Mountain Views News     Logo: MVNews     Saturday, November 17, 2012

MVNews this week:  Page 14



 Mountain Views News Saturday, November 17, 2012 

KNOW…………….. By Patricia Richardson, M.B.A


By Carl Davis, CIMA

COUPLES: Combining Finances.....



The IRS has announced the 2013 pension plan limits. Taxpayers may contribute 
up to $17,500 to their 401(k) in 2013. 

Social Security Wage Base to Increase in 2013 

 The Old Age Survivor›s and Disability Insurance (OASDI) taxable wage base will increase to $113,700 
in 2013. The 2012 wage base is $110,100. The 4.2 percent employee Social Security rate now in effect 
for employees is scheduled to expire at the end of 2012 and will revert back to the 6.2 percent rate 
for 2013, unless the federal government extends or changes the rate. The employer OASDI rate will 
remain at 6.2%. 

Outstanding Federal Loans Increase 2012 FUTA Costs for Several States 

 As of this writing, twenty states, including California, have outstanding loan balances from the 
federal unemployment account. If outstanding balances are not repaid by November 10, 2012, these 
states will become «FUTA Credit Reduction» states for 2012. Employers in FUTA credit reduction 
states will be charged an additional 0.3 to 0.9% on the first $7,000 of employee wages for 2012. 


Several states have already announced that they will be unable to pay their loans, and have been 
deemed as 2012 FUTA credit reduction states:

What else is happening this month?

Thanksgiving is almost here and it is a great time to spend with family and friends. Renew all those 
relationships that are dear to you, but seem to get put on the back burner because life is so busy. I’m 
hosting family dinner at my house and I hope you all are too.

New workshops:

Check for on-line QuickBooks workshops.

Patricia Richardson the owner of Monrovia Computerized Business Service and is a local accountant, educator and 
trainer working to help business owners realize their business mission and vision by empowering them with tools 
and training in areas that may not be their core competency. For additional information, 


If you’re married, engaged or in a relationship where you share day-to-day expenses with a partner, 
broaching the topic of how to blend your finances is essential. It’s a subject every couple should 
discuss and revisit from time to time. For couples thinking about combining their finances for the first 
time, learning to communicate about money, sharing in bill paying, pooling incomes and discussing 
savings and retirement plans are financial steps that should not be overlooked.

Co-mingling finances works differently for every couple, and there are many ways to go about it. 
Making the decision about whether to share everything, maintain independent accounts – or 
something in between isn’t always easy. To avoid confusion about who pays for what and arguments 
over differences in money habits, couples should consider the following while discussing their 
financial choices.

Start with Understanding

A candid conversation about money habits and styles is a great first step to identify how to manage 
funds in a new relationship. If two individuals have very different philosophies when it comes to 
money, keeping some independence may help maintain a healthy relationship and protect your joint 
financial wellness. If you’re on the same page – both savers, for example – togetherness in all things 
financial can create a stronger relationship and financial efficiency. It’s also important to discuss 
different “what if” scenarios. Talk with each other about how much each partner would spend on 
a new furniture purchase or vacation, for example. And remember to discuss how you each would 
approach an unexpected financial event such as a job relocation.

Establish a Working Budget

Relationships bring many shared expenses – monthly rent or mortgage payments, groceries, gas, 
clothing and more. It all adds up. Couples should pencil out their fixed shared expenses together and 
talk about how each expense will be paid. Once an agreement is reached, revisit the monthly budget 
plan periodically to ensure all the bases remain covered. As you work on the budgeting process 
together, you will each gain a better understanding of how your partner approaches money. 

Agree on a Plan

In addition to careful budgeting, couples should agree on how they will combine money to manage 
certain expenses. A good compromise is to establish a joint checking account in which you each 
deposit a portion of your income. Some couples may agree to also maintain individual accounts that 
can be used as each person wishes – no questions asked. Agree on how much money you will save 
together, and to establish an auto-transfer from the shared pool so that saving is easy and automatic.

Communicate Frequently 

Equally important to the budget creation and planning process is ongoing, honest communication 
about money – saved and spent. Couples likely won’t enjoy a healthy financial relationship if secrets 
are kept about money. Set aside time each week to pay bills and talk about money together. These 
planned “money talks” will keep any financial mistakes from affecting other areas of your relationship.

While there may not be a one-size-fits-all solution for blending finances, having regular conversations 
about it is important for all couples – whether newlyweds or retirees. Couples should consider sitting 
down with a financial advisor who can help them talk about different options and determine what 
might work best.

Carl H Davis, CIMA®, CRPC® is a Financial Advisor and Vice President with Ameriprise Financial 
Services, Inc. in Los Angeles , CA He specializes in fee-based financial planning and asset management 
strategies and has been in practice for 36 years. To contact him at 310-954-2566 or via email @, or at 10880 Wilshire Blvd, Los Angeles CA 90024

Brokerage, investment and financial advisory services are made available through Ameriprise 
Financial Services, Inc. Member FINRA and SIPC. 

This communication is published in the United States for residents of California only

© 2012 Ameriprise Financial, Inc. All rights reserved. 
File # 146743

November 24, is designated 
as Small Business Saturday. 
American Express created 
this special day as a way to 
encourage people to do their 
holiday shopping at local 
businesses. #SmallBizSat is 
the Twitter hashtag to use in 
November. Large national 
companies are promoting it so 
why not jump in and encourage 
folks to buy local? 

If you are offering special 
promotion for Small Business 
Saturday, use your social media 
channels to get the word out 
and make it happen.

• Ask people to share 
your posts and pictures on 
• Join the conversation 
on Twitter –use keywords and 
hash tags like #smallbiz and 
• Leverage the buzz 
American Express, Constant 
Contact and other large 
companies are creating around 
Small Business Saturday
• Tell your existing 
customers. Maybe there is an 
incentive for them to spread 
the work or even offer them a 
special “insider deal”
• Use language like 
“Shop Small on 11/24 and help 
the small businesses in your 
community.” “Support Small 
Business Saturday.”
• Collaborate with other 
small businesses
• Make sure to build 
your email list from the traffic 
you get from Small Business 
Saturday. Encourage people 
to stay connected with you by 
“Liking” your Facebook page or 
following you on Twitter.

Have a game plan for follow-
up after 11/24:

• Follow up with an email 
to those people who shopped 
with you, thank them for 
supporting small businesses.
• Encourage repeat 
business with special offers or 
• Take advantage of the 
interest in your business that 
comes from Small Business 
Week. Leverage it to build 
a longer campaign that 
encourages customers to keep 
coming back.

About MJ: MJ and her brother 
David own HUTdogs, a creative 
services business that specializes in 
Social Media Education for business 
owners. Join their conversation on 
Facebook and get good tips and 
tricks about social media, www.

Sign up for their upcoming classes 
and presentations at: www.hutdogs.