Take Advantage Of Coupon Sites

Everyone seems to be in a saving mood these days. And coupons sites have sprouted up all over the internet to cater, or even feed this frenzy. My family find coupons indispensable whenever we shop for groceries.

With this recession severely affecting our household income, every cent counts. We have saved at least thousands of dollars from coupons, it is no surprise that coupons enjoyed a resurgence among our friends and relatives after looking at our success.

To get started, visit ValPack, WOW-Coupons and CoolSavings to browse their diverse collection of coupons (usually 10% to 30%) for local stores. Unlike paper coupons, online coupons are usually promo code which you key in when checking out.

And don't forget to check manufacturers' and retailers' sites. CurrentCodes, CouponCabin and RetailMeNot offer attractive coupon codes for branded retailers. You can subscribe to your favorite merchants' e-mail lists for updates.

1. Use your phone to save

Thanks to the advent of technology, we can now our cellphones, besides the internet, to get instant discounts. The savings will help to pay for our phone bills every month.

Cellfire sends local coupons directly to internet-connected cellphones. You can browse, save coupons and then claim your discounts by showing your phone at checkout.

Cellfire has partnered with Kroger's grocery store which allow you to link coupons to your loyalty card. Discounts are applied automatically when you check out. There are other grocery stores which participate in such programs, just visit their sites and check their details.

Don't check out the stores by calling directory assistance services as the charges are rather costly. You can call 1-800-GOOG-411 (1-800-466-4411) for Google's 411 service powered by voice-recognition software or 1-800-411-SAVE (1-800-411-7283) to speak to a person. Both services are free.

2. Look for discounts

Often, we pay full price when we actually qualify for discounts but are not aware of it. For example, if you are buying software applications from Adobe Photoshop or Microsoft, you should use your kid's student pass as they qualify for deep discounts. JourneyEd, Academic Superstore or Gradware are also worth a look.

In addition, school bookstores have great deals or discounts offered directly by manufacturers. Military personnel can get discounts when they purchase products through Army and Air Force Exchange Service and Navy Exchange. You can learn more at Military.com.

Some companies offer discounts directly through employee discount partnership programs. Check with your company's HR department for more information. If you don't qualify for these discounts, why not buy refurbished products at Buy.com? Just make sure you get a full warranty.

3. Comparison shop for the best price

Price comparison sites NexTag, PriceGrabber and Shopping help you find low prices online in a quick and easy manner. The sites check an item's price on various sites but you should beware of scams especially from little-known merchants offering prices way below their competitors.

If your budget doesn't allow you to buy an item immediately, why not sign up for price drop notifications which update you when items hit the prices you specify. Sites like Price!pinx, ZingSale or WishRadar (price drops on Amazon) offer low-price guarantees.

4. Get freebies

Freebies are popular on websites to entice visitors, subscribers and customers. You'll find free samples on retailers' and manufacturers' sites. DealTaker's site lists many free items. Or you can use Google to search for "free samples."

It is important to make sure shipping is free. There are many free shipping coupons for more than 500 stores at FreeShippingOn. You'll also find free software online but a word of caution is many of such free programs include malware.

5. Find programs to save money

For example, save on printing costs by using a special font, the Ecofont. Or, print select parts of Web pages with HP Smart Web Printing.

Finally, a reminder to always watch out for scams. Watch out for sites and clubs that charge you money so that you can save money. And remember that offers that seem too good to be true usually are.

Shocking Recession Pics

Source: Boston - The Big Picture

The "Great Recession" has brought about increasing foreclosures, evictions, bankruptcies, layoffs, abandoned projects, and the people and industries caught in the middle.

It can be challenging to capture all the misery of recession in pictures but I think Boston has done an excellent job here.

What really caught my eyes are pictures of the unemployed in China... they totally dwarfed the numbers in America. That is not to say Americans are better off in this recession though.

I must say it is an employers' market out there, so we cannot afford to be choosy about jobs or wages any more. This message is especially important for new graduates who are about to enter the job market. Just look at the number of China job applicants who are willing to fill up your position, work longer hours and for lesser pay.

Obama and his administration is planning to spend their way out of the recession. Notwithstanding critics who damned the plan as fiscally irresponsible and just kicking the can down the road, I am pragmatic and see it as the only feasible measure to get the global economy up and running.

Only thing is when can the politicking stop, contracts awarded out and job vacanies start getting filled?

Guess Who Has The Highest Net Worth?

We love to keep up with the Joneses by purchasing the latest electronic gadgets, luxury SUVs, dressing in branded apparel and dining at high-class restaurants. But behind all these glitz are mountains of debts.

Look at the comic below and see who has the highest net worth. It is a sad reflection of our current society.

Letting Kids Earn Their Allowances

In our modern society, it is embarrassing that we consistently churn out graduates and ph.Ds by the truck loads who can drone for hours on their topics of specialisation but are utterly helpless in balancing their check book.

They don't know the difference between asset and liability and have little worries about excessive debts so long as their earnings increase every year. Their confidence stem from a mentality of entitlement - since they are so well-qualified, good jobs must be lining up for them.
Unfortunately, the world don't owe them a living. And globalisation will drive home this point further.

To prepare our kids for competitive future, I cannot stress enough about financial literacy, without which one cannot learn and develop financial responsibility and discipline. I don't have a high education, as compared to kids these days, but I thank my parents for giving me money lessons early in my life.

I feel that one of the best ways to inculcate a proper work ethic ("work equals pay") in our children is to give them the opportunity to earn pocket money from jobs that go beyond cleaning up after themselves or fulfilling family responsibilities.

From what I've noticed, kids actually get interested in money at a young age, and a parent can use that interest to teach basic concepts, including math. Giving your kids pocket money when they stretch out their hands actually cultivates an undesirable habit of taking things for granted. It is difficult to wean off even when the kids entered adulthood.

Parents are at fault for doting too much on their kids and employing maids to do their kids' bidding. They prefer their kids to play computer games, watch TV or chat online instead of doing constructive work around the house, for fear that the kids tire themselves out or suffer injuries. Well, if my dad has his way, he will say this: "Stop being so f*cking precious."

Now, that is a bit rough but I grew up fine. That is why I insist that kids must be given opportunities to earn their allowances early. Besides helping out with household chores, they can provide services to neighbors such as babysitting, painting, lawn-moving and yard work, etc. It is just a matter of getting creative.

Once they start to earn money through their own effort, they can learn to handle the money. At that stage, it's a good idea to teach them how to control expenses (entertainment, food, transportation, etc.) and save their spare money in change jars.

In addition, you can teach them to think about their desired stuff (computer games, ipod, shoes, etc) and how long it will take to accumulate enough money to buy them. This will reinforce the value of time as well as money to your kids.

I am not an ardent fan of capitalism but it is indeniable that money makes the world go round and kids need to learn how to use money responsibly. Financial lessons should begin at home and if we don't teach our kids (who else will?), their future money woes become our problems too.

If you have never considered getting your kids to earn their allowances, start off today by getting them to make their own beds, tidy their bedrooms, clean up the dining table and wash the toilets occasionally.

As parents, we also have to practice what we preach and demonstrate our responsibility in handling money. Setting the right examples will build a sturdy foundation for our kids to follow.

Investing for People With Low Incomes

In this recession where many people are either unemployed or working part time jobs, it is hard to have thousands of dollars set aside each month for investment.

Some people cannot maintain a a checking account, not to mention a fully funded retirement account, but they can still invest and grow passive income. Even investing small amounts gradually will smooth out big money events.

For those in a low-income situation, the best places to invest are low risk and easily accessible accounts. If you don't have an emergency fund (ideally 3-6 months expenses), then establishing one is the first step.

When I say emergency fund, I don't mean stashing money under your mattress or a low rate savings account. You should consider Money Market Accounts (MMAs) which offer a higher interest rate than checking or savings while its FDIC insured status gives you a peace of mind. It is also a good source of overdraft protection for checking.

Money market accounts are available in most banks and can be easily set up. You can make unlimited withdrawals and transfers without any penalties. Many MMAs are available with low to no opening requirement. In fact, some banks offer cash incentives for opening an MMA. The devil is in the details though, so read the fine print on the minimum amount and time for your money to be held in that account.

Money market accounts are also a convenient way to invest because you can set up automatic deposits. I recommend the minimum automated deposit as you can invest on a regular basis without over-drafting your regular account. Whenever you have extra money, you can invest that and grow your nest egg.

If you like to tune your investment according to interest rates, you can consider Certificates of Deposit (CDs). In periods of declining interest rates, the rate of return on a MMA will adjust downwards but a CD will hold it's value. You continue to get a fixed rate of return for the duration of the deposit.

Conversely, rising interest rates could leave you stuck with 2-3% less for the money you're investing. I recommend investing in Certificates of Deposit for a period of 6 months to 3 years so that you do not miss out on lucrative returns.

However, if you are very risk averse or an impulsive spender, you can commit to a long term Certificates of Deposit because withdrawing money involves paperwork and penalties. These hurdles should keep your temptations at bay and ensure an intact principal.

Another place to invest is in a Health Savings Account (HSA). If insurance isn't available through your employer, this is one way to keep yourself insured and invest for the future.

Health savings account have a high deductible that must be met before the plan provides any benefits. On the upside, you have a lower monthly premium and money you deposit into the account earns interest.

If you have few medical bills or go to the doctor rarely consider them as a way to both invest and take care of your health. The most important investment you can make is your health. Going without medical care is costly - most bankruptcies are caused by medical bills, not credit debt.

Once you've established an emergency fund and obtained health insurance, look at Roth IRAs as a place to put pre-tax money. These investments earn interest until you retire, at which time you make withdrawals and, presumably, pay less in tax on the money.

Finally, the most important investment advice for people with low incomes is - invest in yourself. Knowledge is priceless. Keep reading articles like this and think critically about the advice that's given. Invest time in developing your skills or acquiring new ones to increase your earning power.

How To Prevent Another Bernie Madoff Scam?

What we really want to know is how to beat the next Bernie, the next Stanford, or the next Greenwood and Walsh. Investors won't get their cash back with answers to the past. That money is gone. It's a sunk cost.

I know only one foolproof way to beat fraud: separate money management from reporting. You can hire that lights-out investment manager. But keep all your assets with a custodial bank like State Street or Pershing. They report your account value, not the money manager. It's like separating church and state.

Source: Beating Bernie

Once the financial crisis stabilizes and the economy recovers, everybody starts feeling rich. Appetite for risk increase and the fund managers will be out in force trying to promote their high-yield products. The whole cycle may repeat itself and who knows, this time, the US government may be helpless.

Ben Bernanke and Obama have spoken about regulation to protect financial institutions from themselves. This insightful article provides a new direction for the administration going forward - separate money managers from the reporting function.

This will be the cornerstone to prevent further financial scams. What do you guys think?

Teach Our Kids About Money Management

Our education system has enabled our kids to be proficient in topics like maths and science but when it comes to financial education, I will say they are clueless and even illiterate.

It is not their fault as our education has neglected the importance of budgeting skills and the practical concepts behind assets, liabilities and cash flow. The idea is simple: you must have more assets than liabilities to increase your wealth.

These are the bread and butter issues facing a corporation but equally applicable and essential to managing our personal finance. As they say, "What is left is not right, and what is right has none left." This is what happens when a company's balance sheet or our personal finance go awry.

Is it a deliberate attempt by our education ministry to deprive our kids of finance curriculum in schools or just a blind spot? Does our government actually prefer us to cede control of our finances to the greedy financial institutions?

Regardless of the reasons, I feel a lot of problems facing our kids and heavy indebted nation stem from finance illiteracy and irresponsible spending habits. Hell, I think our House Representatives, senators, or regulators don't know much about basic finance either, not to mention complex financial jargon. Just look at their inadequacy when questioning the fat cats on Wall Street.

Maybe the government should take a leaf from Sand Creek High School which is teaching its seniors the street smarts of managing money.

I am also glad that financial literacy competitions like MoneySKILL Mania (hosted at the University at Buffalo with M&T Bank), are open to high school kids.

Globalization has made the world more competitive (jobs are not easy to come by) and the least we parents can do, is to impart money management skills to our kids, not to leave them an inheritance, which most likely will be squandered away.

I always believe that people who make a lot of money but never learn how to handle it simply end up in more debt than the people who have less money.

What do your guys think about our education system? Has it prepared our kids to handle their personal finances? Please share your thoughts here.

One-stop Money Management Using Online Tools

Technology has improved by leaps and bounds. I used to log into different banks or credit card companies to check my balances and settle outstanding bills.

Today, web services like Green Sherpa, Rudder, Finicity, Mint, Wesabe, Yodlee and Thrive offer one-stop account tracking where transactions are categorized (sometimes automatically) so that you know where the money is going.

The tools help you achieve your financial goals based on downloaded history and projections for expenses and income (say, a major vacation or a fat bonus check). Advice is also provided to implement a budget and tackle money problems.

Some of these services charge a monthly fee (while others are supported by referrals and ads), so you have to assess if it is worth paying to keep track of your financial situation.

I noticed a lot of tech-savy teens catching on to this trend and shunning established software like Intuit's Quicken and Microsoft's Money. They are usually new to money management and love the convenience from account aggregation, meaning information from multiple online accounts are combined to create a full picture of their finances.

More importantly, these teens are comfortable giving a third-party service access to their online account information.

I am wary about revealing my personal information and financial status online. Even sharing it with my spouse or a trusted financial planner through that third-party service gives me the creeps.

What do you think of using online services for money management?

20 Money Saving tips To Fight The Recession

On Friday, the government announced that the United States lost 651,000 jobs in February, bringing the number of layoffs since the start of the recession to 4.4 million. The Labor Department also revealed February's unemployment rate at 8.1%, the highest level in 25 years.

The scary thing is that the US recession has not yet hit bottom, so things can get very much worse in the coming weeks. How do we continue to save money amid this recession of epic proportions? Can we still dream about enjoying financial freedom with our loved ones?

The answer is yes. Our level of financial contentment depends on our mindset. It is not what we have, but what we enjoy which constitutes our abundance.

While the harsh environment means my family is not able to save as much money (due to lesser income), I learn to be more creative and explore ways to make our money work harder. I have also lowered my expectations of "abundance."

To fight this recession, here are 20 money saving tips which can be easily implemented:

1. Visit discount stores as the norm rather than exception. You can save big bucks on branded goods, be it clothing, food, house appliances, etc. especially with coupons in tow.

2. Cook at home and forget about eating out. Occasionally, cook for your friends or plan a potluck party. They will invite you to their homes for meals in return.

3. Keep a change jar and empty your coins into it; you'll be surprised how much you accumulate when you count them in a month's time.

4. Used items are not worthless. From my experience of buying and selling on eBay, I must say that there is a huge market for used items. Often, used books, music and videos are sold in great condition, so it is value for money for buyers. And if you take care of the items, you can even sell them back when you am done.

Beware of fraudulent transactions though - it can waste much of your time and money, so study each seller's track record carefully before you buy!

5. Buy a fixer-upper. It is more economical to find a house in a good location with ugly paint, broken windows, torn carpet, etc. and then renovating it. When the housing market recovers, your initial investment of a few thousand dollars on renovation can increase the value of your home by $15k to $30k.

6. Rent movies. A movie night at home runs you a fourth of the price of two theater tickets. Older flicks are often cheaper than new releases – and may contain less questionable content. (Bonus tip: Don't let late fees drain your savings!)

7. Remove cable services. I have no time for 300 channels when I finish work and do my daily rounds of answering emails and blogging. It is better to save yourself $300 to 400 a year by simply "cutting the cord."

8. Purchase a second hand car. A reliable used car with low mileage costs thousands less than a new one; insurance costs less too. Eopinions offer great feedback from buyers on nearly every make and model.

9. Don't neglect to exercise. A lot of people are stressed out by this recession and exercising can alleviate some of the pent-up frustrations. By all means, sign up for a gym, but make sure you fully utilize the equipment.

I know a lot of people go to the gym for the first few weeks after signing up but then find excuses to slack off while continuing to pay the gym fees. You must maintain the discipline, else forget about the gym altogether. Just buy a $10 exercise video, purchase used equipment or join a running club.

10. Pay off your mortgage loan faster. Go for a mortgage accelerator plan whereby you make half a house payment every two weeks rather than paying in full once a month. You'll accelerate your equity, save tens of thousands of dollars in interests, and pay off your mortgage years ahead of schedule.

11. Split a meal. Many restaurants pile on the food. Save by sharing, or making a second meal from your leftovers.

12. Don't get excited about sales. If you've filled your closet with wrong-sized, wrong-colored, wrong-flavored items you'll never use, you've flushed money down the drain. Shop carefully: a "sale" isn't always a "good deal."

13. Do not be enticed by attractive credit cards offers. Unless you are out to impress a girl, just keep one credit card in your wallet and pay off the balance monthly. You'll save on interest fees and avoid buying things you can't afford.

14. Limit the liquor. The dire consequences of drink-driving aside, alcohol is just plain expensive. Especially in clubs where the pretty ladies just encourage to go on a binge. In some states, insurance rates can skyrocket based on a person's alcohol intake.

15. Pack your meals for work. Why spend $6 a day for lunch? You can bring leftovers or a sandwich for next to nothing! And bring along a bottle of water or fruit juice. Buying drinks from cafes or restaurants defeats the purpose of saving money from packing lunch.

16. Adjust your latte dosage from daily to weekly. Do the math: 260 weekdays a year x $4 for a cuppa of coffee = $1040. Instead, set up a coffee pot at work and have coworkers chip in for beans.

17. Prepare a shopping list. Clever in-store advertising begs you to impulse buy. Your only hope is to remember what you came for. (Bonus tip: Don't shop for groceries when you're hungry!)

18. Ponder prescriptions. Buy the generic brand of your medication. Even better, purchase prescriptions by mail. You'll get several months' worth at once and save on co-pays.

19. Care for your car. Paying too much for gas and repairs? Experts provide fuel-efficient driving and maintenance tips at Fuel Economy.

20. Learn to do-it-yourself. If you spent weekends lazing on the couch watching football or rented videos, why not pick up home improvement skills? You can save thousands of dollars on your home by learning to landscape, redecorate, and do your own plumbing.

Money Joke: What You Can Buy For A Buck

There’s plenty you can do with a dollar these days. Here are some things that cost about a buck:

A newspaper

5 piece Crispy Chicken Nuggets, at Wendy’s

A Caramel Apple Empanada, at Taco Bell

A two-liter bottle of no-name soda pop, at the grocery store

A dubious hangover remedy, at the convenience store check-out counter

An Easy To Fly Funny Kite, at the Dollar Store

Two romance novels, at the thrift store

A rerun of The Office on Comcast Cable On Demand

A one-night DVD rental, from a Redbox vending machine

An MP3 of “Low Budget,” by The Kinks, at Amazon.com

Nickel and Dimed: On (Not) Getting by in America, by Barbara Ehrenreich, on Half.com (not including postage — you’ll have to take up a collection for that).

One Share of Citibank

Source: MoneyFeature Blogs

I am glad that a sorry buck can still buy so many things, what with all the inflation going on over the past thirty years.

Anyway, I am not interested in buying one share of Citibank (one of the nation's mightiest financial institutions but how it has fallen from grace), even if I happen to have some dollars to spare.

There is every possibility of the share going to zero, either from a government nationalization or the shortists bringing the bank to its knees.

Big Dreams On A Small Family Budget?

Is it possible to have big dreams on a small family budget? I am not talking about charmed couples who stay in mansions and jetting off on romantic vacations to Europe every weekend.

For most married couples, their first few years are usually marked by cramped rental apartment and eating instant noodles or cheese burgers while struggling to pay their bills.

Isn't our marriage supposd to be the culmination of sweet love and courtship? But yet it seems that every dime is paying off the past or saving for the future.

Indeed, living debt-free during the "just married" moments is an immense challenge. However, we can still be financially secure by prioritizing our spending based on the three C's below:

1. Consider what matters most

Examine your activties and consider what really matters. Then explore how to have fun without breaking the piggy-bank. As an example, why do you go to the movies? If you love the atmosphere, plot or special effects, then attend an off-peak (cheaper) show. Else, just rent a DVD or borrow it from the library.

2. Cherish the simple things in life

When your neighbors are are driving a new car or buying big screen TVs, it's tempting to reach for our credit cards and improve our living standards too. Americans love instant gratification and keeping up with the Jones.

In this recession, I am humbled to learn that our wealth is actually illusory. It is the simple things in life which ought to be cherished. We should thank God for our hot showers, clean water, food on the table and cosy homes, instead of focusing on our neighbor's latest toys.

Try it out and you will be more contented with your marriage rather than lament about the meagre family budget.

3. Commit to God what's His

The Israelites gave to God the first 10 percent of everything they harvested as they trusted Him to provide the rest. The New Testament remind us that all we have is God's.

The lessons is to give generously and spend wisely. When we invest our time and money in Him, we further appreciate God's abundant provision on earth and learn to share without thinking about rewards.