As each corporation must report quarterly numbers, Alfa Sugar's first quarter report is a celebration of the first month of startup.
Back when asked to serve as Board Treasurer for Wives of Faith starting in 2010, I had no clue that saying yes would lead me to today writing and blogging about financial perspective for Alfa Sugar. It's been an amazing journey, for as a military spouse who has endured deployments, TDYS, and all other matters, I can relate to many military spouses in ways I never anticipated. Discussing, researching and blogging about relevant military money matters as well as other topics of interest stemming from a career on Wall Street has been a blessing beyond measure. To grow and evolve as I talk with fellow military spouses has made it liberating to know that I am not the only one experiencing this kind of chapter in life. It's also been a life-saver for me as I've dealt with exiting the workforce and being a mother. My knowledge, experience and education is serving another purpose that God truly redirected according to His will. Creating this blog, Alfa Sugar, and imparting financial perspective generated directly from my independant research efforts fulfills a passion I have for the financial industry. It is with great pleasure that I present the latest stats regarding our first month.
Since inception, Alfa Sugar has had over 130 pageviews from an international audience representing countries such as Australia, Belarus, Hungary, India, Indonesia, Iran, Malaysia, Russia and the United States of America.
Our top three articles were:
1) What is Alfa Sugar
2) Setting up House
3) Beware of Hidden Costs in your 401k
There are many military financial matters to review so we are making progress in providing the latest up to date information regarding military money. I do post current and relevant topics along with links that directly support the article of interest. Of course, please do your research and/or consult your personal financial advisor for more information.
As the blog evolves, let me thank you for your readership. If you have any ideas or suggestions or even a kind word, please post below. Improvements and modifications will occur to this site as it evolves. Alfa Sugar is intended to be the go to blog for the latest financial perspective especially regarding military money matters for spouses and their families.
Copyrighted (c) 2011 by Stephanie Arredondo, aka Alfa Sugar
May 6th is Military Spouse Appreciation Day. If you know of a military spouse, please send them a card thanking them for their service to our country.
April 15th (April 18th) is quickly approaching. Be sure to get your taxes done and avoid the last minute rush.
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Thursday, March 31, 2011
Promo for Operation Homefront from Stage Stores
In support for U.S. military families, Stage Stores Inc. is now selling a
patriotic, reusable shopping tote with all proceeds benefitting Operation
Homefront. You can purchase the shopping tote at any Stage
store for $5. 100 percent of the funds are donated to Operation Homefront.
Stage Stores Inc. operates its stores under the names of Bealls, Goody's,
Palais Royal, Peebles and Stage.
Making it an even bigger win, Stage is giving every shopper who purchases the
tote a $5 Bounce Back Reward good on any $25 purchase.
As additional support for military families, Stage is also introducing a military discount program.
Active, inactive and retired military members with valid military identification are eligible for a 15 percent discount every day.
Find a list of stores
Operation Homefront also has a community page dedicated to furthering its outreach. Community Operation Homefront offers FREE stickers for those who have served. There is the Wounded Warriors Wives Program as well as the SABAN Scholarship for military spouses. Deadline for application is July 1, 2011.
patriotic, reusable shopping tote with all proceeds benefitting Operation
Homefront. You can purchase the shopping tote at any Stage
store for $5. 100 percent of the funds are donated to Operation Homefront.
Stage Stores Inc. operates its stores under the names of Bealls, Goody's,
Palais Royal, Peebles and Stage.
Making it an even bigger win, Stage is giving every shopper who purchases the
tote a $5 Bounce Back Reward good on any $25 purchase.
As additional support for military families, Stage is also introducing a military discount program.
Active, inactive and retired military members with valid military identification are eligible for a 15 percent discount every day.
Find a list of stores
Operation Homefront also has a community page dedicated to furthering its outreach. Community Operation Homefront offers FREE stickers for those who have served. There is the Wounded Warriors Wives Program as well as the SABAN Scholarship for military spouses. Deadline for application is July 1, 2011.
Wednesday, March 30, 2011
Military Pay 2011 Benefits
Here is a great list of all relevant military benefit pay for 2011 at military.com.
Water can $ave You
If you think about it, most all beverages have some form of water in them. If you are seeking ways to reduce your budget and haven't considered switching your daily soda for a glass of water, it could add up to an annual savings of $500-$1,000. In the article How Water Can Save You $977 a Year, I learned of some helpful information. If you shop at the BX, Commissary or other base facilities, it's so easy to purchase a soda and bottled water. It's more challenging to find a place to serve FREE water. For example, at McDonald's, you have to pay for bottled water if you want water. To be charged for water anyways automatically gives you permission to select another beverage since you have to pay for it.
Water is healthy, and if you follow Weight Watchers or other nutritional diet regimes, all mandate your consumption of water daily. The health benefits are overwhelmingly positive if you make the switch. Water as shown on the Biggest Loser is important for rehydration as well as filtering the impurities out of your body, especially for weight loss goals.
While I try to drink water, it's challenging when the taste of local tap water doesn't resonate well. Spike it with a little apple juice to enhance some of the flavoring while still getting your intake. More important, consider the cost savings of drinking tap water the next time you shop retail or eat out. It's amazing that there is that significant of a cost savings in a simple way.
Water is healthy, and if you follow Weight Watchers or other nutritional diet regimes, all mandate your consumption of water daily. The health benefits are overwhelmingly positive if you make the switch. Water as shown on the Biggest Loser is important for rehydration as well as filtering the impurities out of your body, especially for weight loss goals.
While I try to drink water, it's challenging when the taste of local tap water doesn't resonate well. Spike it with a little apple juice to enhance some of the flavoring while still getting your intake. More important, consider the cost savings of drinking tap water the next time you shop retail or eat out. It's amazing that there is that significant of a cost savings in a simple way.
Tuesday, March 29, 2011
Scale Back Expenses
Consider this that you overspend in certain areas of your personal spending that you don't realize.
Yep, I am in denial too! However, I just read an interesting article, and given mounting food prices, oil prices and other consumable expenses not to mention challenges folks face with this economic recession, it makes sense to scale back your expenses. Financially Fit presents a good article regarding financial food for thought. Below is my take on certain points.
Telecommunications is an area of high expense. One friend spends over $100 a month on the latest and greatest technology because she has to have speed as well as the latest and greatest technology at her fingertips. While this example is an extreme, I will say that she and her husband spend 60% more on their monthly telecommunications bill that most. But consider those who have a house phone number (and pay extra for long distance), a cell phone for Dad, a cell phone for Mom, and then cell phone(s) for teenagers. Scaling back on just one phone number will enhance monthly spending. Several friends utilize their cell phones as their only phone. If one spouse drops their phone and has their office foot that bill, then that is one less expense much less trying to get roaming charges reimbursed for the business trip where office staff and clients called via that cell phone.
Cancel cable and invest in the digital box for FREE tv. No monthly cable bill or direct satellite bill will be a significant cost savings (in addition for military personnel, less connection cost charges). With DSL and other sophisticated technologies, you can view tv downloads online. In addition, if you workout at the local gym or visit the coffee shop during certain tv viewing times, you can access your tv shows when you want without paying the extra bill. For the SuperBowl or other special events, it's great to visit a location that allows you to enjoy socializing, eating and/or being without paying for cable.
Grocery shopping in one trip will help reduce that part of your budget that is supereasy to blow. Of course, it is wise to eat or have a full stomach prior to shopping. It is also wise to take inventory of your pantry/food supply, develop a meal plan and make a list of the items you need prior to walking into the grocery store. I allow three items in the grocery basket that were not on the original shopping list. However, it's important to keep to a budget number. Impulse shopping is too tempting these days with savy grocers marketing in ways that no one can turn down.
Your HVAC unit is a huge energy user. If you use only electric, it's important to beware of the outside temperature, the times of the day that the sunlight hits your house/unit and develop a morning and evening approach to adjusting your thermostat. There are automated systems that will adjust indoor temperatures according to times of day. It's been recommended to run your unit a few degrees cooler in the cold season and a few degrees hotter in the warmer season. If you have other energy sources besides electric, it's wise to do a payment plan where your monthly amount is the same. It is wise to contact your local energy provider for a monthly payment option as these variable bills can make or break a monthly budget.
John D. Rockefeller was adamant about turning off the lights when leaving a room. Today, it is no different. If you turn off lights upon leaving the room, unplug items, and/or turn off the computer, tv, and even recharger plugs when not needed, this will reduce energy consumption as well as your monthly electric bill. Our electronic usage is higher versus a few years ago. Batteries are also expensive to replace. Reconisider certain purchases. For example, when buying a toy, it is good to purchase a noise-maker that requires no batteries.
Other personal expenses to scale back include:
1) groom your pets yourself
2) do your nails and/or spa treatment at home
3) mow your lawn rather than hire someone
4) borrow tools to do handyman jobs at your home
5) clean the house yourself rather than hire a cleaning service
6) cook your family's meals rather than eat out all the time (a 70% savings)
7) wash the car yourself rather than go to a full-service carwash
8) weed your garden or landscaping
9) trade off child care with another mom
10) go to the local park for FREE entertainment rather than pay for tickets
Getting creative with scaling back expenses will enable you to make ends meet, create a sense of pride for the monetary self-sacrifice, and allow you to reallocate funds elsewhere.
Yep, I am in denial too! However, I just read an interesting article, and given mounting food prices, oil prices and other consumable expenses not to mention challenges folks face with this economic recession, it makes sense to scale back your expenses. Financially Fit presents a good article regarding financial food for thought. Below is my take on certain points.
Telecommunications is an area of high expense. One friend spends over $100 a month on the latest and greatest technology because she has to have speed as well as the latest and greatest technology at her fingertips. While this example is an extreme, I will say that she and her husband spend 60% more on their monthly telecommunications bill that most. But consider those who have a house phone number (and pay extra for long distance), a cell phone for Dad, a cell phone for Mom, and then cell phone(s) for teenagers. Scaling back on just one phone number will enhance monthly spending. Several friends utilize their cell phones as their only phone. If one spouse drops their phone and has their office foot that bill, then that is one less expense much less trying to get roaming charges reimbursed for the business trip where office staff and clients called via that cell phone.
Cancel cable and invest in the digital box for FREE tv. No monthly cable bill or direct satellite bill will be a significant cost savings (in addition for military personnel, less connection cost charges). With DSL and other sophisticated technologies, you can view tv downloads online. In addition, if you workout at the local gym or visit the coffee shop during certain tv viewing times, you can access your tv shows when you want without paying the extra bill. For the SuperBowl or other special events, it's great to visit a location that allows you to enjoy socializing, eating and/or being without paying for cable.
Grocery shopping in one trip will help reduce that part of your budget that is supereasy to blow. Of course, it is wise to eat or have a full stomach prior to shopping. It is also wise to take inventory of your pantry/food supply, develop a meal plan and make a list of the items you need prior to walking into the grocery store. I allow three items in the grocery basket that were not on the original shopping list. However, it's important to keep to a budget number. Impulse shopping is too tempting these days with savy grocers marketing in ways that no one can turn down.
Your HVAC unit is a huge energy user. If you use only electric, it's important to beware of the outside temperature, the times of the day that the sunlight hits your house/unit and develop a morning and evening approach to adjusting your thermostat. There are automated systems that will adjust indoor temperatures according to times of day. It's been recommended to run your unit a few degrees cooler in the cold season and a few degrees hotter in the warmer season. If you have other energy sources besides electric, it's wise to do a payment plan where your monthly amount is the same. It is wise to contact your local energy provider for a monthly payment option as these variable bills can make or break a monthly budget.
John D. Rockefeller was adamant about turning off the lights when leaving a room. Today, it is no different. If you turn off lights upon leaving the room, unplug items, and/or turn off the computer, tv, and even recharger plugs when not needed, this will reduce energy consumption as well as your monthly electric bill. Our electronic usage is higher versus a few years ago. Batteries are also expensive to replace. Reconisider certain purchases. For example, when buying a toy, it is good to purchase a noise-maker that requires no batteries.
Other personal expenses to scale back include:
1) groom your pets yourself
2) do your nails and/or spa treatment at home
3) mow your lawn rather than hire someone
4) borrow tools to do handyman jobs at your home
5) clean the house yourself rather than hire a cleaning service
6) cook your family's meals rather than eat out all the time (a 70% savings)
7) wash the car yourself rather than go to a full-service carwash
8) weed your garden or landscaping
9) trade off child care with another mom
10) go to the local park for FREE entertainment rather than pay for tickets
Getting creative with scaling back expenses will enable you to make ends meet, create a sense of pride for the monetary self-sacrifice, and allow you to reallocate funds elsewhere.
Monday, March 28, 2011
TSP Roth Investment Option
The TSP Roth Investment Option is not available until 2012. However, there is limited information surfacing about making after-tax contributions through a Roth IRA. While there are too many unknowns for me to make comment or provide financial perspective, there is an opportunity on Wednesday, April 6, 2011 at 1300 EST for you to join an educational webinar about the TSP Roth Option and the benefits of establishing a Roth IRA now. Event Registration sponsored by First Command and Federal Times
For more information, please review the TSP Roth IRA information brochure.
For more information, please review the TSP Roth IRA information brochure.
NO Pay if Fed Shutdown Occurs
According to Rick Maze of the Military Times, military service members and certain civilian personnel will report for duty even though there is no pay should the Federal government shutdown occur. I believe that this political issue affects all, active duty, guard & reserve.
During the last government shutdown, military pay continued. This go-around raises speculation for no pay and is probable. With Gate's latest cuts making heads swirl, there is concern building among many miltiary personnel. If a federal government shutdown should occur around April 8, 2011, then the real impact, while may be felt on April 15th pay day, will occur on the April 29th pay day.
What to do?
Politics is beyond your control, but what is in your control is self-management when it comes to your personal finances. It is important to build your emergency fund (preferably for 3-6 months of living expenses). Today, it is wise to stop all unnecessary expenses and prepare for no paydays. If you revisit your budget or spending plan and reallocate, you will be ahead of many in preparation for the next month. Job searching is an option to consider; however, this is not an immediate solution to short-term cash flow needs unless it's a second job such as babysitting, delivering pizzas or other misc ways to bring in income.
If you have debt in the form of credit cards, short-term financing or other, it is important to examine your debt and determine a way to maintain payments while paying it off as well. Having no debt as you enter a probable no pay environment will lighten your burden.
Please consult your personal financial advisor for more information.
Editor Note: Please also see a later blog posting Military Families Affected by Government Shutdown for further personal finance information.
During the last government shutdown, military pay continued. This go-around raises speculation for no pay and is probable. With Gate's latest cuts making heads swirl, there is concern building among many miltiary personnel. If a federal government shutdown should occur around April 8, 2011, then the real impact, while may be felt on April 15th pay day, will occur on the April 29th pay day.
What to do?
Politics is beyond your control, but what is in your control is self-management when it comes to your personal finances. It is important to build your emergency fund (preferably for 3-6 months of living expenses). Today, it is wise to stop all unnecessary expenses and prepare for no paydays. If you revisit your budget or spending plan and reallocate, you will be ahead of many in preparation for the next month. Job searching is an option to consider; however, this is not an immediate solution to short-term cash flow needs unless it's a second job such as babysitting, delivering pizzas or other misc ways to bring in income.
If you have debt in the form of credit cards, short-term financing or other, it is important to examine your debt and determine a way to maintain payments while paying it off as well. Having no debt as you enter a probable no pay environment will lighten your burden.
Please consult your personal financial advisor for more information.
Editor Note: Please also see a later blog posting Military Families Affected by Government Shutdown for further personal finance information.
Monday, March 21, 2011
TAXES: Are you ready to file 2010?
Waitng until April 15th (actually April 18th this year) is not recommended when it comes to preparing your tax return. If you are a military member, there are some good options below to consider this year.
Military OneSource is offering FREE tax filing. While it is an H&R Block program, you must file through Military OneSource to get the FREE service by selecting Tax Filing Services. According to Military OneSource, the program is open to active-duty, Guard and Reserve servicemembers, regardless of activation status, as well as spouses, dependent children and family members standing in for a deployed servicemember. Participants can e-file up to three state resident returns for each federal return. For tax assistance, filers can call a Military OneSource tax consultant from 7 a.m. to 11 p.m. EST, seven-days-a-week, at 1-800-730-3802 begin_of_the_skype_highlighting 1-800-730-3802 end_of_the_skype_highlighting.
The IRS for Armed Forces Service Members also has tax information for military members. If you are deployed or are serving in a combat zone, there are special considerations when filing your taxes.
One very helpful web site is the military.com/Finance/Taxes .
Please consult your tax or personal finance advisor for more information.
Military OneSource is offering FREE tax filing. While it is an H&R Block program, you must file through Military OneSource to get the FREE service by selecting Tax Filing Services. According to Military OneSource, the program is open to active-duty, Guard and Reserve servicemembers, regardless of activation status, as well as spouses, dependent children and family members standing in for a deployed servicemember. Participants can e-file up to three state resident returns for each federal return. For tax assistance, filers can call a Military OneSource tax consultant from 7 a.m. to 11 p.m. EST, seven-days-a-week, at 1-800-730-3802 begin_of_the_skype_highlighting 1-800-730-3802 end_of_the_skype_highlighting.
The IRS for Armed Forces Service Members also has tax information for military members. If you are deployed or are serving in a combat zone, there are special considerations when filing your taxes.
One very helpful web site is the military.com/Finance/Taxes .
Please consult your tax or personal finance advisor for more information.
Bikers Make Sense
The other day, we were driving down the road when a funeral procession came down the road. Of course, to show respect, we stopped the motor vehicle. This was no ordinary funeral procession. It was amazing. Bikers abounded everywhere flying the American Flag as well as others. A spirit of patriotism permeated the air as goose bumps bring you to realize that this is happening. This was recognition of a fallen hero being laid to rest by the Patriot Riders.
An all volunteer organization, the Patriot Guard Riders attend funeral services of Fallen Heroes as invited guests of the family members. Their goal is to show sincere respect and shield the mourning family from interruptions by potential protesters. I applaud their efforts because, even with the freedom of speech in this country, there are certain events that should remain untouched by rude political agendas. Honoring those who fought for our country, whether you agree or not, is admirable and is not done enough by our community.
Another biker that is unconventional yet brings light on the financial arena is Jim Rogers, author of Investment Biker. In an interesting interview with Breakout when asked for his opinion on the Federal Reserve, he commented that closing down the Federal Reserve makes sense to him. Some are puzzled by the Federal Reserve's decision to make crisis loans to Wall Street. Others are concerned for the US Banking system and in particular the small to medium sized banks. Small banks and the Federal Reserve are a legitimate concern as Fed Funds Rate remains low such that any change could send some of these institutions to close their doors.
I believe that Rogers and other financial experts are making an interesting call regarding a pullback in the markets. It makes sense with the recent run-up.
While there is no need for Patriot Riders to assist these small banks who represent the backbone of the US banking system, there is a silent cry for the slow growing demise of capitalism in this country. The world financial markets need the US dollar to remain strong, and in order to do so, capitalism must prevail. A credit inflation that commenced in the 1960s is of concern to financial writers such as John Mason on Seeking Alpha and is likely mounting given world and economic circumstances today.
What do bikers make sense of?
First, honoring fallen heroes, their families and communities. Like these small banks that are dying, it is time to raise awareness as Jim Rogers and other financial experts are doing.
Second, shielding those from groups of protestors. In this day and age, the liberals dominate the media and the conservatives dominate air radio. No one person can determine the difference between what is appropriate or not. Capitalism is struggling to survive when socialism is being supported. Watching the Federal Reserve is key. Perhaps a credit inflation is to occur and very soon. Therefore, each person should determine a financial way to shield themselves from the oncoming inevitable regarding monetary policy in this country.
Bikers make sense. I've always thought that they were cool. Bikers look cool as you pass them on the road or highway lane. Yet, these bikers also know that they are taking risks and are okay with them. That takes guts especially when most folks aren't willing to step out and do something even if it is for the right reasons.
Copyrighted 2011 by Stephanie Arredondo
An all volunteer organization, the Patriot Guard Riders attend funeral services of Fallen Heroes as invited guests of the family members. Their goal is to show sincere respect and shield the mourning family from interruptions by potential protesters. I applaud their efforts because, even with the freedom of speech in this country, there are certain events that should remain untouched by rude political agendas. Honoring those who fought for our country, whether you agree or not, is admirable and is not done enough by our community.
Another biker that is unconventional yet brings light on the financial arena is Jim Rogers, author of Investment Biker. In an interesting interview with Breakout when asked for his opinion on the Federal Reserve, he commented that closing down the Federal Reserve makes sense to him. Some are puzzled by the Federal Reserve's decision to make crisis loans to Wall Street. Others are concerned for the US Banking system and in particular the small to medium sized banks. Small banks and the Federal Reserve are a legitimate concern as Fed Funds Rate remains low such that any change could send some of these institutions to close their doors.
I believe that Rogers and other financial experts are making an interesting call regarding a pullback in the markets. It makes sense with the recent run-up.
While there is no need for Patriot Riders to assist these small banks who represent the backbone of the US banking system, there is a silent cry for the slow growing demise of capitalism in this country. The world financial markets need the US dollar to remain strong, and in order to do so, capitalism must prevail. A credit inflation that commenced in the 1960s is of concern to financial writers such as John Mason on Seeking Alpha and is likely mounting given world and economic circumstances today.
What do bikers make sense of?
First, honoring fallen heroes, their families and communities. Like these small banks that are dying, it is time to raise awareness as Jim Rogers and other financial experts are doing.
Second, shielding those from groups of protestors. In this day and age, the liberals dominate the media and the conservatives dominate air radio. No one person can determine the difference between what is appropriate or not. Capitalism is struggling to survive when socialism is being supported. Watching the Federal Reserve is key. Perhaps a credit inflation is to occur and very soon. Therefore, each person should determine a financial way to shield themselves from the oncoming inevitable regarding monetary policy in this country.
Bikers make sense. I've always thought that they were cool. Bikers look cool as you pass them on the road or highway lane. Yet, these bikers also know that they are taking risks and are okay with them. That takes guts especially when most folks aren't willing to step out and do something even if it is for the right reasons.
Copyrighted 2011 by Stephanie Arredondo
Tuesday, March 15, 2011
FREE vs Common Sense
FREE is a good thing....or at least we all believe it's a good thing.
For example, information on the Internet is free unless you pay for it. Information overload is a term used broadly to describe how easy it is to gain access to information like never before. I can recall working in the investment management industry where analyst reports from major brokerage houses were loaded full of the latest and greatest information about which sector, industry or stock to review for investment. Today, access to that information, which back then was extremely difficult to gain unless you were a major client, is nonexistent. The barrier of entry disappeared once the Internet and speed of access improved year after year after year. Today, there are so many bloggers (myself included) presenting lots of information that it is overwhelming.
FREE can come at a price unbeknownst to you and I. FREE means sifting through mounds of web site pages and articles and loads of information that tend to be redundant, artificially hyped and/or full of half truths leading to enhanced fears. If you googled a medical condition on the Internet, you could misdiagnose your problem or worse, increase anxiety and fear. It is important to invest in the relationship of a good doctor who can ease your concern and diagnose you correctly (granted there are some exceptions to this statement). WebMD is a reputable place to research your medical issue.
Couponing is an obsession for many who seek to get free coupons and spend lots of time saving pennies on the dollar. Perhaps 10-20% of manufacturer coupons issued are claimed. Why? Because many people lack the time and energy to invest in this activity.
In economics, we learn about opportunity cost. If I invest my time into being on Facebook, will it take time away from something else in my life that is much more important? This is a good question to ponder the next time you prioritize your time. Am I better off dealing with technology problems for two hours or playing with my children outside for two hours? While speed and access are far superior versus twenty years ago, many forget the importance of prioritizing time and resources, and ultimately it can cost you a divorce, job loss, dissolution of a life-long relationship, or other unforeseen expenses.
Instead of your money being the currency of today, it is your time. Where you spend your time reflects on your priorities. Unfortunately, there are many time-wasters such as sifting through the unwanted ads and direct marketing items in the mailbox. Spending too much time on the computer can take time away from relationships such as your spouse, children, family and friends. Facebook, Twitter and other forms of social networking are hugely popular because it is a time-saver. Managing your time is just as important as managing your finances. In fact, good time management can lead to improvements in areas least expected and ultimately a financial benefit (not to mention peace of mind in certain cases).
Using your common sense in today's modern society of technology will serve you well because fewer people understand the concept much less practice it. Our younger generation is into misguided celebrities and texting beyond belief that their social skills are sadly bad. I was encouraged when a young man in his twenties waited on me. He was juggling phone calls for a rental property, developing a virtual store to go up live and working the job at hand. Ironically, we talked about the windy day and kites....He knows how to build a kite not only from his childhood days but because he studied engineering in college. I'd say that he has his priorities directed in a wonderful way. He is one of the few young twenty year olds that I've seen embrace the American dream.
The next time someone or web site page or ad offers you something and it's FREE. Reconsider it. Does it align with your priorities? Is it on your list to buy? Will it take time away from where you need to be? If a savvy or pushy salesperson pressures you, it is good to thing about it and walk away. When a cable/tv sales team pounded our front doorstep to buy their service, we were convinced of the sale but said No. The reason was simple....we examined our budget, crunched the numbers and realized that it would cost us more to switch. Thank goodness common sense prevailed over FREE.
(C) Copyrighted 2011 Stephanie Arredondo aka Alfa Sugar
For example, information on the Internet is free unless you pay for it. Information overload is a term used broadly to describe how easy it is to gain access to information like never before. I can recall working in the investment management industry where analyst reports from major brokerage houses were loaded full of the latest and greatest information about which sector, industry or stock to review for investment. Today, access to that information, which back then was extremely difficult to gain unless you were a major client, is nonexistent. The barrier of entry disappeared once the Internet and speed of access improved year after year after year. Today, there are so many bloggers (myself included) presenting lots of information that it is overwhelming.
FREE can come at a price unbeknownst to you and I. FREE means sifting through mounds of web site pages and articles and loads of information that tend to be redundant, artificially hyped and/or full of half truths leading to enhanced fears. If you googled a medical condition on the Internet, you could misdiagnose your problem or worse, increase anxiety and fear. It is important to invest in the relationship of a good doctor who can ease your concern and diagnose you correctly (granted there are some exceptions to this statement). WebMD is a reputable place to research your medical issue.
Couponing is an obsession for many who seek to get free coupons and spend lots of time saving pennies on the dollar. Perhaps 10-20% of manufacturer coupons issued are claimed. Why? Because many people lack the time and energy to invest in this activity.
In economics, we learn about opportunity cost. If I invest my time into being on Facebook, will it take time away from something else in my life that is much more important? This is a good question to ponder the next time you prioritize your time. Am I better off dealing with technology problems for two hours or playing with my children outside for two hours? While speed and access are far superior versus twenty years ago, many forget the importance of prioritizing time and resources, and ultimately it can cost you a divorce, job loss, dissolution of a life-long relationship, or other unforeseen expenses.
Instead of your money being the currency of today, it is your time. Where you spend your time reflects on your priorities. Unfortunately, there are many time-wasters such as sifting through the unwanted ads and direct marketing items in the mailbox. Spending too much time on the computer can take time away from relationships such as your spouse, children, family and friends. Facebook, Twitter and other forms of social networking are hugely popular because it is a time-saver. Managing your time is just as important as managing your finances. In fact, good time management can lead to improvements in areas least expected and ultimately a financial benefit (not to mention peace of mind in certain cases).
Using your common sense in today's modern society of technology will serve you well because fewer people understand the concept much less practice it. Our younger generation is into misguided celebrities and texting beyond belief that their social skills are sadly bad. I was encouraged when a young man in his twenties waited on me. He was juggling phone calls for a rental property, developing a virtual store to go up live and working the job at hand. Ironically, we talked about the windy day and kites....He knows how to build a kite not only from his childhood days but because he studied engineering in college. I'd say that he has his priorities directed in a wonderful way. He is one of the few young twenty year olds that I've seen embrace the American dream.
The next time someone or web site page or ad offers you something and it's FREE. Reconsider it. Does it align with your priorities? Is it on your list to buy? Will it take time away from where you need to be? If a savvy or pushy salesperson pressures you, it is good to thing about it and walk away. When a cable/tv sales team pounded our front doorstep to buy their service, we were convinced of the sale but said No. The reason was simple....we examined our budget, crunched the numbers and realized that it would cost us more to switch. Thank goodness common sense prevailed over FREE.
(C) Copyrighted 2011 Stephanie Arredondo aka Alfa Sugar
Lost Art of Etiquette
It seems that there's a lost art of etiquette these days. Everyone is in a hurry. Rudeness seems the norm. People texted while walking and don't pay attention to their surroundings. How is it that having manners can mean dollar-savings to you in the long run?
Showing kindness, saying please & thank you, and doing the little things makes you a better person, a better citizen of the United States of America and a person responsible for their money and possessions. If you display good manners, then you are less likely to be in a fight, deal with a legal issue or spend money where preventable had you displayed good etiquette.
Examples of bad manners:
One great way to have financial etiquette is to pay your bills on-time or early. No late fees or extra payments will be added on to the bill.
Also, it is important to tip appropriately such as at restaurants, hair salons or other important areas like coat check or the NYC bathroom in the Waldorf Hotel.
Gifts are a tricky topic, and moneyunder30 highlights some nice ideas.
If you are raising children, it's important to teach good table manners, and that starts at the family dinner table. Stacey Bradford has a nice write-up on CBSMarketwatch.
Cell phone etiquette while not enforced should be. There are seven most broken rules of etiquette when it comes to cell phones. My vote for most annoying is watching teenagers think that they are so cool as they text back and forth for 10 minutes while at a family social function. Just leave if you are going to tune out and not be respectful of your elders.
Manners reflect our culture, and in America there are many subcultures to consider. Corporations and/or businesses are sending employees to Business Etiquette schools so save yourself some future agony and practice good manners for when it matters.
Showing kindness, saying please & thank you, and doing the little things makes you a better person, a better citizen of the United States of America and a person responsible for their money and possessions. If you display good manners, then you are less likely to be in a fight, deal with a legal issue or spend money where preventable had you displayed good etiquette.
Examples of bad manners:
- Bronze star medal recipient from the Iraq war is ridiculed at a local high school by students. He works at the high school representing the military ROTC. When I share this story with friends, family and even strangers, everyone drops their jaw in astonishment. It's a disgrace.
- A Caucasian woman holds a restaurant door for two African-American males. Another woman is expected to get her door while the man looks the other way knowlingly. Chivalry has died if these women accept this act.
- A woman rudely interrupts a speaker's presentation to a group of 50 ladies to ask a question not related to the subject at hand and then proceeds to leave the room.
- A man in position of power and authority decides to use it to his advantage and belittles a subordinate by yelling obscene things at him.
- A woman gets drunk in a public group setting and falsely accuses a man of sexual assault because he refused her.
- Texting while driving is dangerous to everyone.
One great way to have financial etiquette is to pay your bills on-time or early. No late fees or extra payments will be added on to the bill.
Also, it is important to tip appropriately such as at restaurants, hair salons or other important areas like coat check or the NYC bathroom in the Waldorf Hotel.
Gifts are a tricky topic, and moneyunder30 highlights some nice ideas.
If you are raising children, it's important to teach good table manners, and that starts at the family dinner table. Stacey Bradford has a nice write-up on CBSMarketwatch.
Cell phone etiquette while not enforced should be. There are seven most broken rules of etiquette when it comes to cell phones. My vote for most annoying is watching teenagers think that they are so cool as they text back and forth for 10 minutes while at a family social function. Just leave if you are going to tune out and not be respectful of your elders.
Manners reflect our culture, and in America there are many subcultures to consider. Corporations and/or businesses are sending employees to Business Etiquette schools so save yourself some future agony and practice good manners for when it matters.
Monday, March 14, 2011
Grocery Budget
Have you read Steve and Annette Economides book Cut Your Grocery Bill In Half with America's Cheapest Family? If you go to their web site page, http://www.americascheapestfamily.com/, you will understand why this dynamic duo is making headlines regarding the infamous grocery budget that us Americans overspend and throw away excessive amounts of food spoilage because of low turnover or whatever the reason may be. The book itself is great, simple and full of good tips for the stay at home mom or homemaker who is seeking alternative ways to do it better.
There are other authors great at tackling this one area of the budget that is challenging. Mind you, if you don't know how to cook, then you should even if you've never taken a cooking class or had a mom teach you. It's fun to get in the kitchen, cook and have pride in saving on the grocery bill. You won't be in the drive-thru line. You may lose some weight. You can have quality time with family in the evening.
Mary Hunt authors many books, and her web site page http://www.debtproofliving.com/ is full of financial information written by a woman. She offers DPL membership for access to her articles such as Food May Eclipse Oil as the Next Spending Threat and travels to speak to many. I like her approach and read her Debt-Proof Your Marriage book.
Ellie Kay offers some good financial advice having been a military wife and homemaker. She wrote a Mom's Guide to Family Finances as well as many other great reads. She is on ABC news as well as CNBC's Power Lunch and has an amazing speaking schedule that includes military audiences.
Dave Ramsey recommends watching your grocery budget and endorses EZMealz for menu planning. Also, a FPU graduate hosts a real nice blog called http://thecheapskatecook.com/.
Couponing is popular, and there are some who amaze me with their stories. Saving with coupons is a good idea; however, you must weigh the time versus savings aspect when it comes to your schedule.
These authors and ideas are just a few that are out there.
If you search the Internet or Facebook or grocery ads, you can learn more about coupons in your local area. Sometimes calling the manufacturer directly means them sending you free coupons via mail. If you search the manufacturer's web site page, there are coupons available.
Coups for Troops is a great way to pass along your coupon savings to military families living overseas for those coupons are good six months after the expiration date. Many military families have been able to save on their grocery bill. The Happy Housewife blogger helped pioneer Coups for Troops. Here is how to partcipate in the Coups for Troops program. Wives of Faith is a big supporter of Coups for Troops.
There are other authors great at tackling this one area of the budget that is challenging. Mind you, if you don't know how to cook, then you should even if you've never taken a cooking class or had a mom teach you. It's fun to get in the kitchen, cook and have pride in saving on the grocery bill. You won't be in the drive-thru line. You may lose some weight. You can have quality time with family in the evening.
Mary Hunt authors many books, and her web site page http://www.debtproofliving.com/ is full of financial information written by a woman. She offers DPL membership for access to her articles such as Food May Eclipse Oil as the Next Spending Threat and travels to speak to many. I like her approach and read her Debt-Proof Your Marriage book.
Ellie Kay offers some good financial advice having been a military wife and homemaker. She wrote a Mom's Guide to Family Finances as well as many other great reads. She is on ABC news as well as CNBC's Power Lunch and has an amazing speaking schedule that includes military audiences.
Dave Ramsey recommends watching your grocery budget and endorses EZMealz for menu planning. Also, a FPU graduate hosts a real nice blog called http://thecheapskatecook.com/.
Couponing is popular, and there are some who amaze me with their stories. Saving with coupons is a good idea; however, you must weigh the time versus savings aspect when it comes to your schedule.
These authors and ideas are just a few that are out there.
If you search the Internet or Facebook or grocery ads, you can learn more about coupons in your local area. Sometimes calling the manufacturer directly means them sending you free coupons via mail. If you search the manufacturer's web site page, there are coupons available.
Coups for Troops is a great way to pass along your coupon savings to military families living overseas for those coupons are good six months after the expiration date. Many military families have been able to save on their grocery bill. The Happy Housewife blogger helped pioneer Coups for Troops. Here is how to partcipate in the Coups for Troops program. Wives of Faith is a big supporter of Coups for Troops.
Are you a Beginner when it comes to Individual Stocks?
Are you a beginner when it comes to investing in individual stocks?
You are not alone. Many do not understand what a stock or bond is, yet they invest in mutual funds through 401ks at work without a true understanding about the nature of the investment. Mutual funds managed by portfolio managers and investment professionals utilize stocks, bonds and other financial products when managing the assets of the mutual fund.
National Association of Investors Corporation(NAIC) and the Association for Individual Investors(AAII) are two nonprofit organizations that have been around and are dedicated to assisting beginners to understand stocks, mutual funds and other financial products and services of interest to its members. You don't have to start an investment club with a live portfolio...if anything, you can read their literature, attend a conference, meet with others, and discuss a paper portfolio. Instead of pooling funds into the investment club account, you can do a mock portfolio and track it to see if your ideas worked.
You are not alone. Many do not understand what a stock or bond is, yet they invest in mutual funds through 401ks at work without a true understanding about the nature of the investment. Mutual funds managed by portfolio managers and investment professionals utilize stocks, bonds and other financial products when managing the assets of the mutual fund.
National Association of Investors Corporation(NAIC) and the Association for Individual Investors(AAII) are two nonprofit organizations that have been around and are dedicated to assisting beginners to understand stocks, mutual funds and other financial products and services of interest to its members. You don't have to start an investment club with a live portfolio...if anything, you can read their literature, attend a conference, meet with others, and discuss a paper portfolio. Instead of pooling funds into the investment club account, you can do a mock portfolio and track it to see if your ideas worked.
Saturday, March 12, 2011
Diminish Fears about Wall Street
To diminsh fears about Wall Street given the recent horrific news about the tsunami and earthquake devasting Japan as well as other world events occurring in the Middle East, it's important to understand commentary from others.
CNBC's Talking Numbers provides an interesting assessment of the Japanese market.
Brent Arends of the Wall Street Journal writes an interesting article on The Dow's Plunge: Should You Be Worried?
Individual Investor Sentiment is at a lower than low norm.
Even Valueline is commenting on inflation concerns that are mounting. Seeking Alpha provides a nice article on the Inflation Scorecard.
When it comes to investments and savings, there is a lot of concern, and rightly so when it's your hard-earned dollars at stake. Many invest and save without fully understanding the financial product or service that they've invested in. Once understood, rules, pricing and regulations change such that updating this information is important. For example, mutual funds are notorious for charging fees and issuing hidden costs. It is important that you research these products and get to a financial advisor who will not charge you an arm and a leg. Educating yourself is important, and I often refer to the fact that Oprah Winfrey refuses to allow anyone to write her checks without her knowledge (i.e. she is actively involved with the financial management of her affairs).
While I am certainly not gaining monetarily off of this blog, I aspire to present topics and cases of relevant interest to the subject at hand. There is information overload from various sources on the Internet, and it is easy to become confused as to what to do. Being in the military, it's easy to check-out of this understanding because of frequent moves, international living or life happening that prevents you from understanding relevant issues concerning your investment and savings. Automatically investing in the TSPs is a no-brainer; however, military members should be concerned and ask for more information about their investment.
It is wise to invest. It is wise to invest in a product or service that will allow you to feel comfortable and be able to sleep at night. It is wise to have your spouse feel comfortable especially when the military member deploys. If you obtain knowledge and self-educate, then you will diminish your fears with what occurs on Wall Street the next time you hear the financial report on the evening news.
Disclaimer: This article is the opinion of the person writing it, and any financial decisions made as a result does not make the writer liable for any action taken. The author is not gettting paid in providing this article. Please consult your personal financial advisor for more information.
CNBC's Talking Numbers provides an interesting assessment of the Japanese market.
Brent Arends of the Wall Street Journal writes an interesting article on The Dow's Plunge: Should You Be Worried?
Individual Investor Sentiment is at a lower than low norm.
Even Valueline is commenting on inflation concerns that are mounting. Seeking Alpha provides a nice article on the Inflation Scorecard.
When it comes to investments and savings, there is a lot of concern, and rightly so when it's your hard-earned dollars at stake. Many invest and save without fully understanding the financial product or service that they've invested in. Once understood, rules, pricing and regulations change such that updating this information is important. For example, mutual funds are notorious for charging fees and issuing hidden costs. It is important that you research these products and get to a financial advisor who will not charge you an arm and a leg. Educating yourself is important, and I often refer to the fact that Oprah Winfrey refuses to allow anyone to write her checks without her knowledge (i.e. she is actively involved with the financial management of her affairs).
While I am certainly not gaining monetarily off of this blog, I aspire to present topics and cases of relevant interest to the subject at hand. There is information overload from various sources on the Internet, and it is easy to become confused as to what to do. Being in the military, it's easy to check-out of this understanding because of frequent moves, international living or life happening that prevents you from understanding relevant issues concerning your investment and savings. Automatically investing in the TSPs is a no-brainer; however, military members should be concerned and ask for more information about their investment.
It is wise to invest. It is wise to invest in a product or service that will allow you to feel comfortable and be able to sleep at night. It is wise to have your spouse feel comfortable especially when the military member deploys. If you obtain knowledge and self-educate, then you will diminish your fears with what occurs on Wall Street the next time you hear the financial report on the evening news.
Disclaimer: This article is the opinion of the person writing it, and any financial decisions made as a result does not make the writer liable for any action taken. The author is not gettting paid in providing this article. Please consult your personal financial advisor for more information.
Friday, March 11, 2011
New Tax Law regarding Coverdell Education Savings
Congress recently extended the provisions for the Economic Growth Tax Relief Reconciliation Act of 2001 to December 31, 2012 under the new Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010. For those with savings accounts such as the Coverdell Education, it is important to note that tax free withdrawals are possible for elementary and secondary education expenses while contribution levels remanin at $2,000. If you have children and are seeking a way to invest in their future education, it is wise to consider a Coverdell and/or revisit it with your personal financial advisor.
Thursday, March 10, 2011
Setting Up House
For those newlywed or relocating, it's tricky to setup house in an economical manner. Moving expenses add up not to mention the emotional and physical toll. With Spring and Summer season bringing warmer weather, it's time for those moving to pack boxes and load up.
For those in the military, moving occurs any time of the year. Money and Mobility for the Military Family is a good resource to review. Tiffany Manly presents some good tips on preparing for a pcs move. The PCS America Military Relocation Network provides a comprehensive one-stop resource for all your PCSing needs. On Military.com/Money, there is a great link to PCS, DITY & Moving that will help you walk through some financial considerations when you move. There are some Military Travel (PCS) Move Entitlements to consider as well.
Whether it's moving to another city, state, or country, it is important that you organize your finances into a box or even a sturdy LLBean bag (along with useID and passcodes) so that should something occur (and it will), you can locate what you need in a timely manner. Regarding banking needs, USAA does not charge ATM fees anywhere in the USA.
If possible, get rid of a bunch of unnecessary items because it could cost you more to move the cheap stuff than to keep it. Donating to a charity will give you a tax write-off. Selling it in a yard sale or through a consignment sale helps raise funds for the move. Regarding clothing, if you haven't worn it in the past 3-5 years, you will likely not wear it. The climate of your new home environment may require a whole new wardrobe so sell now to raise funds for what you will need is a smart idea.
If you are selling your home, it is wise to hire a real estate agent and keep handy the deed/title and other relevant financial documents regarding your home.
For children, this is never an easy option regardless of what age. Having them help pack boxes, reduce and purge their stuff and even having ownership of a moving job are good confidence boosters. More important, it is good to research the new city so having them assist in the research process of what is the new state bird etc. will aid in earlier acceptance.
Pets are family as well. Before you get rid of your family member, it's important to consider options. You can keep your pets if you are in the military; the cost involved is shipping. Moving your pets is doable. If you decide it is not, then ask your veterinarian's office for advice or even go to Net Pets, where they offer military pets foster care until the servicemember can return home. For international travel, it is important to properly crate the animal, make sure food and water are available and comfort the animal as it endures a stressful journey. There may be a quarantine period before you can claim your pet so do check ahead of time about the logisitics involved with your pet's relocation process.
Vehicle relocation can be an issue. Leased vehicles are NOT allowed outside of this country. First, you must check on your auto insurance, inform them of the transport, and change/upgrade your insurance. There are domestic carriers who can pick up and deliver the car across country. International shipment entails more details such as the container to ship it in, bill of lading and the freight forwarder or shipper responsible for all of the transport. Disconnecting the battery and having the car checked prior to pickup is key for transportation companies. Plus, you will have to obtain an international driver's license (AAA offers this). It is important to check on these items of detail.
Uprooting is an adventure that you and your family will never forget. It is wise to say good bye to the old house, surroundings and friends. Good luck with your new chapter in your lives for it's going to take you to places you never dreamed of going, meeting new friends, and broadening yourselves in ways you least expected.
For those in the military, moving occurs any time of the year. Money and Mobility for the Military Family is a good resource to review. Tiffany Manly presents some good tips on preparing for a pcs move. The PCS America Military Relocation Network provides a comprehensive one-stop resource for all your PCSing needs. On Military.com/Money, there is a great link to PCS, DITY & Moving that will help you walk through some financial considerations when you move. There are some Military Travel (PCS) Move Entitlements to consider as well.
Whether it's moving to another city, state, or country, it is important that you organize your finances into a box or even a sturdy LLBean bag (along with useID and passcodes) so that should something occur (and it will), you can locate what you need in a timely manner. Regarding banking needs, USAA does not charge ATM fees anywhere in the USA.
If possible, get rid of a bunch of unnecessary items because it could cost you more to move the cheap stuff than to keep it. Donating to a charity will give you a tax write-off. Selling it in a yard sale or through a consignment sale helps raise funds for the move. Regarding clothing, if you haven't worn it in the past 3-5 years, you will likely not wear it. The climate of your new home environment may require a whole new wardrobe so sell now to raise funds for what you will need is a smart idea.
If you are selling your home, it is wise to hire a real estate agent and keep handy the deed/title and other relevant financial documents regarding your home.
For children, this is never an easy option regardless of what age. Having them help pack boxes, reduce and purge their stuff and even having ownership of a moving job are good confidence boosters. More important, it is good to research the new city so having them assist in the research process of what is the new state bird etc. will aid in earlier acceptance.
Pets are family as well. Before you get rid of your family member, it's important to consider options. You can keep your pets if you are in the military; the cost involved is shipping. Moving your pets is doable. If you decide it is not, then ask your veterinarian's office for advice or even go to Net Pets, where they offer military pets foster care until the servicemember can return home. For international travel, it is important to properly crate the animal, make sure food and water are available and comfort the animal as it endures a stressful journey. There may be a quarantine period before you can claim your pet so do check ahead of time about the logisitics involved with your pet's relocation process.
Vehicle relocation can be an issue. Leased vehicles are NOT allowed outside of this country. First, you must check on your auto insurance, inform them of the transport, and change/upgrade your insurance. There are domestic carriers who can pick up and deliver the car across country. International shipment entails more details such as the container to ship it in, bill of lading and the freight forwarder or shipper responsible for all of the transport. Disconnecting the battery and having the car checked prior to pickup is key for transportation companies. Plus, you will have to obtain an international driver's license (AAA offers this). It is important to check on these items of detail.
Uprooting is an adventure that you and your family will never forget. It is wise to say good bye to the old house, surroundings and friends. Good luck with your new chapter in your lives for it's going to take you to places you never dreamed of going, meeting new friends, and broadening yourselves in ways you least expected.
Wednesday, March 9, 2011
Concurrent Retirement and Disability Pay for Our Veterans
For disabled veterans and those who have served our country, there is new information relating to the Concurrent Retirement and Disability Pay (CRDP). Qualified disabled military retirees will now get paid both their full military retirement pay and their VA disability compensation. Army Disabled Veterans have a web page. The Iraq Memorial is a new site full of information.
While information is limited and time-consuming to gather, there are ways to determine financial decisions to care for a disabled veteran.
Clebe and Deanna McClary tell their stories in books and in the movie Portrait of an American Hero. There is the other side of financial matters when it comes to marriage, healing and starting a different chapter together. I find their story compelling to share as inspiration for those loved ones enduring the odds and overcoming them beautifully.
This is just the beginning of my research, and I hope to blog again about further findings pertaining to financial matters for our wonderful veterans. I thank all the military personnel and their families for serving our country.
Tuesday, March 8, 2011
Beware of Hidden Fees in your 401(k)
Hidden fees do occur in your 401(k) savings particularly if you are like most who invest the bulk of your savings into mutual funds.
Natasha Gural wrote in the March 2011 Better Investing Magazine a great article on how "Hidden Fees Are Eroding Your 401(k) Savings." She reviews how surprised investors are at how much you ARE paying for your retirement. Hidden fees include turnover related ratio costs as portfolio managers turnover assets through trading. Other costs include administrative, marketing and management fees. Granted, mutual funds are for-profit businesses and render fees to maintain a profitable P & L statement.
When you just invest your hard-earned dollars and assume that your investment is taken care of, it is wise to revisit your lack of time and interest concerning saving for your retirement. The SEC oversees certain regulations, but it is the Financial Industry Regulatory Authority (FINRA) that imposes limits on mutual fund fees. The SEC does provide a mutual fund calculator on their web site page to help investors (yes, that includes you if you contribute to a 401(k) plan) determine mutual fund fees and expenses.
There are some mutual fund companies that are aware of these costs to individuals. Vanguard is one example where they advertise that they help investors build wealth at-cost investments.
Amy Buttell of the National Association of Investors Corporation (NAIC) reviews several of their members top mutual fund picks.
If you work for a major corporation, it is good to check with their human resources department because employers negotiate certain packages and must report to the Department of Labor the expenses of employee benefit plans in Form 5500 (these are available to the public). In July 2011, new rules and regulations go into effect regarding managers and advisors overseeing 401(k) plans according to a Reuter's online article. Simply put, advisors must provide written compensation plans to sponsors. Already, critics claim that this is still too broad in a Bloomberg article released March 1, 2011. "Our concern is that the rule is broadly written,” Ken Bentsen, executive vice president for public policy and advocacy at the Securities Industry and Financial Markets Association, said at the hearing.
For military personnel and their families, FINR sponsors the Save & Invest FINR military home page and offers financial resources to military personnel. It's a start to educate yourself regarding your retirement. There are ideas to invest your disability for those military personnel seeking information.
Of course, I am an advocate for investing in individual stocks because if you invest and hold long term, you will not pay out a lot in mutual fund fees and expenses. The trade-off is if you are interested in monitoring your retirement investment or turning the keys over to someone else to drive the account. Either way, the payoff comes as a result of your decision. Blaming a manager or a fund for poor returns shows a lack of responsibility on your part if you have not researched and monitored it. There are many professionals in the finance and investment management industry that are well-worth the fee and time to assist you with your personal finances. Buyer beware is a catch-phrase to keep in mind as you align yourself with someone who has your best interests at heart (not their hidden agenda or fee).
Disclaimer: This article is the opinion of the person writing it, and any financial decisions made as a result does not make the writer liable for any action taken. Please consult your personal financial advisor for more information.
Natasha Gural wrote in the March 2011 Better Investing Magazine a great article on how "Hidden Fees Are Eroding Your 401(k) Savings." She reviews how surprised investors are at how much you ARE paying for your retirement. Hidden fees include turnover related ratio costs as portfolio managers turnover assets through trading. Other costs include administrative, marketing and management fees. Granted, mutual funds are for-profit businesses and render fees to maintain a profitable P & L statement.
When you just invest your hard-earned dollars and assume that your investment is taken care of, it is wise to revisit your lack of time and interest concerning saving for your retirement. The SEC oversees certain regulations, but it is the Financial Industry Regulatory Authority (FINRA) that imposes limits on mutual fund fees. The SEC does provide a mutual fund calculator on their web site page to help investors (yes, that includes you if you contribute to a 401(k) plan) determine mutual fund fees and expenses.
There are some mutual fund companies that are aware of these costs to individuals. Vanguard is one example where they advertise that they help investors build wealth at-cost investments.
Amy Buttell of the National Association of Investors Corporation (NAIC) reviews several of their members top mutual fund picks.
If you work for a major corporation, it is good to check with their human resources department because employers negotiate certain packages and must report to the Department of Labor the expenses of employee benefit plans in Form 5500 (these are available to the public). In July 2011, new rules and regulations go into effect regarding managers and advisors overseeing 401(k) plans according to a Reuter's online article. Simply put, advisors must provide written compensation plans to sponsors. Already, critics claim that this is still too broad in a Bloomberg article released March 1, 2011. "Our concern is that the rule is broadly written,” Ken Bentsen, executive vice president for public policy and advocacy at the Securities Industry and Financial Markets Association, said at the hearing.
For military personnel and their families, FINR sponsors the Save & Invest FINR military home page and offers financial resources to military personnel. It's a start to educate yourself regarding your retirement. There are ideas to invest your disability for those military personnel seeking information.
Of course, I am an advocate for investing in individual stocks because if you invest and hold long term, you will not pay out a lot in mutual fund fees and expenses. The trade-off is if you are interested in monitoring your retirement investment or turning the keys over to someone else to drive the account. Either way, the payoff comes as a result of your decision. Blaming a manager or a fund for poor returns shows a lack of responsibility on your part if you have not researched and monitored it. There are many professionals in the finance and investment management industry that are well-worth the fee and time to assist you with your personal finances. Buyer beware is a catch-phrase to keep in mind as you align yourself with someone who has your best interests at heart (not their hidden agenda or fee).
- It is important to save for your retirement.
- It is important to understand what are the fees and costs involved with your 401(k) and/or retirement account.
- It is important that you review your account quarterly if not monthly.
Disclaimer: This article is the opinion of the person writing it, and any financial decisions made as a result does not make the writer liable for any action taken. Please consult your personal financial advisor for more information.
Monday, March 7, 2011
Thrifty Tips
Thrifty Tips is a recent article that I posted on the Wives of Faith web site page. Military Saves Week is an annual promotion that the military does to help military personnel and their families understand the importance of saving. Perhaps in our modern American culture, we have forgotten the importance of saving when credit cards and lending practices make it so easy to spend and have it now. In fact, military personnel can lose certain status and privileges if their finances are not in proper order. These tips are just a few relevant for military but also for nonmilitary seeking ways to save a dollar or live within your means better.
Sunday, March 6, 2011
Military Money Matters
FREE is a word that catches your attention real quick!!!
With summertime approaching, I learned of a wonderful program offered for military children. Operation Purple is a program of the National Military Family Association where children of deployed members are offered an opportunity to participate in a summer camp or family retreat. The experience is paid for in full by a variety of wonderful corporate and other sponsors. Some of the camps are week-long overnight and are FREE. The key is to enroll early as these positions are quickly taken because of the high demand.
The National Military Family Association web site page is full of other relevant information for military families. Another web site link is to their SaveAndInvest sponsored web site that reviews a lot of military money topics (PCS, Preparing for Future Moves, When Duty Calls, Getting out of Debt, etc). The National Endowment for Financial Education, the FINRA Investor Education Foundation, and the National Military Family Association are honored to make this publication available to many military families struggling to make sense of money matters. This is a great unbiased web site page.
(c) 2011 Stephanie Arredondo aka Alfa Sugar
With summertime approaching, I learned of a wonderful program offered for military children. Operation Purple is a program of the National Military Family Association where children of deployed members are offered an opportunity to participate in a summer camp or family retreat. The experience is paid for in full by a variety of wonderful corporate and other sponsors. Some of the camps are week-long overnight and are FREE. The key is to enroll early as these positions are quickly taken because of the high demand.
The National Military Family Association web site page is full of other relevant information for military families. Another web site link is to their SaveAndInvest sponsored web site that reviews a lot of military money topics (PCS, Preparing for Future Moves, When Duty Calls, Getting out of Debt, etc). The National Endowment for Financial Education, the FINRA Investor Education Foundation, and the National Military Family Association are honored to make this publication available to many military families struggling to make sense of money matters. This is a great unbiased web site page.
(c) 2011 Stephanie Arredondo aka Alfa Sugar
Money can't buy Happiness
Are you happy? It's a question that many face at different intervals of life. In America, it seems like happiness is when you've succeeded in your career or have the dream home or have the dream life full of financial means that many so desire. Yet many people aren't happy. In fact, funds are allocated in areas where one thinks that it will bring happiness yet it doesn't.
In the February 2011 edition of Reader's Digest on page 176, the article How to Succeed at Life from Harvard Business Review brings to light the bottom line on happiness.
The three questions to ask yourself are:
1) How can I be happy in my work?
2) How can my relationships with my spouse and family provide me happiness over the long haul?
3) How can I stay out of jail?
The key to understanding these three questions is following the path of several HBS graduates. Some are successful and get it right. Some don't. Many end up in divorce court paying for legal fees, alimony and other items not to mention the mental anguish involved. Some follow a corrupt road and not only break the law but end up in jail. Some are unhappy because of choices made in life. Some overlook their children and realize later in life that their relationship is not what they had hoped. Many did not orginally decide to go down certain paths when they graduated from school, yet present day reality paints a different picture from the person you knew 20 years ago.
Consistently, faith and family are big factors in determining happiness. Post-911 saw many people change careers or take a job for less pay so that they could be closer to their family. I guess it is one of the few positives brought to light by that tragedy. It's true that money can't buy happiness.
In the military, we spouses and families understand this concept even more when going through deployments and sadly welcoming home a casket rather than a warm body.
To seek happiness, it is important to keep in mind where you allocate your time and resources. Spending time with my spouse, family, community, church or job is good when well-balanced. The money-saving part is in the day to day choices made. Do I choose to spend more time at the office or attend my son's soccer game? Do we go to church on Sundays or sleep in? Do I help my spouse do housework or do I dump it all on her? Do I increase my travel or take a paycut to be at home for family meals? Do I give back to the community through volunteer service or make a monetary contribution? Whatever the case may be, your choices will determine a road of happiness or unhappiness.
Another choice not mentioned in this article but is a critical element regarding your happiness is your faith. I would encourage you if you do not know about Jesus Christ to seek Him and have a relationship with Him.
How to Get Happy and The Happiness Project illuminate more on this topic.
Copyrighted 2011 by Stephanie Arredondo aka Alfa Sugar
In the February 2011 edition of Reader's Digest on page 176, the article How to Succeed at Life from Harvard Business Review brings to light the bottom line on happiness.
The three questions to ask yourself are:
1) How can I be happy in my work?
2) How can my relationships with my spouse and family provide me happiness over the long haul?
3) How can I stay out of jail?
The key to understanding these three questions is following the path of several HBS graduates. Some are successful and get it right. Some don't. Many end up in divorce court paying for legal fees, alimony and other items not to mention the mental anguish involved. Some follow a corrupt road and not only break the law but end up in jail. Some are unhappy because of choices made in life. Some overlook their children and realize later in life that their relationship is not what they had hoped. Many did not orginally decide to go down certain paths when they graduated from school, yet present day reality paints a different picture from the person you knew 20 years ago.
Consistently, faith and family are big factors in determining happiness. Post-911 saw many people change careers or take a job for less pay so that they could be closer to their family. I guess it is one of the few positives brought to light by that tragedy. It's true that money can't buy happiness.
In the military, we spouses and families understand this concept even more when going through deployments and sadly welcoming home a casket rather than a warm body.
To seek happiness, it is important to keep in mind where you allocate your time and resources. Spending time with my spouse, family, community, church or job is good when well-balanced. The money-saving part is in the day to day choices made. Do I choose to spend more time at the office or attend my son's soccer game? Do we go to church on Sundays or sleep in? Do I help my spouse do housework or do I dump it all on her? Do I increase my travel or take a paycut to be at home for family meals? Do I give back to the community through volunteer service or make a monetary contribution? Whatever the case may be, your choices will determine a road of happiness or unhappiness.
Another choice not mentioned in this article but is a critical element regarding your happiness is your faith. I would encourage you if you do not know about Jesus Christ to seek Him and have a relationship with Him.
How to Get Happy and The Happiness Project illuminate more on this topic.
Copyrighted 2011 by Stephanie Arredondo aka Alfa Sugar
Friday, March 4, 2011
Stop Spoiling & Start Saving
Our American culture influences us parents to indulge our children and provide means to them that our grandparents dreamed of achieving one day. The challenge is to balance access to means and excess. If we parents deny our precious children an object of desire, then we feel guilty, drive ourselves into debt over getting the stuff and deplete our energy in ways that can harm us and our children later. Perhaps this is an extreme description for your case....perhaps not. I have children, and if I can give them everything, I would. However, is that helping them to learn good values and become good citizens in our country?
As I go through my cluttered home full of toys, clothes and other misc, I remind myself that it is stuff, and it is time to get rid of certain unused items (as much as it breaks my heart to see them go). It is emotional detachment preventing me from getting rid of the stuff.
According to an online professional organizer (source unknown), 85% of items in your house are unnecessary. For those challenged with hoarding, that is staggering, and if you've watched some of the HGTV's organizing shows, you will be amazed at how far people go. I've even seen a farmer collect over 16,000 coffee mugs. They are all over the house, barn, and other places. What on earth are they going to do with them? Where will this stuff end up that you are paying the credit card for? Landfills are overflowing, and even with the Go Green campaign, it's a wonder we determine how to deal with the stuff.
Welcome professional organizers and 1800Junk or College Hunks Haul Junk! More ways to spend your precious money on getting rid of the stuff that you bought with your hard-earned money. While there are certain items necessary to have, it is more cost-effective to declutter and live with less.
On Forefront Families LLC web site page, there is a commentary on Excess & Indulgence when it comes to our children. I like how these people simply put it so please click on the link. Indulgence occurs from providing too much stuff, a lack of discipline and low expectations. If parents were to spend time rather than money on a child, it will last a lifetime AND not cost much in monetary value. Children need time with their parents, and in this modern era of cell phones, texting, video games, e-mail etc..., the battle for your time is a big motivator to act out, be it good or bad. Usually the bad behavior gets your attention.
If good behavior is rewarded, then how much better will our children behave the way we hope? Less costly in the long run....yes, certain behaviors can be addressed and changed so that later down the road, you won't be paying legal court costs or fines or fee penalties for your child's lack of responsibilty.
No is a difficult word to say to a precious toddler, a tween or a teenager when they ask for something. I often tell my children that we have not budgeted that item and that we will have to save up our money and purchase it. By presenting a realistic answer, they understand an important reality of life regarding financial spending for a household. Everyone must live within their means regardless of a big or small paycheck.
A nice benefit to stop spoiling your child is to start saving. If you follow the 10/10/80 approach with your spending plan, you will see positive benefits overall. Tithing 10% of your income is wise. Saving 10% of your income is important for future rainy days. Preplanning how you intend to spend 80% of your income is key to successfully being a good steward of your home. When children experience this living environment, it can't help but be rubbed off on them, and then as adults with their own families, they will become responsible US citizens and live within their means (not live in your home or depend on you to support themselves).
With the US savings rate at a low, it is good to remind future generations about what our grandparents experienced during the Depression. Both of my grandmothers constantly reminded me of their life experience and why it is important to save for a rainy day. They imparted wisdom that lasted a lifetime with their grandchild and ultimately their great grandchildren.
If you give of yourself for the good of others, then you are well ahead of the pack when it comes to stop spoiling and start saving.
To take it a step further, our faith has become Americanized. Having worked in market research, it's amazing how corporations mastermind ways to sell a product or service. Even daily postal mail is 75% direct marketing with flyers, coupons, and ads. We are bombarded daily with "buy this because you cannot live without it." Parents are challenged to raise children in this age of influence.
One author, Frances Chan, presents some good food for thought in his book Crazy Love: Overwhelmed by a Relentless God.
Dr. James Dobson founded Focus on the Family and is a renowned author regarding children and families publishing such books as The Strong Willed Child, Bringing up Girls and Bringing up Boys.
Jodie Berndt authored Praying the Scriptures for your Children, and I think it helps to pray for children's faith, character, safety, relationships and future (including financially supporting oneself). Prayer power has no monetary value, yet it is a beautiful blessing bestowed upon a child.
These authors are just a few of many who are committed to present material relevant to parents, especially those parents who desire a different path for their children than what is being promoted or taught.
Welcome to the journey with other fellow American parents who strive to raise children with good morales and values. I hope that this topic of stop spoiling and start saving will jolt something into your family that will be a blessing in the future.
(c) 2011 Stephanie Arredondo
As I go through my cluttered home full of toys, clothes and other misc, I remind myself that it is stuff, and it is time to get rid of certain unused items (as much as it breaks my heart to see them go). It is emotional detachment preventing me from getting rid of the stuff.
According to an online professional organizer (source unknown), 85% of items in your house are unnecessary. For those challenged with hoarding, that is staggering, and if you've watched some of the HGTV's organizing shows, you will be amazed at how far people go. I've even seen a farmer collect over 16,000 coffee mugs. They are all over the house, barn, and other places. What on earth are they going to do with them? Where will this stuff end up that you are paying the credit card for? Landfills are overflowing, and even with the Go Green campaign, it's a wonder we determine how to deal with the stuff.
Welcome professional organizers and 1800Junk or College Hunks Haul Junk! More ways to spend your precious money on getting rid of the stuff that you bought with your hard-earned money. While there are certain items necessary to have, it is more cost-effective to declutter and live with less.
On Forefront Families LLC web site page, there is a commentary on Excess & Indulgence when it comes to our children. I like how these people simply put it so please click on the link. Indulgence occurs from providing too much stuff, a lack of discipline and low expectations. If parents were to spend time rather than money on a child, it will last a lifetime AND not cost much in monetary value. Children need time with their parents, and in this modern era of cell phones, texting, video games, e-mail etc..., the battle for your time is a big motivator to act out, be it good or bad. Usually the bad behavior gets your attention.
If good behavior is rewarded, then how much better will our children behave the way we hope? Less costly in the long run....yes, certain behaviors can be addressed and changed so that later down the road, you won't be paying legal court costs or fines or fee penalties for your child's lack of responsibilty.
No is a difficult word to say to a precious toddler, a tween or a teenager when they ask for something. I often tell my children that we have not budgeted that item and that we will have to save up our money and purchase it. By presenting a realistic answer, they understand an important reality of life regarding financial spending for a household. Everyone must live within their means regardless of a big or small paycheck.
A nice benefit to stop spoiling your child is to start saving. If you follow the 10/10/80 approach with your spending plan, you will see positive benefits overall. Tithing 10% of your income is wise. Saving 10% of your income is important for future rainy days. Preplanning how you intend to spend 80% of your income is key to successfully being a good steward of your home. When children experience this living environment, it can't help but be rubbed off on them, and then as adults with their own families, they will become responsible US citizens and live within their means (not live in your home or depend on you to support themselves).
With the US savings rate at a low, it is good to remind future generations about what our grandparents experienced during the Depression. Both of my grandmothers constantly reminded me of their life experience and why it is important to save for a rainy day. They imparted wisdom that lasted a lifetime with their grandchild and ultimately their great grandchildren.
If you give of yourself for the good of others, then you are well ahead of the pack when it comes to stop spoiling and start saving.
To take it a step further, our faith has become Americanized. Having worked in market research, it's amazing how corporations mastermind ways to sell a product or service. Even daily postal mail is 75% direct marketing with flyers, coupons, and ads. We are bombarded daily with "buy this because you cannot live without it." Parents are challenged to raise children in this age of influence.
One author, Frances Chan, presents some good food for thought in his book Crazy Love: Overwhelmed by a Relentless God.
Dr. James Dobson founded Focus on the Family and is a renowned author regarding children and families publishing such books as The Strong Willed Child, Bringing up Girls and Bringing up Boys.
Jodie Berndt authored Praying the Scriptures for your Children, and I think it helps to pray for children's faith, character, safety, relationships and future (including financially supporting oneself). Prayer power has no monetary value, yet it is a beautiful blessing bestowed upon a child.
These authors are just a few of many who are committed to present material relevant to parents, especially those parents who desire a different path for their children than what is being promoted or taught.
Welcome to the journey with other fellow American parents who strive to raise children with good morales and values. I hope that this topic of stop spoiling and start saving will jolt something into your family that will be a blessing in the future.
(c) 2011 Stephanie Arredondo
Wednesday, March 2, 2011
Rethink Money Waste
This Kiplinger article is a great read regarding 25 ways we waste our money.
There's some good advice. While a lot of the advice addresses personal spending behavior, it gives a few other good tips regarding interest bearing checking accounts, saving for retirement and tax refund comment. Below is elaboration regarding financial organization for those interested in some financial perspective.
If you are like most folks, you probably are disorganized when it comes to your finances. The paperwork in addition to the online monitoring can hamper anyone's style. The idea is to capture your spending behavior, track it in a timely manner and be reassured that you are doing well financially. Automatic bill pay is a great way to make payments on-time, less costly (some charge $2 processing fee for paper checks), and save on postage as well as lag time between receipt of bill and payment. Online banking features are available with your accounts. Mint.com is a highly recommended venue in the financial world; however, I have not tried it yet because of my techno-phobia. Regardless if you are tech-savvy or techno-phobia like myself, it is important to know your financial picture.
For those military families moving or pcsing, it can be more tricky to locate important papers. [It can be more of a hassle for those who don't move every five years such as Guard members.]
Here are some tips to keep in mind when it comes to financial organization.
1) Try to purchase a hard folder box or even an LLBean bag (they are durable) to contain all your financial paperwork such as bank statements, credit card statements, 401k, mortgage, brokerage, etc... This is your financial mission control center where you have checks, credit/debit cards, passcodes or anything relevant to your finances. No bills. No utilities. This is your one-stop financial mission control center.
2) Mark it and keep it close. Should you have passwords or codes, try to gather them in a small folder and keep in the setup you develop for easier retrieval.
3) Keep this information close at all times especially while moving. Electronics such as laptops or access to web pages via off-site locations are there but you will need to blend both paper and electronics according to your personal style as you relocate.
4) Formulate a financial statement utilizing this information so when you meet with the bank, real estate agent or mortgage broker, you can obtain a good idea of your financial situation. This can be timely especially when in negotiations for an offer on a house or something else.
While tedious in the beginning, when it comes to crunch time, you will be glad that you took the time to organize your financial information. It will save you time in addition to money.
Disclaimer: This article is the opinion of the person writing it, and any financial decisions made as a result does not make the writer liable for any action taken. Please consult your personal financial advisor for more information.
There's some good advice. While a lot of the advice addresses personal spending behavior, it gives a few other good tips regarding interest bearing checking accounts, saving for retirement and tax refund comment. Below is elaboration regarding financial organization for those interested in some financial perspective.
If you are like most folks, you probably are disorganized when it comes to your finances. The paperwork in addition to the online monitoring can hamper anyone's style. The idea is to capture your spending behavior, track it in a timely manner and be reassured that you are doing well financially. Automatic bill pay is a great way to make payments on-time, less costly (some charge $2 processing fee for paper checks), and save on postage as well as lag time between receipt of bill and payment. Online banking features are available with your accounts. Mint.com is a highly recommended venue in the financial world; however, I have not tried it yet because of my techno-phobia. Regardless if you are tech-savvy or techno-phobia like myself, it is important to know your financial picture.
For those military families moving or pcsing, it can be more tricky to locate important papers. [It can be more of a hassle for those who don't move every five years such as Guard members.]
Here are some tips to keep in mind when it comes to financial organization.
1) Try to purchase a hard folder box or even an LLBean bag (they are durable) to contain all your financial paperwork such as bank statements, credit card statements, 401k, mortgage, brokerage, etc... This is your financial mission control center where you have checks, credit/debit cards, passcodes or anything relevant to your finances. No bills. No utilities. This is your one-stop financial mission control center.
2) Mark it and keep it close. Should you have passwords or codes, try to gather them in a small folder and keep in the setup you develop for easier retrieval.
3) Keep this information close at all times especially while moving. Electronics such as laptops or access to web pages via off-site locations are there but you will need to blend both paper and electronics according to your personal style as you relocate.
4) Formulate a financial statement utilizing this information so when you meet with the bank, real estate agent or mortgage broker, you can obtain a good idea of your financial situation. This can be timely especially when in negotiations for an offer on a house or something else.
While tedious in the beginning, when it comes to crunch time, you will be glad that you took the time to organize your financial information. It will save you time in addition to money.
Disclaimer: This article is the opinion of the person writing it, and any financial decisions made as a result does not make the writer liable for any action taken. Please consult your personal financial advisor for more information.
What is Alfa Sugar?
Alfa Sugar is the WWII military phonetic alphabet representing myself. My name is Stephanie Arredondo or Arredondo, Stephanie aka Alfa Sugar. This blog is a culmination of thoughts, articles and information pertaining to life in the military as well as financial perspective. I enjoy writing and aspire to one day become a CFP, or a Certified Financial Planner. Past experience includes portfolio management as a registered investment advisor, graduate level education and volunteer work in both the marketing and finance area. My husband is in the military.
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