Live Real, Now

The no-pants guide to spending, saving, and thriving in the real world.

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Don’t Screw Future-You

Finance, Life

A conversation between me and my temporally displaced self.
Future Me: Excuse me, Jason?
Me: Yes?
FMe: <Slap!>
Me: May I ask what that was for?
FMe: Of course.
Me: What was that for, jerk?
FMe: That was payback for all of the hell you have put me through.
Me: What?!?  I’ve never even met you, before.
FMe: Of course you have.  I am future-you, and I’m sick of getting screwed by past-me, that is, you.
Me: Huh?
FMe: Listen close.  You’re not  the sharpest brick in the box and I don’t want to explain this twice.
Me: ???
FMe: A long time ago, when you first met our wife, you were dumb.
Me: I don’t appreciate….
FMe: Shut up.  I was dumb then, too.  Remember?  You…err…we bought a new truck, built an addition on our…err…your…err…whomever’s house, got married in the same year.  On top of many other expensive decisions.  Do your recall?
Me: Yes, I do.  So what?
FMe: If that wasn’t enough, you and your smoking-hot bride are still shopping like you’re rich. You drive a new car.  Your kids wear new clothes.  You’ve got a house full of new furniture.  How did you pay for all of that?
Me: Naturally, I charged it.  Zero payments, zero interest for a year!  Pretty smart, huh?
FMe: What happens in a year?
Me: I don’t know.  I’ve got a full year to figure that out.
FMe: <Slap!>  I’ll tell you what happens!  Future-you, that’s me, gets screwed!   Your raise didn’t come through.  You had a baby. The truck broke down.  Your wife took maternity leave.  A roommate moved out.  You took a loss in the stock market.  You didn’t plan!  You had no savings to cover any of those problems because you were too busy servicing debt to pay for your current life.
Me: How was I to know?
FMe: <Slap!>  Life happens!  You never know what is coming next.  You need to plan and save for what might happen.  Otherwise, you’ll just accumulate more debt to be serviced by yours-truly.  That is not acceptable.
Me:  So?  What are you going to do about it?
FMe: <Slap!>
Me: Really?  Again?
FMe: <Slap!>  I’m struggling to pay your debt. Your son starts college next year, but you’ve left me completely unable to help.  Your daughter wants to get married in a couple of years, but the Father-of-the-Bride can’t afford a tux.  My wife, your beatiful bride, wants a vacation that I can’t afford.   You’ve screwed me, dude.
Me: I’m sorry.  What can I do to fix it?
FMe: Buy me dinner, first.
Me: Huh?!?!?
FMe: Stop the excess spending. Spend less than you make, for a change.  No credit.
Me: None?
FMe: None.  Nada.  Zip.  Zilch.  Only spend what you can afford. Budget.  Pay off those nasty bills.  Don’t leave me hanging.
Me: So, what you’re saying is that, if I don’t have the money, I shouldn’t buy it?
FMe: Exactly.  That’s the path to wealth, freedom, and financial independence.  Live in the real world.
Me: Gee, thanks, Future-Me!  Now I know.
FMe: And knowing is half the battle.

What would your future-you have to say to you?

 

Christmas for the Destitute

Finance, Parenting

First, my disclaimer:  I’m not destitute.

However, I’m trying to spend Christmas acting like I am a pauper.

Why, with small children and beautiful-and-more-than-deserving wife, would I want to deprive my family of a bountiful holiday?

Before we get into the reasons for being a horrible grinch bent on depriving my children of their god-given right to rampant consumerism, let’s look at the Philosophy of Destitution.

The primary reason to pull back and tone it down is basic frugality.  Excessive anything is not frugal. I am training my children–and for that matter, my wife and my self–in the finer arts of personal responsibility and frugality.   Accumulating debt for a fleeting holiday is insane.  If we can’t afford to buy it, we certainly can’t afford to give it.   Anything else would be setting a bad example and children learn best by example.

Another piece of the Philosophy of Destitution(when I read this word, I hear a deep, booming voice in my head, like a 30s radio superhero voiceover)  is “green”.    I consider myself a conservationalist rather than an environmentalist, so don’t read too much into that color.  I try to be responsible, instead of destructive and I try to avoid being wasteful.  Toys that won’t be played with are wasteful. A garbage can full of packaging for those same toys costs money.  It is much cheaper to avoid the landfill here.

Back to “Why”. Why would I be willing to deprive my family?

[Read more…] about Christmas for the Destitute

One Year Later….

Misc

In April of 2009, I told my wife we were either going to straighten out our finances or file bankruptcy. At that time, we had $90,394 in total debt, including $30,000 in credit card debt.  It hasn’t been easy, but we are working out way out of that hole.   Since then, we have paid down more than $30,000.  That’s not $30,000 in payments, but $30,000 less debt.  We are now less than $60,000 in debt.   We have entirely stopped accumulating more and I don’t remember the last time we carried a new balance on a card or had to use our overdraft protection.   Next month, my car will be paid off, 10 months early.

Given my new-found fanaticism, I spent the next 6 months or so evangelizing about our debt repayment.   Eventually, I decided to share my thoughts and progress with the world and launched this site on December 1, 2009.   Today is my anniversary.

Here we are, 234 posts, 695 comments, and 17, 661 spam later.   You all rock.  Except the spammers.

To say thank you, I’m giving away a $100 Amazon gift card to some lucky reader.  Yes, I rock, too.

There are several ways you can enter the drawing:

1. Subscribe to Live Real, Now, either by RSS or email. If you are already subscribed by email, you are automatically entered.   To show me you have subscribed by RSS, there is a contest code in the feed.  Just post that in the comments. (1 entry)

2. Follow me on twitter and tweet the following: “@LiveRealNow is giving away $100. Come get some! Follow and RT to enter! http://bit.ly/f1roKM #Giveaway #Yakezie” (1 entry possible per day.  Every day you retweet this is another entry!)

3.  “Like” LRN on Facebook. This is easy, just click the little ‘like’ button on the left.  If you’ve already done that, you have already entered once.(1 entry)

4. Send me an email at Jason <AT> LiveRealNow <DOT> net telling me what you would like to see me write about more (or less!).  You can also use the contact form. (1 entry)

I’m closing this down on the 15th.  That’s 18 possible entries for $100 you may win early enough to help with some last-minute Christmas shopping.

UPDATE:

And the winner is…Claudia!  Congratulations.   Email sent.

Shaving for Real

Life

me getting ready to shave.
Image via Wikipedia

When you look at a safety razor, you see the mostly-unguarded blade.  When you look in the mirror, you see your throat and you see this blade–by definition, razor-sharp–and you realize that you are about to put a knife to your own throat.   Why?

Because shaving sucks.

For my 18th birthday, I received 2 Mach3 razors.  I used them  for more than 10 years.  It certainly beat disposable Bics, but not by much.

I liked it, but only because I didn’t have anything good to compare it to.

I’ve start using an old-fashioned safety razor.   Now, I can shave smoother and with less irritation than I ever could with a modern razor and it only takes a few extra minutes.

Why would you want to abandon modern technology to put a blade against your jugular?

Modernization isn’t always an improvement.  There is something about reaching back in time a couple of generations and doing things, not only the way they used to be done, but the way they should be done.  It’s the same feeling I get handling an old rifle or sitting in an antique car.

A real shave is 15 minutes of peace and focus. Lock the kids out of the bathroom and focus on the task at hand.  The concentration will usually give you a chance to forget about the rest of the world for just a few minutes.  This is pure meditation.

As a benefit, when you’re done, you feel refreshed and well-groomed.  It feels good to take care of yourself.

What do you need to shave like a real man?

Start slow and ease your way into it.  Put a cup in the bathroom. If you shave with a modern razor, the easiest way to improve your shave is to use hot water.      Put your shaving cream in the cup and add a bit of hot water.   Mix that up and use it to shave.  The hot foam will do wonders for your skin and the closeness of your shave.   I did that and immediately start trolling antique stores looking for a good, cheap shaving brush.

A brush makes applying your shaving cream a small pleasure. Spreading the hot foam on your face with a brush gets in on all sides of each hair, softening it for the razor.   Ideally, you want a badger-hair brush, but I’ve been perfectly happy with boar hair.   I found one at an antique store for $5.

Shortly after acquiring my antique shaving brush, I decided to go even older-school and upgraded to an old-fashioned safety razor.   I took my life, and my life-blood, in my own hands to shave for real.  I went with a  Merkur 23C Long Handle Safety Razor.   It’s a basic razor with a longer handle, because I have large hands and long fingers.   Don’t worry about getting an adjustable razor.  There’s no point.   It cost $29 at West Coast Shaving*.

You will need blades for the razor.  West Coast Shaving sells a variety pack of 45 blades for $15.    Try them all and stick with the one that works best for your facial hair.   I tend to change blades every 4-5 shaves.   More than that, and they get a bit dull and make me bleed.  I try to avoid bleeding.
Now that you’ve got a brush, a razor, and blades, it’s time to get rid of the worthless can of shaving foam. Shaving soap works much better.    You can get 3 discs of Col. Conk’s soap for $15, and they will last 6 months each, easily.    They are almost exactly the same diameter as a regular coffee cup, so guess what?  Just drop it in your cup.
That’s everything you need to shave for just $65, and of that only the blades and soap are recurring costs.  Your razor and brush will last forever.   I figure it costs me about $1 per month to shave, now.

How do you avoid killing yourself while getting ready for work?

It’s all a matter of technique.

  1. Dampen your cheeks with hot water to soften the hair.  I prefer to shave immediately after I shower.
  2. Run hot water over your brush.  Get it thoroughly soaked, then shake off the excess water.  You want it hot and wet, but not dripping.
  3. Briskly brush the soap disk until the brush picks up as much soap as it can.   It may or may not form a lather in the cup.
  4. Put the brush on your face and whisk it around.   I use a quick circular motion to build up a lather on my cheeks.   This works the hot soap into each hair.   Keep brushing it onto your face until it forms peaks.
  5. Pick up your razor.   I run it under some hot water, just so the cold metal isn’t a shock after the hot foam.   From here, you need your full attention on what you are doing.
  6. Shave.

When you are shaving there are a few things to keep in mind.

  • Take your time.
  • Never, ever, ever, ever turn the blade while it is in contact with your face.  You will bleed.   Once the blade touches your face, it goes in a straight line.
  • Keep the edge of the blade as close to parallel with your face as possible.
  • The goal is hair reduction, not removal.

I make 4 passes when I shave.  First, I shave from the top down.   Next, from the back towards my nose and mouth.   Then, from the front to the back.  Finally, I shave against the grain from the bottom to the top.    This results in a closer shave than anything I’ve ever had with a modern razor.

When I think I’m done, I dip my fingers in some warm water and run them around my face, in all possible directions, to see if I missed a spot.

When the hair is gone, wipe of the remaining cream and splash cold water every place the razor touched.   This closes the pores and will help prevent infections and razor bumps.

The last step is aftershave.    Aftershave disinfects your face.   It also prevents infections and makes you stink nice.

There you have it: the secret to a baby-butt-smooth shave and 10-20 minutes of masculine meditation.   If you are looking for a present for someone, you could do a lot worse than a real razor set.

*I have absolutely no affiliation with WCS.  I am just very happy with the service and the product.

Credit Card Pitfalls You Have To Avoid

Business

The idea of a credit card is appealing. You don’t have to have the money to pay for things; you can just use the card. It creates instant gratification and you start to get used to the idea of getting what you want when you want it. Unfortunately, this can be a disaster waiting to happen.

If you get in over your head and begin to negatively affect your credit rating, it is not the end of the world. By looking at things like bad credit credit cards at Money Supermarket you can start to make things right again. Watch out for these pitfalls that could cause you to stumble into a bad credit card situation.

 Enticing Rewards

You see the commercial or advertisement online and reward credit cards make it seem like you will be drowning in points that can be redeemed for airline miles or gift cards. Initially, you may think that this is a great reason to sign up for a card. Then, you begin to use the card often in order to earn points.

The problem comes when you start spending just to get the rewards and you can’t or don’t make payments to return to a zero balance every month. You may end up with a hefty annual fee on top of everything else. Don’t let the temptation of getting a reward create a problem with your credit score.

 Maxing Out the Credit Card

When someone hands you $5,000, you will be tempted to spend it. Why not enjoy the new money? The problem is that a $5,000 credit card balance needs to be paid back. Don’t fall into the trap of spending the entire line of credit immediately.

If you do run into some financial difficulty or you really need a credit card for something, you will have nothing left to use. If you go over the limit, you can be sure that there will be some fees that come along with it. Use it wisely. Charge something and pay it off.

 Skipping a Payment or Paying Late

Once you have a credit card, everything is going to affect your credit score. If you miss a payment or pay late, you can be sure that this is going to show up against you. Aside from the damage to your credit score, most credit cards come with a substantial penalty in the form of a late fee that gets tacked onto the next payment.

Always pay on time. Pay in early if possible. Keeping up to date with your credit card will show up positively on your credit rating.

 When Problems Arise

Even if you do your best to avoid these pitfalls, sometimes financial problems can be unavoidable. An unexpected emergency requires you to max out the card. You run into a problem at work and lose your main source of income.

If you see that your credit is starting to decline, it is always possible to build that score back up. Start over using bad credit credit cards to make a positive impact on your credit score. With this scenario, you get an opportunity to once again avoid these pitfalls and improve your credit.

Black Friday

Finance

Image by Getty Images via @daylife

Today being the biggest shopping day of the year, I thought I’d get in the game.

First, instead of helping you spend money, I’m going to help you save it.  As I’ve mentioned before, I am a big fan of INGDirect.   They make it easy to create savings accounts for specific savings goals and they have a decent interest rate.  I’ve never had a problem with any of my accounts.

For Black Friday(through Sunday!), they are offering the following:

  • Earn $103. Open Electric Orange November 26th – 28th, and make a total of 7 purchases using your Electric Orange Card or Person2Person Payments (or any combination of the two) within 45 days.
  • Open a Kids Savings Account November 26th – 28th and we’ll(ING) put a $25 bonus into your new account.
  • Use your Electric Orange Debit MasterCard® at least one time from  8:00 AM ET, November 26th – 7:59 PM ET, November 26th, and you’ll be automatically entered into the 100% Cash Back Giveaway.
  • Open a 36-month IRA CD with ING DIRECT November 26th – November 28th and get 2.00% Annual Percentage Yield (APY). Ask them about work at home moms and dads spousal IRA.
  • Apply online November 26th – 28th for Easy Orange or the Orange Mortgage or call a Mortgage Specialist at 1-866-327-4599 and get up to $2,000 off closing costs. If your costs are less than $2,000, you pay nothing.
  • 25% rebate on Sharebuilder trades that execute today or Monday.

Click here to open an account with the best bank to ever hold my money.

Now, to help you spend some money.

All of my websites are hosted by HostGator.   I’ve never had noticeable downtime or any technical problems.  The one issue I had that couldn’t be controlled by their interface was fixed by technical support in minutes.  Not hours, minutes.  They are having an amazing deal today.   From 5AM to 9AM CST, all of their products are 80% off.    The rest of the day, it’s all 50% off.  Unfortunately, this doesn’t apply to existing customers, but if you are looking for a website host, paying $35 for 3 years of hosting can’t be beat.

Click here to open an account.