Wise Bread

Best of Personal Finance: How to Make Coconut Milk Kefir

Linsey Knerl — Wed, 10 Mar 2010 17:52:24 +0000

Welcome to Wise Bread's Best of Personal Finance roundup. Today, we give you stunning detail into how to make your own coconut milk kefir, some tips for saving money when you move, and 3 easy ways to create a greener kitchen!

Best Deals for Wednesday 03/10/2010

Linsey Knerl — Wed, 10 Mar 2010 16:40:26 +0000

Up to 58% off GUESS Handbags and Swimwear

Bruce Springsteen Video Anthology 1978-2000 on DVD for $5 + free shipping

33% off Dooney & Bourke Bags at Nordstrom: Deals from $110 + $8 s&h

Panda Express printable coupon: Free Honey Walnut Shrimp

Free Sample Dunkin' Donuts Turbo Coffee

Top 10 Real Estate Tax Write-Offs

Brian Davis — Wed, 10 Mar 2010 15:53:22 +0000

By Brian Davis

As real estate values have fallen and foreclosures have swamped the market, increasing numbers of would-be sellers are deciding to lease their properties instead of selling. These new and reluctant landlords often miss out on massive tax deductions available for investment properties, which can save thousands of dollars in taxes. In an economy where every penny counts, make sure you take advantage of these ten real estate tax write-offs, some of which are exclusive to real estate investors and landlords.

1. Mortgage Interest

Even homeowners can write off mortgage interest, so this deduction is widely known and understood, but mortgage interest can add up to many thousands of dollars each year; not a deduction to miss.

2. Hazard Insurance

If you were a reluctant landlord, you can rejoice over this one: homeowners can't write off their homeowner's insurance, but landlords and real estate investors can write off their hazard insurance premium as a deductible expense. Be sure to save a copy of your insurance premium invoice, and give it to your accountant.

3. Property Taxes

As intuitive as it sounds, thousands of property owners forget to list their real estate property taxes as deductible expenses every year, and end up effectively paying those taxes twice.

4. Property Depreciation

Real estate depreciation is not well understood, but it adds up to a substantial sum each year. Basically, the government allows real estate investors to take a "paper loss" of value on a mathematical model that assumes that properties will steadily decline in value over 27.5 years, from their purchase price to a value of $0. This means you can deduct a depreciation loss of 2/55 of the purchase price, for the first 27 years you own a property. Depreciation can become complicated however, so make sure you discuss this one with your accountant.

5. Legal Counsel & Landlord Forms

Most of the legal bills, including the cost of landlord forms and real estate legal contracts, are tax deductible for your investment property. Important exception: eviction costs, which generally cannot be deducted, but speak with your accountant for further details on exactly which expenses can and cannot be deducted.

6. Property Management Costs

If you've hired a property management company to oversee your tenants, leases, and properties, their costs are tax-deductible, so be sure to add up their fees and write them off (and remember that you'll owe the property manager a 1099 if the total fees were over $600).

7. Private Mortgage Insurance (PMI)

If you have a high mortgage relative to your property's value (and right now, who doesn't), chances are you pay an extra charge each month for private mortgage insurance along with your mortgage payment. These charges, while annoying, can at least be deducted from your taxable income.

8. Maintenance & Repairs

While homeowners can't write off their home improvements, landlords and real estate investors can! There are some exceptions (so touch base with your accountant), but in general any repairs that are required for habitability and safety are tax-deductible.

9. Advertising & Tenant Screening

When landlords have vacant properties, they can write off the costs associated with filling them, such as advertising the rental property, pulling credit reports, obtaining criminal background checks, etc.

10. Settlement Costs

If you're one of the rare and lucky people actually buying investment properties right now, some of the settlement costs you pay can be deducted, such as mortgage lender fees and government recordation costs. Not every settlement charge is tax-deductible, however, so be sure to send a copy of your HUD-1 settlement statement to your accountant so they can comb through it and find all of the deductible costs.

As a final note, remember that your accountant's bill is deductible as well, on next year's tax return, so be sure to include last year's accounting bill among this year's tax deductions, and good luck saving money on taxes!

6 Slick Tools to Save Money on Car Repairs

Linsey Knerl — Wed, 10 Mar 2010 14:00:01 +0000

By Linsey Knerl

This article shares tips from the newest episode of Dealista, our new podcast that'll help you get more for less. Click play to listen, or subscribe via iTunes to take the episode with you!

It’s happened to all of us — a car repair we didn’t budget for, and that nearly left us cash-strapped or without transportation. It really doesn’t have to be this way! These 6 tools are reliable and affordable, designed to help get car maintenance and repair costs under control and well under budget.

1. CarMD Diagnostic Tool

CarMD is not the exact replica of the code readers used in fancier repair shops, but it can diagnose most any common car problem. Simply connect the $100 device to your car’s connectors (instructions are included) and get data to help you know what’s really going on with your car. You don’t have to wait for an issue to arise before getting your money’s worth out of this tool, however. It’s also great for pre-trip inspections and making sure that your car is smog compliant! (You might also find it useful to get a read out on a car you haven’t bought yet — before you drive it off the lot.)

2. Local Auto Supply Store

Thought they were only good for purchasing extra wiper blades and quarts of oil? Think again! There are many complimentary services available at most major car part suppliers (O’Reilly’s, Autozone, Advanced Auto, Pep Boys, etc.) that can help you out for little to nothing. Common offerings include starter checks, alternator checks, code reading, battery testing/charging, and tire checks. While it won’t prevent you from having to go to the shop for a major repair, I’ve used my local shop to help me decide whether I can go a few more miles on an already distressed battery, and they even loan out tools — the really expensive ones — for a refundable fee charged to your credit card. You can save big money at these places!

3. RepairPal

I absolutely love RepairPal! When I’m not using the web-based interface from home to get an accurate quote on what it will cost me to have a timing chain replaced, for example, I can use the accompanying smart phone app to get detailed info about what a repair should cost — before I head into the shop. It includes info on how much your repair will be parts vs. labor, and even gives you details of the common cost to perform maintenance by zip. If you’re stuck on the road with a broken down vehicle, you can use the RepairPal app to contact a local repair shop directly, and armed with all the information about your car and specific repair, you can be sure you won’t be taken at the mechanic’s shop.

4. DriverSide

DriverSide is another fantastic web resource, a community of drivers who care about their cars (but not in a weird way). You simply register your make and model to get automatic updates on recalls, service bulletins, and other news about your vehicle. You can ask questions of mechanics and even see how much parts will cost for your precious ride. It’s the perfect all-in-one solution to car maintenance, and it’s entirely free.

5. AllDataDIY

Do you feel ambitious? Like working on your own vehicle? If you’re up to the challenge of performing your own car repairs, then AllDataDIY may be the perfect solution for you. With just a minimal annual subscription fee, you can have access to all the data that a mechanic would need to perform all kinds of repairs and maintenance tasks for your particular vehicle. Loaded with diagrams, charts, parts detail, and recall info, you could do just about any job on your own — provided you have the patience, skills, and right tools. We’ve used our subscription numerous times to do everything from simple rotor replacement to a major engine overhaul. (Homes with more than one vehicle may get a discount for buying additional subscriptions after the first.)

6. Craigslist

Perhaps the most useful of all the tools, Craigslist has helped us to connect to all the things we just couldn’t fit into our budget, otherwise. Whether we’ve found quality used tires, a part-time moonlighting mechanic, or a tailgate for our pickup, we’ve been able to hunt down and purchase for far less from Craigslist. With so many qualified professionals and parts dealers struggling in this economy, we’ve found our odds of getting a competitive price for parts and labor to be much higher via the site, and it’s always nice to meet new people with similar interests in DIY car care. If you haven’t considered Craigslist for your parts or labor needs, add it to your resource list!

Dealista

If you enjoyed these tips you can find more in our show's archive or subscribe via iTunes.

Dealista is a collaboration between Wise Bread and Quick and Dirty Tips, the producer of popular podcasts such as Grammar Girl, Money Girl, Winning Investor, and Mighty Mommy.

Check out more great tips from our sister shows:

Ask the Readers: Do You Trust Product Reviews? (Chance to win $20!)

Linsey Knerl — Tue, 09 Mar 2010 18:23:25 +0000

By Linsey Knerl

How do you know which products are worth buying? Do you ever rely on product reviews for your guidance? With all the blogs and websites offering reviews and opinions on which are the best, how can you know who to trust?

We want your feedback on blogs and bias. Do you think that there is a way to tell if a review is honest? If not, is this something you'd like to see in the future? What would it look like? As part of an upcoming SXSW session on FTC compliance and blogs, Wise Bread will be addressing these issues in an effort to get a better idea of what the online community really wants. We'll be discussing ways to ensure accountability and transparency.

Share your thoughts, either below in the comments or on Twitter, and you could be entered to win one of two Amazon gift cards! And remember, if you're going to be at SXSW, it's not too late to RSVP to our session at: http://www.wisebread.com/trustblog#rsvp. You can meet Wise Bread writers Adam Baker, Thursday Bram, Linsey Knerl, and the Wise Bread founding team!

Don't forget -- you can also win during our specially-scheduled Twitter event. More details can be found on our Twitter promotion page.

Win a $20 Amazon Gift Certificate

We're doing two giveaways — one for random comments, and another one for a random tweets.

How to Enter:

Post your answer in the comments below, or
Tweet your answer. Include both "@wisebread" and "#WBAsk" in your tweet so we'll see it and count it.

If you're inspired to write a whole blog post, please link to it in the comments or tweet it.

At the end of the drawing, we'll update this post to include (and link to) all of your helpful responses.

Giveaway Rules:

Contest ends Friday, March 12th at 11:59 am CST. Winners will be announced after March 12th on the original post and via Twitter. Winners will also be contacted via email and Twitter Direct Message.
You can enter both drawings — once by leaving a comment and once by tweeting.
Only tweets that contain both "@wisebread" and "#WBAsk" will be entered. (Otherwise, we won't see it.)

Good luck!

Permalink | 58 comments | Linsey Knerl's blog | Channel: Giveaways

Similar entries:

This article is from Wise Bread.

Set Up a Safe Home Network

Linsey Knerl — Tue, 09 Mar 2010 18:22:58 +0000

By Linsey Knerl

Networks used to be something that IT departments only spoke about in corporate office environments. Today, however, the average family not only has a need for a good home network, but they are running some form of one without professional advice. If you're curious as to how you can tweak your network to be more efficient, or you've put off getting one started out of hesitation, today is a great day to learn more!

The following tips are taken from a recent guest post at My Life Scoop, and feature just a few of the five steps you should take to get the best home network experience for your family!

Set Up Your Network Safely

It’s always a fun exercise to drive down a residential street with my smartphone set to wireless mode.I’m suddenly presented with numerous wireless networks to choose from – all originating from people’s homes (and some with very revealing network names). The smart families will have their signal protected (meaning I can’t connect using their signal and conduct my online activities.)The others keep it open to everyone.

In addition to making sure that your signal is yours (and yours alone), Edwin Colmanares from Cisco Systems, suggests you take it one step further. "To make it unique, people give it their own quirky name instead of the default name -- names like, 'My precious' or 'lovable giraffe'", he advises. To keep it even more private, he recommends families avoid names that will give anyone an idea of where you live. "A bad name would be 'Smith family network' or '13 a street.'"

Go With a High-Quality Wireless Router

Gone are the days when you need to connect all the computers in your home with cumbersome Cat 5 cables and cover the evidence with strategically-placed throw rugs. Today's family can get a "home network in a box" simply by choosing the right wireless router. While several brands lead the forefront, the best models are those that are updated and upgraded all the time.

To get a better idea of the perks and pitfalls of each product, check out websites like Amazon for their user reviews, or do a quick Google search for "troubleshooting" and the name of the router you're looking at buying. The results will be eye opening (and could save you money and trouble on a consistently buggy model.) Expect to pay at least $50 for one that will last and can provide free updates as needed.

Check out our full guest post on Life Scoop to see all five expanded suggestions for all kinds of families!

Permalink | 4 comments | Linsey Knerl's blog | Channel: Life Hacks, Technology

Similar entries:

This article is from Wise Bread.

Best Deals for Tuesday 03/09/2010

Linsey Knerl — Tue, 09 Mar 2010 17:03:14 +0000

Dell Mini 10v Netbook for $149 with the purchase of a Dell laptop or netbook

happygreenbee Clearance Sale: Organic kids' clothing from $2 + $6 s&h

Barbie Superstar Doll for $3 + $4 s&h

Get a $25 Restaurant.com Gift Cert. for $4 + receive a $50 Orbitz Gift with code BONUS

FREE sample of Huggies Snug & Dry Diapers

The Legal Way to Avoid Getting Taxed on Your Investments

WC Porter — Tue, 09 Mar 2010 17:00:02 +0000

By WC Porter

Tax time is coming, and that means trying to keep as much of our hard-earned money as we can. That may or may not make us tax hypocrites, but it's the truth: no one wants to pay more than we have to.

In order to follow my tip, you'll need two things: a tax protected account like a Roth IRA and a stock or mutual fund you like that pays a dividend.

First Things First

You'll notice I italicized "you like" in that last sentence: that's important. Before you even decide to go down this route, you need to find an investment you like and want to own regardless of this strategy. I don't care if you think it's going up because you read something in a annual report, an analyst likes it, or because your palm reader told you.

Just make sure you have a reason and you like it.

As for the dividend: don't focus so much on how big of a yield it is; the important thing is that it pays one out. You may also want to check:

How long have they been paying one? The longer the better.
Have they ever lowered it? Not great.
Do they have a track record of consistently increasing it? Very nice!

I could spend hours on how to pick and investment, but not here. Once you have an investment you like that pays dividends, you can move on to part II.

FYI: If you're interested in investing in real estate and dividends, check out REITs.

Tax Sheltered Account

My favorite is the Roth IRA because the money you use to fund it has already been taxed. So once you put money in here you'll never have to worry about taxes again.

Now what you do is buy the stock/mutual fund from step one inside this account and boom—you're done!

Wait, that sounds too easy doesn't it? There is one more thing you have to double check: does your brokerage allow you to reinvest the dividends automatically, free of charge?

This is important because if they don't, the dividend payments will be credited to your account instead of being automatically reinvested. That means the money has to be contributed into the account instead of automatically going in. ~~And it means it'll eat into the limits ($5,000 for 2010) set up for accounts like Roth IRAs.~~

Most brokerages will automatically reinvest dividend payments from mutual funds, but not for individual stocks, so make sure ahead of time that this is all set up.

Why This Strategy Rocks

You aren't taxed on the dividends you get paid
You get to contribute the dividend automatically
You set it and forget it: as long as you still like the stock/mutual fund you don't have to do anything

The Downside

You can't touch this money until you retire, so you aren't going to get rich quick with this

If you want to read more about this strategy, check out my post on investing in real estate without taking a tax hit.

Thanks to Dangerman for the corrections on dividends counting towards your contribution!

Permalink | 5 comments | WC Porter's blog | Channel: Investment, Real Estate and Housing, Taxes

Similar entries:

This article is from Wise Bread.

How to Plan Your Garden

Dina Marie — Tue, 09 Mar 2010 15:00:02 +0000

By Dina Marie

Our family has made a major life change in leaving the corporate world to begin a vineyard in west Texas. With a large family (10 children, 8 still at home) living on savings until our house in Alabama sells, frugal living is a necessity. Having never been a gardener, I have learned from those who have had successful gardens by asking many questions. One piece of advice repeated many times is the importance of planning before starting.

So, here it is, time to start thinking about and planning your spring and summer vegetable garden! Yes, it is still cold outside, but now is the time to begin. Before we know it, we will be having fresh-from-the-garden produce, fresh tomato sandwiches, and fresh cucumbers and...I know what you are thinking, to get to that point there is a lot of hard work. But, even before the hard work comes the all-important planning stage. There are several factors to consider before planting your garden.

Space Availability

One consideration when beginning to plan is the amount of space which is available for your garden area. If space is limited, priority should be given to family favorite vegetables which would afford the most savings. If space is not an issue, then what vegetables does your family enjoy? Which do you like to eat and cook!

Growing Zone

Certain plants are adapted to particular areas of the country more so than others. Charts are available from various seed companies and on the backs of individual seed packets. These charts specify in which growing zone that particular seed grows well. These growing zones are based on temperatures, daylight hours, and general climate. It is important when making your selection to keep in mind your growing zone.

Seeds vs. Plants

Do I buy seeds or plants? In many instances, time is a key factor in deciding between seeds and plants. Some seeds may be sown directly into your garden soil. Others must be started indoors and once established, transplanted to your garden. These seedlings must be started early enough to be transplanted in a timely manner to your garden (usually after all danger of frost is past). Although more expensive, if indoor space for starting seeds is limited and time is short, plants are probably the better choice.

Where to Purchase

Once you decide upon seeds, plants, or a combination, the decision must be made as to where to purchase them. Local stores often carry seeds and plants specific to your local growing area. They may also be ordered from various companies. The advantages of ordering from a “seed company” are several. They deal exclusively with products specific to gardening thus the quality tends to be better. Also, often their customer service is available to answer any questions you may have and guide you in your decisions so that you will be a loyal satisfied customer. Once satisfied with service, you will be a returning customer.

Experience

Have you ever gardened before? If not, you might want to start small with easy to grow vegetables such as pumpkins, squash, tomatoes, cucumbers, corn, and beans. I had no experience, but asked questions of those who did. As a result, I had a large successful garden which has provided food for our family.

Resources

Search out resource persons among your friends, family and acquaintances. Do not be afraid to ask questions. Most people are more than happy to provide information about a subject they are familiar with and even expert in. Read books on the subject of gardening. These are readily available at your local library, bookstores, and online. Another great resource is your local county extension agent. They often have quality information on all areas of gardening and are also willing to answer questions.

Crop Rotation

Crop rotation is generally thought of in relation to the large farmer. However, it is also important to the backyard gardener also. Some plants are more susceptible to certain insects and viruses. Rotating the crops discourages these from being harbored in an unnatural concentration. An example of this is the squash bug. Different crops also use nutrients from the soil in different amounts. Rotating the crops helps prevent soil depletion.

Are you ready to get started planning your garden?

How to Succeed as an Online Student

Julie Rains — Tue, 09 Mar 2010 14:00:02 +0000

By Julie Rains

If you’re considering online studies, don’t underestimate the workload, discipline, and communication skills needed to succeed. Here are tips on excelling as an online student.

Choose courses carefully.

Make sure that you have the time to commit to classes, especially if you are pursuing a degree. Don’t let the lure of flexibility fool you into thinking that you can easily fit studies into an already full schedule. Some classes may take a few hours each week; others may require several hours weekly plus extra time to complete projects. And, beware that new degree programs and courses may be particularly difficult as content and technologies are in the process of being perfected.

If you are interested simply in learning a specific skill rather than earning a degree, consider online classes through the community college or specialized training offered by professional associations.

Become familiar with online learning technologies.

Try to do this before class starts or as quickly as possible after the session begins. Some tasks, such as uploading assignments to a designated location on BlackBoard, can be intimidating on a first try but simple after you've done them a couple of times. The less exertion expended in mastering online tools, the more effort you can place on learning course content.

Read recommended materials.

I know this advice may seem incredibly obvious. But many lecture-format classes require students simply to show up and listen; even if you complete the reading according to the syllabus, having an instructor provide you with context and give explanations makes it easier to glean pertinent information from written materials. Many online classes require students to react to materials in forum discussions, which is difficult if you haven't done the reading.

Participate in discussion forums.

If you are the first to post in the forum, you can share basic observations to start the conversation; but if you arrive later in the discussion thread, then you’ll need to offer deeper, unique insights.

Don’t presume that classmates share what you might perceive as cultural norms. Framing comments with mentions of professional and personal life experiences, or sharing these experiences when introducing yourself at the start of each course, can help classmates to understand your perspective and avoid antagonizing them.

Finally, don’t be a hit-and-run poster who visits the forums just once a week, makes comments, interacts with no one, and then exits. This approach may mean that you comply with course requirements but doesn’t really advance your knowledge. Even if you are an expert in a topic, you can learn from the uninformed perspectives of newbies. Just getting insight into what other people understand about a topic is useful — you can then tailor your communications in class forums and outside of these forums more effectively.

Turn in assignments on time.

Online classes may place more emphasis on projects rather than tests so you’ll need to plan your workload carefully. While you might be able to cram for a final exam, most people can’t wait until the last minute to get topics approved, find credible sources, compile research, and collaborate with project partners.

Try to turn in projects ahead of time so that if something unusual happens — a snowstorm-induced power outage or even a brief loss of broadband — you’ll still meet deadlines. You might be able to fudge a turn-in time in the offline environment but, online, time-stamped submissions of uploaded research papers and PowerPoint projects make it difficult to hedge on when you actually turned in an assignment.

Serve as project manager.

You can influence the direction of projects and add to your leadership skills. If you don't think you can handle planning and leading projects, be an active participant by contributing your talents, completing project tasks on time, and helping the project manager with compiling components into a finished report.

Create a portfolio of your projects.

Showcase your knowledge and skills. Some potential employers and clients may not fully grasp that an online degree is just as valuable as one earned in a traditional setting. The portfolio is evidence of your work, and can help you land deals for similar projects and serve as a point of conversation in interviews.

I experienced the demands of online learning when I earned a graduate-level Certificate in Technology and Communication at The University of North Carolina at Chapel Hill, a longstanding brick-and-mortar institution of higher learning. And, recently, I spoke with a 20-something female about her degree studies at the University of Phoenix, well-known for its online programs. Despite the differences in our backgrounds and universities, we had similar encounters as online students.

Permalink | Comments | Julie Rains's blog | Channel: Career and Income

Similar entries:

This article is from Wise Bread.

Best of Personal Finance Roundup: Credit Score Urban Legends Busted!

Linsey Knerl — Mon, 08 Mar 2010 16:56:21 +0000

By Linsey Knerl

Welcome to Wise Bread's Best of Personal Finance roundup. Today, we debunk those irritating credit score myths, share 10 kids foods that are nutritionally-misleading, and get you started on an interruption-free work day!

Turn Off Your Air Conditioning

Philip Brewer — Mon, 08 Mar 2010 15:19:29 +0000

By Philip Brewer

There are a few places where it is impossible to live without air conditioning. These places are easy to identify: they were uninhabited until well into the 20th century. If the place you live now was not in prior days a desolate wasteland, unseen except by the occasional nomad or caravan, then air conditioning is not required. However, most people lack the skills for getting by without air conditioning. Here's a quick primer.

First a little personal history. Back in the early 1980s I lived in Ft. Lauderdale for a couple of years. Finding money a bit tight, my roommate and I agreed to economize by turning off the AC. I was a bit doubtful about being able to manage, and I did get pretty hot and sweaty at times, but in fact it turned out to be pretty easy. Since then, I've largely avoided air conditioning wherever I've lived.

So, here are my getting by without air conditioning tips:

During the heat of the day, go some place cool. This was easy for me, because I worked in an air conditioned office, but there are plenty of other cool places: libraries, movie theaters, coffee shops, campus buildings, parks, forests, ponds, lakes, oceans, etc.

Manage your windows. We would open our windows wide during the night and by early morning the interior would have cooled down nicely. On a work day we'd close the windows as we headed out, so the place would stay somewhat cool. If you're home during the heat of the day, things are a bit more complex, but you can still close your windows as soon as it starts to warm up outside and have an extra couple of cool hours indoors. Likewise, use curtains to minimize solar gain.

Live in an appropriate building. I discovered what a big difference appropriate architecture made because various friends lived in homes that were much better than the one I lived in. One place in particular was a small block of apartments built before air conditioning was common. They had jalousie windows on two sides, to let breezes through. They were only one story, so there was no second story to get hot. They were made of masonry, which helped stabilize temperature extremes.

Install ceiling fans. In South Florida, everyone had ceiling fans, even people who used their air conditioning all the time. A gentle breeze makes a huge difference in what temperature is comfortable.

Drink plenty of cold water. Anything that directly cools your body is going to help, and cold water is effective and virtually free. Cold soda and cold beer are also effective, but cost money and add calories: use only in moderation.

Take it easy. When possible, arrange for physical labor and exercise to take place when it's cooler. If your schedule will tolerate a siesta, that's a great way to manage the hottest part of the day.

Accept that you will be hot. The various tactical adaptations mentioned above are really secondary. They key strategic step is purely mental: embrace the heat. Yes, you will sometimes be hot and sweaty, but that is hardly the end of the world. When you're uncomfortable, go someplace cool or take a shower or sit down in the shade with a big class of cold water.

Important Caution

The very young, the very old, and people with certain medical conditions, can't handle as much heat as healthy youths and adults. People die every year from heat stroke. Especially vulnerable are people who can't take the common-sense step of going someplace cool:

Children left unattended in a hot car,
Elderly or disabled people who aren't mobile without help,
People in neighborhoods so bad that they're afraid to leave their home,
Athletes, soldiers, and prisoners pressured to continue working in the heat.

If anyone you care about (or that you're responsible for) falls into a category like that, take the responsibility of checking on them and making sure that they're okay. A little care will go a lot further toward protecting them than just dumping an extra few hundred dollars into air conditioning.

This post was included in the latest Festival of Frugality.

Permalink | 37 comments | Philip Brewer's blog | Channel: Frugal Living

Similar entries:

This article is from Wise Bread.

Best Deals for Monday 03/08/2010

Linsey Knerl — Mon, 08 Mar 2010 15:13:42 +0000

JetBlue B-Day Sale: 1-way fares from JFK for $10

240 Seventh Generation Organic Cotton Tampons for $11 + free shipping

AeroGarden SpaceSaver 6 with seed kit for $40 + $8 s&h

Apple iPod shuffle 4GB MP3 Player for $56 + free shipping

Free Sample of John Frieda Shampoo and Conditioner

Cash vs. Accrual and Why Accounting Matters for Taxes

Thursday Bram — Sun, 07 Mar 2010 17:00:07 +0000

By Thursday Bram

When you're running a small business, it may seem like deciding between cash and accrual accounting is just one more thing on the long list of things you need to get done. But the fact of the matter is the decision on which accounting method you're going to use makes a difference in something as simple as how you do your taxes and can have long-lasting effects beyond the end of the year.

The Difference Between Cash and Accrual Accounting

The cash method of accounting is the most common choice for small business owners. Under the cash method, you don't count income until you have the cash or the check in hand and you don't count expenses until the money leaves your account. In comparison, under the accrual method of accounting, you record transactions when they happen, no matter when the money actually changes hands. The cash method tends to more popular because it's easier for many businesses to keep track of. But if there's a lengthy delay between when you do work and when you receive payment, some issues can occur.

There are some situations in which your business absolutely must use the accrual method. If you have sales of more than $5 million per year or your business maintains an inventory of items you sell to the public and your gross receipts total more than $1 million per year, you're required to use the accrual method.

Paul Miller, a professional juggler who just happens to have a degree in accounting, chose the accrual method in an industry — entertainment — that tends more towards the cash method. His choice was based on the fact that it's easier to tell where your business' finances actually are with accrual accounting, rather than just knowing what cash you have on hand. "I selected the accrual method for more accurate reporting. Many of my receivables are paid net 30, net 60 and sales as a whole are very dependent on the month of the year. I will earn $20-30,000 from library and camp work in August and much of it won't be paid until September. Most of this income in September will be from school and after-school programs. By using the accrual method, I can get an accurate picture of how much I earned each month and from what sources," says Miller.

Using Accounting to Manage Taxes

One of the biggest changes a choice in accounting methods can create is how you handle tax deductions. Under the cash method, if you make a purchase in 2010 but don't send payment until 2011, you won't be able to deduct that expense until 2011. Under the accrual method, however, you would be able to claim the deduction in 2010. That may sound like a subtle difference, but depending on your business' expenses and income, it can be quite complex.

For instance, if you often have long periods between the point when you make a sale and when you receive payment, the accrual method can actually cause some problems. For instance, you may send out an invoice at the end of December, but not receive payment by the time you need to send in your tax return. If you're using the accrual method, you're still expected to pay taxes on that expected income, although it isn't in your bank account yet.

There are certain situations in which the system of accounting that you choose will play a more minor role. Dick Barnes has operated several small businesses over the years and is now a partner with the Freeland Group, a management consulting firm. "If cash accounting shows too much profit one year, it will likely show too little the next and vice-versa. An example of a difference might be if using long-term debt with a single balloon payment and you write-off the entire debt load in a single year (kind of dumb normally, unless you're having an extraordinary year)," says Barnes.

Making the Switch Between Accounting Methods

As a small business owner, you're likely already using one accounting method or the other. But just because you've been using a particular method in the past does not mean that you cannot switch to the other. Barnes suggests talking to your accountant, especially if you're moving from the cash method to the accrual method.

"Depending on the type of business, the switch could be very simple...or it could be pretty complex." Barnes points to certain issues that may slow down the switch: if you already have a commercial line of credit, where your accounts receivable stand and how long your operating system is.

If you're the one keeping the books for your company, you may need to pick up a few new skills if you make the switch to accrual accounting. Miller says, "I do think that an attentive small business owner can pick up the steps to run an accounting system based on the accrual method. It is mostly a case of reporting and a couple of extra accounts." Your CPA may even be willing to walk you through the differences, especially if you're using common software, such as Quickbooks.

Beyond Taxes: Make Sure You Have Room to Grow

Your accounting method isn't just a matter of doing your taxes. Barnes has owned a number of small businesses and, as a business owner, preferred the simplicity of cash accounting. But when he changed tracks, he realized how important it was for small businesses to use the accrual method when possible: "As a commercial lender, I found that cash accounting makes it difficult to verify or judge what the firm is actually doing at any one point in time. Most banks will not consider putting together a loan package with cash accounting financial records, particularly if the firm grows beyond the $500k annual revenue level. They simply want the owner to go back to the blackboard, hire a CPA for accuracy, and come back with what they often call 'legitimate' financials (accrual)."

If you think that, down the road, you may need capital to expand your business, it's important to make sure that your accounting method won't get in the way of you getting a loan. Barnes suggests meeting with your bank long before you ever need a loan to check what your options will be with the bank that already has your business; ask your banker if the bank would have a problem with cash accounting if you ever ask for a line of credit.

Best of Personal Finance Roundup: MasterCard Acceptance Guidelines

Linsey Knerl — Fri, 05 Mar 2010 18:00:02 +0000

By Linsey Knerl

Welcome to Wise Bread's Best of Personal Finance roundup. Today, we give you insight into how retailers should treat your MasterCard, 24 secret menus at your favorite eateries, and how to whip up an amazing stewed lamb ribs dish.

5 Tips to Acing An Interview

Kate Luther — Fri, 05 Mar 2010 17:00:02 +0000

By Kate Luther

Before I embarked on my new life as a freelancer, I had both feet firmly planted in the Corporate World.

With my DayPlanner in one hand and my resume in the other, I had big visions of the corner office, the corporate expense account, and business cards with some impressive executive title. Needless to say, I have had more than my share of interviews. And although the whole process can get a little nerve-wracking at times, I did learn some useful tips along the way.

1. Be Unique

This is by far, the biggest tip I can give anyone who's looking for a job and I'll tell you why it works: Everyone looks the same on paper. Anyone reviewing your resume has also reviewed hundreds of other resumes, both in relation to the job you're applying for as well as any other positions they might have open. As a result, they've seen the words "Objective" and "Work Experience" more times than they can count and honestly, it all becomes a haze after a while.

So here's what you do — you stand out. You don't look like everyone else. Maybe you accomplish this with a not-so-standard kind of paper or something equally as subtle. As for me? I went all out. I created a website with a fun "10 Reasons You Should Hire Me" quiz and turned my resume into a full-color tri-fold brochure.

Yes, there were times when someone else was just clearly more qualified than I was for the job but I'll tell you this — I ALWAYS got a call-back for that coveted interview and even in the instances where I didn't get the job, I almost always got offered a different position in the company. Why? Because they liked me too much to just let me go somewhere else.

2. Learn the Art of Resume B.S.

There is truly an art to writing a resume, and if you're not sure of where the line between fact and fiction lies, here it is: While you should never blatantly lie on your resume, it is acceptable and even expected to make your previous positions sound absolutely amazing.

It doesn't matter how menial, how common or entry-level that position might have been — you were an expert at it and turned it into an important component of the company.

I once reviewed a resume for a girl who had a position that sounded something like this:

"...responsible for managing all corporate duplication equipment and overseeing document distribution for Fortune 500 firm..."

Her job? She was a copy clerk. And I knew that when I read her resume. But she obviously took her job very seriously and anyone who can make something that impressive out of a copy clerk position was worth another look. Incidentally, I hired her.

3. Never Say Can't

Along the same lines as Rule #2, while you don't want to commit yourself to skills you truly don't have, there are ways to diffuse a lack of knowledge in a particular area.

Instead of saying "I don't know how to do that" or "I don't have that skill" say something like "I haven't used that particular software/system but I have used X, Y, and Z so I'm sure I'll have no problem." The point is to replace "can't" with something more positive such as "I can learn it," "I can do it," "I can figure it out."

4. Look 'Em In The Eye

During one of my stints in Corporate America, our CEO ordered every employee to attend an on-site course on Business Communication. Most of the seminar revolved around identifying personality types and learning to match your conversation to the other person's natural type. It was interesting, but what really stood out for me was the coach's tip to always look people in the eye. It conveys the trustworthiness and confidence that prospective employers look for.

This is actually harder than it sounds, especially when you're nervously trying to close a big deal or in this case, make it through an interview. So here's the tip I learned, one that has served me well: If looking them in the eye makes you uncomfortable, look at the bridge of their nose instead. They can't tell the difference and you'll come across as being direct, honest and confident.

And while you're staring at the bridge of their nose, lean in (conveys interest in the conversation) and be animated. Smile, show concentration, even surprise if they tell a story that calls for it. The goal here is to turn your interview into an enjoyable, invigorating "meeting."

5. Use a Strength as Your Weakness

It's not unusual for your interview to include some probing questions, such as "What is your biggest strength?" and the more dreaded "What is your biggest weakness?"

Most people have an easy time talking about their strengths but what on Earth should you say about your weakness? The answer? Pick a strength and talk about its downside.

For example, if one of your strengths is that you take pride in your work, then you could say perfectionism is your weakness. Likewise with being detail oriented — perfectionism is a perfect weakness to compliment that strength. Then you go on to say how you're able to "manage it" really well and have actually been able to turn it into a bit of a strength by using that higher standard of yours to produce stellar work.

My choice typically revolved around my pet peeve — that's not my job. This always made the interviewer smile (because it was their pet peeve too) and ask, "well, how is that a weakness?"

I responded by telling them how it was my instinct to "go the extra mile" and help someone with whatever it was when I knew it was something I could do. It just made more sense to me than to pass the buck to someone else. Of course (and here's the weakness part), in the Corporate World, there are departments and divisions so you have to be careful that you don't step on someone else's toes or disrupt the normal accepted process for getting that certain something done.

And viola! I've just given them a weakness — something I strive to work on — that basically says I'm a "team player" and do "whatever it takes" to get the job done.

The bottom line is that you want to be the person they don't soon forget. The person who stands out — the one who they can see themselves working with on a daily basis. To do that, you have to be more than just another resume...

As in love, you don't want to be the one they can live with...you want to be the one they can't live without.

Permalink | 20 comments | Kate Luther's blog | Channel: Career Building

Similar entries:

This article is from Wise Bread.

Best deals for Friday 03/05/2010

Linsey Knerl — Fri, 05 Mar 2010 15:55:55 +0000

Tyson 3-in-1 Convertible Crib for $110 + free shipping

Daughtry "Leave This Town" MP3 album download for $4

Cook N Home 9.5 Quart Stainless Steel Juicer Steamer $60 Ships Free!

Free sample of Rachael Ray's Nutrish Dog Food

Timberland footwear and apparel up to 80% off this weekend!

Precision Plastic Reduction Part Three

Myscha Theriault — Fri, 05 Mar 2010 14:00:04 +0000

By Myscha Theriault

It’s been a while since my last plastic reduction post. That’s because the further I explore the process, the more difficult I discover the next phases to be. I’ve persevered however to find new successes and frustrations. Ready to find out how this next phase of plastic reduction has gone? Read on.

New Finds

Plastic-free cheese

At Sam’s Club, various flavors of Laughing Cow come in affordable three-packs. The exterior container is paperboard, and the individual wedges are wrapped in foil. The three-pack of cheese wheels also comes wrapped in a cardboard sleeve. I love the fact that the individual wedges don’t need to be repacked for your daily brown bag lunch. I also found French brie by the large wheel for just under six bucks. The container is cardboard and the actual cheese wheel is wrapped what appears to be a wax-coated paper. (Although it could be plastic or clay, and I’m not exactly sure how to tell the difference.)

Lemon juice in a glass jar

At Walmart’s ethnic grocery aisle I found a brand of lemon juice called GOYA. It comes in a glass jar with a plastic cap. This brand is extremely affordable and has way less plastic waste than the two-pack of plastic bottles from the warehouse stores that comes with a plastic connector piece.

Target’s bulk candy dispensers

We’re not big candy people, but those who are (or parents planning for Easter) can get numerous varieties of package-free candy at their nearest Super Target.

Spices

Also at Target, I found spices in glass jars with metal lids and no plastic shrink wrap sleeve around the top. When I need a spice in a smaller size, this is my new go-to source. They are part of Target’s generic store-brand line, so they’re affordable as well. Three that I purchased this past week were Chinese five-spice, cardamom, and sage.

Marine supplies

Devoted mainly to marine supplies, Green Boat Stuff (affiliate link) has many items suitable for home use when trying to embrace plastic reduction. Some examples include metal window squeegees with replaceable rubber blades, wooden scrub brushes, and stainless steel bar ware.

Frustrations

Forced to choose between package-free and organic produce

With the bare produce options available to me (found after MUCH searching and a commitment to making special trips to out of the way locations to stock up), I could easily achieve a 90 percent reduction in my produce packaging. The problem? Now that I’ve also been trying to incorporate more organic produce into our diet, I’ve noticed that much of it comes in plastic, while more of the nonorganic produce does not. What’s up with that?

Lack of local eco-options

I’m still amazed at the difference between options readily available to folks in the California/Oregon/Washington neck of the woods, and what we have access to hear in Florida (and elsewhere). Bulk bin dispensers are something I have to really plan to incorporate due to a lack of local access to that option, and even then my choices are limited. From the online reading I’ve done, it sounds like being able to refill containers for shampoo, olive oil, lotion, and liquid soap is a snap for those who live on the other side of the country. I’m happy for them. I really am. I’m just frustrated for the rest of us.

Recycling options contingent upon our municipalities

In my area, that means that many items end up in our weekly trash that otherwise wouldn’t. I know I should feel great about the fact that our weekly trash output has finally reduced to the point of being roughly 25% or less of the other homes on our street. And I do. But I have to be honest Wise Bread readers, at least one big toe is still planted firmly in the realm of “pissed off.” Why? I resent how much effort it takes to avoid plastic, and the fact that I’m stuck at this 25% of local average plateau when I could otherwise move on to canceling my trash pickup service and move forward to a drive to the dump every 4-6 weeks.

Confessions

How do I get it all done? I don’t. Remember when I recommended letting go as one of several effective housework hacking strategies? It turns out you can also use this same trick to accomplish lofty green goals. That being said, things have gone a little too far for my taste in the letting go department. Because it’s supposedly good for the soul, here are a few confessions about how embracing extreme plastic reduction has impacted the routine flow of things at our house.

Speed

Particularly at the grocery store. Decisions I used to make quickly are now bogged down with my current learning curve and concerns over plastics in the oceans. I find myself frequently wandering around with that “deer in the headlights” look in my eyes, changing directions with my shopping cart as I look for options with less packaging further down the aisle. This extra use of energy distracts me, and I often need to turn back around again to get what I wanted at the other end of the aisle in the first place.

Headaches are common as I debate over items that meet numerous nutritional and plant-based food requirements, yet aren’t plastic free. A core system that was efficient before I started this quest has now become cumbersome as I struggle to fit in new purchasing parameters. The only people who seem to have any patience with my deliberations are the numerous senior citizens in my area with extra time on their hands, stopping to ask me about my reusable produce bags and such. I try hard to remember this when some of these same folks stop for similar deliberations in the middle of an intersection I have to drive through on the way home.

Special projects

My Christmas tree is still standing in my living room. It’s March. I considered taking a photo for this article to prove this is indeed as pathetic as it sounds. Deciding the actual admission to the world was humiliating enough, I bailed. Incorporating more plastic-free grocery items has meant including items that need more preparation and also making special trips to get there. Rinsing out recyclable food containers for odor control while limiting trash bag use is a colossal pain in the ass. One that takes up free time I would otherwise use for household incidentals.

Focus

Planning plastic-free menus and the extra places I need to shop to make them happen is a frequent exercise in logistics. Making sure the produce and grocery bags are laundered and packed, planning the most time and gas-efficient shopping route, and leaving time for bulk food division once I get home makes getting out of the driveway a chore. I often forget things I wouldn’t have before. Last month’s lipstick fiasco is a perfect example.

I’d accomplished the lip lining portion of my makeup routine when my husband asked me if I needed the ice packs for the insulated shopping bags I take along when buying frozen food. I stepped away from the mirror to tell him where they were, and promptly got involved with the vehicle packing process, which involved numerous types of bags, coupons, and a few glass jars for the olive bar at the grocery store.

The end result? I was entirely through my day before I hit the ladies’ room at my last stop and noticed I’d spent the entire day looking like a bad Tammy Faye Baker impersonator. Not my finest hour.

So Wise Bread readers, that’s it for this round. I’ve decided I need a break from fresh plastic reduction efforts and will be calling it quits for a while. I’ll still keep up with the changes I’ve made so far, but have clearly reached the point where taking on new efforts in this area isn’t something I have time for just now. I will however be looking for hacks and tips for incorporating these adjustments with greater ease. While avoiding plastic is certainly not easy, it is possible to make a huge dent in your plastic (and overall) trash output with determination and discipline. Do you have any tips or tricks to make this process easier? I’m all ears.

Permalink | 8 comments | Myscha Theriault's blog | Channel: Green Living

Similar entries:

This article is from Wise Bread.

How Much Caffeine Is In That?

Sonja Stewart — Thu, 04 Mar 2010 18:00:03 +0000

By Sonja Stewart

Whether you're trying to avoid your own caffeine intake due to breastfeeding, pregnancy, or health reasons, or trying to keep your kids from ingesting more than their fair share, here's a list of a few everyday items and their caffeine content.

Coffee

Coffee varies in caffeine content drastically, even in the same coffeehouse, on the same day. Everything from roast styles to brewing methods affect the amount of caffeine you get. The lighter the roast, the more caffeine it has.

Starbucks (Grande) iced coffee, 16 oz: 190 mg. This is double-brewed. Without the ice it contains 380mg.
Starbucks brewed coffee, 16 oz: 330 mg. Brewed coffee has 50% more caffeine on average than instant coffee.
Instant coffee, 16 oz: 60-345mg
Starbucks latte, 16 oz: 150mg
Starbucks espresso, 1 oz (1 shot): 58-75mg

Tea

The longer a tea is steeped, the higher the caffeine content. If after the first steep, you add more hot water to the tea or tea bag, the tea becomes almost entirely decaffeinated.

Starbucks Tazo chai tea latte, 16 oz: 100 mg
Regular black tea, 8 oz: 40-120 mg
Stash green tea, 18 oz: 78 mg
Snapple iced tea, 16 oz: 18 mg
12 oz Nestea: 17 mg
Decaffeinated black tea, 8 oz: 2 mg

Soft Drinks

All drinks are 12 oz servings

Mountain Dew: 54 mg
Mello Yello: 53 mg
Diet Coke: 47 mg
Tab: 47 mg
Dr Pepper: 42-44 mg
Sunkist Orange: 42 mg
Pepsi: 36-38 mg
Coke: 35 mg
A&W Cream Soda: 29 mg
Barq's Root Beer: 23 mg
A&W Root Beer: 0 mg
7-Up: 0 mg
Sprite: 0 mg
Mug Root Beer: 0 mg
Fanta: 0 mg

Energy Drinks

No Name (formerly known as Cocaine), 8.4 oz: 280 mg
Monster Energy, 16 oz: 160 mg
Full Throttle, 16 oz: 144 mg
Enviga, 12 oz: 100 mg
No Fear, 8 oz: 83 mg
Rockstar, 8 oz: 80 mg
Red Bull, 8.3 oz: 76 mg
AMP, 8.4 oz: 74 mg

Food

Hershey's Special Dark Chocolate, 1.45 oz: 31 mg
Hershey's Milk Chocolate Bar, 1.55 oz: 9mg
Ben and Jerry's Coffee Heath Bar Crunch, 8 oz: 84 mg
Haagen-Daz Coffee Ice Cream, 8 oz: 58 mg
Starbucks Coffee Ice Cream, 8 oz: 50-60 mg

Medications

No Doz, 1 Tablet: 200 mg
Excedrin Extra Strength, 2 tablets: 130 mg
Anacin Maximum Strength, 2 tablets: 64 mg
Midol Maximum Strength: 60 mg

Things get a little tricky when it comes to what has caffeine and what doesn't. I knew Barq's Root Beer had caffeine, but didn't know that A&W Cream Soda has it as well. And just to confuse matters more, A&W Regular Root Beer is caffeine free. Also surprising was the caffeine content in Sunkist Orange. This list will help you keep the caffeine out of little hands (because they absolutely do not need it), and keep the buzz where it belongs — in your hectic, parental world.

This list was compiled with help from the Mayo Clinic article on caffeine content.

Best Deals for Thursday 03/04/2010

Linsey Knerl — Thu, 04 Mar 2010 17:15:47 +0000

Save up to 25% on Annie's Homegrown

McCann's Steel Cut Irish 28-oz. Tin Oatmeal 4-Pack for $17 + free shipping, more

KangaROOS all styles $19.95

Free Sample Beneful Incredibites for Dogs

e.l.f.: $25 Restaurant.com gift card with $15 purchase- coupon code RDC2525

Wise Bread

Best of Personal Finance: How to Make Coconut Milk Kefir

Top 5 Articles

Other Essential Reading

Best Deals for Wednesday 03/10/2010

Top 10 Real Estate Tax Write-Offs

1. Mortgage Interest

2. Hazard Insurance

3. Property Taxes

4. Property Depreciation

5. Legal Counsel & Landlord Forms

6. Property Management Costs

7. Private Mortgage Insurance (PMI)

8. Maintenance & Repairs

9. Advertising & Tenant Screening

10. Settlement Costs

6 Slick Tools to Save Money on Car Repairs

1. CarMD Diagnostic Tool

2. Local Auto Supply Store

3. RepairPal

4. DriverSide

5. AllDataDIY

6. Craigslist

Dealista

Ask the Readers: Do You Trust Product Reviews? (Chance to win $20!)

Win a $20 Amazon Gift Certificate

How to Enter:

Giveaway Rules:

Set Up a Safe Home Network

Best Deals for Tuesday 03/09/2010

The Legal Way to Avoid Getting Taxed on Your Investments

First Things First

Tax Sheltered Account

Why This Strategy Rocks

The Downside

How to Plan Your Garden

Space Availability

Growing Zone

Seeds vs. Plants

Where to Purchase

Experience

Resources

Crop Rotation

How to Succeed as an Online Student

Choose courses carefully.

Become familiar with online learning technologies.

Read recommended materials.

Participate in discussion forums.

Turn in assignments on time.

Serve as project manager.

Create a portfolio of your projects.

Best of Personal Finance Roundup: Credit Score Urban Legends Busted!

Top 5 Articles

Other Essential Reading

Turn Off Your Air Conditioning

Important Caution

Best Deals for Monday 03/08/2010

Cash vs. Accrual and Why Accounting Matters for Taxes

Best of Personal Finance Roundup: MasterCard Acceptance Guidelines

Top 5 Articles

Other Essential Reading

5 Tips to Acing An Interview

1. Be Unique

2. Learn the Art of Resume B.S.

3. Never Say Can't

4. Look 'Em In The Eye

5. Use a Strength as Your Weakness

Best deals for Friday 03/05/2010

Precision Plastic Reduction Part Three

New Finds

Frustrations

Confessions

How Much Caffeine Is In That?

Coffee

Tea

Soft Drinks

Energy Drinks

Food

Medications

Best Deals for Thursday 03/04/2010