At its core, direct indexing gives investors ownership of the individual securities that make up an index rather than owning a fund that owns them. Advances in technology and declining trading costs have made direct indexing more affordable and accessible than ever, unlocking benefits in tax management, customization and values-based investing that wasn’t possible in the past for the average investor.

Direct indexing didn’t begin as a retail product. Institutional investors and high-net-worth clients with specific mandates were its early adopters. They had the scale, sophistication and size to justify customized portfolios built one security at a time.

Over the last decade, these strategies have become much more accessible because of several factors: lower trading costs have dramatically reduced execution expenses, managers have streamlined the process to where automated portfolio platforms can now assemble and maintain hundreds of individual stocks efficiently with enhanced technology, and fractional share trading lets smaller investors own smaller slices of expensive stocks. Strategies once reserved for institutions or ultra-wealthy families are now available to investors with lower minimums than ever before.

How direct indexing works

Instead of buying a single ETF or mutual fund, direct indexing means you own the actual constituents of an index — for example, the 500 stocks in the S&P 500 — in proportion to their weights in that index. This direct ownership allows for tax-aware adjustments in which you can sell losing stocks to realize losses without selling a whole fund. On the other hand, it also allows you to make custom exclusions or tilts, meaning you can remove or underweight stocks that don’t align with personal values. This captures the most important aspects of direct indexing, which are tax minimization and personalization.

Tax minimization and harvesting losses

Perhaps the most celebrated benefit of direct indexing is its ability to generate tax losses intentionally. In a traditional index fund, you can’t choose which holdings to sell. A fund’s structure drives all decisions. With direct indexing, an investor can identify individual stocks that have declined below cost basis and sell them to lock in losses. These losses can offset gains elsewhere, lowering taxable income or deferring taxes.

This process — called tax-loss harvesting — is possible with ETFs too, but it’s limited. When you sell an ETF share, you realize gain/loss on the entire fund position, and your replacement must be a different fund to avoid wash-sale rules. Direct indexing unlocks far more granular tax decisions, potentially every stock in your portfolio. Over years or decades, especially in volatile markets, these accumulated losses can meaningfully reduce overall taxes and improve after-tax returns.

Value personalization

Another fast-growing appeal of direct indexing is customization. Investors can exclude companies or sectors they find objectionable, such as fossil fuels, tobacco or weapons manufacturing. Portfolios can be tilted toward other factors like low volatility, dividends or carbon emissions intensity. Goals beyond returns — such as values, mission alignment or social impact — can be embedded at the security level. With direct indexing, you define the screens and tilts that matter to you.

Who direct indexing is for

Direct indexing tends to work well for investors facing meaningful capital gains tax burdens on an ongoing basis, investors seeking customized ESG or values-based exposure and investors with longer time horizons and sophisticated planning needs who can benefit from systematic tax-loss harvesting and enhanced strategy.

It’s less compelling for those with very small portfolios where trading and management costs dominate, investors who prefer simplicity and minimal oversight, and those with primarily tax-advantaged (retirement) accounts where tax management is irrelevant.

Direct indexing represents a powerful evolution of traditional indexing — one that blends passive exposure with personalization and tax efficiency. Once the exclusive domain of institutions, it’s now accessible to a broad range of investors thanks to modern technology and lower costs. For investors seeking more control over what they own, how they pay tax and how their investments align with their values, direct indexing offers an intriguing option worth exploring — and one that could certainly become a mainstay of future portfolio design.

Zach Harney is a Wealth Manager at Creative Planning. He welcomes questions you may have concerning investments, taxes, retirement or estate planning. Send your questions to: Zach Harney, 2340 Garden Road, Suite 202, Monterey, CA, 93940. Or you can email zach.harney@creativeplanning.com. This commentary is provided for general information purposes only, should not be construed as investment, tax or legal advice, and does not constitute an attorney/client relationship. Past performance of any market results is no assurance of future performance. The information contained herein has been obtained from sources deemed reliable but is not guaranteed.

WASHINGTON (AP) — The Trump administration has formally nominated Kevin Warsh, a former top Federal Reserve official, to be the next Fed chair when Jerome Powell’s term ends in two months.

Warsh’s nomination, which was initially announced Jan. 30, was forwarded to the Senate Wednesday, where it will be taken up by the Senate Banking Committee.

Yet the nomination could stall there. Sen. Thom Tillis, a North Carolina Republican on the committee, has said he will oppose confirming Warsh until a criminal investigation into Powell is resolved. Powell revealed Jan. 11 that the Justice Department had subpoenaed the Fed over Powell’s Senate testimony last June about the central bank’s $2.5 billion building renovation project.

Tillis said last month that the committee could hold a hearing about Warsh’s nomination, but he would vote to block confirmation. If all Democrats on the committee voted against Warsh as well, the nomination wouldn’t pass out of the committee to the full Senate.

Warsh has harshly criticized the Fed’s policies in recent years, including its low interest rate policies coming out of the pandemic, which he says contributed to the United States’ largest inflation spike in four decades in 2021-2022.

Yet Warsh now has echoed President Donald Trump’s demands for lower rates. Warsh says that productivity gains from artificial intelligence will help the economy grow more quickly without spurring inflation, enabling the Fed to reduce borrowing costs. Many Fed officials, however, disagree that AI’s development will support rate cuts.

Saving money in the current economic environment likely feels overwhelming. And the data supports how much of a struggle it is — only 46% of U.S. adults have enough emergency savings to cover three months of expenses, according to Bankrate’s Emergency Savings Report. With 24% having no emergency savings at all, finding ways to cut expenses and build savings has become essential for financial security.

The challenge isn’t just about earning more — it’s also about saving smarter. Even small changes to your spending habits can add up to significant savings over time. Whether you’re building your first emergency fund or trying to reach a specific savings goal, these proven strategies can help you keep more money in your pocket.

1. Review your spending habits

Before implementing any money-saving strategies, you need a clear picture of where your money currently goes. Most banks and credit card companies provide categorized spending reports through their online platforms or mobile apps, showing you exactly how much you’re spending on groceries, entertainment, utilities and other categories.

Track everything for at least one month: Review bank statements, credit card bills and cash receipts to understand your spending patterns. Many people are surprised to discover they’re spending far more than expected on subscription services, dining out or impulse purchases.

Identify spending leaks: Look for recurring charges you forgot about, subscriptions you no longer use or categories where you’re consistently overspending. Common culprits include streaming services, gym memberships and automatic renewals for apps or software you rarely use.

2. Automate your savings

Setting up automatic transfers from your checking to your savings account each payday removes the temptation to spend money before saving it. This “pay yourself first” approach ensures consistent saving without requiring ongoing willpower or decision making.

First, calculate your monthly expenses and determine how much you can realistically save each month. Consider automatically transferring a percentage of each paycheck — such as 10% or 20% — rather than a fixed dollar amount. This approach scales your savings as your income fluctuates and helps build the habit of living below your means.

Many budgeting apps can track spending, issue overspending alerts and automate savings transfers. Apps like YNAB (You Need A Budget) and Rocket Money can help coordinate your spending and saving goals in one platform.

3. Use cash-back apps and credit card rewards

Cash-back apps can reduce your overall spending on purchases you’re already making. These tools work best when used strategically for planned purchases rather than encouraging additional spending.

If you pay off credit card balances in full each month, cash back credit cards can provide 1% to 6% back on purchases. Stack cash-back apps with rewards credit cards for double savings.

4. Reconsider your mobile provider

Cellphone plans often include features and data allowances far beyond most users’ actual needs. With increased competition among mobile providers, switching carriers can provide significant monthly savings without sacrificing service.

Companies like Mint Mobile, Visible and Ting Mobile are known for offering plans that are cheaper than major carriers while using the same cellular networks. It pays to research coverage in your area and compare plan features to find the best value. Plus, check your phone’s data usage statistics to determine how much data you actually use monthly. If you primarily use Wi-Fi at home and work, you may be paying for more data than necessary.

If multiple family members need service, family plans from both major and smaller carriers often provide better per-line pricing than individual plans. But before switching, call your current carrier to discuss potentially lowering your monthly bill. Many providers offer retention discounts to customers considering switching to competitors.

5. Turn off store promotion notifications

Your smartphone can be a powerful money-saving tool, but it can also trigger impulse purchases through promotional notifications, deal alerts and targeted advertising. Taking control of these digital spending triggers can significantly reduce unplanned purchases. This includes:

• Unsubscribe from promotional emails.
• Disable app notifications.
• Remove shopping apps from your phone.

6. Shrink your utility bills

Home utility costs continue rising, but several changes can reduce your monthly bills without significantly impacting your comfort or convenience:

• LED lighting savings: The U.S. Department of Energy estimates that switching to LED bulbs can save the average household around $225 annually.
• Seal air leaks: You can save up to 20% on heating and cooling costs by sealing air leaks and adding insulation. Many utility companies offer free energy audits to identify the most impactful improvements for your home.
• Smart thermostat benefits: Programmable and smart thermostats can reduce heating and cooling costs by automatically adjusting temperatures when you’re away from home.
• Water conservation: Installing low-flow showerheads, fixing leaks promptly, and watering lawns during cooler morning hours can significantly reduce water bills.
• Energy assistance programs: The federal Low Income Home Energy Assistance Program (LIHEAP) helps eligible households pay energy bills, weatherize homes and make energy-related repairs. Check your local utility companies for additional rebate programs.

7. Evaluate your entertainment expenses

Entertainment subscriptions can quickly add up to $100 or more monthly. Regularly reviewing and optimizing these services can free up significant money for savings.

Instead of paying for multiple streaming services simultaneously, consider rotating subscriptions monthly or seasonally. Services like Sling TV, Hulu and Fubo often cost less than traditional cable packages while offering access to popular content. If you’re already an Amazon Prime member, take advantage of the included Prime Video streaming service and Prime Music to potentially eliminate other subscription costs.

Public libraries offer free access to more than just physical books. You may be able to use your local library to check out movies, music, audiobooks and digital content through apps like Libby.

8. Take advantage of free local attractions

A little research can help you find fun, affordable attractions and activities in your local area. For instance, some museums and art galleries offer free admission on certain days of the week or month. Libraries may offer passes to parks, zoos or museums on a first-come, first-served basis. Or you can just head outdoors for a hike, bike ride or picnic.

Your bank may even offer free access to attractions. For example, Bank of America’s Museums on Us program gives the bank’s debit and credit card holders complimentary access to around 240 cultural institutions across the country.

9. Be a strategic grocery shopper

While you’ll need to keep buying food despite higher prices, you can learn how to save money on groceries. One method is to avoid throwing away unused food. For a U.S. household of four, the annual cost of food waste is around $2,913, or $56 per week, according to the Environmental Protection Agency (EPA).

AAs you make your grocery list, think about what you threw away last time and how to avoid letting that happen again. Planning out your upcoming meals can help you avoid buying things you don’t need — and avoid waste, in turn. Also, take a tour of your pantry first and build your meals around what you already bought.

10. Break up with brand names

Speaking of groceries, consider whether you really need to pay for expensive brand-name foods. A comparison of ingredients and labels on things like noodles, cereal and spices may show generic alternatives to be just as nutritious and high-quality as their top-shelf counterparts.

The same concept can apply to non-food items such as paper products, hand soap and laundry detergent. Try to find more affordable alternatives for any such brand-name household items you buy. You can always switch back to your original choice if you’re not happy with the lower-priced alternative.

11. Explore other banking options

Banking fees can drain hundreds of dollars annually from your accounts. Shopping for better banking options can eliminate these unnecessary costs:

• Monthly maintenance fee waivers: Online banks like Ally Bank and Marcus by Goldman Sachs typically don’t charge monthly maintenance fees on checking or savings accounts. They also frequently offer higher interest rates than traditional banks.
• High-yield savings benefits: Online high-yield savings accounts currently offer rates around 4.00% APY, compared to the national average of 0.61%. Moving $10,000 from a traditional savings account to a high-yield account could earn an additional $300 or more annually.
• ATM fee reimbursements: Many online banks and credit unions reimburse ATM fees charged by other banks, potentially saving $5 to $15 monthly for frequent ATM users.
• CD and money market options: If you have funds you won’t need for several months or years, certificates of deposit (CDs) and money market accounts from online institutions often provide significantly higher returns than traditional savings accounts.

12. Compare car insurance rates

If you have a track record of safe driving, it can pay to shop around for a good insurance provider that will reward you for your responsible behavior. Compare other car insurance quotes with what you currently pay to see how much you can lower your premiums for the same amount of coverage.

Those who don’t spend much time behind the wheel may be able to cut costs by going with usage-based insurance, which can tailor your coverage to fit how much you actually use your vehicle.

13. Use coupons and promotional codes

Couponing might sound old-school, but finding deals doesn’t always require clipping portions of the Sunday newspaper. When you’re shopping online, take a few minutes to search for a coupon code when websites offer a “promo code” box on the checkout page.

Browser extensions like Rakuten and Coupert automatically search for online coupons while you shop. Capital One Shopping is another tool that can find online deals automatically, and it’s available to everyone — not just Capital One customers. It works by searching for coupon codes, best prices and rewards at more than 100,000 online retailers.

14. Challenge yourself to a spending freeze

Try taking control of your finances by embarking on a spending freeze — also known as a no-buy challenge — during which you cut all unnecessary spending for a set period. This could give you a sense of how much you’re spending on nonessentials like trips to the coffee shop. Add the extra money you have at the end of the month to your savings or use it to pay down debt.

Bottom line

If you’re serious about reaching your financial goals, our 14 tips on saving money offer you a good starting point. Now that you have a basic understanding of how to save money, it’s a good idea to plan where you’ll allocate your savings — and put your plan into action.

For example, if you want to bulk up your emergency fund, transfer any savings out of your checking account each week or month so you’re less likely to spend it. If you need to pay down debt, create additional payments that automatically come out of your bank account. Whatever your goals, make the process of saving as effortless as possible.

Frequently asked questions

What is the 30-day rule? The 30-day rule is a simple strategy of holding off for 30 days before making a nonessential purchase. By waiting, you’ll give yourself a chance to consider whether you want and need the item, whether you can truly afford it and if your money should be allocated toward a higher priority instead.

What are some ways to save money yearly? Look to your retirement account and tax refund for ways to increase your savings each year. Steps to do so include these ideas:

• Take advantage of an employer match for your 401(k). Many employers match up to a certain amount of what you put into your 401(k) based on how much you contribute. Get the most for your money by contributing enough to receive the full employer match.
• Open an individual retirement account (IRA). A traditional or Roth IRA is another place to invest in your retirement, and they each have certain tax advantages. Unlike 401(k) accounts, IRA accounts are not administered through an employer. They’re commonly offered by banks, credit unions, brokerage firms and mutual fund companies.
• Save or invest your tax return. If you’re getting an annual tax refund from the IRS, consider putting it into a savings account or investing it.

How can I build an emergency fund? An emergency fund can help keep you from going into debt when unexpected costs arise. To get started with building up your emergency savings:

• Create a budget and pay attention to areas where you can start saving more money.
• Open a high-yield savings account, if you don’t already have one. Setting up automatic transfers to this account every payday helps ensure you’ll continue to save money.
• Save unexpected income or any windfalls, such as tax returns or work bonuses.
• Aim to save at least three to six months’ worth of expenses in your emergency fund.

What is the 50/30/20 budget rule? This simple budgeting strategy involves setting aside 50% of your monthly income for needs, 30% for wants and 20% for savings. Allocating your money into these three buckets can be a simple and effective way to change your spending and saving habits.

Key takeaways

• Only 46% of U.S. adults have enough emergency savings to cover three months of expenses, making saving money more crucial than ever.
• Automatic transfers to a high-yield savings account earning around 4% APY can help build emergency funds without extra effort.
• Cash-back apps and comparison shopping can save hundreds annually on everyday purchases like groceries, gas, and insurance.
• Simple changes like switching to generic brands, negotiating bills and using coupons can free up significant money for savings.

©2026 Bankrate.com. Distributed by Tribune Content Agency, LLC.

On Tuesday, the group secured another landmark property in Santa Clara County, announcing it had purchased Mead Ranch, a 1,921-acre parcel between San Jose and Morgan Hill, for $24.3 million.

The ranch, located in the picturesque rolling foothills along Uvas Road, will be preserved as open space, according to the organization, commonly known as POST. It’s the latest property in recent years to be set aside for wildlife, farming or open space in and around Coyote Valley, an area west of Highway 101 on San Jose’s southern edges where tech giants Apple and Cisco once proposed to build huge campuses in the 1980s and 1990s.

“There are rolling hills, oak-studded grasslands, ponds and beautiful views,” said Gordon Clark, president of the Peninsula Open Space Trust, during a recent visit to Mead Ranch. “This property is a key linchpin that connects the Santa Cruz Mountains to Coyote Valley.”

Clark said the purchase, which was funded in large part by a grant from the Gordon and Betty Moore Foundation, is the latest example of a wider strategy to provide places to roam for mountain lions, deer and other wildlife that are increasingly isolated by freeways and development across California.

“We’ve been filling in puzzle pieces on the valley floor at Coyote Valley and bigger pieces on the hillsides around it,” Clark said. “We’re trying to protect big blocks that wildlife can use as habitat, and which link to the  Diablo Range and the rest of the state.”

The ranch is roughly twice the size of Golden Gate Park in San Francisco. From its highest hills, visitors can see Mount Hamilton to the east, and Mount Umunhum and Loma Prieta to the west. With the purchase, about 49,000 acres of open space now exists between Mount Umunhum and Highway 101 — an area six times the size of Stanford University.

Since 1954, Mead Ranch had been owned by the family of Stephen D. Bechtel Jr., who from 1960 to 1990 served as president of Bechtel, a major American engineering and construction company. Bechtel was married to Elizabeth Mead Hogan, who died two years ago. Stephen D. Bechtel Jr., died in 2021 at age 95, with a net worth estimated at $3.5 billion.

Founded in San Francisco in 1898, the Bechtel company built Hoover Dam, BART and the Channel Tunnel between England and France, along with airports, nuclear plants and other huge projects around the world. Over time, some Bechtel heirs have moved out of the Bay Area, and the company shifted its headquarters to Virginia in 2018.

Along with his friends and family, Bechtel used Mead Ranch for getaways and hunting trips. In 2007, he hosted the National Retriever Championship on the property, an annual event in which hunting dogs from around the United States compete to retrieve birds, like ducks or pheasants, while navigating challenging terrain.

Evan Johnstone of Reno, Bechtel’s grandson, declined to comment on the sale.

In 2023, another branch of the family sold an adjacent property called Lakeside Ranch to POST for $22 million.

POST transferred that property to the Santa Clara Valley Habitat Agency, a government agency that preserves open space as part of a broad countywide plan in which developers pay fees to offset harm they do to endangered species on their properties so they can obtain permits. Clark said the same outcome is likely with Mead Ranch.

Santa Clara County’s landscape and politics have shifted considerably since the Bechtels, who also have lived in San Francisco and Piedmont, first bought the two ranches during the Eisenhower years.

From the 1950s until the 1980s, San Jose sprawled in all directions. With a booming post-war economy driven by military contractors, electronics companies and computer firms, city leaders eagerly approved bulldozing orchards and farms that had given the area the name “Valley of Heart’s Delight” for freeways, subdivisions and businesses.

By the 1980s and 1990s, political views began to shift. San Jose, neighboring cities and Santa Clara County began passing rules to limit development on hillsides and some farmland. Environmental groups and land trusts began pushing for new parks and open space preserves. Many old-time ranching families sold their properties, which have increasingly become parks and open space preserves.

“It used to be that Grandpa bought the land,” said Henry Coletto, a retired game warden with the Santa Clara County Sheriff’s office from 1988 to 2004, who also worked as a county parks ranger starting in 1967. “His family raised cattle, then the second generation raised their family there, and the third generation sold the property because they didn’t want to be in the cattle business. It’s a tough life. Today, there are only a handful of cowboys who own their own land in this area. The rest are renting it from open space and parks agencies.”

Coletto said that amid the working ranchers, several wealthy families from the Peninsula and San Francisco, including the Hewletts and Packards, bought large pieces of land in rural Santa Clara County in the 1950s and 1960s.

“Back then, it was a trend for people who had money to have a big ranch and be a cowboy or raise horses,” Coletto said. “The Bechtels didn’t spend a lot of time on the property. But they did invite friends to do pheasant hunting and work with dogs. They did a beautiful job of maintaining the fences and the corrals and the houses.”

The Bechtel family allowed cattle grazing on the ranch, which POST will continue. The family also built six homes on the property. POST says it’s not sure yet what it will do with them or if there ever will be public access to the property, although it could provide a 1.5-mile addition to the Bay Area Ridge Trail. Coletto said he hopes it’s not too heavily grazed in the future, particularly around two sensitive streams that run through the property, Uvas and Llagas creeks.

“The big thing is that the land is not going to be developed,” he said. “It’s like its own little mountain range back there. There are some good water areas there on the west side. The whole area is pretty important for wildlife.”

Answer: Effective negotiation is an art that can be learned. Understanding the basic principles of successful negotiation can help you to make the best deal possible and steer away from possible costly litigation. The following are some universal and crucial negotiating tips that could help you:

· Before you enter into the negotiation, know what you want. This means that you should already have determined the maximum amount you can offer based upon your personal financial situation and the calculated worth of the business. Also, you should determine what issues you are willing to back down on. By understanding these issues prior to the negotiation, you can keep sight on what you absolutely need and what you can do without.

· Make sure that what you offer is realistic. You may need to get a professional appraisal of the business to help determine its true value. Do your due diligence!

· Prepare yourself by reading a book on negotiating or by consulting with an attorney or CPA. You must learn about the various tax and legal ramifications of the purchase, and the different deal structures available to you.

· Learn as much about the selling party as you can. Why are they really interested in selling the business? Are they pressured for time? Are they negotiating with anyone else?

· Get to know the seller personally. It is much easier to communicate with someone with whom you are familiar than with a stranger. Your ability to influence the seller may be enhanced when you have a pre-existing relationship.

· Develop an agenda and stay with it. In addition to determining what you want and what the bottom line is, like at any important meeting, you should also ascertain what you would like to accomplish during any given communication. That way, if conversation veers off-course, you can always steer it back to the most important issues.

· Don’t let your emotions get in the way and become a deal breaker. If you feel yourself becoming frustrated and your temper begins to rise, take a break. Do not take the seller’s negotiating tactics as a personal attack.

· If the negotiations hit a wall, isolate the cause. If there is an issue or a group of issues over which a stalemate develops, dig a little deeper to find out the underlying issues which are causing the conflict. Very often, these issues, once discussed, are less crucial than they seem and can be easily resolved.

· If the situation seems hopeless, take a break. If the negotiation is going nowhere and you don’t want the deal to die, take time out to regroup. Review the issues, examine your approach and try to come up with an alternative strategy. An experienced negotiator or mediator, who is an impartial party to the negotiation, can often work through tough issues and get the process back on track.

Utilizing these strategies can’t guarantee that you will always get what you want in a negotiation situation. However, if you have a solid game plan, you will certainly enhance your chances for success. Best of luck!

Each year, the Edmunds Top Rated Awards are bestowed on the best new cars, trucks and SUVs on sale. To win, a vehicle must rank at the top of its class based on Edmunds’ rigorous, independent testing and evaluation process. That means each winner has been tested at the Edmunds test track and thoroughly evaluated over many miles of real-world use.

Edmunds divides the awards into six main categories: best car, best SUV and best truck, and electric versions of the same categories. This year’s Edmunds Top Rated Awards feature some repeat winners and newcomers, and each is a great choice if you’re planning to purchase a new vehicle. Note that all prices below include destination charges.

Edmunds Top Rated Car: Honda Civic Hybrid

The Honda Civic maintains its spot from last year as the Edmunds Top Rated Car for 2026. With its available hybrid powertrain, the Civic achieves up to an EPA-estimated 49 mpg in combined city/highway driving, which is excellent for a small car. On top of that, the Civic Hybrid provides quick acceleration, roomy seating, and an upscale interior design that’s nicer than what you’ll find in the competition. Another bonus: The Civic Hybrid is available as a sedan or as a hatchback with extra cargo space.

Starting price for a Civic sedan with the hybrid engine: $30,590

Edmunds Top Rated Electric Car: Tesla Model 3

The significant updates to the Tesla Model 3 last year continue to make it a compelling choice and an Edmunds Top Rated winner. This small electric sedan boasts an affordable starting price, ample range and helpful technology features. In the independent Edmunds EV Range Test, the Model 3 Long Range All-Wheel Drive went 338 miles on a single charge, enough for days of worry-free commuting or even a road trip. Easy public charging at Tesla’s nationwide Supercharger high-speed charging network is another plus. Tesla’s Full Self-Driving (Supervised) is a nearly magical technology that steers the car through city streets like a robotic chauffeur.

Starting price: $38,630

Edmunds Top Rated SUV: Hyundai Palisade Hybrid

The Hyundai Palisade is fully redesigned this year, and this midsize three-row SUV is a winner. Seating up to eight passengers and powered by either a gas or hybrid engine, the Palisade looks like a luxury SUV. The roomy and comfortable interior reinforces that impression with options like power-operated second-row seats that are hard to find even on luxury brands. Edmunds prefers the Palisade Hybrid. It’s more powerful and noticeably quicker than the standard gasoline version and gets up to an EPA-estimated 34 mpg combined, which is excellent fuel economy for a big family-hauling SUV.

Starting price: $45,760

Edmunds Top Rated Electric SUV: Hyundai Ioniq 5

The Hyundai Ioniq 5 is an affordable five-seat electric SUV that appeals to nearly anyone looking for an EV. With models ranging from budget-friendly entry-level trims all the way up to the high-performance N and off-road XRT, the Ioniq 5 has a little something for every EV shopper. The comfortable and roomy interior feels high-tech and has plenty of room for passengers. The Ioniq 5 is also capable of very quick public fast charging, enabling you to spend less time at the charging station and more time driving.

Starting price: $36,600

Edmunds Top Rated Truck: Ford Maverick

Ford once again earns an Edmunds Top Rated Truck award, but this time it’s the compact Ford Maverick taking home the trophy. The Maverick is much easier to maneuver around town than a full-size, or even a midsize, truck, and you have a choice between a fuel-sipping hybrid or a powerful turbocharged engine. It’s also respectably capable of truck stuff too. It has a small but useful cargo bed and a maximum towing capacity of 4,000 pounds. All-wheel drive is available, and specialty Maverick versions include the off-road-capable Tremor and the sporty Lobo.

Starting price: $28,990

Edmunds Top Rated Electric Truck:

Changes made to Rivian R1T electric pickup last year keep it at the top of our electric truck list. And why not? The styling is distinctive, and its stable handling and rapid acceleration can make you question whether you’re driving a pickup or a performance car. In the independent Edmunds EV Range Test, a dual-motor, Max battery-equipped R1T went 390 miles on a charge, excellent range for its class. Topping it off are outstanding truck virtues, from its off-road-ready all-wheel-drive system to its 11,000-pound maximum towing capacity to the clever cargo storage area between the cab and bed.

Starting price: $74,885

This story was provided to The Associated Press by the automotive website Edmunds. Keith Buglewicz is a contributor at Edmunds.

The Pebble Beach Company and Hanse Golf Course Design released their plans for the transformation that took inspiration from the Monterey Peninsula’s other courses a few weeks ago. Under the guidance of Gil Hanse, Jim Wagner and the Course Design team, the 38-year-old Spanish Bay will be totally reworked, hoping to take full advantage of its coastal setting.

The finished redesigned The Links at Spanish Bay aims to be more fun, playable and strategic for all golfers, while also better suited to challenge today’s elite player according to the plans.

Changes to the course will include relocating several green sites, including the current 14th and 18th holes, creating room for a new par-three that will replace the current 13th hole, expanding putting greens by about 40% and resurfacing to provide smoother, more receptive targets and variety for hole locations. Fairways will be widened by about 30%, fairway bunkers will be adjusted in an attempt to make the playing corridors more forgiving and strategic. In total, the forward tees will be about 500 yards shorter (4,705 total) and the championship tees about 375 yards longer (7,115 total) with the par changing from 72 to 71. The cart path system will also be altered to try and better blend into the landscape.

New drainage and irrigation systems will be installed with 12% less irrigated turf and three more acres of environmental habitat area.

“Working on a project like this is a golf course architect’s dream,” said Hanse, president and lead designer of Hanse Golf Course Design in a press release. “The Spanish Bay site is one of the best we’ve seen for golf, one where all your senses are stimulated by the crashing Pacific surf, and we are excited by Pebble Beach Company’s commitment to creating another extraordinary golf experience on the Monterey Peninsula. This opportunity truly brings out the golf fan in me as much as the designer.”

The new course is expected to open to the public April 17, 2027, just ahead of the 127th U.S. Open being played at Pebble Beach Golf Links for a seventh time. Bookings on the new course are currently available through Pebble Beach Resort Reservations.

“We are highly confident in the HGCD team and their ability to transform Spanish Bay into a ‘must play’ course for any golfer visiting Pebble Beach,” said David Stivers, CEO of the Pebble Beach Company, in the release. “We have seen a brilliant vision emerge from the planning stages and look forward to watching it take shape over the coming year.”

Construction updates and documentary content will be shared throughout the process on Pebble Beach’s website and social channels. For general information about Pebble Beach Resorts, visit www.pebblebeach.com or follow Pebble Beach on Facebook and Instagram.

WASHINGTON (AP) — A federal court on Monday rejected the Trump administration’s attempt to slow the process of refunding billions of dollars’ worth of tariffs the Supreme Court struck down as illegal last month.

The U.S. Court of Appeals for the Federal Circuit started the next phase in the refund process by sending it to a lower court to sort out.

In a court filing Friday, Trump’s Justice Department had urged the Federal Circuit to proceed cautiously and hold off for 90 days. But the judges refused.

The Supreme Court ruled Feb. 20 that Trump’s sweeping tariffs on most countries in the world were illegal, clearing the way for the importers who paid them to seek refunds.

The government had collected more than $130 billion from the tariffs by mid-December, and could ultimately be on the hook for refunds worth $175 billion, according to calculations by the Penn Wharton Budget Model.

But the Supreme Court offered no guidance on refunds; its decision did not even mention them. Now the U.S. Court of International Trade in New York will decide how the complicated refund process should proceed.

“I would expect the Court of International Trade to quickly issue an order requesting a status update from the government on their plans with respect to refunds (or expedited briefing),” said trade lawyer Ryan Majerus, a partner at King & Spalding and a former U.S. trade official. “I expect the court to take an aggressive posture, asking the government to justify how they intend to comply with the Supreme Court’s ruling.”

Siddartha Rao, a partner at law firm Hoguet Newman Regal & Kenney, said he has been getting a lot of calls from clients with questions.

“We are somewhat in uncharted territory,” he said.

The Trump administration has been reaching for new tariffs to replace the ones the Supreme Court struck down.

One question, he said, is how the government might actually pay for these refunds.

“Everyone is sort of cognizant of the fact that it’s not like there’s over a hundred billion dollars sitting in, you know, in a room somewhere to just cut checks,” Rao said. “So, you know, this is a Treasury problem, and it may very well be that the administration is reimposing tariffs for the reasons that it’s cited … it’s important for strategic trade agreements and for bargaining power and all of that. But it also might be that they need to raise revenue to pay out refunds.”

Mae Anderson reported from New York.

AP Writer Lindsay Whitehurst in Washington contributed to this story.

WASHINGTON (AP) — President Donald Trump, his Treasury secretary and his choice to lead the Federal Reserve believe they can coax the U.S. economy into partying like it’s 1999.

They are putting their faith in artificial intelligence to duplicate what happened when another technology arrived in the 1990s: the internet. Back then, the American economy surged as businesses became more productive, unemployment tumbled and inflation remained in check.

Trump is confident that his nominee to become Fed chair, Kevin Warsh, can unleash an even greater economic bonanza by jettisoning what the president sees as the central bank’s hidebound reluctance to slash interest rates.

Many economists are skeptical.

The world looks a lot different today than it did when the Spice Girls ruled radio and “Titanic’’ dominated the box office. And the story the Trump team is telling — that a visionary Fed chair, Alan Greenspan, fueled the ‘90s boom by keeping interest rates low — is incomplete at best.

“The administration is offering a rather distorted version of what actually happened in the 1990s,’’ economist Dario Perkins of TS Lombard said in a commentary.

Nonetheless, the Trump administration believes history can repeat itself. All that’s been missing, in the president’s view, is a Fed chair with Greenspan’s foresightedness.

AI’s influence over interest rates

Trump has repeatedly attacked current Fed chief Jerome Powell, whose term as chair ends in May, for his reluctance to lower rates aggressively while inflation hovers above the central bank’s 2% target. Treasury Secretary Scott Bessent said on social media in January that the president sought to replace Powell with someone with “an open, Greenspan-like mind.”

“Our nation can see productivity boom like we did in the ’90s when we are not encumbered by a Federal Reserve which throws the brakes on,” Bessent said.

On Jan. 30, Trump said he was picking Warsh.

In speeches and writings, Warsh has argued that AI-driven improvements in productivity could justify lower interest rates.

These views align with Trump’s desires for Fed rate cutes but mark a break with Warsh’s own past as an inflation hawk. In the aftermath of the 2007-2009 Great Recession, Warsh — then a Fed governor — objected to some of the central bank’s efforts to help the struggling economy by pushing down rates even though unemployment exceeded 9%. Warsh warned then, wrongly, that inflation would soon accelerate.

At issue now are gains in productivity and the possibility that AI will make them bigger — much bigger.

To economists, productivity improvements are almost magical. When companies roll out new machines or technology, their workers can become more efficient and produce more stuff per hour. That allows firms to earn more and to raise employees’ pay without raising prices. In short: Surging productivity can drive economic growth without spurring inflation.

Greenspan and the internet

In the mid-1990s, Greenspan was contending with a strange set of economic circumstances: Wages were rising, but inflation wasn’t heating up.

Big productivity gains might have explained things, but government data showed no sign of them. Other Fed policymakers worried that surging wages and tame inflation couldn’t co-exist and that higher prices were coming. They wanted to raise interest rates.

But Greenspan suspected the official productivity numbers were missing something. For one thing, they didn’t jibe with the amazing tales of efficiency improvements the Fed was hearing from companies investing in computers and turning to the internet.

So he ordered his lieutenants to dig through decades of productivity numbers. The official statistics they assembled told an implausible story: Services firms — from retailers to legal practices — had supposedly seen productivity fall over the years, despite intense competitive pressure and massive investments in technology.

Greenspan didn’t believe it. He persuaded his Fed colleagues that the government’s numbers were wrong and were understating productivity. They agreed in September 1996 to hold off on raising rates.

The economy took flight.

Tardily, productivity advances began to show up in the official data. Overall, American economic growth surpassed 4% every year from 1997 through 2000, something it would do again only once in the next quarter century. The unemployment rate plunged to 3.8% in April 2000, lowest in three decades. Inflation stayed in its cage, coming in below 2% — later the Fed’s official target – for 17 straight months in 1997-1999.

History repeats itself … maybe?

American productivity certainly looked strong in the second and third quarters of 2025, and some economists attribute the improvements to early adoption of AI; they see bigger gains and stronger economic growth ahead.

Others aren’t so sure.

Joe Brusuelas, chief economist at the consulting firm RSM, wrote that the 2025 productivity improvements “are not because of artificial intelligence’’ but reflect investments in automation that companies made when they couldn’t find enough workers during and after the COVID-19 pandemic. “Those investments are starting to pay off,’’ Brusuelas wrote.

Economist Martin Baily, senior fellow emeritus at the Brookings Institution, believes it will take time for AI to have a big impact on the way companies do business and on the nation’s productivity.

“Companies don’t change that fast,” said Baily, chair of President Bill Clinton’s Council of Economic Advisers. “It’s expensive to change. It’s risky to change. The managers don’t necessarily understand the new technology that well. So they have to learn how to use it. They have to train their staff. All that stuff takes a long time.’’

A productivity boom can raise the economy’s speed limit — how fast it can grow without pushing prices higher. But it might not justify lower interest rates, Federal Reserve Gov. Michael Barr said in a speech earlier this month.

Businesses will borrow to invest in AI, putting upward pressure on interest rates. Likewise, American workers and their families likely would save less and borrow more in anticipation of higher wages, the payoff for being more productive; that would put still more pressure on rates to rise.

Bottom line, Barr said: “The AI boom is unlikely to be a reason for lowering policy rates.’’

Even Greenspan’s Fed eventually came to the same conclusion, reversing course and starting to raise its benchmark rate in mid-1999, taking it from 4.75% to 6.5% in less than a year. (The rate Trump complains about now is around 3.6%.)

“Warsh and Bessent talk only about the dovish 1995/96 version of Greenspan; they overlook the hawkish 1999/2000 variant,’’ Perkins wrote.

Then and now

Many of Warsh’s potential future colleagues on the Fed’s interest-rate setting committee see the late 1990s experience differently than he does, setting up what could be a clash at the central bank if the Senate confirms Warsh as chair.

Austan Goolsbee, president of the Federal Reserve Bank of Chicago, said earlier this week that “the analogy to the late 90s is a little harder for me to understand.” Greenspan’s insight was that productivity gains meant the Fed could hold off on raising rates, not that it should slash them, Goolsbee noted.

“It wasn’t, ‘Should we cut rates because productivity growth is higher?’” he said.

The economic backdrop that awaits Warsh is also far less friendly than the one Greenspan enjoyed.

Greenspan was avoiding rate hikes at a time when the usually profligate U.S. government was running rare budget surpluses and didn’t need to borrow so desperately. Now, after a series of spending hikes and tax cuts, deficits are piling up year after year, and the Congressional Budget Office expects federal debt to hit a historic high of 120% of America’s GDP by 2035.

Nor was productivity the only thing controlling inflation in the 1990s. Countries were lowering tariffs and dismantling trade barriers. Immigration was surging.

Now, thanks largely to Trump’s own policies, notably his sweeping taxes on imports and his crackdown on immigration, the world is much different. “Trade barriers are going up,’’ Perkins wrote. “Globalization has given way to de-globalization.’’

“That benign era is clearly behind us,’’ said Michael Pearce, chief U.S. economist at Oxford Economics.

AP Economics Writer Christopher Rugaber contributed to this story.

Since 2002, retirement savers age 50 and over have had the option of making “catch-up” contributions to their 401(k) plans, which stack on top of the regular limits for employee contributions to tax-deferred retirement plans. The amounts were limited to $1,000 per year when they first came out but expanded to $7,500 by 2025.

In addition, contributions to tax-deferred retirement plans are excluded from adjusted gross income, resulting in a lower tax bill on income that would otherwise be taxed. For example, a 50-year-old employee who contributed the $23,500 maximum to her retirement plan in 2025 plus the $7,500 catch-up amount would have effectively shielded $31,000 from current-year taxes, resulting in a tax break of $7,440 for someone in the 24% tax bracket.

New for 2026: One tax break goes away with Secure 2.0

But starting this year, these tax breaks will be off-limits for some retirement savers. That’s because of a new provision from  Secure 2.0  that went into effect on Jan. 1, 2026. Individuals who earned more than $145,000 in prior-year wages from their current employer (indexed for inflation) will only be able to make catch-up contributions to a Roth 401(k), meaning the contribution amount will be subject to taxes upfront.

For a higher-earning 50-year-old who contributes the $8,000 maximum catch-up amount to a Roth 401(k) in 2026, those dollars won’t be deducted from adjusted gross income. As a result, taxes paid for this year would be about $1,920 higher (assuming a 24% tax bracket) than they would have been if the catch-up amount had gone to a traditional 401(k). Paying taxes upfront makes these contributions less attractive than they were previously, especially for retirement savers who expect to be in a lower tax bracket in retirement.

Why you might still want to make catch-up contributions

Even without a tax break, you’ll probably still want to contribute the extra amount if you’re running behind on retirement savings. If you contribute the full catch-up amount (currently $8,000) starting at age 50 and continue doing so through age 65, you could make total contributions of $120,000 or more over that period. If you’re between 60 and 63, you can contribute even more as a “super catch-up” of up to $11,250 per year, with contributions for higher earners subject to the same rules as the regular catch-up contributions.

A 50-year-old who maxes out on catch-up and super catch-up contributions could end up with about $200,000 (assuming a 5% annual return) in the Roth 401(k) by age 65.

The tax advantages of a Roth 401(k)

In contrast to a traditional 401(k) or IRA, there’s no tax hit when money is withdrawn to cover spending in retirement, and the account isn’t subject to required minimum distributions. As long as the distribution is “qualified” (taken after age 59½ from an account that has been open for at least five years), the proceeds aren’t subject to ordinary income taxes or capital gains taxes. 2. Roth 401(k)s also allow for tax-free growth; annual distributions from income or capital gains aren’t subject to taxes. As a result, if you’re comparing saving in a taxable account versus contributing to a Roth 401(k), the Roth option would be more tax-efficient. 3. In contrast to a traditional IRA or 401(k), distributions from a Roth account don’t result in other income adjustments, such as the net investment income tax or the income-related monthly adjustment amount that results in surcharges for Medicare premiums. 4. Finally, a workplace Roth 401(k) can later be rolled into a Roth IRA, which can be useful if you’re planning to make Roth conversions after retirement.

Why you might want to skip making catch-up contributions

It’s important to note that funds contributed to a Roth 401(k) may not be eligible for matching contributions from your employer. Employers were previously required to treat matching contributions as pretax contributions, meaning that matching contributions to a Roth 401(k) weren’t allowed. Secure 2.0 loosened up these restrictions, but not all employers have updated their plans.

On balance, though, I’d lean in favor of continuing to make catch-up contributions if you can, even though they no longer help reduce taxable income before retirement.

One final note: If you qualify as a higher earner but your employer’s plan doesn’t offer a Roth 401(k) option, you won’t be able to make these catch-up contributions.

This article was provided to The Associated Press by Morningstar. For more retirement content, go to https://www.morningstar.com/retirement.

Amy C. Arnott, CFA, is a portfolio strategist for Morningstar and co-host of The Long View podcast.

Related Links

4 Simple Ways to Boost Your Safe Withdrawal Rate https://www.morningstar.com/retirement/4-simple-ways-boost-your-safe-withdrawal-rate

Retirees: Take the Risk Out of Your Income With a TIPS Ladder

https://www.morningstar.com/retirement/retirees-take-risk-out-your-income-with-tips-ladder

Investors First: The New Rules of Retirement

https://www.morningstar.com/retirement/investors-first-new-rules-retirement-2