Do You Need Answers? Loss of Your Spouse Divorce
Do You Need Answers?

A Few Places to Find Extra Money

Your Uncle Sam

If you get a tax refund every year, you're paying too much. Put that money in your pocket instead of in his by filing a new W-4 form to more closely match the amount withheld from your pay to what you actually owe. Claiming extra W-4 "allowances" may trigger higher take-home pay as soon as your next payday.

Don't Stop Now!

  • Use a retirement-planning calculator to estimate how much money you'll need in retirement.
  • Stash at least enough money in your 401(k) to get the maximum employer-sponsored match
  • Revise contributions as necessary to even out the amounts in your partner's and your respective accounts.
  • Learn your pension's rules so that you don't inadvertently penalize yourself.

Your Savings from Refinancing

When mortgage interest rates are falling, consider taking advantage by refinancing your home mortgage, and share part of the bounty with your 401(k).

Your Car Insurance

One auto insurer often charges significantly more than another to cover the same driver; you may be able to save hundreds of dollars just by doing some shopping (www.insweb.com can help here). Once you've settled on a policy, you may save hundreds more by taking advantage of discounts you're entitled to if you raise you deductable; consolidate homeowners insurance with the same company; install a car alarm; and report if your teenagers qualify for a good-student discount, or move away from home to attend college.

Your Mortgage Insurance

Lenders generally require private mortgage insurance (PMI) if you put down less than 20% when you buy your home. But your home equity may now equal 25% of the property's newly appraised value, what lenders require between 2-5 years after you take out a loan in order for you to shed PMI and save some serious money. Call your lender to see what you have to do to pull the plug on PMI.

*All information provided by Janet Bodnar, Deputy Editor, Kiplinger's Personal Finance Magazine

Joslyn contributes a bi-weekly column to the Business Section of Main Line Suburban Life newspaper.

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