The Almost Millionaire

I have been reading The Almost Millionaire blog and really am enjoying their tips and topics that are featured. I thought that I would feature the top financial tips for 2010, even though this year is 1/2 way over, but they are really good ones!! They all are my favorite, but I really enjoyed #7!! lol

The Almost Millionaire.com top financial tips for 2010

1.) Save as much of your income as you UNCOMFORTABLY can!
2.) Place a bet on US stocks.
3.) Study IRS tax laws!
4.) Work Harder!
5.) Strive to become debt free!
6.) Be Generous and Be Thankful!
7.)“Have fun, love people, and drink great coffee!”

What is your favorite tip??!! Share!!! :)

**A.Marie**

FINANCIAL PEACE

The following is a post written by my bloggy friend, Kelsalynn, over at Kelsalynnfitlog. Her blog title states, "My path to becoming financially and physically fit." I have been keeping up with her progress and it is so amazing! One comment that she posted really stood out. Here it is:

"I remember reading that once you have an emergency fund in place, things are no longer "emergencies", they're simply inconveniences."

I have thought alot about that phrase ever since I read it.

Then today, I read this blog post of her's, and asked for her permission to put it on this blog. It makes alot of sense and really explains the above comment. Read it and let me know your thoughts on the subject!

Here is her blog post exactly as she wrote it:

"The title of Dave Ramsey's program is "Financial Peace University." You essentially go to class for 13 weeks (1 night each week) and learn how to manage your finances.

The name never really meant a whole lot to me.

Until now.

Yesterday, if you didn't already read, Michael was stranded on the side of the road because our car would not go. It would start, but it would not accelerate. We called our buddy Phil who in my book, is a genius when it comes to cars. He diagnosed it as a fuel pump almost immediately. There was an AAMCO right around the corner so he towed it (he drives a Hummer) there for us to have them do a diagnostic just to be safe. Sure enough, it was the fuel pump. AAMCO wanted to charge us almost $500 for the part. Next door was an Auto Zone so Phil and Michael walked over and saw that the fuel pump is actually half that. They asked AAMCO if they could buy the part from Auto Zone since it's half the price and still pay them to install it. AAMCO said no.

Stupid AAMCO.

So, Michael and Phil paid AAMCO for the diagnostic, bought the part from Auto Zone, then they towed the car back to Phil's house where he replaced the fuel pump for us. We gave him $150 to thank him. All in all, we spent around $500 for parts, labor (Phil), and the diagnostic. (We also bought them dinner and we're buying their IMAX theater tickets this weekend).

It's almost embarrasing to think about how I would have reacted to this situation if it had happened 2 years ago. I would have thought, "Where are we going to get $500?" or "I guess put it on the card and we'll pay it off next month." or "Ugh, we don't have $500." Not only that, but I know 2 years ago I would not have been able to give Phil, our friend who helped us, any money...and especially not cash on the spot. I would have wanted to, but probably would have been so worried about how much it was already costing us, that I would have given him very little if any.

Yes, I have to admit, I probably would have freaked out over an unexpected $500 expense.

And now, my reaction is simply a shrug of the shoulders. It was slightly inconvenient initially but the end result was that we spent the day with some good friends. Repairing the car and dropping $500 was simply a side note. We are able to cash flow this as if we were out buying a soda from a vending machine. And even if we weren't able to cash flow it, we have an emergency fund!

To me, this is what Dave had in mind when he created his program. He wanted people to feel what I'm feeling right now. A sense of relief, serenity, and peace that we have the means to tackle anything that arises so there's no need to worry about it today or even tomorrow. He always says that your income is your best tool and when you're not sending it all out in debt payments and you have an emergency fund, very few emergencies actually arise and all you face are small inconveniences.

That Dave, he's one smart cookie."

Comments anyone?? You know I welcome them!! :)

*A.Marie*

BUDGETING FOR DIFFICULT ECONOMIC TIMES

I have been working and re-working my budget, as I'm sure a lot of you have, and I am definitely having challenges in getting my dimes to stretch into dollars (I really wanted that name for this blog, but it is already taken...drats!)

Anyway, I was looking through the internet for some budgeting tips for tough economic times, and you won't believe the "advice" that I am finding. Here are some examples:

• Start by cutting the fat from your budget. Do you really need the maid service (MAID SERVICE??) or the lawn care people (LAWN CARE PEOPLE?). By eliminating these, you will save approximately $80/week. And, just think (advises the article) of the extra exercise that you will benefit by doing these chores yourself.

Ummm..yeah, okay, I'll take THAT advice to heart.

• If both of you are working, only use the husband's income, not the wife's, because when the children come, she'll stay at home, and you won't have her income anyway.

I'm trying not to be sarcastic here, but I think this author is stuck in the 1950s. Last I knew, "Leave It To Beaver" was NOT the hottest show running on television, and 2 incomes are now the norm...not because the wife WANTS to work, but because she HAS to.

And, Finally, (I thought of you, Annie Jones, because of your comment on my other blog!) :)

• Don’t buy clothes in the sales. The clothes may be going out of fashion and you may only wear it a few times. Much better to buy something that you really like and wear it a lot.

WHAT?? HELLOOO author of THAT comment.....we are in a recession here, remember? Most of us can't worry about whether or not the item is "in fashion." Who cares if it's a "sale item?"

Is it just me, or are some people not getting this whole recession thing??

None of my friends have maid service or lawn care service. Most of them are working 2 jobs and barely getting by. They don't live extravagantly nor do they have the "best of the best." They are just doing the best that they can and trying to keep their heads above water.

So, with that in mind, here are MY three real-world budgeting tips:

1. Stop Keeping Up With The Joneses" (Not you, Annie Jones!) ...They're Broke!


2. Try and pay cash for most of your purchases. This will really stop that overspending.


3. Give back to the Lord; this will pay many dividends in the future!

You don't have to agree with them; those are just MY suggestions. I love to hear back from all of you, so go ahead, comment, and give me YOUR Real-World budgeting tips!

**A.Marie**

ENVELOPE METHOD OF BUDGETING (THE DAVE RAMSEY WAY)

This is from the Dave Ramsey Website:

"Dave Ramsey's Envelope System"

"On a budget? Still over-spending? Trying to figure out the best way to organize your finances and spend wisely?

Get on a Simple System

I found out that Grandma's way to handle money still works. People used to always use cash envelopes to control their monthly spending, but very few do in today's card swiping culture. The envelope system is a key component of the Total Money Makeover Plan because it works."

Have any of you tried the Envelope Method of budgeting? Have you had success with it? I am always looking for ways to improve my budget, and this type of budgeting makes alot of sense!

**A.Marie**