BEAT," THE IMPACT OF RAISING THE MINIMUM WAGE.

>> IN ORDER TO COMPENSATE FOR THAT, WE HAVE TO RAISE OUR PRICES.

>> THE BUSINESS COMMUNITY SAYS IT WILL IMPACT THEIR OPERATIONS AND WHY ADVOCATES SAY MINIMUM WAGE IS STILL TOO LOW.

>>> PLUS, TRAINING THE FIRST GENERATION OF CANNABIS INDUSTRY WORKERS.

HOW ONE UNIVERSITY WILL PUT STUDENTS ON A PATH TOWARD A CANNABIS CAREER.

>>> AND GETTING YOUR FINANCES IN ORDER FOR THE NEW YEAR FROM MANAGING DEBT TO BIG CHANGES FOR RETIREMENT ACCOUNTS, AND HOW MILLENNIALS CAN BUILD WEALTH IN THEIR ADULT YEARS.

THAT'S AHEAD ON "NJ BUSINESS BEAT."

♪ >> Announcer: THIS IS "NJ BUSINESS BEAT" WITH RHONDA SCHAFFLER.

>>> HELLO, I'M RHONDA SCHAFFLER, THANKS FOR JOINING ME ON "NJ BUSINESS BEAT."

THE NEW YEAR BRINGS NEW HIGHER WAGES FOR THOUSANDS OF NEW JERSEY WORKERS AS WELL AS RENEWED DEBATE OVER HOW MUCH IS A LIVING WAGE.

NEW JERSEY'S MINIMUM WAGE INCREASED TO $14.13 AN HOUR ON JANUARY 1st.

UNDER STATE LAW THE MINIMUM WAGE IS SUPPOSED TO GO UP A DOLLAR A YEAR, BUT THE EXTRA 13 CENTS WAS ADDED TO ACCOUNT FOR INFLATION.

MANY BUSINESSES IN THE STATE ALREADY PAY WELL ABOVE THAT ACCORDING TO NJBIA PRESIDENT AND CEO WHO SAYS HIGHER SALARIES ARE NEEDED TO ATTRACT AND KEEP WORKERS BUT FOR SMALLER COMPANIES THE NEW MINIMUM WAGE IS AN ADDED COST WHEN A TIME WHEN INFLATION IS ALREADY TAKING A BITE OUT OF PROFITS.

MEANTIME, ADVOCATES AND LOW-WAGE WORKERS SAY THE CURRENT MINIMUM WAGE SIMPLY DOES NOT GO FAR ENOUGH.

>> IF YOU WORK EIGHT HOURS, EIGHT HOURS A DAY, HOW MUCH WILL THERE BE AT THE END OF THE DAY?

AN EXTRA $8.

THAT'S -- THAT'S LIKE I MENTIONED BEFORE, YOU CAN BUY COFFEE AND THAT'S IT.

>> THOSE ARE BASICALLY BIGGEST THREE EXPENSES, PAYROLL, INGREDIENTS AND PAPER GOODS AND THEY HAVE ALL SKYROCKETED OVER THE PAST COUPLE YEARS AND, AGAIN, IN ORDER TO COMPENSATE FOR THAT WE HAVE TO RAISE OUR PRICES.

>> DESPITE RECESSION WORRIES AND A FEW HIGH PROFILE COMPANIES ANNOUNCING LAYOFFS, THE U.S. JOB MARKET IS STILL STRONG.

THE GOVERNMENT'S MONTHLY JOBS REPORT SHOWED COMPANIES ADDED 223,000 NEW JOBS IN DECEMBER.

THAT WAS ABOVE EXPECTATIONS.

MUCH OF THE HIRING WAS IN THE HOSPITALITY AND HEALTH CARE SECTORS.

THE PACE OF JOB GROWTH DID SLOW FROM THE PRIOR MONTH AND WAGE GROWTH IS ALSO SLOWING A BIT, WHICH COULD BE A SIGN THAT INFLATION PRESSURES ARE FINALLY EASING.

A NEW WORKFORCE DEVELOPMENT PROGRAM IN NEW JERSEY WILL BE AMONG THE FIRST OF ITS TYPE IN THE NATION, IT'S A PILOT APPRENTICESHIP PROGRAM DEDICATED TO TRAINING WORKERS IN THE CANNABIS INDUSTRY AND IT WILL BE LAUNCHING AT ROWAN UNIVERSITY LATER THIS YEAR.

THE STATE HAS PROVIDED $325,000 FOR THE PROGRAM AND THERE ARE SEVERAL INDUSTRY PARTNERS TEAMING UP WITH THE SCHOOL.

EVEN BEFORE THE LAUNCH THIS PROGRAM IS ATTRACTING A LOT OF ATTENTION, OTHER PARTNERS WANT TO COME ON BOARD.

WE SAT DOWN WITH TONY LOMEN PROVOST AND SENIOR VICE PRESIDENT OF ACADEMIC AFFAIRS AT ROWAN TO FIND OUT MORE.

>> THANKS SO MUCH FOR JOINING ME TODAY ON "NJ BUSINESS BEAT."

>> THANK YOU, IT'S MY PLEASURE TO BE HERE.

>> SO THIS APPRENTICESHIP PROGRAM IS PRETTY UNIQUE, IT'S GOING TO BE AMONG THE FIRST IN THE NATION.

WHY WAS THE TIMING RIGHT FOR SUCH A PROGRAM LIKE THIS IN NEW JERSEY?

>> THERE'S A TREMENDOUS NEED FOR THE WORKFORCE AND AT ROWAN THAT'S REALLY SOMETHING WE EMPHASIZE IN OUR EDUCATION IS PROVIDING PATHWAYS FOR STUDENTS AND FOR NEW JERSEY RESIDENTS TO GET MEANINGFUL JOBS, AND WE SAW A GAP THAT THERE WAS THE NEED FOR THE WORKFORCE, WE SAW THE TRADE UNIONS IDENTIFY THAT THERE WAS A GAP AND I THINK EVEN MORE IMPORTANTLY THE NEW JERSEY DEPARTMENT OF LABOR IDENTIFIED IT.

SO IT WAS REALLY THREE GROUPS LOOKING AT A HOLE AT THE SAME TIME AND SITTING DOWN TOGETHER AND DOING IT.

I'VE SAID THIS TO OTHER PEOPLE BEFORE, YEAH, WE SPENT A LOT OF -- A LOT OF HOURS HAMMERING OUT THE DETAILS, BUT IN TERMS OF THE SCOPE, HAVING IT COME TOGETHER AS QUICKLY AS IT DID WAS RATHER UNIQUE AND REALLY REWARDING.

>> HOW QUICKLY IS THIS LAUNCHING AND HOW MANY PARTICIPANTS WILL THE PROGRAM HAVE?

>> WE WERE ANTICIPATING 20 STUDENTS STARTING THIS SPRING, BUT -- BUT SINCE THIS HAS BEEN ANNOUNCED WE'VE HAD SO MANY COMPANIES COMING OUT AFTER READING ABOUT THIS SAYING, HEY, WE WANT HELP, TOO.

SO RIGHT NOW WE'RE LOOKING AT, YOU KNOW, WHAT IS OUR CAPACITY?

I THINK -- I THINK 20 IN THE SPRING IS PROBABLY GOING TO BE A VERY CONSERVATIVE ESTIMATE.

I IMAGINE WE COULD BE AT DOUBLE THAT NUMBER IF ALL OF THE PARTNERSHIPS WE ARE TALKING ABOUT BREAK RIGHT.

AND I COULD PROBABLY SEE THAT NUMBER DOUBLING AGAIN THE FOLLOWING YEAR.

>> YEAH, THAT'S AMAZING, THE ENTHUSIASM YOU'RE SEEING FOR THE PROGRAM.

HOW WILL IT WORK FOR STUDENTS?

HOW WILL THEY GET THIS HANDS ON EXPERIENCE THAT WILL ENABLE THEM TO LOOK FOR CAREERS IN CANNABIS?

>> SOME OF THE FIRST ONES REALLY ARE GOING TO BE IDENTIFIED THROUGH THE UNIVERSITY, BUT ALSO THROUGH THE PARTNERS.

I KNOW SOME OF THESE COMPANIES ARE -- ARE BRINGING SOME OF THEIR PEOPLE FOR THIS TRAINING BECAUSE GETTING THEIR TRAINED WORKFORCE, YOU KNOW, IS CRITICAL TO THEM.

AND THEN IN THE MEANTIME AS WE RECRUIT STUDENTS INTO THIS PROGRAM, NOT JUST THROUGH ROWAN, BUT THROUGH THE ROWAN COLLEGE OF SOUTH JERSEY PATHWAY, WE CAN MATCH THEM UP WITH SOME OF THE INDUSTRY PARTNERS THAT HAVE RECENTLY COME FORWARD AND ARE GOING TO BE LOOKING FOR WORKFORCE.

>> IN TERMS OF THE PROGRAM, HOW LONG DOES IT LAST?

IS IT A FEW SEMESTERS OR WHAT IS THE TIME FRAME FOR IT?

>> SO THERE'S AN INITIAL CERTIFICATION THAT GETS DONE IN A YEAR THROUGH A COUPLE SEMESTERS, BUT THE VISION FOR THE PROGRAM IS AFTER THE FIRST ROUND OF CERTIFICATIONS THAT MEET THE APPRENTICESHIP STANDARDS WE'RE BUILDING OUT OPPORTUNITIES FOR STUDENTS TO STACK CREDENTIALS ON TOP OF THAT.

>> WELL, GOOD LUCK WITH IT.

WE WILL BE FOLLOWING YOUR PROGRESS.

THANKS FOR TAKING SOME TIME TO TALK TO ME ABOUT IT TODAY.

>> SURE.

THANK YOU VERY MUCH.

>>> A LOT OF US MAKE NEW YEAR'S RESOLUTIONS AND A POPULAR ONE IS TO GET YOUR FINANCES IN BETTER SHAPE.

A FIDELITY INVESTMENT SURVEY OF THE TOP FINANCIAL RESOLUTIONS FOR THE NEW YEAR FINDS MOST PEOPLE WANT TO SAVE MORE MONEY, PAY DOWN DEBT AND SPEND LESS MONEY.

THIS WEEK WE'RE PUTTING YOUR FINANCIAL HEALTH IN FOCUS PROVIDING INSIGHT INTO MAKING 2023 A BETTER YEAR FOR YOU AND YOUR MONEY.

HERE IN NEW JERSEY THE AVERAGE HOUSEHOLD INCOME IS A LITTLE MORE THAN $85,000, WHICH IS HIGHER THAN THE NATIONAL AVERAGE OF AROUND $70,000.

AS A NATION, WE ARE SWIMMING IN DEBT.

THE NEW YORK FEDERAL RESERVE SAYS TOTAL HOUSEHOLD DEBT NOW STANDS AT $16.5 TRILLION DUE IN PART TO A BIG JUMP IN CREDIT CARD DEBT THIS YEAR.

ACCORDING TO EXPERIAN THE AVERAGE CONSUMER DEBT IN NEW JERSEY WAS OVER $105,000 IN 2021.

MORTGAGE LOANS ARE THE LARGEST COMPONENTS OF A CONSUMER'S BUDGET.

HERE IS A LOOK AT THE AVERAGE NATIONAL CONSUMER DEBT BALANCE BY CATEGORY.

AVERAGE MORTGAGE DEBT IS ABOVE $220,000, STUDENT LOAN DEBT IS OVER $39,000, AUTO LOANS, NEARLY $21,000, PERSONAL LOANS TOPPED $17,000 AND CREDIT CARD DEBT ON AVERAGE IS ABOVE $5,000.

EVERYONE HAS TO BALANCE PAYING DOWN DEBT WITH SAVING FOR THE FUTURE.

IT'S A CHALLENGE FOR YOUNGER PEOPLE TO SAVE, BUT NEST EGGS GROW BY THE TIME YOU ARE OLDER.

HERE IS A LOOK AT HOW MUCH THE AVERAGE PERSON HAS SAVED FOR RETIREMENT.

FOR THOSE UNDER 35, THEY'VE SAVED MORE THAN $30,000.

THOSE BETWEEN THE AGES OF 35 AND 44 HAVE SAVED NEARLY $132,000.

FROM 45 TO 54 THE AVERAGE SAVING EXCEEDS $250,000.

FOR THOSE NEARING RETIREMENT THERE'S A BIG JUMP IN THE AMOUNT OF MONEY SOCKED AWAY WITH SAVINGS OF $408,000 AND FOR THOSE 65 PLUS RETIREMENT SAVINGS AVERAGE $426,000.

KEEP IN MIND THESE ARE AVERAGES, PERSONAL FINANCE IS JUST THAT, PERSONAL.

EVERYONE'S SITUATION IS UNIQUE AND THAT'S SOMETHING YOU SHOULD KEEP IN MIND AS YOU THINK ABOUT HOW TO IMPROVE YOUR FINANCIAL WELL-BEING IN 2023.

I TALKED ABOUT THAT AND A LOT MORE WITH BOBBI REBELL A BUSHINGEN COUNTY NATIVE AND PERSONAL FINANCE EXPERT, SHE IS THE FOUNDER OF FINANCIAL WELLNESS STRATEGIES AND AUTHOR OF THE BOOK "LAUNCHING FINANCIAL GROWN-UPS."

BOBBI, WELCOME TO "NJ BUSINESS BEAT."

FIRST OF ALL, GREAT TO SEE.

>> YOU THANK YOU FOR HAVING ME.

>> BOBBI, AT THE START OF THE NEW YEAR A LOT OF PEOPLE MAKE RESOLUTIONS ABOUT THEIR FINANCES.

WHAT IS ONE OF THE FIRST THINGS YOU SHOULD DO WHEN YOU THINK ABOUT GETTING YOUR PERSONAL FINANCIAL SITUATION IN ORDER?

>> WE TEND TO GET REALLY EXCITED WHEN THE CALENDAR TURNS, WE WANT TO DO A RESET AND WE HAVE HUGE AMBITIOUS GOALS, THE PROBLEM IS WE FALL OFF THE WAGON, DON'T ACCOMPLISH THEM, GET DISCOURAGED AND SAY, WELL, I'LL DO IT NEXT YEAR.

THE OTHER SIDE ESPECIALLY THIS YEAR BECAUSE WE HAVE SO MUCH TO WORRY ABOUT, WORRIED ABOUT A RECESSION, INFLATION, WORRIED ABOUT OUR OWN JOBS THAT WE TEND TO SOMETIMES DOWNSIZE THOSE GOALS BECAUSE WE WANT TO SCALE IT BACK AND NOT BE TOO AMBITIOUS, WE'RE AFRAID.

THE PROBLEM THERE IS YOU DON'T GET TO WHERE YOU WANT TO GO IN TERMS OF YOUR OWN GOALS.

>> SHOULD PEOPLE THINK ABOUT SAVING MORE, SPENDING LESS, WORKING DOWN THEIR DEBT?

ALL OF THE ABOVE?

>> WE GET SO MUCH NOISE OUT THERE HEARING ABOUT THE DISTRESS IN THE ECONOMY THAT WE FORGET THAT'S NOT NECESSARILY IMPACTING US.

YOU WANT TO FOCUS ON WHAT'S RIGHT FOR YOU.

IF YOU FEEL SECURE IN YOUR JOB, FOCUS ON YOUR GOALS THAT YOU WOULD HAVE FOCUSED ON ANYWAY WHICH OF COURSE MEANS MAKING SURE YOU HAVE THAT BACKUP CASH WE KNOW WE WANT TO HAVE AND I KNOW PEOPLE GET FRUSTRATED THAT THEY ARE NOT EARNING THE MONEY THEY WANT TO INVEST T BUT YOU DO WANT THAT EMERGENCY CASH CUSHION AND YOU CAN EARN MORE MONEY ON THAT CASH CUSHION THAN EVER BEFORE.

YOU ALSO WANT TO FOCUS ON MAINTAINING YOUR INVESTING, MAKING SURE YOU'RE STILL CONTRIBUTING TO YOUR RETIREMENT FUNDS.

IF YOU HAVE IT AVAILABLE AT WORK, MAKE SURE YOU HAVE AUTOMATIC SYSTEMS IN PLACE WHERE YOU INCREASE BY A CERTAIN PERCENTAGE EVERY, LET'S SAY EVERY QUARTER, EVERY HALF YEAR, WHATEVER IT MAY BE.

IF YOU ARE WORRIED ABOUT YOUR JOB, OBVIOUSLY YOU WANT TO FOCUS ON PAYING DOWN DEBT, BUILDING UP THAT EMERGENCY FUND AND, AGAIN, EXPANDING THAT SKILL SET.

MAYBE TAKING ON A LITTLE BIT OF A SIDE HUSTLE, SO YOU HAVE THAT BACKUP INCOME STREAM IN CASE SOMETHING DOES HAPPEN.

>> YOU MENTIONED LOOKING AT THE HOUSEHOLD AS A WHOLE.

YOU HAVE BECOME AN EXPERT IN ONE PART OF THAT AND THAT IS HOW YOU GET YOUR YOUNG ADULT CHILDREN KIND OF SET UP FOR SUCCESS FINANCIALLY.

WHAT HAVE YOU LEARNED ABOUT THE DIFFICULTY IN THAT JOURNEY AND WHAT ADVICE WOULD YOU GIVE NOT JUST TO PARENTS, BUT TO YOUNG PEOPLE?

>> WHAT I SAY TO PEOPLE IS DO YOUR BEST.

TEACH FROM YOUR MISTAKES.

THAT'S OKAY.

TEACH FROM YOUR SUCCESSES.

TELL YOUR CHILDREN THIS IS SOMETHING I'VE LEARNED ALONG THE WAY.

THE MOST IMPORTANT THING FOR PARENTS AND CHILDREN IS TO LISTEN TO EACH OTHER.

VERY OFTEN WE HAVE IDEAS ABOUT WHAT WE WANT FOR OUR CHILDREN BUT SOMETIMES THAT'S NOT IN SYNCH WITH WHAT THEY WANT FOR THEMSELVES.

>> I'M HAPPY TO REPORT WE'RE ACTUALLY BREAKING A LITTLE BIT OF NEWS HERE.

YOU HAVE JUST THIS WEEK LAUNCHED A NEW COMPANY WHERE YOU'RE GOING TO LOOK AT FINANCIAL WELLNESS IN CONTEXT WITH MENTAL HEALTH AND IT IS A KEY ISSUE BECAUSE WHEN YOU WORRY ABOUT YOUR FINANCES IT CAN BE DETRIMENTAL.

>> WHEN YOU HAVE AN EMPLOYEE WHO IS FOCUSED ON THEIR FINANCIAL WORRIES, THEY'RE NOT GOING TO BE AS PRODUCTIVE, YOU HAVE EMPLOYEE RETENTION ISSUES AND YOU HAVE SOME -- A WORKFORCE THAT'S JUST NOT AT PEAK PERFORMANCE.

IT'S BIG INVESTMENT FOR COMPANIES THAT'S REALLY GOING TO BE IMPORTANT COMING -- GOING FORWARD TO INVEST NOT ONLY IN THE MENTAL HEALTH BUT WHAT'S CAUSING THE MENTAL DISTRESS FOR THE EMPLOYEES AND SO MUCH OF THAT IS FINANCIAL.

SO FINANCIAL WELLNESS STRATEGIES WILL PROVIDE RESOURCES TO COMPANIES TO HELP ALLEVIATE THOSE ISSUES.

>> ABSOLUTELY.

BOBBI, SO GOOD TO CATCH UP WITH YOU.

THANKS FOR YOUR TIME.

>> THANK YOU FOR HAVING ME.

>>> IF YOU INCLUDE PAYING DOWN DEBT AS ONE OF YOUR FINANCIAL GOALS THIS YEAR, IT'S A SMART MOVE.

HIGHER INTEREST RATES HAVE LED TO HIGHER COSTS TO CARRY CREDIT CARD AND OTHER DEBT, BUT SOMETIMES IT CAN BE OVERWHELMING TO COME UP WITH A PLAN TO START PAYING OFF THOSE BILLS.

WE CHECKED IN WITH KATIE FATTA AT NOVA CORE SOLUTIONS FOR SOME TIPS ON HOW TO MANAGE YOUR DEBT.

>> KATIE, TELL ME WHAT THE COMPANY HAS SEEN IN TERMS OF AN INCREASE IN PEOPLE SEEKING HELP GIVEN WHAT'S HAPPENING WITH THE ECONOMY.

>> YEAH, SO RISING INTEREST RATES HAVE PUT AN ADDED STRAIN ON INDIVIDUALS FINANCIALLY AND AS A RESULT OF THAT WE HAVE SEEN AN INCREASE FOR OUR COUNSELING, INCREASED NEED FOR OUR COUNSELING SERVICES, AND REACHING OUT FOR A COUNSELING SESSION CAN PROVIDE THE SUPPORT AND RESOURCES NEEDED TO GET THROUGH THE CURRENT FINANCIAL CLIMATE.

>> SO TELL ME A LITTLE BIT ABOUT SUPPORT.

WHAT TYPICALLY HAPPENS WHEN SOMEBODY CONTACTS YOU?

WHAT CAN YOU DO FOR THEM?

>> OUR PROGRAMS ASSIST THOSE STRUGGLING WITH CREDIT CARD DEBT.

SO, FOR EXAMPLE, IF YOU HAVE FALLEN BEHIND ON MORTGAGE PAYMENTS, IF YOU'RE USING CREDIT CARDS TO PAY FOR NECESSITIES AND EVEN IF YOU'RE BEEN STRUGGLING FROM A NATURAL DISASTER WE CAN HELP YOU GET BACK ON TRACK.

I WOULD DESCRIBE THE PROCESS, HOW IT WORKS IS OUR CERTIFIED CREDIT COUNSELORS WILL TAKE AN IN-DEPTH LOOK AT A CLIENT'S FINANCIAL NEEDS AND BY REVIEWING THEIR UNIQUE FINANCIAL SITUATION THE COUNSELOR CAN THEN DETERMINE A CLEAR UNBIASED SOLUTION THAT WILL BEST BENEFIT THEIR INDIVIDUAL NEEDS.

WHEN IT IS APPROPRIATE A DEBT MANAGEMENT PLAN MAY BE THE BEST SOLUTION FOR THAT CLIENT.

IF THAT'S THE CASE NAVA CORE CAN WORK FOR WITH THE CREDITORS TO LOWER THE INTEREST AND CREATE AN AFFORDABLE PAYMENT PLAN WITH THEM.

IF THEY DO GO ON A DEBT MANAGEMENT PLAN THEY WILL USUALLY PAY OFF THEIR DEBT IN THREE O FIVE YEARS.

>> HOW WILLING ARE CREDITORS TO WORK WITH PEOPLE WHO FALL BEHIND?

DO YOU FIND THEY'RE WILLING TO EITHER LOWER THE TOTAL DEBT AMOUNT TO PERHAPS COME UP WITH A DIFFERENT PAYMENT OR INTEREST RATE PLAN?

>> CREDITORS GENERALLY WANT TO FIND A GOOD SOLUTION FOR THEIR CLIENTS.

MANY CREDITORS WORK WITH NAVA CORE TO PROVIDE SOLUTIONS TO CLIENTS IN NEED OF ASSISTANCE.

>> SHOULD SOME PEOPLE JUST AVOID DEBT ENTIRELY?

IS IT AN AREA THAT PEOPLE JUST SEEM TO FALL INTO TROUBLE TO BECAUSE IT'S EASY TO WHIP OUT A PLASTIC CREDIT CARD FROM TIME TO TIME?

>> IT'S DEFINITELY EASY FOR PEOPLE TO FALL INTO CREDIT CARD DEBT, ESPECIALLY NOWADAYS BECAUSE CREDIT CARDS ARE SO EASILY ACCESSIBLE.

SO ABSOLUTELY, IT CAN DEFINITELY BE HARD FOR PEOPLE TO FALL INTO DEBT, BUT I ALWAYS SAY DON'T CHARGE ANYTHING ON A CREDIT CARD UNLESS YOU KNOW YOU CAN PAY IT OFF AT THE END OF THE MONTH.

BECAUSE IF YOU ARE CHARGING SOMETHING YOU CAN'T PAY OFF AT THE END OF THE MONTH YOU'RE JUST ENDING UP IN A CYCLE WHERE YOU'RE CARRYING OVER DEBT FROM MONTH TO MONTH TO MONTH AND THAT'S NOT A CYCLE YOU WANT TO GET INTO.

>> WHAT IS SOME ADVICE YOU GIVE PEOPLE AS WE LOOK AT A NEW YEAR HERE WHEN IT COMES TO MANAGING THEIR DEBT?

>> I WOULD FIRST START WITH BUDGET BECAUSE CREATING A BUDGET WILL SHOW YOU WHERE YOUR MONTHLY EXPENSES GO, WHAT YOU NEED TO SPEND MONEY ON AND AFTER YOU DETERMINE WHAT YOUR MONTHLY EXPENSES ARE, YOU ARE ABLE TO SAY, OKAY, I HAVE THIS MUCH TO PUT ASIDE TO PAY FOR MY DEBT, THIS MONEY TO GO ASIDE TO PAY FOR MY DEBT.

NORMALLY REGARDLESS IF YOU HAVE MULTIPLE CREDIT CARDS, MULTIPLE TYPES OF DEBT I ALWAYS SAY TO START WITH A BUDGET WHEN LOOKING TO CONQUER YOUR DEBT.

>> KATIE, THANKS SO MUCH FOR SOME OF THESE TIPS AND FOR SHARING A LITTLE BIT ABOUT HOW YOUR COMPANY CAN HELP.

THANK YOU.

>> THANK YOU SO MUCH FOR HAVING ME.

>>> EVEN BEFORE THOSE HOLIDAY BILLS ARE PAID OFF, YOU NEED TO START THINKING ABOUT THE TAXES YOU WILL HAVE TO PAY THIS YEAR.

THIS MONTH YOU SHOULD START RECEIVING W-2s, 1099s AND OTHER DOCUMENTS YOU WILL NEED TO FILE TAX RETURNS FOR TAX YEAR 2022.

THIS YEAR THERE'S AN OPPORTUNITY TO APPLY FOR TAX RELIEF FROM THE STATE THROUGH THE NEW ANCHOR PROPERTY TAX RELIEF PROGRAM.

THE DEADLINE TO APPLY HAS BEEN EXTENDED THROUGH THE END OF THE MONTH.

MEANTIME, THERE ARE ALSO SOME CHANGES THIS YEAR THAT COULD RESULT IN SMALLER REFUNDS FROM THE FEDERAL GOVERNMENT.

I SPOKE WITH NEW JERSEY CPA NICOLE DeROSA ABOUT TAX TIPS YOU NEED TO KNOW.

>> WELCOME TO "NJ BUSINESS BEAT."

GOOD TO SEE YOU ONCE AGAIN.

>> GOOD TO SEE YOU, TOO.

HAPPY NEW YEAR.

>> SAME.

THE HOLIDAYS ARE OVER AND I KNOW YOU START THINKING ABOUT TAX SEASON.

WHAT SHOULD WE ALL BE THINKING ABOUT TO PREPARE FOR THIS YEAR'S FILING SEASON?

>> ALL OF THOSE SUPER CHARGED EXPANDED TAX CREDITS ARE GOING BACK TO NORMAL AND A LOT OF PEOPLE I DON'T THINK ARE NECESSARILY READY FOR THAT JUST YET, ESPECIALLY THOSE WHO HAVE DEPENDENT CHILDREN.

SO EXPECT POSSIBLY A LOWER REFUND OR A GREATER AMOUNT OF A BALANCE DUE WHEN YOU FILE YOUR RETURNS THIS YEAR, JUST BECAUSE A LOT OF THOSE CREDITS ARE GOING BACK TO THEIR NORMAL LEVELS THAT THEY WERE PRE COVID.

>> I GUESS BEYOND CHANGES TO THE FEDERAL LEVEL THERE'S ALSO SOME STATE LEVEL CHANGES, TOO, THAT PEOPLE SHOULD BE AWARE OF AND THERE'S THE ANCHOR PROPERTY TAX PROGRAM, TOO.

>> NEW JERSEY DID GIVE US A LITTLE BIT OF AN EXTENSION THERE.

THERE IS THE ANCHOR PROPERTY TAX CREDIT PROGRAM AND ALSO THE NEW JERSEY CHILD TAX CREDIT PROGRAM AS WELL AT THE STATE LEVEL.

NOT -- I MEAN, EXPECTATION-WISE I DON'T THINK AS MANY PEOPLE ARE GOING TO QUALIFY AS MAYBE ORIGINALLY INTENDED BUT THAT STILL IS SOMETHING TO CONSIDER ON THE STATESIDE.

>> NICOLE, HOW SHOULD YOU GO ABOUT JUST GETTING READY, GATHERING YOUR PAPERWORK?

WHAT SHOULD YOU DO IN TERMS OF MAKING SURE THAT WHEN APRIL 15th ROLLS AROUND THERE'S NOT ANY LAST MINUTE PROBLEMS?

>> W-2s ARE GOING TO START TO COME OUT BEFORE WE ALL KNOW IT, SO MAKE SURE THAT YOU GET ANY PIECE OF MAIL THAT SAYS IMPORTANT TAX DOCUMENTATION ENC ENCLOSED, DON'T THROW IT AWAY, MAKE A NICE NEAT PILE, OPEN IT UP FOR YOUR ACCOUNTANT BECAUSE THEY WILL GREATLY APPRECIATE IT, TRUST ME, AND MAKE SURE YOU'RE ORGANIZING YOUR RECEIPTS IF YOU ARE A SMALL BUSINESS, MAKING SURE YOU HAVE YOUR EXCEL SPREADSHEETS AND EVERYTHING IN ORDER.

THE MORE ORGANIZED YOU ARE, THE LESS ONEROUS OF A JOB IT WILL BE ON YOUR ACCOUNTANT, WHICH WILL MAYBE POSSIBLY SAVE YOU TAX PREP FEE DOLLARS.

>> YOU MENTIONED THAT MANY PEOPLE SHOULD BRACE FOR POTENTIALLY A LOWER REFUND.

THERE'S REALLY NOT MUCH YOU CAN DO TO HAVE A LARGER REFUND.

I MEAN, WHAT TIPS WILL THERE BE THAT YOU CAN SUGGEST TO PEOPLE WHO, YOU KNOW, WOULD RATHER KEEP SOME MONEY THAN PAY IT?

>> MAKE SURE YOU'RE MONITORING YOUR W-4.

I ALWAYS LIKE TO TELL MY CLIENTS ALSO IF THEY HAVE MORE THAN ONE JOB, MAKE SURE YOU'RE UPDATING YOUR W-4 ACCORDINGLY AT THE BEGINNING OF EVERY SINGLE YEAR SO THAT IF YOU ARE ON PAYROLL THAT THEY CAN PROPERLY WITHHOLD THE CORRECT AMOUNT OF MONEY OR MAYBE IF YOU WOULD LIKE TO KIND OF HAVE THEM WITHHOLD MORE THAT YOU'RE PROPERLY UPDATING THAT AS WELL IF YOU HAVE, AGAIN, MORE THAN ONE JOB, YOUR EMPLOYER, MAKE SURE THOSE LITTLE ANCILLARY CHARITABLE DONATIONS THAT YOU'RE MAKING, MAYBE YOU PUT MONEY IN A BASKET IN CHURCH EVERY WEEKEND, MAKE SURE YOU'RE DOING THAT PROPERLY SO THAT YOU HAVE THE DOCUMENTATION IN PLACE IF YOU GET AUDITED.

THE LITTLEST THINGS THAT YOU CAN DO THROUGHOUT THE YEAR, EVEN THOSE EDUCATOR EXPENSES, I KNOW THEY DON'T SOUND LIKE MUCH, BUT KEEPING DOCUMENTATION OF THOSE BECAUSE THEY ARE TAX DEDUCTIBLE AS WELL UP TO A CERTAIN THRESHOLD ANNUALLY.

>> NICOLE, WHAT IS THE BIGGEST CHANGE FOR SMALL BUSINESS OWNERS THIS YEAR?

>> WITHOUT A DOUBT THE DEPRECIATION, THE BONUS DEPRECIATION, THAT HAS BEGUN TO PHASE DOWN.

HISTORICALLY OVER THE LAST COUPLE YEARS IT'S BEEN 100%, YOU JUST IMMEDIATELY GET TO WRITE OFF DOLLAR FOR DOLLAR IF YOU PLACE AN ASSET IN SERVICE, BUT NOW FAST FORWARD 1/1/2023 IT IS ONLY 80%.

>> IT'S BEEN GREAT CHATTING WITH YOU.

THANKS FOR SOME OF THESE TAX TIPS.

APPRECIATE IT.

>> ANYTIME, RHONDA.

>>> BACK IN THE DAY YOU WORKED FOR A COMPANY AND COULD COUNT ON A PENSION WHEN YOU RETIRE.

PUBLIC WORKER PENSION PLANS ARE INTACT, THE NUMBER OF COMPANIES OFFERING TRADITIONAL PENSION PLANS HAS BEEN IN A STEADY DECLINE FOR YEARS.

PENSIONS HAVE BEEN REPLACED BY OTHER RETIREMENT SAVINGS PLANS IN WHICH THE EMPLOYEE CONTRIBUTES, SUCH AS A 401(k) PLAN.

LAST MONTH PRESIDENT BIDEN SIGNED INTO LAW RETIREMENT SAVINGS LEGISLATION DESIGNED TO ENCOURAGE PEOPLE TO TAKE ADVANTAGE OF THOSE PLANS AND SAVE MORE FOR THEIR RETIREMENT.

THE LEGISLATION IS KNOWN AS THE SECURE 2.0 ACT.

WE GOT SOME DETAILS ABOUT IT FROM DYLAN TYSON, PRESIDENT OF RETIREMENT STRATEGIES AT NEWARK-BASED PRUDENTIAL.

FIRST OF ALL, THANKS FOR YOUR TIME.

GREAT TO TALK TO YOU TODAY.

>> IT'S GREAT TO BE HERE.

THANKS FOR INVITING ME.

>> SO SOME RATHER IMPORTANT CHANGES ON THE RETIREMENT FRONT COME FROM A BILL THAT THE PRESIDENT SIGNED A SHORT COUPLE OF DAYS AGO.

BEFORE WE GET INTO DETAILS, HOW SERIOUS IS THE ISSUE IN THE U.S. OF PEOPLE NOT SAVING ENOUGH FOR RETIREMENT?

>> WELL, IT'S CERTAINLY A VERY IMPORTANT ISSUE BECAUSE SO MANY PEOPLE ARE LOOKING TO BE ABLE TO LIVE MUCH LONGER AND HEALTHIER LIVES AND SO BEING ABLE TO SAVE ENOUGH SO THAT THEY CAN ENJOY AND LIVE THOSE LIVES THE WAY THEY WANT IS JUST A KEY PRIORITY.

>> SO LET'S GET INTO SOME OF THE SPECIFICS.

WHAT ARE THOSE SOLUTIONS FROM YOUR VANTAGE POINT THAT YOU SEE THAT WILL REALLY HELP PEOPLE GET A JUMP START ON RETIREMENT?

>> ONE OF THE KEY PROVISIONS THAT IS AIMED AND WILL HELP YOUNGER FOLKS IS A PROVISION THAT BRINGS AUTOMATIC ENROLLMENT TO 401(k) AND 403(b) PLANS.

BEGINNING IN 2025 AS SOON AS SOMEONE IS ABLE TO BE PART OF THE PLAN, THEY WILL BE AUTOMATICALLY ENROLLED.

THEY WOULD BE ENROLLED AT A LEVEL OF 3% OF THEIR SALARY AND THEN THERE WOULD BE AN ASPECT THAT ALLOWS THAT CONTRIBUTION TO ESCALATE OVER TIME UNTIL IT REACHES 10%.

SO THAT WILL HELP MORE PEOPLE PARTICIPATE IN THESE TYPES OF PLANS.

AS YOU MAY KNOW, TODAY LESS THAN HALF OF THE FOLKS ARE ACTUALLY PARTICIPATING FROM PRIVATE SECTOR PLANS.

>> AND HOW ABOUT FOR SOME OLDER SAVERS?

>> TODAY FOR THOSE WHO ARE 50 AND OLDER, THAT IS NOW $7,500 A YEAR THAT THEY CAN PUT INTO THEIR RETIREMENT PLAN IN ORDER TO CATCH UP.

A FEW YEARS LATER IN 2025 FOR PEOPLE WHO ARE 60 TO 63, THAT WILL EXPAND TO AT LEAST $10,000.

SO THAT ALLOWS FOLKS THAT MISSED THE ABILITY TO PUT UP TO THE MAX INTO THEIR PLANS, THAT ABILITY TO CATCH UP SO THAT THEY CAN INCREASE THEIR BALANCES.

>> THERE'S ALSO SOME CHANGES WHEN IT COMES TO WITHDRAWALS.

WHAT'S ALLOWED AND WHEN.

CAN YOU EXPLAIN THOSE TO ME?

>> WHAT HAS JUST BEEN PASSED IS AN INCREASE IN THE AGE WHERE PEOPLE ARE FORCED TO START TAKING RETIREMENTS FROM 72 TO 73.

AND THAT'S EFFECTIVE TODAY.

IN 2025 -- BY 2033 THAT WILL GO TO 75 YEARS OLD.

>> FROM YOUR VANTAGE POINT WHAT IS THE BIGGEST HURDLE FOR PEOPLE WHO DO WANT TO SAVE FOR RETIREMENT BUT EITHER DON'T GET AROUND TO IT OR THEY FIND THEY DON'T SAVE ENOUGH?

>> WELL, SO THE FIRST THING IT STARTS WITH JUST GOOD DESIGN.

TO MAKE SURE THAT THINGS LIKE AUTOMATIC ENROLLMENT ARE IN PLACE SO THAT PEOPLE GET THE GUIDANCE THEY NEED TO DO THE RIGHT THING, BUT THE FLEXIBILITY THAT THEY WOULD OTHERWISE NEED IF IT DOESN'T FIT THEIR CIRCUMSTANCES.

WHAT CONGRESS HAS DONE WITH THE SECURE ACT IN THE FIRST INSTANCE IS STARTED TO HELP PEOPLE SEE THAT IT REALLY IS THE AMOUNT OF INCOME THAT THEY WILL HAVE OVER A LIFETIME THAT IS SO IMPORTANT, AND SO NOW PEOPLE WILL SEE RIGHT ON THEIR STATEMENTS THE AMOUNT OF INCOME THAT THEIR ACCOUNT BALANCE WILL BE ABLE TO PROVIDE.

SO IT HELPS -- IT HELPS BRING IT BACK TO THE ORIGINAL MEANING OF WHAT A RETIREMENT PLAN IS.

>> IT'S BEEN SO GOOD TALKING TO YOU AND GETTING THE VERY LATEST ON SECURE 2.0.

I APPRECIATE YOUR TIME.

>> THANK YOU VERY MUCH FOR THE OPPORTUNITY.

>> IF YOUR RETIREMENT ACCOUNTS ARE INVESTED IN STOCKS TAKE HEART IN KNOWING YOUR SAVINGS MAY PERFORM BETTER THIS YEAR.

MANY INVESTORS SAID GOOD RIDDANCE TO 2022 WITH THE S&P 500 INDEX FALLING MORE THAN 19%, IT WAS THE WORST YEAR FOR STOCKS SINCE THE GLOBAL FINANCIAL CRISIS OF 2008.

BUT JOSHUA WINE A PORTFOLIO MANAGER AT HENNESSEY FUNDS PROJECTS THE STOCK MARKET WILL RISE 15% THIS YEAR.

HE SAYS 2022 WAS A LEARNING YEAR FOR MANY INVESTORS.

>> SO I THINK WHAT WE'VE LEARNED IS THAT IF YOU WANT AN 8% OR 9% RETURN OVER A LONG PERIOD OF TIME YOU HAVE TO -- YOU HAVE TO BE WILLING TO DEAL WITH YEARS LIKE THIS AND THE INEVITABLE HEARTACHE THAT COMES WITH IT.

SO I THINK THAT WE'VE ALL BECOME BETTER FOR IT, I THINK IT'S BEEN A GOOD REMINDER THAT WE ALL NEED THAT INVESTING IN THE STOCK MARKET IS A LONG-TERM PROPOSITION.

>> FINALLY, NEW JERSEY'S CANNABIS INDUSTRY IS ALREADY BRINGING IN MILLIONS OF DOLLARS IN REVENUE FOR THE STATE, BUT IS THE INDUSTRY THREATENED BY THE OPENING OF RECREATIONAL POT SALES IN NEW YORK?

WE WILL BRING YOU SOME ANSWERS IN OUR NEXT EPISODE OF "NJ BUSINESS BEAT."

IN THE MEANTIME, REMEMBER TO SUBSCRIBE TO OUR "NJ SPOTLIGHT NEWS" YOUTUBE CHANNEL TO GET ALERTED WHEN WE POST NEW EPISODES AND CLIPS.

THAT DOES IT FOR US FOR NOW.

THANKS FOR WATCHING AND WE WILL SEE YOU HERE NEXT WEEK.

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