Hours of research by our editors, distilled into minutes of clarity.
According to a 2023 survey, 52% of Americans said they would need to earn at least $100,000 a year to be financially comfortable. However, for a family of four, that's not enough money to achieve the American dream (having a degree of economic security) in any of the 50 states.
High interest rates in a competitive market are part of the reason some buyers struggle to close on homes. But this rare mortgage can help. Assumable mortgages allow buyers to take over the original mortgage from the seller, giving them a much lower interest rate.
A 2024 report found the average vacation for one person costs around $2K, with half of those surveyed suggesting they would not travel because of the price. A third of those willing to vacation despite the costs said they were willing to take on debt to pay for it.
Some financial professionals argue that those following the FIRE (financial independence, retire early) movement might be basing their math on too short of a timeline, leaving them without enough money if they live further into old age than expected.
An infographic that shows the most common types of investments used by financial advisors with their clients in 2023 also found that nine in 10 advisors used ETFs, and three-quarters invested in cash and cash equivalents.
Women live longer than men, meaning they’ll likely be retired for longer. Annuities can provide them with a guaranteed income stream during their retirement years, even if the rest of their retirement plan doesn’t last.
Immediate annuities have no accumulation phase and go straight to the annuitization phase, whereas deferred annuities are set up to begin paying out at an agreed-upon date in the future. Annuities can also differ in how they accumulate value (fixed and variable annuities).
In general, how much an annuity will pay out depends on a variety of factors, including how old an annuitant was when they bought it and what type of annuity they bought. Regardless, annuities can provide a guaranteed extra income for retirees.
In the homebuying process, escrow typically happens while the buyer and the seller negotiate the terms of the sale. Escrow accounts can also be used to hold a buyer’s money when making payments on their loan.
When a homebuyer finances with a lender, they aren’t necessarily the one footing the bill. After a buyer secures a home loan, the lender can sell the loan to another financial institution or a private institution. That group can later sell that mortgage to investors. This is called securitization.
The United States is home to more than 33 million businesses, the vast majority of which are small businesses, with millions being created (and others closing shop) every year. These businesses often rely on loans, provide the goods and services that keep the economy flowing, and sometimes even grow large enough to enter public markets or provide private investment opportunities. Explore key topics central to business and finance, from the role of the Federal Reserve to how initial public offerings work, how millions of American students finance higher education, and more.