Inland Valley News

^{Although there are some signs that the stock market may be recovering from the recent financial crisis, perhaps it’s a good time for entrepreneurs to rethink their investment strategy and review proven methods of saving cash – Certificates of Deposit and Money Market Accounts.}

^{Certificates of Deposit}

^{Better known as CDs, time deposits allow you to invest a fixed sum of money for a fixed term. In return for your deposit, the bank guarantees you an interest rate – usually higher than a savings account. A drawback is there is usually a penalty for early withdrawal of funds, which might make it difficult if you need the cash before the CD matures. The advantages to using CDs include:}

^{· FDIC-insured. CDs have the benefit of being FDIC-insured on deposits of up to $250,000 per depositor depending on account ownership.}

^{· Yield. When you buy a CD, you may consider the rate that you will yield on your money.  If you’d like to see how much interest you can earn on a Certificate of Deposit, you should look for interest-earning calculators on financial institution Web sites.  This tool will help forecast a detailed schedule of your CD’s balance and interest earned, showing you how your money could grow.}

^{· Options. There are Non-IRA CDs and IRA CDs that have different features and restrictions on minimum account openings, interest rates (with IRA CDs interest rates can be variable), service charges, deposits.  Please be sure to ask your banker for details before you open your account.}

^{Money Market Accounts}

^{If you need quicker access to your cash, consider high yielding money-market deposit or savings accounts. Unlike CDs, with these investments you can access your money the day after you open the account. Since these generally have higher minimum deposit amounts than a regular checking account, the rate of interest paid is higher. Money market accounts offer other benefits including:}

^{· Check-writing privileges. You may also have check writing privileges, but usually there is a limit on the total number of transactions that you can make each month. As with bank accounts, the funds in money market accounts are insured by the FDIC.}

^{· Interest earned. Interest is variable depending on market rates and is compounded and paid monthly. Interest is also tiered, meaning the more money you have in an account the more interest you can earn.}

^{· Immediate access to money. Being able to access your funds may make these accounts more inviting to some wary investors. With money market accounts you can obtain cash when you need it and there are no penalties for withdrawing out funds.}

^{The foregoing article is intended to provide general information about investment strategies for business owners and is not considered financial or tax advice from Union Bank.  Please consult your financial or tax advisor.}

^{Lawrence Henry is a senior vice president and regional manager for Union Bank, N.A., a full-service commercial bank providing an array of financial services to individuals, small businesses, middle-market companies, and major corporations. As of May 10, 2010, the bank had 397 banking offices in California, Oregon, Washington and Texas and two international offices. UnionBanCal Corporation is a wholly-owned subsidiary of The Bank of Tokyo-Mitsubishi UFJ, Ltd., which is a subsidiary of Mitsubishi UFJ Financial Group, Inc. Union Bank is a proud member of the Mitsubishi UFJ Financial Group (MUFG, NYSE:MTU), one of the world's largest financial organizations. Visit www.unionbank.com for more information.}

<sup>The problem of high teen unemployment has risen to its highest levels in some 50 years. Though the nation's overall unemployment rate stood at 9.5% in June, it's triple that for those aged 16 to 19, the Labor Department reported earlier this month.

That daunting statistic alone is reason enough to take another look at teen joblessness. But adding insult to injury is news that working seniors now outnumber teens in the workforce.

Data compiled by Bloomberg News show that 6.6 million people aged 66 and older worked or looked for work in the first six months of the year, compared to 5.9 million 16- to 19-year-olds. The analysis is based on federal records that started in 1948, when there were 4.4 million teens in the labor force, compared with 2.9 million people over age 65, the San Francisco Chronicle reported.

Shrinking Nest Eggs, Delayed Retirement

It's not surprising that seniors are working longer. The phenomenon has been ongoing ever since companies shifted in the mid-1990s to defined-contribution retirement plans, such as 401(k)s, away from defined-benefit plans, says Christy Huebner Caridi, director of the Marist College Bureau of Economic Research in Poughkeepsie, N.Y.

Stunned by setbacks to retirement savings caused by the bursting of the tech and housing bubbles, many older workers have found it necessary to stay on the job (or resume work) to replenish nest eggs. Further eroding seniors' savings are higher taxes and increased health-care costs.

"There's no question older workers are staying in the labor force longer," Caridi says, adding that evidence shows in doing so, they're displacing younger workers -- "certainly in the unskilled labor pool."

Teens Miss Out on Learning Basic Skills

Other changes, which began to take hold in the late '80s and early '90s, have affected teens' participation in the labor pool. They include a rise in student enrolment in summer school, Caridi says. In 1989, 19.4% were in summer school, but in 2009, that number climbed to a whopping 53%. While some students both work and go to school, data suggest that for the most part, students who go to summer school don't also carry jobs, she says.

Another trend, Caridi cites, is community service, a component of many states' educational requirements for graduation, which cuts into many teens' ability to take summer employment.

Economists fear that fewer teens in the workforce means many aren't learning basic skills, such as discipline and motivation, needed to compete effectively in the labor market. "Labor economists have shown again and again that work experience is an important factor in lifetime earnings," Michael W. Brandl, finance professor at the University of Texas at Austin, told this column last week.

Dwindling Purchasing Power of Teen Wages

The need for more teen hiring has led some labor experts to call for a reduced "training" wage for teenaged workers. "We need to create a lower minimum wage for teens to lower the cost of hiring and training entry-level employees," Michael Saltsman, a research fellow at the conservative Employment Policies Institute, told the Chronicle. "What we would get for this is more jobs for our teens to learn career skills."

On one point, Marist's Caridi agrees. It's a valid argument that many of today's young workers don't have the skill set to work in a new-economy environment, and any needed additional training can present a burden to employers, she says. But that doesn't mean the current minimum wage is the problem.

"The truth of the matter is that the purchasing power of current minimum wage earners is much lower than it was," Caridi says.

Even at $7.25 an hour, today's youth are earning less than their counterparts did, for example, in 1968, when the minimum wage was set at $1.60 an hour. A worker today would need to earn $10 an hour to match that wage, according to the Bureau of Labor Statistics' inflation calculator.

Political Block

Caridi notes further that high teen unemployment isn't relegated to certain groups. Though unemployment rates may be higher among minority youth, she says, "the collapse in teen employment is across the board."

Whether Congress and the President have the courage to implement programs to deal with high unemployment remains to be seen. But with the GOP openly opposed to even extending unemployment benefits to the long-term jobless, that seems unlikely -- giving many teens an important lesson on how difficult the real world can be.</sup>

1. Federal appliance rebates are going fast ...

The government's Cash for Appliances program, which lets you score rebates for about $50 to $500 swapping energy guzzling appliances for more efficient models, has gotten lots of attention.

But don't count your greenbacks just yet. The incentives, which are administered through the states, are typically doled out on a first-come, first-served basis, and in many locales the money is already gone. Florida's program, for example, closed just 36 hours after it opened. But some states, such as Michigan, still had plenty of cash in their coffers at the end of May, and other initiatives didn't launch until June. To check the status of the program in your state, go to energysavers.gov/financial.

2. ... But most states offer their own programs too

Even if you can no longer qualify for a Cash for Appliances rebate, you may still be able to get cash back from the more than 600 programs run by utilities and over 100 state programs that offer incentives for boosting your home's energy efficiency, says Justin Barnes, policy analyst with the North Carolina Solar Center. In Oregon, for example, you can get a $75 rebate on an Energy Star washer, and $30 for recycling an old fridge. See dsireusa.org for info on your area.

3. And you may have two more chances to get federal funds

Through the end of 2010, you can claim a $1,500 federal tax credit for up to 30% of the cost of many energy-related improvements.

When a home energy audit pays

There's also the so-called Cash for Caulkers bill, which was passed by the House in May and could soon become law. It would give homeowners hefty rebates on a variety of energy saving projects.

Even if you take the tax credit this year, you may still qualify for a Cash for Caulkers rebate, says Ronnie Kweller, a spokesperson for the Alliance to Save Energy, a nonprofit group.

4. Before you grab a rebate, do the math

Getting cash back might help you justify the purchase of, say, that snazzy new stainless-steel fridge you've been eyeing. But other projects may give you greater savings. "If your home has bad insulation, a super efficient heating system won't do much," says Mark Cannella, partner with Pro Energy Consultants, an energy auditing firm.

Not sure where your money is best spent? A comprehensive home energy audit, which will pinpoint your leaks, runs about $400. But some states or utilities conduct basic audits for free or will reimburse some of that cost.

5. Don't forget that small projects can still pay big

There are plenty of ways to save energy without spending a lot. Every degree you go up or down on your thermostat will knock 2% off your annual heating and cooling costs; replacing your five most frequently used bulbs with compact fluorescents can lop $70 a year off your energy bill, says Lizzie Rubado, a senior project manager with Energy Trust of Oregon.

Finally, ditching that old fridge you've relegated to the garage for storing extra drinks will save about $200 or more a year. You may find you can justify an appliance upgrade after all -- rebate or not.

(NAPS)—Whether you’ve just entered the workforce or you’re an established professional with the desire to achieve even more success, career advice based on experience can be helpful.

Here are a few tips from managers at GEICO, a major insurance corporation, on how to build a more successful career:

• It’s important to find a balance between your work life and your personal life. Trying to train for a marathon and win that big account? Want to attend your child’s field trip and listen in on that conference call? To do both, you have to keep the lines of communication open at work and at home. Make sure everyone knows what your goals are and what you are doing to attain them.

• Have faith in yourself. Have confidence and make sure your voice is heard. Speak clearly and with assurance so that you and your best ideas can get noticed—and implemented.

• Do your best. While it sounds simple enough, it’s not always easy. Staying focused on always doing your best can keep your efforts on track and help to make your work and family life more fulfilling and gratifying.

• Change can be a good thing. If you want to initiate a change within your company, go for it! Just make sure you can make a legitimate business case for your proposal. How will your proposed changes help the company reach its goals, save money and help increase productivity? If you can show how your company can benefit from your proposal, then your ideas have a better chance to be heard.

• Plan ahead. Sometimes, you just have to expect the unexpected, but for everything else, you should have a plan. A realistic plan can help to make your life and the lives of those around you much easier and less stressful.

For more tips or if you are thinking of making a career move, visit GEICO’s Career Page, http://careers.geico.com.

Founded in 1936 as the Government Employees Insurance Company, GEICO now serves nearly 10 million policyholders.

Please visit the GEICO Careers Web site for more information.

It’s important to find a balance between your work life and your personal life. Keeping the lines of communication open at work and at home is key.