March finance updates Well, frankly, does anyone else think February is the stinkiest budget month out there? It's a short month. We've still got medical deductible bills rolling in, etc, etc. And also, where I live - it's cold and blah and just. Ugh. It's not my favorite month at all. Anyway, we made it through. Somehow. And now we roll into March. And after the horrible month of February, March has a bit of bright news. We were able to put extra money into both savings and toward debt repayment! Yay! So, we are 86% of our savings goal (which I should say is goal number 1). And we've paid of 84% of our debt. {As a reminder this is since Nov. 2007 in which we had over 40,000 in debt and barely a few thousand dollars in savings. So that said, where we are at right now feels pretty darn good!} Right now our priority is savings goal 1, then debt all gone, then we will move to savings goal 2. Maybe, just maybe the first two goals can happen by the end of the year. I keep praying and hoping and making sure to not buy anything that isn't as important as those goals!

Debit card spending limit getting capped at $50? NEW YORK (CNNMoney) -- Declined! Your debit card may soon be denied for purchases greater than $100 -- or even as little as $50. JPMorgan Chase, one of the nation's largest banks, is considering capping debit card transactions at either $50 or $100, according to a source with knowledge of the proposal. And the cap would apply even if you run your debit card as credit. Why? Because of a tricky thing called interchange fees. Right now, every time you swipe your debit card your bank charges the retailer an average fee of 44 cents, which it shares with its partners. Those little fees, however, add up to about $16 billion per year, according to 2009 data from the Federal Reserve. But as part of the Wall Street reform legislation that was passed last year, these fees are being slashed. The Fed is currently proposing rules that would go into effect in July and would cap interchange fees at 12 cents. That's a big enough cut to cost Chase (JPM, Fortune 500) more than $1 billion a year. And Chase may not be alone. Other major issuers are also projecting huge losses from the interchange fee cap. Read the rest of the article here: http://money.cnn.com/2011/03/10/pf/debit_cards_limit/index.htm

http://lifesimplifiedforyou.com/2011/03/13/outrageous-offermatic/ Saving money, getting rewards, all for FREE by simply using your credit or debit card - really? REALLY! I had never heard of offermatic until last week when my sister, Nancy, sent me an email about it and all I can say is – WHERE THE HECK HAVE I BEEN? Michael Arrington describes it best, “offermatic is the freak love child of Mint, Groupon & Blippy“. Here’s how it works: You register your credit cards with Offermatic via the Yodlee back end (which is secure). Offermatic then downloads your individual credit card purchases and matches offers from advertisers relevant to your purchase history. If you buy something at Home Depot, for example, you may get a $30 off coupon from Lowes. You’ve spent money on textbooks and you get a special offer from Chegg. Etc. All offers will be 40% – 90% off normal retail, says Offermatic. Within 5 minutes of registering my main credit card, I received a FREE $25 gift certificate from Restaurant.com and $5 off coupons for Walgreens & Macy’s. Read the article in its entirety at Life Simplified above.

http://lifesimplifiedforyou.com/2011/05/11/beyond-groupon/ DAILY DEALS - Are you missing out? Lately I’ve gotten a few questions from friends about sites that are similar to Groupon as I don’t show up anywhere for anything without a coupon anymore. Here’s my list, in no particular order: 1. Groupon – The first one the scene to offer great deals – sign up for other cities if you are traveling. Great app. 2. Living Social – You can get a family or escape edition of deals in addition to their daily ones. Great app. 3. Eversave – My latest find & I’m loving their daily deals. 4. City Steal – Great local steals. 5. Scout Mob – The coupon is free. If you see an offer you like, just click a button to receive the coupon via text message or e-mail. You’ll only pay when you show up – only in a few cities right now but growing! 6. St. Louis Daily Fix – Outstanding deals at local restaurants, salons, spas and more in St. Louis. 7. Care 2 Daily Deals - Organic, green, ... Read the article in its entirety at the link above.

Rising Gas Prices and How It Hurts....
As gas prices hover near $4 a gallon, nearly seven in 10 Americans say the high cost of fuel is causing financial hardship for their families, a new USA TODAY/Gallup Poll.
More than half say they have made major changes to compensate for the higher prices, ranging from shorter trips to cutting back on vacation travel.

For 21%, the impact is so dramatic they say their standard of living is jeopardized.

Read the rest here:

http://www.usatoday.com/money/industries/energy/2011-05-16-rising-gas-prices_n.htm" target="_blank">http://www.usatoday.com/money/industries/energy/2011-05-16-rising-gas-prices_n.htm

How much of your income should you be saving?

A common rule of thumb answer used to be that 10 percent of income should go into savings.

"But 10 percent of income is a lot!" is a common response. Saving that kind of money seems so daunting that most people don't even try, which is why the national savings rate ended up actually being negative in the mid-2000's. Today, consumers are spending less and saving more, but the national savings rate is still in the low single digits - well below the 8 to 10 percent rate in the 50's and 60's.

10 Percent Is Not Enough

Here's the real kicker: based on recently published research, the average savings rate really should be 16 to 20 percent of household income... not 10 percent.

Sixteen to 20 percent?! Ouch!

If 10 percent was so difficult that most Americans didn't even try, how likely is it that you will take a shot at 20 percent savings? It's almost too depressing to think about.
To read the rest:http://shine.yahoo.com/event/financiallyfit/i-should-be-saving-how-much-2500078

This article on Yahoo.com opens with Cate O'Malley of Sweetnicks.com, one of our members on TheMotherhood! :) ____ How to Reduce Your Cooling Costs Cate O'Malley is keeping her house extra cool this summer, as sweltering temperatures sweep the nation. She runs all four of her air conditioners during the day, effectively doubling her energy bill to more than $100 in the past month. "I have two small children and work primarily from home, so we need to stay cool," says O'Malley, who manages a food and lifestyle blog, Sweetnicks.com. For Cate and everyone else struggling to save money while beating the heat, consider these simple energy-reducing tricks around your house: • Raise Your Thermostat. If you have central air, begin by automatically setting your thermostat to a higher temperature, say 78 or 80 degrees, during times when you're not at home. A programmable thermostat could save you as much as $180 a year, according to Energy Star. • Utilize Ceiling Fans. While you're at home, put your ceiling fans to work — even with your air conditioner running. It may sound counterintuitive to do so, but ceiling fans can create a cooling effect that leaves you dry and comfortable, enough so you can raise the temperature on your air conditioner. A 2-degree increase can lower cooling costs by up to 14%, according to the Environmental Protection Agency. • Keep the Air Conditioner in the Shade. It's not always possible, but if you can install your air conditioner in a window that's facing shade, instead of sunlight, you'll lower the AC's workload. • Time the Chores. Leave some household tasks — like running the dishwasher or washing machine — for either the early morning or late evening since some utility companies charge a premium during peak hours of the day. • Skip the Stove. You stove is another giant source of heat. Consider warming up small-sized portions in the microwave. You could save as much as 80 percent in cooking energy, according to Energy Star. Your outdoor grill is another great alternative for cooking, not only because it conserves energy — it also keeps the heat outside! See the article: http://financiallyfit.yahoo.com/finance/article-113017-10111-2-how-to-reduce-your-cooling-costs?ywaad=ad0035

In this dire economy, even the Tooth Fairy is pinching pennies By Saeed Ahmed, CNN (CNN) -- Getting the Tooth Fairy to pony up in this sagging economy has been like pulling teeth. A recent survey found that the national going rate has seen a 40-cent decline this year: From $3 to $2.60. What's worse? A full 10% of kids are reaching under their pillows ... and coming up empty. Compare that to last year when just 6% of kids found no reason to flash that toothless grin. "It's a cardinal sin not to (pay)," said Rakshanda Liaqat, a mother of two in Phoenix. "It's about a child losing a part of her and the warm belief that the tooth fairy will take care of her precious tooth." "Now, on the other hand, counting the number of teeth your kid loses. And that, too, multiple times in a year? And that, too, having two kids? I can understand the economic recession the Tooth Fairy goes through in terms of her salary." Liaqat tried to leave $10 for every tooth her son lost -- "but my son didn't lose much of his teeth after the recession hit." "He lost it right on time. Before the debt crisis," she said. "Amen to that!!" The telephone survey of 1,006 adults was conducted on behalf of Visa and is intended to get parents talking to kids about money management. It found that the economic pinch has taken a bite out of the Tooth Fairy's generosity most dramatically in the eastern United States. Kids there received just $2.10 -- a 38% decline from $3.40 last year. In the West, kids pocket more than the national average: $2.80 and up 4% from last year's $2.70. That doesn't surprise Scott Rivers in San Diego. He leaves about $5 for every tooth his children lose. "It's worth it just to see their eyes light up," he said. "Plus, it gives us a chance to talk about what they want to do with the money and what they should. Like donating a bit to charity." But he's in the minority. Just 18% of kids around the nation receive $5, the survey found. The majority -- 36% -- receive a dollar or less. And 18% get between $2 and $4. "My 6-year-old niece just lost her first tooth last week and her parents gave her about $2 in coins," said Jeanne Byrd of Fairfield, California. " Our family has never really given large dollars for the tooth fairy though." Among the survey's other findings: -- Kids in the Midwest receive an average of $2.80, a 3% decrease from last year's $2.90 -- But children in the South find the Tooth Fairy penny-pinching as well: $2.60 -- a 21% cut from last year's $3.30. Read the article: http://www.cnn.com/2011/LIVING/08/02/tooth.fairy.penny.pincher/index.html?hpt=hp_bn8

The Only 2 Financial Rules You Need Live By by Tara Struyk When it comes to the way we think about money, I've noticed there are two kinds of people: those who think $1,000 is a lot of money, and those who think $10 is a lot of money. I fall into the second category. But I'm not especially frugal. I have a fairly nice car, I take a vacation every year, and it isn't too hard to convince me to drop a few hundred dollars on a great pair of shoes now and then. I've never even clipped a coupon. But I've also maxed out my retirement savings, bought a house, and live without debt — all on an average salary for where I live. What I've done isn't extraordinary, but it does seem somewhat rare. That said, I think most people can accomplish this fairly easily. All you have to do is live and die by two simple rules... 1. Pay Yourself First: The Best Kind of Cliché "Pay yourself first" is a very common piece of financial advice. It's simple enough to follow, but that doesn't make it easy. If you can save $200 per month at a 6-percent interest rate, you'll have more than $200,000 in 30 years. At the very least, you'll have a great savings fund at the ready for whatever life may bring. But how can you come up with that cash when you barely have any money left between paychecks? The answer is to take that money off the top. And yes, it'll sting a bit at first. I've made a habit of taking contributions to my retirement and savings account right off the top of each paycheck on the very day it hits my bank account. I try to cut pretty deep too, leaving myself just a little more than I need to pay for expenses. This works on two levels: It forces me to really budget to meet my basic expenses while keeping extra cash out of easy reach. I can still retrieve the money from my savings account if I happen to need it, but because I have to make a decision to transfer funds, they usually stay put. I allow myself to spend whatever I don't need for expenses on whatever I like — if I don't spend it by the time my next paycheck comes, I roll that into savings too. I also save any additional money I get. I think a raise, tax return, or bonus can go two ways. It can raise your standard of living, or it can raise your standards. Rather than creating more expenses to suck up these extra dollars, I live the same way day to day and tuck the extra money away for something better. 2. Practice Mindful Spending Having some leeway in your paycheck isn't a given, but I think many people have more wiggle room than they realize. This is what I mean when I say that I think $10 is a lot of money. When I decide to buy something, it's a decision, not an impulse buy. I want to spend my money on things that really have value for me, not just things that are convenient or appealing at the moment. So while I can buy something nice once in a while — without guilt — I have a hard time going out for lunch or buying (you guessed it) a latte. Less expensive purchases are an easy mental hurdle to get over because they're so small it seems that they could hardly amount to anything. The truth is, these seemingly insignificant purchases can easily amount to, or exceed, that $200 you may be aiming to save. If you spend $4 every morning on a latte, and $12 each work day for lunch, this adds up to $80 per week — for a grand total of $4,160 per year. If you earn $50,000 per year, that's a full month of your salary. Do you really want all that money to amount to a bunch of coffee and Subway sandwiches? This isn't to say that no one should ever buy a latte. But if I spend this kind of money every week, I don't have anything to devote to my savings. That's a sign that these seemingly small indulgences just aren't affordable, at least for me. This is why I've also decided not to opt for cable TV or an extensive cell phone plan. I don't feel that I live like a pauper. After all, I have money saved that I can turn to not only in an emergency, but also to pay for things that I feel really add enjoyment to my life, rather than just distracting me for a few hours or days — and steadily subtracting dollars from my bank account. What Are Your Rules? Over time, I've learned to save money as diligently as I pay my bills. I also try to spend what's left as mindfully as I can. I can't say I always succeed, that I never overspend or that I'm not often tempted to break my rules. Nevertheless, I'm sticking to the strategy that has kept me out of debt, and helped me save enough to meet some key financial goals — and still have some fun. I know of other people who've done even better by employing these rules much more stringently than I do. As for me, I'll keep saving up for my next big purchase by keeping all the little ones in check. See the article: http://finance.yahoo.com/banking-budgeting/article/113633/only-2-financial-rules-moneytalksnews?mod=bb-budgeting

Your grocery bill is getting higher, and higher By Allison Linn Paula McGowan has cut out soda, switched to store brands for other foods and even sent her boyfriend hunting for deer so she can put food on the table. Still, she finds herself struggling with higher food prices. “It’s milk, bread, just the basic stuff,” she said. “We’re looking at basics and it’s all going up.” After two years in which overall food prices barely budged, groceries are getting more expensive. The price of food at home is projected to rise by 4 to 5 percent this year, and another 2 to 3 percent next year, according to the Agriculture Department. That’s adding another financial worry for many people already living with tight budgets thanks to the weak economy and high jobless rate. The percentage of people who say they had enough money to buy food in the last 12 months fell to its lowest level in three years, according to a Gallup poll released this month. The vast majority of Americans surveyed — 79.4 percent — said they have been able to buy the food they need. But that doesn’t mean it’s easy. McGowan, 44, lives with her boyfriend in Versailles, Ky. Her job in information technology has been stable, but her boyfriend has had bouts of unemployment and now runs his own lawn mowing business. That’s making it difficult to keep up with rising costs. “I literally live paycheck to paycheck,” she said. McGowan isn’t alone. Nearly one-third of Americans say rising food and gas prices are making it difficult to save money, according to a recent poll from Country Financial. When she goes to the grocery store, McGowan said she brings a detailed list, coupons and a strict budget. She buys low-cost but filling food like rice and pasta in bulk and relies on cheaper protein like eggs to stretch the couple’s meals. “For us, having bacon on a Sunday morning is a luxury,” she said. She’s counting on deer hunting season to provide them with meat for the winter. Ricky Volpe, a research economist with the USDA’s Economic Service, said there are many reasons food prices are rising. Some crops have been hurt by bad weather, and a surge in fuel prices has made it more expensive to produce and transport food. In addition, he said, the weak dollar and growing overseas demand for meat are pushing up the prices of beef, pork and dairy products. advertisement Some foods, including beef, are in shorter supply because ranchers cut back on how much they were producing when the economy weakened and now must play catch-up. The price of beef was 10 percent higher this September than it was a year ago, according to government data. Read on: http://lifeinc.today.msnbc.msn.com/_news/2011/11/15/8824204-your-grocery-bill-is-getting-higher-and-higher

Worth it or not: A shopping Guide SmartMoney.com - We've all been there, standing in the aisle of a store, spending way too much time weighing the small differences between two similar products. Will the more expensive umbrella really perform better? When it comes to a laptop bag, is $120 too much, too little, or just right? Here's some help. Each month, SmartMoney Magazine looks at sets of two similar consumer products, and assesses the better buy. This year, we looked at a wide variety of goods, including blenders, deep fryers and Digital SLR cameras. To aid in your holiday shopping, here are seven suggestions: http://www.smartmoney.com/spend/family-money/worth-it-or-not-a-shopping-guide/