Earn Money Easily by Using Your Head

I'm not suggesting that people earn money easily by becoming models and charging high fees for head shots. When I say you can make money by using your head, I'm implying that the method helping people make a lot of money is all about thinking and little else. Certainly you've thought a lot about money, but have you considered the depths of that or the implications of your thoughts? Probably not and why would you? Most people don't and have no idea that they should.

For those that know thoughts, ideas and spirituality have everything to do with how you can earn money easily; the idea that others are unaware is mind-boggling. To make a complex theory easy, lets simply agree we all have subconscious ideas, thoughts, beliefs and alike. Now that we've agreed upon that, let's further agree that these entities affect our lives. Of course they do, that is simple logic. This is the classic descriptors we give friends and others we know: "she's pessimistic; optimistic; negative; positive, etc).

So, taking it a step further and applying it to finances is the next logical, and very wise, step. Folks like Brad Yates have developed programs based on this theory, which is no new and is gaining popularity and coverage. As time goes on and people become more aware, the correlation between spiritual, emotional, psychological and financial wellness becomes more pronounced. It's changing the way people learn, do business and, most importantly: live.

If you really want to earn money easily then you need to make things simple. Taking care of yourself, starting with you, is the best investment and course of action. Anyone who tells you otherwise has stake in your decision somehow, so think for yourself, about what I've said and then learn how to change those thoughts to make you money. Good luck.

Utilizing Frugality to Combat Financial Fragility

If you'd categorize your financial life as fragile to the point where it could be placed into a shipping box and sent directly to your front doorstep with the bold red-font text "Fragile" stamped on it then what you need is some serious fixing up. Particularly, and as far as healing goes, you require some reconsideration and reassessment (for stability's sake) of your financial practices and paralleled ways of living on a day to day, accumulated and even yearly basis.

Of the first steps that need to be taken here include a simple first move you can do yourself; simply enough, you just need to ask how you came to such a fragile financial state. By doing this you can narrow down the cause or causes to your current and weakened monetary position. And once you've narrowed down a particular cause or two, you can then start the planning and scheming tactics it will take to improve and strengthen your finances.

Just Look At The Times

Just by giving a quick glance around the modern world one thing stands out - money is everywhere. It fuels everyday living and maintains functionality to industry and production brackets of business. And it also provides breadth for us. This said, it also, undeniably causes struggle. As such, it has paved way for latent stress and hassle. And, if one isn't prepared to cope with this reality in the modern world it's more than likely for them to slip into a less than perfect financial way of living and doing.

Yet, this can be avoided. Completely bypassing the cluster that so many modern money spenders find themselves stuck in is, in fact, possible. "How," you ask? All it takes is the adoption of a few money saving tips.

Gaining Cash Flow By Being Frugal

Being cautious or efficient with your income may prove to be difficult. But, in order for you to become stronger and more financially adept, with more free-flowing cash, you must attempt to live a frugal lifestyle. And the best way to do this is through initiating a budget. Through budgeting, you know that you'll be getting your time and moneys worth. And no joke - budgeting does literally pay off.

Just by examining your monthly expenses and ascertaining your financial priorities you can better understand how to be financially frugal and understand when to save and spend appropriately. Categorize expenses to ones that are essential and ones that are nonessential.

Rearrange Your Monetary Spending Structure

More or less, the aim is to spend less than you're accustomed to. You do this through many ways. For instance, take the example of gas costs. If you can avoid driving to and from work by yourself everyday and having to front the costs, why not opt to carpool? Also, consider living in moderation, especially involving your usual spending ways. Live smarter and prioritize what you spend your money on, whether it be daily, weekly or monthly. Cut back on everyday treats such as franchise-named coffees; make your own brew at home each day. Even by doing this from day to day you'll save a substantial amount of money, enough to help build your financial strength back up.

Understand Characteristics of Registered Retirement Saving Plan

As we mentioned in other articles the government only represents about 30% of our retirement income, the company retirement pension plan offers another 30 % and many of us do not have one. It is up to individuals to invest wisely short and long term in order to make up for the short fall if he or she would like to live comfortably after retirement without giving up some retirement plans. In this article, we will discuss some important characteristics of registered retirement saving plans.

I. Reduce income tax withhold
Contributing to RRSP through pay role deduction will reduce the amount of income tax withheld on your employment income. You pay less income tax over the year, rather than overpaying and then applying for a refund the following year. Usually, Customs & Revenue Canada will permit a reduction in withholdings for RRSP contributions made early in the year.

II. When to make RRSP contributions
On the first day of any year, but you may not know your 2007 RRSP contribution room until February or March because you have to wait until Customs & Revenue Canada advises you of your RRSP limit for the new tax year, it will take several weeks after your previous year tax return is assessed.

III. Carried forward for unused contribution
Your unused contribution amount after 1990 is allowed to carry forward and can be used in any future year.

IV. Investment options
You can invest your RRSP in any eligible investments such as guaranteed investment certificates, government bonds, shares listed on Canadian stock exchanges, corporation bonds instruments listed on Canadian stock exchanges, and units of Canadian-based mutual funds that meet government guidelines.

V. Spousal contribution
a) Contributes to spousal RRSP that qualifies for a tax deduction for you, as long as the total contributions to your plan and your spousal plan do not exceed your contribution limit.

b)When you reach age 69 and must convert your RRSP into a maturity option, if your spouse is younger than you you can maximize your tax-deferral and tax payment by placing your matured RRSP into your spouse's name.

c) RRSP withdrawal by your spouse is taxable to your spouse if you have not made any contribution to your spouse's plan in the past three years.

When Should You Begin Planning Your Finances?

Most teenagers don't make very much money, if any at all. I remember when I was a teenager not too long ago, I didn't get a part-time job until I was 16 and I was lucky if I made more than $50 a week. In addition to low income, teenagers usually have few expenses as well. They might have to pay for gas, and maybe car insurance, but not too much else besides they things they want.

When we get older, get full time jobs, and move out on our own, we begin to make more money and accrue more expenses. This is when finances begin to get more complicated. We have higher income, we pay for our homes and food, and we pay taxes. This is when we need to start planning our finances, right?

At this time, and for the rest of your life, you should plan your finances. You should make goals for yourself such as saving for retirement, buying a house, and paying for your kid's college. You should also be budgeting your money. Make a plan of how you will be spending your money every month and plan to save more and more if you can. It is the money you save here that you will use to complete your goals.

At this point in your life, you should be planning your finances, but you should actually start much sooner. Just because you don't make a lot of money at 16 or 17 years old and you do not have many expenses does not mean it is not a good time to start planning. It is actually the perfect time to start planning.

When you have less to plan, it is that much easier to do. Your goals will be different. They may include saving to buy a car and saving for college. You can still make a simple budget. You can control your spending and save more. In fact, because you have so few expenses, you will be able to save even more. You might feel that you should be able to spend your money on whatever you want. You should, but part of that want should be for your future. Even if you just save 10% of what you make as a kid, you can save a considerable amount.

By starting this early, or even as a kid, financial planning will become a habit. Millions of people get into trouble or fight because of money. These people probably didn't start planning their finances early, if they ever did at all. Whether you are 15 or 45, it is never too late, or too early, to start planning your finances.

Characteristics of Certain Term Annuity

As we mentioned in other articles the government only represents about 30% of our retirement income, the company retirement pension plan offers another 30% and many of us do not have one. It is up to individuals to invest wisely short and long term in order to make up for the short fall if he or she would like to live comfortably after retirement without giving up some retirement plans. Now you have reached your retirement age, there are some important investment options for your RRSP or 401k plan. In this article, we will discuss types of certain term annuity.

I. Definition

Certain term annuity guarantees a periodic payment of a predetermined amount for a fixed term. Once the term has elapsed, payment stops, even if the annuitant is still alive. Because of the tax-deferred status of these products, many wealthy investors or above-average income earners choose to purchase term certain annuities for the tax advantages.

II. Payment

Term certain annuities pay varying amounts depending on how much money was used to purchase the annuity. If the term certain annuity is short, then each payment back to the annuitant will be large. If the term is long, then each payment will be small.

III. Benefits of certain term annuity

a) Certain term insurance works best for wealthy people who want to defer taxes on income for a fixed period of time. A term certain annuity contract can sometimes be an option.

b) Individuals who will retire soon and need income coverage during that time.

c) As an alternative to other investments for a short period of time before retirement.

Since the main risk is that you may outlive your term annuity and be left with no money, it is wise to purchase this type of annuity under the guidance of a reputable financial adviser.

Austin Bank - Is the Austin Bank As Good As Advertised?

If you live in the city of Austin, chances are you've heard of the Austin Bank. Located in the eastern part of Texas, Austin bank is one of the more widely used banks in this part of the state, and if you live here, chances are you or someone you know does business with them. Are they the best, or should you look elsewhere?

Like so many banks today, the Austin bank has been in business for over one hundred years, and therefore experience isn't an issue with them. It's almost a rarity to find a bank that hasn't been in business for at least a century, and Austin is no exception.

While this doesn't make them stand out from others, it still is something to keep in the back of your mind. They know what they're doing-how else could they be in business so long?

The bank has twenty eight different locations, and are constantly expanding, so regardless of which part of Austin you live in, you can find one in easy driving distance.

What kind of financial services can you expect to find with the Austin bank? Hers' a hint-it's not just personal banking. Like just about every bank around the country today, Austin has expanded and now offers home loans, credit cards, investing, and many other services, so no matter what you need, you can get it with them.

Obviously, you will need a higher credit score to get their home loans or credit cards, versus going through another company.

Anytime you go with a bank, you will need a higher credit score, and that's just the way it is. Austin is no exception. However, if you can get one through them, it's definitely worth it, as they offer very competitive interest rates, primarily because they have to. Remember, whenever you are dealing with a smaller bank like Austin bank, they don't have the luxury of screwing around with interest rates, because they need all the customers they can get.

Therefore, if you are thinking about doing business with Austin Bank, they certainly would be a wise choice.

Five Tips For Shopping on a Budget

Sticking to a budget is hard enough, but malls, outlets and grocery stores don't make it any easier; with countless promotions, sales, and strategically-placed impulse-buy items, it's easy to get sidetracked and overspend. Willpower and discipline are great tools to combat overspending, but many people find it hard to maintain them when faced with a great sale. Never fear, there are a few simple tricks and tips you can use to help keep you on track and overcome the temptation to overspend.

1. Always take a list.

While seemingly simple, and even obvious, this is a great way to help keep spending on track. If you have a specific list of items you need, you can shop with more purpose, and avoid unnecessary browsing (which all too often leads to unnecessary buying).

2. Consolidate shopping trips.

Whenever possible, it's best to combine all your shopping into one day. This is a great way to make sure you don't spend extra time in a given store, browsing unnecessarily, or getting sidetracked from your pre-set shopping agenda. Plus, consolidating your shopping into one big outing will save gas in the long run, which is always a good thing, both for your budget, and for the environment.

3. Clip coupons.

Check your weekly paper for circulars and coupons. Be sure to have your list ready when you do this, to avoid adding unnecessary items (remember, just because it's on sale doesn't mean you need it). While you may not find coupons for everything you need, you'll likely find savings somewhere. Over time, even a few dollars a week will add up big time. Look at it this way: if you save just $4 per week, you'll end up with an extra $208 each year.

4. Plan ahead; shop accordingly.

Food is arguably one of the largest costs in any family's budget. It's one that can't be skipped or compromised, and with costs of everyday items like milk rising considerably, it can be a huge drain on any spending plan. While there's no realistic way around this need, there are ways to help maximize your spending. Planning meals a week in advance can help you make the most of your purchases; simply plan consecutive meals that use the same primary ingredients. Buy those ingredients in bulk to save even more. And always, always save (and use) leftovers.

5. Reward yourself.

Regardless of the best intentions, it's easy to get sucked in to unnecessary spending; it's practically human nature. An unexpected sale at your favorite store, a discount on an item you don't need, but have wanted for some time. You can curb overspending by operating on a rewards system. Set goals for yourself, like limiting spending to a certain amount, and make room in your budget for a special treat or reward when you reach your goal. If you don't achieve the goal, leave the reward money in place and try again for next month. Having something special to look forward to will make it easier to exercise self-control and avoid splurging on items you don't really need, or even particularly want.

If My Personal Assets Are Worth Less, Am I Worthless Too?

The biggest problem with defining oneself by one's possessions is unfortunately one's possessions. This follows directly behind the old proverb 'be careful what you wish for because you just might get it.' And later wish you hadn't.

This week we learned the median price of a house in Southern California dropped from $500,000 to $325,000 in twelve months. In my county in the Bay Area the median house price dropped from $770,000 to $582,000 in one year. These drops in price have amounted to almost $200,000 per house in one year.

This is a truly disturbing trend. Let's say my net worth drops from $1,000,000 to $600,000. Do I mentally and perceptually have to scale back my self esteem 40%? "I'm less the man I was a year ago by about 40% or $400,000." What a bummer!

That's not the way it's supposed to go. Everyone said "get moving up the housing equity ladder and sooner or later one would either be rich or have a steady refinancing income." Right.

So a lot of folks one sees walking around the streets of Salinas, Stockton and Santa Cruz are only shadows of their former selves because they truly feel they are less than they once were.

Their elevated self opinions have taken a big hit and they just aren't the hot stuff they were some time back. They are not smiling. They are not happy campers. Life is one big bummer.

Five years of equity growth wiped out in one year. And more of the same down the road.

Fortunately misery does love company and we are not seeing mass suicides by the fact that equity loss is the number one group therapy topic in coffee shops and workout gyms in the Bay Area. This and the uncomfortable realization there is no security. The realtor lied. Houses don't always keep going up.

As a reaction to the widespread fraud perpetuated by subprime loan underwriting, lenders are now actually making buyers come up with a down payment and verify income.

As it looks right now, the banks and investment firms will get the bailout and the government and consumer the tab. So if I really want to be crazy I will still try to be caught up in the moment and buy that dream house right in the middle of a declining market. Right. Smart strategy.

That means I will have to wait until the market bottoms out and then starts to rise before I can hope that it eventually gets back to the point at which I signed the mortgage. That could be 3-5 years in some areas and 5-10 years in other areas. Not much of an investment but like the realtor said, ' it's not just a house, it's equity in your very own home.'

"I lost $500, 000," the victim proudly touts, "and it could be worse next year." Right. That's certainly more likely than you admitting that for the past 20 years you have slaved like a beast of burden to increase your personal equity so you could once and for all get rid of your inferiority complex 'middle class feeling'. Right. And just where do you think you will end up?

In fact you get this sinking feeling that if you had it to do over again you wouldn't do it the same way. Going sideways is not only less glamorous but not very unproductive.

But it's always too late to act and once again, depressed and depraved souls will question their reason for being and cling to their guns and rock and roll to lessen the pain. And maybe a bottle of Jack Daniels now and again.

Those that can't afford the ten dollar shots at the Uptown Deco Lounge will be relegated to sipping Wild Turkey in back alleys and church cemeteries. Men will huddle against the cold and wind as they yearn for the days when at least on paper they were worth millions.

Henry David Thoreau said the farmhouse imprisons the farmer so in the end maybe a really good tent isn't so bad after all. As long as it isn't in the snow. Or mud.

Children will someday ask their parents what it felt like to be paper millionaires as mama's and papa's eyes get glassy remembering when high self esteem matched high personal equity.

"Well son, it felt like being a lot more about being whole and a lot less about feeling worthless." The son is bummed. Short term he realizes he is getting royally shafted.

But not to worry, Junior There is always hope. Not much maybe, but some. If we didn't have hope what would we have except a lot of worthless mortgages exceeding assessed value.

Maybe ours is not to reason why but hope things get better so we can get back to doing what we do best and that is building personal equity. Or perhaps the illusion of building personal equity. When that happens our frowns will turn to smiles and things will start to move in the right direction.

So don't be foolish. Just because you have the chance to get out of the rat race and perhaps discover and actuate the real you, doesn't mean you have to. You can continue on the treadmill until another bust comes along and again takes the wind out of your sails. There is no law prohibiting you from being a complete fool. And there is no reason to live a lie, no?

But no matter what you do never buy the argument that you might be happier living a simpler life without the artificial trappings of status and materialism. If enough people begin to feel that way our way of life will be in trouble.

Keeping Your Money Safe

With everything going on in the financial world lately - the Treasury taking over Fannie Mae and Freddie Mac, the collapse of Lehman Brothers and IndyMac Bank, and the government bailout of AIG - it's no surprise that investors are wondering if their money is safe.

Thankfully, there are safety measures in place for various types of accounts and investments. Here is a rundown of the different safetynets in place for each type of account or investment you may have:

Banks: Bank deposits are ensured by the Federal Deposit Insurance Corporation (FDIC). Basically, the FDIC insures deposits up to $100,000 per owner, per bank. If you have $100,000 or less in your name at any FDIC-insured bank or savings association, you have nothing to fear. Since the limit is per owner, that means you could actually have more coverage than you think (for example, if you and your spouse have a joint account with $300,000 at one bank, $200,000 is insured - $100,000 for each "owner").

In addition, if you have certain types of retirement accounts, such as an individual retirement account, you're eligible for even more coverage - up to $250,000 per owner, per bank. However, the FDIC does not insure money invested in stocks, bonds, mutual funds, life insurance policies, annuities and municipal securities, even if you bought those investments at an FDIC insured bank.

Credit unions have similar coverage through the National Credit Union Administration (NCUA).

Mutual Funds and Brokerages: Some investors are wondering what would happen in the event that the mutual fund or brokerage company they hold their investments at would fail. The funds that you own at a mutual fund company or a brokerage account are separate from the company's assets. So in the event of a company failure, your assets would not be liquidated to pay the company's debts. If the mutual fund or brokerage company failed, your assets would just be transferred to another brokerage company.

However, if any of your assets come up missing, whether it's due to company failure, fraud or poor recordkeeping, you are protected. The Securities Investor Protection Corporation (SIPC) is a non-profit corporation that protects investors if a broker/dealer defaults. Investors are protected up to $500,000 per account, per brokerage company.

Note that the SIPC doesn't cover all investments. Some that aren't covered include annuities, commodity futures contracts, foreign currencies, limited partnerships and precious metals. Also, the SIPC isn't providing protection against market losses or bad investments. The purpose of the SIPC is to replace securities that are missing from customer accounts, up to the limits of its coverage.

Now that you are aware of the limits, both at banks and brokerage or mutual fund companies, the best way to protect yourself is to make sure that you are not above the insured limit at any of the financial institutions you do business with. If you are, you may need to open different ownership type accounts or open new accounts at different institutions to ensure that your money is safe. In addition, not all CDs and deposit accounts are FDIC insured. Before you purchase an investment, make sure it is covered by the appropriate agency, and do your research to determine if you are investing with a reputable company.

Home Cost-Cutting - Replacement Windows and Eating Habits

In a time of economic downturn your ability to budget the needs and demands of your home is essential to your ability to stay afloat and stay prosperous. Though the US economy may currently be on the brink of serious danger and is approaching levels of income inequality akin to those seen in the year's leading up to the Great Depression, the average homeowner need not feel a 'Great Depression' of their own spirits and ability to properly finance their lifestyle.

Money saving and cost-cutting is a life long habit that needs to be learned and performed on a daily basis for it to have real world affects. Right now during this time of economic hardship, an excellent opportunity presents itself to begin a life-long commitment to living smart and saving money. There are numerous ways to save money around the house but two vital and simple ways of cutting back your monthly expenditures is by outfitting your home with energy efficient windows and cutting back the amount that you eat out.

Investing in Replacement Windows: Purchasing replacement windows is indeed an investment- you will be putting money into a resource in the hopes that it will eventually pay you back. This is somewhat similar to investing in a company, whereby you purchase stock (and initially expend money) with the certainty that that company will prosper and you will see increased returns on the amount of money you put in. In this way, your investment pays off by earning you more money than you initially spent. Similarly, replacement windows initially cost money and are an expense, but if you purchase energy efficient, cost-effective windows, you will save money on your heating and air-conditioning bills on a monthly basis and will make back the difference in no time. The theory behind replacing windows is that with the correct energy-efficient windows, the seal between the window and the windowsill is reduced to a minimum and the amount of air that is allowed to escape from the house (and thus lost) is also reduced. By keeping the temperature-controlled air of your house inside your house you save money on your heating bill.

Eating Habits: Many Americans are guilty of eating out far more often than their budgets should allow, but the problem is that once one gets into a habit of eating out at restaurants frequently, it is very difficult to go back to the grind of making your own meals at home. Here, the replacement window theory may be an effective analogue- one can think of changing one's eating habits as an investment whereby initial discomfort is offset by the eventual gains in both revenue and personal happiness. Though it is sure to be a gradual process, cutting back on the amount of time you spend at expensive restaurants in favor of making home-cooked, cheaper food, is sure to be a successful investment in your life.

While purchasing efficient windows and leading a more economical dietary life are only two of the many ways one can save money in one's home, they are also two of the most effective and sure-fire ways to get more cash in your pocket. Think of these two practices as an investment, stick with them, and you'll be seeing dividends in no time.

Give Shape To Your Dreams With Cheap Personal Finance?

In the present world, each and every individual is looking for some external source of finance to cope with the delinquencies of the existing environment. An obvious choice would be seeking refuge in loans for all your requirements. And these days, there is no dearth of the lenders offering cheap personal finance for all your needs. All you need to do is search well. Let us discuss all the relevant details about cheap personal finance like where and how you should search to find the best nominal rates.

As implied by its very name, cheap personal finance can be availed for nominal rates and are thus synonymous with secured personal finance, as well. For these loans, you will have to offer some of your assets as collateral to secure the loan amount, which will be seized by your lender, in case of non repayment of the loan amount.

In turn of the risk coverage factor, your lender will facilitate you with a large number of benefits. Some of the advantages of cheap personal finance are lower rate of interest, larger loan amount and flexible terms of repayment etc. So, in order to order to avail the innumerable benefits of cheap personal finance, you will have to be extra careful with the repayment schedule of the loan amount.

For cheap personal finance, it is recommended to borrow up to a limit, which you require and can repay easily. You can take up cheap personal finance for any of your needs. From repair of home to debt consolidation and educational purpose to purchase of vehicle, you can use it for all.

For best deal of cheap personal finance, you can make your search through various online sources. There you will find a large number of lenders at a single place. Compare the quotes offered by the different lenders and choose the best deal.

Ben Gannon is a senior financial analyst at Cheap Finance UK with an acumen for business and loans. In recent years he has taken up to provide independent financial advice through his informative articles. His articles are widely read because of the lucid manner of writing and thoroughly researched datas. To find Finance UK, personal finance, personal finance UK, business finance, small business finance, small business finance UK, Cheap personal finance, cheap personal finance UK that best suits your need visit http://www.cheapfinanceuk.co.uk

Article Source: http://EzineArticles.com/?expert=Ben_Gannon

Are the Little Things Eating Your Budget Away?

I've written often enough about saving money. There are some standard tips just about anyone will give you - cut the cable bill, drop to either just land line or cell phone, spend less at the grocery store. And of course, quit buying coffee at the coffee shop.

Each of the above can seem like such a small thing, especially if you spread the cost out over the month. But when you put them together for the month, you may find they're a lot of money. That's why they are so often recommended for the chopping block.

If that's not enough, now what?

The tighter your budget gets, the more creative you need to be about saving money. You need to look at some of the less obvious little things that also can add up.

1. Cut down on your energy use.

Turn off those excess lights! Put up a clothesline if you can, and dry clothes outside in warm weather. Find ways to block more heat from coming in during the summer, and take advantage of any sunlight during winter.

You can also unplug electronics that aren't in use. Many electronics continue to draw just a little power even when you turn them off.

2. Get on Freecycle.

Thrift stores are great for saving money, but free (aside from the gas to go get it) is even better. You might be amazed what people will give away. You can reciprocate when you have something to get rid of that someone else might like.

You can also sell the things you don't need anymore, whether through eBay or a garage sale, but offering things for free when you're getting other things for free is strongly encouraged.

3. Share resources with friends and neighbors.

You may know several people in financial situations similar to your own. If you can borrow things that aren't needed daily you may be able to save the expense of buying them.

This obviously takes a lot of trust and/or tracking. You can't have one person borrowing things and never returning them or reciprocating, not to mention the potential for damage. But if you can avoid buying garden tools if you decide to start a garden, for example, you can cut your costs down nicely.

4. Ask for a credit card rate reduction.

Often enough it works, and it only takes a few minutes. Talk to a supervisor if you need to.

5. Drink more tap water.

It's the cheapest drink in the house! It's even cheap if you count buying filters if you don't like the way your tap water tastes.

I like to keep a bottle of tap water in the fridge so that it's already cold. Works wonders for the taste, and if it's a really hot day ice cubes can help to keep it cold.

Creating an Emergency Savings Fund in a Few Easy Steps

Having an emergency fund is not a luxury - it is a necessity. Most personal finance experts recommend that people have emergency savings to cover at least between three and six months' worth of regular household expenses. Even if you think you don't need such an account, it's true that eventually you will. You can't predict if you're going to become disabled, have a devastating house fire, or lose your job.

Let's look at how much savings you need, and how you can get started saving today.

How much do you need?

Starting an emergency savings account is something you need to do, but it's also something that you need to put effort into doing. This is a task that you're going to have to want to do.

The first step in starting your emergency fund is figuring out how much you spend each month. According to the U.S. Department of Labor, each person spends about $40,817 each year (as of 2003, the most recent year for which data is available).

On average, you'll need about $3,400 at one month, $6,800 at two months, and more than $10,000 at three months. By six months, those cumulative expenses can jump to more than $20,000.

Even if you spend more or less than these numbers, it's easy to tell that three months' worth of living expenses is a large number. Your first reaction may be, "How on earth am I going to come up with that amount of money?"

Why that much?

It's certainly true that the amount of money you'll need for a proper emergency savings account is a significant figure. This amount is necessary, however, because we do live in uncertain times and are in the midst of a recession. A company having loyalty to you is sadly a thing of the past, and you can lose your job at any time. Other emergencies can be sudden and very expensive. No matter how you cut it, there's never an opportune time for these emergencies to happen.

We know that you probably don't have an extra $10,000 tucked under your mattress. But even six months' worth of expenses, however, is a small amount compared to what you will need for retirement. Very few people don't doubt that they should save for retirement; three or six months' of expenses doesn't look like much when compared to the retirement savings you'll need for 20 years' worth of retirement.

Figuring out the numbers

It's time to start saving now that you've put things in perspective. You should approach this goal the same way that you would approach any other financial task. You need to create a plan and then put it into action.

The first step is to figure out how much money you and your family will spend each month. The three largest categories for most people are housing, transportation, and food. Multiply this monthly figure by three to figure out what you need for three months. Saving this amount of money should be your first goal.

The amount that you will need to save over five years or 2 ½ years is doable for many people. Over five years, the amount each month is less than many people spend on their cell phone. The savings each month for the 2 ½ -year plan is about the same as you'd spend on a monthly car payment.

Put your plan to work

There are many small steps that you can take to come up with your monthly or yearly savings goals. You may want to consider canceling your cell phone (or your land line) or buying a less expensive car. You can also skip your two-week vacation, save your next bonus, or reduce the amount of money you spend at restaurants and coffee shops.

You should treat your emergency fund like a bill that you pay every month. It might be a good idea to always remember to pay you first. Even though many people don't have problems sending money to their credit card companies every month, it is harder for some people to remember to send money to themselves. Figure out how much you need from your paycheck, and set that aside each month.

There is no time like now to start savings. Even if you can't afford to make large monthly payments to your account, you can take other steps. You can empty the change from your pockets at the end of the day and put it in a jar. You can eat at home instead of out, and "tip" yourself by adding to your emergency account. You can save $5 a day, and find yourself with more than $9,000 in only five years.

The Benefits of Saving

Saving money is a problem for a lot of people, and in the U.S. today, personal savings are at record lows. If you want a comfortable future for your family, it is imperative that you learn to save. If you plan to save, you must first plan how you spend. Developing a monthly budget is key for ensuring you have money left for savings.

Before You Start

* Discuss your plan to save with the rest of your family and make sure they agree and understand the importance. If they recognize the purpose behind any sacrifices they must make, they are more likely to stick with the plan.

* Calculate your savings for prior year. How much did you set aside, if any?

* Make debt a priority. Use your tax refund, etc. to pay off expenses in order to pave the way for greater savings.

Pay Yourself First

When creating your budget, plan to pay yourself first. In other words, pay your bills and then pay your savings account - BEFORE you buy that new TV or take that weekend trip. Saving money now will ease financial strain when something big, like college or a new home, comes up in the future.

Get Started

It takes some effort to construct a family budge. There are many computer programs and other electronic aids to help you, and of course, you can always opt for the old faithful pen and paper. Find a good example of a budget worksheet online to give you a guideline to go by, but most of all, choose a plan that will be easy and efficient for use and compliments your needs.

You will first need to consider your monthly income. You should calculate every penny that goes into your pocket. This information will help prevent you from spending more than you make.

After you know your exact income, you should track your spending. Take at least a month to determine how your money disappears. Make a record of everything from bills to bowling in order to plan the most efficient budget.

Organize your spending into categories to include both the things you need and must pay for, like your food and your mortgage, and also the things you enjoy but could live without if you had to, like a monthly manicure or eating out twice a week.

Spend less = Save more

After you've looked at your detailed spending list, you can determine whether your debt is greater than your means. If you don't make enough to cover you car and house payments, you may need some aggressive action. For most people however, the overspending comes with the 'incidentals' and the luxuries we've all grown accustomed to.

Your incidental spending will be the easiest place to cut back and make room for saving. You can start by canceling magazine subscriptions and going out to eat less often. Rent movies instead of going to movies to avoid the snack bar pitfall. You can always pop popcorn at home.

Earned Income Credit - How to Become Eligible

Families that are considered to be poor or low income are given assistance through the earned income credit, or EIC. The EIC is a tax credit that helps such families with low earnings to have a better standard of living. An EIC can translate into a tax refund of anywhere between $400 and $4,500. This article will explain how you can figure out if you are eligible for the EIC.

The earned income credit is not only for families with children. Even single individuals can be eligible to receive this credit from the IRS, even though it will be for less. Many such single people are not aware that they could receive the EIC and do not even apply.

Although it is open to many people, some individuals will not meet the requirements to earn the EIC. People who obtain the EIC must be United States citizens, have a social security number, earn a taxable income, be over twenty-five years old, not file for taxes under the Married Filing Separately category, and have a child that qualifies. Meeting these requirements is the first step in receiving the earned income credit.

In order to obtain the EIC, you need to make a sustaining income. This income can come from freelance or self-employed work. The EIC program benefits people who are willing to work for their money.

This tax credit is easier to obtain if you have a child, but that does not mean that you will automatically get it. In order to receive the EIC on the basis of your child, the child must be under eighteen years of age, under age twenty-four and currently taking post-secondary classes, or over eighteen years of age with disabilities that are cared for by a parent.

Children will allow you to qualify for the EIC if they live with you for at least six months of the year. If the child's parents are separated, the only parent who can claim the child towards the earned income credit is the parent who currently lives with the child. The EIC can be qualified for by means of foster children as well. Any and all children who are used to obtain the EIC must have a valid social security number.

If a married couple wishes to receive the tax benefits of the EIC, they must file their taxes jointly. Separated couples cannot both claim their children for the EIC, so they will have to decide who will claim them. You can claim the earned income credit on any 1040 tax form.

You may qualify for the earned income tax credit without even being aware of it. You might very well be missing out on money that you are entitled too because of misconceptions regarding the EIC.

Find the Right Financial Advisor For You

We all need getting done a suitable financial plan if we want to live happily after retirement. This oft overlooked necessity requires in-depth consultations from a financial advisor; however, it's our forced ignorance that bars us from looking deep into the fact and understands the concept that gives a financial advisor his entity. The following paragraphs are a humble effort to let you know all about the financial advisors and their importance.

What is Financial Advisor?

A financial advisor is a trained and certified professional who makes your finances flow into the right channels and yield more in terms of money. Not all of us know how to achieve a certain financial goal within a specified period; we are also sometimes ignorant about analyzing the risks that an investment can bring. A financial advisor calculates all those risks and tallies them with your investment objectives to make you a gainer in the future.

How to find the Right Financial Advisor!

Experience comes first in this regard. A financial advisor, how much ever well trained and educated, needs a certain amount of hands on experience to enter the practical field. Experience is important since it also proves how long he is into the business as well. Without a certain amount of experience, a financial advisor won't be able to mold and fine-tune a financial plan as per your need.

Experience brings the clientele to a financial advisor; so when you are choosing one, always ask about whom he has served so far by being into the industry. To the one who has held a good record overall, it shall come as a matter of pride; to the one who is not, it's the toughest test he'll have to go through.

Next comes the registration part. Almost all reliable and honest financial advisors are registered with a regulatory body. It's not that the one who is not is dishonest, but being so brings about that extra surge of credibility.

So when all are done, it's time that you should check his credentials before getting interested in his fee structure. Credential provides certain stated facts by the clients that reinforce the goodwill; once you are satisfied with that, concentrate on the financial advisors fee arrangements.

There are some who charge a direct fee and there are some who works for a commission. Find out what suits you most and whether a third kind of arrangement can be made.

1 Tip For Stretching Your Everyday Dollar

. Share your meals.

Many of you may take your lunch to work or may go home and eat for lunch. But for the millions of people who go out to eat everyday at lunch, there is a great trick to implement in your daily routine. Yes, it is expensive to eat out, but when you do go to lunch make sure you go with your spouse, friend, work buddy or someone who will practice the art of sharing a meal.

Here's what you do. Both of you should order water. Then, select a meal and share it. Ask for a second plate. You will save a bundle. I am going to break down some numbers for you:

TRUE LIFE EXAMPLE:

My wife and I went out to eat for lunch a few days ago to a great Chinese restaurant. We ordered:

- 2 Soft Drinks - $4
- 2 Meals - $13
- Tip - $3
- Total - $20.00

A couple of days later we decided to experiment at the same exact restaurant, but since we both had food left from the other day we decided to share a dinner portion as opposed to two lunch portions, and we ordered water to drink. This was the result:

- 2 Waters - $0
- 1 Meal - $9
- Tip - $1.50
- Total - $10.50

So, we both had plenty of food to eat, we did not overfill ourselves, and we saved a total of $9.50.

Now, let's create a hypothetical situation and say that we changed our habits every day to this method for at least one meal per day, for 50 weeks per year, 5 days per week.

That is 250 days at a savings of $9.50 per day, resulting in a GRAND TOTAL YEARLY SAVINGS OF: $2,375.00

Now, go check out my great personal blog for more creative tips on saving money and eliminating debt. Oh yeah, I also have a FREE 21 Page e-book you can download on how to get out of debt and build wealth over time. It is awesome and free!

Justin V. Cecil, MBA

Debt Freedom and Personal Finance Fanatic.

MY PERSONAL BLOG: http://www.PeskyDebt.net/

Article Source: http://EzineArticles.com/?expert=Justin_Cecil

Justin Cecil - EzineArticles Expert Author

Banks Vs Internet Banking

With the internet in our midst, people are given the convenience of doing a variety of financial transactions online whether at home, in the office or even while on the go. This advanced and phenomenal technological innovation has indeed made life easier for many people including professionals, businessmen, housewives and students. However, this does not necessarily lead to the end of the existence of the brick-and-mortar banks. The standard banks will always be there as there are still consumers who opt to transact in a real bank where they feel most secure and comfortable.

The traditional banks and banks that have gone online have their respective advantages and disadvantages. It's really up to the consumer to choose which type of banking service to use. What matters is you know your financial needs, you keep an open mind on the latest trends in the banking industry and learn about them if possible. You may be loyal to your standard bank but who knows, you may also need to use the online banking service one day for an urgent transaction when you're pressed for time or unable to go out for health reasons.

Standard banking

Conventional banks are those that still use the paper and pen in dealing with different financial transactions. The reality today, though, is that many have gone online as well introducing internet-only products to compete with the purely online banks. While these traditional banks cater mostly to the old customers, experts say they should also keep up with the trend and cater to the younger, internet-savvy customers if they wish to attract more clients.

Security and personal touch are major considerations for people opting to use the traditional banks. Most of them would say having human contact makes them feel comfortable when banking. Some feel secure when they deposit cash via a real teller.

Online banking

Banking on the internet is very much the same as when you do transactions in a real bank. The only difference is that you're using a computer instead of a paper or phone in accessing your account and information, making payments and reconciling statements. There's no need to go to a local branch office as you can accomplish various financial tasks in the convenience of your home or office in a few clicks.

One major advantage of internet banking is its being cost effective. Some banks charge lesser fees if you use their online banking services. Also, since you don't need to commute or drive to a local branch, you save on money and gas. Additionally, banks are able to offer more products and services as they don't have the overhead expenses such as the need to pay tellers.

For busy people such as frequent travelers, professionals and businessmen, the online banking option is very ideal. As these people need to keep track of their finances and other urgent matters even while in other places or abroad, they can still gain access to their accounts via the internet.
Online banking is projected to expand by 55 percent to 72 million households by 2011, according to a report by Forrester Research. The target users are the so-called Generation Y or those born in the late 1970s.

And so, with these two options available to consumers today, it's easy to make a choice where banking is concerned and perhaps even better if you use both.

Learn more about the advantages of internet banking by visiting http://www.webinternetbanking.com.

Article Source: http://EzineArticles.com/?expert=Gloria_Smith

Finding the Best Current Accounts

When opening your first current account, it's easy to opt for the same account your parents have. Or if you are heading off to university and opening your first current account you may choose the one that offers the best perks: such as a free five-year Young Persons Railcard, which gives you one-third off rail travel. Few people give any more thought to it than that.

But seeing that a current account fulfils such a crucial role in your finances because most of your cash flows through it at some stage, it's worth thinking about what you want from it before signing up.

Some banks pay extremely poor rates of interest on current accounts and charge extortionate rates of interest on overdrafts, yet those offering the worst deals also have the largest number of customers.

The 'big four' - Barclays, HSBC, Lloyds TSB, and NatWest - all pay 0.1 per cent interest on balances (although Lloyds TSB also has an account paying a higher rate of interest as long as you pay in a certain amount each month). Other banks pay more than 30 times this amount of interest.

Overdraft Facilities

As well as providing you with a convenient home for your money, most current accounts offer so called overdraft facilities. This means you can use you account to borrow money from the bank.

There are two types of overdraft - the 'authorised' overdraft where you agree with the bank a set limit on any borrowings and the 'unauthorised' overdraft where you slip into the red without first telling your bank or you exceed your authorised overdraft limit. Charges on both types of overdraft are high but especially so on unauthorised overdrafts - they are best avoided.

The big four also charge around 16-18 per cent on authorised overdrafts (although Barclays has some packaged accounts with 9.9 per cent overdrafts). But you can get an overdraft rate of under 8 per cent if you shop around. Yet despite this, some 70 per cent of all current accounts remain with one of the big four banks.

No bank or building society offers the best deal on every single product. One bank may have a fantastic mortgage range but offer a low interest rate on its current accounts. Product providers specialise in certain areas, offering one or two really attractive deals to pull in the punters. Other customers end up paying for this great deal - usually those stuck with an uncompetitive current account.

Check for an introductory offer. Some banks pay a lump sum or charge 0 per cent on overdrafts for a limited period when you open an account. Find out whether you qualify for preferential rates on other products offered by the bank, such as insurance or personal loans.

When comparing personal finance institutions, discover what other services are on offer, such as the ability to buy or sell shares or free financial advice. If you're keen on being green, determine whether you can get an ethical banking account, which are provided by socially responsible banks that don't invest in companies involved in tobacco, gaming, gambling, or pornography.

Here, on our website, you will find accurate information on credit cards, loans, insurance, current account and mortgage deals for efficient personal finance management.

Article Source: http://EzineArticles.com/?expert=Liza_Mathers

Gaining Access to Your Current Account

Having money sitting in your current account is all well and good, but you need to be able to get to it. Fortunately, modern banking methods offer you a multitude of ways to access your dough, from stepping into a solid building and getting money from a live person to choosing the virtual route of a standalone Internet bank (keep in mind that the money is all too real).

In the following sections, we take you through the various access methods and highlight points to consider when choosing a current account to meet your individual needs.

Going automated with ATMs

Bank branch ATMs now offer free shared access to consumers' accounts, so you don't have to pay if you use another bank's ATM to withdraw cash.

You should check the maximum amount of cash you can withdraw from an ATM in a single day. This is usually around £300, subject to available funds or an arranged overdraft, but it can vary. If you are likely to deposit cash or cheques into your account, find out whether you can do this via your bank's ATMs to avoid queuing for hours in your local branch.

Scouting locations

Most current accounts offer a cheque book and cheque guarantee card (which often doubles up as a debit card). However, many people no longer pay by cheque, so there are a number of current account providers - usually online - who don't offer a cheque book (in exchange, you might get a slightly higher rate of interest on balances).

If you do want the option of paying by cheque, make sure the account you sign up for offers this. Check what limit is on the cheque guarantee card - it may be as low as £50, although some accounts go as high as £250.

Banking by phone

Find out whether the bank has a free or local-rate number for telephone banking and what services you can access by phone. This could make a difference if you contact your bank on a regular basis.

Clicking through the Internet

The growth of Internet banking has been phenomenal. A number of high-street banks are behind the various Internet banks, although the latter are run as standalone operations. So, for example, Halifax owns Intelligent Finance, Abbey owns Cahoot, and insurer Prudential owns Egg.

Standalone Internet banks offer better rates of interest on balances and overdrafts than high-street banks. They can do this because they have lower overheads (no branches). Instead, you get 24-hour access, 365 days a year. But the accounts on offer are more limited than on the high street and there are times when you might want to speak to someone face to face. With many standalone Internet banks you have to rely on the phone or email, which doesn't suit everyone.

You won't get a monthly statement in the post either: instead, you'll be able to access an electronic statement online. If you really want a paper statement for your records, print this off and file it.

Weighing balances

Many banks require only £1 to open a current account, but some providers insist that you deposit a minimum amount of cash each month, or that your balance doesn't dip below a set amount. If you don't have much cash to spare, steer clear of such accounts because if your balance dips below, say, £250 you may forfeit your interest. Find out whether there are any penalties for not maintaining a minimum balance before signing up.

Accruing interest

If your current account is usually in the black, it's sensible to opt for one paying a reasonable rate of interest - 3 per cent or above - to maximise your returns. However, these accounts often stipulate a minimum level of funding required per month, so do look carefully at the terms.

Terms and conditions

If there is a chance that you might go overdrawn, check what the charges are for doing so. Overdraft rates vary significantly between current account providers, so shop around for the lowest one if you need an overdraft and inform your bank before going overdrawn. Unauthorised personal finance overdrafts are far more expensive than authorised ones.

It's worth finding out how much you can go overdrawn by if you may need more than a few hundred pounds. Ask whether you can go overdrawn by a certain amount without having to notify your bank beforehand and not have to pay over the odds for this.

Here, on our website, you will find accurate information on credit cards, current accounts, loans, insurance and mortgage deals for efficient personal finance management.

Article Source: http://EzineArticles.com/?expert=Liza_Mathers

Personal Financial Software – To use it or not?

If you are reading this, then you obviously have access to the Internet. And, more than likely, a PC at your home or work. These two requirements are the basis for using personal financial software. Chances are high that you have seen ads for personal finance software. But, should you use this software to help perform the most basic of personal finance tasks?

In our culture instant access to information and ease of information reigns supreme. Anything that is available to make life easier and more convenient is considered chic. Not to be outdone, personal finance software fits this mold very well. And for good reason. Ease of use, error protection and a myriad of features make this a must for everyone. Use it and be better because of it. The ability to categorize expenses and organize your current and savings accounts is worth the time, money and effort.

You have two options available. First, you can purchase software to load onto your PC. Or you can access a site via the Internet that will allow you to perform your personal finance activities there. The difference is that with software on your PC, you have the actual information on your hard drive. If your Internet connection goes down for some reason, you still have access to your data. But, then the down side here is that if your hard drive crashes, you can lose it all unless you have a backup. Then, even if you do have a backup, how long would it take to get your PC up and running for you to be able to access the data once again?

Online personal finance providers give access to your stored data from any PC that can get to the Internet. That gives you options. If you travel to your mother’s, but do not have a laptop to take with you and you find you need to check your balance, just log on at her house. But this can also work against you. If there is no Internet access, there is no viewing or changing data.

You need to be aware of these differences and make the choice between the two as to which option would best fit your needs. If you choose software for your PC, you will enjoy many features. At this point, the Internet sites offering this service are still in their infancy and do not have as many features and benefits.

Whichever you choose, your personal finance tasks will be easier and more accurate. Do not delay – get in on this now.

Personal finance briefs

Fuel savings add up with car maintenance

Barack Obama got ribbed by John McCain when he advised drivers to fill their tires, but the Car Care Council, a nonprofit funded by an auto trade group, agrees with the Democrat.

Car care, the group says, can save a lot of fuel and money, based on $3.96 a gallon gas:

• Once a month, check that your tires are properly inflated. Gas savings: up to 12 cents a gallon. Boost in fuel economy: up to 3 percent.

• Replace clogged, dirty air filters. Check them every 3,000 miles. Gas savings: up to 40 cents a gallon. Boost in fuel economy: up to 10 percent.

• Use the right grade of motor oil, and change it regularly. Gas savings: less than 1 cent a gallon. Boost in fuel economy: 1 to 2 percent.

• Tune up your engine, about once every 30,000 to 100,000 miles, depending on the car. Gas savings: 16 cents a gallon. Boost in fuel economy: 4 percent. The group also recommends keeping your gas cap on tight and replacing spark plugs.

FIRED AND REHIRED

Downsized and out of a job can be a rebirth

So you got downsized. It's happening a lot this year -- 579,260 job cuts reported so far, according to outplacement consultants Challenger Gray & Christmas Inc. -- but experts say you shouldn't see it as career death. In fact, it can be a rebirth.

"A majority of people end up telling you it's the best thing that ever happened to them," said Marc Cenedella, CEO of jobs site TheLadders.com.

How to move on:

• Get rid of the negativity: Write an angry letter to your boss, then rip it up. Take a vacation. Get relaxed and refreshed so you can be positive in interviews later.

• Make a plan: Interested in a new field? Here's your chance. Investigate retraining programs, take classes. "Reassess what you want to do," said Tony Santora, senior executive at Right Management, an employment consultancy. Take note of your strengths.

• Network, network, network. "Over 50 percent of the jobs out there are found through networking," Santora said. Reach out to friends, family, former colleagues. Use online sites like LinkedIn.com. Call up trusted recruiters.

Personal finance literacy worsens amongst British adults

Despite personal finance issues taking centre stage over the past 12 months, the latest research from Abbey Banking has found that financial literacy amongst British adults has in fact declined since this time last year...

In August 2007 Abbey set a simple GCSE level personal finance exam amongst a representative group of adults, and found that one-in-ten (5.9 million) would fail to achieve the 40 per cent mark needed to achieve grade GCSE grade C (or O'Level pass). One year on and a repeat of the exercise shows that the number of adults failing to achieve a grade C has increased by 1.2 million adults - to one-in-seven.

At the top end of the scale one-in-four adults (25 per cent) matched last year's results by scoring an A*, but straight As were down on last year by 2 per cent - to 28 per cent. Twenty two per cent were on for a respectable B (up one percent from last year), but C grades fell year on year from 13 to 12 per cent.

Government plans to introduce personal finance skills into the Maths GCSE should certainly be welcomed by 18-24 year olds, since they slipped from an average score of 56 per cent in 2007 to 53 per cent in 2008.

The top wrong answers were:

88 per cent didn't know that they get six weeks to pay back a credit card before it accrues interest. (86 per cent last year)

38 per cent failed to explain that negative equity is where your mortgage is larger than the value of your house. Better than last year when 47 per cent got the answer wrong.

25 per cent were unaware that failure to pay a secured loan meant that your house could be sold to pay for the loan, up 2 per cent on last year. Five per cent thought that it involved selling off the contents of your house.

18 per cent don t know what hire purchase means, against 12 per cent last year.

Why is Saving So Important?

The trick to saving is to make it your number one priority when allocating your cash outflows.

When I first start working with a client on wealth creation, I always start them saving 10% of their income regardless of their current financial position. Invariably, the client has a difficult time with this. Unless they are a "born saver" or were conditioned to saving from an early age, the client views this strategy as either drudgery or, worse, it appears that they have less money for themselves.

The truth is: savings will give you more money in the long run. If you want to become wealthy you must start thinking long-term not short-term. Generally, most people waste more than 10% of their income every week on things they don't really need. By eliminating wastage and extravagance from our lives, we can find that extra 10% to save.

Most of my middle-income clients have been able to trim an easy $50 to $100 per week off their supermarket bill alone by simply ensuring that they only buy what they need and focusing on buying value for money. This does not mean you have to buy inferior products. It means: buy value-for-money. Consumer research organisations have proven that the most expensive products are not necessary the best.

Ultimately you will feel a major sense of accomplishment watching your savings grow. Having savings in the bank provides a strong feeling of security and you will never feel poor. You can finally relax and know that the future is being taken care of.

Some wealth strategies may advocate paying off all your debts first and then start saving later. I disagree. These systems usually put you on a very stringent budget. To me, this is like going on a strict diet. It is too harsh for most people in the long-term and, more often than not, doomed for failure. I prefer to start everyone off by saving 10% of their income. It gets then into a good habit from the start. The 10% savings should always be allocated first. If you make it your number one priority, you are well on the way to conquering your financial problems and becoming wealthy.

A soon as any income is received, 10% should be deposited into a separate savings account that is easy to deposit to, yet difficult to withdraw from. Do not attach this account to your ATM card. This money should be left to accrue over time and then converted into investments. It is not to be used for holidays or buying large purchases such as furniture. A separate savings account can be used for the latter.

I tell my clients with children that the most important thing you can teach your children about money is to save 10%. If you start them young and teach them, in the same way as you teach them to brush their teeth everyday, they will be millionaires by the time they are 30 or 40 years old - maybe even sooner. It is as simple as that. Start them saving as soon as they start receiving pocket money.

Protect Yourself From Bank Fees

Do you use a checking account? You may be paying too much for the use of a checking account and could be saving bundles by switching or eliminating the use of a bank checking account altogether.

If you want to save money by using a checking account you need to use it wisely. Banks are happy to have you deposit money for short term use, but they plan on making money through fees somehow. What type of fees can you encounter simply by using a checking account?

Personal Finance Problem: ATM fees

Most people have an ATM card where they can retrieve money from their checking account funds any time of day. But did you know when you pull out a mere $20 you could be paying over 5% in fees?

Most bank ATMs will charge you an average of $1.25 for the use of their ATM console. To pull out $20 cash that's a 6.25% fee on your funds. For $40 cash it's still a 3.12% fee that you could put to better use.

At the worse end, if you choose to retrieve funds out of your checking account from an ATM owned by another bank you could be charged up to $3 for that little bit of cash. Ouch!

The Personal Finance Solution

• Don't use ATMs unless you absolutely have to. For the price you pay to access your checking account, it's not worth it.

• Use a bank that does not charge ATM fees. Some banks do not charge an ATM fee as long as you use one of their ATMs. National banks like Bank of America or Wells Fargo who have ATMs in cities all over the country may give you this deal. Take advantage of it.

• Use a debit card. Banks today offer to issue a Debit Card to access your checking account funds. Most retail stores will accept debit cards because the transaction is instantaneous out of your checking account and they get their money fast. The best part? No fees! Use the debit card whenever you can, but be sure to keep tabs on your checking account balance.

Personal Finance Problem: Check printing fees

When you order checks, especially ones with fancy options and decorations, you pay exorbitant fees for the price of printing. For each check you write you could be paying .10 cents to .25 cents per check. That adds up over $6 for the use of a book of checks.

The Personal Finance Solution

Use banks that offer actual "Free" checking with no check printing charges. Or, simply forgo the use of checks and use a debit card for retail purchases and online banking to pay your bills.

Personal Finance Problem: Overdraft fees

This is the big one. Always - ALWAYS - keep your checking account in balance. If you pay by check or by debit card and overdraft more than is in the account, you could be slapped with a hefty fee up to $40. That's just on the bank side. The retail store may have their own overdraft fee on top of your bank's.

The Personal Finance Solution

Use overdraft protection. Most banks will allow you to have overdraft protection with a savings account. But that means you must have money in that savings account! Keep it stocked with enough to get you out of a jam. A $40 fee on a $5 overdraft can really knock you out financial if it occurs over and over.

How to Find a Financial Advisor!

How to make your choice

We all know by now the types of financial advisors existing today; it's essential to decide which type to go for first. There are financial advisors and independent financial advisors; the first one functions as a part of a firm or a similar financial institution while the other operates like a freelancer. That makes sure one thing; with an independent financial advisor, your options are more. A financial advisor shall thus providefinancial advice- which is correct - but then again, financial advice is a very broad term requiring fine-tuning.

To be precise, financial advices are as many as the number of financial products and strategies available in the market; there also remains a question on their individual suitability. A financial advisor is the one who matches them up and therefore; it's a specialized service that you require for better results.

Let's see what can be achieved from an independent financial advisor. An IFA doesn't hold any contract whereas others remain bound by contracts with financial institutions (e.g. life insurance or mortgage companies) or work directly under the company's payroll. Therefore, why a contract bound/employed financial advisor may suggest going for a financial product sold by the same financial company - maybe that's not meant to suit you completely - an independent financial advisor shall select a plan tailor-made to your needs if all other readily-available financial packages fall short. So now that you've known the difference, it's time to learn how to choose the best.

Questions to ask

The regulatory body of financial services (FSA or Financial Services Authority) has put up certain requirements for any person willing to work as an IFA. This is something you need to enquire about when you are on the process of finding a suitable independent financial advisor; for those working under some financial institution, their credibility can be verified with the employing company. A Certificate in Financial Planning is the bare minimum; if there are advanced qualifications showing, it is all the better. These qualifications are specialization based, for example, an IFA dealing in mortgages must have a Mortgage Advice Qualification (MAQ) or a certification from the Association of the Pensions Management Institute (APMI) and so on. Just remember that the field an IFA is providing his services for must tally with the degrees he/she has earned so far. Ask your questions as you feel, but the abovementioned points must stay included in the answers you receive. And always remember; don't hesitate to take any free quote that's available. It helps to gain some idea on who's more correct to address your needs.

What to expect next

Be prepared to reveal your entire financial history to the chosen financial advisor, from your most silly impulse spending to your long-term financial goals and everything that's influencing your current spending habits. The financial advisor shall then choose for you a package, but it's always better to get it verified from another source.

Financial Advice is Not a One Size Fits All Proposition

I've been reading on various blogs where people leave comments preaching that everyone should avoid using credit - most recently today over on The Digerati Life and Five Cent Nickel. I have also noticed several titles in the bookstores as well, such as "The Last Book on...You'll Ever Need" or "The Only Book on...You'll Ever have to Read", "The ...% Solution". To be honest, none of it makes any kind of sense. Finances, and therefore financial advice is not like a baseball hat that is "one size fits all". No, it needs to be tailored to fit each person as an individual, and to conform to their individual goals and situations.

Now there are some basic principles that can be used as blanket statements, such as save for an emergency, pay bills when they are due, live within your means, etc. but telling people in general to avoid using credit at all costs, or that they need to save 20% of their net pay is just irresponsible. Along the same lines, it is simply wrong to say that all people just starting out should have a 100% exposure to stocks, while a person already in retirement should switch to a 100% bond portfolio.

Ideally, what should happen is that there should be an interview process in which the person dispensing the advice gets an overall sense of the seeker's situation, regardless of whether it is retirement or college planning, debt reduction, bankruptcy avoidance, etc. finding out what led them to where they are now as well as where they want to be in the future. Then, and only then can someone truly give informed and targeted advice. No two situations are exactly identical, as people have differing levels of need, as well as differing levels of knowledge. It is not as simple as saying "everyone should..." because of these differences and the necessity to recognize and understand the uniqueness of each situation.

Of course, not everyone is a financial advisor, planner, etc. but there is still a need to be responsible when giving advice. One cannot advise others on a certain diet before you discover their religion or any medical conditions related to food that could affect their ability to maintain such a plan. Nor would anyone give driving directions before ascertaining whether or not the recipient is interested in getting to their desired destination in a speedy manner or if would like to make stops at certain points of interest. The same holds true for financial advice. No matter who is dispensing the advice, certain facts need to be reveled in order to get those in need where they would like to be. That cannot be accomplished by making blanket generalizations and incorporating personal beliefs blindly. It simply is not right nor is it in the best interest of the people in need.

Do You Have a Back-up Plan?

Last week I woke up and strolled over to my home office to find that the screen on my laptop was black. After rebooting, and playing with the connections, I came to realize that the backlight was blown and that it was time to go out and buy a new system. I also realized another important fact: my back-up plan was severely flawed. Of course, since I preach the importance of organization to my clients, al of my documents and files are meticulously arranged on the hard drive, but I had failed to set my programs to automatically back themselves up daily to my external hard drive.

Luckily, my problem was not hardware related, and I was able to move everything to my new system, but the event did make me scrutinize my lack of disaster-preparations. Unfortunately, I have seen this many times with others, and I am sure that I will continue to hear horror stories so I figured it would be wise to outline my new plan in order to perhaps help others avoid such issues in the future.

I always keep digital records of everything, in part to avoid the clutter that papers create, but also in order to be able to find things more easily. I sign up for electronic delivery of all bank, brokerage, and credit card communications, and each institution has its own folder. Anything that is not delivered electronically gets manually scanned and archived.

Each program I use, whether it be for personal or client finances now gets backed up upon exit, automatically, with the last 5 back-ups being retained. Almost all programs create default files containing the name of the file with the date for easy recognition. Each day I get an e-mail of my blog and website databases which get stored as well.

At the end of the day, I transfer the entire contents of my partition containing all of this information not only to an external hard drive (which automatically overwrites the previous data), but also to a DVD-RW. At the end of each month, the RW is copied to a DVD-R and moved to an off-site location, and the RW gets erased and prepared for the next month. This is an important step since just like in finances, you should never keep all of your eggs in one basket: having multiple back-up solutions ensures that should one fail, there is always a back-up to your back-up!

I have also been tinkering with the idea of using an online storage system as well, in order to take advantage of the ease of delivery and retrieval. However, since I am responsible for other people's I am making very certain to do my due diligence so that I can find the most secure and reliable source for these services.

All in all, the migration to a new system can be quite tedious even with having everything you need to do so, but the migration isn't the worst of your worries should disaster strike. Not having a back-up plan can wreak havoc on you mentally when you come to realize that all of your important documents and information are gone. The simplest way to avoid this agony: back-up your information often, and on several different types of media, keeping at least one copy off-site in case of emergency.

Learn Foreign Currency Trading Online - Best Forex Book

Looking to learn, looking to earn and struggling to get started? The biggest problem with the internet is that there can be too much information. Analysis paralysis leads to failure. If you're looking to learn foreign currency trading online why not check out the 10 Minute Forex Wealth Builder? It is the best forex book on trading I have.

What's the big fuss?

If you've been busy bookmarking websites, blogs and forums you'll know that there is a lot to take in. How involved do you really want to get with foreign currency trading and how much time, money and energy do you have once the working day is over? Let's face it. Success has a price but it doesn't have to be a high.

The best forex book, the 10MFWB can be downloaded immediately, you can start learning straight away and you can apply it today. There is no analysis paralysis because you just have to read and apply. Stay focused and take action.

The reason so many people fail with foreign currency trading is that they get blown away by the detail. Bollinger bands, moving averages, SMA, EMA, MACD, double tops... You start with the best intentions, the dedication. Then one hour becomes two becomes an evening becomes everyday after work. You're learning but not earning.

To succeed you need to learn foreign currency trading online that you can apply quick smart. A strategy that gets you off to a running start, makes you money (bag those fx pips) and build your confidence. Then you can start to scale it up.

Sounds a bit 'Get Rich Quick'

You're right it sounds get rich quick and that's a phrase that really means 'waste a lot of time trying and give up'. This course isn't one of them (it's been around too long for a start). The 10MFWB, my best forex book, is packed with technical analysis help that lets you apply the best forex indicators.

The key to its success is picking the winners, if there isn't a winner you don't trade. It is as simple as that. You spend 10 minutes each day checking your forex graphs to identify the foreign currency trading signals that mean a high probability of profit. Too many systems rely on throwing 'mud at a wall' and hoping some sticks. Not this one.

How does it do this?

The 10MFWB uses forex breakouts and swing trading strategies. The course will take you through forex graphs and when to open or close your trade. Analyzing forex candlesticks, a forex breakout occurs when the price passes through a level of support or resistance. Don't worry too much, the course will show you all you need to learn foreign currency trading online.

The swing trading strategy is perfect of those starting out at forex without the time (or simple not interested) in sitting in front of a screen all day, every day. There are 4 types of foreign currency trader. Scalpers who trade for seconds, day traders who open and close their trades in one session. Swing traders leave a trade open for days and then position traders, the long term traders, who open a trade for weeks. Using swing trading you have the perfect balance, it is realistic for those short on time and with out the border (or necessary patience) of a position trader.

In my humble opinion the 10 Minute Wealth Builder is the best forex book out there. If you really want to learn foreign currency trading online check it out at 10 Minute Forex Wealth Builder Features. You can find out about the benefits of using this fantastic system.

If you're reading this you like to research or try before you buy. Read the real comments on the course HERE.

Here's to fx pips with 10 Minute trading!

Article Source: http://EzineArticles.com/?expert=John_Hurt

Review of How to Beat the Credit Crunch by Toby Hone of Taxcafe

I placed my property on the market recently so I have had first hand experience of just how difficult the property market is , at least if you are trying to sell. Fortunately we didn't really have to sell . We were interested in one particular house which had become available. Unfortunately we didn't get it and like many others have decided we'll spend money on our own house and make it more like the one we were interested in.

"How to beat the credit crunch" similarly relies on first hand experience. It is written by Toby Hone, a professional property investor. Toby has been in the business for over 10 years and it seems he is the real deal. This is only to be expected from the Taxcafe stable as they have established an excellent online brand attracting quality tax authors.

The title of the book is obviously topical and has been cleverly chosen for maximum exposure at this time. If marketing wasn't a factor it could easily have been given any number of titles as in essence it is a how to book. All businesses to maximise profits need to find ways of increasing sales and reducing expenses. This book explores ways in which to achieve this, for instance the author details 18 practical ways to slash property expenses. However, it does do somewhat more than this. Every man and his dog seem to be saying that one of the major problems with the property market is lack of access to funds. The credit crunch is just that. The banks are much more reluctant to lend even to the very credit worthy it sometimes seems.The book deals with ways to overcome the mortgage drought and not only this but how to find the best deals where available.

One of the things that I truly like about this book is that it is not 100 per cent focused on the UK property market. Take it from me that as a UK professional tax adviser marketing online can be a massively frustrating experience. UK tax is specialist to the UK . It doesn't apply to anyone other than the people on this tiny ( but wonderful nevertheless) island. This means that my presence on the web is relevant for a minute fraction of the worldwide web audience. Thank you therefore Tony for including an analysis of the outlook for the UK property market and a comparison with the US market.

It's impossible to go through all the topics covered. I would have to rewrite the book. What I can say is this book is certainly not for everyone. It's not the solution to the credit crunch, the world and everything.It is specifically aimed at property investors and landlords who are looking at ways to survive and make money during the credit crunch. If you do not fall into any of these categories this book is not for you.

I know that my recent experience in the property market although not disastrous was not a happy one. It may have been more pleasant if I had read this book at the time.

For a more in depth look at the contents of the book and to get a cool free tax saving report go to my blog http://www.taxadvicepro.co.uk/blog/?p=8

Paul is a UK qualified chartered accountant, and business consultant, working in tax consulting, and an internet marketer. Reprint Rights: You may reprint this article as long as you leave this resource box intact and leave all of the links active, do not edit the article in any way.

Article Source: http://EzineArticles.com/?expert=Paul_Guilfoyle

How to Have More Than Enough by David Ramsey - A Book Review

Dave Ramsey is a financial guru, and my favorite book is his "How to Have More than Enough: A Step-by-Step Guide to Creating Abundance".

More than a budgeting book and how to cut costs guide (and this book does include both), it outlines his "baby steps".

Step 1: set up an emergency fund for true emergencies. And he explains what real emergencies are (medical, car repairs, etc).

Step 2: debt snowball, and ways to find money for it.

Step 3: 3-6 months of emergency savings. This is what you live off of if you lose a job, get downgraded at work, etc.

The next savings for retirement, house, college, are all prioritized.

I enjoy this book because it talks about not just how to plan your finances, like paying off debt comes before retirement savings, and you say no to kids college before you have credit card bills, but do save for college before you pay off the house early. He even details how to get back on track if an emergency comes up, and more debt result - like a surprise surgery and you've used up the emergency fund AND savings.

The changes he details to get the mindset in order - how to not just tighten the belt but be able to live and even thrive living on less than you make, are key here. It's not just clenching teeth for a few months or a year to pay off those debts. It's changes in lifestyle, too, so you never get into debt (except a house mortgage) again. And then it's how to live and prosper later, when you can afford the toys (when you can save up and pay cash for them) later.

Live like no one else so that later you can live like no one else. And you're allowed to say "No" to the kids demands for toys, to all the "please give me another loan" and "but I really need you to do this" while you get your own life in order.

How to Have More Than Enough is a financial planning book that almost anybody could relate to and apply for a more pleasant financial well being.

Gordon Kaye is an avid reader who loves nothing more than to put on a pair of comfortable reading glasses and sitting down with a great book. He hopes to share his great literary finds with you. http://www.EasyReadingGlasses.com

Article Source: http://EzineArticles.com/?expert=Gordon_Kaye

Unsecured Personal Loan - Free From Collateral

Unsecured personal loan is non-collateral-backed money provision. Initially, it evades you from bothering and time-consuming effort of arranging asset for security to lender. And then the personal loan makes possible for a large group of potential borrowers to raise funds easily. For they meet their any range of personal demands feasibly.

Basically, the personal loan provision has been made unsecured to meet the demands of the people who are unable to put collateral. As a result of this, borrower like tenants, non-homeowners, graduates, retired, unemployed, self-employed, and homeowners also, can make applications for the personal loans now.

However, to make it a secured funding, the lenders usually take a look at your repayment capacity and regular source of income. If you do have even a regular source of income, your good credit can do a great work for you. A good credit status implies perfect financial record of the past. Based on these criteria, the loan amount is released.

You can hold of the fund anywhere from £1,000 to £25,000. This amount you can invest on any range of your personal purposes. You can dispense the raised funds on paying of your long-awaited holiday tour, children's tuition fees, car buying, paying off your multiple debts, and so on. After all that, you have to repay the loan amount well on the due date. Nevertheless, you are given a time span of 10 years maximally for that purpose. Though, you can make the loan payment in flexible manner also.

Rate of interest on unsecured personal loan is comparative it is due to risk factor for lenders. The lender incur high rate in order to compensate his risk. But you can shop around for a suitable deal also.

A number of lenders are out there in the money market for unsecured personal loan. You can tame them even online. Online application is preferred, as it fast processing tool. Along the side, it puts way to compare different quotes together to cull out the best possible one.

Fast Bad Credit Personal Loan - Things You Need to Know to Stay Out of Trouble

Have bad credit history but need a personal loan fast to settle some unexpected expenses? No problem, there are companies that don't discriminate against bad credit; many issue personal loans even if you have experienced bankruptcy or foreclosure. Don't let a damaged credit history prevent you from getting the loans you need.

Debt is a large part of our economic system. Even the government has debt. Do you know that our National Debt is over $9 trillion? Don't believe? You can google the phrase "US national debt" and check it out yourself. Of course, it's not the attention of this article to encourage you to have more debt. Debt is a bad thing; no matter what the amount is. Sometimes, however, we need to borrow money for a short period of time to settle emergency expenses.

This article is to inform you that there are companies that can help you get your personal loan almost instantly (normally within 1 business day) as long as you have a steady job, with earnings of at least $1000 or more per month and an active checking account.

While it's possible to get a personal loan even if you have a bad credit history, there are some important things you need to know before you apply one; some basic knowledge can help you stay out of trouble. So read on...

Interest rates can vary from different companies. So make sure you shop around and do some comparisons. You certainly want to look for one that can provide the lowest interest rate.

Pay your loan on time. Quick personal loan such as payday loan or cash advance is a short term loan; usually last for 2 weeks and for small amount usually $1,000 or $2,000. As mentioned, this type of loan is for emergencies. Make certain you can pay off the loan on time; never extend your loan because the lender will charge you unreasonable high interest if you do. There are people who got charged 300% interest after they extended the loans several times.

You may wonder how come the lender can charge such a high interest? This is because there is no regulation on how much interest the lender can charge in personal loans. These types of loans are unsecured loans; there is no collateral. If you default, the lender will take you to court; they can't foreclose or repossess any of your asset.

Make sure you have a steady job and earn enough income to cover your loan. If you're jobless, then it's a bad idea to apply for personal loan as this will not help you solve your financial problem; it will get you into more problems instead. If you're jobless, try to look and apply for a job first; not loan. If you really need a loan before you've a job, try to borrow it from your family or closed friends.

Secured Personal Loan Finance - Smart Way to Contain Your Demands

The rising expenses along with the soaring inflation have made it quite tough for a person to lead a normal life fee from hassles. After all, how much one can depend on a fixed income to sustain the rising demands? Invariably, these individuals have to look for other option such as loan. Coming to loan financing, a borrower can easily derive it as per the need and requirement. Among all the available options, secured personal loan financing is considered to be the best as it enables the borrower to avail a bigger amount at comparatively low rates. With the derived funds, one can easily execute the various needs in a convenient manner.

As compared to other loan provisions, secured loan offers a bigger amount with flexible terms and conditions. To acquire the finance under the loan, one has to offer any asset containing substantial equity value as collateral. As per the equity present in the collateral, the amount is advanced. Usually, the loan amount approved is in the range of £5000-£75000, which can be further extended up to £100,000. The repayment term too is elongated and spans over a period of 5- 30 years. This implies that your monthly payments towards paying of the loans will be comparatively low.

Another remarkable feature of this loan is that of its low interest rate. Since the loan is secured against an asset, there is no risk on the lender. This is why lenders too advance the finance with very cheap rates of interest.

Individuals with a history of bad credit such as CCJs, IVA, arrears, defaults too can avail the finance. However the interest rate levied will be slightly higher. But on ensuring timely repayment of the amount, the borrowers have a chance to restore and rebuild their credit profile.

As per the need and convenience, you can source the finance from lenders based on the traditional market such as banks and financial institutions as well as online lenders. Applying online saves you a considerable amount of time and effort. The approval comes fast and a proper research will help you select a low rate deal.

Secured personal loan finance presents an opportunity by offering feasible finances, which in turn enables you to deal with your various needs in a suitable manner.

Low Rate Personal Loan Leads to High Rate Happiness

At the time of searching for a loan to buy home / car or financing for your new business, you will find loans now in an easier manner. After the liberalization of Indian economy, there a number of providers for Personal Loans, Home loan or any other types of finances. That makes the whole process more confusing. Deciding the lender and availing loans at lower rate are the two most important steps before taking a loan. As Indian loan market is in its transition state, lenders vary in the nature of their business up to a significant extent. This difference necessitate the need do a thorough research about different loan options and different lenders, repayment period, rate of interest etc.

Generally interest rates associated with personal loans can be fixed or floating in type. A fixed interest rate by the name it suggests does not vary according to the fluctuations of the money market during the loan tenure. A floating interest rate on the other hand is the rate updated by the lender depending upon the ongoing market trends. A floating interest rate can go up or down depending on the demand and supply of money in the money market. In Indian loans market, there are lenders who offer the option to take the loan which is split between fixed and floating interest rates. This combination paves the way for low interest personal loan.

Low interest personal loans offers instant cash at an affordable rate and is a useful finance option for travel, wedding expenses, home renovation, down payments, medical expenses, education and investments. You can also use the loan amount to transfer your outstanding credit card balance or pay off an existing loan and benefit from lower interest rates. These loans can be secured or unsecured. As a thumb rule, the secured category is the low rate personal loan as the security pledged by the borrower acts as a negative catalyst for the payable rate of interest.

The second thumb rule to avail the low rate personal loan is comparison. It is evident that more choice leads to better rates. The loan applicant should talk to multiple banks for his loan requirement to make sure his pay affordable EMIs with the lowest interest rate. Once the loan applicant identifies the need for taking a loan, he will have a rough idea regarding the loan amount. The next step what the loan applicant needs to do is checking his eligibility for taking loans. Lenders have their own criteria for determining the loan eligibility of an individual and this is highly variable concept. For salaried persons, the amount of loan is generally a multiple of their gross monthly income. For businessmen, it is a multiple of total annual income.

Having the loan amount and the possible interest rate in your mind, the next thing is to plan the repayment period of the low interest personal loan. The EMI ( Equated Monthly installments ) will be low for a loan borrowed for a longer tenure. Usually the procedure of approval of personal loans are fast and a loan is approved with simple documentation. The major advantages of personal loans are Speedy Approval, flexibility to choose your loan amount ranging from 10000 to 10,00,000, longer repayment period from 12 to 48 as per your interest.

The documentation process of these loans vary from borrower to borrower. In case of salaried persons there is relatively lesser documentation. For Self Employed Persons and Professional ( Doctors / Lawyers / Engineers / Architects ), except for the salary statements documents like tax return documents, Balance Sheet / Profit Loss Statement of the firm he owns may be required at the time of loan application. Other than the normal interest on the loan, you may be charged a one time processing fee by the lender for your low interest Personal loan.