Consumer Troubleshooter

submitted by Bucks County Consumer Protection Agency

Q. Now that the weather is getting warmer, I am anxious to get some work done to the outside of my home. The first thing on my list is getting the driveway paved and then some landscaping.

I was asking people I know for contractor recommendations when my neighbor said that he recently heard of a contractor working in the neighborhood, knocking on doors offering a very good price for this kind of work. It sure sounds like a good deal for the price. I’m thinking of hiring them since they are already in the neighborhood. Is this a good idea?  G.T., Plumsteadville.

A. This is the time when consumers want to start fixing up their yards and this is the time when “gypsy” contractors start going door-to-door trying to drum up business. The problem is that a good majority of these contractors that go door to door are not legitimate. They are not registered contractors whose business have a physical address and the phone numbers they give are only cell phone numbers; not a landline.

Each year we see a spike in complaints from consumers who have paid for work and either the business did not come back to finish the work or they find out the work was subpar, and that’s when they realize they have no way to reach the business. Please beware of this type of contractor.

If you want to have work done please find a reputable company by doing the following: make sure they have a license to work in Pennsylvania, ask the business for their Home Improvement Contractor number or (HIC#); make sure you ask them what their physical address and phone number are for the business; ask for a written estimate and make sure the estimate or contract has a detailed description of the work to be performed, the materials to be used, and a start date and a completion date.

Also, if any warranty is offered, that should also be in writing.  Remember, any contract that is signed in your home gives you a three-day right to cancel notice, which should be attached to the contract. There may be a one-third deposit up front requested, but there is no reason to pay in full until the work is completed to your satisfaction. Once the bill is paid in full there is no incentive left for that business to come back and complete the work.

If you have questions or concerns, or you would like to see if we have received any complaints against a particular contractor, call Bucks County Consumer Protection at 1-800-942-2669. Before you call, have ready the contractor’s name and telephone number so that we may search our database.

Consumers can also access our brochure on the Home Improvement Contractors Act by going to our website at www.buckscounty.org and click on Consumer Protection, and then click on consumer tips.

While at our website you can also find out if a business is registered to work in Pennsylvania. Just click on Consumer Links, and then click on www.attorneygeneral.gov – PA Attorney General Website. Once there, click on “Home Improvement Consumer Information.”

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Spring cleaning and contractors

submitted by Edward Johnson, president and CEO of the Better Business Bureau serving northeastern and eastern Pennsylvania

As sure as the daffodils, tulips and other bright flowers note the arrival of spring, so too does the emergence of swindlers.

With warmer weather consumers often find themselves with a list of things around their houses that require mending, replacing or repairing.  While reputable contracting companies are generally the rule and not the exception, consumers need to be on the lookout for repair offers that are too good to be true.

Senior citizens especially must be vigilant as the unsolicited door-to-door offers to repair your roof, paint your house, reseal or pave your driveway come knocking this time of year.

In 2012 the home repair industry was the single most-inquired-about industry at the Better Business Bureau (BBB). It was also the second-most-complained about.

The BBB advises homeowners to take the time to choose a contractor you can trust. When looking to hire a contractor for your roof, house or driveway, the BBB recommends the following tips:

Watch out for red flags. Recognize the signs of a potential problem.  Did someone come to your door, unsolicited, and tell you about a problem they noticed with your roof, gutters, siding or driveway? Are they telling you they have left over materials from another nearby job?  Are they offering unbelievably low prices? Will they only accept cash?  Is it a now or never offer? Are they promising an unconditional guarantee or 100% satisfaction? Do you feel pressured to make a decision? If so, don’t feel pressured to enter into a contract immediately. 

Check references. Ask for local references and verify that the contractor is in compliance with all licensing, bonding and insurance requirements. Always check out a contractor at www.mybbb.org before doing business with them. You may also want to make sure that the contracting company is a member of an industry trade association such as the National Association of the Remodeling Industry, the National Asphalt Pavement Association or if they are BBB Accredited.

Get more than one bid. Get two or three bids and make certain that the bids are apples to apples. The bids should be based on the same building specifications, materials, labor and time needed for completion. Discuss the bid in detail to make certain you understand the scope of the project.  You should also verify insurance and coverage for claims against workers’ compensation, property damage and personal liability in the event of accidents. Also, be mindful that the bid you accept should not be based on price alone. Good customer service, reliability and workmanship are equally as important.

Get it in writing. Make certain you understand the terms and conditions. Any verbal promises should be in writing and the contract should at a minimum specify the work to be done, materials to be used, start and completion dates, payment schedules, guarantees, debris removal and your right to cancel. Never sign a partial or blank contract.  If the project involves subcontractors you should have a release-of-lien clause added which provides some protection to you in the event your contractor fails to pay the subcontractors. If a warranty is provided, it too should be in writing and must state whether it is a full or limited warranty. The contract should also state that the work will be performed in accordance with applicable building codes and that required permits or inspections are the responsibility of the contractor. 

Know your rights. If you hire a contractor, pay by check or credit card when the work is completed to your satisfaction. If you are dealing with a traveling contractor, be extra cautious and make sure to ask for identification and note the license plate number on the contractor’s vehicle. If you get “buyer’s remorse,” you may be able to change your mind after the contract is signed. The Federal Trade Commission and many states have a “three-day cooling off rule” for in-home purchases.

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Everyone can’t be an expert at everything

submitted by Michael Garry, CFP®, JD/MBA, Yardley Wealth Management, LLC

If you want to do financial planning right, find an independent CERTIFIED FINANCIAL PLANNER™ professional. Everyone who has subject matter expertise knows pretty quickly when speaking to someone about their subject, whether the other person knows what they are talking about.

I run into some people who have a very good understanding of financial planning and investing. Unfortunately, some of the people that I have met that do their own financial planning and investing have scared me with their recklessness, and it’s usually based on overconfidence in their abilities. Amazingly, the most overconfident people seem to think that they know what to do and that no one else does!

Many of the popular books for consumers tend to oversimplify things and make it seem as if anyone can read a 200-page book and then handle all of their financial planning and investment needs. In some ways, the books do a service when they tell you to avoid the big Wall Street firms.

Unfortunately, the real solution is not to try to handle it on your own, but to find an independent financial adviser who will act in a fiduciary capacity to you.

A problem with using books for subject matter advice for your financial planning and investment needs is that the authors don’t know your situation, and therefore cannot tailor their advice to your needs. Even if they could, there is just too much to put into one book.

The course work to become a CERTIFIED FINANCIAL PLANNER™ professional is thousands of pages long. How can you read 200 pages and be expected to handle everything on your own?

You need someone who can put it all together for you and that is where your independent financial planner comes in.

Find one at www.letsmakeaplan.org

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The real estate market is heating up…

submitted by Lynne Kelleher, Prudential Fox & Roach, Realtors – Newtown Office

 … and we’re expecting the healthiest spring season since 2007.

Freddie Mac is projecting an increase in sales of 8-10 percent compared to 2012. Nationwide, we’ve seen 20 consecutive months of sales increases over the previous year, and prices have increased for 12 months in a row.

In the Philadelphia region, sales are up 26% January 2013 vs. January 2011, and inventory levels are down 22%. Things are no different here in Bucks County – we’re experiencing a marked change in the pace of the market so far this spring.

The number of houses selling is up, prices are up, inventory levels are down and the shift from a buyers market to one more equally distributed has already occurred in most price ranges. Properties that are priced right and in good condition are selling at a rapid pace, often in a matter of days and some with multiple offers.

A word of caution here, lest you think we’re back to the days of old, when you could ask whatever you wanted and some desperate buyer would actually pay it. Those days are gone, thanks to cautious appraisers and loan underwriters who work under strict guidelines to prevent lenders from getting burned again.

Buyers too are skittish – everyone knows someone who overpaid for a home that is now in foreclosure or a short sale and they don’t want to find themselves in the same position.

If you’ve been thinking of selling your home you could be pleasantly surprised. If you’re thinking of selling your home and buying a new one, the timing will never be better.

And if you’re thinking of becoming a homeowner again or for the first time, this fabulous window of opportunity that’s been open for the past few years may be slowly closing – did you know that a 1% increase in interest rates can cut your buying power by 10%?

No matter how you look at it – if you’ve got real estate on your mind, now is the time to act on it!

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Doing 2012 tax returns, and now talking about 2013?

submitted by Martin H. Abo, CPA/ABV/CVA/CFF, Abo and Company, LLC

In general, estimated taxes must be paid on income which is not subject to withholding, including taxable income from self-employment, interest, dividends, alimony, gambling winnings, unemployment compensation, social security, rent, and gains from the sale of assets.

You also may have to pay estimates if the amount of tax being withheld from your salary, Social Security, pension or other income is not enough. Estimated tax is used to pay income tax and self-employment tax, as well as other taxes and amounts reported on your personal tax return.

If you do not pay enough tax, either through withholding or estimated tax, or a combination of both, you may have to pay a penalty.

You may be charged a penalty even if you are due a refund when you file your return. Here are tips even the IRS agrees are worth considering about estimated taxes and how to pay them:

  1. As a general rule, you must pay estimated taxes if 1) You expect to owe at least $1,000 in tax after subtracting your tax withholding (if you have any) and credits, and 2) You expect your withholding and credits to be less than the smaller of 90% of your 2013 taxes or 100% of the tax on your 2012 return.
  2. For Sole Proprietors, LLC Members, Partners and S Corporation shareholders, you generally have to make estimated tax payments if you expect to owe $1,000 or more in tax when you file your return.
  3. To figure your estimated tax, include your expected gross income, taxable income, taxes, deductions and credits for the year. Consider changes in your situation and recent tax law changes.
  4. The year is divided into four payment periods, or due dates, for estimated tax purposes. Those dates generally are April 15th, June 15th (17th in 2013), September 15th (16th in 2013) and January 15th.
  5. The 0.9% new Additional Medicare Tax applies to Medicare wages and self-employment income over threshold amounts. You may need to include this amount when figuring your estimated tax.
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What are catch-up contributions?

submitted by Rosemary G. Caligiuri, CASL™, President, Harvest Group Financial Services

If you are 50 or older, or you will reach age 50 by the end of the year, you may be able to make contributions to your IRA or employer-sponsored retirement plan above the normal contribution limit. Catch-up contributions are designed to help you make up any retirement savings shortfall by bumping up the amount you can save in the years leading up to retirement.

Catch-up contributions can be made to traditional and Roth IRAs, as well as to 401(k) plans and certain other employer-sponsored retirement plans. But if you participate in an employer-sponsored retirement plan, check plan rules–not all plans allow catch-up contributions.

How much can you contribute as a catch-up contribution? It depends on the type of retirement plan you have and the tax year for which you are making the contribution.

Contribution limits for tax years 2012 and 2013:

401(k), 403(b), governmental 457(b) plans:*

  • $17,500 regular annual contribution limit for 2013 ($17,000 for 2012) and $5,500 catch-up contribution limit.

SIMPLE plans:

  • $12,000 regular annual contribution limit for 2013 ($11,500 for 2012) and $2,500 catch-up contribution limit.

Traditional and Roth IRAs:

  • $5,500 regular annual contribution limit for 2013 ($5,000 for 2012) and $1,000 catch-up contribution limit.

*403(b) and 457(b) plans also have special catch-up rules that may apply.

Registered representative offering securities and advisory services through Centaurus Financial Inc, a Registered Investment Advisor, Member FINRA & SIPC, Supervisory Branch: 3902 State Street, Suite 101, Santa Barbara, CA 93105,1-888-569-1982, Harvest Group Financial Services, Corp and Centaurus Financial, Inc Are Not Affiliated Companies. 

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Company vendors sought for YWCA spring Job Fair And Expo

YWCA Bucks County, in collaboration with PA CareerLink Bucks County, is inviting area companies, businesses and organizations to participate as vendors at its second YWCA Job Fair and Expo, scheduled for Wednesday, May 15th, from 9:00am to noon, at the Bucks County Office Center Event Hall, 1200 Veterans Highway, Bristol.

Cost for exhibit space is just $25. Participating Bucks County businesses and organizations will be available for on-the-spot job interviews.

Space is expected to go quickly, so interested businesses and organizations are encouraged to call the YWCA at 215-953-7793, ext. 108, or e-mail hmiller@ywcabucks.org. Reservations are necessary by May 8th.

There is no cost for individuals seeking employment or job search assistance to attend this event. In addition to speaking with hiring organizations, attendees will have access to experienced job counselors who will assist with resume writing, job search information and a variety of other aids to help build job search skills.  

Participants are encouraged to come “dressed for success,” and to bring ample copies of their resumes.

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Powers retires from Hatboro Federal Savings Board of Directors

HAT FED PR

 

E. Robert Powers recently retired from the Hatboro Federal Savings Board of Directors where he has served as a director since 1977. He was honored at a board of directors meeting on January 24th.

“Bob Powers has served on the Hatboro Federal board for 36 years. His dedication and strong leadership have helped us improve and strengthen the communities we serve,” says Joseph Tryon, president and CEO. “Bob’s skills and business acumen have contributed to our steady growth making us one of the strongest and most successful community banks in the nation.”

Bob is a graduate of Abington High School and Carnegie Mellon University, has lived in the greater Hatboro area since 1955. He was president of the family-owned Powers Equipment Co., Inc., in Warminster. He served as an engineer in the US Navy, and the Ordinance Branch of the US Army.

He has been a volunteer with Habitat for Humanity, currently works with Meals on Wheels, and is an active member of the Sanctuary United Methodist Church.

Bob is a current member and former president of the Hatboro Rotary.

PHOTO CAP: Standing from left, Douglas Thomas, Esq., John Zygmont, Thomas Harbaugh, Robert Johnston, and Peter Clayton; seated, Sidney Gamburg, E. Robert Powers, Frank Jarrett, and Hatboro Federal President/CEO Joseph J. Tryon, Jr.

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Rosemary Caligiuri recognized for stellar performance

Rosemary Caligiuri Rosemary Caligiuri, founder and President of Harvest Group Financial Services, recently received multiple accolades at the Centaurus Financial, Inc. leadership conference held at the Ritz Carlton in Laguna Niguel, California. She earned top honors both for her own accomplishments over the past year and the success and growth of her company, Harvest Group Financial Services.

Rosemary was delighted to accept a Top Production award for Fixed and Indexed Annuities. Her vision and foresight for Harvest Group Financial Services also netted kudos as HGFS took home a Quantum Leap award for Top Performance.

Rosemary partners with Centaurus and specialists across many disciplines in order to provide her clients with truly holistic wealth management. She attributes her success to the on-going relationships she has with her clients.

“It’s all about our clients and their needs. I owe everything to my clients,” she said. “So we bring to the table a complete individually tailored plan, and no two plans are the same, because no two people are the same.”

Rosemary has previously earned the KYW News Radio Women’s Achievement Award, in 2008 was named Advisor of the Year by Senior Market Advisor Magazine, and she has also been featured in national publications such as Newsweek, Forbes, Barron’s, and the Wall Street Journal.

PHOTO CAP: Rosemary Caligiuri

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March breakfast meeting of the NBA

The Newtown Business Association will hold its March Membership Breakfast on Tuesday, March 26th, at 7:30am at Chandler Hall, 99 Barclay Street, Newtown.  This month Cathy Windland of Inner Spa will give a short talk on networking, including a fun interactive activity she calls “Networking Bingo.”

During this presentation you’ll not only hear a little bit about networking, you’ll also be actively engaged in an activity designed to build relationships that improve your meaningful connections and make business opportunities more organic and real.

Come hear all about what is happening in the NBA and how it can help your business.  Network with colleagues and make new contacts at this early morning get-together.

Meeting starts promptly at 7:30am and is held in the Wrights Room. Online registration for this event will close at noon the day prior. 

The cost to attend this event is $15, payable at the door or online.  Monthly NBA Breakfast meetings are held the fourth Tuesday of each month except December.

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