Bonus Episode: Finance Friday Live 7/29 | Ep. 128

Key Takeaways

• 1

  Employee Retention Tax Credit (ERC) remains underutilized by eligible employers

  Enacted in 2020 as COVID relief, eligible employers can claim a refundable tax credit equal to 70% of qualified wages against their share of Social Security tax

  Maximum credit is $7,000 per employee per calendar quarter ($14,000 total for 2021)

  Only applies to businesses with employees (LLC S-Corps); sole proprietors typically ineligible as they take owner's draws or 1099 payments

  If not claimed on original filing, businesses should file an amended return to capture this benefit

• 2

  Interest rate hikes are driving up both savings yields and credit costs

  The Fed raised rates by 0.75% (75 basis points) two days before the episode

  Ally Bank raised its savings rate to 1.40% as a direct result

  Credit card interest rates are variable and have already increased since the start of the year

  Fixed-rate loans (most federal student loans, fixed mortgages) are unaffected; variable-rate private loans may rise

• 3

  Always request the full benefits package before accepting a job offer

  A North Carolina Chick-fil-A attempted to pay "volunteers" only in food (5 free entrees per shift) to circumvent employment law; corporate quickly shut it down

  Higher salary can mask weaker benefits; request the "benefits at a glance" sheet or employee handbook during recruiting

  Compare total rewards (pay + benefits) especially when choosing between multiple offers

• 4

  Big Tech is signaling caution amid economic uncertainty

  Amazon, Google, and Meta all used the word "uncertain" repeatedly in recent earnings calls

  Companies are slowing hiring, cutting costs, and preparing to "do more with less"

  Rising interest rates make capital more expensive while supply-chain and demand issues persist

• 5

  Market-maker moves in crypto warrant attention

  Tesla sold $936 million worth of Bitcoin in one transaction

  Large sell-offs by major holders can pressure prices; monitor institutional activity if you hold crypto