Debt Has Made Me Its Bitch

Official Move

2006-10-20T13:13:00.000-04:00

Well, I'm pretty much all set up at the new blog. I'm hoping everyone will update their links and check me out over there. Archives will still be here until I figure out how to move them. So, I guess this is my last post here at blogger. -sniff sniff-

http://www.debtservant.com

Thanks for reading!

two wonderful updates

2006-10-13T13:59:00.000-04:00

First of all...

I've just purchased a new domain http://debtservant.com/ so I'll be moving the blog over there! huzzah! blogger has been cool and all, but i hate the templates - yeah, im picky.

SECOND!!!
I've been using Cash Duck like a fiend these past 2 days because Kira has a little contest running right now. Just so you know it's working...

SPENT: 32.54
EARNED: 63.00
AWAITING: 68.00

Uhh just so we're clear - I've basically made 100$ pure profit y'all. IM SERIOUSLY NOT JIVING YINZ...
(yes I said yinz, I was emphasizing a point)

Last but not least...

My traffic has gone way down and I know that is because I haven't been posting regularly. I'm going to do my damndest to get back on top of things here once the transition to the new server is done.

Peace,
Jess

CASH DUCK - FREE $$...it's like employer matching..but BETTER

2006-10-12T15:03:00.001-04:00

So, ok - most of you 2 people who read my blog know who Kira is. Well Kira started this sweet ass website to make money from! I'm trying to write this so it sounds as legitimate and non-cheesy as possible, but honestly...I know it sounds too good to be true.

Basically Cash Duck is a refferal ad - clicky program thing. Kira lists offers (i.e. FREE TRIAL FOR NETFLIX!!!!! score) and you signup for the free trial and you earn $$$$ for it. Sometimes, the trials aren't free. Sometimes you pay a couple of bucks. Sometimes, you need to cancel in a certain number of days...Regardless, it's like free money. I kind of consider it like a really quick turn around stock market deal.
You invest a little (be it time or a few bucks) then you make a profit!! then you 'sell' (or cancel). Pretty sweet right?

Here's the way I work it. I look for the offers that have the highest payouts (my highest was 35$) which I paid 10$ to sign up for. Now, obviously you will need to keep track of/cancel subscriptions that you don't want, but that's not much work at all.

So now, I have a little refferal button over on my side bar. HOOK A SISTA UP!!!

7th Edition of Festival of Under 30 Finances! (let's hope I don't screw it up)

2006-10-06T09:49:00.000-04:00

Ah, once again - I am HARDLY doing this carnival justice, so forgive me. My question for this edition was:
What method have you found works best when changing jobs and negociating a higher salary and/or benefits? What are the deal makers or breakers for you?

The responses I received were pretty helpful. Unfortunately everyone couldn't answer, but thanks to those who did!

HC: Well, my method for getting a better job was to go to grad school, but that obviously doesn't work for everyone. I will say that I had several competing offers come in at the same time, and was therefore able to get a salary boost from my ultimate employer. So my advice would be not to settle too much on one dream job, because several offers give one room to negotiate. As far as deal makers and breakers, I do want a relatively flexible leave policy. It's so important to be able to take time to care for one's family. Obviously salary and the usual benefits matter a lot, but if it comes down to a place that will allow me to take extra leave and one that won't, I'll go with the one that will.

Kira: Well, being awesome has always been my basic strategy for securing higher pay. Be better than everyone else - and be worth the higher salary. It won't strain your relationship with a future boss to say, "I'd like to ask for $X+5k, can you accommodate that?" Just gotta be a little bit brave...

Susan: After far too much exposure to awful resumes, I think that what many young people need to work on first is ensuring that their resume is good--it's really the first step. You can have the best interviewing and negotiating skills around, but the resume's still what gets you in the door.

Laura: A good strategy that I have heard but not yet used myself is to ask that your salary requirement be met after 6 months if the company is not willing to meet it initially. Your employer feels secure that they don't have to pay up if you're doing a bad job and you get the salary you want after a short wait.

Now for the GOODS!

Wenchypoo presents Maintenance Makes Up for Low Price posted at Wisdom From Wenchypoo's Mental Wastebasket.

HC presents One Big Mortar Board: Well, that's one way to avoid student loans posted at One Big Mortar Board.

Kira presents Penny Foolish: The one issue I don't have with Robert Kiyosaki posted at Penny Foolish.

Spender presents Change can be more than you think posted at Spending Less.

Susan presents The Grown-Up Resume posted at Am I Grown Up Yet?

David presents Budgeting In Your Twenties posted at Money Under 30.

Katie presents A finance website can’t say that! posted at Aridni.

David presents My 25 ways to save money-the small things add up! posted at The Good Human.

Bill presents Your Own Business posted at Ask Uncle Bill.

Bryan C. Fleming presents Counting Cold Hard Cash posted at Bryan C. Fleming .com.

Jeff Plumb presents The Buck Stops Here » Online Savings Accounts posted at The Buck Stops Here.

Jeremie Beaudry presents How Short Term Goals Make Long Term Results posted at eFIPO Finance and Politics for the Younger Generation.

Tyler presents How to Choose Dividend Growth Stocks posted at Skinny Investor.

Laura presents I got a raise! posted at Then Things.

HeJustLaughs presents Why reinsurance companies like MRH are the place to be posted at HJL Money Blog.

Penny Nickel presents Share a car-- save the earth and your wallet! posted at Money and Values.

Word from (Ninja Pigeon) the sponsors:

Please check out The Under 30 Honor Roll, which was founded by our very own Kira of Penny Foolish. If you're only hearing about this for the first time, we'd appreciate you stopping by and maybe even checking out the forums, which are sadly lacking in posts since the site was moved to its permanent home. Here is a
little more background information on the Honor Roll.

I Love To Spend Money

2006-10-04T11:41:00.000-04:00

Honestly, as of recent, I don't. Now, understand that I am one of those who appreciates the finer things in life. I mean, come on, we can't take it with us right? When you work 40 hours a week, or 50, or 60, sometimes you need to treat yourself. I am of the opinion that spending a little more to get a little more is worth it. I also believe that you gotta spend money to make money, but that's another unrelated topic...

For me, spending 100$ on dinner with friends would probably make me uncomfortable. 75$ would be easier to swallow. 50$, I wouldn't blink twice. Going out and spending time with family, friends, loved ones, and having a GOOD meal is priceless. Do I do it every week? Noooo...but I might if I had the money.

I love food. I spare no expense for food. But lately, I've been having a really hard time spending money on it. It really is kind of exciting. I don't know if it's because I've been especially broke the last couple of weeks, or if I'm getting more serious about my budget, but I really DON'T want to spend spend spend like usual.

Hoarding money, tracking spending, and streching dollars have become some of my top daily priorities. Certainly I'm still eating out, but I have a budget for that now (oops - I'm almost maxed out for the month). And I THINK about what I'm spending. I've stood and stared at the vending machine thinking...do I really want to spend 80 cents?!

All of these new changes and challenges I welcome. I'm still tracking every penny and trying to make better decisions about my cash flow. I have to get my DMP paid off and some of these personal loans done. Baby needs a new ride!

Back In The Game

2006-10-02T10:03:00.000-04:00

Well, I am finally beginning step 2 of the PLAN!

I began tracking my spending again yesterday, just so I can be sure that my new budget stays on track.
Here is my estimate for October:

cable	50
phone	125
ccs	275
B loan	250
A loan	100
rent	475
electric	50
save	50
A loan	200

total	1575

Those should all pretty much be on point. The 'b loan' and 'a loan' are both people that I OWE. One is the ex and one is the current partner! AWESOME.

Right now, I owe the current partner A quite a bit of money ($4000) as I have made a lot of necessary purchases with A's credit.

The ex B, is owed for a purchase made when we were together. I've split the cost with her, so it ends up with me paying around $1100.

Here are extra expenses (and bills included)I have budgeted for:

bus fare		60
eating out		80
bills		1575
parking		45
entertainment		100
savings		50
school		100
gas		40
household/groceries		150



total		2200

My bi-weekly checks from work equal up to $2100. I still have some additional cutting and saving to do.
Fortunately I do a fair amount of freelance ( accepting work now!) so thats always good for a couple hundred extra each money.

In other news, I QUIT SMOKING!!!!!

Out From Under The Rock

2006-09-11T09:46:00.000-04:00

I'm back for a minute to let you know I'm not dead! I'm sorry I let nearly a month pass without an update. I did manage to complete my tracker for the month of August and promise to get all of the totals and new budget plan together for the next post. I've been a little pre-occupied with FINISHING SCHOOL!!!! yesssss...

now, back to the grind

Letting It All Hang Out

2006-08-18T16:22:00.000-04:00

Well kids, it's been one of those weeks...

My spending has been ok, I tried not to eat out as much this week. Broke down yesterday. Oops!
I have an 'unexpected' expense coming up on Saturday (cable install - 130$) which I really don't have the money for. I also have to order 3 books for an online class (probably about 50$) and also make to next Friday. Wednesday, I 'accidently' went buck nutty on eBay and bought 3 things (61.09$) that I have to pay for ASAP.

Current Account Balance: 131.96$

I have a refund check floating out in space somewhere for around 200$. I also have a sidejob paycheck coming for about the same amount. No real idea when these will be paid to me.

I have about 30$ in my Paypal account which I can't access because I need to re-verify.

I also have my ING e-fund: 25.40$

And another 20$ stashed in my closet for EXTREME emergencies...

It's times like these when the tracker is useful for reminding myself how foolish I am with my money. SO, I guess my plans for this weekend will involve some hustlin'

Blah...

30 Under 30 Festival - LIMITED 3rd EDITION!!!

2006-08-11T17:06:00.000-04:00

Check out our third Festival of Under 30 Finances over at Beachgirl's Budget Blog.

I still have yet to submit a post - next time, I swear...

Hi, My Name is Jessica....

2006-08-10T17:22:00.000-04:00

and I have a problem with spending. My, my how the sexy tracker has opened my eyes...
It's only been a little over a week and I've spend about $750. Only about $250 was budgeted for.
Not to mention I just aquired another $2000 (iMac) debt.

I don't even know what to say to that.
Anyone hiring web designers?

Saving On A Shoestring

2006-08-09T11:25:00.000-04:00

So, I found this article from MSN Money that I printed a couple of years ago (2004) that had some really good tips on it and I thought I would share a few of my favorites:

Accept frugality as your savior. Become a closet cheapskate and emulate your frugal friends. Note that they fix the shower curtain instead of buying a new one. Sit down with Depression-era relatives and ask about economizing.

Cry poverty -- with style. Learn handy phrases like, "Let's eat somewhere cheap." And "Shopping? Blech. Let's go for a bike ride." It's less embarrassing than you'd think, because more people are in your shoes than you think -- and they'll be grateful you spoke up.

Don't even think about it. Direct deposit is a saver's best friend because the money is whisked away into your IRA, 401k or money market account -- and you don't have to do a thing, Except drop by your payroll department and/or your bank and fill out the damn forms. Today.

Play money games. Whenever you get a $5 bill, put it aside. Or do it with ones, with quarter, or all your spare change. You'll have a nest egg before you miss a nickel.

Toss the catalogs. The most insidious form of spending temptation known to man or woman. Chuck them straight in the trash. Yes, including Victoria's Secret.

Re-evaluate. Re-evaluate. Re-evaluate. That dinner out cost more than you spend on groceries in a week. That pair of shoes is worth half a commuter pass. Learn what your money is worth, and you won't be so quick to dispose of it.

Never pay full price. If you must shop, for pete's sake, discover the online world of discount web sites. Ebay is still ok, but half.com and craigslist.org are excellent sources of "lightly used" goods -- everything from books to jewelry to office furniture -- to the entire first season of Star Trek on video.

Don't pay unecessary fees. Like the $1.50 you pay just because the ATM is right there, right now as opposed to walking two blocks to your bank, where you don't get charged every time you use your cash card. Or the late fees for returning videos. (Netflix people!) I know a woman who paid $60 in late fees to a video store last year. (It wasn't me.)(Ok, it was.) Or those fat charges banks hit you with when you write a check that, well, bounces.

I'm so guilty of the last one! Pay attention to my tracker...you'll see what I mean. I especially like the second to last tip. Re-evaluate. I have noticed that with tracking my spending and actually paying more detailed attention to where my money goes I am more concious of my spending. Hopefully by the time the end of the month rolls around I will have brain-washed myself into a more frugal way of living!

Holy Hectic Schedule Batman!

2006-08-07T13:20:00.000-04:00

Wow, it seems like it's been a few days (weeks) since I posted anything worthwhile. Fortunately things have slowed down and I have a little time to share my new toy!

Last week, on the 31st I was reading this post over at the beachgirl's blog about the debt-proof living plan and I was inspired to get started on it. yesssss! so, as soon as the 31st rolls around ( I started august 1) I'm going to
tally up my monsterous monthly spending total and get started on step two.

So far, I'd been keeping a little notebook as the instructions say, but today I was reading from the red and saw he was using a cool little app to track spending! hahahaha PERFECT!

I'll be updating this little baby for another couple of weeks(possibly after that) if you want to check it out. I can already see where all of my money is leaking out and I've been trying to make adjustments accordingly!

She thinks my tracker's sexy

New Under 30 Festival Is Up!!

2006-07-28T16:29:00.000-04:00

Yeah, check it out

Setting New Goals For Savings

2006-07-21T15:36:00.000-04:00

Well Kira inspired me to re-evaluate, so here's what I came up with:

For August and September I'm paying off a 1500$ debt to an ex so I plan to save 50$ each month.
I would drop in more, but I'm also moving August 1st and I know how unexpected expenses can pop up.
I also dropped my 401k contribution down to 1% for these two months. What can I say? Times is hard.

August/September:

10$ - 401k -- 2x a month
25$ - ING (emergency fund) --1x a month
25$ - HSBC (long term home/car fund) -- 1x a month

For October, debt will be paid, but student loans kick in (arg!). I will reset my 401k contribution to 9% (matched 1%) and up the payment to my debt management program. This works out to me paying 200$ for my loan and 300$ for my DMP. I end up overpaying them both, but that should help out in the long run.

October:

130$ - 401k -- 2x a month
100$ - ING
100$ - HSBC
100$ - IRA
25$ - Sharebuilder stocks

I will be pretty much locked into that budget for a while unless I get a raise (gasp!), or my student loan payments increase! I know I'll probably make extra $$ from freelance, but I plan to use most all of that towards my debt.

Sounds good, eh? I sound so financially responsible!

Under The Thumb

2006-07-19T14:46:00.000-04:00

So, did I mention my brakes went bad? Yep - everytime I stopped the car I came to a grinding hault...literally.
I was riding my brakes metal on metal which I had no idea was a bad thing. I mean, I knew it didnt sound healthy, but really...what do I know about cars?

Sunday, I went to a brake repair shop (cough, cough FIRESTONE), and was told it would cost something around $275 to get them fixed. Fortunately, I have friends with connections and got hooked up with a good mechanic who did the work for $40! I ended up paying $140 for 2 new brake pads and 2 rotors. Saved myself just about a hundred. Brilliant!

Yeah, except I didn't really have that money to replace the brakes.

I ended up taking $175 from my deposit money that needs to be paid on the 28th. So, of course, my budget for next paycheck is completely screwed. I also owe people money now.

As sad as I am that I had this unexpected expense come up I'm sort of relieved also. I have this horrible habit of putting things off (especially when it comes to maintaining my car) that really need to be taken care of ASAP. I kind of feel good about being able to get the problem fixed so quickly and 'technically' having the money to do it. Is that weird?

First Festival!

2006-07-14T14:02:00.000-04:00

So, the first festival of under 30 finances is up over here. I didn't submit this time because i suck, but there are some really good posts! Need I say more?

A Mind Is A Terrible Thing To Waste -or- I WAS ROBBED!!!

2006-07-11T11:56:00.000-04:00

First, let me just try to post some screen captures from my account: Exibit A...My current (or "original") balance on my student loans. Fortunately I was able to consolidate them on June 28th (haha, kind of late) and my interest rate dropped from 6.54 to 4.75. Now mind you I'm still in school, so I don't pay on it now, but of course by consolidating, I opted out of my 6 month grace period. Yeah, nice...

So, as you can see to the left. I owe about 45000$. I was able to have some of the cost of my 60000 $ education paid for by grants, but because I was the only one willing to shoulder the burden for higher learning I will probably spend the rest of my life paying back debt. Ok, actually the next 36 years. Uh, WTF ?! Does it make any sense for me to be paying for my education until IM 60?!!!! Now, I don't have a problem paying for education, but I don't think people should have give and arm and a leg to do something more with their lives. Seriously, you have to start asking yourself if it's worth all that. For example, I have a friend who tends bar and makes easily between 500-800 weekly. Now, techinically I make close to that, but shes not working daily 9-6, she only works 3 or 4 days. Sometimes I wonder if I shouldve dropped the 500$ for bartending school and called it a day.

My education was costly. Was it worth it? Sure, yes. 45,000$ is a big number, but it's not insane. My potiental for growth is pretty decent. I fortunately have nothing to do with my money but pay bills (no family), so it's not THAT BAD, right?

Exibit B:
I'm an optimistic sort of girl, I really am. I'd like to believe one day my career choice will provide an opportunity for me to make 6 figures. Is it possible? Sure! Probable? Uh...I don't know if my annual salary will ever exceed 75k. Certainly not here in my lovely city. Perhaps it could get above that number if I moved and planned to work 20 years in the industry. Paying 45000$ until im 60 is disturbing. Paying 78000$ until im 60 is $&@#^!$( RIDICULOUS. I was reading this article on CNN Money. Basically, this generation is getting shafted. I don't want to be living paycheck to paycheck for the rest of my life. Maybe I won't be eating ramen noodles anymore, but damn - is there really a way for us recent/future grads to be successful?

Upon receiving this horrible information about my loans, I searched the net for some consolation. Didn't really find any, but managed to score some helpful(?) hints.

How Not To Get Suckered Into OVERPAYING:

SCHOLARSHIPS

The pitch "Pay us to search our vast database and win you a scholarship - and we'll apply for you!"

The truth Generally, you shouldn't have to pay to find or apply for any scholarship. Plenty of web sites have searchable databases that you can scour for scholarships and grants absolutely free.

Trusted sources

Collegeanswer.com

Scholarshipexperts.com

CONSOLIDATION

The pitch "From the U.S. government: Act by midnight or you'll miss out on consolidating your student loan at below-market rates."

The truth This isn't from Uncle Sam, it's from a marketer. Student loan rates do go up on July 1, however, so now's the time to consolidate. Also, rates are set by the government, not your consolidator.

Trusted sources

Loanconsolidation.ed.gov Explains consolidation

Salliemae.com Another good first stop

FINANCIAL AID

The pitch "We'll submit your FAFSA for just $79.99 - don't worry about a thing."

The truth For starters, submitting a FAFSA is free - hello, it's called the Free Application for Federal Student Aid. This pitch likely came from a web site that had a URL suspiciously close to that of the official site, such as fafsa.com or fafsa.us.

Trusted sources

Fafsa.ed.gov How to apply

Finaid.org Tons of timely info

Ed.gov Main federal aid site

Who's A Good Girl?

2006-07-06T16:00:00.000-04:00

Alright! Cupcakes all around! The lovely beachgirl just gave me an ING referral and helped me take that first step into my LOFTY savings goals. Eh, not really lofty...I just know how SLOW to follow through with anything I can be, so today is a big deal! Guess what else I did people?! Yessss, I finally called to have my previous 401k rolled over. ANDDDD I setup my new 401k today. 3 for 3 man! Next up, complete the rollover, setup ING Roth IRA, and setup HSBC e-fund. I am trying my hand at using Microsoft Money 2006 just to see if I can track what's going out vs. what's coming in. Since I also managed to collect some $$ that was owed yesterday, I was seriously considering taking a good portion and cutting my debt in half. I checked my balances today and here's what came up:

HSBC - 576.29
Orchard - 540.74
JCP - 391.21
Capital One - 472.93

So, I have 1000$ I can use. My only dilemma is whether to spread it across all 4 or knock out JCP and Capital One and leave the other two for my DMP.

So yeah, who wants a cupcake?

Taking Things Seriously

2006-07-03T10:43:00.000-04:00

So, admittedly, I've gotten off track with this being financially responsible. It's upsetting to me. It's not that I've been especially foolish with my money lately (although I wouldn't say I've been smart), it's just that there's still alot of unresolved money issues that I'm avoiding/putting off. This is something I struggle with in every aspect of my life and it's come to the point where I'm fed up. I was talking to my friend over the weekend and I was trying to explain how I feel stuck in this mentality of 'struggle'. I was ranting about how the system is designed and how the man is always trying to keep us down and how there are so many opportunities to break free from this struggle but most people never realize and take advantage of them because we are so caught up. My friend said we aren't stupid people, we just don't know how or where to take our first step. I think it again goes back to our education and our experiences. We are stuck in the daily grind because we've been taught that this is how it is. Life is a struggle. Working for nothing, trying to get something, that we aren't sure even exists for us.

I'm sick of it. I shouldn't be struggling. I shouldn't be in debt. Not saying I'm making millions here in the burgh, but I do pretty good for my age. I have around 6 grand in debt. That's not an insane amount. I can certainly take care of it. I'm single, no kids, cheap housing...why the hell am I always scraping? THERE IS NO REASON I SHOULD BE!!

Yeah, that kind of blows my mind. So today, I'm finally (a month later) going to call and roll my 401k. I'm going to work on finishing some projects and collect some $$ owed to me. I'm going to take care of the rest of my bills. I'm going to call my debt management program and make up my missed payment(s). I know I'll feel better if I do this 'grown-up' thing right. If I'm trying to rise above this mentality, I know I have alot of work to do. I'm going to try and get another post up either Friday or next Monday, just to keep myself honest!

Pinching the Pennies

2006-06-23T15:27:00.000-04:00

After an almost 2 week hiatus and far too many online purchases, the guilt was finally starting to overwhelm me. Earlier this week I got started with tracking my spending in an excel spreadsheet. I hoping that I will somehow shock myself into spending less. So far nothing, but I'm optimistic. I had a hairy situation with my bank account a couple of weeks ago, but I'm happy to report everything is back on track. Sometimes I feel like I'm managing my money properly, but there are times when I make slip-ups and that of course throws everything off. I wrote out a little check list of things I need to take care of this next month. First being rolling my 401k from my old job to my new job and getting my contributions set up. After that's taken care of I need to open my ING account and get funds set up for my HSBC account. I want to put 10% into 401k and 50$ to each savings account each pay. That ends up being about 450$ saved each month, which is managable for me right now. I still have many more month of my Debt Management Program (especially since I missed a payment last month), so I want to try and pay double on that every month. Right now my biggest challenge is buying crap online. I am seriously considering ordering a new debit card from the bank because I've memorized my # and that just makes things way to easy.

In the past week I've ordered:
Skin Care Products - 25$
3 Art Prints - 70$
Car Charger for my phone - 25$
25+ Songs from iTunes - 25$

I could've saved that :(

Making Ends Meet

2006-06-06T17:27:00.000-04:00

Over the weekend I was given a very BIG and HORRIBLE reminder of why I started this blog. I have been looking at this apartment for about a month now, and finally submitted my application (with co-signer) along with the fees for that ($50) and the first month's rent ($575). Of course, not an hour after I had applied, the woman called me back to notify me that my credit app had been denied (shocker).

At that moment, a lot of thoughts went through my head. First, of course, was *($@#^@. Then I started to get irritated about putting myself in this situation. I've said before that I've made a lot of stupid decisions, especially when I had SEVERAL opportunities to pay off my debt, which I'm kicking myself for now, but I'm trying to get back out of this hole. I was really upset about being irresponsible, I was upset at my parents for being irresponsible (neither one could co-sign for me because of credit problems), I was upset with the management company for not being more understanding (I sent a letter to the woman explaining my situation beforehand), and I was just generally stressed because I happened to be leaving town that day and was totally unprepared.

I ended up asking a friend for help. That made me feel even more uncomfortable, but she told me sometimes you just have to accept help when it's available. So, despite struggling with all of this over the weekend, the management company called today and said they are mailing out my lease! There are a few small financial details to be worked out, but I'll have to talk more about that later. Headed to class...

Playing Catch Up

2006-05-31T08:48:00.000-04:00

I have a couple of posts that I've been saving up, but things have been hectic with job-switching over the last few weeks. Now that my income has changed, I'd like to re-evalute my budget and get started using all the advice I've received so far. Stay tuned for that one. For now, I'll ask for some more advice. This time for a good friend of mine. If I don't get any responses here (though I am hopeful!) I may try asking Single Ma. She seems to be full of good info. Without further ado...

My friend, we'll call her 'A', is 37. Currently she works full time making about 400$ a week. I know she puts 15% into a 401k and she also takes 100$ a month and puts it into an account at the credit union (which just sits). At the end of the year she takes the credit union $$ and puts it into an IRA.
She owns her home with a mortage payment of 1200$ a month. She has very little debt (I believe she said under 1000$) which is on credit cards shes pays down every month. She told me she also has an emergency fund, but I didnt get the $ amount on that.

She and I have talked before about different things she could do with her money, and ways she could get it to work for her, but since I'm certainly no expert, I was wondering if someone could give me any ideas for her.

Thanks much!

Senioritis

2006-05-23T16:54:00.000-04:00

Everyday, I stare blanky at my computer screen and think...
"You should do something with your life today.."

My next thought is always..."It's too nice out!"

Graduation is only a couple of months away!

Weekend Confesssional

2006-05-15T13:30:00.000-04:00

So, I'm pretty sure I've mentioned this before, but just in case you weren't all aware, I have a problem. I am absolutely addicted to buying sh-- I don't need. I posted previously about needing to track my spending and when I left work Friday (after giving myself a pep talk) I had resolved not to spend more than $30 this weekend. I ended up spending $80. Under normal circumstances, this would be "fine", but it just so happens that I've been spending this way for the past week and I have some bills that I'm behind on. I originally intended to take the money I got paid Friday and deposit it into my account to cover the payment that I had scheduled. Yeah, that didn't happen. That leaves me with $150 in cash, $15 in the bank, and 2 bills totaling $355 that should've been paid already. I suck at life...

My financial irresponsibilty manages to rear its ugly head again and I'm left feeling ashamed and disappointed in myself. I know better than this. WTF am I doing? It's probably quite obvious now why I am still in debt. I have the opportunity to take care of my business and I flake out. So, now that I've purged, I have to spend this week trying to get back up and handle this. On that note, a post from lifehacker on how to trick yourself out of not buying stuff!

The Deluxe Apartment in the Sky

2006-05-08T15:42:00.000-04:00

So, I somehow managed to get interviewed and offered a position at the company I interned with during the last week. As much as I don't want to sound like my decision to accept was solely based on money, I can't lie. It was. They offered to pay me 10k more than I'm currently making. I would be silly not to take the job. Because of the recent turn of events in my personal life, I'm now looking at having to be totally financially and emotionally independent. This, of course, is a huge stretch for me, and just another reason for me to accept this position. I need the extra $$ now more than ever.

I feel really guilty about leaving my current job. I'm scheduled to meet with my boss tomorrow morning and let her know. Hopefully she will be understanding. She knows that I've been house hunting...maybe she won't be surprised at all.

I am going to try and get one of those little status bars to track my debt/savings amounts. Really this is just for my benefit. It will be helpful to have a visual representation instead of just figures in my head.

I don't want to forget to thank those ladies for all the advice on my last post. I am going to come back to that issue later on this week. Hopefully I can plan on putting some of your ideas into action!

A Conflict of Interest

2006-05-01T08:41:00.000-04:00

Am I trying to save too aggressively?

I've talked a little about my outstanding debt in some other posts. I still have a ways to go on paying that down. Unfortunately, in the past I have had MANY opportunities to use refunds (school/tax) to significantly reduce my debt, but instead I used the money in ways I shouldn't have. Now that tax season is over and refunds are long spent, I'm trying to figure out what my next step should be. Right now I sort of feel like I'm 'blindly saving'. I'm putting some money away, but I'm not very educated on what it's doing, so I know it's probably not working for me.

Anyway, I have about 6000$ in debt (yes, it increased a bit) which I'm slowly paying down through a debt management program. I'm not entirely sure if is the best way to handle it, but I know that had I not joined it, I wouldn't be paying at all. Right now I send them 275$ a month ( that's probably why its not doing much) and putting 6% of my pay in 403b, which my employer matches half. I also have two accounts through sharebuilder - which I really don't know much about at all. My dad opened the accounts for me in 2002 and I just started to use them. One account is and IRA and the other account is just a couple of stocks. I try to put 50$ into each every month. Again, because I have no idea what these account do or how they work, I'm hesitant to use them. Today, I decided to open an HSBC online savings acct (4.50% APY) but I'm not even sure what to with it.

So I guess, here are my questions:

I don't have alot of money right now in general. I want to save every month in addition to my 403b, but I'm not sure what is a good amount to save and what type of accounts to put that money in. I want to save for the long term (30-40 years), the semi-long term (5-15), and of course short term (next year or two).

Am I trying to do to much right now?
Where do I put my money? What type of accounts would work best for me right now?

Perhaps I should be emailing Suze?

Day Late, Dollar Short

2006-04-26T16:50:00.000-04:00

Yep, I realize it's been a little over a week since my last post. I've gotten a little tied up in school and work and managed to go a little crazy with my spending. Right now, I'm down to $34.01 and I still have to last until next friday!

Hopefully everything will be back in order soon...

Baby Goes to College

2006-04-18T10:58:00.000-04:00

"A father is someone who carries pictures where his money used to be." ~ Anon

Over the weekend, I stopped in to visit my sister and my nephew. While I was there, we started talking about my income and she jokingly asking if I was going to pay for my nephew to go to college when he was old enough.

This was something I had actually considered doing not long ago. When I was setting up my savings plans, I thought about starting one for him. Truthfully, I would have done it then, but I'm barely making ends meet right now after a mishap at the bank. I may one day take a portion from my regular savings and move it into a 529, which is something I would have to research further, but I did however find some information relevant for my near future...

From Money 101 Lessons
Top Things to Know - Saving for College:

9. Lenders can be flexible when it's time to repay.

There are still ways to cut costs after you graduate and begin repaying your student loans. For instance, if you make 48 consecutive on-time payments, most private lenders will knock two percentage points off your interest rate.

10. Taxpayers with student loans get a tax break.

You may deduct the interest you pay up to $2,500 a year if your modified adjusted gross income is less than $65,000 if you're single or less than $130,000 if you're married filing jointly. The deduction can be taken for the life of the loan.

I'm excited to learn that repaying student loans isnt all bad. Having just consolidated my student loans last week, I was pretty upset about my final bill - 43,000$

Marrying for Money?

2006-04-14T10:50:00.000-04:00

Just a quick post today about an article I found here about women and their money mistakes. It talks about a book by Liz Perle, "Money, a Memoir: Women, Emotions, and Cash”. She's pretty straight forward about what these problems stem from...

Perle's financial awakening inspired her to interview hundreds of other women, online and off, about their own convoluted relationships with money. Much of what she found, many of us already know:
A lot of women suffer from the secret fantasy that Someone Else will solve their financial problems.

Many women are given mixed messages about how important money is supposed to be in their lives.

Growing up, most girls aren't given a straightforward financial education -- and many get negative feedback about how competent they are with money.
What I found most eye-opening was this: Because of a host of cultural and historical factors, women tend to harness even basic financial decisions to all kinds of emotional baggage. (Until the 20th century, most women couldn't own property -- and in some cases, they were property, Perle points out.)

This isn't just about shopping, she asserts. Just about every financial choice in a woman's life can be and often is freighted with values, judgments, desires and fantasies that, at bottom, have nothing to do with money.

Sometimes a cigar is just a cigar. But a pair of shoes is often about a storm of other issues brewing beneath the surface:
Self-esteem ("If I look good, I'll feel good")
Envy ("So-and-so has such nice shoes")
Deprivation ("I never get to have what I want")
Being good ("I've worked hard/had a crummy week/hate my boss and I deserve this treat")

Definitely hit home for me!

An "F" on Personal Finance

2006-04-13T09:57:00.000-04:00

Quote from MSNBC article about Teens financial knowledge...

" The average score for the survey was 52.4 percent -- a failing grade in most U.S. schools. Surveys in 2004, 2002 and 2000 also yielded scores in the 50-percent range.

"What we are looking at are students who by any educational standards are flunking the test of their financial lives," said Lewis Mandell, a professor of finance at the State University of New York in Buffalo, who conducted the study for the Jump$tart Coalition for Personal Financial Literacy. "

Read the entire article

So, I managed to download the quiz that the seniors took, which I probably did worse than the average. Seriously, where was I supposed to learn this from? School, TV, Parents?

For example:

10. If you had a savings account at a bank, which of the following would be correct concerning the interest that you would earn on this account?

13.5% a) Sales tax may be charged on the interest that you earn.
13.0% b) You cannot earn interest until you pass your 18th birthday.
50.9% c) Earnings from savings account interest may not be taxed.
*22.7% d) Income tax may be charged on the interest if your income is high enough.

* indicates correct answer

I definitely did not know that. As you can see, 75% of seniors didn't either. In general, my age group (18-24) doesn't know s@#%^ about personal finance.

One of the exact reasons I started blogging...

Learning New Things

2006-04-12T09:22:00.000-04:00

Wow, I don't know where to start. I was reading another PF blog I like this morning and her post scared the poo out of me. She linked to this article which talks about how paying old debt can hurt your score...

wtf?

I recently joined a debt management program (DMP). Actually I started in January, so this is my fourth month making payments. To be perfectly honest, I didn't really do much research before joining. Originally I had planned to sign up with Consumer Credit Counseling Services which was recommended to me by a couple of people and seemed to be pretty reputable ( by the way, their site has some nice resources), but after talking with a counselor and discussing the process I wasn't confident. I decided to just take it like a man and sign up and I had every intention of doing so! I received the forms in the mail and began gathering all of my statements and pay stubs to send back. The envelope was all ready to go, for about two months... I just needed a stamp. Yeah, I'm one of those people who handles all of their business online. I can't even remember the last time I stepped foot in a post office. Seriously, if I had to mail in payments for anything, all of of my utilities would be shut off. Anyway, the envelope sat on my desk, then moved to my bag (which I thought would remind me to buy a stamp), and eventually back to my desk.

So, about 3 or 4 months passed (I know) and my mom and I were talking about debt one day. She told me about some DMP she saw on MSNBC. I wanted to check out for myself, so I went to their site. Naturally, my first thought was "wow, their site is much more aesthetically pleasing", which is a big deal to me...

Can I just mention now that a big reason I didn't like CCCS was because I would required to mail a money order every month. Not going to happen.

I ended up joining the program right away. It had a lot of good reviews, nice web design, and I could take care of everything online! A counselor explained the monthly payments and how the cash would be distributed to my creditors. She also explained that some creditors would lower the interest rates for the DMP and to keep track of my statements...blah blah blah. I should probably confess that I don't even look at my statements. I rarely even open the envelopes. So I asked if joining the program would improve my credit, which she said it would help. I know that each item stays on your credit for 7 years, and that there is no company that can "fix" or "clean" your credit report, but I was just hoping for some improvement.

Now to my point...

Have I got it all wrong? Was beginning a DMP the wrong decision? I was under the impression that paying off old debts was good. I believed over time, I could pay everything off and gradually see some positive change in my score. Last I checked, (before DMP) it was a 560.
VERY low, but it used it be lower - believe it or not. I'm not one of the people who "live or die by their credit score", but I would really like to buy a home and maybe a car in the next 7 years. Am I totally screwed?

Not saying I'm quite there yet...

2006-04-11T10:53:00.000-04:00

The Saving Mindset - as quoted from another PF blog I read:

Here are a few tips on how to think and act frugally that I've found to be useful:

- Create 5-, 10-, 15- and 20-year plans. Having short and long term plans will help you be disciplined with your financial goals. Keep a small business card-sized card in your wallet that reminds you of these goals whenever you open your wallet to buy that expensive bottle of perfume everyone is buying.

- Your fellow twenty-something year old friends are not You. Don't buy all the coach bags, flat screen TVs, and Juicy Couture clothes that they buy. I hope this doesn't offend any of my friends who happen upon this blog.
- Anything that costs over $50 should go through a need or a want analysis.

- Don't let your money slip away on small items, such as spa manicure/pedicures. Instead, let your money build up for big things that will make a big impact on your life, such as an emergency fund or down payment for a home.

- Gifts for others don't need to be elaborate. Unless your friends and family really don't love you but just love your presents, which I doubt is the case.

Uh, wow... I really need to work on these, especially the part about letting money slip away on small items. I'm absolutely horrible with that.

Little Budgeting Calculator

2006-04-10T13:19:00.000-04:00

Something that may be helpful I found through my DMP...

One day you'll look back and laugh...

2006-04-10T10:58:00.000-04:00

Short Term Goals:

* Contribute 3% to my 401k to receive 3% matching
* Save $ 1,000 for a vacation fund by September, 2006
* Save $ 1,000 for deposit on a new apartment by September, 2006

Intermediate Goals:

* Pay off $ 5,000 or so left of my debt
* Build up my 401k/Roth IRA
* Save $ 7,500 for a house downpayment by October, 2007
* Save $ 2,500 for a car downpayment by April, 2007

Long Term Goals:

* Reach $1,000,000.00 by age 45

Introductions

2006-04-06T08:13:00.000-04:00

My name is Jessica, I live in Pittsburgh, and I'm 23 years old. I'm a full time college student, work full time, and perform various sexual acts for creditors in my spare time.

I created this blog for three reasons:

I need to completely erase my debt.
I need to regain control of my personal finances.
I need to learn budget, save, and invest.

This is mainly a way for me to track and share my progress. Maybe I'm the only 23 year old who doesn't know anything about savings/investments, but I'm betting not. I've found alot of great blogs on personal finance so hopefully I can share/relay what've I've learned with some of the other "Generation Debt"-ers.

Current financial stats coming soon...