S bureau of labor statistics inflation forecasts are

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: tatistics Inflation forecasts are made by: 1. Office of Management and Budget 2. Private Economist INTEREST RATES To forecast future inflation, economists watch changes to the Federal Funds Rate. This is an early indicator of how other rates will move and how the Federal Reserve believes it should manipulate the economy to control inflation. Economic Considerations Affecting Financial Decision Making Opportunity Cost Marginal Utility Analysis Marginal Income Tax Rate TIME VALUE OF MONEY FUTURE VALUE - The value of an asset projected to the end of a particular time period. PRESENT VALUE - The current value of an asset that is to be received in the future. Compounding When interest on an investment itself earns interest Making Smart CareerRelated Money Decisions Salary offers in cities with different living costs Flexible benefit plans Health care plans Flexible spending accounts Life, disability and long-term care plans Employer-sponsored qualified retirement plans TaxSheltered Flexible Spending Accounts Care of a dependent under 13 Care of a dependent who is incapable of caring for himself Qualified unreimbursed medical expense EmployerSponsored Qualified Retirement Plans Tax sheltered contributions create larger returns Tax deferred growth enhances earnings Financial Planning Designations CFP - Certified Financial Planner ChFC - Chartered Financial Consultant CPA - Certified Public Accountant AFC - Accredited Financial Counselor MFCC - Mutual Fund Chartered Counselor RIA - Registered Investment Advisor Types of CFP's Commission Only Fee-Based Fee-Offset Fee Only Professional background Length in the field Length in the community References Samples of plans Trade Organizations Compensation Sources Who will I deal with Cost of initial consultation Questions to Ask a Potential Planner...
View Full Document

{[ snackBarMessage ]}

Ask a homework question - tutors are online