- Guide to finding cheap airfare: http://su.pr/2pyOIq #
- As part of my effort to improve every part of my life, I have decided to get back in shape. Twelve years ago, I wor… http://su.pr/6HO81g #
- While jogging with my wife a few days ago, we had a conversation that we haven’t had in years. We discussed ou… http://su.pr/2n9hjj #
- In April, my wife and I decided that debt was done. We have hopefully closed that chapter in our lives. I borrowed… http://su.pr/19j98f #
- Arrrgh! Double-posts irritate me. Especially separated by 6 hours. #
- My problem lies in reconciling my gross habits with my net income. ~Errol Flynn #
- RT: @ScottATaylor: 11 Ways to Protect Yourself from Identity Theft | Business Pundit http://j.mp/5F7UNq #
- They who are of the opinion that Money will do everything, may very well be suspected to do everything for Money. ~George Savile #
- It is an unfortunate human failing that a full pocketbook often groans more loudly than an empty stomach. ~Franklin Delano Roosevelt #
- The real measure of your wealth is how much you'd be worth if you lost all your money. ~Author Unknown #
- The only reason [many] American families don't own an elephant is that they have never been offered an elephant for [a dollar down]~Mad Mag. #
- I'd like to live as a poor man with lots of money. ~Pablo Picasso #
- Waste your money and you're only out of money, but waste your time and you've lost a part of your life. ~Michael Leboeuf #
- We can tell our values by looking at our checkbook stubs. ~Gloria Steinem #
- There are people who have money and people who are rich. ~Coco Chanel #
- It's good to have [things that money can buy], but…[make] sure that you haven't lost the things that money can't buy. ~George Lorimer #
- The only thing that can console one for being poor is extravagance. ~Oscar Wilde #
- Money will buy you a pretty good dog, but it won't buy the wag of his tail. ~Henry Wheeler Shaw #
- I wish I'd said it first, and I don't even know who did: The only problems that money can solve are money problems. ~Mignon McLaughlin #
- Mnemonic tricks. #
- The Wilbur and Orville Wright Papers http://su.pr/4GAc52 #
- Champagne primer: http://su.pr/1elMS9 #
- Bank of Mom and Dad starts in 15 minutes. The only thing worth watching on SoapNet. http://su.pr/29OX7y #
- @prosperousfool That's normal this time of year, all around the country. Tis the season for violence. Sad. in reply to prosperousfool #
- In the old days a man who saved money was a miser; nowadays he's a wonder. ~Author Unknown #
- Empty pockets never held anyone back. Only empty heads and empty hearts can do that. ~Norman Vincent Peale #
- RT @MattJabs: RT @fcn: What do the FTC disclosure rules mean for bloggers? And what constitutes an endorsement? – http://bit.ly/70DLkE #
- Ordinary riches can be stolen; real riches cannot. In your soul are infinitely precious things that cannot be taken from you. ~Oscar Wilde #
- Today's quotes courtesy of the Quote Garden http://su.pr/7LK8aW #
- RT: @ChristianPF: 5 Ways to Show Love to Your Kids Without Spending a Dollar http://bit.ly/6sNaPF #
- FTC tips for buying, giving, and using gift cards. http://su.pr/1Yqu0S #
- .gov insulation primer. Insulation is one of the easiest ways to save money in a house. http://su.pr/9ow4yX #
- @krystalatwork It's primarily just chat and collaborative writing. I'm waiting for someone more innovative than I to make some stellar. in reply to krystalatwork #
- What a worthless tweet that was. How to tie the perfect tie: http://su.pr/1GcTcB #
- @WellHeeledBlog is giving away 5 copies of Get Financially Naked here http://bit.ly/5kRu44 #
- RT: @BSimple: RT @arohan The 3 Most Neglected Aspects of Preparing for Retirement http://su.pr/2qj4dK #
- RT: @bargainr: Unemployment FELL… 10.2% -> 10% http://bit.ly/5iGUdf #
- RT: @moolanomy: How to Break Bad Money Habits http://bit.ly/7sNYvo (via @InvestorGuide) #
- @ChristianPF is giving away a Lifetime Membership to Dave Ramsey’s Financial Peace University! RT to enter to win… http://su.pr/2lEXIT #
- @The_Weakonomist At $1173, it's only lost 2 weeks. I'd call it popped when it drops back under $1k. in reply to The_Weakonomist #
- @mymoneyshrugged It's worse than it looks. Less than 10% of Obama's Cabinet has ever been in the private sector. http://su.pr/93hspJ in reply to mymoneyshrugged #
- RT: @ScottATaylor: 43 Things Actually Said in Job Interviews http://ff.im/-crKxp #
- @ScottATaylor I'm following you and not being followed back. 🙁 in reply to ScottATaylor #
Happy Father’s Day: The Benefits of Being a Parent Can’t Be Measured
It’s true that the benefits of a parent cannot be measured or quantified in any meaningful way. It’s hard to put a price on the emotional commitment and special experience of raising a child as a parent, some of which may not even be realized by the parents themselves until afterwards. But it is undeniable that the experience of parenthood is a rewarding and special time in someone’s life.
For one thing, being a parent can you relive your childhood through your child. There are very few experiences in the world that are as intimate and vicarious as a parent who is raising their newborn child into an adult. Your child’s experiences become your experiences, their safety and learning becomes your priorities, and their success, ultimately, become your own success as a parent. You can rediscover the parts of your childhood that you may even have forgot as your child experiences them for the first time.
As a parent, you are also the center of the world for your child. This can be a tremendous source of self-confidence as well as incentive for self-improvement, to know that another human being sees you as their ultimate role model and will grow up in your footsteps. Just imagine the sense of wonder and awe with which you regarded your own parents when you were a child, and apply them to your child. That is the way they will see the world for a long time, with a constant sense of amazement and curiosity. The mundane becomes extraordinary and fantastic to a child, and a parent is part of the magic and the child’s discovery of the world.
In addition, parenting is a rewarding experience because you involved in the creation of a life and the raising of your child with your partner. There is a great amount of pressure, but also a sense of pride as your child’s characteristics and worldview will, in a large part, be derived from your interaction and education of them. All the things that you wish you had done in your childhood, or wish you had experienced or learned about earlier. These are all things that you can teach your child. As a parent, you are your child’s most important friend, teacher and role model. That is a tremendous source of empowerment and responsibility. But the reward you can get out of being a great parent is a new life in the world that you shaped with your words and actions. What you teach them becomes their most important life lessons, and your actions as a role model becomes the standard by which they live the rest of their lives.
So yes, the benefits of being a parent cannot be measured in conventional terms. But these benefits can definitely outweigh any worldly possession or unit of valuation. Parenthood is an emotional, spiritual, intellectual and educational experience that very few other experiences in the world can replace or even come close to imitating.
Protection for your Loved Ones
This is a guest post.
Life cover insurance acts as a safety net to pay for a family’s expenses should a wage earner become critically ill or die prematurely. Life cover includes life insurance as well as disability, critical illness, mortgage and income protection insurance policies.
Importance of life cover insurance
In most families, at least one adult is a wage earner and uses their income to pay for necessities such as food, clothing and rent or mortgage. If the wage earner becomes disabled, too ill to work, or dies, life cover insurance can pay for these expenses.
Stay-at-home parents provide valuable, though unpaid, services to the family. Without that person, the family would have to pay for childcare, household upkeep, errand running, and every other chore the stay-at-home parent did. If the stay-at-home parent has life insurance, these expenses can be covered.
Life cover insurance can pay off mortgages and education loans.
Live cover insurance policies will pay funeral costs, which can be substantial.
Family owned businesses can be insured and protected if the owner dies.
Objections
Life cover insurance is too expensive.
Insurance companies have plans to suit every budget and life circumstance. While young and healthy adults will generally receive the most affordable policies, older adults have plenty of reasonably priced options as well.
Disability or severe illness is unlikely.
Actually, 32% of men and 25% of women, ages 40 to 70, will experience a critical illness or disability. http://www.healthinsuranceguide.co.uk/statistics_mainbody.asp
Discussing disability or death is awkward and uncomfortable.
Agreed, but avoiding the topic puts loved ones into economic jeopardy. Without the wage earner’s life cover, a family could lose their home and have to lower their standard of living.
Variety of life cover insurances
Life Insurance
Term insurance is a protection policy, paid for during a specific time period (term), and is active during that time only. Permanent, whole, variable, universal and universal variable life insurance policies all are investment policies. They combine a death benefit (the amount paid out when the insured person dies) with an investment account. Licensed and experienced life insurance agents can help individuals make the best choice for their life situation.
Critical Illness/Disability Insurance
This type of insurance pays for living expenses if a person is diagnosed with a serious illness or disabled and can no longer work.
Mortgage Insurance
This is paid when the mortgage owner dies. This could help prevent the surviving family from having to sell the home.
The time to buy life cover insurance is now!
A 2010 survey (http://www.prnewswire.com/news-releases/ownership-of-individual-life-insurance-falls-to-50-year-low-limra-reports-101789323.html) stated that individual life insurance ownership was at a 50 year low in the United States. An estimated 35 million (30% of households) Americans do not have life insurance, and 11 million of these households have children under 18. Already living paycheck to paycheck, any debilitating injury or death of a wage earning adult could spell financial disaster to the family. Buying life cover insurance is a vital part of caring for loved ones. Just as a wage earner provides a home, food and daily necessities for their family, life cover insurance can take over and provide for the family if the wage earner unable to do so.
Bribes vs Rewards
What’s the difference between a bribe and a reward? It’s a question that has been heavily on my mind lately. As a father of three–1, 3 and 10–motivating children occupies a lot of my thoughts. Is it possible to motivate a child and reward good behavior without resorting to a bribe?
First, let’s look at the definitions:
bribe n.
1. Something, such as money or a favor, offered or given to a person in a position of trust to influence that person’s views or conduct.
2. Something serving to influence or persuade.
re·ward n.
1. Something given or received in recompense for worthy behavior or in retribution for evil acts.
2. Money offered or given for some special service, such as the return of a lost article or the capture of a criminal.
3. A satisfying return or result; profit.
4. Psychology: The return for performance of a desired behavior; positive reinforcement.
In my mind, a reward is given either as a goal for planned activity or a surprise for good behavior. When used for surprises, it should never be common enough to be expected. If a child is only behaving because she is expecting a reward, it is bribed behavior. She should always be surprised to get the reward.
Using a reward for goal setting is no different than collecting a paycheck. Is my company bribing me to do the work I do every day? They plan to reward or compensate me for the work I plan to do for them. While that my be blurring the line between compensation and rewards, it is valid. My future paycheck is the motivation for my current work.
Bribes, on the other hand, are reward for bad behavior. If my three-year-old is throwing a tantrum in the grocery store and I promise her candy to stop, I have just taught her that the “reward” for a public tantrum is candy. This is reinforcing negative behavior, which will only escalate in the future. If a temper tantrum earns a candy bar, what will she get for hitting Mommy with a frying pan?
The line is further blurred by preemptive bribes. If I tell my children there will be candy when we get home if they behave in the store, it’s still a bribe. Promising dessert if my son cleans his room is a bribe.
So what is the difference?
Bribes reward negative behavior. Whether that is actual behavior or anticipated behavior, bribes provide a reward for it. If you use a treat to end or preempt bad actions, you are bribing your child.
Rewards celebrate positive behavior. A promised treat for going beyond expectations or a surprise for excellent behavior is a reward. It should never become common, or the child will discover that withholding the positive behavior will generate promises of larger rewards. The goal is to reinforce the good to encourage positive behaviors even when there is no likelihood for reward.
For example, my son’s school is part of a reading contest. Over a two month period, if the students read 500 pages outside of school, they will get tickets to a basketball game. If they are in the top three for pages read, they will get personalize jerseys and on-court recognition. My son did the math and was reading enough to surpass the 500 page goal, but not enough to get into the top three. I offered a prize if he made it to 2500 pages. In my opinion, that’s a reward. He was already going beyond the requirement. I have provided motivation to push himself beyond what he thinks he can do. That’s positive reinforcement of good behavior.
On the other hand, when my eight-year-old was refusing to eat dinner, we offered a cookie for dessert if she ate well. That’s reinforcing negative behavior by giving a reward for misbehaving. A bribe.
Rewards are positive responses to positive behavior to motivate future good behavior. Bribes are rewards for negative behavior, real or anticipated, that only serve to encourage more bad behavior in the future.
5 Ways to Force Your Spouse to Get Frugal*
Communication is important in a marriage. If you can’t communicate, how are you going to get your way?** I’ve helpfully compiled the best possible ways to get your spouse on board with your budget plans.
- Don’t include her. When I absolutely, positively cannot afford to be working towards a different goal than my wife, I do my best to ignore her. I don’t tell her how much we’ve paid off, how much we have left, or what we can afford to spend on groceries. I think she enjoys not having to worry about the petty details like “Are we overdrawn?” or “Will we be eating Alpo next week?” I’ll do anything to make her life easier.
- Nag. Nothing convinces my wife to do things my way like unending scolding. If I just remind her, day and night, surely she’ll cooperate with my budgeting plans and ideas to save money, right? Every body loves the attention, and, since we got a text messaging plan, I can shoot her a message every five minutes while she’s at the store. In all seriousness, this is actually a problem and a source of friction at my house. Reminding her every time she goes to the store is not an effective strategy.
- Whine. If nagging fails, I always try to take the advice of my toddlers and whine until I get my way. “But Ho-uh-neee-eee! Why’d you buy tha-at?” It’s always been a big hit at my house. My wife appreciates the effort I put into getting the third, screechy syllable into simple words, just to try to convince her to give up or see things my way.
- Obsess. This goes hand-in-hand with both #2 and #3. If I never giver her the chance to forget about our goals, she can never stray from them. A memo in the morning, hourly text reminders, and a daily summary of our account balances and month-to-date budget compliance just keeps us working together. Everything we do can be tied back to our frugal choices and debt repayment, whether it’s a game of Sorry or a trip to a wrestling tournament.
- Yell. If all else fails, just turn up the volume. If there’s a problem, I nag at level 10. Whining loudly enough to wake the neighbors will convince her to comply with my wishes next time. This has the added benefit of allowing my kids to receive the wisdom of my experience, even if they are in the basement playing games with their friends.
*This obviously isn’t a gender-specific article, but, as a man, I write from a man’s perspective and my pronouns match my perspective.
**Sarcasm. Really. Following these rules should result in divorce, NOT happy agreement. If you are operating under this action plans, get therapy.
Update: This post has been included in the Carnival of Personal Finance.
Thrifty Sucks – The 30 Day Compact
- Image by waving at you via Flickr
During the month of September, we went on a 30-day compact. We decided to avoid buying anything new for 30 days. The plan was, if we needed to buy something, we’d hit a pawn shop, a thrift store, or Craigslist. Obviously, food and consumable hygiene products were exempt from the rules. I’m not going to stink or starve for an experiment like this. Ideally, at the end of the month, our discretionary budget would reflect our extra thriftiness, leaving us a couple of hundred extra dollars at the end of the month.
Great plan.
I found out a few days ago that we actually made it 3 days. Grr. That’s when the credit card bill came. Double-Grr.
All in all, that one slip isn’t a big deal. We also had a few presents we had to buy for a couple of birthdays and one wedding. Also not a big deal, since we have a budget for gifts. It may have been against the rules, but what were we going to do, drink the free beer at the wedding without bringing a gift? How rude.
So we had a few slips. That’s not bad, considering exactly how well “consumer” describes us.
Avoiding retail shopping is a lot harder than it sounds. We have everything we need, so on paper, it should have been simple. We didn’t need anything, so we wouldn’t have to buy anything.
Like I said, great plan.
There were a few books released this month that I have been anxiously awaiting, like Monster Hunter:Vendetta and Chris Guillebeaus’s book, The Art of Non-Conformity. They have both had to wait. In the next few days, I will be buying both of these books. That makes this project very similar to an inverse “Cash for Clunkers” program. Instead of moving spending that would have happened anyway to an arbitrary time-frame, I moved spending out of an arbitrary time-frame, but the spending is still happening.
My wife has an admitted shopping addiction. This project caused a rather…explosive…discussion this week. Not-so-coincidentally, that happened the day we got the credit card bill. Note to self: “What the heck is this?” is not the right way to start a conversation. Oops.
We had 30 days of trying to avoid the retail trap, and kicking ourselves when we slipped. What did we learn?
1. We are big damned consumers. We are so much better than we used to be, but so far off of where we’d like to be.
2. Target is infinitely more convenient that Craigslist. We may pay a small premium for that convenience, but generally, it’s worth it.
3. When you forget to budget for a speeding ticket that needs to be paid 5 months after you received it, it does not matter if you saved some of your discretionary budget by not shopping retail that month.
4. When you open a credit card bill and get upset, be prepared to get clubbed over the head with #3. Repeatedly.
This month, I’m going to do my best to learn a new language. I’m having a hard time deciding which one. Spanish would be most practical. Norwegian would let me read some of the artwork on my Grandma’s wall, but Italian sounds like the most fun.
Nothing like waiting until the last minute.
