- Debt-to-Capital Ratio Definition
When deciding which companies to invest in, you can use several ratios to gauge their financial health. The debt-to-capital ratio is a way to measure a company’s ability to withstand downturns based on how its debt obligations and available capital… read more…
- Explaining the Different Types of Insurance Fraud
Insurance fraud can occur during any stage of the insurance transaction by any party involved. This means that applicants, policyholders, third-party claimants, professionals who provide services to claimants, insurance brokers or agents – even companies – may attempt to commit… read more…
- What Is Owner’s Equity?
Owner’s equity is the value of a business that the owner can claim, and consists of total assets minus total liabilities. Both the amount and how much it has changed from one accounting period to another offer insights into a business’s financial condition. Sole proprietors and partnerships use this term. We’ll review what comprises this… read more…
- What Is a Vesting Period?
A vesting period is the time an employee must work for an employer in order to own outright employee stock options, shares of company stock or employer contributions to a tax-advantaged retirement plan. Vesting periods come in a variety of… read more…
- Term Life Insurance vs. Whole Life Insurance
Term life insurance offers coverage for a specific amount of time, while whole life insurance provides lifelong coverage and the potential for a cash value accumulation. When you pass away, your family can use the proceeds from both types of… read more…
- How to Get a Free Credit Report
When it comes to your personal finances, knowing about your credit profile is extremely important. It can determine whether you’re accepted for a home loan, an auto loan, a credit card, rentals, insurance policies or even jobs. Luckily, it’s now… read more…
- What Is a Public Benefit Corporation?
Public benefit corporations, also known as benefit corporations, are for-profit businesses whose charters commit them to social or environmental missions, not just maximizing shareholder value. These corporations take into account how other stakeholders such as communities and the environment will be affected by their actions. Organizing as a public benefit corporation is seen as a… read more…
- What Is EDGAR?
EDGAR, which is short for Electronic Data Gathering, Analysis and Retrieval system, is a massive U.S. government database on the finances of publicly traded corporations that is free to the public. Overseen by the Securities and Exchange Commission (SEC), it… read more…
- How Do Social Security Survivor Benefits Work?
Social Security benefits can serve as an additional income stream for retirement, but they can also be paid out under other circumstances. For instance, Social Security survivor benefits can be paid to the widows, widowers and dependents of eligible workers… read more…
- What Is a Social Security Number?
If you’ve ever applied for a credit card or completed a job application, you’ve probably been asked for your Social Security number. This unique nine-digit number issued by the Social Security Administration is one of your most important pieces of… read more…
- What Is Seed Capital?
Seed capital refers to funds raised to start a business. Also referred to as seed money, seed funding or startup capital, it enables entrepreneurs to transform a viable business idea into a new product or service. While there are other types of… read more…
- Self Review: Credit-Builder Loans and Cards
Self, formerly known as Self Lender, is a financial services company that offers two different products aimed at helping customers with bad or little credit. Its premier offering, called the Credit Builder Account, allows you to receive a credit-building loan in… read more…
- How to Trade the Cup-and-Handle Pattern
A cup-and-handle pattern is the name of a chart pattern used in technical analysis that describes a bullish continuation trend in the price of a security, typically a stock. Traders sometimes use this pattern as a signal about when to buy the… read more…
- What Is a Stock Warrant, and How Do They Work?
A stock warrant is a type of derivative that gives the holder the right to buy a share of a company for a specific price within a set window of time or on a specific date. Companies will often issue… read more…
- Guide to the Put-Call Parity
One of the most important principles in options trading is known as put-call parity. The term describes a functional equivalence between a put option and a call option for the same asset, over the same time frame and on the same… read more…
- What Are Basis Points (BPS)?
When analysts talk about changes to market prices, interest rates or other financial metrics, they often do so in terms of “basis points.” A basis point is equal to a change of 0.01%, useful shorthand in an industry where fortunes… read more…
- The Fear and Greed Index: Definition and Examples
Investors have two primary emotions, fear and greed, according to CNN Money. The news service believes in this so much that it has created a metric around the idea. The Fear and Greed Index measures how investors across the entire… read more…
- What Is a Covered Call?
A covered call is an investment strategy designed to manage risk. In it, investors take two positions: First, they buy a number of shares in a given company. Then, they sell an equal number of call options on that stock.… read more…
- Can Your Social Security Benefits Be Garnished?
Social Security benefits can be garnished depending on the type of payments and debt you owe. These deductions are usually carried out for financial liabilities such as back taxes, student loans, child support payments and more. But there are limitations… read more…
- What Is a Regressive Tax System?
If you’re paying less in taxes as your taxable income increases, you’re likely following a regressive tax system. Regressive taxes offer an inverse relationship between income levels and tax rates; that is, a lower income will typically earn you a… read more…
- Small Business Investment Company (SBIC): Definition and Usage
A Small Business Investment Company (SBIC) is a specialized investment entity licensed and regulated by the Small Business Administration (SBA) to provide critical funding to small businesses in specific industries. These companies play a vital role in fueling the growth of emerging enterprises by leveraging a combination of private capital and government-backed funds. However, to… read more…
- What Is a Progressive Tax System?
The idea of a progressive tax system helps ensure that there is some standard equity in the taxes that individuals with various levels of income incur. At its core, this means you’ll pay more in taxes as your taxable income… read more…
- How Long Does the Underwriting Process Take?
If you’re planning on financing a home through a mortgage, you’ll have to go through the underwriting process. The underwriting process helps mortgage lenders and loan officers review your credit and financial history before approving you for financing. However, for mortgages, the length of the process varies depending on multiple factors. In this guide, we explore… read more…
- When Is Open Enrollment for 2025?
Open enrollment represents the yearly period where employees enroll in employer-sponsored insurance and healthcare plans. During this period, employees typically have the power to select new coverage, change their current benefit and coverage elections or maintain the same coverage they… read more…
- How to Invest $100,000 and Turn It Into $1 Million
As you invest for retirement, becoming a millionaire might be a reasonable goal. Yes, millionaire status is no longer rarefied air, and depending on your income needs, having at least $1 million in the bank might be necessary to last… read more…