morethanmoney » Money matters

Automated advice a huge responsibility

admin — Wed, 24 Mar 2010 20:55:37 +0000

Rod Lowe and Nick Brummer spent almost two years automating the advice process for clients who are interested in making a unit trust investment. They could potentially provide a much needed low-cost service to online investors who have already decided to invest in unit trusts, but just need help deciding between hundreds of portfolios. I have some criticism, though.

Complete your provisional tax form like a pro

admin — Thu, 10 Dec 2009 10:43:28 +0000

South Africans registered as provisional taxpayers need to make their second payment for this tax year no later than 26 February 2010. MoreThanMoney has created a spreadsheet to help you calculate which figures to fill in on your provisional tax form (IRP6).

Are the performance figures lying?

admin — Mon, 12 Oct 2009 11:55:48 +0000

Does it sometimes feel like you’ve earned less on your investment than the figures quoted by the insurer or the investment company? Chances are good that you did actually earn a different rate from the published return.

Buy-to-let: Now you can do the calcs

admin — Mon, 05 Oct 2009 12:33:21 +0000

Interest rates are nice and low by South African standards, and investors with spare capital may be tempted to dive straight into the buy-to-let property market. Because you can’t go wrong with property, right?

Your home: to buy or to rent

admin — Tue, 29 Sep 2009 09:30:25 +0000

When I just started working, I was amazed at how so many of my colleagues could bend their knees under the weight of a boulder of a bond just to own a home. Until someone pointed out (what should have been obvious) to me what happens to your rent at the start of every year and continues to do so for the rest of your life, while your home loan instalment stays fairly stable for 20 years and then disappears.

How hiding from the taxman can hurt you Part II

admin — Wed, 23 Sep 2009 14:09:06 +0000

Last year almost one million taxpayers did not submit a tax return because they earned less than R120 000 during the year. While many of these employees rightly rejoiced in the fact that they may stay below SARS's radar, others sadly missed out on a welcome cash-back from the taxman.

How hiding from the taxman can hurt you – Part I

admin — Wed, 16 Sep 2009 11:12:51 +0000

I don’t know a single person who doesn’t enjoy getting something back from the taxman at the end of the year. But some prefer to stay as far below the taxman’s radar as possible, to their own detriment. Let’s look at a few scenarios where registering as a taxpayer or submitting a tax return could benefit you.

Single stock futures: not all fun and games

admin — Mon, 24 Aug 2009 08:50:24 +0000

On 31 August 2009 trading starts for the fifth Make a Million competition. Last year, instead of buying actual shares for their competition portfolios, entrants had to buy single stock futures (SSFs) for the first time – a slightly more complicated and riskier game.

Get rid of your home loan: still the best investment

admin — Mon, 17 Aug 2009 12:28:04 +0000

Businesses would love you to channel the extra money left in your pocket after the bond rate cuts towards their cash registers, but should you not rather channel it towards your own bond repayments? Conventional wisdom screams ‘yes’ to the latter.

Are you sure you’re not blacklisted?

admin — Mon, 15 Jun 2009 09:21:51 +0000

Not knowing your credit status could waste precious time when your loan or new account application is rejected because of a poor payment history. Fortunately, there are no more excuses to be in the dark about your credit risk rating.

Time to fix your home loan rate?

admin — Fri, 05 Jun 2009 13:22:48 +0000

Falling interest rates is one of the precious few things to smile about at the start of a recession. Banks have dropped their prime lending rate from 15.5% to 11%. But governor Mboweni has signalled that the party may be over. Should you fix your mortgage rate now before prime starts soaring again?

Would you bail out a US banker?

admin — Wed, 08 Apr 2009 06:46:07 +0000

Expecting that their friends in government will always be there to bail them out, the upper echelons of the US financial industry continue to borrow excessively, lend irresponsibly and invest in assets which they barely understand, but which satisfy their lust for continuously higher returns. But higher returns and above-average growth always comes at a price: risk.

Burglary blues

admin — Mon, 02 Mar 2009 15:01:33 +0000

Unlike love, very few would say that it’s better to have owned and lost than never to have owned at all. Losing jewellery or gifts that are irreplaceable and carry so much sentimental value always feels pretty senseless. How can you cushion yourself against the blow?

2009: Living simple, not small

admin — Mon, 19 Jan 2009 09:01:21 +0000

Life is too short for being little – Benjamin Disraeli

It’s a pity so many people confuse a simple life with a small life. A recession may be looming and worldwide consumers are tightening the belt, but you can simplify your finances without cramping your style:

Spotlight on: single stock futures

admin — Sun, 02 Nov 2008 06:56:29 +0000

On 3 November, when trading starts for the 2008 Make a Million competition, thousands of South Africans will experience first-hand how derivatives work. Unlike previous years, when entrants bought the actual share, they will now be buying single stock futures (SSFs) - a leveraged and slightly riskier game.