Santa Claus is Coming… To South Metro Federal Credit Union!

It’s the Christmas season, and even St. Nick needs to get his finances organized before the big day. So, Santa and his reindeer are stopping by South Metro Federal Credit Union’s Shakopee branch on December 1st!

Visit the Shakopee office between 9:30 a.m. and 12:30 p.m., visit with Santa and take your picture. Don’t forget to bring your smartphone! We’re located at 8001 Old Carriage Court in Shakopee, near the intersection of Highway 169 and County 21 and Southbridge Crossings.

This is a free event – all we ask is that you bring an item to help local families in need this holiday season. That can be a new, unwrapped toy or food item. South Metro is partnering with CAP Agency of Scott, Carver, and Dakota Counties to make the holiday brighter for less fortunate children and families.

CAP Agency is a nonprofit organization that provides crisis intervention, food and nutrition, safe and stable housing, education and community outreach to Scott, Carver and Dakota County families, partnering with local schools, businesses, and other nonprofits.

Each year, CAP provides housing services for 10,000 families, offers 1 million pounds of food to the community and delivers over 100,000 hot meals to seniors. Your donation will be greatly appreciated!

We’ll also have a coloring contest and gift card drawings, as well as treats and refreshments. So, double check that you are on Santa's nice list, and get ready to let jolly ol' Saint Nick know what you have your heart set on this year! Not only that, but a photo with Santa makes for a great Christmas card.

25 Years of Core Values at South Metro Federal Credit Union

As a business, when you’ve been around for a quarter of a century, you know you’re doing something right.

At South Metro Federal Credit Union, we credit 25 years to sticking to our core values. Our six guiding precepts haven’t changed, regardless of how the business environment has evolved or how we have grown— and we don’t plan on changing them.

1. Provide a “safe haven” for our members’ funds such that their money will never be subject to extraordinary risk

Your trust is important to us. Our members know that trusting us with their money is a smart financial decision— one they can feel good about.

2. Assure non-discriminatory treatment of all classes of members

When you are a member, you are family – no matter who you are. We want you to reach your financial goals and improve your quality of life, and we’ll help you get there.

3. Value individual employee productivity, creativity, and innovation

We wouldn’t be where we are without each employee. They’re the building blocks to our success, and we take that to heart. Because our employees feel valued, they value our members in return.

4. Assure integrity in the handling of all business transactions

Whether it’s a business loan, auto loan, mortgage or something else, we’re here to help – not hoodwink you into a high-interest loan or squeeze profit out of your major life decisions. We want you to succeed, and we’ll give you all the available information we have to help you do that.

5. Recognize “respect” as a valued commodity to be given to our members and earned from the community

We value every member, and we treat you that way. Sticking to these principles and operating in a way people can trust, we’ve earned respect from the community. It’s the community trust that has allowed us to grow over the past 25 years, including adding our Shakopee location several years ago.

6. Make every reasonable effort to serve member needs

Our goal is your success, and we’ll do whatever it takes to get there. We offer a range of services, including loans, checking and savings accounts, business accounts, and VISA cards, as well as a variety of financial educational services. Visit us in Prior Lake or Shakopee, or contact us to learn more.

Your Summer Financial To-do List

Whether traveling, considering a big purchase, or just checking in on your financials, follow these summertime to-do’s to prepare for a financially savvy end to the year.

Check Your Tax Withholdings

Now that we’re halfway through the year, it is a good time to check in on your taxes being withheld. Particularly if you have experienced (or will have) a major milestone like a birth, marriage, or retirement, it’s a good idea to make sure you’ve taken that into account. Speak to your accountant or check the IRS or TurboTax’s withholding calculators to get a ballpark. If adjustments need to be made to keep you from owing more than expected come tax time, now’s the time to make those changes.

Jump on a Recreational Vehicle Purchase

Before the summer days fade away, look for end of season discounts on boats, jet skis, RVs, or ATVs. You may find individuals selling their used summer vehicles, or buy new and squeeze several more weeks of fun out of your purchase. South Metro Federal Credit Union offers recreation vehicle loans at great rates, so let us know how we can help!

Do a Mid-Year Check on Your Investment Portfolio

Check in with your advisors to see how your portfolio is performing so far this year. It’s good time to see if they’d recommend any changes in how your investments are allocated for the remainder of the year. Don’t have an investment portfolio? South Metro provides investment services through our broker dealer CUSO Financial Services, and we’d be happy to help you get started.

Let Your Bank Know When You’re Traveling

If you’re planning a trip out-of-state or abroad, it’s a good idea to let your credit card companies or banks know that you’ll be using your cards from a different location (and may be spending more than normal). This will alert them to a change in your activity so you don’t mistakenly get flagged for fraudulent purchases or face any disruption in access to your money. And yes, go ahead and buy that hand-made cuckoo clock or alpaca rug.

Do Some of Your Holiday Shopping Now

Department stores and many retail shops experience a serious lull in the summer and have the sales to prove it. Make a trip to the mall, soak in the A/C, enjoy light crowds and eager salespeople, and snatch up those holiday gifts during the offseason.

Enjoy the sun, warmth, and being financial savvy this summer. And contact us at South Metro Federal Credit Union with any questions or to join our financial family.

Protecting Your Finances From False IRS Scams

Right after tax season is a popular time for IRS scams. Scammers take advantage of the obligation citizens have to file taxes and pretend to be the IRS to garner your financial information. Here are the practices scammers use in 2018 and how to protect your finances from IRS scams.

Phone Calls

The most popular way IRS scams work is you get a call without warning from a person insisting you owe money to the IRS. Often, they will have a lot of your information on hand, which makes them seem credible. The people on the other end of these scam calls make it seem your repayment of the debt is urgent, which is how you can be assured that it is safe to hang up.

They also expect the debt owed to the IRS to be paid back in gift cards and want you to read the number over the phone. Sometimes they request you give them your social security number or bank account number. NEVER reveal sensitive financial information over the phone to someone who has called you. Be skeptical and hang up, even if the person on the other side uses threats.

Online

Another way IRS scams can get you is on the internet. Elderly often fall victim to online IRS scams because they are not as comfortable navigating the web. Scammers will often phish for your financial information through emails. NEVER click on a link in an email from someone you do not know. In fact, do not even open an email that looks a little suspicious.

If you feel the message might be legitimate, contact your financial institution using information from another source, not the contact information provided by the message. And, of course, avoid visiting suspicious websites. Look for the padlock next to the URL address bar to confirm the website you are on is secure and safe. Websites that are secured will also have “https” in their URL instead of just “http”.


Learn what to do if you do fall victim to an IRS scam here. With more knowledge, we can work together to stop IRS scams all together!

Spring Home Improvements To Help You Save Money

When it comes to saving money through home maintenance, winter may come to mind. But the warmer spring weather can be just as great for money-saving projects.

Try one of these maintenance projects this spring:

1. Inspect and Repair Your Roof

Here’s one project you can’t do in the winter. Once the ice and snow have melted, get out on the roof to check for any winter weather damage. You may be able to save money on minor repairs by doing it yourself instead of waiting for the damage to get worse down the road.

2. Clean the Gutters

When the snow is gone, the sun illuminates the flaws outside your home – including leaf-filled gutters. Clogged gutters lead to improper drainage, which can cause water damage down the road. Check for loose or leaky gutters now and save yourself some stress later.

3. Keep the AC in Tip-Top Shape

Spring is a good time to schedule routine maintenance for your air conditioning unit, ventilation, and heater. This can seem expensive, but routine maintenance will catch small fixes early before they turn into bigger issues.

There’s also some AC maintenance you can do yourself, like cleaning the coils in your air conditioning unit. When they’re dusty, they don’t work as well. Disassemble the casing and clean with canned air or a spray bottle and brush.

While you’re at it, you can do the same thing with your fridge coils, which run in a similar fashion. Use a vacuum cleaner hose to do that.

4. Tend to the Dryer and Washing Machine

They make your clothes feel and smell brand-new, but they need a little TLC to keep working their best. Spring is a great time to clean your dryer vent – both the vent hose on the back of the dryer and the vent cover outside the house. Clean both with your home vacuum cleaner.

While you’re looking at the dryer hose, take a look at the washing machine hose as well. These can crack and leak, causing water damage, mold problems, etc. If they look worn down, replacing them is easier and more cost-effective than fixing mold damage.

Being smart about your money means planning ahead. Taking the time for routine spring maintenance can make a big difference for your wallet.


For more tips on how to save money, contact South Metro Federal Credit Union. We want you to reach your financial goals and have the tools to help you out.

Getting Organized for Tax Season

With tax season fast approaching, it’s always a good idea to get your tax-related affairs in order.

Although everyone’s taxes are different, a well-organized tax filing can save you time, stress, and maybe even money.

South Metro Federal Credit Union wants to help you turn the chaos of tax season into a well-organized, accurate return.

Gather Your Documents

While a well-organized filing system is difficult for many of us to come by, spending the extra time to hunt down your tax documents will provide a good foundation for maximizing your returns or mitigating your payments. Below are examples of tax-deductible documents you may have overlooked:

• Certificate of rent paid
• Education tax credits 
• Receipts for job-related expenses
• Medical expenses in excess of 10% of income
• Casualty and theft losses in excess of 10% income 
• Mortgage and investment interest 
• State and local property and income or sales tax
• Documented charitable donations
• Mileage reports from qualified business, medical, or charitable purposes
• Small business expenses

Personal Information

The IRS requires every taxpayer to use their documented social security number. Make sure you have these numbers for everyone that you plan on including in your filing, or contact the IRS for missing social security numbers in advance. A Missing social security number can cause major delays in your filing, so follow this link to find one that’s missing. You’ll need a birth certificate and a state-issued ID, so make sure you have those handy when contacting your local social security office.

Reportable Income

Your employer is likely to send out a W2 via mail or deliver one in person at work. If you have a feeling that they have it ready and want to get a head start on filing, contact the person in charge of human resources and they should be able to get it to you easily. You should receive your W2 by January 31st.

Independent contractors and other self employed individuals will use a different form to report income. Here are the documents you’ll need to report based on your employment type:

• Reporting as an Independent Contractor
• Reporting as Self Employed

Assets to Report

Income taxes aren’t the only thing you’ll need to file with the IRS for taxes. Be sure to get your statements or official documents from the account holders of your assets. What qualifies as an asset for filing? Here are some common examples:

• Stocks or bonds 
• Loans with low or no interest
• Purchase of a business 
• Real property 
• Business assets 
• Intangible assets 

These can get confusing, but everything is organized and well-defined on the IRS website. See Publication 551 or Topic No. 703 for more information on assets.

Itemized Deductions

As mentioned previously, holding on to documents containing tax-deductible information is extremely important in getting the most out of your return, or minimizing your payment. For further information on itemized deductions, see a tax professional. In 2018, your itemized deductions will change with the new tax reform bill, so here’s a good resource to stay up to date with the changed policy.

Organize Your Paperwork

After you’ve gathered and assembled all of your documents, it’s time to get organized. Manila envelopes, paper clips, and sticky notes will be a helping hand with this step.

Sort your documents in piles labeled Shred, Scan, or Store.

Shred:

• Junk mail
• Receipts for unwarranted purchases or taxes 
• Monthly bank investment statements 
• Employer pay stubs 
• Paid off loan contracts 
• Records for unowned cars or previous homes 
• Membership documents within 6 months of ending the contract 
• Expired warranties 

Scan:

• Tax returns 
• Tax documents 
• Annual investment statements 
• Pension documents 
• Social security statements 

Store:

• Car title until it’s sold 
• Estate Documents 

Sit Back and Relax

Good things come to those who wait, but if you’ve filed your taxes early using all the necessary documents, you may not be waiting for long. We hope you’ve enjoyed these organization tips for tax season and have a well-organized place to store your paperwork for the next tax season.

For all this info and more, download our handy infographic:



If you’d like to save up to $15 on your return, South Metro has teamed up with TurboTax to make filing taxes faster, easier, and worry-free. Your filings are secure and accurate, and calculations are 100% guaranteed by Turbotax Online *.


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How to Regroup from Holiday Debt

Another holiday season has begun, and you have some bad news. As you look at your finances and think about how much you have been and will be spending in the next few weeks, you may be wondering, “How can I regroup from holiday debt?”

Review these top tips to regroup from holiday debt and prepare for the upcoming year.

1. Create a Yearly Budget and Stick to it

One of the top ways to regroup from debt is to make a budget. Review each of your accounts. Determine where to decrease monthly expenses and use that money towards paying off your holiday debt.

2. Find a Seasonal or Part-time Job

If you have the ability and time, find a seasonal job to work during the evenings and/or weekends. It won’t be fun to work the hours, but depending on the amount of debt, it may only be for a few months. Use that extra, hard-earned cash towards your debt.

3. Make Your Own Starbucks at Home

Although everyone loves a good Starbucks coffee, it can be quite draining on the wallet. Instead of purchasing your daily $5 Starbucks beverage, make your coffee at home and save that money. That $5 will quickly add up to be applied towards your holiday debt.

4. Use Your Tax Return and Holiday Bonus

Instead of taking that big vacation, use your tax return and holiday bonus to pay off your holiday debt. Once it’s paid off, you can then easily save your money to take a paid vacation in the future.

5. Look Into a Personal Loan

Most credit cards have a high-interest rate which means spending even more money due to that interest. Look into acquiring a personal loan with a lower interest rate through South Metro Federal Credit Union. You can then apply that money to pay off your high rate credit card(s) and save money in the long-term.

6. Transfer to a Low-rate Credit Card

Similar to a personal loan, you can also transfer your high interest rate balance to a low-rate credit card. Although not many banks may offer a low-rate credit card, South Metro Federal Credit Union does. If you go this route, ensure you budget paying off the low-rate card as soon as possible.


These tops tips can help you regroup from holiday debt. As part of the first tip, ensure you create a budget for upcoming holidays to help prevent seasonal debt in the future. Check out South Metro Financial Education Services and South Metro’s Budgeting Tools that provide services and education to achieve personal and financial goals and improve your quality of life.