Finance News

Finance News
Four Tips for Saving on Child Care Costs

According to the National Association of Child Care Resource and Referral Agencies, full–time child care can reach up to $14,000 a year for a single infant. And while child care is the last thing you want to be cheap about, there are a few proven and practical ways to limit your costs, which can really help in today's tough economy.

Let Uncle Sam Chip In – Working parents can claim up to $3,000 for one child and up to $6,000 for two or more children on their 2008 income taxes for qualified child care expenses. Ask your tax professional about the Child and Dependent Care Credit to see if you qualify for this valuable credit.

It's important to note that this credit can be reduced if you have a dependent–care flexible spending account (FSA) through your employer. These special accounts allow employees to set aside pretax dollars up to $5,000 for qualified expenses. Find out if your employer offers this program and discuss the benefits of each option with your tax preparer. If you need a referral to a qualified tax professional you can trust, don't hesitate to give us a call.

Don't Discount Your Employer – Be sure to ask your employer about any other child care programs it might offer. It's not uncommon for companies to negotiate discounts in your area that can offset expenses and travel time. Also, find out if your employer offers flex time or telecommuting, even on a short–term or part–time basis.

Schedule for Success and Savings – For many couples, a simple change in schedule can cut down on the amount of child care you need each week. While having one spouse work the day shift and the other work the night shift might eliminate child care altogether, this could be very stressful on your relationship. But what if you just altered your schedules slightly? For example, if one spouse works from 7 am to 3 pm and the other works 10 am to 6 pm, this would cut down on child care and might not affect your time together as much. For couples who work together or even close together, working the same schedule could be more beneficial to child care costs and your marriage.

The right school program combined with the right work schedule can significantly reduce your child care needs. Some public schools offer pre–kindergarten programs, often for free, and many schools also offer before– and after–school care for older children at much lower rates than child care professionals.

Share with Friends And Family – While finding a relative to help out would be ideal, hiring a nanny with a few relatives or a few good friends is also a great option. This will allow you to share the cost of child care and pay less individually for each child.

by
Lisa Warren
Southlake Branch Manager
Silver Oak Mortgage
Phone: (817) 410-2518
Fax: (817) 410-2519
lwarren@somlp.com
www.silveroakmortgagelp.com

DATES TO REMEMBER

Holiday Happenings in the area.....

Nov. 14 - Jan. 3 - ICE! and Lone Star Christmas (Grapevine)

Nov. 22 - Jan. 4 - The Trains at North Park (Dallas)

Nov. 28 - Jan. 4 - Holiday in the Park (Six Flags in Arlington)

Saturday, Nov. 22 - 3:00 to 9:00 pm

Home For the Holidays (Southlake Town Square)

Tree lighting at 6:30 pm

Saturday, Nov. 22 - 24 - www.SouthlakeFestivalofTrees.com

Friday, Nov. 28 - FW Sundance Square

2:00 to 5:30 pm - Holiday Fun Zone

6:00 to 8:00 pm - Parade of Lights and Tree Lighting

Nov. 29 - Dec. 21 - Snowflakes, Sugarplums, and SANTA! (Fort Worth)

Saturday, Nov. 29 - 6:00 to 8:00 pm

Hurst Annual Tree Lighting Spectacular

Monday, Dec. 1 - 7:00 pm

Historic downtown Grapevine Carol of Lights

Thursday, Dec. 4 - 7:00 pm

Historic downtown Grapevine Parade of Lights

Friday, Dec. 5 - 6:00 to 9:30 pm

Holly Days at Keller Town Center

Saturday, Dec. 6 - 10:00 am

Neiman Marcus Adolphus Children’s Parade Dallas

Saturday, Dec. 6 - 4:00 to 8:00 pm

NRH Night of Holiday Magic at NRH20 Family Waterpark

Saturday, Dec. 6 - dusk

Twinkle Light Parade on Grapevine Lake

Happy Holidays!!!

Foreclosure Prevention

The two secondary-mortgage-market companies are well aware of the market pain and are taking a number of steps to provide relief, particularly to prevent foreclosures.

Among other things, Freddie Mac is allowing lenders to modify their at-risk loans into 40-year, lower interest-rate mortgages and to reduce borrowers' burdens by permitting them to roll up to six months of missed payments into what amounts to an unsecured second loan. The two companies are also ramping up their staff and adjusting compensation so their internal structure better matches the size and complexity of the processing demand they face.

What’s more, to help facilitate short sales, Lockhart’s agency will be releasing a large-scale, streamlined, standardized process for expediting short sales, which he said will give lenders flexibility and tools like principal forbearance that they can’t easily use right now.

But Lockhart made it clear that the bulk of the problem isn’t with Fannie and Freddie loans, but debt in what the financial services industry calls private-label securities, the Wall Street loans, many of them subprime, that are held by investors all over the world.

The streamlined short sale process his agency will be announcing soon—he didn’t give a time line—could go a long way to focusing the minds of lenders on the problem. But ultimately the problem won’t go way until interest rates come down, buyers start streaming back into the market again, and prices firm up, he suggested.

—Robert Freedman
Realtor Magazine