Author Archives: PBTC Blogger

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5 Challenges to Test Your Money Management

We may all think we know a thing or two about finances, but do we really know it all? There’s always more you can learn to better yourself and that includes money management skills. Today, we’ll give you five challenges to test your money management in order to whip your finances into shape! 

1. No Spend Challenge 

We know this sounds scary, but you can still buy groceries and pay your recurring bills. Try not spending money on any unnecessary items for one week or one month. Yes, we know that coffee may feel necessary, but make your coffee at home instead of buying it. You’ll be surprised at how much you save when you don’t buy an extra item here and there. 

2. Change Challenge 

Any change you accumulate, save. This could be a fun game to play with your kids as well. You and your significant other can give any change from the day and have your children count it and put it in a jar. Do this for one month or a full year to see how much you accumulate!  

3. No Online Shopping Challenge 

We know that more shopping is being done online now than ever before, which makes it seem easier and easier to spend more money since you aren’t giving physical cash away. Try not buying anything online for a whole month – besides your groceries and essentials if you now purchase those online. 

4. 52-Week Money Challenge 

This is a fun one! This occurs weekly for a whole year, so it will really hold you accountable. Start with saving $1 for week 1, $2 for week 2, and so on. By week 52, you’ll be putting away $52. The 52-week challenge adds up to saving a total of $1,378! You can choose what you’ll spend that money on if you make it all the way. Will it be for a vacation, child’s college fund or emergency fund? It’ll be up to you. 

5. No Eating Out Challenge 

Since people are staying home more, this is a little easier than before. But this also includes take out and drive-throughs as well – not just sit-down restaurants. We know supporting small businesses is important, so we’re not saying don’t eat out forever. Just try it for one month to see how much potential savings you earn. 

Pick one or a couple of these challenges to test your money management skills. You won’t regret it! Then, store your new savings in a savings account with us. We’ll be happy to keep your hard-earned money safe and sound in an account. 

Peoples Bank & Trust Co.

Member FDIC

Equal Housing Lender

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Financial Literacy 101: Teen Edition

If you have a teenager who doesn’t quite understand how important good financial habits are, it’s time to teach them! Giving your child the building blocks on saving, budgeting and understanding debt will help make them into responsible adults. Here’s some financial literacy 101 for your teenager. 

Bank Accounts 

Explaining the different types of bank accounts to your child is crucial. Start by opening a savings account with them so they can understand the importance of saving. When they have a job, you could also work with them to open a checking account. This will help teach them the process of saving, spending money, using a debit card and writing checks. 

Credit Cards 

Even though your teen won’t have a credit card at that age, it’s important to teach them about credit cards and how they work. Explain the limits that are set, paying your minimum each month and how that will affect their credit score. This will help them be prepared for when they do get their first card. 

Debt 

Teach your teen that debt is no joke. There will be car payments, groceries, entertainment purchases, credit card bills, student loans and so on. Making sure they know not to bite off more than they can afford is extremely important. This will help them understand all of the bills they will have to afford in the future. 

Credit Score 

Start explaining what a credit score is and how that will help them get lower interest rates in the future. This can also tie into the credit card conversation. Understanding the basics of a credit score now will help keep them out of trouble in the future. 

Budget 

Understanding needs vs wants is a great life lesson. Start your teen off with budgeting by having them help with the grocery list. Tell them the rough prices of what things cost, have them make a list and keep it under a certain amount. This will help teach them how to budget, so they can apply it to other things in their life down the road. 

These basic items are critical for teens to understand. Looking back, you may realize you didn’t quite know all of these things when you were a teen. This is why we wanted to share this information, as we believe it’s a good thing to get ahead in the financial world with your child, so they are prepared. 

Peoples Bank & Trust Co.

Member FDIC

Equal Housing Lender

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Financial Advice for Big Families

When it comes to big families, there is extra love and enjoyment to go around. There also comes more money that needs to be spent. Managing finances with a larger family can be stressful and difficult depending on the expenses you have. We’re here to offer some helpful financial advice for big families, so you don’t have to feel tight on cash! 

Own Less Vehicles 

Reduce transportation costs as much as possible by limiting the number of vehicles you own. Gas, upkeep, repairs and car payments add up quickly for each vehicle. Work on scheduling carpools and staying home when possible to limit your driving. Having multiple kids in school and activities can have you driving all around, so come up with a plan that makes the most sense, so you aren’t wasting time and gas. 

Eat Out Less  

Each mouth you need to feed adds up, especially if you have multiple growing boys who seem like they never get full. Eating out and going to restaurants means you’re paying for drinks as well as the main meal and sides. Coming up with a meal plan for home, budget and grocery list to stick to will help you spend less and have a plan for food every day so there’s no need to eat out! 

Buy or Borrow Secondhand 

We’re sure you have plenty of friends and family who have toys or clothes they no longer need for their children. Don’t be afraid to ask to buy or borrow their items for a discounted price. The clothes and toys are just as good as if they were new. Plus, small children grow so fast, so you may not always want to buy something new that they may not fit a few months from now! 

Buy in Bulk 

When you do need to buy items, consider couponing and buying bulk items. Larger cans and extra boxes of non-perishable food won’t hurt anyone! You’ll go through that food before it’d expire anyways. Large stores, like Costco, will have sales on bulk items. This means you will spend a little more originally, but you’ll have extra items on hand, and it’ll be for less than what you’d spend on that amount if it wasn’t bought in bulk. 

We hope this financial advice will help you save a little extra money. Put that savings into a savings or checking account with us! We’re happy to safely store your hard-earned money. 

Peoples Bank & Trust Co.

Member FDIC

Equal Housing Lender

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Identity Theft: How to Protect Yourself

According to IdentityForce.com, about 1 in 15 people were victims of identity fraud in 2019. As technology continues to grow, the risk will only get higher. That’s why protecting yourself from this kind of crime is more important now than ever! 

Rundown of Identity Theft 

The first step in prevention is recognizing what identity theft is and why it’s dangerous. A simple description of identity theft is a crime in which an individual’s personal and/or financial information is illegally obtained, most commonly for financial gain. With your information, that criminal could then: 

  • Withdraw money from your bank account 
  • Steal your tax refund 
  • Sell your information to others 
  • Apply for loans, credit cards, etc. in your name 

Recognizing Identity Theft 

Now it’s time to understand what the signs of identity theft are so you’re prepared if you were ever put in this situation. If you start noticing any of these things, identity theft may be the problem at hand: 

  • You notice unusual or unrecognizable withdrawals from your bank account 
  • Your tax return received a rejection notice 
  • You are turned down for a loan for bad credit when you have good credit 
  • You notice an absence in your household bills coming through the mail 

Preventing Identity Theft 

The good news is there are lots of things you can do to protect yourself from crimes like this. To make it not so easy for criminals to steal your information, follow these important steps: 

  • Never give out personal information such as your Social Security number or bank information 
  • Destroy private records with a paper shredder before throwing it in the trash 
  • Check your bank account and credit reports regularly for suspicious activity 
  • Create strong passwords and use different passwords for each account you own 
  • Don’t click on unknown links and don’t enter any login credentials on an unfamiliar login screen 
  • Never carry your Social Security card on you, but instead keep it in a safe and secure place in your house unless you need to access it 

When it comes to protecting yourself from identity theft, the more precautions you take, the better! Make 2021 the year you decide to up your security game and take proper action. To learn more about cybersecurity or to discuss the financial services we offer, visit our website. 

Peoples Bank & Trust Co.

Member FDIC

Equal Housing Lender

money

How to Separate Your Financial Wants VS Needs

Creating a basic monthly budget is simple, but breaking it down into categories and deciding what you should and shouldn’t spend money on can get tricky. That’s where the idea of wants vs needs comes into play, and it’s one of the most important steps in budgeting. Struggling to figure out what the difference is? We’ll explain! 

The Overall Difference Between Wants VS Needs 

Financial needs include purchases that are required or absolutely necessary. Financial wants, on the other hand, are things we desire or wish for but technically don’t need for well-being or survival. These are difficult to separate because they’re often different for each person.  

Examples of Needs 

We all have things we need to purchase in order to survive and continue working. These payments often take up a large portion of your paycheck and are recurring. This includes: 

  • Food 
  • Gas/Transportation 
  • Insurance 
  • Work uniform 
  • Housing 
  • Medication 
  • Utilities 
  • Healthcare 

Examples of Wants 

Along with the necessities come desirable things that allow you to live a more comfortable life. While you can live without them, the following things can bring you fun and joy: 

  • Entertainment 
  • Coffee shop visits 
  • Gym membership 
  • New clothes 
  • Dining at a restaurant  
  • Travel 
  • Home décor  

Budgeting Your Wants & Needs 

One well-known budgeting system to follow is called the 50/30/20 rule. 50% of your income is spent on needs, 30% is spent on wants and 20% is put into your savings or paying off debt. This is a great system to go by because it allows you to satisfy your financial wants in modesty. Restricting yourself completely from your wants is unrealistic, so setting a concrete value to each of your budget categories keeps you from overspending. 

Just like most things in life, over time you will learn from mistakes and adjust your budget. Maybe you have a new want, like a gym membership, that you can swap out for an old want, such as TV subscriptions you don’t use very often. And while you make adjustments to your budget, our financial services are here to assist you along the way! 

Peoples Bank & Trust Co.

Member FDIC

Equal Housing Lender

phone

5 Reasons You Should Utilize Online & Mobile Banking

Besides the obvious positive of having constant access to your bank account on your very own device, online and mobile banking brings various benefits to the table. If you haven’t downloaded our mobile app yet, keep reading to find out why you should. 

1. Deposit Checks Anywhere 

Save yourself a trip by making it possible to deposit checks from the comfort of your home. It’s an easy process, too! All you do is endorse the check with “PBTC Mobile Deposit”, take a picture of each side and enter basic information. Your check will be processed in seconds – it’s as simple as that!  

2. 24/7 Access 

Say goodbye to working around the bank’s hours to do simple tasks like checking your balance, viewing your transaction history, transferring money, depositing checks or printing bank statements. With online and mobile banking, you have access to these services and information 24/7, even outside of bank hours. 

3. Quick and Easy Transfer 

There may be instances when you quickly need to transfer money from your savings account to your checking account or vice versa. This process is simple, too, and in just a few steps your transfer will be processed. Mobile banking is also helpful in situations where account balances get too low and you have automatic payments. You can set up notifications to make sure you transfer money before dropping below a certain amount and overdrawing. 

4. Never Miss a Bill with Autopay  

Autopay is easy to set up and allows you to pay your bills without having to lift a finger. By filling out a few quick forms online, money will automatically be sent out or transferred each month to pay your bills in a timely manner. Not only is this convenient for you, but it allows you to completely avoid the risk of paying a late fee. 

5. Print or Download Statements 

Save yourself another trip to the bank with access to E-Statements anytime. If you’re wanting to print or download statements for tax purposes or personal records, you simply login to your online account and print off what you want. This makes organizing your personal records easy, too, whether you want to do so on paper or safely and securely on your computer. 

Now that you know why online and mobile banking is so great, it’s time to get started! Click here to learn more about our services, ask us questions and to find out what your next online banking steps are. 

Peoples Bank & Trust Co.

Member FDIC

Equal Housing Lender

piggy-bank

Crucial Financial Lessons to Teach Your Teenager

Parenting isn’t easy and it seems like there are endless lessons to teach your kids in order to fully prepare them for adulthood. Teaching your teenager about the importance of money management will have a lasting positive impact on their future. Here are five financial lessons you can implement into your parenting: 

Always Be Setting a Good Example 

It’s no secret that children learn by example and often take after their parents’ actions. One of the biggest impressions you can leave on your teenagers is to show them the right way to manage money. Be a good example for them by budgeting, identifying wants vs needs, contributing to your savings account and other smart financial choices. 

Avoid Impulse Buying at All Costs 

As your children enter their teenage years, it’s normal for them to want the latest technology or clothing to keep up with their peers. The worst thing you can do is buy them what they ask for on the spot, as this behavior encourages impulse buying. Instead, let them wait it out for a week or two then revisit the purchasing decision. 

Turn Their Free Time into a Part-Time Job 

While schoolwork, extra-curricular activities and social events can make high school a busy time of life, there’s a lot of extra free time than other stages of life. Between summer break, winter break and free weekends, part-time jobs are a great way to stay busy and make some extra cash. Encouraging your teenager to get a job will teach them life lessons like leadership, time management, responsibility, working with others and so much more. 

Help Them Open Their Own Bank Account 

Once your teenager is getting an income from their part-time job, they’ll need a place to put their money. Now’s the perfect time to help them open a bank account so they get used to having that responsibility. They can even begin contributing to a savings account down the line. 

Have Them Download a Budgeting App 

Teenagers love technology, so why not encourage financial education while they’re on their smartphone? There are tons of budgeting and money management apps out there. Once they are making an income from their part-time job, they’ll have to learn how to be smart with their spending. Apps like this can give them reminders, provide helpful tips and simplify their overall budgeting experience.  

The teenage years are packed full of important life lessons and including proper money management in those lessons is extremely important. For more information on all things finance or to learn about the services we offer, contact us today! 

Peoples Bank & Trust Co.

Member FDIC

Equal Housing Lender

phone

How to Protect Your Social Media Accounts

Social media is growing and expanding each day, with nearly 3 billion people on Facebook and over 2 billion on YouTube. Platforms like these along with Instagram, Twitter, Snapchat and more require usernames and passwords, but there’s always the unfortunate chance that your account is compromised. We’re here to provide you with a few simple things you can do to protect your social media accounts. 

Two-Factor Authentication 

Adding an extra step to your login process is always a good way to protect your account from being hacked. Examples of two-factor authentication include having to enter a code sent to your phone, scanning your fingerprint or using face ID in order to confirm your identity. Most social media platforms offer this as an option in settings. 

Try Out a Password Manager 

Not only is it important to have a strong password, but you should also vary your passwords across your social media accounts. If you use the same password for every account and one gets hacked, then they’re all compromised. Be sure to include numbers, upper and lowercase letters and special characters to make each password unique. It’s also smart to update your passwords periodically. Keeping track of all of them may seem tricky, but an online password manager will take care of that for you. 

Double-Check Your Friends 

Now’s a good time to go through your Facebook friends and make sure you know them all. If you get a friend request but you don’t know the person who sent it, just decline it and stick to the people you’re familiar with. One common way hackers access your information easier is by making fake accounts and sending you a request so they can see more of your personal information. 

Don’t Overshare 

Even if all of your friends or followers are people you know, you still want to be careful what you’re sharing online. Don’t share personal information like your address, social security number, financial information or other things you wouldn’t want people knowing. Think of everything you share online as permanent for anyone to access, whether it’s shared in a private group or not.  

See What’s Provided in Your Profile 

To go along with the previous point, there are some things your friends can see without harm. For example, having your hometown in your private profile usually does no harm since the people you know most likely already know this information about you. The important part is to make sure those things are private and only accessible to your friends rather than on your public profile. 

With new and exciting technology comes the necessity to keep your information secure, private and protected. Following the above tips and guarding your social media accounts will help you avoid hackers who can compromise your personal information. Contact us for more cybersecurity information or to learn about the financial services we offer! 

Peoples Bank & Trust Co.

Member FDIC

Equal Housing Lender

wallet

5 Common Money Temptations & How to Avoid Them

We all make mistakes and experiencing financial hiccups is a normal part of life. With each month comes new financial temptations that can be difficult to turn from. The good news is you can learn from others’ mistakes to avoid making them yourself! Keep reading to learn some common money temptations most people run into as well as how you can avoid giving into them. 

Temptation #1: Spending Unexpected Cash 

Whether you received an unplanned bonus or just got your tax refund, it may be tempting to spend the extra money. Since it’s an addition to your normal income, technically spending it won’t hurt you, right? Think again – instead, deposit that extra cash into your savings account and put it towards your emergency fund.  

Temptation #2: Always Saying “Yes” 

FOMO is real and skipping a weekend out with your friends is a tough choice to make. While spending a budgeted amount on fun activities each month is completely allowed, it can be easy to get wrapped up into an outing every weekend. Be careful with what you say “yes” to, and maybe opt for a game night at home rather than an expensive restaurant or bar when you meet up with friends. 

Temptation #3: Leaning on Retail Therapy 

We all experience tough days, and a common form of therapy for many happens inside a store or online. Another name for this is emotional spending, as it can temporarily satisfy individuals or make them feel better, but this is a slippery slope. Some tips for avoiding emotional spending include: 

  • Using the 48-hour rule before making a purchase 
  • Understanding and knowing how to manage your triggers 
  • Factoring shopping into your budget and sticking to it 
  • Sticking to window shopping rather than making purchases 

Temptation #4: Falling for the Sale/Markdown Trap 

Coming across a never-before-seen deal is a great feeling, but realistically, there are deals going on all the time to entice customers into making unnecessary purchases. Think about it – if there’s a crazy good deal going on and you weren’t originally planning on making the purchase, odds are you don’t really need to buy that item. 

Temptation #5: Always Treating Others 

While being the one to cover the tab or buy your friend a nice gift is always a kind gesture, it can add up quickly. There’s nothing wrong with showing those you care about some love now and then, but make sure it’s factored into your budget and you’re not just spending to impress. 

Giving these temptations may provide you with momentary satisfaction but avoiding them altogether will be extremely beneficial long-term. The next time you’re faced with one of these temptations, think back to this blog and remember how thankful your future self will be if you saved the money! For more financial advice or to learn about the services we offer, contact us. 

Peoples Bank & Trust Co.

Member FDIC

Equal Housing Lender

business

Money Management: Self-Employment Edition

With the flexibility and freedom of self-employment comes the tricky challenge of managing your finances properly. Whether you’re new to the freelancing field or already know your way around the ropes, a quick money refresher is always a good idea. Below are our top money management tips for the self-employed. 

Have a Plan 

Budgeting is just as important in your freelance business as it is in your personal life. This may be tricky with the inconsistencies in your income, but calculating an average monthly income and budgeting off that is helpful. Knowing how to budget will become easier the longer you are self-employed as it’s often easiest to learn from experience. 

Keep Records Organized 

Not only is it important for you to keep records of past paperwork, such as billing and sales history, but you should keep everything as orderly as possible. This will help you feel organized, plus when a previous customer has a question, you can easily refer back to their purchase. Keeping copies of receipts is also important for tax time. 

Set Goals for Yourself 

Being your own boss means not always having someone watching your progress and analyzing your work like most 9-5 jobs. In order for your business to grow financially, you need to set some short-term and long-term goals for yourself. Whether that’s selling a certain amount of your product or service, expanding on your product or service line or simply reaching more customers, create a SMART goal and do what you can to achieve it. 

Build on Your Emergency Fund 

Self-employment often means a varying monthly income. Because of this, having a solid emergency fund is crucial so you have a backup if things go south for a few months. Financial experts usually recommend having three-six months’ worth of living expenses saved up. Continue adding to your emergency fund each month for added peace of mind! 

Keep Personal and Business Finances Separate 

One of the keys to managing your money properly while being self-employed is having a separate business account. This will also help you keep a more detailed record of your finances for tax return purposes. 

Ask for Help 

The final, but one of the most important tips, is to accept help from others. One of the best ways to understand the ins and outs of self-employment is to reach out to an experienced individual in your shoes. If financial troubles progress, don’t hesitate to talk to a professional to see what your next steps should be. 

Self-employment, while it may pose its challenges, is ultimately a rewarding path to pursue for many. Having a financial plan and sticking to it is the key! We’re here to help you with all things finance, so if you have any questions feel free to contact us – we’re happy to help. 

Peoples Bank & Trust Co.

Member FDIC

Equal Housing Lender