It’s no secret that college has become an increasingly expensive way to get an education these days. With private school costs rising faster than inflation and with public schools hiking rates to compensate for debt-ridden state governments, the price of college tuition have reached new heights in recent years. Unless you are wealthy enough to cover six-figure costs or disadvantaged and qualified enough to receive large amounts of aid, it’s almost a certainty that you will graduate from school in considerable debt. Unfortunately, you may find yourself in even greater debt if you forgo a college degree in today’s job market. It’s a catch-22.

The burden posed by college is one that should not be overlooked by any young couple that is planning to have children. Even if you don’t plan on paying for your child’s college costs someday, it is still important that you help them save and that you take steps to plan your finances for the purpose of maximizing future financial aid. After all, even if the payment burden does fall on your son or daughter, the resources of the full family will be taken into consideration when most aid decisions are made.

Believe it or not, there is no better time to lay the groundwork for these plans before a child is even born. If you and your partner are at the point of having kids and want to prepare for their educational future, here are a few things to keep in mind:

Reduce Your Long-Term Assessed Net Worth

Colleges will usually consider a family’s total net worth when determining whether to provide financial aid. This net worth may include trusts, real estate investments, and the value of a small business. But it usually will not include money that has been invested in a dedicated retirement account. It will also consider a home that is fully owned far more heavily than one for which the family simply has a mortgage. On this note, even before your children are born, you can increase your likelihood of receiving aid by taking out a long-term mortgage and by investing consistently in retirement accounts.

Open a Dedicated College Savings Account

In many respects, saving for college should be approached similarly as saving for retirement. Both college and retirement reflect looming yet distant periods of time for which substantial resources are required. In this sense, you can reduce the burden of tuition substantially by regularly contributing money towards a college savings account, just as one would do with a retirement account. This process can begin even before a child is born so that it has as many years as possible to grow and to amass interest.

Keep Your Kids Close in Age

Planning to stagger the births of your children is certainly easier said than done, and many parents have personal reasons for wanting their kids to be more separated in age. But, from a college cost perspective, having multiple children in school at the same time can translate into considerable financial aid rewards for any overlapping period. Even having kids three years apart can insure one year of overlap during college – and one year of a more generous financial aid plan.

Hopefully these tips can help expectant parents start preparing for what may seem an incredibly distant event. While college savings should certainly not take priority at this point in time, having a long-term plan can help insure that your children don’t have to take out online loans or cash advances further down the road.

Many of us who are in debt and on tight budgets likely made a basic resolution for the coming year: we resolved to save money and reduce the size of our budgets. This is naturally easier said than done. Certainly, we can go shopping less frequently, eat out less often, and avoid taking any lavish vacations. All of these more frivolous expenses add up quickly and can be easy, with some self-resolve, to minimize and avoid.

But what about those more routine costs? Specifically, how can we reduce our core expenses in the coming year? Doing so can be more difficult and less rewarding on a per-item level, but lowering our core costs – such as food, utilities, rent, and transportation – can translate into substantial savings in the long run.

When looking to lower core expenses, your food budget is a great place to start. The easy first step is to reduce the frequency with which you purchase food at a restaurant or fast food location. Eliminating restaurant meals altogether can translate into considerable savings, but most people are unable to stick to a sacrifice that absolute. Instead, give yourself a monthly restaurant budget or limit your meals out to one night a week (ie, you only eat at a restaurant on Sunday night, if at all).

Once restaurant costs have been minimized, it’s now time to turn your attention to the money you spend at the grocery store. Many people spend frivolously at the supermarket, buying items that they do not need or perhaps won’t even use. To insure that your purchases equal your needs, the best approach is to plan out all your meals for a one or two week period beforehand. While doing so can seem onerous, especially at first, having a set list of meals with allow you to buy at the store exactly what you need – and nothing more.

The content of your meals can also make a difference. If you eat a lot of meat products, for example, your grocery costs will likely be higher than someone who gets their protein from beans and nuts. Other foods with lower costs and high nutritional values are rice, grains, eggs, and pasta. Focusing your meals on these products can save you a good deal of money in the long run.

Finally, you can also save money by buying nonperishable items in bulk. Instead of buying smaller containers of products such as olive oil or sugar, you buy larger containers at lower per-unit rates. These containers can then be stored in a pantry or basement for future use. You don’t need a self storage facility filled with nonperishable goods like many extreme couponers, but certain high-use items in your household are certainly worth buying in large sizes and then storing. As with all these other tips, doing so may not translate into immediate and substantial savings, but it will certainly reduce your food costs in the long run.

Every day we live our lives chasing the almighty dollar. Every day we work hard to make money and we strive to have more of it. It is this endless pursuit of money that I want to write about today.

I want to ask you a question, would you be happier if you had more money? In order to answer this question, one must ask what happiness is. In my opinion, true happiness comes from love – and as the Beatles said, money can’t buy you love.

Think about presents given to you on your previous birthdays. Do you value the expensive presents more than the cheaper yet thoughtful ones? Think about your memories. Do you value the memories of your luxurious getaway more than the memories of spending quality time with your family? Happiness is free.

I will admit that it is true that those living in poverty would indeed be happier with more money. After all, not having money to pay the basic needs of life is stressful. So you could see how having enough money to put food on the table and a roof over your families’ head would bring about a certain level of happiness.

But once your needs are met, having more money will not significantly increase your happiness level. Studies have also shown that happiness levels in third world countries are similar to happiness levels in America, the world’s last superpower.

But what if you were filthy rich, wouldn’t that make you happy? Not necessarily. Some people have tons of money and they focus on stockpiling it into their savings account. Why? Perhaps because they’ve already spent money before and it didn’t increase their happiness level. So instead they focus on the things that bring real happiness into their lives.

It is not true that the more money you make the happier you’ll be. There is never a certain dollar amount that will make someone happy. Those who chase money and make big money will forever lead their lives chasing even more money, as if there was a certain amount that would make them happy.

But don’t you have less worries the more money you have? You could get a maid, a personal assistant, a cook and more. But that won’t decrease your problems. It’s just like the song says “mo’ money mo’ problems”. When you have a lot of money, you tend to have more things to worry about, not less. When you’ve got money you deal with people like financial managers who manage your investments in stocks or real estate. You deal with making sure you dot the i’s and cross the t’s in your tax return. You also deal with friends / family hitting you up for money. You deal with people wanting to rob you or take advantage of you. You also tend to lose friends due to jealousy.

So what’s the final word, does money buy happiness? My answer is this: Money can only buy you temporary happiness. It can buy you that gadget you’ve been wanting. Money can also put you in a position to create great memories, such as traveling to visit a relative. But in the end, it’s not the money itself that buys you happiness. The things that bring you real happiness will always be free.

Should you pay off your credit card now or wait until you’ve saved up more money? This is a question many people face. Perhaps unemployment and other poor financial circumstances may have caused you to accrue credit card debt. But now you’re back on your feet with a new job and a little bit of disposable income. But yet you still have that pesky credit card balance which isn’t going anywhere. Do you pay off your debt now or wait until you have even more money? Let me break down the three different options available to you:

Pay It Now

You can choose to pay off your debt now so you stop wasting money on interest. Each month that you make credit card payments you’re basically flushing money down the toilet paying the high interest rates. Over the course of years we may be talking in the ballpark of thousands of dollars you’ve spent just on interest alone.

If you pay your credit card off now, you may not be prepared for either an emergency or an unexpected expense. So while you will have less coin in your pocket now, in the long run you’ll have more from what you’ll save by not paying interest charges.

Make Monthly Payments

In this option, you only make your monthly payments and you put the rest in your emergency savings account. By doing this, you won’t be ruining your credit score since you won’t have delinquencies nor any late fees. Your bank account will also grow quickly since you’re not tackling your debt, but delaying repayment of it.

After all, what’s to stop the universe from forcing you to need an expensive root canal the day after you spend all your money paying off your credit card? Yes, you’re paying interest but you can look at this interest as a kind of monthly insurance you pay to be able to keep money in a checking or savings account.

Split The Difference

Make a big payment (perhaps half of your total balance). This will drastically lower your monthly payment minimum while leaving yourself some financial wiggle room in the case of an emergency. This is probably the most practical option while you build your emergency savings account up. This way, you’re still making monthly payments (which helps to improve your credit score) but you aren’t broke and you’ve greatly reduced how much money you’ll spend on interest rates.

Dealing with credit card debt is a tricky issue but take comfort in knowing that millions of Americans are struggling with the same problem. In fact, dealing with debt is one of the most commonly refrained concerns in our nation. No matter what approach you take to reducing your debt or managing it, be sure you have considered your options from multiple angles to properly analyze the pros and cons of each situation.

To help get you out of credit card debt you’ll need to save more money. You can do that by automatically transferring money from your checking account to your savings account once you get paid every two weeks. You can also do things like curbing your entertainment expenses and impulse purchases. Another way of saving money is by getting a lower car insurance quote, cutting off your cable tv service and switching your cell phone plan.

While tax time isn’t until April 15th 2012 but there are several actions you can take over the next several days that will either reduce what you pay Uncle Sam or increase your tax return come April. Here are some end of the year tax savings tips to do before you ring in the new year.

End Of The Year Bonus

Are you expecting an end of the year bonus? Well you’ll have to pay taxes on that bonus. If you don’t want your taxes to be too high this year, ask your employer defer the payment until the first of January. Sure, you’ll still have to pay taxes on that income, but not until April 2013. So put the money in an interest-bearing account and collect the interest for well over a year, rather than just a few months.

Mortgage Interest

If you have a mortgage you already know you can deduct the interest you paid to the lender during the year. And if you’re like most people you pay your mortgage some time between the 1st and the 15th of each month. Well instead of paying January 4th, for example, make a payment December 31st. If you do, the interest you paid on that payment will be added to your 2011 1098 form that your lender sends you every year. Thus, you’ll have 13 payments in the year instead of 12. Doing this will decrease your tax liability if you itemize.

Donations

If you’re feeling a bit generous this time of year consider making a donation to your favorite charity. Any amount you give is considered a tax deduction. You won’t technically save money on this one, but it will decrease your tax bill come April 2012. Another good related tip is to make your donation in the form of an appreciated stock you have. You won’t pay taxes on the appreciation, yet you will be able to deduct the full amount as a charitable contribution on  your tax return.

Tax Credits

Some tax credits are expiring in 2011. Others will be phased out in coming years. Tax credits for making energy efficient home improvements will be phased out this year, for example. So if you had, are having, or are thinking of making those types of improvements, pay for them before the year is over to take advantage of the government subsidy.

I’ve set up a new real estate blog at: Housingpedia.com. In due time it will be full of useful tips on everything to do with the real estate market. Home values may have already hit rock bottom, which means buyers should act soon before prices spike up. It’s also a great time to buy a house since interest rates are at record lows.

It’s also an exciting time for homeowners who have been looking for a sign of hope in this dismal housing market. Those who have equity and good credit can take advantage of a lower monthly payment by refinancing.

That’s why I figured it was the right time to come up with a real estate blog that real people can understand. Expect practical tips on how to fix up your home to get it ready to sell. You’ll find advice on what to look for when buying a house as well as info on how to get your credit score up to qualify for a home loan.

If you’d like to write a guest post or two let me know as I’m looking to add more housing-related content.

With the holidays rapidly approaching you’re undoubtedly looking for just the right present for your friends and relatives. If you can’t figure out what to give, a gift card is always a safe option. While you may have heard bad things about gift cards in the past, things in the gift card game are changing. These changes are making gifting and receiving gift cards a more pleasant experience. Here are some things you should know about gift cards.

You Can Sell Your Gift Cards

There is a whole new market that has been created the last few years. It involves people selling their gift cards for cash. Sure you won’t receive the full amount left on the card, but it’s a neat way to get some value out of them. Other users can then purchase your gift card at a discounted price.

Re-Gift Your Gift Card

If you received a gift card as a present but never used it, there’s no shame in regifting it. A gift card doesn’t have a name attached to it so nobody will know. But let’s say you kept the gift card in your wallet and it showed some signs of wear a tear. Most stores will now allow you to trade in your unused gift cards for brand new ones.

Store Gift Cards

When you buy someone a store gift card it may seem that you’re limiting their options. They have to buy something from that store. If instead you want to give them the freedom to buy anything they want from any store you can give them a Visa gift card for example. The problem with that is that these cards carry a whole host of fees such as monthly fees, loading fees and inactivity fees. This is why you’re better off buying a store gift card with no fees instead.

Expiration Dates

New rules on gift cards have made them more friendly to use. The Credit Card Act of 2009 mandated that gift cards cannot expire for five years or five years from the last time money was loaded onto them. There are even stricter rules for companies and these rules vary depending on the state you’re in. In California, for example, gift cards have no expiration dates or fees. Also, in California, gift cards with under $10 on them can be redeemed for cash.

Overspending

One reason why stores like selling gift cards so much is because consumers typically overspend when using gift cards. Be wary of falling into that trap. Only buy what you truly need. Since your gift card won’t expire for a long time don’t try and spend all of it at once. You can make minor purchases and continue using your gift card until you’ve exhausted the funds in it.

There are a lot of financial predators out there. Companies everywhere are looking to balance out losses from the recession and figure a good way to do that is to bite off a few extra bucks from the consumer. They figure if it’s just a few bucks here and there nobody will mind or even notice.

Some are flat out scams while others are labeled as offers, upgrades and insurance which are offered supposedly for your benefit. If you’re not careful, you can end up being the victim of these casual and simple rip-offs. Here a few situations where you should put your guard up:

Cell phone warranties

The best example of how warranties drain you is cell phone insurance. Apple is the master of this. In order to insure your $500 iPhone you have to sign up for the Apple Care plan which usually ends up costing you extra money each month. Over the course of the year, it adds up to hundreds more dollars you’re spending just for the piece of mind that if you drop your cell phone you won’t be out half a grand. Bad deal.

Rent move out fees

A lot of apartment complexes now offer the the option of paying an upfront surety, a one time non-refundable fee, instead of paying the heftier deposit. What they don’t mention is that this surety doesn’t necessarily protect you from having to pay exorbitant cleaning move-out costs upon ending your lease. As with anything, be sure you read the fine print and understand your renter’s move-out policy. When you’re ready to drop the key off, you could find yourself staring at a bill with a list of carpet-cleaning, wall painting, and other fees that add up to hundreds of dollars. Usually, you can combat these charges, but you have no guarantee of escaping them.

The oil change up sell

It happens to all of us. You go into get a simple oil change and before you know it, the technicians are pointing out air filters, gauges, pumps, and spouting all kinds of words you don’t know. It’s called an upsell and most mainstream auto repair joints, like Jiffy Lube, specialize in it. Just remember, new air filters cost around $5 and can be installed manually. You best bet is to find a trustworthy mechanic who’s going to be straight with you about the other stuff. When you go in to get an oil change, you shouldn’t walk out $100 poorer.

These are just a few examples of ways you can get ripped off. There are hundreds more of these types of scams. You can get duped into long term bad deals like if what you thought was a solid fixed rate mortgage turns out to be a completely different adjustable rate type of scam. In general, it’s good to be on the safe side and read all relevant paperwork. Also, stick to your guns, if you came in expecting to pay a certain amount, don’t pay more than that amount.