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Small business is important to Central Oregon, and to Mid Oregon. Find tips and resources for business, and information about Mid Oregon’s commercial services and business members.
3 Things to Know Before Shopping for a New Car
So, you want a new set of wheels? Don’t want to repeat the mistakes of the last time? Below we share 3 things to know before shopping for a new car.
There are many things to consider before purchasing ANY car, but a NEW car purchase provides a few different questions. There are pros and cons to buying new cars, just as there are pros and cons to buying used cars.
General Considerations
First off, when purchasing any vehicle, ask yourself “Why am I buying this car?” Is it for daily use, will you need a lot of storage space, seating space? Make sure the makes and models you narrow your search down to are practical reflections of how you will use the car.
You may love the look of a larger vehicle, but if you don’t have five children, you might not need that much space and that particular car may not be right for your daily commute and errands.
Here in Central Oregon, we have some special factors to look at. How does that car handle in the snow or ice? How will I transport my mountain bike, or ski’s. Does it have a towing package? Is the clearance high enough to get through my driveway in the snow?
After you’ve considered the personal aspects of which car to buy, move on to the less subjective parts of the process:
1. Depreciation
Most cars depreciate at about 15% per year. With new cars, there is a 20% depreciation rate as soon as you drive off the lot. You want to consider this before you decide to buy a new car, especially if you can’t put much money down as a down payment. Chances are you’ll be upside down on your car loan almost immediately if you’re financing the entire cost.
2. Cost-to-own
Also, consider the true cost to own the car you’re eyeing. These costs include insurance, fuel, maintenance, and more. Maintenance costs vary by manufacturer and model. Do your research—some manufacturers have better reputations than others. Some new cars even come with “free” maintenance plans for the first couple of years or for a certain number of miles.
3. How much can you afford?
Don’t guide yourself solely by what the dealership is willing to lend you. And, don’t be blindsided by an attractive low monthly payment—oftentimes tied to a super-long loan term. Consider all aspects of financing—the total amount you are going to end up paying for that vehicle when it’s all said and done. That’s what matters.
For more information on finding the right new car for you, researching options and available local inventory, take a look at our AutoSmart page today!
When you are ready, you can apply online with us before you even step on the lot. Or, contact Mid Oregon Credit Union with questions. As a not-for-profit financial cooperative, we can approve you for an auto loan that fits your circumstances—and your budget. We won’t put you into a loan you can’t afford, and we’re happy to explain everything to you away from the high-pressure of the dealership. If you have a trade-in, we can help you determine a value for that, too. Or, call us at (541) 382-1795 or email to info@midoregon.com.
2021 Free Shred Day on April 17
Mid Oregon has teamed up with Republic Services to provide free, personal shredding for our members and the community. Join us on Saturday, April 17, for our 2021 Free Shred Day!
Support Healthy Beginnings
There is no cost for shredding services. However, Mid Oregon will accept donations to benefit Healthy Beginnings. This local organization offers free health and developmental screenings for children entering kindergarten.
Safe Disposal of Documents
You can be better protected from fraud and identity theft by shredding any personal documents. On Shred Day, bring up to three boxes or bags of personal documents per vehicle. Documents with staples and paper clips are accepted, too! Please note: commercial or business shredding services will not be provided.
On Saturday, April 17, shredding is available at the following Mid Oregon Credit Union locations:
- 9-11 a.m. Bend (2nd and Olney) and Madras branches
- 12-2 p.m. Prineville and Redmond branches
For specific branch location addresses, visit our website.
Additional Information
Free Shred Day will include measures to ensure the safety of volunteers and shred participants, including:
- Staff and volunteers will wear masks and gloves.
- Vehicles will move to the designated location at the branch.
- Participants will place their materials into bins provided on-site.
- Mid Oregon volunteers and the shred operator will take the bin to complete the shredding.
- Lastly, Healthy Beginnings will be on-site to answer any questions. So, you can make cash or check donation that day at their table, or donate online at https://myhb.org/donate.
We look forward to seeing you at our 2021 Free Shred Day on April 17!
Tax Tips in the Age of Corona
By Jean Chatzky* Everybody breathe. You’ve just been given a month’s reprieve, thanks to the IRS. Because the agency is mired in paperwork, the deadline to file federal and state income taxes has been moved back until May 17. Still, there’s no time like today to get your paperwork in order and get to it. If you prefer to let a professional handle it, there’s still time to bring everything to a tax preparer who can help ensure you are taking all the deductions and claiming every credit you qualify for.
Some lower and middle-income filers have already discovered a bit of good news, in that they are eligible for a larger return than in previous years because of missed or partial economic impact payments, also known as stimulus funds, according to The Tax Foundation, an independent tax policy nonprofit.
Here’s what you need to know to make sure you aren’t leaving money on the table.
Recovery rebate credit
There are at least three ways some Americans can receive additional money in the form of a refundable tax credit on their 2020 individual income tax returns. First, if you didn’t receive one or both of the stimulus payments because of processing delays or other errors, you can claim the rebate recovery credit on your 2020 tax return.
Also, if you earned less money last year than in 2019, you can use your 2020 adjusted gross income when calculating any stimulus-related tax credits you are owed. When determining who was eligible for the stimulus payments in 2020, the government used 2019 and 2018 tax returns to decide who qualified. That means if you received a partial stimulus payment or no payment at all because your income in 2019 was higher than the threshold, you may be able to claim an additional payment if you earned less in 2020 and fell below that threshold.
People who didn’t receive a payment for an eligible dependent, which could include some teens and new babies, should also be able to receive the credit on their returns.
Stimulus payments not taxable income
More good news: Adjustments related to the stimulus payments are only made in a tax filer’s favor, so you won’t see an increase in your tax liability related to those payments, according to The Tax Foundation. Also, people who received a stimulus payment in 2020 should have received a letter informing them that the 2020 stimulus payments are considered tax credits, which means they are not taxable income. Unemployment payments, however, will be taxed.
Taking the home office deduction
With millions of Americans losing their jobs in 2020 because of the pandemic, you may have added a side gig or became officially self-employed and now call part of your home your office. While the eligibility rules for claiming a home office deduction relaxed in 2018, there’s little wiggle room. Employees working from home because of COVID-19 aren’t eligible.
People who are self-employed can take the deduction if they use part of their home ‘regularly and exclusively’ for business. While your home office doesn’t need to be a separate room, it has to be an area where you don’t do anything else. That means it can’t be a kitchen table. Those who qualify can deduct portions of rent or mortgage interest, utilities and insurance, based on the part of your home used as a home office. Or, you can take what’s known as the simplified option that’s worth $5 per square foot of a home office, up to 300 square feet, for a maximum deduction of $1,500.
Make $72,000 or less? File for free
If you have an adjusted gross income of $72,000 or less, you are eligible to use the IRS Free File Program, a public-private partnership between the Internal Revenue Service and tax preparation and filing software groups who provide products at no cost to those who qualify. Learn more at https://www.irs.gov/filing/free-file-do-your-federal-taxes-for-free
* This guest article is from the “Your Money Blog” in ‘Mid Oregon’s Digital Banking Credit Savvy resource’. It is made possible by Savvy Money. “Tax Tips in the Age of Corona” by Jean Chatzky with Casandra Andrews was published in March 2021.