Month: May 2017

How Ransomware Works

Please take a few minutes to read this message, because it’s on a very important topic: cybersecurity.

On Friday, May 12, 2017, well over 100 countries started getting hit by one of the largest cyberattacks ever seen.¹  This particular attack all centers around a type of scam known as ransomware. 

You know, of course, what a ransom is.  Someone takes something from you—be it your property, your identity, your secrets, even a loved one—and demands money in exchange for returning it.  That’s exactly how ransomware works.  In this case, cybercriminals essentially take your computer hostage, locking you out of your files until you pay a ransom.

Ransomware isn’t new, but it’s now more rampant than ever.  While the odds of you becoming a ransomware victim are probably low, it’s important that you still take steps to avoid it.  After all, cybersecurity is really just an aspect of overall financial security—and financial security is something no one can afford to ignore.

Here are a few things you need to know:

Ransomware can get onto your computer if you visit a malicious or hacked website.  It is often spread through a form of fraud called phishing, which is defined as:

“The creation of email messages and Web pages that are replicas of existing, legitimate sites and businesses.  These Web sites and emails are used to trick users into submitting personal, financial, or password data.  These emails often ask for information such as credit card numbers, bank account information, social insurance numbers, and passwords that will be used to commit fraud.”²

Often, phishing works because it plays on people’s fears, or because it creates a sense of urgency to act.  For example, imagine you get an email that looks like it came from your bank, saying there has been suspicious activity on your account and that you must click on a specific link to fix the problem.  Clicking on the link could automatically download ransomware onto your computer.

In the case of this current cyberattack, victims received a message on their computer saying their files were encrypted, and that they must pay $300 for the files to be released.

How to Protect Yourself From Ransomware

Fortunately, the best way to protect yourself from this or future ransomware attacks is by simply following good internet “hygiene.”  For example:

• Make sure your antivirus and antimalware software is up-to-date. Also, install a pop-up blocker in your web browser.
• Routinely backup your computer files. You can save copies of your files to the Cloud with services like Microsoft OneDrive, Google Drive, and Dropbox, or to an external disc or hard drive.
• Never click on links, read emails, or open attachments from people you don’t know or companies you don’t do business with.
• When reading emails and websites, scrutinize them carefully. Often, they will be littered with misspellings, which is a strong sign of fraud.
• Legitimate banks, retailers, and social media sites should never ask for your personal information via email. If you receive a message from someone asking for this info, assume it’s a scam.
• Furthermore, as a rule of thumb, do not reply to any message, electronic or otherwise, that requests your personal information.
• When doing business online, look at each website’s address. Secure websites should have a small symbol of a lock next to their URL, or the letters https (instead of merely http) at the beginning of the address.  Both the lock and the letter “s” indicate that the site has been verified as secure.

What do I do if I’ve already been hit by a ransomware attack?

First off, most experts agree you should never pay the ransom.³  There’s no guarantee the criminals behind the attack will hold up their end of the bargain, and it could open you up to other forms of malware.  Instead, you will need to take steps to manually remove the ransomware, which can be very difficult.  If you need help with this, you can visit Microsoft’s page on the subject at https://www.microsoft.com/en-us/security/portal/mmpc/shared/ransomware.aspx.

¹Mark Thompson & Jethro Mullen, “World’s biggest cyberattack sends countries into disaster recovery mode.” CNN Money, May 14, 2017.  http://money.cnn.com/2017/05/14/technology/ransomware-attack-threat-escalating/index.html?iid=EL

²“Phishing scams,” Canadian Anti-Fraud Centre, modified March 11, 2015.  http://www.antifraudcentre-centreantifraude.ca/fraud-escroquerie/types/phishing-hameconnage/index-eng.htm

³Chris Baraniuk, “Should you pay the WannaCry ransom?” BBC, May 15, 2017.  http://www.bbc.com/news/technology-39920269

Resolution #5: Learn your Social Security options

For the past few months, we’ve shared several Weekly Wires that touch on different retirement-related “resolutions” you should try to set this year.

This month’s resolution should be particularly important to you, as it directly affects your retirement income.

Many people don’t realize that there are ways to maximize your Social Security benefits.  In other words, you may have the ability to increase your post-retirement income.  Your next resolution, then, should be to learn about the different options for maximizing your benefits, and then decide which option makes the most sense for you.

Here are three of the most important options:

Option #1: Delay collecting your benefits

Too many people rush to collect their Social Security benefits as soon as they retire.  This is sometimes a mistake, especially if you retire early.  Technically, you can begin receiving benefits as early as age 62, but if you do so, your benefits will be reduced significantly.  For example, if you were born between 1943 and 1954, your payouts would be reduced by 25%.¹  And the reduction isn’t temporary.  It’s permanent.

Waiting till your “full retirement age” could be a better option—it means you won’t face any reduction.  What is your “full retirement age?”  It’s the age at which a person may first become entitled to “full” or “unreduced” retirement benefits.¹  The chart on the next page gives you the specifics:

The latest you can begin collecting benefits is at age 70, and there’s good reason to hold off until then if you can afford it.  Benefit payments go up 8% for every year you wait after you reach your full retirement age up to age 70.  In other words, the longer you can keep your hand out of the cookie jar, the more sweets you’ll eventually receive.

Option #2: Claim spousal benefits

Another way to potentially maximize your Social Security is to claim a spousal benefit.  Married individuals can claim Social Security based on either their personal earnings record (in other words, their own work history) or on their spouse’s earnings record.  If a married individual chooses the latter, they would receive up to 50% of their spouse’s benefit.

Why would you choose to claim benefits based on 50% of your spouse’s earnings record rather than your own?  It’s simple: because you may be able to claim whichever number is higher.  Be aware, however, that you cannot claim a spousal benefit until your spouse has filed their own claim.

Option #3: Claim survivor benefits

Imagine a hypothetical couple, John and Mary.  Let’s say that both claimed Social Security based on their own earnings records.  Now let’s say that John dies of a heart attack, leaving Mary behind.  Under certain circumstances, Mary can file to receive John’s benefit, or increase her own benefit to the same amount that John enjoyed, if John’s number is greater.

Of course, there are other ways to potentially maximize your Social Security benefits.  The point is that you need to start educating yourself on your options now – because choosing the right option can have a significant impact on your retirement income!

Our financial planner, Cory Laird, conducts an informative seminar that covers the basics of Social Security and reveals innovative startegies for maximizing benefits.  Our next seminar is scheduled for Tuesday, May 23^rd.  It begins at 5:30PM and takes place in our office.  If you’re interested in attending the seminar or if you would prefer to schedule an appointment with Cory for a Social Security analysis, please call us 518-499-4565.  We would be happy to provide any insight that we can. 

¹ “Retirement Planner: Benefits By Year of Birth,” Social Security Administration, accessed May 2, 2017.  http://www.socialsecurity.gov/retire2/agereduction.htm

It’s been said that checklists are a great way to simplify a complex task.  They help you do everything that needs to get done.  They keep you organized.  They ensure nothing gets skipped or forgotten.

With that in mind, we’d like to share a very important checklist with you:

The “Thanks, Mom” Mother’s Day Checklist

“Now, wait a minute,” you’re probably saying.  “Why do I need a checklist for something as simple as Mother’s Day?”

To that we answer: do you have any idea how many things there are to thank moms for?

After reading this checklist, you will.  For instance:

• Every meal prepared
• Every meal cleaned up
• Every example set
• Every lesson learned
• Every tantrum endured
• Every question answered
• Every bruise kissed
• Every cut bandaged
• Every fever cooled
• Every dollar earned
• Every compliment given
• Every sleepless night spent
• Every homework paper checked
• Every load of laundry
• Every baseball practice or gymnastics meet
• Every Christmas present
• Every birthday cake
• Every visit from the tooth fairy
• Every encouragement ever given
• Every fear soothed
• Every goodnight kiss
• Every nightmare chased away
• Every bedtime story read
• Every heartbreak healed

And most of all …

• Every “I love you” ever said

As you can see, we have so much to thank our moms for—and this doesn’t even cover half of it!  So, this Mother’s Day, maybe we shouldn’t just say “Thanks.”  Maybe we should list all the things we’re thankful for.  Sure, their worth is immeasurable.  Let’s try to measure them.  Their number is uncountable.  Let’s try to count them.  It may feel a little awkward.

Let’s do it anyway.

Because let’s face it: Moms do everything for us.  Let’s do this little thing for them.

On behalf of our entire team, have a wonderful Mother’s Day!

(And if she’s reading this …)

Thank you, Mom!

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