YEARLY INFLATION INCREASES Consumer prices rose 1.5% in the 12 months ending in September, the Bureau of Labor Statistics announced last week. That is the highest annualized inflation rate seen since October 2014, up from 1.1% in the year ending in August. The headline Consumer Price Index advanced 0.3% last month; the core CPI 0.1%.…

When we go to the grocery store, we seldom shop on logic alone. We may not even buy on price. We buy one type of yogurt over another because of brand loyalty, or because one brand has more appealing packaging than another. We buy five bananas because they are on sale for 29 cents this…

Do you want a simple retirement plan? A plan you can implement easily as an independent contractor or small business owner, without a lot of paperwork? A SIMPLE IRA may be the answer. A SIMPLE IRA plan gives you a tax break, while giving you and your employees a way to build retirement savings. True…

Imagine cash falling from the sky into the hands of grateful consumers. Fleets of helicopters hover over cities, dispensing massive flurries of $100 bills. Everyone gets their fair share of the money. Presto, economic stimulus. This is pure fantasy, of course, but some economists think that the Federal Reserve should consider its figurative equivalent. Picture…

Most people begin insuring themselves when they marry or start a family. They buy coverage in response to two potential calamities – disability during their working years, and death. Somewhere between youth and death comes retirement, and in retirement, the role of insurance is often downplayed. Does a retired multimillionaire really need a life insurance…

RETAIL SALES JUMP 0.6% This September gain was impressive – minus auto sales, the advance was still 0.5%. In August, both headline and core retail sales fell 0.2%. While consumers bought more last month, they were less confident earlier this month – the University of Michigan’s initial October consumer sentiment index fell 3.3 points to…

Some myths & misperceptions keep circulating about Social Security. These are worth dispelling, as more and more baby boomers are becoming eligible for their retirement benefits. Myth #1: Social Security will go away before you do. The federal government has announced that Social Security may become insolvent between 2033 and 2037 if no action is…

Does buying a home make sense for you financially? It may or may not, depending on some financial, career, and lifestyle factors. Your savings, your credit, your salary, your level of disposable income, and your housing preferences all count. If you are serious about becoming a homeowner, you should have three priorities: keeping your credit…

HIRING PICKED UP IN THE THIRD QUARTER Employers added 156,000 net new jobs to their payrolls in September, the Department of Labor stated Friday. The August gain was revised up to 167,000, so monthly job growth averaged 192,000 in Q3, improved from 146,000 in Q2. The unemployment rate ticked up to 5.0% in September; the…

NO ADVANCE IN CONSUMER SPENDING Personal spending was flat in August even as personal incomes rose 0.2%. These numbers from the Department of Commerce fell short of expectations: economists polled by MarketWatch had forecast a 0.2% gain in both categories. In other news linked to consumer spending, the federal government revised second-quarter GDP up to…