KMP Blog » Money Mondays

Dollars and Uncommon Sense: Basic Training for your Money by Steve Repak

KMP Blog — Mon, 23 Jan 2012 22:58:09 +0000

This book could not have come at a better time in my life. We all read many financial books, that are here to guide us into taking care of our spending and finances. Well, I can honestly say I have read one too many books, and as much useful information as they provide me, I still felt lost and confused. Dollars and Uncommon Sense is somewhat different, when I received the book, I immediately thought this would be another book that will tell me things that I most likely will not do. I was wrong… It took me about a week to finish this book, only because I wanted to take action in what was requested of me, right away. Dollars and Uncommon Sense is meant to be read in one sitting, maybe two, depending on your availability.

What makes Dollars and Uncommon Sense the must-have financial book for the year 2012?!

The fact that you can start to see major changes to the way you handle your money, as well as the fact that by the end of the year, if you follow the steps in the book, you will most likely see major financial changes that you didn’t see in your previous years.

The thing that grabbed my interest and kept me motivated to read this book was at how easy the steps are, and although some of them won’t make much sense right away, in the end it will.

This book will teach you the following and much more:

Change the way you think about money by establishing the 6 Key Traits of Wealth Builders
It will teach you the 3 Ps: Principles, Priorities and Plans
It will teach you how to spend your money. I know most of us do not need help in this area, or so we think we don’t. The Spending chapter in the Dollars and Uncommon Sense will make you realize that you probably spend more money than you think. It is a real eye opener.
It will teach you how to change your Priorities. This one was a tough one for me, because it didn’t make sense. Hence the title of the book Dollars and Uncommon Sense, some things in this book, won’t immediately make sense to you, at least not right away. After reading the book, it all makes sense now. According to the book, your priorities should be as follow: Give, Save and Pay.

“Giving away 10 percent of what you make is the easiest and quickest way for you to start having more money.” (Dollars & Uncommon Sense, Steve Repak)

The book prepares you with really simple ways to get out of debt, save money for rainy days, and save money for when you want to “Quit” days. Dollars & Uncommon Sense: Basic Training for your Money is unlike any other financial book you’ll ever read. It will truly change your life and knock some financial “uncommon” sense into you.

Please note: A complimentary copy of Dollars & Uncommon Sense Basic Training for your Money was provided by The Cadence Marketing Group for review.

3 Money Tips to Help You Get Rid of Debt

KMP Blog — Mon, 02 Jan 2012 14:15:41 +0000

Every year we complain that we do not have enough money to do anything, yet we find ways to somehow, somewhere find funds to pay for really expensive handbags, really expensive shoes, or really expensive gadgets that we don’t really need nor can “afford”. Personally, I have realized that there are a lot of things that I want and in order to achieve them I have to make some spending habit changes. This year I am planning to do the following and I hope you plan to do the same.

I. Pay off your debt -

The first debt I want out of my sight is my student loans. Sallie Mae has been digging my pockets for far too long and lately I’ve realized that I should’ve done this a long time ago. I’m making it my business to pay off my student loans this year. In 6 months or maybe a year but it shall be done.

II. Double your payments -

You know those paychecks where you have excess money because you’ve already paid the rent, you’ve paid your bills, but you still have a nice chunk of change that makes you feel as if you are “rich” so you decide to go on a shopping spree because you got “money”! Hmm… Not really. While it may seem like you have money, you really don’t, because technically you are drowning in debt, you just don’t realize it. A long time ago I read this amazing book The Automatic Millionaire and the first story in the book talked about a couple that had no debt because they paid everything off. How they managed to do this was by doubling their payments. Doubling your payments can help you get rid of that debt so much quicker. Once that debt is gone, then you can proudly go on your shopping spree and say I’m Rich B$&*%!!

III. Save -

Saving it’s so important. Save to an account that you have no or little access to, that way you don’t spend it. Save $25-$50 every week or every two weeks and by the end of the year utilize that money to buy something you want or to decrease some of your current debt.
I know paying bills is a annoying and paying off debt seems like a never ending cycle. Trust me if you do the tips above you will see light at the end of that “never ending tunnel”. Hang in there and stay focused.

Retirement Planning: Start Now!

KMP Blog — Sat, 29 Jan 2011 21:32:52 +0000

Retirement may seem like it’s a long way off, but it will come faster than you think. And if you’re not ready for it, if you haven’t been saving, you’re going to find that your standard of living changes dramatically when you stop working. You may think that just because you’re young you don’t have to worry about it yet. There will be plenty of time to plan for your twilight years later on. But by starting now, you have the opportunity to exponentially increase the amount of money you have by the time you reach the age of retirement. Here are a few ways you can get started to ensure that you’re taken care of when the time comes.

The first and easiest retirement plan is the 401K provided by the company you work for.

Most businesses these days offer a plan by which they withdraw a percentage of your earnings from each check (pre-tax) and put it into an account that is managed by an investment firm. The money then continues to earn until you retire, at which point you can begin drawing it as an income. Some companies even have matching programs by which they will contribute money to your 401K correspondingly with your contribution (generally in the neighborhood of 5% of your earnings). It really pays to take this free money if it’s available. Just remember that you can’t touch this money pre-retirement without penalty.

You can also start a Roth IRA which is another type of investment account that also matures when you reach retirement age.

It tends to be fairly safe and earn a higher percentage annually than other types of accounts. Although you can only put a certain amount of money into your IRA each year, it counts as pre-tax money (you can claim it on your taxes as a deductible). This means you have more money earning for you. And considering that most of us won’t be able to take advantage of social security by the time we retire (despite the fact that we’re paying in now) it couldn’t hurt to have a backup plan.

Finally, you can look into other kinds of investments, such as stocks and bonds.

Building up a portfolio could substantially increase your income once you retire. Although you will have to pay taxes on anything you earn annually, you won’t be paying income tax later on (like you will when you withdraw from your retirement accounts). When it comes to your portfolio, just be sure to diversify. A variety of investments will ensure that if one area goes belly up, you haven’t lost all of your money. And while it’s probably pretty useful to engage the services of a stock broker (for invaluable advice and opportunities) you can opt to do it on your own with a service like E-Trade.

By starting early and spreading your money around to a variety of accounts and investments, you can ensure that you are taken care of when you reach the age of retirement. While you can certainly wait and hope for the best, thinking you have plenty of time, you may find that when the time comes to start withdrawing, you simply don’t have enough to keep you afloat without the added income from a job.

Paul Abikasis is a writer for Roth IRA where you can find out information about Roth IRA conversion and learn how to open a Roth IRA as well as finding other tools and information to help you on the road to retirement.

Decorate Your Home on a Budget

KMP Blog — Wed, 26 Jan 2011 12:31:58 +0000

Leah Remmin writes for Inlaid Woodcraft where you can find the finest quality inlays and designs for marquetry.

Even those of us who don’t have two nickels to rub together still want to come home to a house that is warm, inviting, and lovingly decorated. But that couch you picked up for free on a sidewalk ten years ago has seriously outlived its usefulness and the naked bulb in the ceiling is starting to give you a migraine (and don’t even get started on the carpet, which the last tenants apparently used as a drop-cloth for car repairs, if the stains are any indication). But how can you turn your second-rate hovel into a pretty palace or Zen sanctuary when your budget will barely allow for the fix-up cost of one room? With a little elbow grease and a lot of ingenuity, you can have the dream home you want and still stick to your budget. All you need are a few tricks up your sleeve.

1. Garage sales. The number one best way to decorate your home on a budget is to scout for decent items at a great price, and garage sales are the best place to nab a steal. By hitting the sales early on a Saturday morning, you can have the pick of the litter. And by checking ads (most of which list big-ticket items) you can be the first one at sales that have specific pieces you know you’ll want. You can also look on Craig’s List in your area for furniture items (which you can find cheap or even free, with a “you-haul” addendum). Don’t be afraid to haggle, either. You can always get a better price, especially if you’re buying more than one item. Just remember to bring enough cash.

2. Paint. It can cost quite a bit to paint every interior wall, but if you want a lot of bang for your buck, try doing an accent wall in each room. It will totally change the look and feel without a lot of work or expense.

3. Wet vac. For stubborn stains on carpeting, try renting a wet vac from your local grocer (many have them available, so ask an employee or manager). You can give your carpet a good once-over and see if that does the trick. If not, you can always fall back on area rugs to cover up the damage. Just make sure to pick colors and textures that are different from the flooring beneath if you want to pull off this stylized look.

4. Accessories. When it comes to accessories, you’re going to have get handy with the sewing machine to avoid spending a lot of money. But as long as you can sew in a straight line you can make custom curtains, pillows, and duvet covers in complimentary fabrics for every room. You can even find decorative embellishments that are easy to add to finished pieces (such as ribbon for borders and rosettes for a dash of texture).

5. DIY projects. Believe it or not, you can do a lot of fixer-upper projects on your own. Get yourself a simple home repair guide and check out all the potential fixes you can tackle. Whether you’re putting in a backsplash, laying tile, installing new faucets, hanging lights, or fitting a Corian countertop, a guidebook can give you the know-how and hints to make your upgrade a success and turn your rundown domicile into a castle fit for a king.

How to Start Saving in 2011

KMP Blog — Mon, 17 Jan 2011 23:19:57 +0000

Darcy Johansan writes for No Credit Check where you can find anything from a prepaid satellite TV to a car rental no credit check.

It’s time once again to start making your list of New Year’s resolutions. And while “get in shape” is at the top of most people’s lists, you have likely also included “save money” (in one form or another) as a very close second. In fact, you’re not very liable to follow through with any of your resolutions, despite your good intentions (as you may recall from years past) unless you make some sort of change in your methodology. So if you’re looking to actually bulk up your savings this year and make a little nest egg for that trip to Paris, a new car, or simply for a rainy day, here are a few tips to get you on the right path and ensure that the money doesn’t go down the drain.

- The first thing you need to do is write out a plan.

By writing things down, you are much more likely to follow through with your intentions. Then post it somewhere that you’ll see it all the time so you are constantly reminded. It may help to add what you plan to do with the money as a form of motivation. Now, you’re probably wondering just what is going to be included in this plan for starting a savings, and there are actually just a few steps.

- Start by going over your finances and making out a list of income and expenses.

If you’re like a lot of people, you may actually be spending more money than you make. This is one of the many reasons you have been unable to save in the past. Even if it seems like you should come out at the end of the month with some extra cash, you’re probably spending it on things you don’t really need (like eating out and entertainment). Unfortunately, if you want to save money, this is the first area you’re going to have to cut back.

- And so we arrive at the budget.

Once you have a good idea where your finances are coming and going, you need to write out a monthly budget that allows for a savings. Simply allocate appropriate funds for your bills (don’t forget to break down the ones that you pay yearly or biannually, like insurance and car registration) and see what’s left. From that you will draw your spending cash as well as your savings. The trick is to be honest about what you can reasonably save so as to ensure that you stick to your budget. If you feel deprived in some way, you’re going to dip into your savings again and again, making the whole exercise a moot point. So even if you only save $20 a week or $100 a month, make it a number you can live with.

Saving money is not easy for most of us, considering that our society thrives on consumerism and judges based on ownership of material goods. But if you want to be smart about how you handle your money and have a little something on hand should you need to fix the car, plug a leak in the roof, or take a whirlwind jaunt to Rio for Carnival, you’re best option is to set your goal in writing, create a workable budget, and be honest about what you can really put into savings. This will guarantee that the resolution you make in January comes to fruition by the time December rolls around.

Start the New Year Right: Create a Budget

KMP Blog — Mon, 27 Dec 2010 02:54:11 +0000

Leon Partridge writes for Coin Collecting where you can find information on vintage and rare coins and chat with other members via the online forum.

Immediately following the season of giving is the season of paying, and if you’re like most people, you have probably racked up a bit of debt in your quest to make the holidays special for family and friends. So rather than finding yourself in the same boat a year from now, why not set aside the resolutions to lose weight (you know that only lasts about five minutes), clean the garage, plant a garden, and so on, and instead commit to setting a budget that will give you the money you need to pay off debt, keep up with bills, and save a little extra to hire a cleaning crew and gardeners (and still have some money left for next year’s holiday season)? If you often find yourself in financial straits, now is the time to crack down on your budget and get to saving, for real. But how do you get started?

Budgeting is easier said than done.

It’s not hard to figure out what you’re bringing in versus what’s going out. Income and expenditures are finite numbers, after all. But finding ways to make the two equal (or have more coming in than going out) is not so simple. You may discover, when you sit down to plan your budget, that you are, in fact, spending more money than you make. With credit playing such a huge role in modern life, this is a pretty common state of affairs. However, there’s no reason to succumb to despair and throw in the towel just yet. You just need a little help to get back on track.

For starters, you should shred extraneous credit cards and limit yourself to one (that has the lowest interest rate).

From there, you would be well served to look into a debt consolidation loan. A bank can usually offer you a rate that is far lower than whatever you’re paying the credit card companies. Once your cards are paid, you can cancel the accounts and then simply pay off the loan (saving yourself not only on monthly payments, but also on what is owed in total). If you’re so far gone that collection agencies have become involved, you may be able to avoid black marks on your credit by offering to pay a reduced amount. Most companies are willing to work with you if it means they can recoup at least the principal cost of what is owed (even if they can’t get all the interest).

The real trick lies in maintaining your budget once you have it planned.

Paying off creditors is one thing, but what’s to stop you from immediately spiraling back into debt? This will require an amount of planning and commitment on your part. You’re probably going to have to cut back in order to live within your means. “Entertainment” expenses are usually the first to go (dining out, movie dates, unnecessary clothing, etc.). But you can also cut back on monthly expenses by paying down a car loan, getting a package that includes phone, internet, and cable (instead of paying more by having three separate bills), and working to conserve energy in your home, just for example. And if you have a real spending problem, you may need to seek professional help to conquer it.

In short, you simply need to pinpoint problem areas and find ways to counteract them if you want to stick to a budget. Resolving to do this in the coming year will ensure that at this time next year, you’ll be well ahead of where you currently find yourself in regards to your financial situation.

Starting a Home-Based Business? Get Your Name Out There!

KMP Blog — Thu, 23 Dec 2010 02:39:03 +0000

One of the biggest problems that many home-based business owners face when they’re first starting out is a lack of visibility. Supporting your new enterprise can be a real problem when you don’t have a lot of money to advertise and prospective clients have no idea who you are or what type of service you can offer (with no history to back you up, you could have a very hard time convincing potential customers to give you a chance). Luckily, there are a lot of ways to get your name out there and build up a solid brand image even when you’re just starting on the path to success with your new home-based business. Here are just a few strategies you may want to try.

1. Website.

In this day and age, setting up shop online (especially if you work from home) seems like a given. And yet, many home-based businesses still operate on paper (or solely through email). Join the internet revolution or you won’t have a prayer of competing.

2. On-site blog.

Once you have developed a website that is professional, pertinent, and user-friendly, go about adding an on-site blog. Not only will regular postings encourage repeat visitors to your site, it will allow you to disseminate information about new products or services. And you can spread your name to related websites by doing guest posts for a link back to your site (most other blogs will do this only if you have an on-site blog).

3. Post on forums.

A great way to get to know colleagues and prospective clients is to join forums related to your business. You can not only receive pointers from industry insiders, you can also offer your own expertise to help others. And when you post comments, you can attach your link at the end (as long as you don’t do so gratuitously).

4. SEO.

Search engine optimization is a complex but comprehensive way to expand the scope and influence of your business while simultaneously bringing targeted traffic to your site. You can learn it on your own (check out SEO for Dummies to get started) or pay for the service. Just make sure you find someone reputable (use referrals).

5. Client list.

Building up a list of prospective clients and taking the time to check in with them periodically is a good way to keep your name fresh in their mind. Never hesitate to self-promote, but be sure to avoid spamming.

6. Trade shows.

Whatever your industry, there is likely a number of trade shows you can attend. They offer the opportunity to those new to a profession to meet and greet colleagues at their different trade show exhibits (as a method of face-to-face networking) in a capacity that could lead to partnerships, as well as potential clients. In addition, you will have access to seminars, panels, and workshops. And often there is a show floor where vendors can hawk goods and services related to the industry.

7. Chamber of Commerce.

By becoming a member of your local Chamber of Commerce, you can open yourself up to business opportunities within the community in which you operate. You never know when such contacts can come in handy and you may even have the chance to speak to the assemblage as a way to promote your business.

5 Most Incredible New Car Features

KMP Blog — Sat, 18 Dec 2010 01:42:28 +0000

Shirley Simspson writes for Cheap Car Insurance where you can compare rates and the find the best deals on auto insurance.

People often say that technology is advancing at an exponential rate (as in, our generation will generate twice the tech as our parents, our kids will generate four times as much, and so on and so forth). And if you think about it, some of the technology available for cars today would have seemed like science fiction just ten or twenty years ago. Take electric cars, for example. The widespread availability of cars that can run independently of fossil fuels probably seemed like a pipe dream to the previous generation (if they even imagined such a thing). So if you’re having trouble keeping up with the new advances in automotive technology that seem to pop up almost daily, here are a few of the latest features to wow you.

1. HUD. Anyone familiar with video games will recognize this acronym (which stands for heads up display). And it’s pretty much the same for cars. Although still in infancy, this tech could soon be standard on vehicles (much like GPS was practically unheard of a few years ago and is now installed on just about every new car). The idea is pretty simple: a graphic window showing your car’s vitals can be displayed on a portion of your windshield so that you never have to take your eyes off the road in order to see the gauges.

2. OnStar. Okay, so this safety service isn’t new. For several years this company has provided drivers with roadside assistance and the ability to remotely start, stop, or track a vehicle. But they are adopting some new features in order to compete with similar services (such as Ford’s Sync system). Thanks to a partnership with Android (read: Google) users will now be able to get apps for On Star, including the ability to access voice mail, email, and even Facebook, all while they’re driving. It would be a pretty scary prospect if they hadn’t implemented the technology to make it an entirely auditory feature.

3. XM NavTraffic. For those commuters who have yet to invest in XM Radio, now is the time. Aside from their many stations (which won’t crap out during your drive like some local stations), they now offer a channel called NavTraffic which will alert you to accidents, closures, and gridlock in addition to showing you how to avoid it on your GPS.

4. Solar-powered ventilation. This system is powered by solar panels located in the moon roof (at least on the Toyota Prius) and what it does is keep the cabin ventilated even when the car is off. You know how you get in a car that’s been sitting in the sun and it feels like an oven? Not anymore. Now it will use the power of the sun to circulate air so that the car is never hotter than the outside air when you get inside.

5. E-Cell engine. 100% electric engines are not new, but they are better than ever, so much so that most car manufacturers seem to be racing to get one into production for their lineup. Many can travel hundreds of miles without a charge and offer the same comfort, speed, and acceleration of petrol-fueled cars (without the attendant pollution).

10 Must Haves for Winter

KMP Blog — Thu, 16 Dec 2010 03:10:48 +0000

Leah Marshall writes for InStyle Swimwear where you can find Vix Swimwear and other popular brands.

When it comes to dressing for winter this year, you no longer need to worry about staying warm and staying fashionable. This year’s trends include several versatile items like the cape that will not only keep the snow off your back but will also keep you looking glamorous. Every woman should invest in a few of these timeless pieces that will keep your closet fashion forward and will help you dress for all seasons once winter is over.

Aviator Jacket. This popular item has made over the traditional leather jacket into a chic military-style statement. The jacket not only feels retro, but also modern and comes in a variety of colors from gray to khaki to classic black. Consider pairing this winter essential with a dress and a pair of boots.
Knits. This go-to item for any cold winter day is more popular than ever this year as many designers have taken a new turn on an old idea. Knits are now available in a wide array of colors, shapes, and fabrics to suit your personal needs. Try a cropped look with jeans, or match a chunky heavy knit sweater with a skirt to implicate this must-have into your winter wardrobe.
Cape. A resurgence of the cape has been seen this year as many designers have sent it down the runway. A very versatile item, the cape can be paired with boots and jeans to a fancy cocktail dress. Wool, tweed, and fur are the luxurious fabrics these capes are being made of and would make a great addition to any outfit.
Flared pants. Skinny is out and flared is in as jeans and trousers take a wider approach this winter. This style of pant is not only comfortable, but also very versatile and can be worn at work, or just to go shopping at the mall.
Elbow length gloves. To keep your hands warm this winter, consider donning a pair of long gloves. This style pays homage to the 1940’s, which is a popular trend this season. Add glamour to any outfit with some brightly colored, or embellished elbow length gloves.
Camel coat. This color of coat looks good on anyone and will be a great buy for the future. It will not only keep you warm during those long winter nights, but will also stay in style. The color is great for mixing and matching with seasonal colors and can be accentuated with a belt.
Socks. This winter, socks of a wide variety are available to spruce up any outfit. Over the knee socks and ankle socks look great paired with a skirt, or dress. Choose a color, or texture that matches your outfit to create a memorable look.
Leopard. This popular print looks great paired with any of the other must-haves for this winter. Whether your wearing flared pants, or a camel coat, leopard is the go-to print for this winter. If you want to go for a more subtle approach, try a simple handbag, or scarf in this print.
Shift dress. This style of dress will last you for years to come, as the shift dress has made a comeback this winter. With simplistic cuts and plain, bold colors, the shift dress compliments most figures and is very comfortable. It is not only affordable, but can be accessorized with jewelry to make a great statement.
Furry Boots. Idealistic for those living in the snow, the furry boot is a must-have item for this winter. These shoes are comfortable and fashionable, keeping your feet warm. If the furry boot is a bit much for your taste, consider opting for furry slippers to wear in the comfort of your home.

Emotional Spending Can Spell Disaster (if You Don’t Learn How to Control It)

KMP Blog — Tue, 07 Dec 2010 00:57:50 +0000

Karen Simpson writes for J.G. Wentworth, a settlement funding company and the largest purchaser of future payments to individuals who hold assets in the form of structured settlements and annuities.

Many of us make and spend money because we must if we want to survive. Food, clothing, and shelter all come with a price tag attached and most societies require you to pull your weight if you want to live according to your own terms. However, when you get into the territory of spending more money than you make, your poor financial decisions are likely based on emotional buying rather than actual necessity; and this can quickly become a problem. In a culture that relies heavily on credit, living within your means is something that you must learn to do, but if you can learn to recognize when your financial decisions are based on emotion, you can work to stop wasteful spending and get back to living your life in comfort and without debt. Here are a few things to watch out for.

1. Buying for status.

A house in the Hollywood hills and a brand new Ferrari are well and good if you’re a famous director or plastic surgeon, but most of us can’t really afford these high-end assets. Get your head out of the clouds: paying for a label is stupid, whether you have the money or not (but especially if you don’t). Just because you want something doesn’t mean you can have it, and frankly, you’ll probably be a lot happier if you don’t have that particular Sword of Damocles hanging over your head. Living well but within your means comes with its own rewards; namely peace of mind.

2. Buying for pleasure.

Many, many people like to participate in “retail therapy”, or making unnecessary purchases as a way to feel better. Sadly, this type of shopping is often followed by feelings of guilt, so that the buyer ends up in a worse state than when they started. In order to avoid this type of spending, you will likely need to cut up your credit cards. You should also consider seeing a therapist since this type of spending is often classified as addictive behavior and therefore may necessitate outside help to conquer.

3. Buying on impulse.

Your purchase may seem like a great deal at the time, but buying on impulse is never a good idea. If you’re not thinking clearly about what you’re getting (or why), you will likely end up with something that never gets used, despite your good intentions. So really you’re just throwing money away. And if you buy on credit, chances are you’re going to end up spending a lot more than you originally intended (thanks to interest).

4. Accruing bad debt.

Some types of debt are good. Buying a home and starting a business fall into this category because they generally have the potential to show a solid return on investment. But building up credit card debt for items that you don’t really need and can’t get your money back for falls under the heading of “bad” debt.

5. Making loans.

This is one of the worst types of emotional spending because it often leads to fissures in close relationships. Loaning money to a friend or family member in need is likely 100% motivated by emotion. And that is why it’s so detrimental. It often involves issues of love and trust. And when borrowers fail to pay you back (as they often do because they know you won’t come after them the same way a bank will), you will not only lose money, but also a relationship.

Car Insurance: the Can’s and Cant’s/The Do’s and Don’ts