beginning to see their accounts move to Capital One.

If you've received an email or letter about your account, you may be wondering what will change and whether you need to take any action.

For most cardholders, your card, rewards and credit history will largely remain intact. Here's what to know about the Discover migration and what to expect when your account moves to Capital One.

When will your Discover account move to Capital One?

Capital One is migrating Discover credit card accounts in waves rather than moving everyone at once. Customers will receive advance notice by email or mail before their account is scheduled to transition. Until you receive that notification, you'll continue managing your account through Discover's website and mobile app as usual.

Once your migration date arrives, you'll begin managing your account through Capital One's website and mobile app instead.

During the days immediately before your move, some features, such as redeeming rewards or updating account information, may be temporarily unavailable while your information transfers. Capital One says these interruptions should be brief.

Will you get a new credit card?

Probably not. Most primary Discover cardholders will continue using their existing physical card even after their account moves to Capital One.

Your current card number will remain the same, meaning cards you've saved with online retailers, subscription services and digital wallets should continue working without requiring updates.

Some customers may receive replacement cards in the future because of normal reissuance cycles or other account-specific reasons, but a new application isn't required.

There is one notable exception: authorized users and joint account holders will receive new cards with unique card numbers. While those cards remain linked to the same account, the separate numbers give primary cardholders more control over tracking purchases and locking individual cards if needed.

What happens to your rewards and account history?

For many Discover customers, this is one of the biggest concerns and fortunately, it's one area where very little is changing. Your existing cash back rewards balance will transfer with your account, and your rewards earning rates will remain the same.

Discover it Cash Back and Discover More cardholders will also continue participating in the rotating 5% cash back program, including quarterly activation requirements. If you've already activated a bonus category before your account moves, that activation will carry over.

Your account history also stays intact. Capital One says the transition won't be reported as a new credit account, meaning your original account opening date will remain on your credit report.

While some credit monitoring services may alert you because the lender's name changes to "Discover by Capital One" or "Capital One," your account age and payment history remain the same.

Will autopay and recurring payments still work?

In most cases, yes. Capital One says it will transfer automatic payments, scheduled payments and linked bank account information as part of the migration. If, for any reason, a payment instruction cannot be transferred, affected customers will be contacted directly with additional instructions.

Because your primary card number generally isn't changing, recurring charges such as streaming subscriptions, gym memberships and utility bills should continue processing normally without requiring updates.

Still, it's worth monitoring your account during the first billing cycle after your transition to ensure scheduled payments process correctly.

How will you manage your account after the transition?

This is where you'll notice the biggest difference. After your account migrates, you'll no longer use Discover.com or the Discover mobile app to manage that particular credit card. Instead, you'll access your account through Capital One's website and mobile app.

If you're already a Capital One customer, your Discover account may simply appear alongside your existing accounts after migration. If not, Capital One will send instructions explaining how to establish online access before your transition date.

Customer service will also transition to Capital One, and the company says support will continue to be available around the clock.

In addition to keeping existing Discover features, migrated cardholders may also gain access to certain Capital One benefits, including Capital One Offers and elevated rewards on eligible travel booked through Capital One Travel.

What should Discover cardholders do now?

There's no need to rush into any changes, but a few simple steps can help make the transition smoother:

• Watch for official emails or letters from Discover or Capital One announcing your migration date
• Verify that your mailing address, email address and phone number are up to date
• Download or save recent account statements if you prefer keeping personal copies
• Be cautious of phishing emails or fake websites claiming you need to "verify" your account. Instead of clicking links in unsolicited messages, navigate directly to Discover's or Capital One's official websites
• Review your account after the transition to confirm automatic payments, rewards balances and recent transactions transferred correctly

Most cardholders won't have much to do

Getting a notice that your credit card is moving to a different bank can sound like a much bigger deal than it actually is. Fortunately, for most Discover customers, the transition should happen largely behind the scenes.

You'll keep your account, your payment history and your rewards, and most cardholders can continue using the same physical card they've always had. The biggest difference will simply be managing your account through Capital One instead of Discover once your migration is complete.

When your transition date arrives, take a few minutes to log in to your new account, verify that your autopay and payment information transferred correctly and keep an eye on your first statement. Beyond that, you can expect business to continue as usual.

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A few years ago, a couple came to me after losing their adult daughter. They had millions of dollars in low-basis stock mutual funds sitting in their accounts, money they didn't need and never would for their own living expenses.

What they needed was a way to honor their daughter's memory. As a wealth adviser with 33 years of experience, I helped them open a donor-advised fund (DAF), moved the appreciated shares into it and started directing gifts to causes tied to her life.

Their two surviving sons got involved in choosing where the money went. What began as a tax strategy became something the whole family looked forward to discussing every year.

If you're sitting on appreciated stock, that same option is available to you. Unfortunately, most people never get there, simply because they don't know the option exists.

The mistake I see constantly

Here's a conversation I see play out over and over: Someone mentions they wrote a check to their favorite charity. I ask where the money came from. They tell me they sold some stock that had done well and donated the proceeds.

It sounds generous, and it is, but it's also the expensive way to give.

When you sell appreciated stock first, you owe capital gains tax on the growth before a dollar reaches the charity.

Donate the stock directly instead, and you skip that tax bill entirely while still claiming a deduction for the full fair market value. You also free up cash you'd otherwise have spent, since the stock itself becomes the gift.

In my years doing this work, I've watched six to eight new families discover this strategy for the first time over just the past five years, usually after their previous adviser never mentioned it.

In my opinion, it's the lowest-hanging fruit in the entire charitable planning world, and most people just don't know it's there.

The 'family charitable checkbook'

The easiest way to put this into practice is through a DAF. I describe it as a family's charitable checkbook.

You fund the account with the "currency" of appreciated stock, mutual funds or ETFs, transferred directly from your brokerage account to the fund.

From there, you "spend" the balance over time by recommending grants to the causes you care about. You don't have to distribute the full balance in the year you fund it, though I encourage the families I work with to do exactly that when they can.

Once the account is open, funding it is simple. Most custodians, like Schwab, have an online process for opening and contributing to a DAF, and moving shares in typically takes a matter of days.

One thing worth knowing going in: A gift to a DAF is irrevocable. You get the deduction the year you fund it, and from that point on, the money belongs to the fund. You only recommend where it goes.

There's also a tax-timing move worth knowing: Bunching. Instead of donating a similar amount every year, you concentrate two years' worth of giving into one, fund the DAF heavily that year to clear the itemization threshold, then skip funding it the following year.

Fund again in year three to cover years three and four, and repeat. You still distribute money to charities on your normal schedule. You're just timing the tax deduction more efficiently.

For high-net-worth families, a private family foundation is sometimes floated as an alternative. I'm not against them, but I haven't had a client start one in three decades, mainly because the setup costs and annual administrative burden rarely pencil out against what a DAF accomplishes for a fraction of the cost.

Where the real value shows up

The tax efficiency is what gets families in the door. What keeps them engaged is what happens at the kitchen table afterward.

I encourage older generations to give each family member — children and grandchildren alike — a budget they can direct through the fund.

The catch: Each person must explain what organization they want to support and why. That single requirement turns a financial transaction into a conversation.

Grandchildren ask their grandparents how they built the wealth in the first place. Parents and grandparents get a natural opening to talk about the sacrifices that got them there.

I've watched these conversations surface a level of gratitude in younger family members that a will or a trust document never will.

Before you open an account, talk as a family about what you value and want to support. That conversation matters more than the mechanics of the fund itself.

Where to start

If you're holding low-basis stock, mutual funds or ETFs you don't need for living expenses, don't sell them to fund your giving. Log into your brokerage account and look up the process for opening a DAF.

It's a shorter process than most people expect, and it's available at nearly every major custodian.

You already have a valuable asset in that appreciated stock. Don't sell it and lose part of it to taxes before you've considered the alternative sitting right in front of you.

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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

Fidelity has won the Kiplinger Readers' Choice Awards four years in a row for their brokerage services and their popularity among readers shows no sign of waning. One reader even called it, "The best of the many that I have used. I have suggested it to family and friends."

Countless readers have stayed with Fidelity for decades and have multiple accounts with the broker and wealth management service. With so many lifelong loyal customers, the company must be getting something right.

Find out the top three reasons readers cited when explaining why they continue to name Fidelity Kiplinger Readers' Choice Awards best broker.

1. Responsive customer service

Among the most talked about reasons for choosing Fidelity was the brokerage's unparalleled customer service. "I can always access customer service even on weekends," one reader says. Not only are representatives available 24/7, but readers say wait times to get someone on the phone are typically short.

More importantly, the representatives you reach are likely to be knowledgeable, friendly and capable of finding the answers you need quickly, according to many Kiplinger readers.

2. An easy to use website with both analytic and educational tools

After its unmatched customer service, Fidelity's online and mobile experience were the second most-mentioned features that Kiplinger readers appreciated. One reader called the website and mobile app "awesome," stating that both were "easy to navigate, easy to understand, easy to complete whatever I need to do."

The intuitive investing platform "can be used by beginners as well as seasoned investors," says one reader. That's because Fidelity provides a wealth of resources to meet the needs of investors at any level of experience.

For traders and self-directed investors, Fidelity Trader+, the broker's trading platform, provides advanced tools including market research, real-time quotes, customizable alerts, charting and technical indicators to help you analyze your trades.

Meanwhile, for beginner investors, Fidelity provides an always-growing database of educational guides, webinars and other learning resources to help you become a stronger, more confident investor.

3. A wide variety of products and services

According to one Kiplinger reader, "Fidelity has every kind of product that anyone could want." That's not an overstatement. In terms of which assets you can trade, you'll find all the stocks, bonds and ETFs you expect. But you'll also be able to invest in options, crypto, CDs and mutual funds.

Beyond the wide variety of assets, readers like the even wider variety of products and services Fidelity offers. Fidelity is "always introducing new products," one reader says.

In addition to a standard self-directed brokerage account, Fidelity also offers a crypto trading account, a full range of retirement accounts and HSAs. For investors who want to find that balance between managing your investments and getting expert support, you can explore products like Fidelity Go, a robo advisor service, and Basket Portfolios, which include prebuilt models designed by experts that you can play around with and tailor to your own goals.

Beyond investing, Fidelity also offers a range of cash management accounts, a rewards credit card with cash back that can be deposited directly into your eligible Fidelity account, mortgages and loan products. These include a securities-backed line of credit, which works somewhat like a HELOC but uses your investment portfolio as collateral rather than your home.

For kids, investors have access to custodial accounts, 529 plans and even Fidelity Youth accounts, which are teen brokerage accounts that help kids learn and practice investing in the real world, but with parental oversight.

Because Fidelity also offers a full suite of wealth management and financial adviser services, many readers enjoy the ability to create their own mix of self-directed accounts and professionally managed portfolios. Customers have the flexibility to have some accounts professionally managed (say, your 401k or IRA) while self-directing other accounts, like your brokerage account–all while keeping everything in one place.

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The average person holds onto their smartphone for two to three years. However, with component prices rising due to AI data centers gobbling up resources, your next phone upgrade will likely cost quite a bit more.

How much? FDM CCS Insight found that entry-level smartphones have increased in price by more than 50% since last year. This means that as more people hold onto their phones longer or look at the resale market for replacement options, the care you give your device can make all the difference in the value you receive when you're ready to part from it.

If you're looking to get more value out of your device while you own it and when you trade it in, I am going to show you an overlooked component that might add more value than it costs.

A different way to look at your smartphone protection

Mobile devices are subject to significant daily risks. From frequent travel to the simple reality of accidental drops and physical wear, smartphones are often traded in to keep up with performance demands. However, doing so through a cell carrier frequently resets the duration of your service contract.

Because I tire of being stuck with the same carrier for longer than I have owned some cars, I decided to look into cell phone insurance. And to my surprise, it does offer some value.

I don't think of it as just another bill, but as a hedge against depreciation. A cracked screen or an older phone with a worn-out battery will significantly impact its trade-in value by hundreds of dollars.

Without coverage, a minor accident forces you to consider expensive options: Either pay out of pocket for a repair or do an unplanned upgrade. By having insurance, you are actively protecting your asset's residual value. It means when you're finally ready to trade it in, you're holding a device in peak condition, which will fetch you significantly more money.

How much does cell phone insurance cost?

Having cell phone insurance gives you a cheaper way to maintain your device through the life of ownership. So, what cell phone insurance providers are there? Here's a quick breakdown:

Coverage, costs and deductibles vary by device and plan, so compare your options before enrolling.

But before signing up for insurance, do a device audit. Find out the resale value to determine if insurance is even worthwhile. You don't want to add another monthly payment to protect something only worth a few hundred dollars.

However, since most devices should last you between three and five years, it's worth a closer look if you plan to hold on to your current one longer. This is why shifting the mindset from 'paying for insurance' to 'managing an asset' changes how you view your tech, and can save you significantly when you're ready to upgrade.

Insurance isn't just about peace of mind; it’s a tool to protect your investment. Before you sign up, check your credit card benefits or homeowners policy (which can recover costs from theft, fire or vandalism), then pick the plan that best fits your risk tolerance and your wallet.

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Do you have a gut feeling about who will win your state’s midterm elections? Or when the Federal Reserve will next cut interest rates? Or which actor will nab an Oscar next year? Prediction markets hope you do — and that you’re confident enough in your intuitions to stake money on them.

Prediction markets, which allow you to place wagers on the outcome of future events, have existed in the U.S. in various forms for decades. But recent technological advances and legal changes under the Trump administration have allowed a host of new players — Kalshi, Polymarket and DraftKings Predictions among them — to turn the concept into massive betting hubs any American can use.

Trades on these platforms are expected to top $240 billion this year and reach $1 trillion by 2030, according to investment firm Bernstein.

To sustain their record growth, prediction-market companies have begun to look outside their typical younger, male users to other demographics, including older Americans, who currently account for less than 7% of their traffic, data from Truist Securities shows.

One key way they’re doing this: marketing their offerings as investments regulated by the federal government to differentiate them from gambling on traditional betting platforms.

"Prediction-market companies want to take this as far as they can," says Barry Jonas, senior gaming equity analyst for Truist Securities. "They need to expand, and why wouldn’t they go after folks with more disposable income and time?"

You’ve likely already been exposed to prediction markets, thanks to their ubiquitous ads during prime-time events or their prediction odds appearing in news coverage.

As these platforms become more entrenched in everyday life, here’s what you need to know about how they work and what the risks are.

How prediction markets operate.

Either on a freestanding platform, such as Kalshi or Polymarket, or one built into an online brokerage account or crypto app, as with Robinhood and Coinbase, prediction markets allow you to wager on an event by purchasing a contract tied to a specific outcome.

The price you pay typically ranges from 1 cent to 99 cents, depending on how strongly the market thinks that outcome will occur. Most contracts are framed as yes-no propositions, offer a fixed payout of $1 if you’re right, and have a set end date.

So if you think it will rain tomorrow, you buy a contract with a 20-cent "yes" position, and it pours, you’ll make 80 cents. If you were to bet against rain in this scenario, you’d lose the money you put up.

Unlike traditional gambling, there is no house or bookmaker setting the odds. Instead, the platforms create the contracts and then the market determines pricing, with odds being set by the first users to place an order. Revenue comes mostly from fees, typically a small percentage of the contract price or share of the profits.

You can also make a new wager or sell your contract any time before the event happens as prices fluctuate and new information comes to light — a feature more akin to stocks than gambling, says Glenn Yamagata, executive director of the Oregon Council on Problem Gambling.

Because of these distinctions, prediction markets are treated as derivatives and regulated by the federal Commodity Futures Trading Commission rather than state gambling agencies. However, at least 16 states have introduced legislation to regulate or ban prediction markets, arguing that they essentially function as sports betting markets do.

The result of this ongoing legal debate: confusion. One-fourth of prediction-market users regard their bets as a form of entertainment and 18% view them as "speculative gambling with an intellectual veneer."

Another quarter say they’re a useful supplement to their portfolios and 20% believe they are a legitimate alternative asset class, Truist reports. Additionally, 25% of participants fund their bets from their investment budgets, a study by the American Gaming Association found.

The risks of prediction markets.

One big draw of prediction markets for many users is the ability to place wagers on developments that overlap with their hobbies or expertise. That can lead people to believe they have an edge over others betting on the same event. But they’re not just competing against other individuals.

"There is this perception that it’s just Joe Public versus Joe Public, but in reality, you’re betting against very sophisticated institutional organizations that have access to information the typical citizen does not," Jonas says.

There are also concerns that prediction markets can be manipulated, especially by insider trading. Several high-profile instances occurred this past year, including an Army soldier charged with using classified information to place bets regarding the capture of Venezuelan President Nicolás Maduro to win more than $400,000 on Polymarket.

Still, more than half of users told Truist they preferred event contracts to sports betting or gambling because they felt they got better odds, and 70% thought they made money.

The reality looks quite different. Even though bets tend to be small, with about half of users wagering less than $100 per contract, most people don’t come out ahead. More than 100,000 accounts have lost at least $1,000 on Polymarket, but only half as many have won that much, a Bloomberg analysis found. Additionally, researchers found that since 2022, about seven in 10 Polymarket accounts have lost money.

If you do want to give prediction markets a try, experts suggest you set limits in advance on how much you’ll bet and how often, and never fund your wagers with money earmarked for saving goals.

The key, they urge, is to treat these bets as a fun expense, akin to going out for dinner or a movie, not as an investment.

"Prediction markets can be entertaining, but you should think of them the same way you do sports betting or visiting a casino," says Richard Warr, a professor of finance at NC State University. "There are much better places to put your money if you’re looking to invest."

If your goal is building long-term wealth instead of betting on short-term outcomes, a financial professional can help you create an investment strategy based on your goals and risk tolerance.

Use the Bankrate tool below to connect with a vetted financial professional:

Note: This item first appeared in Kiplinger Personal Finance Magazine, a monthly, trustworthy source of advice and guidance. Subscribe to help you make more money and keep more of the money you make here.

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Just as quickly as summer arrived, it seems to be nearing an end.

Soon, the piecemealing of childcare and the cost of summer camps will ease. The normal routine will resume (whatever normal looks like, that is).

Now is the time to refocus on the expenses that come with back-to-school planning. Tuition, school supplies, assistive technology, housing and transportation are at the forefront.

• How do you best plan and save for these expenses?
• Which accounts should you use to cover them?
• What can you do to protect any government or community-based benefits along the way?

Three of the main savings vehicles to consider are ABLE accounts, 529 plans and special needs trusts. Coordinating across these accounts could provide flexibility and efficiency in your plan.

It's worth spending time with a financial planner who focuses on special needs planning to understand how to best utilize each of these tools in coordination with one another.

For example, if your child has a 529 plan, you might consider rolling funds directly into an ABLE account, creating more flexible, broader use of funds for your child.

ABLE accounts may offer certain tax advantages and savings while maintaining benefits for your child. We'll focus on how to take advantage of this tool, which tends to be underutilized.

The priority for many families is to support their child's academic and developmental opportunities without jeopardizing benefits such as SSI, Medicaid and potentially housing and transportation resources. ABLE accounts can be a great tool to accomplish this goal when used properly.

Withdrawals used for qualified disability expenses (QDEs) aren't counted as resources when determining eligibility for government benefits. The key is that the expenses are tied to maintaining or improving health, independence or quality of life, a standard that's applied broadly.

Payments can be made directly from the ABLE account to the institution for ease of tracking and annual reporting. Keep a file or folder with invoices, payment records, expense receipts and proof of enrollment.

Contributions and gifting

The annual contribution limit for an ABLE account is $20,000 in 2026. Existing 529 plans can be rolled into the ABLE account, providing greater flexibility in how money is used. Loved ones can also contribute annually as part of their gifting strategy.

Keep in mind that the annual contribution limit includes new money or gifts, inheritance and rollovers. There are additional ways to add funds beyond this limit, including through the beneficiary's earned income.

Investment allocation

Generally, ABLE accounts may offer tax-deferred growth and tax-free withdrawals for QDEs, potentially enhancing the compounding benefits of investing. Balances that will be used for near-term educational expenses could be invested conservatively.

Longer-term goals such as graduate school or career development can have a growth-oriented strategy. The overall allocation within these accounts should be revisited annually to help stay aligned with the timing of upcoming expenses.

Qualified disability expenses

The definition of a QDE is broad, allowing these funds to cover many everyday expenses, including back-to-school costs. These costs include:

• Tuition such as at community colleges, universities or technical schools
• Adaptive technology, including speech-to-text software or specialized equipment
• Housing costs, on or off campus
• Coaches, tutors and academic specialists
• Transportation expenses, including ride services or modified vehicles

An ABLE account is a tool that can foster independence, growth and protection. It allows beneficiaries to pursue education and career development without impacting their government benefits.

As you think about back-to-school planning, consider incorporating a strategy that integrates the ABLE account, 529 plans and special needs trusts.

Work closely with your special needs attorney and financial advisor to incorporate these tools into your overall financial plan and ensure you are protecting benefits.

This type of coordinated approach can offer greater flexibility in education funding, smarter gifting strategies, an enhanced quality of life and improved tax efficiency.

To compare state ABLE programs side by side before opening or funding an account, the ABLE National Resource Center's state review tool is a good place to start.

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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

It seems that not a day goes by that we do not see a court ridiculing attorneys for filing frivolous cases in bad faith, clearly aware that what they are doing isn't supported by facts or the law.

In other words, they're doing things that they know are wrong and violate our ethical obligations as lawyers — often while under pressure to follow orders.

While violations of legally mandated professional ethical and moral codes are common in many professions, today's story stems from an email from a young lawyer. "Ruby" was debating whether she should remain married and wanted to know "what the psychological mechanism is that transforms a fair-minded person into someone I do not know anymore."

In the beginning, he despised lawyers who frustrate fair resolutions

"(My husband and I) got married when we were in law school," Ruby wrote. "Ben would get visibly upset when professors discussed insurance defense firms that, instead of fairly resolving claims and lawsuits, did everything possible to frustrate a resolution just to build up more billable hours. They'd drag cases out, doing bad things for a buck," which Ben agreed was awful.

"After graduation, an insurance defense firm made him a great offer — and agreed to hire me as well — to establish a wills and estate planning department.

"At first, they gave Ben run‑of‑the‑mill, small cases to handle and settlement authority — which he enjoyed using. Then increasingly complicated ones came along with a long list of work to be done. He admitted that, often, much of it was completely unnecessary as the matters could have been settled promptly, saving the clients thousands of dollars.

"Mr. Beaver, one night after Ben drank too much wine, the expression in vino veritas was proven true — he blurted out, 'I do not care that these cases involve people who were injured through no fault of their own. They are money makers for the firm, and I don't give a damn about putting them through the wringer, as this increases my billable hours. And, besides, how do I know they aren't faking it?'

"Could you do a story about how someone can go from wanting to do good and help people to becoming weak, collapsing morally and doing bad things? I want to confront my husband with what he has become, and unless he gets back to his former self, I cannot remain in this marriage."

Moral disengagement in the professions

I forwarded Ruby's email to a friend of this column, psychology professor Dr. Luis Vega at California State University, Bakersfield. Vega teaches a fascinating course there, called The Psychology of Good and Evil.

"Ruby is describing something far more than simply individual weakness," Vega said. "Ben is caught in a system that reshapes a person's ethics, a psychological transformation of values under chronic pressure found in high-pressure professional cultures, known as moral disengagement/corruption of the soul.

"It is affected by the powerful virus of apathy, profit-making and feeding greed at any cost. People like Ben are engulfed in a justification of their actions, a self‑persuasion process of believing the 'victims' deserve what comes to them, and an 'I know better' attitude.

"Psychologists and marriage counselors find that spouses of lawyers and other professionals often articulate a profound moral disconnect as a reason for divorce. Notably, caving in to pressure from management to earn the firm more money — performing unjustified work that ramps up billable hours — while losing their ethical compass."

Vega added, "It doesn't happen overnight, but with gradual — required — repeated behavioral adjustments that make prior unacceptable actions seem quite normal. Ben might not be aware of what has happened, while Ruby sees the change because she knows who he was before being 'reprogrammed' by the firm.

Vega set out a road map for how moral disengagement silences an individual's conscience, driving wrongful and unethical conduct in professional settings. This leads to them conforming to the norms of the group for income, status and identity, a step-by-step process in which:

• Senior partners model the behavior that teaches associates that promotions depend on compliance. They learn that dissent will have personal, negative economic and employment consequences.
• Principles and values that were once deeply held are transformed, not because the lawyer wants to be unethical, but because the cost of resisting the group becomes unbearably high.
• When unethical behavior becomes habitual, it can destroy personal relationships through a rationalization process. Spouses become emotionally detached by continually hearing, "Everyone at the firm does it, and clients never know. Anyway, my job is to save the insurance company money, and being fair has nothing to do with the practice of law."

What makes this possible?

The following mechanisms combine to produce a husband Ruby no longer recognizes:

Cognitive dissonance reduction. Ben initially wanted to practice law economically, but his firm requires maximizing billable hours, which creates dissonance (discomfort) that the brain rationalizes so that Ben now believes, "I am being thorough, not doing unnecessary work or dragging the case out."

The slippery slope. Losing one's values happens gradually, with one legal, ethical or moral compromise after another, resulting in medical overtreatment, corporate and political scandals and lawyers who build a reputation for doing anything when the price is right.

Identity drift. Ben began his life as a lawyer with strong ethical and moral values. His work environment has become so dominant that his professional identity has replaced his personal identity. Ruby says to herself, "He is not the same Ben I married. What happened? This is not the same, wonderful guy I fell in love with."

What should Ruby do?

Vega said, "Ruby needs to say, 'Ben, if I turned into the total opposite of the person you married, would you want to stay with me? I am losing you to this law firm that has corrupted your soul. I love you, Ben. Please come back to me, back to us.'"

Dennis Beaver practices law in Bakersfield, Calif., and welcomes comments and questions from readers, which may be faxed to (661) 323-7993, or e-mailed to Lagombeaver1@gmail.com. And be sure to visit dennisbeaver.com.

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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

June inflation reports gave Wall Street something it hadn't seen in a while: negative month-over-month readings. These came as energy prices slumped on a ceasefire between the U.S. and Iran.

But that appears to be a one-off occurrence. According to the Bureau of Labor Statistics (BLS), the July Consumer Price Index (CPI), released Wednesday morning, showed headline inflation rose 0.1% month over month and was up 3.4% year over year.

Shelter accounted for nearly two-thirds of the monthly increase, while the indexes for both food (+0.1%) and food away from home (+0.3%) were up too.

Energy prices, which have had an outsize impact on CPI in recent months, fell 1.5% from June to July. Still, the index for energy was 14.7% higher year over year as gas prices surged nearly 25% over the past 12 months.

The data matched economists' estimate for a 0.1% monthly increase and a 3.4% annual rise, while the 12-month figure eased from June's 3.5%.

The data lifted expectations that the Federal Reserve will keep rates unchanged when it meets in September, especially following a weak July jobs report.

According to CME Group FedWatch, futures traders are pricing in a 64% chance the Fed will keep the federal funds rate at its current range of 3.50% to 3.75% next month, up from 52% yesterday.

What is the CPI?

"CPI is a measure of the average price of that basket of goods and services over time," writes Kiplinger contributor Coryanne Hicks. "The specific goods and services within the CPI basket are based on information that around 24,000 families and individuals give the U.S. Bureau of Labor Statistics on what they buy."

The two primary measures of CPI are headline, which is the total inflation rate experienced by households, and core CPI, which excludes volatile food and energy prices.

Core CPI rose 0.2% from June to July and 2.5% over the last year. Economists expected core CPI to be up 0.3% month over month and 2.5% year over year.

With the July CPI report on the books, we looked at what economists, strategists and other experts on Wall Street are saying about what the data means for the Fed and the economy. You'll find these outlooks, edited at times for brevity, below.

Wall Street weighs in on the July CPI report

"For the Federal Reserve, this is a helpful report rather than an all-clear. Inflation is moving in the right direction despite the earlier energy shock, while recent weakness in the labor market gives policymakers even less reason to consider another rate increase in September. However, headline inflation at 3.4% remains comfortably above target and energy prices are still nearly 15% higher than a year ago, so the Fed is unlikely to declare victory yet, especially after Kevin Warsh was adamant to point out his focus on making sure that high inflation does not become detrimental to the U.S. economy." - Daniela Hathorn, Senior Market Analyst at Capital.com

"Typically, the market would be buoyed by the thought of rate cuts, but in a world where many are expecting rate hikes, anything that can delay — or squash the need for — rate hikes will be viewed positively. The market and the Fed won't stop worrying about inflation, and there are another set of reports before the next Fed meeting, but these two reports (Jobs and CPI) are going to go a long way toward keeping the bulls running in the near term." - Chris Zaccarelli, Chief Investment Officer for Northlight Asset Management

"Today's July CPI report came in as expected. The bigger concern is what's happening beneath the headline numbers. The labor market has shown signs of weakening. At the same time, consumer credit numbers illustrate that consumers are feeling pressure. Recent data from the New York Fed showed revolving credit card balances continuing to rise, with total household debt reaching $1.26 trillion, up 1.7% from the previous quarter. Late-stage delinquencies have also risen to levels we haven’t seen since around 2008. For us, that provides a different and arguably more meaningful view of affordability than the CPI alone." - Kathleen Grace, CEO, CIO and Founder of Fiduciary Family Office

"As the economy reaches the end of the year, we should expect inflation to decelerate to 2.7% as transportation costs and healthcare costs ease. We expect the debate at the September FOMC meeting to be lively as the economy experiences a tight labor market while the inflation picture is quite blurry. Our baseline is that the Fed holds rates steady, but an increasing number of voting members are hawkish and could convince the majority to implement a hike. Overall risk sentiment is positive as inflation is expected to improve by the end of the year." - Jeffrey Roach, Chief Economist for LPL Financial

"While this morning's CPI report did not provide a flashy headline increase, it once again reinforces inflation's persistence above the Fed's target rate. While at first glance this reduces expectations for the Fed to hike rates at the September meeting, it also increases pressure on the new Fed chair Warsh to eventually deliver on his message that this pace of increasing consumer prices will not be tolerated. This dynamic may also further fuel the rise in long-dated Treasury yields, as the Fed seems comfortable to allow the bond market to enforce any tightening in the near term." - Jordan Rizzuto, Managing Partner and CIO at GammaRoad Capital Partners

"In our view, this month's CPI inflation reading, combined with a lackluster July jobs report, may keep hawkish Fed officials at bay in September. However, we remain guarded on the near-term outlook for inflation amid volatile oil prices tied to the ongoing Middle East conflict, along with lingering core price pressures from a strong economy and the AI boom." - Gary Schlossberg, Global Strategist at Wells Fargo Investment Institute (WFII)

"Today's data suggests the Fed has cover to remain on hold at its September meeting, particularly as policymakers will receive two critical data releases beforehand: the August employment report and August CPI print. These upcoming reports will provide a more complete picture of economic conditions and inflation momentum, giving the Fed flexibility to adopt a patient, data-dependent approach. Market participants should view today's report as constructive but not decisive, with the August data serving as the true determinant of September's policy decision." - Greg Gizzi, Chief Investment Officer of Fixed Income and Head of Municipal Bonds at Nomura Asset Management International

"The CPI report provided more of the same. A directionless indicator for the Fed. Some pressure was removed for a rate increase, which is probably no surprise to most of the Fed. Doing nothing to the rates is actually working. Making a call when the information is weak would give credence to political pressures more than economic ones. I think what the U.S. economy needs is time to heal and strengthen. I still believe the pressure to even drop rates in the next several months is not out of line." - Ben Fulton, CEO at WEBs ETFs

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Humanity has always been obsessed with looking up. From Copernicus proving the Earth revolves around the sun to Newton mapping gravity, we can’t help but stare into the cosmos.

That fascination is on full display this month with the August 12 total solar eclipse sweeping across Greenland, Iceland, and Europe, alongside the annual Perseid meteor shower. Both events are tracked closely by NASA — America's publicly funded civil space agency.

But as you gaze up at the night sky, you could be wondering what's falling out of your wallet.

As it turns out, tax dollars fund NASA, yet nowhere near as much as you might think. So grab your eclipse glasses, snag a calculator, and let's break down what it actually costs to reach for the stars.

This is how much we pay NASA

If you'd guess NASA is eating up a big chunk of your annual tax bill, you're in good company.

When Business Insider polled over 1,000 U.S. adults, the average American estimated that NASA gets roughly 6.4% of the entire federal budget.

The reality? In 2026, NASA receives about 0.36% of federal spending. That translates to roughly a third of a cent for every dollar Uncle Sam spends.

Put another way: if your household pays $10,000 in annual federal income taxes, your contribution to NASA might be about $36 a year. That's less than the price of a dinner out — or a few months of your favorite streaming service.

And while that bill may be surprisingly modest, the return could be substantial.

According to an economic impact report commissioned by the agency, NASA estimates that its operations generate between $2.50 and $3.00 in broader economic output for every federal dollar spent — totaling over $75.6 billion in nationwide economic activity.

Though some economists debate how those math models are calculated, the agency estimates its funding supports more than 304,000 American jobs.

Here's the disconnect

Why are we so convinced NASA's budget is bigger than it actually is? Part of the answer lies in human psychology and how we process information.

It's everywhere on our screens. From surreal snapshots by the James Webb Space Telescope to high-stakes rocket launches broadcast around the globe, NASA has a massive media presence.

And because the agency's sci-fi-sounding missions (like putting humans back on the moon) are so highly publicized, our brains naturally assume its funding must be equally astronomical. This mental shortcut is known as the "availability heuristic."

Our minds also struggle with mega-numbers. We simply aren't wired to visualize the chasms between a million, a billion, and a trillion. Once a figure hits nine or twelve zeroes, our brains blur them together into an abstract category of "huge." Scientists dub this phenomenon "magnitude neglect."

Since we lack an intuitive sense of scale for federal spending, we unconsciously overestimate what it takes to pull off deep-space exploration, assuming it must consume a far larger chunk of the U.S. budget than it actually does.

What your tax dollars fund at NASA

Despite operating on 0.36% of federal funding, here is how NASA's $24.8 billion budget from last year broke down across its primary mission areas (with a few real-world examples from each bucket):

• Deep space exploration systems (~$7.7 billion): Funded the Artemis program, along with the Space Launch System (SLS) rocket and Orion crew capsules.
• Science mission directorate (~$7.3 billion): Covered everything from climate-tracking satellites and wildfire monitoring here on Earth to Mars rovers and deep-space telescopes.
• Space operations (~$4.2 billion): Kept the International Space Station (ISS) running in orbit and covered commercial cargo and crew flights with private partners, including SpaceX.
• Facilities, IT, and salaries (~$3.1 billion): Supported base operational infrastructure across NASA centers nationwide, including physical facility maintenance, cybersecurity, and administrative operations.
• Space technology (~$1.1 billion): Invested in research grants for universities and startups testing futuristic tech, such as laser internet and 3D-printed structures made from moon dust.
• Aeronautics research (~$0.9 billion): Focused on aviation down here on Earth, including quieter supersonic commercial jets and lower-emission engines.

Still, a nearly $25 billion budget is a large chunk of cash. Government watchdogs, like the Government Accountability Office (GAO), often point out that some major space projects — like NASA's new Artemis moon rocket — frequently run billions of dollars over budget and take longer than planned to finish.

NASA budget compared to Medicare, Social Security, and more

To put financials in perspective, NASA typically receives around 0.36% of total federal funding. Meanwhile, major mandatory spending categories get a much bigger piece of the pie:

• Social Security benefits generally account for about 22%,
• Yearly Medicare expenditures may be roughly 13.5%, and
• Annual Medicaid spending is around 10%.

Here’s a breakdown showing just how dwarfed space spending really is compared to these and other federal budget buckets:

Would Americans pay more for space exploration?

When it comes to space funding, public opinion is a mixed bag.

On one hand, a recent YouGov poll found that 48% of Americans believe space missions are a "good use" of taxpayer money, compared to 30% who disagree.

Interestingly, it's one of the few issues that bridges political lines — with 54% of surveyed self-identified liberals and 57% of surveyed conservatives agreeing that the returns generally justify the price tag.

That said, most people might not be eager to write a bigger check to NASA. Polling from nonpartisan analysis group Good Authority noted that while 51% of taxpayers favor keeping current spending steady, only about 20% think federal funding for space exploration is "too little."

But even if taxpayers aren't clamoring to open their wallets, they're definitely tuning in.

An overwhelming 90% of Americans in the YouGov survey had heard about the upcoming Artemis II lunar flight. This outpaced public awareness of the Trump administration's budget and mainstream healthcare news covering GLP-1 weight-loss drugs (semaglutide).

Bottom line

While NASA carries enormous public visibility, its impact on the individual taxpayer's annual bill remains relatively small.

Beyond space exploration, federal investments in the agency also yield practical technological commercialization.

Everyday tools we rely on, including LASIK eye surgery techniques, thermal insulation, and scratch-resistant lenses, all benefited from early NASA research (even if private companies built the final products).

So as you watch the skies this August, remember what you pay for outer-space discoveries — and you can decide whether it's worth it.

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Welcome to Kiplinger's My First $1 Million series, in which we hear from people who have made $1 million.

They're sharing how they did it and what they're doing with it. This time, we hear from a married 58-year-old man who works in the entertainment/gambling industry in New York. He reports his annual salary is $150,000.

See our earlier profiles, including a writer in New England, a literacy interventionist in Colorado, a semiretired entrepreneur in Nashville and an events industry CEO in Northern New Jersey. (See all of the profiles here.)

Each profile features one person or couple, who will always be completely anonymous to readers, answering questions to help our readers learn from their experience.

These features are intended to provide a window into how different people build their savings — they're not intended to provide financial advice.

To learn what these millionaires have taught us, check out the articles 5 Key Insights We Learned From 50 Millionaires and 5 Things 50 Millionaires Wish They'd Known Before They Retired.

And to hear more about My First $1 Million, you can check out this podcast with bestselling author and tax attorney Toby Mathis:

The Basics

How did you make your first $1 million?

Technically, I made my first million from paying off my house early and savings. We were fortunate to make a profit on the sale of our first house, broke even on the sale of our second house during the 2008 downturn and became mortgage-free in our third house that we currently live in.

Our second million came from investing in our company 401(k) plan. Each time I started a new job, I rolled over the balance to the new job plan and resisted the temptation to cash it out.

I made sure my contributions were enough for the company 401(k) match plan, and as my salary grew, I contributed more until I maxed out to the federal tax limit.

All of this took 30 years of daily financial discipline of learning to live within my means.

One simple example is I figured out early that if I brought my own lunch and morning coffee from home instead of going out each day, that was equal to a car payment each month.

What are you doing with the money?

I am still working and have almost two more years before I can withdraw from my 401(k) penalty-free, so I am sticking with the same plan of investing in the company 401(k).

With no mortgage, we were able to pay for my son's college and, as a graduation gift, assist him with a down payment for his first house.

We spent years paying rent and saving for our first home, so it is personally gratifying to see the next generation benefit from our hard work.

The Fun Stuff

What is the best part of making $1 million?

I don't worry about money. I continue to live a middle-class life but don't have the "end-of-the-month bill-paying worries" I had when I was younger.

Did your life change?

Making $1 million did not change my life. I made a conscious effort to make sure it didn't. I continue to work and save.

I will admit it did allow for better family vacations.

Did you do anything to celebrate?

Went to dinner with my wife.

Does anyone know you're a millionaire?

I told one co-worker who I have worked with for almost 20 years. He knows the humble beginnings of my career and could appreciate the hard work it took to get there.

Any plans to retire early?

I do not plan on retiring early. I enjoy what I do, and I am fortunate enough to keep doing it.

Looking Back

Anything you would do differently?

When I graduated high school, I had no interest in pursuing higher education. I think that was a mistake. Instead of being an electrician, I could have been an electrical engineer. Who knows?

What advice would you give to your younger self?

That you can do it. I never thought a blue-collar worker could be in the financial position I'm in.

Did you work with a financial adviser?

I did not use a financial adviser. I had a few consultations but saw the fees and risks as too high for me.

Did you read any books that helped you on your journey?

I mostly read books on compound interest.

Did anyone help you early on?

My brother. He pushed me to pay attention to my future financial well-being by investing in a 401(k) and living within my means. Once you do that, everything else falls into place.

Looking Ahead

Plans for your next $1 million?

I will probably be retired and spending before I reach another million, which is fine. Life is about living, not making money.

Life is also better with money. Balance is the key.

Do you have an estate plan?

I do have an estate plan. Mostly to keep the next generation out of probate court.

Any advice for others trying to make their first $1 million?

First lesson is to learn the power of compound interest. With a small starting balance, it looks like nothing. Over time, it grows into something.

Second lesson is cash is king. Paying interest on credit cards or car payments is hurting you more than you think.

If you take the time to save for what you want and buy what you can afford, you will be far better off in the future.

Third lesson is patience. Lessons one and two do not pay off overnight.

What do you wish you'd known …

When you first started saving? Saving is simple. Pay off debt first, then add to 401(k).

When you first started investing? I took me a while to figure out my comfort level in risk. What helped me was tracking my contributions vs what I earned in investments each month.

Anything you'd like to add?

Money is not complicated. You either have to work more, make more or spend less. It's that simple.

Stop worrying what the neighbors have and associate with people of your own financial class and be grateful for what you have, not ungrateful for what you don't have.

If you have made $1 million or more and would like to be anonymously featured in a future My First $1 Million profile, please fill out and submit this Google Form or send an email to MyFirstMillion@futurenet.com to receive the questions. We welcome all stories that add up to $1 million or more in your accounts, although we will use discretion in which stories we choose to publish, to ensure we share a diversity of experiences. We also might want to verify that you really do have $1 million. Your answers may be edited for clarity.

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Most "America 250" travel guides will point you toward the crowded, cobblestoned streets of Philadelphia or Boston — and while those historic hubs certainly earned their place in the history books, the true American story doesn't end at the original 13 colonies. If you are looking to give your grandchildren a deeper sense of the nation's heritage, the best classroom isn't a packed museum line; it's the open road.

These four itineraries trade predictable monuments for sweeping coastlines, ancient mountain passes and hidden historic stops, offering a compelling backdrop for passing down stories and building memories.

Out West: the Pacific Northwest & the corps of discovery

Trace the final leg of the expedition that reshaped America: a road trip following the Columbia River Gorge from Portland to Astoria's Fort Clatsop, ending where Lewis and Clark first saw the Pacific at Cape Disappointment.

The route: Portland to Columbia River Gorge to Astoria (Ft. Clatsop) to Cape Disappointment

Columbia River Gorge: Drive past stunning waterfalls and stop at the Columbia Gorge Discovery Center to learn how the expedition navigated these treacherous waters. The Columbia Gorge Discovery Center’s Raptor Program is capable of wowing kids and adults. You can visit the enclosure of resident bald eagles Liberty and Ferguson, ages 17 and 23 respectively, for free.

Lewis and Clark National Historical Park (Fort Clatsop): Located in Astoria, Oregon's oldest city, is a replica of the log fort where the expedition spent the brutal winter of 1805–1806. Kids can interact with rangers dressed in buckskins, try their hand at making candles from tallow and explore the dense coastal rainforest.

Cape Disappointment State Park: Cross into Washington to see where the expedition finally saw the Pacific Ocean. The dramatic clifftop lighthouse is unforgettable. It's still in use and open for tours. Visitors can also wander through the ruins of World War II-era bunkers and coastal defense batteries.

• Summer bonus: Chasing waterfalls & picking berries. Summer brings long, gloriously sunny days to the Pacific Northwest. Stop at the 620-foot Multnomah Falls and hike without needing a rain jacket. Take a detour through the Hood River Fruit Loop, where the kids can pick fresh berries and cherries.
• Fall bonus: The salmon run & coastal mist. October brings the legendary salmon runs to the Columbia River. You can visit the Bonneville Lock and Dam to watch thousands of massive salmon leap up the underwater "fish ladders." Plus, the coast at Cape Disappointment gets its signature dramatic, misty autumn aesthetic.

The South: The southern campaign & Overmountain victory (North Carolina & South Carolina)

While the Northeast gets the credit for 1776, the Revolutionary War was actually won in the South. This trip blends rich Southern history with the spectacular background of the Great Smoky Mountains. The Carolinas are hosting extensive "SC250" and "NC250" events, featuring large-scale autumn encampments and live blacksmithing.

The route: Charlotte (NC) to Kings Mountain to Cowpens (SC) to Asheville (NC).

Kings Mountain & Cowpens National Battlefields: These two parks preserve the sites of back-to-back American victories. The Kings Mountain State Park visitor center offers an interactive junior ranger program that explains how frontier "Overmountain Men" turned the tide of the war. Cowpens National Battlefield commemorates a decisive battle in the Revolutionary War, which ended in defeat for British forces under General Charles Cornwallis.

The mountain finish: End the trip by driving into Asheville to experience the lush greenery in the summer and peak foliage of the Blue Ridge Mountains in the fall.

• Summer bonus: Lake Lure & mountain streams. Beat the Southern summer heat by sliding into the cool, mountain waters. You can stop at Lake Lure (where Dirty Dancing was filmed) for a beach day surrounded by green mountains, or take the kids gem mining and tubing down the French Broad River.
• Fall bonus: Peak Blue Ridge foliage & reenactments. October is the absolute pinnacle for leaf-peeping in Asheville. Additionally, early autumn is when the park service hosts the Overmountain Victory Trail celebrations, featuring massive living-history encampments where volunteers walk the exact path the frontier militia took to the battlefields.

The Southwest: a crossroads of cultures

To truly celebrate the American tapestry for America 250, look to the Southwest, where Indigenous, Spanish and Anglo histories collided to shape the nation. Long before the first bricks of the thirteen colonies were laid, these high-desert landscapes were home centuries of rich cultural exchange.

The route: Albuquerque to Santa Fe to Taos

The Santa Fe Plaza: Celebrate America's diverse roots in the oldest capital city in the U.S. Families can explore the Palace of the Governors, part of the New Mexico History Museum, and buy authentic jewelry directly from Native American artisans under the portal.

Pecos National Historical Park: Just outside Santa Fe, this park features the ruins of an ancient Pueblo village alongside a 17th-century Spanish mission church, right on an old Santa Fe Trail trade route. It brilliantly illustrates the centuries of history that predated 1776.

Taos Pueblo: Take a day trip to a living Native American community that has been inhabited for over 1,000 years. Located at the base of the beautiful Sangre de Cristo Mountain range, this National Historic Landmark is open on weekends only from 9 am to 4 pm. If you've got an American Girl Doll fan, you can visit the Hacienda de los Martinez, which was the inspiration for the doll Josefina Montoya's home. It's a seven-minute drive from downtown Taos.

• Summer bonus: Santa Fe Indian Market & alpine hikes. While lower elevations are hot, Santa Fe and Taos are at high altitudes and stay quite comfortable. (For those who might be sensitive to altitude, keep in mind that you may need time to acclimate.) August brings the world-famous Santa Fe Indian Market, a celebration of Native American art, music and food. You can also take the chairlift up Taos Ski Valley for high-alpine summer hiking.
• Fall bonus: The balloon fiesta & roasting chiles. Early October features the Albuquerque International Balloon Fiesta, when hundreds of hot-air balloons fill the sky at dawn. The smell of autumn, and the official "state aroma", in New Mexico is the aroma of fresh green chiles being roasted in giant tumbling drums on every street corner.

The Midwest: innovation, labor & The Great Migration (Illinois & Indiana)

The trip through the Midwest tells the story of how America transformed from an agrarian society into an industrial superpower. Taking a road trip through Illinois and Indiana reveals the grit, innovation and diverse voices that built modern America.

The route: Chicago (Pullman) to Indiana Dunes to Fountain City (Coffin House) to Indianapolis

The Pullman Centennial: Visit the Pullman National Historical Park, a preserved 1880s company town that highlights the American labor movement and the pivotal role of the African American Pullman Porters.

Indiana Dunes National Park: Just across the state line, hike towering sand dunes framed by brilliant oak trees, celebrating America's conservation and National Park legacy. As part of their "The 1966 Hiking Challenge," the park is offering 19 weekly ranger-led hikes every Saturday at 8:00 am through August.

The Indiana State Museum (Indianapolis): They are hosting dedicated America 250 programming, including exhibits on the Underground Railroad in the Midwest, showcasing the region's commitment to freedom and human rights.

The "Grand Central Station" legacy: This unassuming brick house in Fountain City, Indiana, is where Levi and Catharine Coffin helped more than 1,000 freedom-seekers escape to safety. It's arguably the most successful "station" on the entire Underground Railroad.

They have an interactive visitor center next to the historic home that does a fantastic job of translating this heavy history into digestible, moving stories for children. You can tour the home and see the internal hiding places, including a hidden upstairs closet where entire families were concealed behind furniture, and a basement kitchen built with a secret indoor well so neighbors wouldn't see the Coffins hauling extra water for guests.

• Summer bonus: Lake Michigan beach days. This history trip can turn into a legitimate beach vacation. Indiana Dunes National Park features miles of sandy beaches and warm lake water that feels like the ocean without the salt. In Chicago, you can take a boat cruise down the river to stay cool.
• Fall bonus: Apple orchards & haunted trails. The drive from the Indiana Dunes down to the Coffin House takes you right through Indiana’s agricultural heartland. Stop at Huber's Orchard or Tuttle Orchards for fresh apple cider slushies, pumpkin picking and corn mazes. Additionally, Indianapolis hosts fantastic historic autumn ghost tours that weave local history with spooky seasonal fun (best for older kids or teens).

More on America's 250th Birthday

• America's Cost of Living at 200 vs 250: How Affordable is American Life Now?
• America at 250: The 3 Economic Headaches That Haven't Changed Since 1976
• How Has Retirement Changed in the Last 50 Years? Take Our Quiz
• Financial Advice From America's Founding Fathers
• Which Presidents Are on the Social Security Payroll?

The term cruise ship typically brings to mind a mammoth vessel navigating through the ocean waves. But a growing number of travelers are trying out a different kind of water-based vacation: river cruises.

Unlike many ocean excursions, on ships featuring everything from casinos to climbing walls on board, river cruises focus more on the places you visit than the vessel you take. "Although the title is 'river cruising,’ this is really a land experience as much as a water experience," says Jeremy Palmer, president of Tauck, a tour and river cruise operator.

For many river cruisers, that distinction is a big part of the appeal. "A lot of my first-time river cruisers are people who don’t like cruises," says Diane Frisch, owner of the travel agency Diane Frisch Destinations. A recent traveler survey from Cruise Lines International Association found that about one in five first-time cruisers opted for a river cruise instead of an ocean voyage.

All signs point toward those numbers growing. Executives at Viking Holdings, the largest river cruise company by a large margin, said almost 40% of available 2027 reservations were taken by early May of this year. The cruise industry is paying attention: Celebrity Cruises is launching a line of river cruises next year.

"That core market of people with time, money and the desire to travel has never been bigger," Palmer says.

The appeal is multifaceted: Most river cruise ships hold a maximum of 200 passengers, so you can expect more personalized service, better food and fewer lines. "What a lot of people really enjoy is the level of service you get," says Tilly Pearson, trip planner at tour operator Adventure Life.

Hank Schrader, co-owner of Dream Destinations, a travel agency that specializes in river cruises, says the number of activities people can do and see while in port has exploded over the past decade, and some cruise lines have entire itineraries dedicated to pursuits such as cooking or cycling.

"What’s changed is the number of different offerings," he says. "Before, it was like, ‘Hey, here's your daily tour.’ Now most lines are offering significantly different options."

A variety of choices.

Cruisers have a wide range of options, from price point to activity level to on-shore excursions. Consider your travel preferences, budget and what kind of vibe you're looking for.

While Schrader notes that river cruises don't have attractions such as on-board nightclubs and live entertainment each evening, some river cruises are livelier than others, with wine-tasting dinners or local musicians coming on board at port to perform.

River cruises historically catered to older adults, but there's evidence that's shifting. According to market research firm Future Market Insights, about a fourth of passengers are between 46 and 55. Cruise lines are creating itineraries aimed at a younger crowd, such as visiting Germany during Oktoberfest or touring wine country by electric bike.

If you want to cruise as a family, consider the age and maturity of your kids. Some cruise lines have age minimums, and there's generally no kid-oriented programming. "We recommend they're well traveled or that parents bring some entertainment on board," Pearson says.

One notable exception is Ama-Waterways, which has a partnership with Disney. European river cruises under the Adventures by Disney banner include "adventure guides" and kid-friendly activities. Be aware, though, that while your kid might be thrilled to see the real-life inspiration for Cinderella's castle in Germany, you won't spot so much as a whisker of Mickey or other characters on board.

While walking tours at each port are typical, travelers who want to get their blood pumping and exert a little more energy can choose from itineraries that include hiking, bicycling, kayaking and other activities. One AmaWaterways vessel, the AmaMagna, even has a full-size pickleball court.

Pearson says the Active & Discovery cruises from Avalon Waterways appeal to active travelers with programs that are designed to keep you moving. "You're off the beaten path a little bit more; you're doing more unique things," such as kayaking in a canal or hiking a mountain.

Learning local history in each port is an indelible part of the river cruise experience.

For travelers seeking a deeper dive into local culture, AmaWaterways offers European itineraries with program experts from the Smithsonian Institution. American Cruise Lines is known for its knowledgeable, passionate local guides.

Managing the costs.

If you’re used to seeing Caribbean cruises advertised for well under $1,000 per person, you might want to sit down. "I’d say $4,500 to $5,000 per person is very entry-level pricing," Pearson says. Travel advisers say $12,000 to $15,000 per couple for a seven- or eight-night river cruise is typical.

The up-front cost might be steep, but Schrader argues that cruisers can get as much — or more — value compared with taking a land tour once you factor in lodging, transportation, meals and sightseeing.

"The price is going to be pretty much comparable, and you’ve taken away the entire hassle factor" because you only have to unpack once rather than change hotels every night.

One big reason for the high price tag is that river cruise pricing is generally all-inclusive. With a few caveats (more on those below), many of the perks you'd pay for on an ocean cruise — alcohol, guided tours, port excursions — are typically included in the cost. Some cruise lines even bundle gratuities into the rate.

Still, travel experts say there are some tactics that can help keep your costs in check, although a few of them do come with trade-offs.

Don’t count on last-minute bargains. With rare exceptions, you won’t find the kind of fire sales you sometimes see for flights within a few weeks of departure. Viking chairman Torstein Hagen told investors in May that advance bookings for the 2027 season were up 21% compared with a year earlier. Another reason to book early is that cheaper cabin categories usually go quickly.

Seek out discounts. Most cruise lines offer discounts, albeit modest ones, for first responders, military service members and repeat customers. Some also offer referral discounts if you’re traveling with friends. Another common incentive: Discounted or free airfare if you book your flights through the cruise line.

Consider your travel style. Do you like a plethora of shore excursions? Free-flowing liquor? Despite having more inclusive pricing than ocean cruises, major river cruise lines do vary somewhat in what falls under the umbrella of all-inclusive, which gives you opportunities for saving money. For instance, non-drinkers might save by booking a cruise that has a lower price point and doesn’t include hard liquor.

Skip summertime. All other things being equal, summer is the most popular — and most expensive — time to go on a river cruise. "There is a shoulder season. It’s getting smaller, but generally, in February, March, April or November, you can get a better rate in Europe just because the weather isn’t as nice," Palmer says.

Solo travelers should be selective. Traditionally, pricing has been even tougher for solo travelers because cruise lines want to recoup the money they would otherwise earn if a second passenger were in the cabin. Single supplements can equal or even exceed 100% of the per-person rate on most sailings — meaning that a solo traveler could pay twice or more the per-person price that would apply for double occupancy — but that’s changing as interest in solo cruising soars.

"This market has grown tremendously—about 40% over the past three years," says Marilyn Conroy, vice president of sales and marketing for Riviera Travel, a U.K.-based cruise and tour operator.

To meet this demand, Riviera is launching a 68-passenger vessel next year that Conroy describes as the first river cruise ship for solo travelers. A number of other lines reduce or waive single supplements for certain voyages or for certain cabin categories.

Logistics to know.

River cruise pros say there are some things you need to know and do before beginning your journey to get the most out of your trip.

Book early. Even if you’re not bargain-hunting, it’s smart to book well in advance. "This is not something you do six months out," Palmer cautions. "You might not get exactly what you want even if you book a year out," he says, adding that Tauck customers book an average of 18 months ahead.

Travel agents say it’s possible to book some itineraries closer to your departure date — think six to nine months — but warn that you might find limited sailing dates and cabin categories available.

Try using a travel agent. While blogs and forums such as Cruise Critic have crowdsourced wisdom you can use to do your own research, enlisting a travel agent who is familiar with the complexity of river cruise itineraries and the nuances among cruise lines can be worthwhile. Almost two-thirds of people who book cruises (including ocean cruises) use travel agents, according to a report from Cruise Lines International Association.

"The average consumer cannot tell the difference between the lines," Schrader says. "When you’re spending this kind of money, you want to make the best choice you can." He suggests vetting travel agents by asking whether they’re certified by the American Society of Travel Advisors or CLIA. And ask whether they’ve ever been on a river cruise; ideally, you want an agent with firsthand knowledge.

(Maybe) book your own airfare. Letting the cruise line book your flights to and from the destination on one of their partner airlines takes the decision-making out of your hands — which could be a plus or a minus. You won’t have as much choice as you would with a booking platform such as Travelocity: The airline you fly, the times of your flights (as well as the length of any layovers you might have) and the seats you get are largely out of your hands.

That said, booking flights with the cruise line might make sense for some travelers. "Some people like having everything in one package, and some companies will give you free airport transfers," Frisch says.

Many cruise lines promote discounted or even free airfare on select sailings, and booking airline tickets through the cruise line is smart if you’re using its travel insurance (because the policy covers only what you booked through the cruise operator). But if you have strong preferences about which airlines you fly, when you fly and where you sit, you might be better served by booking on your own.

Take an extra day (or two). Experts suggest arriving a day before your cruise departs just in case your flight is delayed, because the ship will sail whether or not you’re on board. Most river cruise itineraries include the option of booking one or more days at a hotel either before or after your voyage. An increasing number of tour operators have hybrid land-water itineraries that can include several more days of touring on land. Travel pros say these are especially popular for African and Asian river cruises.

Look into travel insurance. The high price tag that typically comes with a river cruise makes travel insurance a smart way to cover your investment. Expect to pay about 10% of the cost of the trip.

Frisch says that most travelers can probably get a better price buying a policy from a third-party provider, such as Allianz Travel or Travelex, compared with purchasing it from the cruise line; travelers in their upper seventies and older, however, are often better off with a policy from the cruise operator because premiums for older travelers can be sharply higher with other providers.

Cruises to consider.

European waterways offer the classic river cruise experience, and these itineraries remain extremely popular. But travel pros say there also are terrific options in far-flung locations — as well as in your own backyard. Prices below are per person and based on double occupancy, unless otherwise noted.

Europe. A significant portion of river cruises are on European waterways: Cruisers have their pick of routes and price points, with itineraries along the Danube, Rhine, Rhone and Seine especially popular.

Travelers looking for an iconic journey might consider Viking’s 15-night exploration of the Danube, Rhine and Main rivers. "The 15-day Budapest-to-Amsterdam cruise is a home run. If you want to get river cruising in a nutshell, that’s absolutely the best route to take," Schrader says.

Highlights include medieval castles, Gothic cathedrals and picturesque windmills at UNESCO World Heritage sites. Most summer 2027 sailings start between roughly $5,000 and $6,000.

For active travelers, Pearson recommends Avalon Waterways’ Active & Discovery Rhine River cruise from Amsterdam to Basel. (The Netherlands is broadly popular for cruises featuring cycling expeditions because of the region’s flat terrain.)

In addition to excursions via kayak and bicycle, the seven-night cruise includes hiking, visits to breweries and a French-food tour. For the 2027 season, sailings start below $5,000 per person for most dates.

A region that’s rising in popularity is the Iberian Peninsula. "You get a good bang for your buck in Portugal," Riviera Travel’s Conroy says. Riviera has a gastronomy-themed, seven-night tour along the Douro River through Spain and Portugal’s most well-known wine regions. Sailings for 2027 start at about $4,400 per person, although promotional offers can knock more than $1,000 off those rates.

For families, a real-life magical adventure is the Adventures by Disney seven-night Danube River Christmas-market cruise.

Recommended for kids ages 8 and up, highlights include visits to famous Christmas markets in places such as Vienna and Salzburg and tours of sites from The Sound of Music. Prices for 2027 sailings start at about $6,700 for adults and $6,000 for kids under 12.

The U.S. You can get your fill of regional scenery and culture without going abroad. American Cruise Lines has "really good history and storytelling," Pearson says, adding that the local tour guides are deeply knowledgeable about the area and usually from families who have lived there for generations. If you really want to immerse yourself in nostalgic Americana, you can even travel via an old-fashioned paddle wheeler. (Don’t worry — the ships and all the amenities are modern.)

American Cruise Lines’ lower-Mississippi cruise attracts history and Civil War buffs. The eight-night cruise ferries travelers between New Orleans and Memphis, with many 2027 sailings starting between roughly $4,000 and $6,000.

Travelers with time on their hands can watch the scenery change from bayous to bluffs on a 22-night trip that covers the entire river, from New Orleans to St. Paul, Minn., on voyages from American or Viking. For 2027 sailings, per-person, double-occupancy fares start at roughly $16,000 for American and roughly $17,000 for Viking.

Another popular itinerary lets you follow in the footsteps of explorers Meriwether Lewis and William Clark in the Pacific Northwest via the Columbia and Snake rivers. An eight-night voyage on American starts at about $6,000 for most summer 2027 sailings.

The rest of the world. Seasoned river cruisers looking for adventures outside Europe or the U.S. have a growing number of options as river cruise companies add new destinations.

Mekong River cruises that wind through Vietnam and Cambodia often include an overland journey to Siem Reap and the temples of Angkor Wat, a UNESCO World Heritage site. "The Mekong is very, very well loved," Pearson says. "If people want a unique experience, that’s one to look at."

A 14-night voyage on Emerald Cruises & Tours also includes time in vibrant Ho Chi Minh City, traditional villages and tranquil temples. Many 2027 sailings start in the $5,000 range, and Emerald’s fares include gratuities.

Many of the cruises that traverse Egypt’s Nile River are land-water hybrid tours to incorporate visits to the Great Pyramids, the Great Sphinx of Giza, and Cairo’s historical sites and museums. Tauck’s nine-night journey includes a four-night Nile cruise highlighting ancient temples and monuments, as well as a private, after-hours visit to King Tutankhamun’s tomb.

Prices and dates for 2028 sailings have not been released yet; prices for 2027 sailings start at about $13,000, but they were recently sold out.

Colombia’s lush mountains and vibrant culture are the draw in AmaWaterways’ seven-night cruise along the Magdalena River. Passengers on this under-the-radar adventure begin their journey in colorful Cartagena and get to experience traditional music and dance, historic architecture, and lush countrysides.

Spring 2027 sailings begin around $4,000, with prices dropping in the warmer months.

Note: This item first appeared in Kiplinger Personal Finance Magazine, a monthly, trustworthy source of advice and guidance. Subscribe to help you make more money and keep more of the money you make here.

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You faithfully pay your recurring bills (such as utilities and insurance) with automatic payments set up from your credit card to simplify your life. Shouldn't you take advantage of that card usage beyond convenience?

Credit cards can make life easier and, when properly managed, can certainly provide some impressive perks. From purchase protection to rental car coverage, the right credit card can save you money when used responsibly.

With the right strategy and a rewards program, credit card spending can be turned into free travel in the form of flights, hotel rooms and more. This is how to do it — and how I've done it, as a wealth adviser and financial planner with more than two decades of experience.

Get to know your credit card rewards

If you already have a rewards card, you might not fully understand the rewards program and potential benefits. Start by auditing your rewards program to better understand how you earn rewards and how you can redeem them.

Whether it's free travel, travel upgrades or cash back, rewards can often outweigh the cost of the annual fee that most rewards cards have.

For example, my wife and I used our Delta Air Lines points to cover the cost of our plane tickets for a vacation in Aruba, then used our Platinum Medallion status to get us a better baggage allowance, Comfort Plus seating on the aircraft and a hot breakfast at the airport.

Had we not understood how to use our points effectively, we would have paid for these expenses out of our own pockets.

Understanding the rewards program is half the battle, as we were able to strategize to further utilize points on our trip using our American Express card, which we used to cover our hotel stay, breakfast each morning, a spa visit, discounted beach hut rental and an additional $50 credit on our American Express bill.

Choosing the right rewards card

If you don't have a rewards card, shop around for one from which you'll get the most benefit. Start with cards offering perks you know you'll use.

For example, if you take frequent trips to visit family and typically use the same airline, you might want to start with a rewards card that is specific to that airline or at least to travel.

Likewise, if you have a cause that's near and dear to your heart, you might want to investigate a card that gives rewards in the form of charitable donations.

Even if you're getting fantastic rewards, you should still consider the card's terms and conditions. Will you earn enough rewards to justify the annual fee? If the fee exceeds the perks you'll receive, or if the interest rate is significantly higher than what other cards offer, it might not be worth it overall.

If you already have credit cards with rewards, examine how you might combine or transfer your rewards as I did for my family's trip to Aruba to get all available benefits.

According to the Consumer Financial Protection Bureau, billions of dollars of credit card rewards go unused annually, demonstrating how important it is to understand and utilize your rewards instead of allowing them to expire.

Rewards are a perk, not a purpose

Research suggests that people tend to spend more when using credit cards but adding reward points to the mix makes some people spend more to earn more.

A Bankrate survey revealed that around 70% of credit cardholders carrying a balance continue to use the card in an effort to earn more rewards. Even though they're paying interest charges, they continue to add to the balance, because they're trying to rack up more points or cash back.

Notably, that same survey revealed that more than half of credit cardholders carrying a balance say that it's become harder to pay off credit card debt in the last year.

Functional magnetic resonance (fMRI) studies conducted by MIT Sloan further revealed that credit cards exploit the reward networks in the brain, providing a signal of pleasure when purchases are made using a card.

Combine that with the gamification of cards through earning or unlocking rewards, and it's easy to see how reward programs might encourage people to spend more than they should.

To be clear, when I talk about using credit card rewards to earn perks such as free travel, I'm not talking to cardholders who struggle to make their monthly payments.

I suggest taking advantage of credit card rewards if you successfully manage your cards and would like to get something extra out of your usage.

Use credit card reward programs as a tool to earn the perks you want, not as a justification to spend more.

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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

Financial conversations can be difficult and uncomfortable, leading many Americans to neglect them altogether.

Whether it's debt, retirement, investing or estate planning, more than 80% of people intentionally avoid discussing financial topics with family and friends, according to a report from the Consumer Financial Protection Bureau.

While skipping these conversations may seem harmless, the silence isn't neutral. Delaying these discussions often means delaying important financial decisions, too. As time passes, those missed opportunities can compound, sometimes creating more financial stress than if they had been addressed from the beginning.

We all procrastinate from time to time, especially when confronting something that takes us out of our comfort zone. But avoiding it doesn't make it go away.

The same is true when it comes to your finances. Telling yourself you'll make a plan to pay off debt next month or wait until you're making "enough" money to start investing may bring you peace in the moment, but those decisions carry consequences that continue to grow the longer you wait to deal with them.

Interest continues to accumulate on debt, investment opportunities get missed, and conversations can feel more uncomfortable the longer you put them off. That's because financial decisions tend to build on one another.

Delaying one conversation or decision leads to another, making it harder and harder to catch up down the line. What may have started as a small challenge can snowball into a much larger issue over time.

So why are people so afraid to confront these issues head on?

For many of us, financial avoidance isn't a result of lacking motivation, but rather, lacking confidence. If you don't understand the basics of credit, debt management and investing, it's easy to make mistakes in the very beginning.

This can lead to feelings of embarrassment or the fear of making another wrong decision, causing many people to walk away from the subject entirely.

However, avoiding the problem doesn't make it go away. Oftentimes, it makes the problem more prevalent in your life.

The less involved you are in your finances, the less confident you'll feel when making future decisions, creating a cycle that can be hard to break.

Aside from feelings of embarrassment, the CFPB also found 51% of Americans believe financial matters should stay private. And for many, this means managing financial affairs alone.

In my experience, many clients mistakenly equate financial independence with self-reliance. They assume asking for guidance or discussing their situation with someone they trust means they're less capable of managing their money when that's not the case.

Financial independence and financial isolation are two separate things.

Being financially independent doesn't mean you have to figure out everything on your own. It's about taking ownership of your financial future. Seeking advice from trusted family members or financial professionals doesn't mean you have to lose your independence. It can actually build accountability, give you a new perspective or provide you with more information to make a more informed decision.

To begin building that support system, ask yourself:

Who are the trusted people in my life?

Think about family members, friends or mentors who've demonstrated responsible financial habits and can share their perspective on important financial decisions.

Am I working with a financial professional who can provide guidance when things get complex?

Whether it's retirement planning, learning how to invest or developing a plan to pay off debt, working with a qualified professional who can act in your best interest, can give you the tools needed to make the most informed decision with confidence.

Do I communicate the current financial situation with my loved ones on a regular basis?

Scheduling periodic check-ins with your spouse or other trusted family members can help you stay accountable, discuss future goals or identify areas for improvement.

Am I willing to continue learning and ask for help when needed?

Financial literacy isn't learned overnight. Like anything else, it's a skill that takes time and effort to develop. Building and maintaining financial independence is achieved with the help of a trusted team.

Having a trusted support system gives you the opportunity to ask questions, gain confidence and ultimately address concerns before they get worse. Often, those conversations are what help people transition from financial avoidance to financial independence.

Making the choice to avoid your finances can compound just as powerfully as choosing to take action. The only difference is that one builds opportunity, while the other creates obstacles.

Your financial future is shaped by your decisions. Starting the conversation, asking questions and building a reliable support system are choices that will help move you closer to true financial independence.

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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

My wife and I are expecting our third child later this year. When a client is expecting, I generally advise them to start thinking about their baby's financial future right away.

Trump Accounts allow parents to open an investment account on behalf of any children under age 18 who are U.S. citizens. If the child is born from 2025 through 2028, the government will deposit $1,000 into the account for your child.

Thanks to philanthropic donations, an extra $250 will be deposited into the account if you live in a ZIP code with a median income below $150,000.

If your child qualifies for that deposit, opening a Trump Account is a no-brainer; it's free money!

Where things get less clear is when considering whether you should contribute your own money to the accounts. As a financial adviser at Burns Estate Planning & Wealth Advisors and an expectant father considering the best path forward for my own child, I see both pros and cons.

What are the benefits of contributing to a Trump Account?

Contributing to a Trump Account can significantly increase your child's nest egg. The federal government estimates that if you simply take the $1,000 deposit from the government, that deposit will turn into $6,000 by the time your child is 18.

By contributing just $250 per year, your child would have an estimated $19,000. Clearly, contributing to the Trump Account — even a small amount — will have a significant impact on the amount of money your child ends up with.

While the Trump Account is touted as a retirement account for your kid, your child can also make withdrawals without penalty much earlier for qualifying reasons, such as paying for college or buying their first home.

Those withdrawals could be subject to restrictions and would be taxed at ordinary income tax rates.

Employers can make contributions up to $2,500 per year into the account as well, making it a potentially attractive employee benefit.

What are the downsides of contributing to a Trump Account?

If you're considering making contributions to a Trump Account for education for your child, you should first ask yourself: Why would you use a Trump Account for education when a 529 plan grows tax-free and is tax-free on withdrawal?

The nest egg your child has after 18 years of contributions to a Trump Account could be significant. However, that's not due to any special property of the Trump Account itself; it's simply the result of compound interest over time, which you would also enjoy with other investment accounts like a 529.

Unlike with a 529, your children will have to pay taxes on the growth of money in a Trump Account when they withdraw it. I often recommend that my clients convert their IRA to a Roth IRA because, while you pay taxes on the contributions or conversions to a Roth, you don't pay taxes when you withdraw the money.

Trump Account contributions are non-tax-deductible, like a Roth IRA, but the entire amount is taxable upon distribution, like a traditional IRA. That double taxation is not as tax-efficient as other options.

When my baby is born later this year, I'll definitely open a Trump Account to take advantage of the $1,000 free deposit, but I'll also open a 529 account and contribute my own money to that, because withdrawals will be more tax-advantaged for my child.

That isn't to say this is the right move for everyone with a newborn. A Trump Account is a tool, but, as with any other investment, it's not a one-size-fits-all solution.

If the goal is to save for higher education, it may make more sense to use a 529 plan, based on the tax laws that apply to distributions compared to a Trump Account.

It will likely be less common to use a Trump Account to save for your children's retirement, as most children are beneficiaries of their parents' estate to begin with.

However, if getting a jump-start on your children's retirement accounts is the goal, a Trump Account would likely make more sense.

It's important to work with your financial adviser for advice that takes into account your unique circumstances before deciding how to set your children up for a strong financial future.

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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

You found your dream home, the seller accepted your offer, and you're eager to close on the sale. But as you finalize the paperwork, make sure you don't overlook a policy that could prove invaluable down the road: owner’s title insurance. Without it, you could lose your home and the money you've put into it if someone else one day lays an ownership claim to the title — your legal right to own the property.

Many home buyers assume that the title insurance their mortgage lender requires them to pay for at closing protects their interests. However, that policy applies only to the lender's investment. It does nothing to shield your finances if a title dispute arises.

Although purchasing an owner's title insurance policy is optional for home buyers, doing so is worthwhile because it can safeguard your investment, including any financial losses or legal fees, says Sarah Frano, vice president of corporate underwriting with First American Title. "I would not buy a property without title insurance," she says. "I’ve seen the variety of things that can pop up after closing — sometimes years or decades after someone purchases their home."

How it works.

Lenders order a title search once a home is under contract to ensure there are no outstanding ownership claims so that title can pass from one owner to the next. But title examiners don't catch everything, said Karina Borgia-Lacroix, owner of American Real Title in Ft. Myers, Fla.

If they miss an undisclosed heir with a valid claim to the home, for example, that heir could take you to court to challenge ownership. Or if there's a lien on the property for, say, work that a contractor completed but went unpaid by the previous owner, then the home could be forced into a foreclosure if the contractor files a lawsuit. If you don’t have an owner's policy when these types of problems arise, you’ll either have to pay the outstanding liens or defend yourself against title claims in court.

Other scenarios that can result in a dispute, says Frano, include forgery and fraud (such as fake signatures, impersonation or fraudulent sellers); recording errors in county records; misspelled names on recorded documents; and unknown easements that limit how property can be used.

How much does owner's title insurance cost?

While you can purchase owner's title insurance at any time, it’s best to do it during the closing process so you can protect yourself against title claims during the entirety of your ownership.

Plus, purchasing it after closing can be more complex and expensive. If you inherit a property, review the existing title policy to see whether the insurance covers you as an heir, says Frano. If it doesn’t, you’ll need to buy a new policy.

Title insurance premiums are regulated by each state. Expect to pay roughly 0.5% to 1% of the home’s purchase price for an owner's policy. You'll pay much less for the lender's policy, which is based on the loan amount and typically adds just a few hundred dollars to your closing costs.

Buyers usually cover the cost of the lender's title policy. With the owner's policy, whether the buyer or seller pays — or the cost is split down the middle — depends on local customs and laws, Frano says.

Title agents often provide discounts when you combine the purchase of an owner's and a lender's policy, says Borgia-Lacroix. You can shop around among title insurance companies to compare costs and coverage levels.

Buying a home involves more than saving for a down payment. A financial professional can help you build a plan for closing costs, ongoing homeownership expenses and protecting your investment over the long term.

Use the Bankrate tool below to connect with a financial professional and get started today:

Note: This item first appeared in Kiplinger Personal Finance Magazine, a monthly, trustworthy source of advice and guidance. Subscribe to help you make more money and keep more of the money you make here.

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Between the wildfires in Canada and those raging in Washington, it seems like wildfires are getting more common and widespread. If the news has you worried, there are two things to know.

First, your home may be at a higher risk of fire than you think – especially if you've never given much thought to fireproofing before. Secondly, most of the best practices for making your home more resilient to fire are simple, DIY-friendly projects you can knock out in a weekend.

While those in especially fire-prone zones might also need to look at bigger home upgrades like installing fire-rated siding and roof materials, every homeowner can immediately improve their home's fire safety by starting with these eight steps.

1. Review your insurance coverage now

Most standard home insurance policies will cover damage caused by fire, including smoke damage. However, some insurers might exclude coverage in high-risk zones, while others may have exclusions based on the cause or source of the fire, and others may exclude certain types of damage.

If any such exclusions exist in your policy, you want to know that before a fire breaks out so you can line up supplemental coverage or switch to a provider with more comprehensive fire coverage.

If you do find out your policy doesn't cover as much as you thought, you can use our tool below, powered by Bankrate, to compare quotes on home insurance that does provide all the coverage you need.

As for your car, fire damage would only be covered if you have comprehensive insurance included in your policy. This type of car insurance covers any damage that happens to your car while you're not driving it – fire, hail, falling trees and so on.

If you don't currently have comprehensive coverage, now might be a good time to shop around for quotes on policies that include it. You may be able to get a better rate on a better policy by switching car insurance.

2. Install mesh screens in vents and other openings

Wire mesh screens with holes no larger than 1/8 inch are the gold standard for fire safety, according to the National Interagency Fire Center. Mesh with holes this small can block embers from entering your home. You should mount these in any attic vents, eave vents or other openings where air can travel into the house.

One often overlooked place to install mesh screens is your HVAC vents. If you have a ducted system, those air ducts can end up allowing embers from one room to escape into other parts of the house.

By adding mesh screens to every vent in your home, you can prevent a fire that starts in, say, the kitchen from spreading to the bedrooms through the vents. This will buy your family more time to get out of the house safely and potentially limit the spread of the fire altogether.

If you have older, single-pane windows, consider adding mesh screens to these as well. These older windows are more prone to breaking from radiant heat during a fire. If they do, that creates a wide opening for embers and flames to get into your house.

Ultimately, the best thing you can do is replace those older windows with newer, double-pane designs. But that's not an easy, weekend DIY. In the meantime, screens are a cheaper, more DIY-friendly way to at least block embers from getting into the house if the glass breaks.

3. Close your fireplace flue when the chimney is not in use

Another easy-to-overlook entry point for embers and flames is your chimney. While it might seem convenient to keep the flue open year-round so you don't accidentally start a fire in the fireplace with it closed, it's not worth the risk.

If this is something you're liable to forget, consider creating recurring calendar events in your phone: One in spring reminding you to close the flue ahead of the warm season and one in late fall reminding you to open it back up again so you can use the fireplace.

4. "Firescape" your yard

A lot of traditional home landscaping practices pose a bigger fire hazard than you might think. Do you have wood mulch in the garden beds next to your house? That's like piling kindling right up to the sides of your home. Did you plant ornamental grasses or creeping juniper as a ground cover? Both of those are fuel for a spreading wildfire.

While you don't have to rip out every plant and pave your garden over with hardscape to stay safe, a few minor tweaks to your design can make a huge difference in your home's ability to survive a wildfire.

Here are some of the best practices, according to the National Interagency Fire Center:

• Don't use flammable mulch within five feet of your home or other structures. You can use gravel, hardscaping or other non-flammable alternatives in these zones.
• Any larger woodpiles or other flammable materials (like firewood or propane tanks) should be 30 feet away from structures.
• Choose fire-rated plants for your garden. No plant is "fireproof," but some are more resistant to burning than others – either because they're less likely to ignite in the first place or because they produce fewer embers to spread the fire if they do burn. You can search online for fire-resistant plants native to your region to find ideas that will grow well in your climate and lower your home's fire risk.
• Remove flammable structures that have fallen into disuse, like a rotting pergola or old shed.
• Aim for at least 10 feet of space between groups of shrubs. Long, continuous rows of vegetation can become highways for fire to spread.
• Prune tree branches to a height of 15 feet above the ground. This can prevent "ladder fuels" or material that allows a brush fire on the ground to "climb" up a tree and begin spreading through a canopy.

5. Clear debris from your roof and yard regularly

Dead leaves and branches on your roof or in your gutters are a huge fire hazard, so you don't want to let this debris build up. Clear out this debris from your roof and gutters regularly.

The same goes for debris on the ground. Rake leaves and other plant debris away from your home and either pile it at the back of your yard to compost or rake it into your lawn and go over it with a mulching lawn mower so it breaks down faster.

6. Seal gaps and cracks where flames could get in

You may know about weatherstripping and sealants to insulate your home in the winter. But these same practices are just as important in the summer when fire risk is higher. Any gaps and cracks around the home that let the warm air out can let flames in if a fire breaks out.

If you haven't inspected your home lately, walk around to check for gaps and cracks in your siding, along the eaves of your house, and near windows and doors. Then, add weatherstripping as needed to windows and doors.

Don't forget your garage door when you do this. It's easy to overlook, but this is another area where flames can get in.

7. Add a battery back-up to your garage door and sprinkler system

When fires break out, power outages are often soon to follow. If your car is in your garage when that happens, you might not be able to evacuate as quickly as you need to. If the door can't be opened manually – or even if it can, but it's finicky – adding a battery back-up ensures that you can still get out quickly in an emergency.

The same is true for a sprinkler system. If you have an irrigation system in your yard, turning this on as soon as you learn of a fire in your neighborhood can help dampen any flammable plants in your yard and slow the spread of flames. So you want to know you can have those sprinklers running even if the power goes out.

8. Move small flammable objects at least five feet away from your home

Wood mulch isn't the only fire hazard you might unknowingly have next to your home. Wood planters, patio furniture, grills and other common patio or deck items can end up putting your home at risk in a fire. When you're not using them, make sure they're stored at least five feet away from the house.

For larger planters, try to design your setup so that they're further from your home. If that's not possible, make sure they can be moved further away temporarily during high fire weather.

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I like long-term CDs. They earn a guaranteed rate of return, the APY won't change, and they can help you meet long-term savings goals. In a world full of questionable financial options, they're among the most dependable things you can get.

Yet, timing when to open one is imperative. Locking in a rate now, with the current 3.50% inflation rate as a permanent ceiling, will likely prove short-lived, which means inflation might erode some of your future purchasing power. With the ongoing war in Iran raising gas prices again, expect inflation to follow suit.

On top of this, the Federal Reserve is currently holding steady. However, if the bond market tightening doesn't bring down inflation through higher borrowing costs, they may be forced to hike rates — meaning today's locked-in rates could quickly look like a missed opportunity. With that in mind, here is the short-term strategy I'm currently using, as someone who checks and analyzes savings rates for a living, to stay flexible as the market settles.

Short-term CDs provide the dependability and flexibility you want now

I recommend a short-term CD in the interim. With one, you'll have all the benefits you come to love about CDs, with quick access to your cash.

They work best if you have an emergency fund already established and don't need to touch your money during the term. If you have to break it open for any reason, you'll lose some of your earnings to early termination fees. Thankfully, with terms that accommodate all savings goals, you can find the best fit for your goals and cash flow.

Use this Bankrate tool to shop for and compare the best CD rates quickly:

Having quick access to your cash is important because if inflation continues to creep back up, you might want to revisit where you invest your cash when the CD matures. And if the Federal Reserve decides to hike rates later this year, it places you in an excellent position to capitalize on higher returns.

Does waiting really make that big of an impact?

Timing matters when choosing the right savings account. And knowing when to lock in a long-term CD can be the difference between earning hundreds to thousands of dollars more.

To demonstrate, say you locked in a $50,000 five-year CD at 4.00%. You'll earn $10,832.65. However, if you wait a few months and the Fed hikes rates, you could have access to higher returns. A five-year CD at 4.25% APY will earn you $11,567.33, a difference of almost $735, just for waiting a few months.

That's pretty significant, and it's one of the reasons why I would wait on a longer-term CD. On the other side of the coin, you might be thinking, well, would waiting hurt me? After all, what happens if CD rates drop in the interim?

Rest assured, I don't see that happening any time soon. I review CD rates biweekly and have found that some banks have raised CD rates. Here are some of the ones I found recently that rose:

And with inflation so high, cutting the federal funds rate would not be a sound strategy to curb rising costs. While waiting carries the risk of returns remaining flat, the potential upside of a higher rate makes this strategy a smart move in this environment.

Ultimately, short-term CDs are the better play right now. They provide a safe place to park your cash while the economic landscape settles, without locking you into a long-term commitment. By prioritizing terms that keep your money accessible, you're not just earning a competitive term — you're maintaining the flexibility to pivot as soon as better opportunities arise.

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As affordability issues continue to plague the housing market, many homeowners are choosing to make changes to their home rather than their address to get the living space they need.

According to a recent survey from Citizens Financial Group, nearly half of homeowners now say that renovating their house is the most realistic financial option for their family — compared with just 13% who plan to buy a new home — and seven in 10 expect to complete a remodeling project in the next two years.

"They can’t find another place to go," says Linda Kody, a broker with Kody & Company in North Andover, Mass. "They love their neighborhood, and they want a home exactly the way that they want it."

The boom in renovations makes sense given the current state of the housing market. Home prices have jumped 54% since 2020, according to the Joint Center for Housing Studies at Harvard University.

Meanwhile, with mortgage interest rates hovering between 6% and 6.5% lately, many homeowners are reluctant to give up the 3% to 4% loans they scored before rates began climbing a few years ago. The resulting lack of inventory — there are 17% fewer homes for sale now than before the pandemic — also means there are fewer options available for those who want to move.

If you're among the many homeowners contemplating a remodeling project in the next year or two, these strategies can help you decide which projects to tackle and how to keep costs manageable.

Choose renovations strategically.

Start by thinking about your immediate maintenance needs and the functionality required for your lifestyle. If you're planning to stay in the house through retirement, for instance, consider adding design elements, such as a walk-in shower or zero-step entryway, that will make living there easier as you get older.

"The risk of having to move later can be significantly reduced if you prepare your home in advance," says Louis Tenenbaum, president and CEO of HomeRenewed Ventures, a Washington, D.C., firm that offers consulting services for homeowners to age in place.

Tenenbaum recommends completing as many necessary projects as possible simultaneously, because trying to remodel in stages as health and mobility challenges arise ends up being more expensive and stressful. Basic upgrades and repairs, such as replacing old wiring or fixing a leaky roof, also help your home retain its value and reduce maintenance costs in the future.

After that, look at high-use areas such as kitchens and bathrooms. If resale value is important to you, focus on projects that will allow you to recoup a big chunk of your costs.

Recently, that included exterior upgrades (such as replacing garage doors or upgrading siding), minor kitchen remodels and installing a backup power generator, according to Zonda, a home-building data and marketing company.

Keep spending in check.

For larger projects, Alan Archuleta, CEO and president of Archuleta Builders in Morristown, N.J., recommends starting with an architect or design firm with experience in your municipality. Rates for this type of work vary depending on scope, but the average is about $6,600, according to HomeAdvisor.

"The architects and towns dictate what you can and can't do to a home, from a zoning standpoint or an actual structural standpoint," Archuleta explains.

Get quotes from at least three contractors, and ask for itemized bids that spell out costs. Then, add an extra 20% to your budget to allow for surprise expenses, such as water damage or structural repairs, especially in older homes. "Remodeling often prompts code upgrades that would not otherwise be required," says Mari Adam, a certified financial planner in Boca Raton, Fla.

You can lower costs further by opting for midrange fixtures and materials, which balance quality and costs. If you can be flexible with your project’s timing, you may also find better contractor availability and pricing.

"The smartest approach right now is to renovate with intention, rather than rushing into a project," says Elizabeth Gomez, owner of Bridge City Contracting in Portland, Ore.

If you're planning a major renovation, comparing today's refinance rates could help you determine whether tapping your home's equity makes sense for your budget.

Use the Bankrate tool below to compare some of today's top refinance offers:

Note: This item first appeared in Kiplinger Personal Finance Magazine, a monthly, trustworthy source of advice and guidance. Subscribe to help you make more money and keep more of the money you make here.

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Digital payments refer to any transactions where money moves electronically rather than in cash. That means credit and debit cards, online bank transfers, e-wallets and mobile payments, such as Apple Pay and Google Pay, as well as Buy Now, Pay Later (BNPL) plans.

Charge cards emerged in the 1950s, followed by mass‑market credit cards in the 1960s and 1970s, and e-commerce in the late 1990s. But cashless payments have become standard over the past decade, since smartphones and contactless cards turned payments into taps.

Here's the problem: When the way we pay changes, the way we think about spending changes, too. And that shift can affect our budgets and long-term financial goals.

The psychology behind spending For decades, paying with cash created a natural pause. You took out your wallet, counted bills, felt them leave your hand and saw the remaining stack of cash get thinner. That small moment activated a real sense of loss and served as a natural check on spending.

Making digital payments with apps such as Venmo and Zelle smooths that friction away. Spending decisions happen faster and with far less thought.

As our spending has moved from bills and coins to cards and phones, we've lost some of those guardrails. The transaction is the same on paper, but it doesn't register in the same way in our minds.

How digital payments make spending feel less real

Cash has weight and texture. Digital money doesn't. That missing weight can quietly change our choices.

Not touching money severs a sensory link between cost and purchase. Without the visual of a thinning wallet, it's easier to misjudge how quickly small buys add up.

Online retailers' checkout flows are designed for near-zero friction. Stored cards, one-click buttons, autofill shipping and express wallets move you from want to "order placed" in seconds.

The design of digital checkouts drives impulse purchases. Convenience is deliberately engineered to keep transactions effortless.

Every tap and swipe is built to eliminate hesitation. The easier they make it to pay, the less time you spend weighing whether you actually need something. That speed is exactly what turns a passing want into a completed sale.

You can see the flip side in ecommerce data: Slow checkouts are the number-one reason shoppers bail, according to research from Baymard, with average cart abandonment hovering around 70%. Businesses remove friction because it works.

With cash, you see less money in your hand. With digital, you see a number in an app sometime later. Autopay and BNPL plans can further blur the picture, spreading the cost out and moving it away from the moment of purchase. In that way, the spending is real… but the sensation is faint.

What this means for your money

When purchases feel easier, two things often follow: Spending creeps up and awareness drifts down. That's a tough combination for any household budget.

You can see the pattern in newer payment forms, too. BNPL options split a single cost into multiple future payments, keeping the initial checkout total low.

Research from the Consumer Financial Protection Bureau (CFPB) highlights the rapid adoption of BNPL. The CFPB has also raised concerns about late fees and the risk of juggling multiple payment schedules.

The frictionless nature of digital payments can quietly erode savings. That's why consumers should reintroduce intentional pauses into their spending. The biggest danger isn't a single large purchase. It's the steady stream of small transactions that add up unnoticed.

Practical ways to make digital spending more visible:

• Turn on real‑time transaction alerts for every card and account
• Remove stored cards from browsers
• Use category caps and alerts in your budgeting app
• Adopt a 24‑hour rule for non-essential online purchases

These small moves help create a clearer picture of your spending. And they help keep your longer-term goals in focus, whether that's paying off debt or building up your emergency fund.

The role of financial institutions and tech providers

Banks and fintechs helped make spending seamless. They can just as easily help make it understandable, starting with better defaults for users, such as real‑time push notifications on your smartphone that alert you to spending, or the option to set custom spending limits by merchant or category.

Subscription management tools that spot and surface recurring charges can help keep money on autopilot without it slipping out of view. And for higher-risk features, such as tap-to-pay without strong authentication or instant credit at checkout, providers can offer opt-in speed bumps and clearer disclosures.

Ultimately, the goal isn't to add friction for the sake of it, but to give users the visibility they need to stay in control.

The bottom line

Digital payments are here to stay because they're fast and wildly convenient. However, they also make spending feel less real. Lower payment friction dulls the "pain of paying" and can nudge us toward buying more than we mean to.

As payments keep evolving, the need for personal guardrails will only grow. Take a few minutes this week to turn on smartphone alerts or add a couple of speed bumps that slow down your spending.

Small moves make digital payments feel real again. And that will help keep your financial plan on track in a world where paying gets easier every year.

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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

With economic uncertainty spreading across the country, Americans are finding it difficult to keep up.

If an unexpected expense arises, they feel even more financially vulnerable, with 29% of Americans having more credit card debt than they have in savings and nearly one in four having no savings at all.

This is why it's becoming increasingly important to have money set aside for emergencies. The peace of mind that comes with planning and being prepared for surprise expenses can't be overlooked.

While the costs of goods continue to rise and credit card debt has hit record highs, there are three things we can do to be prepared for unexpected expenses in the future.

1. Start small

Between putting money aside for retirement and making sure you have enough for everyday expenses, it might seem as if you can't afford to invest in an emergency fund.

One of the biggest mistakes people can make with their emergency funds is to start out believing they need thousands of dollars set in it. This isn't feasible or necessary.

The truth is that every emergency fund begins and is useful with that first deposit.

Financial security isn't about suddenly having thousands of dollars on hand; it's investing in the habit of slowly increasing your funds over time. Even something as simple as a few hundred dollars set aside can cover common financial expenses like a minor car repair, a broken appliance or a higher-than-normal utility bill.

If you find yourself stuck with one of these emergencies and you don't have any money to cover them, these expenses could often end up on a credit card. This leads to debt that will stay around much longer than the emergency itself.

Never underestimate the importance of the first deposit into your emergency fund. It's a crucial step in creating a financial habit that will protect your future self.

2. Automate your savings

The easiest way to save money is to not be tempted to spend it. While you're stressed about paying for everyday expenses and investing money into your retirement, saving anything extra often gets forgotten. This is why automating your savings can be such a powerful tool.

Don't start your savings habit by setting aside whatever funds you have left over at the end of each month, because many times, there is often nothing or very little left.

Making things automatic creates a set-it-and-forget-it mindset where you save first and spend what's left. When you schedule this automatic transfer every month, you are telling yourself that this emergency savings account is a priority instead of an option.

One of the most overlooked benefits of automatic transfers is that you are removing the emotional side of it. It is likely that every month will bring a temptation to buy yourself something.

Maybe you've had your eye on a new TV or a band you have been wanting to see is coming into town. If you look at your account and see "extra" funds, it appears you can afford to spend the extra money, when in reality, you can't.

If it goes into your savings accounts as soon as your paycheck hits, your spending decision has been made for you.

Many of my clients have found that once money is transferred automatically, their spending habits begin to adapt to this normal remaining balance.

3. Invest in a high-yield account

While it's best to keep your emergency fund in an easily accessible account without withdrawal penalties, that doesn't mean that you can't still earn interest on your funds.

While traditional savings accounts can be a good place to start, this might be an opportunity to research high-yield savings accounts. Look for accounts that offer high interest rates, such as a money market account or an online savings account.

Traditional savings accounts generally offer rates from 0.01% to 0.02%, while high-yield accounts pay higher than 4%, with some rates higher than 5%. That means if you deposit $10,000, you'll have an additional $500 in one year without doing anything else.

Unlike the investments that you might have for retirement, where there are taxes or penalties for early withdrawals, funds in high-yield savings accounts are generally available immediately when you need them. If there are a few months when you aren't able to actively contribute to the account, the money in it is still growing.

While the interest alone isn't going to help cover all of your emergencies right away, they provide that extra boost that requires no effort from you.

When you start your emergency fund, instead of focusing on a goal that could be years or months away, concentrate on achieving smaller objectives. Break it down into smaller amounts that don't seem too overwhelming.

• Goal No. 1: Save $200
• Goal No. 2: Save $400 more
• Goal No. 3: Save $800 more
• Long-term goal: Save three to six months' worth of expenses

While it might be easy to do, don't start comparing yourself with others. Everyone is at a different stage in their savings journey.

People who are considered in a positive financial situation didn't get there through big, dramatic changes. It often starts with small actions that quickly become common habits.

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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

Retirement is supposed to be carefree and financially predictable, but that doesn't mean you're exempt from recurring bills. That's particularly true if you own a home. Everything from maintenance to insurance comes at a cost. How you pay those bills — all at once or over time — can have a big impact on your savings and cash flow.

The secret to saving money is timing. Some annual expenses offer discounts if you lock them in early, while others are best kept flexible so you can shop around or keep your money earning interest.

To help you figure it out, here are four everyday bills you should wait to pay to save some serious cash.

4 bills retirees should not prepay

1. Heating oil

For retirees who value predictability, locking in heating oil rates ahead of winter provides peace of mind amid volatile energy markets, but they typically pay extra for that relief.

A fixed-rate plan locks in your price for the entire season, protecting you from cold-weather price spikes. But you won't benefit if market prices drop. A capped-price plan sets a ceiling and lets you pay lower rates if prices fall, but dealers usually charge an upfront protection fee for that option.

The cheapest option, according to nonprofit consumer energy groups and state agencies, is a floating-rate plan. With that, you pay the current market rate and that's it. Over multiple years, those savings can add up.

2. Electricity

Just like heating oil, you can lock in your electricity rate for the year, but doing so can cost you if electricity rates decline.

Plus, you have to be careful of the fine print when signing up for a fixed-rate electricity contract. Some may have early termination fees, monthly recurring charges, and promotional rates that spike once the initial period expires.

3. Auto and homeowners insurance

Who doesn't love the convenience of auto-renewal for auto and homeowners insurance? It's one less thing to worry about, and doesn't loyalty always pay? It turns out it's better to shop around each year to ensure you're getting the best rates.

How much can you actually save? According to a LendingTree survey, drivers reported saving at least $100 per year simply by switching auto insurance providers.

Use the Bankrate tool below to connect with auto insurance providers and compare quotes:

4. Home warranty contracts

Home warranty contracts are supposed to protect you from expensive repairs. For a fixed annual fee, you won't have to worry if the furnace dies, a pipe bursts or the AC is on the fritz. Often, you get high service call fees, strict restrictions on what is covered and exclusions hidden deep in the fine print.

Instead of locking up money in a warranty contract that will require you to pay out of pocket anyway, put it in a high-yield savings account where your cash earns interest until it's needed for a repair.

Keep control of your retirement

Cash is king; it couldn't be truer in retirement, which is why patience pays off when it comes to some everyday expenses.

By shopping around annually and keeping your cash accessible in high-yield savings, you'll ensure your money stays liquid and under your control.

Use the Bankrate tool below to search for today's top high-yield savings account offers:

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• Thinking of Retiring to Florida? These Hidden Costs Could Drain Your Budget
• 3 Questions That Reveal if You’re Actually Ready to Age in Place
• Is Working 5 More Years Worth It? Here’s What the Math (and Your Health) Says

"Kenny" needed to speak with a lawyer — any lawyer — as soon as possible. "I was in a panic, frightened out of my mind of what could happen," he told me during our phone call on a recent Friday evening.

This was the beginning of one of the strangest 30 minutes I've ever spent on the phone with someone in the category of "I need your help now — but I'm not going to give you any information about why."

He not only had a legal problem, but there was an additional reason for his call that had nothing to do with his panic. "I phoned several lawyers' offices, but all of my calls are being filtered by receptionists, who are not very nice and refuse to connect me with an attorney.

"That's why I am calling you. I read your story about the legal aid office manager who illegally placed microphones and cameras throughout the office and recorded confidential, attorney-client conversations."

A real concern

I asked Kenny, "How is that article relevant to your complaint about not being connected with an attorney?"

"They are asking me why I want to talk with the lawyer. They all want me to go into detail about what I am dealing with. That scares me! I do not want to be in the same situation as the clients in your story whose confidential conversations were recorded without their permission."

"Kenny, the receptionist has to find out if your problem is something the firm deals with."

"I don't want to tell the receptionist too much, because they are not the lawyer," he explained.

His concern is real and raises an important question: If you speak with a lawyer's receptionist or paralegal instead of the attorney, is what you tell them protected by the attorney-client privilege?

In many, but not all, instances, the answer is yes.

A cornerstone of our legal system

Everyone has heard of the attorney-client privilege, one of the oldest and most respected principles in the law. It protects confidential communications between a lawyer and their client that relate to the client's reason for seeking legal advice or services.

While there are exceptions — such as asking a lawyer how to get away with a crime — the protection applies to not only verbal discussions but also written correspondence, emails, text messages and other forms of communication.

Obviously, a lawyer cannot provide sound advice without knowing all of the facts — the good, the bad, the ugly. The privilege encourages complete honesty without fear that what the client says will be used against them.

If clients feared their conversations might later be revealed in court, they would withhold information, thereby frustrating justice.

How a law office functions

When you first call a law office, often the person answering the phone will be a receptionist. In addition to setting up appointments, their job is to discover why you are calling — your legal problem or concern — and determine if their office handles such matters.

They also provide the attorney with the information that is needed before the first consultation.

In our office, my paralegal, Anne, will say, "Tell me what's going on. What's the problem, and how can we help you?"

These open-ended questions yield a great deal of information, enabling her to brief me quickly while the caller is on hold.

I then speak with them, further refining the nature of the legal issues to determine if this is something we will handle or can refer to a colleague.

I try to talk with everyone who calls our office, even if we do not deal with their specific legal issue, because I know a lot of lawyers can't be bothered with spending a couple of minutes with someone who is at a low point in their lives.

To me, it is part of the reward and duty to the public of being a lawyer. These conversations often are the basis for my articles.

In most offices, lawyers do not work alone

While there are some solo practitioners — mostly criminal defense attorneys — law offices today are organizations that in many ways resemble teams in which receptionists, intake personnel, secretaries, paralegals, investigators, office managers and translators play vital roles in the delivery of legal services.

This is a practical reality, as no law firm could function if clients could speak only with the attorney.

For that reason, confidential communications with a lawyer's receptionist or other authorized staff member for the purpose of obtaining legal advice are, in most circumstances, protected by the attorney-client privilege.

The lawyer's employees who gather information for the attorney are legally considered agents of the lawyer, and it is as if the client were speaking directly with the attorney.

What a receptionist needs to know

The receptionist should be thought of as a screener, and yes, sometimes their questions may be a bit uncomfortable.

If you're calling about an auto accident, you would be asked to describe what happened:

• What is the name of the other driver?
• When did the accident occur?
• Have you spoken with your or their insurance company and/or another lawyer?
• Did you hire another lawyer and are unhappy with the way they are handling your case?

Answers to these questions impact whether the firm is interested or able to take your case.

A "conflicts check" must be run to see if the firm already represents the other driver. Also, are there any critical time limits, such as statutes of limitations, to worry about?

Present and potential clients are covered by the privilege

It is important to stress that the privilege is not limited to people who actually become clients of the lawyer. Even if you don't hire that firm, your conversation remains confidential.

Clearly, prospective clients deserve protection when they consult a lawyer in good faith for the purpose of getting legal advice. The confidentiality of those communications encourages obtaining advice before making seriously wrong decisions.

When privilege does not apply

These are the times when attorney-client privilege does not apply:

• Non-legal/administrative details. Routine interactions, such as providing your name, asking billing questions or scheduling appointments, are administrative facts, not confidential legal disclosures.
• Conversations in public. Speaking loudly to a receptionist in a crowded waiting room or public lobby, where others can overhear, voids the requirement for privacy.
• Unnecessary third parties. If you share details with a receptionist while unrelated strangers or outside parties are present within earshot, the privilege can be waived.
• Future crimes or fraud. Telling a staff member or attorney about your plans to commit a crime or ongoing fraud strips away confidentiality under the crime-fraud exception.
• No intention to retain. There's no protective relationship if you give casual information to a front-desk worker without any intent to seek formal legal representation or advice.

What was Kenny so worried about?

After explaining all of that to Kenny, I was itching to know what he was so worried about.

He told me, "Some people saw a few things I had on my computer that should not be there, and I am being surveilled."

"Pornography?" I asked.

"Well, I'd prefer not to answer, but you are close," he replied, thanking me for my time and fatefully concluding, "A police car just pulled into my driveway."

Then I heard, "Hands up. Turn around."

And the call was disconnected.

Dennis Beaver practices law in Bakersfield, Calif., and welcomes comments and questions from readers, which may be faxed to (661) 323-7993, or e-mailed to Lagombeaver1@gmail.com. And be sure to visit dennisbeaver.com.