Savings

Build your house now: Low lumber prices mean big savings

2007-01-16T21:25:00.000-08:00

Build your house now: Low lumber prices mean big savings

Plummeting lumber prices, combined with relatively low interest rates and stabilized land costs make this an exceptional time to build a house, area homebuilders say.

People can build a more affordable home today than a year ago, said Jim Belanger, president of Tuscany Custom Homes in DeForest.

Raw lumber used in housing construction is probably one- third less expensive than this time last year, he said.

The material costs for lumber should decrease the cost of an average home between $5,000 and $10,000, Belanger said. However, increasing costs for copper and petroleum-based products, such as electrical and roofing materials, over the last year can balance out that savings, he said.

High banking fees discourage savings

2006-12-19T22:36:00.000-08:00

High banking fees discourage savings

Fees charged on savings accounts discourage people from saving, who then use credit more than is needed, the National Credit Regulator said today.

Gabriel Davel, the chief executive officer, testifying at the public hearings of the Competition Commission's Banking Enquiry in Pretoria, said that with the exception of one financial institution the returns on all entry level savings accounts were negative. "If people see negative growth on their savings they stop saving. It is the logical thing to do," Davel told the enquiry which is into its third day of hearings.

He said a study indicated that the negative returns were as much as 19%, if return debit fees were brought into consideration it was as high as 43%. "The effect is that people don't save so when there is a crisis they have to borrow money, which brings on debt," Davel explained.

Raise ISA limit, says savings industry

2006-12-11T00:42:00.000-08:00

Raise ISA limit, says savings industry

LONDON (Reuters) - Industry experts have welcomed government plans to extend tax-free savings indefinitely but called for a rise in investment limits on ISAs.

The 7,000-pound annual limit has been unchanged for seven years.

Ed Balls, Economic Secretary to the Treasury, said on Wednesday the government would simplify the ISA regime and guarantee its future beyond 2010.

The tax-free accounts were introduced in 1999 for an initial 10-year period. Of the 7,000 pounds per year that individuals can pay into an ISA, 3,000 pounds can be held in cash.

Peter Vipond, director of financial regulation and taxation at the Association of British Insurers, said the news acted as a "signal to consumers that the government will provide an environment that encourages a savings culture".

Homeowners: Year-end tax savings await you!

2006-11-21T01:22:00.000-08:00

Homeowners: Year-end tax savings await you!

As the end of 2006 rapidly approaches, there is still time to plan your year-end tax savings. Just one or two savvy real estate transactions can result in saving thousands of tax dollars in this year and future years.

Of course, always consult your personal tax adviser to maximize tax savings. Here are the 10 major year-end real estate tax savings opportunities:

Purchase Bob Bruss reports online.

1. SELL YOUR PRINCIPAL RESIDENCE BEFORE NEW YEAR'S DAY. The biggest tax break available to most taxpayers is to sell your principal residence. If you owned and occupied it at least 24 of the last 60 months before its sale, you can claim up to $250,000 tax-free capital gains (up to $500,000 for a qualified married couple filing a joint tax return).

Internal Revenue Code 121 provides this generous tax break.

New savings bank planned for Plaza

2006-11-09T01:18:00.000-08:00

New savings bank planned for Plaza

Three Kansas City bankers and a Chicago bank owner said Wednesday they are starting a new savings bank on the Country Club Plaza.

Calvin Kleinmann, former executive vice president and private banking head at Gold Bank, will be chairman and chief executive of The PrivateBank — Kansas City. Paul Clendening, former president and founder of First Commercial Bank in Overland Park, will become president and chief operating officer, and Sherman Titens, former marketing director of Gold Banc Corp. Inc., will be a managing director and chief marketing officer.

The new bank is expected to be initially capitalized with more than $17.6 million, Titens said Wednesday.

The group said it planned to immediately open a small loan office serving wealthier clients and entrepreneurs and, as soon regulators approve, a full-service private bank in the Plaza Colonnade building at 48th and Main streets.