Monthly Archives: February 2017

Would It Be Too Soon To Ask For a Raise at Work After Only Five Months?

The term too early is always dependent on the individual and the company. What some companies consider too early for a raise might be normal for others. Similarly, if you think your performance is worth a raise within the first 5 months of joining a company then you can obviously go for it. Negotiating a pay-raise in 5 months is not quite a norm in majority of the companies, until and unless you have years of experience and outstanding performance to back your claim.

Majority of the companies around the globe think of giving a raise after an employee completes at least one year of dedicated service. However, the question of a raise can’t be rejected if the employee has performed exceptionally well and has managed to bring in huge business to the company. If you think that you are being paid lesser than colleagues working in your rank, you can always raise the issue with your HR.

In several companies, six months is considered to be the end of probation period and it’s better to wait out another month before you can actually raise the issue with your HR. As said earlier, getting a raise depends on the company policy, so you can’t ask for a rise in companies that follow a policy of not allowing a raise before an employee completes certain number of months in the company. There’s no point in arguing with your HR regarding a raise because you feel that you were handed a raw deal during your interview.

The best way to understand whether your company can actually give you a raise is to ask around and enquire a bit with your colleagues whether you can ask for a raise or not. A little survey in your office can clear the air for you and it will be easier for you decide whether you can get a pay hike in 5 months or not. Your colleagues will inform you if any such past raises have been offered to any employee or not. They will also inform you whether there has been any kind of feedback in your performance from the HR department or not.

Getting a raise is quite tough within the first few months if you haven’t performed exceptionally well and in fact have managed to catch the attention of your seniors. Only your seniors and the HR can decide on the raise so it’s better if you find ways to please them with your work and efficiency.

Tips for Young Married Couples When Buying a House

Young married couples have already started a new life and they are excited about settling down and having a family. Buying a house is the biggest dream of any young couple because they will always need a place they can call home. However, when they actually get down to buying a home, they find it an extremely challenging and stressful task. They have to take care of several things like credit score, eligibility criteria, down payments, taxation and on top of that go in search of a property that suits their budget and needs.

Buying a home can be a daunting task because it is a major decision that a young couple takes after getting married and both need to be on the same page to ensure an appropriate choice. Here are some quick tips that will make their task less-challenging and fun:

  • Check your credit score: Credit score plays a vital role in deciding whether you are eligible for a housing loan or not. Banks follow a very strict procedure when it comes to approving loans and the first thing they consider while making a decision is your credit score. You can’t expect to get a housing loan if your credit score is in shambles. Thus, You will have to check your credit report for unpaid accounts or collection accounts or mistakes and rectify anything that can adversely affect your credit score. If you have a damaged credit score then you will have to invest some money and time to get it rectified.
  • Check the property before applying for a loan: Your new house will be your only place for the rest of your life, so be very careful in choosing one. Young couples often tend to disagree on several things but when it’s their house, they need to be on the same page. Finalize a property when you both find it appealing.
  • Get the Documents right: You will need to furnish several documents to the bank before they approve your loans, so you will have to be ready with those when the time comes. You will be asked to provide your bank statements. Pay slips, tax documents etc.
  • You’re in it for love: In all the hustle-bustle of buying a house, you may often forget that your house is the symbol of your love. Do not lose faith on each other because of petty differences. Keep in mind – you’re in it for love.

To Invest to Stocks or Not to Invest: What’s Your Final Verdict?

Why should you invest to stocks and why shouldn’t?

Whenever people heard about investing in stocks, they automatically think individuals making millions of dollars in the stock market. Stocks are considered to be as one of the traditional forms in raising a capital for businesses. Aside from that, it can open your door to greater opportunities in making a lot of money if you invest successfully. You have to be wise in picking the right stock at the right for this can result in bigger stocks while the stock value is tremendously increasing.

The biggest challenge for you in investing to stocks is to pick the good stocks during their lowest price then, sell them during its highest value. Well, this might require a lot of knowledge as well as experience to do so.  Investing in the stock market is all about right timing when to buy and sell stock.

The truth is your investment to stocks can actually benefit you a lot in making money at the same time; it can introduce you to high risks. If you do not have enough knowledge or experience in the world of stock market, you have to consult a financial adviser to gain a better understanding of the right strategy and timing. But, if you are just in the state of deciding whether you have to invest or not, the following advantages and disadvantages in investing to stocks:

Advantages of Investing in Stocks

  • A variety of Choices. With so much trade companies available, you can easily assemble portfolios that will meet whatever objectives you wanted to obtain. Also, this wide range of mutual funds will allow you to expand across industries or any company size coming from small to large cap.
  • Long term growth. Compounding your returns and dividends greatly create wealth over the long term. Your long term investment gives you easier plan where the rate of your return increases.
  • Risk tolerance. In investing in stocks, you have the freedom in selecting risk tolerance. If you prefer to have a low risk, investing in an established company is a great idea while if you wanted low more risk, you can consider riskier companies.

 

Disadvantages of Investing in Stocks

  • Lately, markets have become been quite volatile. As the market is in the panic mode, people tend to choose emotions instead of the fundamentals of logical economy creating amazing bargains.
  • Time-consuming. Though you choose a mutual fund and you belong to a small business, you are still you may face challenges of which one you should buy. To do so, you need to conduct a substantial research which is time-consuming.
  • Never be risk-free. Investing in stocks will never free you from risks since the value of your investments can go up and can go down. All form of business involves risk, but if you know how to handle it, you have the opportunity to succeed.

As mentioned above, the answer to whether to invest to stocks or not will always depend on to the right choice of stock and time, so you need to be wise. Also, it is much easier for you to succeed in investing to stocks if you have knowledge and experience.

Five Easy Tips for Young Homebuyers Buying Their First Home

Buying a home for the first time can be both an overwhelming as well challenging task. You have so many things to consider while buying a property that you will call home for the rest of your life. Young couples often face the daunting task of deciding on a house that fits their pocket as well as aspirations. Thus, it is imperative to do a little financial homework before you can actually get down to some legwork.

Here are 5 easy tips for young homebuyers that will make their task much easier:

  • Check your credit score – To qualify for a loan, your credit score is going to play the most vital role. Every bank follows very strict loan approval criteria when it comes to credit scores. You will have to check your credit report for unpaid accounts or collection accounts or mistakes and rectify anything that can adversely affect your credit score. If you have a damaged credit score then you will have to invest some money and time to get it rectified. You need to keep in mind that only a good credit score will make you eligible for a loan.
  • Weighing your assets and liabilities – First time homebuyers need to weigh their assets and liabilities. They must be aware of the amount of money they draw in and the money that they actually owe. This will give them a clear picture regarding the money that they will need after buying a house.
  • Arrange the documents – You will need documents at every stage of home buying, so be ready with documents like two recent pay slips, tax returns, last two month’s bank statement etc. Buying a home is a time consuming process but when you are ready with the documents, consider one third of the job done.
  • Find out whether you qualify – You will need to find out whether you actually quality for a housing loan or not. For these you can ask the bank officials and find out the amount of money you will need to repay the loans and the exact amount of loan you qualify for.
  • Determine the down payment – You will have to get in touch of your bank and find out the exact down payment that you shall have to make. This again can be determined from the loan amount and the time period for which you wish to take the loan.

Is Renting a Car More Pocket Friendly Than Buying

The straight and simple answer to this extremely tricky question is a big YES!

Renting a car is always more cost effective than buying a new one because you are able to save on the huge investment that you actually make on buying an asset that depreciates with time. If we are to talk in a strictly financial language then it is never wise to buy assets that depreciate in value; however, it is always good to buy assets like property and shares that increase in value.

It is really hard to not fall prey to the temptation of buying your own car, especially when you are unable to hail a taxi during the rush hours. If you are able to actually count the number of days in a year when you felt the need of a car real badly then you will be surprised to find that it is not more than 10 to 15 days in a year. Do you really need to buy a car that you will need only 15 days in a year? No logic behind buying a car exists unless you have a lot of extra money to waste on assets that depreciates in value over time.

According to the statistics, a new car depreciates by 40% of its list price in the very first year itself. By the end of the third year, the value drops by 60% of the list price and this keeps falling till your car is valued not more than junk iron sheets. Why do you want to waste your money investing on something that really does not add any value to your life?

Buying a car is probably the dumbest idea and an absolute waste of money when you have many other options. Renting a car can save you hundreds of dollars a month and you can go step further to even get a car on lease. Both these make a lot of sense than just blindly buying a car. Lease is a long term rental deal that lets you drive a car for a fixed monthly price. In the US, people are more into driving around in the latest models than actually buying them. Now, there isn’t a better deal than renting the car and driving to wherever they wish.

Renting or leasing a car does not make you the owner of the car but you definitely save hundreds of dollars while driving some of the latest models on the road.