financialplanning.gifAt one point in life it occurs that we should be saving for the future. Many people, due to upbringing or circumstance, have never thought about saving or investing. This post is written for those people. It’s not a bad thing to be one of them. I’m one of them and so are most of my friends and family. The general public doesn’t know much about money, but we’re learning.

In all my research these are the five steps that come up again and again. If there are any steps missing or things that need to be added please leave a comment below.

1 – Reprogram your brain. This involves learning the truth about debt, compound interest, consumerism, and identifying harmful behaviors. Once you know the truth about money and how it works your actions will fall in line. Trying to do the next steps without first reprogramming your brain will complicate the whole process. Be sure to involve your spouse or significant other on this first step. If you don’t, misunderstandings and conflict will surely arise. When you both understand the “why” of money theory applying the “what”, or the specifics, becomes much easier.

2 – Make a budget. This is the framework that you’re financial success will be built on. Your budget can be simple and straightforward. The more you use it the more it will help you will all of your goals.

3 – Pay Down debt. Develop a plan to pay down and consolidate your debt. Call your creditors and ask for lower interest rates, special payment plans, and other perks to help you achieve your goal. Now, pay off those creditors that are charging the highest interest. After you’ve paid off the big offenders use that same money to carve down your other debts. For example, Let’s say you were paying the first creditor in line $100 a month and the second creditor in line $20. After you’ve paid off the first creditor pay the second creditor both the $100 and the $20 a month instead of only paying the minimum of $20. Follow this principle until you’ve paid everyone off. If you’ve truly reprogrammed your brain the idea of paying off your debt should be very exciting to you.

4 – Get an emergency fund. You could be working on this step at the same time as the third step. If all you can afford to put into your emergency fund is $10 a paycheck then do it. Over time you’ll soon have a nice safety net to rely on. Whatever you do don’t spend your emergency money on anything except for a true emergency. There are a lot of opinions on how much you should have in your fund. Some people say to have enough for 90 days without work, others say $1000. Whatever you decide on work until you’ve achieved your goal.

5 – Open a Roth IRA. You should plan on keeping your money here for a very long time. Don’t invest your grocery money or your emergency fund. In other words, this is money you don’t need right now. Opening an IRA requires some research but the signup process is fairly easy. Once everything is set up you can start learning about investment strategies. There are many opinions on investment strategies but it really comes down to what works best for you. Luckily, there are many low risk investment options available for the beginner.

Hopefully these steps will help you see the steps required to get your financial feet underneath you. This list doesn’t even scratch the surface on most of these subjects. There are literally millions of pages written about these topics. But as a starter list this is a good way to map out your future plans.


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hotelroom.jpgFor those not familiar with Priceline.com it’s a website that allows you to bid what you want for hotels, car rentals, and airline tickets. The site gives recommendations on how you should bid and routinely decline bids that are too low. But what if you knew what things really went for. Instead of paying $40 a day for a rental car you could be paying $12. Here’s how.

Step 1 – Find your destination and the accommodations and ticket information you’d like on Priceline.com

Step 2 – Go to BiddingforTravel.com and look at the state and city you’d like to get your deal in.

Step 3 – Read what other users have bid and won with. Use this information to form your bidding strategy. Take note of dates, accommodation ratings, and timing of bids.

That’s it! With inside information on what Priceline accepted in the past you’ll have a very good chance of repeating the successes you’ve read about.

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airplane1.gifThese tips will help you get the lowest priced flights. With rising gas prices and economic turmoil cheap flights will be a little bit harder to come by. So follow these steps and stay ahead of the crowd.

1 – Plan, plan, plan. Planning your trip ahead of time gives you many advantages. The first is that you have more time to look for good deals. Second, airlines offer a few discount seats for each flight and they go quickly so having a plan works in your favor. Airlines also give you a better price if you book your flight at least 14 to 21 days before your departure date. If you know that you want to take a vacation in the summer but don’t know the exact date you should use http://farecast.com/ to predict the absolute best month to buy. For example, you might change your vacation from June to August because the rates are 25% less in August.

2 – Know your stuff. If you know the average price of your airline ticket you’ll be able to identify a good deal when it comes along. It’s a lot like buying stock. Warren Buffet knows the real value of a company and when the market does something silly and undervalues it Warren buys it. The only way you’ll be able to take advantage of great deals is by knowing the average ticket price and acting quickly once you see the price dip. Airlines make discount seats all the time and for different reasons. Usually they’ll reserve a few seats as discount seats. Sometimes they’ll liquidate a lot of seats on a flight that isn’t filling up. Knowing their behavior is key into finding a great deal.

3 – Buy Direct. You might use an aggregator service like Kayak, Orbitz, or Sidestep to do the digging but when you actually buy your ticket go direct to the airline’s website. Buying direct has many advantages especially things go bad. You’ll also avoid any extra fees that a third party place might charge.

4 – Be flexible. If you’re flexible with your dates, time of day you fly, and the airports you fly from you’ll come out ahead. Changing the days you fly or the time of day can greatly influence your ticket price. Being flexible on your airports also pays off. You could cut the price in half simply by changing the airport you fly from or fly into.

5 – Go against the crowd. Fly on the days people don’t like to fly. Traditionally, leaving on a Tuesday and returning on a Thursday, leaving Friday night and coming back on a Sunday morning yields better rates. Instead of flying before the holiday fly the day of the holiday (like New years). Fly late at night and early in the morning. Airlines will be more then happy to give you a screaming deal if you go against the crowd.

6 – Go old school with a travel agent. Using a travel agent can yield great results. Most are paid through commissions from the airline and not through extra fees. They have inside information on “consolidators” who can provide even deeper discounts. If you’re flying to a popular destination (Hawaii or Las Vegas) a travel agent may have access to charter flights. While these options provide deeper discounts they also may greater restrictions or limitations. But if price is your most important factor these restrictions are easily dealt with.

7 – Sign up for email updates from the airlines. Subscribing to emails from airlines will insure you’re the first to know when discounted seats are available.

8 – Be old. Many airlines offer senior citizen discounts for customers over a certain age. Additionally, many airlines will offer low rates in the event of serious injury or family tragedy. If an airline does offer discounts under these conditions documentation might be required.

9 – Call and complain (nicely). If you bought your ticket and notice the price go down you can get some of your money back. Simply call the airline you purchased the ticket from and explain what happened. Many times they will accommodate you with cash or something nice, like an upgrade.

10 – Be Creative. A man from California earned over a million frequent flyer miles by purchasing $3,150 worth of Healthy Choice pudding. His scheme gave him 31 round trips flights to Europe, 42 trips to Hawaii, 21 trips to Australia, or 50 trips within the United States. Read the Pudding Guy Story here.

So there you have it. If you have additional tips comment below. Good Luck!


Airline Ticket Resources

Major Airlines List Discount Ticket Websites

BookingBuddy
Cheap Tickets
CheapAir
CheapFlights
Cheaptickets

CheapoAir
CheapTickets
CheapRates
cFares
Expedia

FareChase.Yahoo
Hotwire
Kayak
Lowestfare.com
Mobissimo

Priceline
ShermansTravel.com
SideStep
SkyAuction
StaTravel

StudentUniverse.com
TravelHub
Travelime
Travelzoo.com



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Part of building personal wealth is landing a high paying job. The more money you make today will mean more money for investment and savings. Finding a new job is never easy. It takes hard work and a lot of tenacity. Instead of spending most your energy searching for jobs turn the tables and have the jobs come to you. This method works best when you have specific companies you really want to work for and you have some time for the company to post your dream job.

The first step is to find the companies you really want to work for. Do your research, talk with friends, consider your commute, find out if they pay good, learn their growth plans and their core values. Once you’ve found each of your dream companies make a list.

On each of their websites find their career opportunities, job announcements, or there open positions page. Once you have it open in your browser copy the URL. The URL is the address at the top of the page. It should look something like “http://company.com/jobs”


Once you have your web address go to http://www.watchthatpage.com/. Watch that page is a free service that emails you whenever a page you’re watching changes. Sign up for an account. Once you’re logged in, go to “your pages”. This is where you will paste the page addresses from the companies your watching.

 

This way you can passively have jobs come to you without doing all the hard work of searching. This will keep you informed on new job openings as the occur. Happy hunting!

 

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Is there such a thing as a free credit report? Yes! Do I have to give out my credit card for this “free” credit report? No!

Here’s how. With the Fair Credit Reporting Act you have the right to one free credit report each year from Equifax, Experian, and TransUnion. So every 12 months a credit report is yours free.

There’s one small issue though. You don’t get to see your score. Every aspect of your credit is given except the actual number. You won’t know if you have 820, 700, or 550 credit score.

How important is the actual number? Not very. In order of importance it’s about fourth on the list below credit accounts, past due payments, court rulings, and other issues in your report. If you are dying to know the actual score you can always pay the $20 to see it. If you want to go that route click here.

You don’t need to enter your credit card information but they will ask a series of questions to verify you are who you say you are. Once you verify the questions you will have full access to your credit score.

To get started visit annualcreditreport.com. For verification on the legitimacy of this offer visit the Federal Trade Commission’s site.

HINT: Space out the time you get your credit report by four months and you can monitor your credit for free. So in April get your free report from Equifax, in August Experian, and in December TransUnion. You’ll be able to catch most things but if you’re overly concerned about your credit score you might consider professional monitoring.

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The deals on Craigslist are awesome but you have to be quick to get them. Most of the time it would require your fulltime attention to the particular category to find the deal of a lifetime. Not only does that take a lot of time you also might miss things. The deal of a lifetime might be posted in the free section or the garage sale section, where you would never find them. There’s a better way to find great deals.

The easier way to find deals is by using RSS feeds. For those who aren’t familiar with RSS it stands for Real Simple Syndication. RSS feeds are a way for websites to broadcast when a change has been made. When someone on Craigslist posts an item on Craigslist the RSS feed is updated. If you are subscribed to the RSS feed you’ll be notified when that item is posted. The good deals will track you down instead of the other way around.

The two things you’ll need are:
1) An RSS feed reading like Google Reader
2) Search terms

The more specific you can get with the search terms the better your results will be. For example, searching for couch isn’t going to yield good results. You’ll get hundreds of listings for every couch posted. On the other hand, searching for “micro fiber” or “leather couch” will yield more meaningful results.

With that introduction lets get into the nitty-gritty.

Step 1 – Go to your craigslist.org and find your city

Step 2 – Type in your search terms

Step 3 – Copy the RSS link at the bottom of the page

Step 4 – Paste that RSS link into your reader

You will want to add a new feed for every search term (i.e. “micro fiber” “microfiber” “micro couch” ect.)

To have the system work the best try to use keyword search. Even though each page has its own RSS link it wouldn’t be effective to get every item from every category. Good luck with this. I’ve found a lot of great things using this technique.

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