Ways To Money

New York – President Obama’ reelection prospects hang in large part on how the economy is doing by Election Day, and perhaps the most obvious yardstick - and the one Americans care most about - is the unemployment rate.

This is hardly lost on Mr. Obama. “The most important thing we need to do is get more Americans back to work,” he said in his Saturday radio address, in which he also previewed a White House forum on Jan. 11 that will feature business leaders who have opted to bring outsourced jobs back to the US.

Though the unemployment rate dipped in December – from 8.7 percent to 8.5 percent – it remains uncomfortably high for an incumbent president seeking reelection. When Obama took office in January 2009 unemployment stood at 7.8 percent, and Republicans will have a heavy cudgel with which to pound him if the jobless rate is worse almost four years later than it was then.

Commenting Friday on the latest unemployment figures, Republican House Speaker John Boehner laid down a marker of sorts: “Today marks the 35th consecutive month of unemployment above 8 percent, and too many Americans continue to struggle to find their next job.”

So, could the unemployment rate sink below 8 percent by Election Day?

It’s possible but not likely, say some leading economists

It all depends on whether the economy can create jobs at the rate of about 268,000 a month between now and November, says Mark Zandi, chief economist at Moody’s Economy.com, in an interview. T

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The Chicago Board Options Exchange (CBOE) will soon permit futures trading in housing through a derivative based on the Radar Logic Composite Price.  According to information released by Radar Logic, a New York City real estate data and analytics company, this derivative will allow institutions both to hedge against downturns in housing prices and to allocate portions of their investment portfolios to housing assets without the search, transaction, and maintenance costs association with purchasing physical properties.  Or, as the background information the company released today says, “RPX futures will allow you to invest in residential real estate without having to mow the lawn.”

It is not our purpose to assist Radar Logic in its promotional campaign nor is this intended as a discussion of the appropriateness of encouraging further speculation in the housing market although that discussion could be a worthy one.  However, the “RPX Housing Market Review” released by the company last week does explain the methodology underlying calculation of the Radar Logic Composite Price and provides a context for anyone who is interested in following this new market.

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Ugh, taxes again? Yeah, unfortunately its time the tax talks start happening. For those who want to get the tax preparation process out of the way should consider heading to the closest Walmart for some free tax prep.

Mid-January of last year the giant retailer partnered with Jackson Hewitt to offer tax preparation services starting at $38 per return. This year, H&R Block and Jackson Hewitt will both be offering free preparation on the 1040EZ forms through February 29.

Starting today, 3,000 Walmart stores across the nation will be host to kiosks from both, H&R Block Inc. and Jackson-Hewitt Tax Service Inc. Each kiosk will have trained preparers ready to help customers complete their tax returns.

You probably will see more Jackson-Hewitt signage though, as the company will be at 2,750 Walmart stores — H&R Block will only be at 250.

After a few years of struggling to retain market share, H&R Block found that offering free tax rep through every means possible, including Walmart is the best tactic to getting people in the door. While H&R Block does advertise completely free preparation of Form 1040EZ, you should be warned that Jackson-Hewitt has a clause saying free 1040 EZ prep is not necessarily the policy at every store (but still offered at some). Cust

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People who purchase stuff from certain websites appreciate the existence of trusted SSL certificates in the site itself. Aside from convenience, online buyers also consider security an essential element when they do their purchases. Before engaging in any online transaction, they make sure that the website that they are doing business with features an SSL Certification.

SSL is a short form for Secure Socket Locker. Trusted SSL certificates are verification tools that show clients that a website is safe from entities that are out to get private client information. With identity theft on the rise, more so during the holidays when consumers purchase a lot of things, its important that sites protect the information their clients provide them. An SSL certificate helps them do just that.

Online businesses that sell products or services to clients must be secure enough for people to entrust them with purchasing information including social security and credit card numbers, home addresses, birth date and many other confidential data. This can be achieved with the help of an entity called a Certificate Authority or an SSL Certification Provider. These companies use a certification that contains information that certifies they are who they say they are and that they are not phishing sites that are out to seize vital information for wicked purposes.

The following are all contained in trusted SSL certificates web site owners name, email address, validity dates of the certificate, and the certification ID.

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Our series about six options if you are underwater on your home has drawn a lot of comments. Some readers are wondering whether they should stay and pay or try to get out. Heres a reader question we received this week:

Dear Stuck,

I can only imagine how stressful this situation is for you, but I think you need more information before you can make a decision. You dont need to go into analysis paralysis but you do need to investigate three things in more detail:

Find out exactly what kind of places are available to rent closer to work in your price range. Dont just look onlinego and look at some places and talk to the landlords so you can get a good idea what they require in terms of first and last, security etc. Get a good feel of whether you could rent an acceptable place for what you are paying now. (And of course check out schools since that will be an important factor with a young child.) If you are in a position to buy in another year or two, consider also looking at homes to rent with an option to buy.

If you discover that youd have to pay a lot more to live closer to work, or if you cant find something acceptable in a decent school district, you may decide that its better to stay put. Or maybe youll discover that for a little more you can get a decent place and save an hour a day in commuting time. You wont know until you hit the pavement and check out whats available.

Find out if you will be on the hook for a remaining balance. If it you have a non-recourse loan, the property is the only collateral for the loan and you can likely walk away without worrying that you will be sued for a deficiency. Many purchase money mortgages in California are structured that way. If you are not sure, make an appointment to talk with a real estate attorney who can review your paperwork with you.

Find out what your tax liability may be. Meet with a tax professional (an enrolled agent or CPA) with experience in handling 1099-C and 1099-A issues to learn whether you would owe taxes on the forgiven balance if you do a short sale or walk away. You may be eligible for the Mortgage Forgiveness Debt Relief Act or the other exceptions or exclusions I outlined in my previous article on this topic. This is an important question because you dont want to be surprised with a large tax bill.

Read: 1099-C In the Mail? How to Avoid Taxes on Cancelled Debt

Since you bought your home for $455,000 and owe $190,000, it sounds like youve lost quite a bit of money that you put into it. That has to be a very tough pill to swallow. It also sounds like you are worried the value can go down further. Its impossible to predict, though, how much further home values will drop or how long they will take to stabilize and then start going up again in your area. That means there is no single right or wrong answer here. Gather some more information and make the best decision you can knowing that at least youve made an informed choice to stay or leave.