Am I the only one who just noticed that it’s Wednesday? The holiday week with the free day is completely screwing me up.
Just to make this a relevant post:
Spend less!
Save more!
Invest!
Wee!
Link Roundup
In an effort to make sure that both of my readers can’t possibly miss the things I think are important, I’m going to start doing a weekly roundup of the best of the internet. Judged solely, and arbitrarily, by me.
On topic:
These, naturally, are the posts that fit the theme of this site.
How To Check Your Federal IRS Tax Refund Status. When I checked a couple of days ago, they were about 2 weeks out.
TurboTax has screwed up the property tax refund form for Minnesota. Thankfully, I haven’t filed this, yet, but I did verify the problem.
Where do you want to be in 5 years? Start taking those steps, now, or you will never get there. Find something, no matter how small, and do it.
Deficit Neutrality doesn’t count, if a massive initial purchase is offset by future intentions to cut spending.
Off topic:
This is just some of the random crap I think is worth sharing.
If you’re going to argue on the internet, make sure you have your sources right. Primary sources are better than secondary.
Bring back dueling to ensure good manners.
Here’s a guide to saving water-damaged books.
I am a shameless geek and reformed DnD player, so this room was exciting to see.
How to make Forex spread betting accessible to you
Easy to start and accessible, spread betting UK wide has grown in popularity. Forex spread betting in particular has attracted interest from traders all over the country, since it is a leveraged (or margined) product, which means that you are only required to deposit a small percentage of the full value of your position to place a forex trade. This means that the potential for profit, or loss, from an initial capital outlay is significantly higher than in traditional trading. They can go either long or short on their chosen currencies and can trade across a number of currency pairs. While Forex spread betting can be exciting, for newcomers, there are a few things to do before commencing trading. With advice from experts such as City Index, there is a possibility of being a successful trader.
The first thing any new trader should do is research their market. A combination of technical and fundamental analysis usually works: some traders follow one more than the other, as it works better for them. Over time, you’ll find which research style works for you, while doing so before each trade will help you when looking at each currency pair.
Creating a clear, easy-to-follow spread betting plan is vital. Doing so will prepare you for each trade you make, while simultaneously eliminating any indecision you may have in the event of not having a plan. When trading, it’s also important to make use of the many risk management tools at your disposal. They mean that any potential losses are limited to a pre-set level.
Tying in with any research you do, following the news constantly is imperative. Monitoring any stories which will have a direct impact on the market you’re spread betting on, and looking at the live market regularly is especially important with Forex spread betting.
For beginners in Forex spread betting, there are plenty of resources available online for anyone with an interest in getting into it. Websites of companies like City Index have everything you need to help get you started.
Getting Out of Bed
- Image by Wha’ppen via Flickr
Why do you get out of bed in the morning? Is it so you can exercise the privilege of spending 8 hours in a cubicle?
I didn’t think so.
In Okinawa, it’s call the ikigai. In Costa Rica, it’s the plan de vida. It’s your sense of purpose–the reason you get out of bed in the morning. In these cultures, having a strong ikigai can be directly correlated to a statistically extreme lifespan*. All around the world, the plan de vida is the single factor most likely to cause someone to feel they have lived a fulfilled life.
Do you know your ikigai?
For some people, their plan de vida is to successfully raise their children, then their grandchildren. For others, it is charity. Some folks are serial entrepreneurs, always looking for the next deal, the next business. For still others, it is a collection or an urge to travel. There are even some whose sole reason for getting out of bed(other than potty breaks) is work.
The last category is most common with teachers, soldiers, and police. The problem with wrapping so much of your identity up in your profession is retirement. What do you do when your ikigai–your reason to wake up–goes away? In Okinawa, teachers and police tend to have very short retirements because they lose their reason to for living.
What is your plan de vida, your passion? What drives you to keep going? Do you live to write, or to raise your children? Do you <shudder> live solely for someone else’s happiness? When you find it, it will resonate as “this is you”. Finding it is a deep soul-searching, not a light-hearted explanation or a new fad.
Your reasons can, and should, change over time. You can’t live for raising your children years after they have grown up and moved away. Finding this one factor in your life can be the thing that leaves you on your deathbed looking back with a smile instead of regret.
What is your plan de vida?
* From The Blue Zones: Lessons for Living Longer From the People Who’ve Lived the Longest
My Net Worth
While I find it fascinating to read about other people’s net worth, I’ve never bothered to figure out my own. With the start of the new year, I thought it would be fun to do. This is me, upping my personal transparency bar.
Assets
- House: $255,400. Estimated market value according to the county tax assessor.
- Cars: $23,445. Kelly Blue Book suggested retail value for both of our vehicles and my motorcycle.
- Checking accounts: $2,974. I have accounts spread across three banks.
- Savings accounts: $4,779. I have savings accounts spread across a few banks. This does not include my kids’ accounts, even though they are in my name. This includes every savings goal I have at the moment.
- CDs: $1,095. I consider this a part of my emergency fund.
- IRAs: $11,172 (Do you know your IRA contribution limits? Do you have a Roth IRA?)
- Total: $298,865
Liabilities
- Mortgage: $33,978
- Car loan: $1,226. This will be paid off this month.
- Credit card: $23,524. This is the next target of my debt snowball.
- Total: $58,728
Overall: $240,137
Update: I wrote and scheduled this before I paid off my car loan.
Twinkies: A Failure of Unionization
Twinkies may survive nuclear warfare, but the iconic sweet treat ultimately couldn’t withstand the might of the unionized workforce. Faced with mounting losses and overwhelming debt, due in no small part to the relentless demands of the various unions representing the nearly 19,000 employees, Hostess Brands filed bankruptcy for the second time in January 2012 and ultimately requested permission to liquidate it’s assets in November of last year when a buyer failed to materialize. While many factors played a part in the demise of the maker of such all-American snacks as Ding Dongs and Ring Dings, as well as childhood favorite Wonderbread, there is no denying the fact that costs imposed by union contracts were a major factor in the shuttering of this once-beloved company.
While there is certainly plenty of blame to go around, the simple fact is that nearly 97 percent of the company’s unsecured claims were from employee pension funds, according to the Chapter 11 filing. How did those claims arise? Simply put, the skyrocketing pension expenses were caused by the unions continuing to push for overly generous retirement rewards despite overwhelming evidence that the company could never sustain those costs. True, the unions did agree to considerable concessions prior to and even following the first bankruptcy filing in 2004. However, that was only after union officials had pushed wages and other benefits into the stratosphere, even though Hostess has been struggling for years to remain competitive.
Certainly America’s changing eating habits, increased competition from such companies as McKee Foods, makers of Little Debbie snack cakes, and rising commodity costs all contributed to the ultimate demise of Twinkies. There is no doubt, though, that union contracts inhibited the company’s ability to adapt and make the necessary changes to remain profitable. Not only were employee costs out of control, ridiculous union rules made it nearly impossible for the company to make money. These are just a few of the rules that hampered Hostess’ management:
- Twinkies and Wonder Bread could not be delivered on the same truck.
- Drivers could only deliver one product, even if they did not have a load and a load of another product was waiting to go out.
- Drivers could only drive. They had to wait for loaders to fill their trucks.
- Likewise, loaders could only handle one product. Their contract prohibited a Twinkie loader from helping out if the Wonder Bread loaders were shorthanded.
Yes, management agreed to these terms, but often they were forced to do so in order to prevent a costly strike. In fact, it was a labor strike that lead to the decision to liquidate.
Unions are meant to protect workers from dangerous working conditions, overbearing management and unfair labor practices. Ensuring a living wage and decent benefits is another of their responsibilities. However, it is evident that in this case, the unions became as much an enemy of the Hostess employees as of the company’s management. As a result of their unwillingness to compromise and make wage and benefit concessions, almost 20,000 people no longer have a job that needs to be protected. In the end, the unions drove not only the company but themselves out of business.
Not to fear, however. Two private equity firms acquired Hostess’ assets last fall and are beginning to turn the company around. Production of Twinkies began again in June, and the gooey sponge cakes returned to store shelves on July 15. The workforce has been dramatically reduced and will not be unionized. In the end, probably the only winner in this battle is America’s sweet tooth.
