Lots of things you buy come with a warranty in case they break down, from cars to smartphones. But what about homes? It turns out you can get a home warranty, too.

A home warranty, like so many things in our lives, is something that we don’t often think about until we absolutely need it. Sure you have home insurance, maybe even flood insurance, but that only covers certain situations.

Homeowners or renters insurance can cover damage to your home from things like fire, theft, storms and some natural disasters. While renters insurance is elective, homeowners insurance is a requirement if you have purchased a home.
In addition to your homeowners insurance plan, you can and should choose to purchase a home warranty to protect your belongings in a way that insurance lacks.
If you’ve ever purchased a large appliance, a computer, or even a television from a retailer then you’re probably familiar with the concept of a warranty.
Don’t mistake a home warranty for homeowners insurance, which covers your home’s structure and belongings in the event of a fire, storm, flood, or other accident. A home warranty, in comparison, will cover repairs and replacements on systems and appliances due to normal wear and tear—no calamities required.

A home warranty generally covers these items:

• Electrical systems
• Plumbing systems
• Heating and cooling systems
• Washer and dryer
• Kitchen appliances such as the oven, range, and garbage disposal

What a home warranty covers will depend on the plan that you choose and there are a lot to choose from. A home warranty can cover anything from your microwave oven to your plumbing and your electrical system.
Deciding which plan is right for you will determine what items and systems it covers and how much it will cost. Typically, a home warranty is charged as either a small monthly or annual fee that can save you a lot of money in the long run.

Is a home warranty right for you?

Sellers may offer a year of coverage as an incentive to home shoppers. Real estate agents sometimes give home warranties to clients as a thank you gift for purchasing a home. Some buyers of older homes find that a warranty gives them confidence.
Other homeowners decide they’re better off setting aside savings to cover home repairs and replacements.

One way to think about your needs: Compare the age of each covered item with its average life span. To do so, use the chart at the National Association of Certified Home Inspectors website.

With expensive components near or past their life expectancy, a home warranty might be a good idea. Components that have pre-existing problems, however, typically are excluded from protection.

Pros of home warranties

Buyers who purchase a previously owned home inherit used appliances and home systems with wear and tear. A home warranty can help cover the cost if things break down.

For example, if fire destroys your boiler, it might cost more than $10,000 to replace. A home warranty might cover at least a portion of the cost.

Cons of home warranties

However, for many homeowners, there is a wide gap between what the customer expects and what the plans deliver. Before buying a home warranty, read the contract and understand exactly what it does and does not cover. For example, some contracts will not provide coverage if:
• You didn’t maintain the appliance.
• The appliance was installed incorrectly.
• The appliance had too much wear and tear.

If you haven’t read the agreement carefully, be prepared for surprises. Don’t assume:
• Your policy will replace a faulty component. The warranty company might insist on repairing it instead.
• You can call your favorite service provider. Home warranties usually require you to use a contracted servicer.
• The warranty will cover the entire cost. In some cases, the warranty will cover just a fraction of the repair cost.

While not everyone will think a home warranty is worth it, it is a good idea for people who lean toward the “better safe than sorry” approach when buying a home, or if the home and the appliances are older.

Sources:
https://www.consumerreports.org/buying-a-home/what-to-know-about-buying-home-warranty/
https://www.realtor.com/advice/buy/what-is-a-home-warranty/
https://www.moneytalksnews.com/are-home-warranties-worth-the-money/

Sometimes the hardest thing about saving money is just getting started. It can be difficult to figure out simple ways to save money and how to use your savings to pursue your financial goals. This step-by-step guide to money-saving habits can help you develop a realistic savings plan.

1. Record your expenses
The first step to saving money is to figure out how much you spend. Keep track of all your expenses—that means every coffee, newspaper and snack you buy. Ideally, you can account for every penny. Once you have your data, organize the numbers by categories, such as gas, groceries and mortgage, and total each amount. Consider using your credit card or bank statements to help you with this. If you bank online, you may be able to filter your statements to easily break down your spending.

2. Make a budget
Once you have an idea of what you spend in a month, you can begin to organize your recorded expenses into a workable budget. Your budget should outline how your expenses measure up to your income—so you can plan your spending and limit overspending. In addition to your monthly expenses, be sure to factor in expenses that occur regularly but not every month, such as car maintenance. Find more information about creating a budget.

3. Plan on saving money
Now that you’ve made a budget, create a savings category within it. Try to put away 10–15 percent of your income as savings. If your expenses are so high that you can’t save that much, it might be time to cut back. To do so, identify non-essentials that you can spend less on, such as entertainment and dining out. We’ve put together ideas for saving money every day as well as cutting back on your fixed monthly expenses.

Tip: Considering savings a regular expense, similar to groceries, is a great way to reinforce good savings habits.

4. Choose something to save for
One of the best ways to save money is to set a goal. Start by thinking of what you might want to save for—anything from a down payment for a house to a vacation—then figure out how long it might take you to save for it. If you need help figuring out a time frame, try Bank of America’s savings goal calculator.

Here are some examples of short- and long-term goals:

Short-term (1–3 years)

Emergency fund (3–9 months of living expenses, just in case)
Vacation
Down payment for a car
Long-term (4+ years)

Retirement*
Your child’s education*
Down payment on a home or a remodeling project
*If you’re saving for retirement or your child’s education, consider putting that money into an investment account such as an IRA or a 529 plan. While investments come with risks and can lose money, they also create the opportunity for compounded returns if you plan for an event far in advance. More details in step No. 6 below.

5. Decide on your priorities
After your expenses and income, your goals are likely to have the biggest impact on how you save money. Be sure to remember long-term goals—it’s important that planning for retirement doesn’t take a back seat to shorter-term needs. Prioritizing goals can give you a clear idea of where to start saving. For example, if you know you’re going to need to replace your car in the near future, you could start putting money away for one.

6. Pick the right tools
If you’re saving for short-term goals, consider using these FDIC-insured deposit accounts:

Savings account
Certificate of deposit (CD), which locks in your money at a specific interest rate for a specific period of time

For long-term goals consider:

FDIC-insured individual retirement accounts (IRAs), which are tax-efficient savings accounts
Securities such as stocks or mutual funds. These investment products are available through investment accounts with a broker-dealer. Remember that securities, such as stocks and mutual funds, are not insured by the FDIC, are not deposits or other obligations of a bank and are not guaranteed by a bank, and are subject to investment risks, including the possible loss of principal investment.

7. Make saving automatic
Almost all banks offer automated transfers between your checking and savings accounts. You can choose when, how much and where to transfer money to, or even split your direct deposit between your checking and savings accounts. Automated transfers are a great way to save money since you don’t have to think about it and it generally reduces the temptation to spend the money instead.

8. Watch your savings grow
Check your progress every month. Not only will this help you stick to your personal savings plan but it also helps you identify and fix problems quickly. These simple ways to save money may even inspire you to save more and hit your goals faster.

Source

Did you know that there’s a government policy aimed at providing affordable solar panels to Americans? 

If you live in an approved zip code, tax credits, rebates and incentives could allow you to make the switch to solar without spending a penny upfront.

Important to Act Now

This current policy is set to expire—so in order to cash in on these savings, you need to act now! Luckily, once the panels are installed, you’re locked into a lifetime of savings.

How Do I See If I Qualify For Solar Rebates?

Step 1: Click your state on the map below.

Step 2: Answer a few short questions about your home.

Step 3: Once you qualify, you will be able to compare solar prices in your area.

On Friday, the U.S. International Trade Commission, a federal body, ruledthat U.S. solar manufacturers are being injured by solar product imports. This gives the Trump administration an opportunity to increase duties on imported solar equipment, which would raise the costs of solar energy for companies and households in the United States.

The decision to grant relief to domestic manufacturers will hamper climate mitigation. It also ignores the fact that many U.S. firms benefit from participating in global supply chains that govern the production of solar panels. The U.S. government — like other governments — is making trade policy on the basis of outdated assumptions about how products are made.

Protectionism has consequences for energy policy

The decision comes at a time when the United States is making important advances in solar energy. The Energy Department recently announced that the nation reached its 2020 target for the price competitiveness of large-scale solar power three years ahead of schedule. The cost of utility-scale solar in the United States has fallen to 6 cents per kilowatt hour and the cost of household solar power is also falling rapidly. This makes solar energy increasingly competitive with more traditional fossil-fuel-based sources of power, such as coal and natural gas.

The Energy Department’s SunShot Initiative, a successful example of green industrial policy, played an important role in this. The latest data shows that solar photovoltaics contributed close to half of the renewable energy capacity installed globally in 2016. In the United States, installations almost doubled in 2016 from the previous year, and more than $30 billion in capital was invested. The integration of large volumes of renewable energy into electricity systems creates challenges, but it also is encouraging dynamism and innovation in the United States and the international electricity industry.

Protectionism may slow down progress

Now, a different type of policy — trade protection — threatens to undermine these advances. China’s rise as a global manufacturing hub has contributed to the increased competitiveness of solar power. But China’s emergence as a major producer of renewable energy technologies is causing problems in trade policy, which helps explain the decision of the commission.

The United States — and Europe — have imposed trade sanctions on companies producing solar cells and modules made in China, and later Taiwan, in an attempt to protect domestic jobs and investment. This first round of trade fights was troublesome. But it did not seriously undermine the competitiveness of solar power in the United States, even as producers of polysilicon, a key raw material for solar cells, continue to face retaliatory tariffs in China.

This new round is potentially more serious. Suniva, a bankrupt U.S. solar manufacturer with factories in Georgia and Michigan, made a complaint under Section 201 of the Trade Act of 1974. Unlike the previous instances of renewable trade protectionism, Section 201 cases do not require a determination of unfair trade. Crucially, remedies can be applied against all imports, regardless of where they are manufactured. Suniva has requested a steep minimum import price of $0.78 per watt for modules and $0.40 for cells. The U.S. International Trade Commission will recommend tariffs levels to the White House by Nov. 13.

The case presents a political opportunity for President Trump to follow through on his threat to get tough with China on trade. It also gives him a chance to undermine the competitiveness of a key source of renewable energy. For a president who touts the benefits of “energy dominance” centered on fossil fuels, this may be too tempting to pass up.

NEW YORK, Aug 15 (Reuters) – Americans’ debt level notched another record high in the second quarter, after having earlier in the year surpassed its pre-crisis peak, on the back of modest rises in mortgage, auto and credit card debt, where delinquencies jumped.

Total U.S. household debt was $12.84 trillion in the three months to June, up $552 billion from a year ago, according to a Federal Reserve Bank of New York report published on Tuesday.