Monthly Archives: February 2020

How Do I Pay Off My Debt?

Extreme amounts of debt can weigh heavy on your shoulders. It has been found that extreme amounts of debt are linked to higher rates of suicide and depression. This is why it’s so important to have an understanding of good debt vs. bad debt and how you can go about paying back your debt efficiently.

Don’t Let it Define Your Life

You, of course, want to have your debt paid off as soon as possible. However, letting it define the value of your life is counterintuitive to being able to pay off the debt. You can enjoy your life while simultaneously paying off debt. A common saying about paying off debt is to think of it as a marathon and not a sprint. You aren’t going to have all of the debt paid off at once, but consistent payments will help get you there instead of burning out from sprinting.

Be Careful Who You Surround Yourself With

It’s hard to stick to a budget when you’re surrounding yourself with friends who want you to spend money with them. It’s difficult to say no to socializing because of the money. At the same time, you should be surrounding yourself with people who understand your financial priorities and support you in those goals. Spend time meeting with financial experts to help guide you in your investments and debt management.

Press Pause on Credit Cards

While credit cards are a great tool when used correctly, they can be a hindrance to paying off debt. Do your best to refrain from using them until you have your debt under control.

Utilize Extra Income

If you receive a bonus or a pay increase, place all or a portion of those funds towards your debt. You won’t notice the difference, besides seeing the decrease in your debt to income ratio!

Start a Payment Plan

In order to keep the momentum going, you should start paying off your most expensive debts first. This typically means the highest interest. Establish a set amount that you will pay each month and work it into your budget. Your amount should be more than the minimum payment due.

Don’t let your debt take over your life. Get control of your dues today!

Peoples Bank & Trust Co.

Member FDIC

Equal Housing Lender

How to Boost Your Retirement Savings

Maybe you are already off to a good start when it comes to saving for retirement, but there may be some ways in which you can amp it up. If you could boost your retirement savings even by a little now, it can pay off big time later! Here’s how:

Step Up the 401(k)

Most companies offer a matching contribution of up to three percent to your 401(k). If you aren’t taking advantage of this now, make sure you do so immediately. Once you have established this for a year, consider ramping up your percentage by 1 percent. Every other year or so, increase the percentage. Because you are increasing it at a slow rate, it’s unlikely that you will really notice it month to month, but you’ll love seeing your account grow.

Don’t Cash Out

When switching to a new job, many people cash out their retirement policies. However, this can be damaging to your retirement portfolio and leave you with much less money. Consider rolling over these funds into an IRA or if possible, directly rolled over into your next employer’s plan.

Play Catch Up

If you are age 50 or more, you can participate in what is called “catch up contributions.” As of 2018, the government allowed an additional $6,000 contribution to 401(k) and 403(b) plans. IRAs were allotted an additional $1,000. Even though you are over the age of 50, these contributions still earn interest and can make a significant difference.

Don’t Spend Bonuses

It’s tempting to go and celebrate a big bonus or raise with a big purchase. However, the smart thing to do is to pretend that it never happened, and pour it into your retirement account. Whatever you want to use that money for now, you’ll be able to do even more with it later. The practice of delayed gratification is tough but worth it.

Cut Something Out

Think of a luxury item that you use every day. Maybe it’s something small that you don’t think twice about. Consider cutting it out and using the money you’ve been putting towards it for something better, like your golden years.

You can reach your retirement goals by staying focused throughout your earning lifetime. For more advice on your savings plans, you can count on us at Peoples Bank & Trust.

Peoples Bank & Trust Co.

Member FDIC

Equal Housing Lender

Cybersecurity Safety Tips for Your Business

Don’t let living your dream of owning your own business end because of cybercrime. Stay on top of the latest defenses when it comes to cybercrime by implementing even one of these tips for your business.

Never Assume You Are 100% Secure

Unfortunately, you can never be fully protected against a cyber threat. The minute you sit back and think that you are invulnerable is the best time for a cybercriminal to strike. There will always be a new potential threat. There may even be an employee mistake or a broken piece of data. It’s important to always be looking for ways to improve security.

Amp Up Authentication

Every point of digital access to the internal working of your company should be blocked by outsiders with authentication. Authentication is a way of signing into a device with a code only authorized users have access to. Many companies are switching to Multi-Factor Authentication, which requires users to confirm their identity twice, often through the device and then a phone. This is simply an added layer of protection.

Hire a Hacker

Not all hackers are ill-intentioned. Many work legally to help businesses discover the risks of penetrability. They will be able to evaluate areas that can use strengthening.

Email Education

The weakest point of business cyber defense is often employees. Even if the worker is well-intentioned, they can still make defense mistakes. One common area of cybercrime is email. It’s an easy way for the perpetrator to access your company internally. This is why it’s important to not only have spam filters but ensure that all employees go through email education so they know what a suspicious email looks like.

Be Aware of Personal Device Risks

Many businesses allow workers to bring in their personal devices and use them to conduct business. This can be dangerous, as there is likely not the same security software on their personal devices that you have for your business. This is another way for cybercriminals to get into your business’s information. One way to help with this and to still allow your employees the freedom of using their personal devices is to establish a “Bring Your Own Device” policy.

Get on the Cloud

Keep your important business information on the Cloud, in order to avoid it getting taken from you forever. It’s currently the most used technology for small businesses. You can utilize it for managing finances, storing, sharing and accessing information from anywhere.

These are just some of the basics of business cybersecurity. They are all fairly inexpensive and can likely save you from a headache of trouble if you were to get hacked. For more information on cybersecurity tips or business accounts, give us a call!

Peoples Bank & Trust Co.

Member FDIC

Equal Housing Lender

8 Simple, Smarter Ways to Save

Do you feel like you’re always trying to save but never reach your savings goals? Sometimes, we can make it too complicated or have too rigid a plan that causes us to give up on it altogether. You can make 2020 the year of savings by following these bare-bones tips.

1. Start a Pantry Night

It’s all too easy to spend money dining out or grabbing a burger at the drive-through for the whole family. Stay ahead of the curve by allowing one night each week as a free for all in the pantry. You won’t have to worry about what to cook that night for the whole family. Everyone can find something simple for themselves to eat whether it’s cereal or leftovers. Some weeks it may take more creativity to come up with a meal, but use what you already have in stock.

2. Separate Need and Wants

We are constantly exposed to advertisements in a way like never before. Ads are perfectly crafted to peak your exact interest based on your internet search history. This can make the temptation to buy even stronger. Don’t buy anything instinctively, wait and decide if this item is truly something that will meet an unmet need in your life.

3. Make a Decision on Entertainment

How many streaming services are you subscribed to? Although you may think you are saving money, you can quickly rack up your monthly costs by subscribing to too many services. Rotate your services so you can still have access to your favorite shows and songs, but on a rotating basis.

4. Feed the Freezer

Food can be one of your most expensive monthly costs. Plan ahead by taking advantage of sales on things that can be frozen. Meat is one item that freezes well. Keeping your freezer full of these low-cost foods can make a big difference to your bottom line.

5. Go Generic for Everything

It’s true that more often than not, you are paying for the brand than the actual product. Going generic won’t impact anything but your wallet.

6. Treat Your Belongings Well

Invest in quality items that you love and treat well. Practice good habits like taking your car routinely for oil changes and staying on top of home upkeep. Broken cars and homeowner woes can be costly.

7. Test Out the Tried and True Envelope System

Just because your great grandmother may have done it, doesn’t mean it’s not still relevant. Make a monthly budget, and place each amount in a separate envelope. When it’s gone, it’s gone!

8. Consolidate Debt

If you have debt in a lot of places, you may want to consider consolidating your debt into one place with a lower interest rate.

For more advice on ways to make savings simple or how to start a savings account, reach out to us at Peoples Bank & Trust.

Peoples Bank & Trust Co.

Member FDIC

Equal Housing Lender

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