The Single Saver

Happy Memorial Day

2012-05-25T10:25:00.000-04:00

This coming Monday my U.S. readers will be joining me in celebrating Memorial Day! As this long weekend often means extra travel, picnics, and fun, I wanted to get in my holiday greetings early so everyone will get to see them. What will you be doing to celebrate the holiday?

Sorry for not posting much lately. Real life is once again getting in the way of my blogging, but in this case it is for a good thing. I sold my cousin's house (more details later), so now I am going through the final stages of emptying out a house and selling/donating/keeping everything. Closing is June 22nd, so if you don't hear much from me between now and then do not worry. I promise to return to a somewhat regular posting schedule in July.

Birthday Freebies!

2012-05-15T13:28:00.000-04:00

Today is my birthday! And while I don't do a lot to celebrate my birthday, I do look forward to the birthday freebies I get!

Sadly, I have noticed that a lot of companies are getting pretty cheap in their birthday freebie offerings. For instance, Coldstone used to give the birthday boy or girl a free ice cream with one mix in added in for free! I always enjoyed this, and it got me into their store so I could check out their newest flavors... and I would always be back later in the season to try out those flavors. So it was a win/win. I got free ice cream and they got repeat business. Unfortunately, they have since changed it to a birthday BOGO deal. That may be fine for families, but for single people (like me) two ice cream creations do me no good. Guess who doesn't go to Coldstone anymore?

I can name many companies that discriminate against singles in their birthday freebies (I am talking to YOU Red Lobster!!!). And some of these "freebies" are downright cheap (again, "hi" Red Lobster - $5 off two expensive entrees, really?!?!). But I would rather focus on the positive.

A couple companies still give decent birthday freebies and discounts. One of which is Steak and Shake. This year I received a coupon for a free Double Steakburger and Fries. And when I went to get my free meal they presented it to me with a smile! This is just one of many reasons I love Steak and Shake! Baskin Robins sent me a coupon for a free ice cream cone. Based on their excellent customer service, I will now indulge my ice cream addiction there instead of at Coldstone! Also, a local gas station gave me a free Coke product in honor of my birthday. Coke, ice cream, Double Steakburger, and fries... sounds like a pretty good (free) birthday lunch to me!

What birthday freebies do you enjoy?

Real Life Example Why it Is Good To Pay Off Debt

2012-05-09T10:43:00.000-04:00

(Oh... and also a real life example of why a large emergency fund is important!)

One of my favorite bloggers is Laura at 'I'm Losing It Here.' Recently, she wrote about some... shall we say CRAP... her husband has suddenly encountered at his workplace. Thankfully, they are in a much better financial situation than they were a couple years ago and are able to cope (both financially and emotionally) with whatever the future may hold for his employment. You can read her blog post on the subject here.

Folks, I know we personal finance bloggers tend to get preachy about paying off debt, saving an emergency fund, not making impulsive/unnecessary purchases, getting the best deals, not paying unnecessary interest rates and late fees, etc., etc., etc. But Laura's example is the very scenario so many of us worry about and plan for! See... there IS reasoning behind our preaching! LOL!

Corporate America is a fickle, fickle place. Today's golden child can be public enemy number one practically overnight. One bad quarter can spur unexpected layoffs. The bosses nephew may have just graduated from college and need a job, so your position suddenly gets downgraded to make room in the budget for the new grad. Crap happens. And. There. Is. Nothing. You Can. Do. About. It. Well, nothing but be prepared.

If you found yourself without a job tomorrow, would your world be in a tailspin? Or would you be as calm about it as Laura is?

Now is the time to prepare for a potential bad situation.

Blogging Full Time - Tips for Success

2012-05-04T14:29:00.000-04:00

After my previous post asking for some fun small business ideas (ah, one can dream....), I had one reader email me to ask why I didn't put blogging on my list of possible business ventures.

Great question! So I'll address it here.

First off, I should state that I do make money from blogging. Not a lot, but enough that I cover my expenses and have a little bit left over to spend as I want. It's nice, and it makes this little hobby extra fun! If I stepped up my blogging game I could possible make a nice income from blogging. But that is not something I'd consider doing.

Don't get me wrong. Many people have made full-time blogging a career, and make a lot more money at it than I do at my day job. For for every one success story, there are hundreds of stories of failure. I don't like risk, and blogging for a living involves a lot of risk. Factors change daily. Strategies that work today may completely fail tomorrow.

Case in point, last year personal finance blogging seemed to take off. If you had a PF blog, you could pretty much count on advertisers chasing you down in order to throw money at you. It was great (yeah, I won't complain about someone throwing money at me). Many bloggers got so enchanted by the seemingly endless easy money that they quit their day jobs and started blogging full time. Some (the smart ones) diversified their blog-related income by offering other related services. Others simply blogged - a lot - and made good money.

But every playground has a bully. And in this example, the bully was Google. Recently they went around and took away the page rank of many PF blogs (page rank is the 'importance' Google places on a site and what most advertisers look for when they want to buy ad space). Now for a little blog like mine, losing page rank is extremely annoying, but life goes on. I make a little less money but I still enjoy blogging and can still pay my bills at the end of the day. No harm. No foul.

However, if your primary income is based on blogging, a loss of page rank is absolutely devastating. In fact, it is more devastating than being laid off from a 9-5 job as you can't even collect unemployment or severance! And as many of my blogging friends saw, life can literally change overnight. Google is constantly changing their algorithms and no one really knows what makes them happy. There is no real logic as to what Google considers "okay" and what they consider "punishable" so things you have done for years may suddenly get you bitch slapped by the Big G.

Blogging is just too unpredictable for me to consider it for full-time income at this point in my life. I'd rather blog as a hobby and enjoy whatever side-hustle income it might bring my way. I realize any career has risks, but I try to avoid those that are so risky that I can't control them at all.

Is blogging as a career right for you? Perhaps. But I would suggest the following if you choose to go that route:

1.) Make sure you can consistently earn enough to survive for a minimum of six months before quitting your day job. Longer is better here. Personally, I'd wait it out for a year.
2.) Save, save, save. Being self employed means you need to be prepared for the worst case scenario. Personally, I'd want to have a minimum of a one-year emergency fund before starting out in any business, especially one as unstable as blogging. Oh, and don't forget you are now self-employed so you had better be saving for retirement, too.
3.) Diversify! I can not stress this enough. The bloggers who are most successful offer a range of proven products and services. Strictly selling advertising on your blog is not sustainable long-term. If one source of your online income fails for whatever reason, you will need others to fill in the gaps.
4.) Estimate how much you need to survive each month. Then double it. Don't fool yourself. There WILL be bad months. There will be unexpected expenses that come your way. There will be competition that may eventually cut into your market share. Don't cut your budget so tight that you have nothing to fall back on when the unexpected comes your way.
5.) Make sure you LOVE blogging. You will be doing this full time. You have to do it full time. Like any job, you will have to do it even on the days you'd rather not. Do you love your blog and the topic it covers enough to make it your full-time focus? Think long and hard here... most people find once it becomes a full-time endeavor, blogging gets rather stressful.

If after reading the five tips above you think you can cut it as a full time blogger, then I say congratulations and welcome to the blogsphere! But if not, don't take it as a failure. Most can't survive on just blogging, and even those who can don't always want to. And there is nothing wrong with that! Just write for fun and enjoy your hobby. That's what I do!

Small Business Ideas

2012-05-02T12:18:00.003-04:00

Hi all! I'm just doing a little brainstorming today and would love your input.

Spring/Summer weather has finally hit here in Ohio and seems to be staying around! That alone is cause to rejoice! The problem? With nice weather comes SPRING FEVER! Getting up and going to work everyday is just not so appealing. Don't get me wrong, I love my job but I don't love the hours or the being trapped inside Cubicle Land all day when I would much rather be at the Lake enjoying the summer breeze.

Apparently my neighbor feels the same way because this morning he was saying how he would like to retire and not be going to work. :)

I've actually been thinking about opening some type of business so that I can "retire" from Cubicle Land early and enjoy a little more of my life. I have money squirreled away and some side hustles so I should be able to live pretty nicely on about half of what I make now at my regular job. But what business should I open? My criteria are minimal risk low-ish start up costs (let's say $150K or less), able to do part-time, able to do on my own or with minimal employees, and did I mention not a lot of risk?

Here are some small business ideas I've brainstormed on my own:

Rentals - In my current "get out of Cubicle Land" plan, I already have one duplex accounted for. However, buying one or two more duplexes should bring in enough income to more than cover my living expenses each month.
Pros - Easy schedule, low risk, tax benefits, stable income.
Cons - higher start-up costs, tenants can be a pain, either I need to hire a good handyman or be prepared to be called out in the middle of the night to fix broken pipes, etc.

Freelance - I am a graphic designer by trade, so they idea of expanding my freelance business is appealing.
Pros - Almost no start-up costs, already have the necessary skills, easy job, make my own schedule.
Cons - These kinds of jobs tend to be feast or famine and at times I might get very busy while others I am without work, very similar to "Cubical Land" and I am liking the excitement that comes with doing something different

Storage Lockers - People have way too much junk and so the storage locker business is booming!
Pros - Proven business model, could be done with little additional staffing
Cons - Super high start-up costs

RV/Boat Storage - If you aren't familiar with these, they are basically fenced in parking lots where people can store their boats, RVs, trailers, or extra cars.
Pros - Lower start-up costs than a traditional storage facility, low staffing needs, minimal time requirements on my part
Cons - The only con I can think of at this point as I haven't done a lot of research into my competition in my area to determine what need, if any, exists for such a business.

Mini Golf - Don't laugh, but I have always thought this would be an awesome business to have!
Pros - You get to play all the free mini golf you want, low staffing costs (high school kids work cheap), ow start-up costs, opportunities for extra income from concessions.
Cons - VERY seasonal... would I make enough in four months to support me all year long?, busy season is in the summer when I want to be enjoying myself... even with cheap labor I'd need to be on-site a lot to help manage operations

Those are five of my own small business ideas. Right now owning rentals seems to be the best fit for me, though I'm still brainstorming. What small business ideas do you have? Ay suggestions for me? I'd love to hear them!

Social Security Administration, YOU SUCK!

2012-04-25T11:45:00.004-04:00

Already in a bad mood over yesterday's failed house sale, I probably wasn't using the best judgement when I decided to call the Social Security Administration today.

On November 6, 2011 I received a letter that my cousin was due social security payments at the time of her death. I was given a form to fill out and asked to send in a copy of my "Letters of Authority." I did as was asked. Then I waited. And waited.

On January 31, 2012 I called my local social security office to ask them to follow up. They said that they have no connection to this and I needed to contact the Great Lakes Service Center in Chicago, Illinois. "Great... what's their number? Oh... you don't know a number for them? That's weird, but I will just Google it. Thanks for your help."

Little did I know that the phone number for the Social Security Great Lakes Service Center is apparently one of the world's best kept secrets. I did finally find a 1-800 number for Social Security and called it out of desperation (by the way, if anyone has found this because of a similar circumstance, the number is 1-800-772-1213).

I talked to a nice lady at that number who did some checking and said that they had received my paperwork and they were processing it but to be patient because sometimes it takes a couple months. So I waited to let the government take their slow time.

At the end of February the Social Security Administration returned my Letters of Authority to me with a note thanking me for taking care of the paperwork they had requested. GREAT, I thought! FINALLY they are working on this claim. I expected the money owed to my cousin to be deposited into the bank account by the end of the month.

That didn't happen. So I waited another month. Still didn't happen.

So today, 4/245/12, I called the same 1-800 number to try to get some information. They claimed they are just a call center and can't help me, that they have no record of having anything on file for me, blah, blah, blah! I had to remind them that they are full of shit and that I already know they received my info, that they returned my Letters of Authority with a nice thank you note, and that I have been waiting since November. They then said that I need to go into the local office.

AURGH!!!!!!! I started all this at the local office months ago and they can't help me!

So then this service call center said they will send a message to the Great Lakes Service Center and have them look into it. yeah right... I know all about black holes and I feel like my claim was about to be sent into one. I asked for a phone number to the Great Lakes Service Center and was told they don't have one. I know better than that. So I asked to speak to a Supervisor. And the lady I was speaking to was refusing to transfer me! I stood my ground and eventually she did agree to transfer me, but not without being put on hold for 25 minutes in the meantime! I waited....

The Supervisor repeated the same crap I had just heard, though she did tell me something interesting. She said, "Underpayments are not a priority to us." It could take an additional 120 days, apparently! So, basically, the government is in the business of holding on to people's money and not paying it out in a timely fashion. Gee... who would have guessed that? <sarcasm>

So now I wait..... And in the meantime I am supposed to magically finish closing the estate and pay all the estate taxes due in a timely manner to the government, without the help of cooperation of the government! Should be a fun couple months ahead.

To be continued......

Take-a-ways:

1.) The government is wasteful and a pain in the neck to deal with.

2.) The social security administration sucks!

3.) Invest like crazy, because I have no faith this government agency can survive for long with this type of management. DON'T RELY ON SOCIAL SECURITY TO LIVE ON IN YOUR RETIREMENT YEARS! Even if they are still around, they are apparently allowed to hold on to people's money for 6 months or more. And there is not a thing any of us can do about it.

4.) Did I mention the Social Security Administration sucks?

5.) If anyone has a direct phone number to Phyllis M. Smith, Assistant Regional Commissioner at Processing Center Operations at the Great Lakes Service Center that you could email me, I will be forever grateful!

The 'exciting news'... fizzled.

2012-04-24T10:44:00.000-04:00

Yesterday I said I might have some exciting financial news.

I wish I could still say that today. :(

Here's the story....

As many of you know, my cousin passed away last year and I have been dealing with her estate. I spent the winter fixing up her house and getting it ready to put on the market, which I did two and a half weeks ago.

Amazingly, there has been a lot of interest and I had an offer 2 1/2 weeks after it was listed! For those who may not already know, I live in Ohio and our real estate market is not exactly hot right now, especially in the higher-end price range, so to get an offer so quickly was awesome. Even better, the offer was for 97% of asking, which is practically unheard of.

The only potential set-back was that the buyers wanted to do a land contract deal at 4% for up to 18 months (with a very large down payment), at which time the balloon payment would be due. For some, a land contract deal would not be feasible but for me, since I did not immediately need the cash from the home sale, it was a great deal. Plus, the interest I would earn in the 18 months would put the final proceeds from the sale at well ABOVE asking price.

(Just as a quick note for those who don't know what a land contract deal is, basically the seller acts as the bank and the buyer pays the mortgage to the seller. Terms are negotiable but generally they pay for 1-5 years and then a balloon payment is due for the rest. It can be a great deal for both parties if done effectively. Plus, if the buyer defaults on the loan the seller gets the house back and keeps the deposit and all the money collected in the meantime and can re-sell the house.)

It almost seemed too good to be true! And it turns out, it was.

Yesterday the buyers and I signed the paperwork for the sale, they gave the realtor the down payment, and they put their own current house on the market. Things were falling into place. Everyone was really excited about this deal. I really liked this family and was happy that they were getting the house.

Well, apparently last night the buyers took their parents to the property and the parents thought there was too much land, upkeep, etc. and did not approve the sale. Unknown to me or my real estate agent, the buyers were expecting their (senior) parents to help them financially. The parents refused since they thought the house was too much upkeep. And so the buyers pulled out of the deal this morning.

So much for my exciting news. :(

I can fully understand not wanting to buy a property that might be a stretch financially. What I can't understand is wasting everyone's time and signing all the paperwork and listing their own house before getting their parents approval, if they were relying on the parents for financial assistance.

This is also a good example of why we should be doing all we can in our younger years to get financially stable. After all, would you want to be in your 50s or 60s and not even be able to pick out your own home without having to get your parents permission? It's a good lesson for all of us. And sort of sad, too.

The house is back on the market as of right now. If anyone is looking for a beautiful horse property in Ohio, email me! :)

Exciting news...

2012-04-23T10:44:00.002-04:00

Coming soon!

Sorry for the teaser, but I don't want to jinx myself by revealing my exciting news until it is 100% certain. Let's just say some of my recent stress will soon be behind me and it feels bittersweet.

And as one more hint, this 'news' involves a financial deal so it is blog related.

Any guesses? :)

How Important is Reviewing Your Credit Report?

2012-04-16T09:09:00.000-04:00

The following is a Guest post.

How Important is Reviewing Your Credit Report?

You probably have a general idea of your credit score and can estimate your credit history, but how often do you view your actual credit reports from the major credit bureaus?

Credit reports contain a lot of information about you and this information is shared with creditors and employers who check your report. Even though you may not realize it, checking your credit report at least once a year can help you identify credit problems and clue you in to identity theft.

Positive Entries

Lenders and creditors use credit reports to determine the outcome and terms of any application you submit for a credit product, such as a personal loan or credit card. When you compare credit cards online, you may notice the various rates and credit limits available. The rate and limit you'll qualify for depends largely on your credit report, which is used to set your score.

Check the positive entry section of your credit report carefully. This section has the information for your accounts that are current or paid in full, including creditor, account balance, limit and payment history.

Verify all your current creditors are on the positive section of your report. If a creditor you're paying is not reporting the account to the credit bureaus, you're missing out on the benefits of having an account in good standing on your credit report. Ask any creditor who is not reporting to report your account to the major bureaus.

Negative Entries

The negative entry section lists your delinquent accounts, accounts that are behind in payments and accounts sent to debt collectors. Other damaging information, such as money judgments obtained against you by a creditor in court, bankruptcy and foreclosure, is also listed in the negative section.

Make sure the negative information in your report is correct. If you believe an account is listed in error, you can dispute the entry with the credit bureau, which will investigate the matter. Include proof of your claim, such as a copy of the final account payment, when opening a dispute.

If your report contains negative accounts in your name that you did not open, you may be a victim of identity theft. Contact the local authorities and ask the credit bureaus to place a security freeze on your report. This will prevent creditors from accessing the report without information from you first.

Personal Information

The personal information section, usually found near the top of the report, shows your name and any previous names, current and previous addresses and your employment history. Check the personal information section for accuracy. Incorrect addresses, names and places of employment may be a clerical error but can be signs of identify theft.

Whether you compare credit cards online or get loan quotes from your local bank, you should know what's in your report before applying for credit. Cleaning up your report may help you get better credit terms.

Single Saver, where did you go?

2012-04-09T09:14:00.000-04:00

I know. I know. I have been missing in action for the past two weeks. I apologize for that. I hate it when my favorite bloggers just vanish without explanation. I worry something bad has happened. And so it is extra appalling to me that I did that to all of you! Mea culpa!

i will be back. I promise. But in the meantime, let me let you know what has been going on in my life... and why I have felt so incredibly stressed that I just couldn't bring myself to do much online.

1.) I have three periods of time each year when I am completely SWAMPED at work. Yep, you guessed it... this was one of those times. I ended each day mentally taxed to the limit.

2.) I have had a strange infection in my system that won't go away. The last month has been Hell in that regard. Now the doctor thinks it is some form of a mutant, medicine resistant strain. Pending the test results (hopefully coming back today), she will be putting me on stronger medicine to end this once and for all. Fingers crossed... as I hate feeling this way!

3.) Many of you know that for the last 8 months I have been cleaning out and renovating my Dad's cousin's house, which I inherited. Last week I signed the paperwork to put it on the market. This was emotionally draining for me, as I spent a lot of time at that house as a child and have many happy memories there. I don't want to sell it, but I also am smart enough to know I don't need two houses. At least, not in the same town... if I ever have more than one house I hope one will be at the beach!

4.) And the kicker... my favorite kitty died. She had been sick for a couple weeks and the last couple days of her life were not happy ones for either of us. I miss her so much, but know she is in a better place. And I was able to be with her when she passed so I know she wasn't scared and pretty much just drifted away peacefully. Here's a picture of Sylvia.

Anyway, that has been my life. Stress, stress, stress! But I promise, I will be back with regular posts very soon!

IRAs Made Simple!

2012-03-26T23:39:00.001-04:00

Understanding The Difference between The Traditional IRA and The Roth IRA

Many across the web are publishing posts today about Roth IRAs. These posts will be written by people with brilliant financial minds. They will likely give you more information than you could ever need about IRAs. And you will be a much better educated person as a result of readng them. By all means, read these posts - they will surely be very good and well worth your time!

But how many bloggers out there will write a simple, easy to understand post about these two IRA options? That is what I am going to try to do... explain the difference between the Traditional IRA and the Roth IRA in as simple of a format as possible and by using as few words as possible. After all, your time is valuable. So let's begin....

What is an IRA?
An IRA is an acronym for Individual Retirement Account. Basically, it is a retirement savings account that you initiate on your own (unlike a 401K that is employer initiated). While you have to pay taxes on the pay you actually put in to the IRA (either when you put it in or when you take it out... more on that later), your money is allowed to grow tax free! Because of that, having an IRA is an excellent strategy to help ensure financial security when you retire. There are two main types of IRAs - Traditional and Roth.

Traditional IRA
The Traditional IRA works like this: you put money into your IRA tax free. That means, you do not have to pay income tax on any money you deposit into an IRA... yet. It is allowed to grow tax free. When you reach retirement age and begin to withdraw your money, you must pay taxes on what you initially put in (but not the growth).

Roth IRA
The Roth IRA works like this: you put money into your IRA and pay taxes on it just like all your other income. It is allowed to grow tax free. When you reach retirement age and begin to withdraw your money, you get all your money completely tax free!

Huh? So what's the difference?
Good question. The difference (for this simplified version) is when you pay taxes on the money used to fund your investment. Either you pay upfront or you pay when you collect. The benefit to delaying paying the taxes (Traditional IRA) is, of course, instant gratification in lowering your tax bill when you invest in an IRA. The benefit of paying your taxes upfront (Roth IRA) is that no matter how much money you are earning in retirement and no matter how much the tax laws change (after all, taxes seem to always be on the rise... do you really think that will be changing anytime soon?), you have already paid your dues. You are not going to get hit with a huge tax bill because of the IRA at a time in your life where your income may be less than you have been used to. And if you have planned well for retirement, you won't have to pay a big tax bill on the IRA if your earnings push you into a higher tax bracket!

All things considered, I think the Roth IRA is the best option to consider for most investors. How about you? DO you have any IRs? if so, what kind and why?

Get $25 Free / Earn a Guaranteed 10% ROI!

2012-03-23T15:14:00.001-04:00

ING Referral Special - HURRY!

I love ING. I currently use them to separate my new car fund money from my regular money. The great thing about them is they allow you to have a large amount of different savings accounts to help you better manage your finances. They offer a great interest rate (much better than you can get from a bank!), are FDIC insured, and electronically link to your current checking account so transfers are free and easy!

Yes, I love ING. And now you can, too!

Right now ING is offering a special referral offer. Open an account with them online and fund it with $250 and they will give you $25 for free. Where else will you find a near-immediate 10% return on investment with no risk at all?

I have a very limited number of these referrals left. If you are interested, please email me ASAP at thesinglesaver@gmail.com . I will then have the referral code sent to you. These are first come/first served.

11 On Her Own

2012-03-20T14:04:00.000-04:00

One of my favorite blogs to read is 11 On My Own. I find her story inspiring. She has supported her family with very little financial assistance from her ex-husband and almost no support from the State of Connecticut. I am not sure which I find more shameful - the fact that the ex-husband appears to not financially support his kids or the fact that the legal system in Connecticut has allowed him to get away with it all these years!

Kristin is now trying to get her story out to the public and has written a letter, which I have published (below). I have removed all personal information (full names, phone numbers, addresses, etc.) but otherwise the letter has not been edited by me. To the best of my knowledge, all the facts she gives have been documented, many in court records. Obviously, this is her side of the story... but for more information you might want to check out her site.

Readers, after reading through Kristin's story, do you have any advice for her? I know she would appreciate hearing it. Leave a comment and I will make sure she sees your responses.

Her letter follows....

This is the story of how the State of Connecticut took $347 from my ten dependent children in order to pay the debts of a man who robbed me of $9900. How did this happen?

January 1, 2007: my husband, <NAME REMOVED>, walked out on our family, leaving me with no money and 10 minor children at home.
My ex-husband used his place of employment and position (bank manager) to transfer all joint money into a personal account, without my knowledge or consent.
Early 2007: My ex-husband filed joint state and federal tax returns for 2006; he had the refunds direct deposited into this personal account, again without my knowledge or consent.
My ex-husband failed to pay state income tax, which has still not been paid as of today.
I was left with no money to hire an attorney to seek child support.
March - December of 2007: after I obtained an attorney, child support was received
Around June of 2007, my ex-husband moved to New Jersey; child support payments were not enforced.
December 2007 through September 2010: no child support, save for ONE payment, was received.
August of 2010, our jointly owned home was foreclosed on due to lack of payment and a lack of the courts’ enforcement.
December of 2010: after writing letters to a variety of state and federal agencies, asking for help with my case, a federal marshal was assigned to investigate my case.
My ex-husband could not be found in violation of non-support since he did make that ONE payment in April of 2008. The marshal also investigated claims of check fraud; this could not be presented in a Connecticut court due to his New Jersey residency and my inability to retain a lawyer in New Jersey to take a deposition.
These financial issues have been brought to the attention of the judges overseeing our divorce and custody hearings. No judge has listened to me, even though I believe my ex-husband has broken the law.

Today:

I am owed over $80,000 from my ex-husband in child support. I have not received a penny since January 15, 2012; he is now claiming bankruptcy which stops any attempts I might make at receiving support.
I am living 200% below the federal poverty level, raising 8 minor children.
I cannot get energy assistance or cash assistance from the Department of Social Services.
Any money I make is taken from me as payment for the debts he incurred while still married, or deducted from the food stamps I do receive, which doesn’t enable me to pay any bills, such as rent, electric, etc.

I have been served with great injustice from our court system and other government agencies that are supposed to protect and help adults and children who have been wronged by others, just as my family and I have. As a resident of Connecticut for 36 years, I have lived according to the law before, during, and after my divorce. I am asking for your assistance in correcting the errors that have been made to me and my family.

Sincerely,
Kristin

One Step Closer To Financial Freedom

2012-03-14T11:04:00.001-04:00

I'm dumping an annoying debt - the car payment

The average American makes a car payment each month.

I am no longer one of those people!

That's right, today I made my last car payment. And by last, I mean my last car payment ever.

Why did I have a car payment?

My car looks like this one. I love it! Image from here.

When I bought my car four and a half years ago, I could have paid cash for it. I had plenty of funds saved in cash accounts and investments. But I allowed myself to be brainwashed by the concept that financing the car at a low interest rate was a good investment. That would, I theorized, allow me to keep more money invested where it could earn higher interest rates. It seemed like a good idea at the time!

So, I put 35% cash down on the car and financed the rest at a decent interest rate for five years. The rest of the money went into my investments. I drove off the lot with my new Volvo V70 and the smug feeling of someone who thought she beat the system. Or so I thought.

Having a car payment really wasn't a good idea.

I have never regretted buying the car I did. I love my practical Volvo wagon! But I quickly came to regret financing it.

It annoyed me to have to remember to pay the car payment each month. It annoyed me that I didn't own my own car (technically, the bank owned it). It annoyed me despite making extra payments, the bank would not allow me to pay off the car more than six months early without charging me a stupid prepayment penalty fee.

Oh, and did I mention that the stock market did more tumbling in the last five years than a gymnast at the Olympics? That really annoyed me! So much for my dream of using the excess car money to earn large capital gains in the stock market!

Today is the first day of the rest of my life!

Today, I own my car. Woohoo! No one can take it away from me, regardless of my financial situation. That feels GOOD.

Steve Diggs (No Debt No Sweat Financial Ministry) says that 22% of all cars and trucks are bought with cash. That means, a whopping 78% of auto purchases are financed! I will never again be part of that 78% that finances a car, and in a future post, I will go into more detail on my plan to make that statement a reality.

How do you feel about automobile financing? Have you found it to be as stressful and annoying as I did? Or do you find it beneficial financially for your personal situation?

Freeze Water for Multiple Ways To Save Money

2012-03-12T11:20:00.003-04:00

Quick Tip Saves Money In Multiple Scenarios

Here is a quick tip that can save you many in a variety of different scenarios. It is always a good idea to keep some extra water in your home in case you should find yourself without running water for a few days due to a power outage, local contamination due to flooding, etc. Instead of just storing the water out in the open, freeze it in empty beverage containers (empty gallon milk jugs, 2 liter pop bottles, etc.).

How this saves money:

1.) Freezers run more efficiently when they have stuff in them. Frozen water is a great way to fill the voids in your freezer and get the maximum efficiency out of your appliance.

2.) In the event of a power failure, the frozen water will act as a giant ice pack and help keep the temperature in the freezer low for an extended period of time. Spoiled food is a huge waste of money so any little thing you can do to prevent that is well-worth the effort.

3.) In the event you go without water for a couple days (or longer!), such as with a power failure or local water contamination, you can thaw out your frozen water to drink rather than spending money on expensive bottled water from the store. If you are concerned with bacteria forming in the water, you can always purify it by boiling or adding a little bleach (see instructions here from the Washing State Department of Health). Also, rotating your back-up water supply every six months is highly recommended.

When freezing water, be sure not to fill the container completely to the top as water expands when frozen.

What steps do you take to prepare for disasters and save money in the process?

Declutter Challenge - Weeks 9 and 10

2012-03-09T14:42:00.000-05:00

Sick and tired... of clutter!

The Declutter Challenge continues! The last time I posted an update was week 8. Week 9 I was sick and tired and didn't accomplish anything. It turned out I had a bacteria of some sort that was attacking my lungs, throat, and ear so I guess I had a legitimate cause for feeling like I did!

Week 10 I made up for my week off. So how much did I declutter last week?

20 items - and many of these items were large ones that took up a lot of space, too!

I donated 6 winter coats, 3 bedspreads, a suitcase, a pillow, a computer keyboard, 2 packs of marbles, screen protectors (unused) for a Palm Pilot, a rubber stamp that has never been used, and a package of paper clips.

Also, I gave a relative a basket and two Hummel figurines that she had always liked. It feels good to give away things to people who will truly appreciate them! Tip: Mentally, it is much easier to part with your own clutter if you know it will be given new life with someone who will appreciate the item's worth.

Most of these were stored in one of the guest bedroom closets and took up a lot of space. It feels great to have that part of the closet empty again!

Good riddance to my clutter, and my illness!

I am striving to hit my goal of Decluttering 366 items from my home this year. This week 20 items left my home and were donated to a local thrift shop or given to a relative. So far this year, I have decluttered 231 items.

How about you? If you have a recent declutter update on your blog, please leave comment with a link to it. Please also include a link back to the challenge in your post. If you don't have a blog, I still encourage you to leave a comment with your progress. Remember, we are all in this together!
See my previous updates:
Week 1
Week 2
Weeks 3 and 4
Week 5
Week 6
Week 7
Week 8

Customer Service is Important!

2012-03-08T14:32:00.001-05:00

Treat Customers Kindly - The Alternative Will Not Benefit Anyone

I recently had a bad customer service experience that really angered me. I'm going to share it here to show an example of WHAT NOT TO DO for any of my readers who might have a job that works with the public.

Trust me, it is in your best interests as an employee or business owner to treat customers with respect. It has been suggested that for every poor customer experience, that customer will go and tell 10 people about his experiences... compare that to the 2 people he will tell if he has a good experience, and you can see how poor customer service can negatively impact your business.

Bad Customer Service

It was time for my routine oil change and tire rotation. I took my car to a chain establishment that I have used in the past (we'll call them MM - email me directly if you want the name of the company). The man I spoke with - we'll call him "Mike" - told me my car needed a higher grade of oil. He then proceeded to tell me that my car required extra oil, above what was advertised in their regular price. I have had my car nearly five years and have never been told either of these things, so I was a bit skeptical. I asked how much it would cost (Customer Tip - always ask the price up front before agreeing to any work) and he told me that instead of $21.99 I would have to pay over $85! I have never been charged so much for an oil change so I wasn't about to start now.

I told Mike to just give me the standard oil and I would do some research on my end as to what kind of oil I should be using and perhaps go with the higher end in the future. This is where he went into a high pressure sales pitch on me. I do not respond well to those. Our conversation went something like this:

ME: "Just give me the standard service."

MIKE: "I can do that, but you really should have the high end oil."

ME: "Just give me the standard oil, please."

MIKE: "I would feel better if you would buy the premium oil. I can do either but the premium grade is better."

ME: "Just give me the standard oil."

MIKE: "Okay, but... well... are you SURE you don't want the better oil?"

ME: "No. Just give me the standard. I will check with my dealer and see what they recommend I use in the future."

(This is where things got really strange.)

MIKE: (Turns mean and nasty....) "You don't have to check with your dealer. We can check your owner's book. It will say you need higher end oil and that is what you should buy today."

ME: I don't appreciate your tone. Just give me the standard service. If you don't want to do it, I can leave."

MIKE: "No, no... but I have a question for you. Do you use premium gasoline?"

ME: "No." (My dealer told me I didn't have to. I trust my dealer since he deals exclusively with my brand of car.)

MIKE: "Oh, so you are just someone who doesn't take good car of your car. Okay, I see."

At this point I asked for me key back and I left. I do not appreciate being talked to that way. I firmly believe Mike was trying to intimidate me because I was a woman. Additionally, I believe he was inflating the costs in order to improve his bottom line.

The Rest Of The Story - Good Customer Service

Two doors down from the first place is one of their competitors - Midas. I am giving them free publicity and a free link since they impressed me... it pays to be nice to bloggers! :) Anyway, I stopped in at Midas and asked about their oil change/tire rotation specials. I explained the situation I had just had with "MM" and how I was spoken to. The salesman at Midas pulled some information up on the computer and explained to me that I could use several kinds of oil in my car. While the higher end was better for it, I would not do any damage with the lower grade due to other factors (my car's age, mileage, etc.). He explained the pros and cons so well that I decided to ask the price of the higher end service with high-end oil. Imagine my surprise when he said it was less than $45! Oh, and he also said my car did NOT take extra oil, as Mike had been claiming it would. I went with that service and thanked he salesperson for having great customer service!

I will be back to Midas. I will never step a foot in "MM" again. I have written to "MM's" headquarters to let them know how I was treated by one of their employees. In addition, I am telling anyone who will listen about my shabby treatment at "MM" and my excellent treatment at Midas. I have already had two coworkers say they, too, will be avoiding "MM" for future service and will give Midas a try when it comes time for their next service.

The moral of the story is to be nice to your customers. A bad attitude will get you no where in life. In addition, it might put your job or livelihood at risk.

Readers, what would you have done in my situation? Should I have high tailed it out of "MM" the minute Mike started using the high pressure sales pitch? At what point in the conversation would you have left? Or am I over-reacting? Would you have stayed and trusted Mike's expertise?

Speaking of cars, tune in next Wednesday for an exciting announcement!

You are an idiot!

2012-03-06T09:50:00.000-05:00

Why don't we tell people when they make big financial mistakes?

As regular readers know, I am addicted to blogs. Besides the ones I read daily, there are hundreds more than I read on a more infrequent basis. These sites range from professional personal finance blogs to frugality blogs to just simply sites that fall into the home and life category. Yep... I like reading aboout people's lives via their blogs!

I am not sure if it is due to Spring fever or the stars not being properly aligned or what, but I have been seeing a rash of stupidity in the blogs I read. Not stupid as in low IQ, but rather stupid in terms of choices people are making. Especially financial choices.

• People are buying toys and i-gadgets they don't need while not even able to pay their standard bills each month.

• People are quitting jobs left and right without any type of plan to make a living.

• People are robbing their emergency funds for non-emergency purposes like decorating, new smart phones, or vacations!

The insanity is overwhelming! I want to respond to these posts with "YOU ARE AN IDIOT. YOU CAN'T AFFORD TO DO THAT! SAVE YOUR MONEY!" But I don't. No one does. Instead, everyone responds with encouraging statements such as "I am sure you will find a way to make it work," or "You can replace the money you spent next month when you get your tax refund."

The truth is, when my "real life" friends are making similar stupid choices, I usually don't respond much differently than I do to my online friends. No one appreciates being given advice. We, as human beings, don't like to upset people or hurt their feelings (and yes, most people take offense to being called an idiot). And so, rarely do we speak up when we see people making dumb decisions with their lives and finances.

So what can you do to help your friends when they are being idiots with their finances? Below is my advice:

1.) Lead by example. Do the right thing with your life and finances. Not everyone will follow your example, but some will and you may even inspire others to improve their financial habits!

2.) If you do want to speak up to your friends to let them know they are being stupid, do so kindly. Instead of saying "you are an idiot" try softening the blow by saying "That is an interesting decision you made... I am curious as to how you came to the conclusion that this was best for you?" You never know... maybe they have a rational reason for their choice that you didn't consider? Or maybe they won't have any rational reason for their actions and admitting it out loud will make them realize their choices are... well... stupid.

3.) Provide alternative solutions. If your friend is making a stupid decision, suggest an alternative. If they want to steal from their emergency fund to buy something unnecessary, suggest they wait a month because you heard such-and-such store will be having a killer sale and by then they will have received their tax refund. Or if they want to quit their job without a back-up plan, suggest they wait it out while they search for a new job or research self-employment options. Sometimes the decisions are so obvious yet people overlook them in their compulsive thinking... but as a friend you can remind them of the obvious and maybe... just maybe... they will listen!

What stupid things have you seen people doing lately? How do you deal with it when you see a friend acting stupidly? Do you call them out on it, or do you ignore it and let them make their own mistakes?

For your weekend reading pleasure....

2012-03-02T14:58:00.001-05:00

As a Member of Yakezie, I get to visit many great personal finance blogs that I may not have discovered, otherwise. Since I am addicted to blogs, this is a good thing! Below is a list of a dozen blogs written by Yakezie Members and Challengers - blogs that I promise with entertain you, educate you, and keep you glued to your computer for hours! Why not take some time this weekend to check them out - tell them 'The Single Saver' sent you!

Cult Of Money

Simple Island Living

See Debt Run

TacklingOurDebt.com

Wealth Nerd

The Free Financial Advisor

Evolving Personal Finance

Financial Knowledge Online

Work Save Live

Small Budget Big Dreams

Gen Y Finances

Finance Product Reviews

Leave Me Alone, Political Callers!

2012-03-01T15:51:00.001-05:00

Using the phone to harass people should be illegal!

I've stayed home from work the past couple days due to an illness. I don't like staying home. Daytime TV sucks. I feel like crap and don't feel like doing anything productive like cleaning out the fridge. And no one is around to entertain me, making me very bored. Trust me, staying home sick is NO FUN.

All I want to do is sleep. And that is what I need to do in order to regain my health.

Too bad that hasn't been allowed to happen.

Instead, I have been bothered time and time again by the sound of my phone ringing. And just who is being so inconsiderate to bother me when I am so sick and trying to sleep? POLITICAL CALLERS!

Ohio's primary is next week and so these predators are out in full force. Caller I.D. is no defense against them... they use clever tactics to disguise their numbers and make it look like a local call. The Federal Do Not Call List is worthless because political calls are exempt. Sadly, the people behind these calls seem to answer to no one. And I am sick of it. And least if these harassers came door to door instead of phoning I could breath on them and give them my germs and feel a little satisfaction in that I "got even." (Just kidding... just kidding....)

And so, since I can't contaminate them, I will instead offer the following message to these bottom dwellers.

1.) To the Democrats - I am a registered Republican. I have been a registered Republican ever since I was a registered voter. My voter registration is public record and a tiny bit of effort on your part would save you from wasting your time and mine. While I vote for the best candidate and not the political party, 9 times out of 10 the Republican candidate is the candidate who best shares my viewpoints. Calling and harassing me when I am sick is not going to make me change my views or ideals. All it does is make me mad and inspire me to write snarky blog posts.

2.) To the Republicans - Read above. I am a registered Republican. Being such, I should think you'd agree I make informed decisions. :) I don't need you to call and help me make my decisions, thank you very much. I find your calls every bit as annoying as those of your competitors. Keep bothering me when I am sick and I might just have to vote Democrat just to spite you!

3.) To the 'We are the 99%' folks - You deserve your own category here because of your extreme level of pestering. Over the last two days you have called me five times. Each time I have been met with a pre-recorded message from someone using bad grammar and a muttering tone. If this is the best you can do, no wonder you are the bottom 99%! Put a little more effort into everything you do and you might just rise in the rankings! Oh, and while I am giving you advice, please don't tell me to call and bother my congressman about "fill in the blank topic of the moment." Phone harassment is your specialty (judging from the many annoying calls I have received from you), not mine.

And ironically, I just received two more political calls as I typed up this snarkfest.

I am now going to unplug the phone and go back to bed and dream about becoming a dictator who owns the world and bans all political calls! Goodnight!

2012 Goals Update - February

2012-02-29T14:14:00.000-05:00

End of February Goals Update - How did I do?

As promised when I announced my SMART goals, I would be updating you on my progress each month. So how did I do in February?

1.) Complete my Declutter Challenge! I will never be a minimalist, but I do see the benefits of clearing some excess clutter from my life. Therefore, I am challenging myself to get rid of (at least) 366 items of clutter during 2012. Want to join me in this challenge?

So far so good on this goal. In the last two months I have decluttered 211 items. At this rate I will hit my goal in no time.

2.) Put $17,500 into my new car fund in 2012. This amount sounds HUGE, but keep in mind that I intend to put any money I earn from the sale of my cousin's car into this fund, so that will put a big dent in my goal.

I currently have $800.40 saved. I can not "officially" pay off my current car until after March to avoid a stupid pre-payment fee, but once I do that I will be adding my current car payment to the new car fund each month.

3.) Earn $6,000 in side hustle money this year. This averages out to $500 a month. This should be achievable. This money can come from blogging, teaching, freelance writing and designing, working as a "turker" at Amazon Mechanical Turks, selling crafts on eBay, and any other clever ideas I come up with to earn some extra money.

I had several activities this month to earn me some "side hustle" money. Although the college class I normally teach in February was canceled due to low enrollment, I still brought in a fair amount of extra cash this month. Between freelance writing, blogging, pet sitting, selling/donating my old freezer, and Swagbucks I came out ahead of what I was hoping for!. In total, that comes to $763.78 in side hustle money for February, and a two month total for 2012 of $1431.71!

4.) Clean out my personal email box. Seriously, folks, this almost embarrassing to admit, but as I type this I have 20,450 emails sitting in my mailbox. I have a very bad habit of not deleting anything! By year's end I want to have this number down to a manageable 450. The rest (20K!) will either be filed or deleted.

I am down to 10,664 emails in my inbox. Halfway there!

5.) Get an average of five servings of fruits and veggies a day. Some weeks I am really good about this. Other weeks I am not. I want to be healthy, and so it is time I step up my game in this regard and focus more on getting the right balance of food in my life. This one may be a little tougher to track, but I will do my best. And by succeeding, I will be creating a healthy habit!

Meh. Can't call this a success. i seem to get in at least 4 servings a day but that 5th is hit or miss. And with being sick this last week has been a complete fail. I just don't eat that much food, so getting the 5 servings is challenging. Next month I am going to try to do better!

How are you doing with your 2012 goals?

Can money make you happy? How much?

2012-02-27T13:47:00.001-05:00

What makes you happy?

Mondays are stressful enough without the threat of "deep thinking" entering into the picture. So darned it all if I didn't wander onto Yakezie this morning to find a post by Financial Samurai that made me think so deeply that my brain is now sore. But the post is a great one and needs shared far and wide: Why Are People Unhappy And How Can We Help?

I think it is an article we all need to read, and so I am moving my originally scheduled blog entry today to highlight this particular post. Run, don't walk, over to Yakezie and check it out!

The post has many great points. I am going to narrow in on the financial aspect of it for my purposes here, but please don't overlook Sam's whole "big picture" message. It is a good one.

Does money buy happiness, and if so, how much money do you need to be happy?

Sam writes:.

"I hypothesize the ideal income for maximum happiness is around $200,000 gross a year instead of the ~$75,000 a year some researchers suggest. $200,000 a year is a level where you can make enough to do practically anything you want, in any city in the world, and still save some money left over."

Personally, I am happy on much, much less than that. All I need are my basic needs to be met and a few extra bucks left over to play with. Financially, as long as I feel secure I am happy. I'd much rather have a guaranteed $40K a year with no worries than $200K one year with the threat that the next year I could make nothing and not sustain my lifestyle. But hey, I also use old rags for paper towels so it doesn't take much to make me happy! :)

Of course, I also live in Ohio which has a wonderfully affordable cost of living. Location obvious makes a huge difference in how much you need to be comfortable and secure. Also, I thrive on frugality. Spending money on name brand purses and shoes doesn't make me giddy... But scoring a free $25 gift card through Swagbucks can make my week totally awesome! To each his own. Being frugal is a cheap hobby... Some hobbies obviously require higher income levels to be sustainable.

Sam mentions some causes of unhappiness. One of which is "comparison." Here is where I think he hits it out of the park!

In my opinion, if you compare yourself or your life to others, you can never achieve true happiness. No matter how much money you have, someone is always better than you in some way. They may be prettier, smarter, funnier, thinner, stronger, etc., but someone is always better than you are. Get used to it as it is a fact of life... and get over yourself if you think that's not true and you are the picture of perfection. You aren't. Neither am I. No one is perfect.

If you are comparing yourself to others, you will always be wanting "more." Stop comparing yourself to others and you will be happier in life. Pretty cheap way to be happy, don't you think? I sure wish some of my relatives would realize this and stop taking out their frustrations with their own lives on me!

Are you at a place in your life where you can be happy? How much money would you need to buy yourself a happy and fulfilled life? Are you uber frugal like me... Aiming high like Sam... Or somewhere in the middle? Is happiness really achievable at any financial level, or does the bar just keep raising the wealthier you get? And what advice would you give others who are searching for happiness? I want to hear your thoughts!

Incidentally, curing my migraines has made me happier than any amount of money ever could... so that leads me think that somethings - like health, companionship, or security - trump money at any level.

Discuss!

And if all this deep thinking wasn't enough for you, here are some more deep thoughts for your enjoyment.

Declutter Challenge - Week 8

2012-02-24T11:02:00.000-05:00

Cooking Up A Batch Of Organization!

The Declutter Challenge continues! Last week I made a goal that I would find 15 more items this week to declutter. Did I meet my goal?

Yes!

I hit my goal this week. Fate took over one morning. I opened a cabinet where I keep my cookbooks and one fell out and hit me in the arm. Needless to say, I was sort of annoyed and decided I had too many cookbooks packed into that space. So I started sorting....

The result was that an hour later I had 15 cookbooks set aside for donation. This is roughly half of my cookbook collection, so I am pretty proud of my progress there.

And here is a tip that I find really handy when it comes to sorting recipes: Often we save a cookbook when, in actuality, there is only one or two recipes in it that we like. Instead of saving the whole book, either photocopy the favorite recipes or rip them out and then give away the book. A couple pieces of paper take up a lot less space than an entire book, and this way other people can enjoy the book, too.

I'm feeling really sick today with a nasty cold that just doesn't want to go away. Therefore, I am not setting a decluttering goal for myself for next week. What gets done, gets done... but I am not going to push myself.

I am striving to hit my goal of Decluttering 366 items from my home this year. This week 15 items left my home and were donated to a local thrift shop. So far this year, I have decluttered 211 items.

How about you? If you have a recent declutter update on your blog, please leave comment with a link to it. Please also include a link back to the challenge in your post. If you don't have a blog, I still encourage you to leave a comment with your progress. Remember, we are all in this together!
See my previous updates:
Week 1
Week 2
Weeks 3 and 4
Week 5
Week 6
Week 7

Natural Cough Medicine Recipe

2012-02-22T09:51:00.000-05:00

Save Money With Homemade Cough Medicine

I have a cold. A bad cold. A miserable cold. I haven't had a chest cold like this in years and I will admit it... I am feeling just a tad whiney right now. It is resting in my chest and making it hard to breath, and the dry cough that goes along with it is downright annoying. So last night I headed into my kitchen and mixed myself up a batch of homemade relief - cough medicine made from ingredients that most of you will already have on hand!

After curing my migraines with magnesium, I've started to take natural remedies more seriously. I have never liked putting strange medicine into my body, and I have always despised the taste of store-bought cough medicine. So homemade cough medicine is right up my alley. Here's the recipe (it is VERY easy and effective!):

1/4 teaspoon cayenne pepper
1/4 teaspoon ginger
4 Tablespoons apple cider vinegar
4 Tablespoons honey
4 Tablespoons water

Mix together and take 1-2 teaspoons as needed.

Why It Works

Cayenne pepper opens up congested nasal passages and also relieves pain.

Ginger has many healing qualities that are key in fighting off disease.

Vinegar helps heal inflamed airways that can cause the cough.

Honey coats the throat, soothes irritated mucous membranes, and provides relief.

This recipe has a kick, but it works at a fraction of the cost of the OTC cough syrup you buy at the store. Next time you get a cold with a cough try it.

What homemade medicines do you use?

Many Fun Uses For a Mortgage Calculator

2012-02-20T12:18:00.000-05:00

Mortgage Calculators Are Fun And Informative

The internet is a wonderful thing - it provides us with social connections we could never have had in the past, entertainment options to meet our every interest, and information and informative tools at our fingertips 24/7. One such tool that you can easily utilize thanks to the existence of the internet is a mortgage calculator. Mortgage calculators are both fun and serve many purposes. I hear you thinking: “Huh? A mortgage calculator can be fun and useful?” Don’t believe me? Read on….

The many uses of a mortgage calculator

1.) Save time - Interested in buying a house? Don’t want to waste your time talking to a banker or a real estate agent without knowing if the payments will be close even close to what you can afford? Just go to a mortgage calculator and enter a hypothetical purchase price and an average interest rate for your area, select your loan terms (i.e., 30 year, 15 year, etc.) and let the calculator do the work for you. This will give you a rough starting-off point to decide if you can afford the house of your dreams at the present.

2.) Same money – We all know that making extra principal payments on our existing mortgages can save us a lot of money in interest paid over the life of the mortgage. But do you know exactly how much it can save you? You would know that if you had a mortgage calculator to play around with. Psychologically, we are much more likely to pay extra if we can see how doing so impacts the big picture. Seeing how many thousands of dollars in interest you can save and how many years you can shave off the life of your loan will make you more motivated to cut back on wasteful spending and put those funds towards extra principal payments.

3.) See into the future – Let’s face it. Mortgages are complicated and tricky to figure out. You start off paying mostly interest and little on the principal, and then over time that scenario flip-flops and you have the interest nearly paid off. Mortgage calculators allow you to see an amortization table. You can glean much interesting and useful information from this table, including how much principal you have left to pay on your mortgage, how close you are to being able to rid yourself of that annoying and pesky PMI (private mortgage insurance – required if you owe more than 80% of the home’s value), and how smart it is to put extra money into home remodeling (do you have enough equity in the house to justify the expense).

See… mortgage calculators CAN be fun to use, and useful and informative, too. What other ways have you used an online mortgage calculator to your benefit?