How to Report

Phone fraud, also known as phone scam or phone phishing, is a fraudulent practice in which individuals or organizations attempt to obtain personal or financial information from unsuspecting victims over the phone. Phone fraud can take many forms, such as fake IRS calls, tech support scams, or prize scams.

It is important to report phone fraud to the appropriate authorities to protect yourself and others. Here are some tips:

• Hang up and don’t provide any personal information: If you receive a suspicious phone call, hang up immediately and do not provide any personal or financial information to the caller. Remember that your credit union and other legitimate organizations will never ask for sensitive information over the phone.

• Take note of the caller’s information: Try to gather as much information about the caller as possible, such as their phone number, name, company name, and any other relevant details. This information will be helpful when reporting the fraud to the authorities.

New Car Purchase

Purchasing a new car is a significant financial decision that can greatly impact your budget and lifestyle. With countless options available, it's important to approach the process armed with knowledge and a clear strategy. 

Assess Your Needs and Budget. Before heading to the dealership, take time to evaluate your needs and establish a budget. 

• Purpose: Determine how you’ll primarily use the vehicle. Is it for commuting, family use, or leisure? This will help you decide on the type of car that suits your lifestyle.
• Features: Identify must-have features such as fuel efficiency, safety ratings, cargo space, and technology.
• Affordability: Factor in your current financial situation. Use the 20/4/10 rule as a guideline: make a 20% down payment, finance the vehicle for no more than four years, and ensure that your monthly car expenses do not exceed 10% of your gross income.

Tax Impact

Taking an early distribution from retirement plans—such as 401(k)s or IRAs—can significantly impact your tax situation. Here’s what you need to know about the potential tax implications:

Early Distribution Defined
An early distribution typically refers to withdrawing funds from a retirement account before reaching the age of 59½. The tax implications vary depending on the type of retirement account.

Potential Tax Implications

1. Income Tax

• Early distributions are generally subject to ordinary income tax. This means that the amount withdrawn is added to your taxable income for the year.
• Depending on your total income, this could push you into a higher tax bracket.

2. Early Withdrawal Penalty

• Most early distributions incur a 10% penalty tax on the amount withdrawn.