The Frugalista Files

How to recession proof your career

We have a guest blog today from David D' Alessandro, former CEO of John Hancock Financial Services. 

How not to get the axe in this economy

Despite what some of television’s talking heads are saying, if it smells like, sounds like and looks like a recession—it is a recession. Look at some fundamental facts. Oil prices have skyrocketed. The Dow is down dramatically from its 14,000 record high. Unemployment has moved to its highest level in years. Companies like Siemens, General Motors and Washington Mutual are hemorrhaging jobs.

With a recession should come the fear that your job is in jeopardy. If you think that is not true, and you are too valuable to your company, too essential and the company would never be the same without you, then you are sadly mistaken.

But there is a way, in these questionable times, to increase your chances of maintaining your position and perhaps even getting promoted while your peers are inactive. In my new book, Executive Warfare, I discuss what it takes to stand out in organizations today. If you are smart, quick and agile, you can provide the company and the senior management with some much needed relief from part of their dilemma and at the same time improve your own circumstance. Here are three quick tips:

1. Walk into your management office and offer a series of costs reductions in your area. Show initiative and imagination. Demonstrate you can still accommodate the company’s needs within these constraints. Do it in two layers. One with out of pocket expenses and an additional one involving lay-offs. Not replacing jobs and limited new hires. Be aggressive and prudent so you do not seem disrespectful or simply unable to distinguish when you are cutting into the “bone of the organization.”

2. Now is the time to propose low-cost new revenue. A company affected by a recession is like fixing an airplane in midair. It must continue to fly even though it is need of a repair. If a company can show resiliency under these circumstances, not only do its constituents reward it. The company usually grows stronger. If you want to be part of it, look for new distribution systems and products you can sell quickly and profitably. Open up new sales territories.  Fuel the organization with new dollars. No one ever fires somebody generating new revenue sources.

3. There is always a way to propose and gain new profits. Pricing changes, product changes, cost changes—you name it. Make them happen fast without compromising product and service. Prove you can squeeze profit and well as generate sales.

During these difficult times it is easy for people to moan, “woe is me.”  But leaders emerge from adversity. The recession provides an opportunity to break out and really show what you are made of.

If you want to “run with the pack, you need to howl like a wolf.”

The cash-strapped strip, clean homes to earn $$

My friend Errin sent me an article about cash-strapped people who are cleaning homes, exotic dancing and working retail to make ends meet. In this down economy, people are prepared to make a dollar any way they can.  I'm concerned that a woman has to resort to stripping. Then again, the exotic dancer in the article drives an Infinity truck that costs $100 to fill up the gas tank. I would say she could sell the truck, but who is trying to buy a luxury gas guzzler in this market? Far too often, we work to pay off things, not to save. Meh! There may be a career in exotic dancing. Ask this woman.

In the article, cleaning companies say they are getting more calls from people looking for work. It's not just  people who got laid off and need income. Many people already have jobs, but have had pay cuts or inflation (GAS) has gobbled up their discretionary funds.
I hope things get better.

Would you work a side hustle? Is there any job you wouldn't do? What do you think about the woman working as an exotic dancer to pay the bills?

Managing paying off your student loans

After reading some comments posted yesterday, I realized that a lot of Frugalista Files readers are grappling with paying off student loans.

Students loans may be regarded as a necessary evil to finance a brighter economic future. A lot of people don't consider the loans to be "bad debt."  Still, they can be daunting. After all, you have to pay them back. Many college students are graduating with $20,000 or more in loans.

This article and this article offer tips to pay down your student loans. If you are in a much-needed profession such as teaching or nursing, you can get some of your loans forgiven. Some public service/government type workers can get their loans forgiven also.

Also, people who volunteer can get some of their loans paid off.  Americorps and Peace Corps come to mind.

If you make less than $65,000, you can deduct the interest on your loans during tax time.

If you have a student loan, how are you managing your payments?

Do you tell people about your credit card debt?

I got sent this article about how people are reluctant to talk about credit card debt to people they just meet. I can agree with that. I'm a little financed obsessed right now, so I probably talk about the state of my financial affairs with friends more openly. However, if I just meet you, I probably won't give you the entire run down. If I'm dating someone, I'm sure I would want to know his credit card debt status. I would be open with mine, too. Heck, I post about my credit card  on the Frugalista Files monthly. Still, if I were at a dinner party, I would have to be really comfortable with the person I met before I give the run down. Talking about debt can be a downer, no?

Here are the most taboo topics, according to the poll:

1. Amount of credit card debt
2. Your love life
3. Your salary
4. Your mortgage, rent payment
5. Your health
6. The death of a loved one
7. Your weight
8. Your religious views
9. Your political views
10. Your age
11. Gas prices
12. The weather

Do you discuss your credit card situation to people you just meet? Is it tacky to do that?

Michael Vick files for bankruptcy *update*

Poor Michael Vick. Seems like his finances are going to the dogs. He filed for bankruptcy protection in Virginia this week. I guess prison football doesn't pay as much at the NFL. Vick cited debts of $10 million to $50 million . He listed assets valued at between $10 million and $50 million, according to the article. It's a doggone shame. heheh

*update* So I ran across this article. It seems that it's no surprise that Mr. Vick decided to file for bankruptcy.  He bought a home in Florida in the midst of all his legal drama, knowing it would be hard for him to lose the expensive condo, according to the article.

What do you think about Michael Vick filing for bankruptcy? Do you think he had too many family members on his pay roll? Do you really think he's bankrupt?

Staycation

Yep, the holiday weekend is among us. This time last year, I was hanging out at the Essence Music Festival. I had an awesome time. I saw Beyonce, Mary J. Blige and Frankie Beverly perform. Roaming on the streets of New Orleans was big fun. I won't tell you more about my trip because what happens in New Orleans, stays in New Orleans!

Alas, that was the pre-frugal me. This Fourth of July, I'm going to my friend's condo to watch the fireworks from his high-rise balcony. All good. I'm doing what everyone calls a staycation . There are varying kinds. For some, a staycation means entertaining at home, for others it means being a tourist in your home city.  Here's some audio about staycations.

By staying at home this weekend, I'll probably save about $700. Yay.

What are your Fourth of July plans? How are you managing your budget this holiday weekend?

Hair Removal Costs Women $23,000

Women who wax will end up paying $23,000 over a lifetime on the service, according to a study sanctioned by the American Laser Centers. Women who use hair removal products will spend about $10,000 over a lifetime. Oh my! I didn't think I was that furry. I get my eyebrows waxed but don't worry too much about the other fur. My dark skin and dark hair almost match.

I know that the American Laser Centers has an interest in getting more people to laser off their hair permanently, so I'm not surprised by the results of the study. But honestly, if you are one of those people who shaves/waxes regularly, I can see those expenses adding up.  I've thought about laser hair removal.  Here's more info on the study.

For all you South Floridians, The European Wax Center is offering free waxing for first time clients. My good friend got her eyebrows waxed there and she didn't turn out looking like Count Dracula. They did a nice job.

In the quest of being frugal, is hair removal a necessary expense? How much do you spend on hair removal? Do you think that hair removal is expensive? How often do you shave/wax?

Identity Theft

I ran across this article from a New York Post writer who tore up a credit card application, taped it back together, mailed it to American Express and GOT APPROVED. OMG! I am shocked and outraged. Yes, I do own a paper shredder. Trust, I put it to good use. The article convinces me that everyone should own and use a paper shredder. I write this blog because I believe in being financially fit. Sometimes it's not just about cutting expenses. You have to go the extra mile to protect your finances/credit score. What's the point of having money in the bank if you can't protect it?

Do you use a paper shredder for financial documents? How do you protect your finances? What do you do with your credit card applications that come in the mail?

P.S. I posted this on Sunday night to carry us through Monday. I'm traveling all day Monday, so I posted a little early.

Obama is Helping Clinton Pay Off Campaign Debt

Sen. Barack Obama is asking his donors to help fund-raise to pay off at least $10 million in debts from Sen. Hillary Rodham Clinton's presidential quest. At the end of May, Clinton had about $22 million in debt. Out of the $22 million of debt, at least $10 million of that was from a personal loan to her campaign.

Opinion Polls & Market Research

Government Mileage Increase

After posting about mileage expenses yesterday, readers Lou and Cool Chick brought up how the government rate for mileage has gone up by $.08. Taxpayers may use the optional standard rates to calculate the deductible costs of operating an automobile for business, charitable, medical or moving purposes. The rate will increase to 58.5 cents a mile for all business miles driven from July 1 through Dec. 31. Yippee. This government increase is better than the last government increase I covered.

Here's the mileage info.

Work Expenses

I always have work-related expenses. As a journalist, I drive around, chasing stories, burning gas and wearing and tearing my car. I have to pay for copies of public records requests. I pay for parking while I'm at stories. I use my cell phone to check in with editors. Now ask me am I diligent and file for reimbursements from the company? Not like I should. Meh! When your life gets so hectic, you tend to forget to sweat the small stuff, like that 15-mile drive you did for work. But, it all adds up. I noticed a big difference in my bank account when I'm filing my expenses weekly.

For all the mouthiness about gas prices and inflation, sometimes people-especially those of us who have reimbursable work expenses-need to do our financial part to stay afloat. It's much better to be tedious with your records. Your bank account will thank you. I talked to a coworker who is a frugalist normally. The man brings his lunch to work everyday and he drinks the free coffee. But he admits he's probably let about $2,000 worth of work expenses fritter through his fingers.

I'm writing this post because the end of the month is near, and I have to play catch up with my expenses. If I don't file now, my company won't accept the receipts/paperwork in July. FOCUS FRUGALISTA!

Do you have expenses for work? Do you submit for reimbursement in a timely fashion? How much have you subsidized your company by not filing for expenses?

NFL Star Pacman Jones' Home in Foreclosure

The home of former Tennessee Titan Adam "Pacman" Jones is in foreclosure. Mr. "Make It Rain" bought the Franklin, Tenn. home in 2006 for $1.575 million. The estate has a main house that is close to 3,000 square feet and two guest homes that are each 1,200 square feet, according to the article. It's scheduled to be sold on the court house steps on June 27.

I say all the exotic dancers who Pacman helped support through his single dollar bill charity should rally together and help him out.  Pacman seems to have a string of horrible luck lately.

I hope he can find more affordable real estate in Dallas where he's on the roster as a Cowboy.

Should someone send Pacman a link to this site? Do you blame his legal troubles for his inability to pay bills? What do you think about one of his old friends who was there the night of Pacman's Las Vegas dust up possibly being murdered? Do you feel bad about his troubles?

$$$FREE MONEY$$$$ *update*

After a dreary week, I am thrilled to post happy news. Real Simple magazine wrote a little tidbit about unclaimed cash. In the United States, there's about $33 billion worth of unclaimed money in state treasuries. Find out if some of that lonely cash is yours.  Check out unclaimed.org and find your state. Type in your name and see if you have an old check or a bank account balance that you had no idea about.

I know I have a lot of Canadian and British readers. If there are similar websites in your countries, please let me know and I'll update the post.

After going to your state's website, do you have any unclaimed property? If you do, what will you do with the loot? 

I really want everyone to have a great weekend and thanks for all of your support this week.

**UPDATE** Canadians can click here  for unclaimed property.

Thanks Cookie for the tip!

Death to the Latte

Middle-class Americans are dropping their $4 lattes and brewing coffee at home. I think it's a step in the right direction. The New York Times does the math on the cost of buying something cheaper -a bottle of soda- every weekday for a year:

A $1.50 bottle of soda for each weekday of the year, for example, would add up to about $390. Now at $2 in some parts of the country, the habit comes with an annual price tag of $520. Over five years, that's $2,600.

Yikes! It all adds up. I know that Starbucks has taken a financial hit in this economy. It plans to close stores this year. I doubt I notice, though. Is it just me or do you see that green logo on every corner? The company has beefed up its rewards program to try to keep its fans. Free Wi-Fi for its habitual users.

Do you have a daily vice? How much is it costing you a week? Do you drink coffee? Have you tried to quit the habit for health reasons or financial reasons?

Thanks Lou for the tip!

Lay Offs, Buyouts, Staff Reductions

Yesterday was quite a day for me.  The Miami Herald announced staff reductions.   A lot of us will have to go. Some people can leave voluntarily. Others must leave. One person has to leave from my reporter class. It will go by seniority, so I am in a good position. But we will know by next Wednesday how it all works out.  We've had buyouts before. It's the economy and our industry. We knew they were coming soon.  The blogosphere was alive with speculation since last month.

If you are facing layoffs/buyouts, here are some tips about what you should do with your finances. If you need to make a quick buck, here are some tips.

Here is an earlier post I did about what to do if you are laid off from work.

Are you facing buyouts? If so, do you have an exit strategy? How do you rebound after losing your job?

Driving for Cheap Gas

People in San Diego are driving to Mexico to get cheaper gas. Mexico has an inflation subsidy to keep prices low for its citizens. A gallon of regular unleaded gasoline in San Diego retails for an average price of $4.61 a gallon. A few miles south, in Tijuana, it's about $2.54 — even less if you pay in pesos, according to the article.

I know some people who make it a point to fill up their gas tank anytime they see it at a lower price, even if the tank is near full. Here is a tool to help you find the lowest priced gas in your area.

What are your tricks of the trade to save on gas?

Teens drivers feel pain at the pump

The Boston Globe ran an article about teenagers cutting back on driving and complaining about gas prices. When I was a teen, I couldn't wait to get my driver's license. I was an angel. I always got driving privileges. Well, maybe saying I was an angel is a stretch. I just knew how not to get caught. ;)  The teens in the article are doing things like riding their bikes more. The thought of me at age 19 riding a Huffy. *shudders* 

What do you think about teens running on empty? Are our streets safer now? Or are kids missing out on the American rite of passage:keys to the ride?

Thanks G-Money for the tip!

Credit Cards are Good?

I am going through credit card detox. I don't use them anymore. I carry a balance, and I'm in debt slaying mode. However, for people who are responsible with credit cards and pay off their balances each month, there are big perks.

A new book, How You Can Profit from Credit Cards by Curtis E. Arnold, the founder of cardratings.com,  will be out in July. Also, Liz Pulliam Weston wrote an article about credit card perks such as warranty protection and help with dispute resolutions with companies. She has a love fest with her credit cards.

I admire those who use plastic responsibly. I have friends who have taken trips to Mexico after getting credit card perks. Once I get through slaying the cards, I won't put them back in rotation for perks. It's too risky for my personality.

Do you use credit cards? If so, do you get perks or rewards? Do you think the hook ups given to credit card users are worth the risk of carrying a balance?

Become a Millionaire!

If you are 30 and want to become a millionaire, you must save and invest reasonably for the next 35 years about $450 a month, according to this article by Kiplingers.

Oh really? Among the suggestions to find the extra $450 hanging around is raising your auto insurance deductible to $1,000, buying generic-over-the-counter medicine and taking advantage of tax exemptions.

Out of all the suggestions in the article, I think finding tax exemptions is the one I need to work on the most. Part of me is a little wary of all the paper work, but it's costing me money in the long run. The suggestions seem pretty sensible. Bringing lunch to work is like the cornerstone of frugality, nowadays.

What would you do to try to become a millionaire, if you aren't one already? Are you O.K. with bringing your lunch to work everyday? Would you feel comfortable with a $1,000 deductible on your car insurance? My deductible is $500 and I'm at peace with that. Would you buy generic medicine? Or should people simply get better paying jobs or create their own businesses? Talk to me!

Evander Holyfield's Mansion in Foreclosure

Former Heavyweight boxing champion Evander Holyfield is getting knocked out financially.

Holyfield's $10 million estate in suburban Atlanta is in foreclosure, according to the Associated Press. His mansion has 17 bathrooms, three kitchens and a bowling alley. Whew!

Holyfield defaulted on a $10 million loan to Washington Mutual Bank, which will auction off his home on the courthouse steps, says the article.

Mr. Real Deal  had a long and great boxing career. Sure, Mike Tyson chewed his ear off , but for the $200 million earned during his career, he could take the chewing like a champ.

How can he get back on his feet? Should Evander go on Dancing with the Stars again?  Should we send him a link to this blog? What do you do with 17 bathrooms? Now, he has a lot of children, but 17 bathrooms? Should rich people just decide to live off half their income?

Thanks Jasmine for the tip!

Economic Stimulus Check

By now, some of you have gotten your economic stimulus check. What did you do with it? I had a lofty goal of putting all $600 on the credit card. Not so much. More like $400. I swear, the check got gobbled up somewhere between filling up my gas tank and food. Seriously. The good thing about having the money was that it was a stress-free month. The worrisome thing is that the check was a treat. It's not my salary. I need to step my frugal capitalist behavior game up. More cutting back, more income.
The New York Times and Associated Press ran some pretty nice stories about where consumers are spending the money. It's not on mall runs, trust.

Did you get an economic stimulus check? If so, did you spend it as planned? How did you spend the money?

Ed McMahon in Foreclosure?

Oh no! Say it ain't so! What would Johnny think? Ed McMahon, the former right hand man on The Tonight Show, has his Beverly Hills manse in foreclosure.  McMahon defaulted on $4.8 million in mortgage loans with a unit of Countrywide Financial Corp., which filed a notice of default in March, according to the L.A. Times.

The L.A. Times ran a nice story explaining all the health troubles he's been having lately, which has made it hard on his finances. Seems like Ed hit a rough patch. Maybe Ed and Latrell Sprewell can be come roommates?

What do you think about Ed McMahon's home being in foreclosure? Do you think he should have prepared for a rainy day? Or, do you think that financial troubles can hit the best of us? If Johnny were still here, do you think he would have bailed Ed out? Let's talk about it.

How Rich Are You?

So, we had a spirited debate yesterday about American wealth and how we opt to spend our money. I admitted that I'm a frugal capitalist, cutting expenses and actively earning more money so I can live the life I want. It's always best to live within your means, but sometimes you want to have more means.

I ran across this calculator that calculates where your wealth stands in relation to the rest of the world. It's the Global Rich List. True, we don't live in a third world country, but it still shows that even our stressed finances are still pretty opulent.  Let me know where your salary puts you on the Global Rich List. I am in the top 1.14% of rich folks in the world. Freaky, right? Just don't show this list to your bosses. They will start thinking you are over paid!

How rich are you?  Comment early and often, please!

Frugal Capitalist

The blogsphere is abuzz about Frugal Capitalists, people who cut back expenses and make it a point to earn more money. While, I enjoy not wasting money, I have been doing things lately to earn more cash. It's not enough just to cut out expenses like dining and getting regular manicures. If you really want to make moves, you have to also earn more money.

I've been side hustlin', doing more freelance articles like this one. Sure, I have to pay taxes on the money, but I still come out ahead. Because I'm not running the streets as much, I have more time to complete projects that earn income.

Bloggers Afrobella  and $ out of $.15 posted on side hustles, recently.

Are you a frugal capitalist? Do you think Americans chase dollars too much? Do you have side jobs to earn income? If so, let me know!

Cable Con

I ran across this interesting article about how cable is very expensive, especially considering how few channels users actually watch. I am guilty. I fought against cable for years, and I finally got it in January so I could watch The Wire and CNN. Now that I have it, I only really watch CNN and the Style Network. Still, I hold onto to cable service. I have a bundled package which includes my Internet and phone service for $122. Am I getting ripped off? For all my chatter about saving money, why do I still have cable?
I seemed to live just fine without it for years. I think cable is a social expense. No one wants to visit your house if you don't have cable. They just don't.

Do you have cable? How much is your bill? Do you think you are being ripped off? And just how many channels do you watch?

Lifestyle Creep

I ran across this great article about Americans and their little splurges that add up. I am guilty of this. Since joining the frugality team, I made a plan to spend a certain amount of money per month on my credit card.  I've kept up with that plan and I haven't used the card since my frugality vow. I already save automatically through my 401(k) at work. But, I know I can do better if I would practice penury.

For instance, this past weekend, I didn't spend a lot of cash, but I did buy a drink at the bar for $12. Maybe I should have had a coke?  Part of being frugal and fabulous is maintaining your budget and your lifestyle. Can you really do both?

Blogger Ms.Money Savvy posted on lifestyle creeps a while ago. I always thought it was a good post. I don't want to be a miser grouch. But, having debt doesn't make me happy either.

Here are some tips on stopping the money drain.

Let's talk about it! Do you have a lifestyle creep that needs to stop? Are you hanging at Starbucks too much? Are you buying up too many accessories for the house? Or, are you the person who never spends a nickel and feels like life is passing them by?

Holiday Plans?

So, a three-day weekend is right around the corner. What are your plans and how are you going to frugalize? Here are some summer travel tips.

I have a pretty busy weekend planned, so I wanted to share and tell you how I'm watching my dollars.

Thursday-Going to see NPR host Diane Rehm speak. Luckily, the event won't cost me anything but gas will be a killer. It's still worth going.

Friday-One of my best friends, Mike, invited me and some other folks out for drinks. The hang out is at a trendy place which means $14 martinis and $20 shots of Patron. I'm going to nurse a Riesling all night. I think the wine will be under $10. This night has the great potential to be a money trap.

Saturday- A guy friend is taking me to the Marlins game and we are going to an after concert to see Lisa Lisa from Cult Jam. YAY! I can eat before I go, so Saturday won't be too costly.

Sunday- I'm going to a lounge for an attorney fund raiser /party to fight cancer. I'll give a $20 donation and it's a tax write off. It's a party with a purpose. Gas will be a killer driving there, but parking is plentiful and cheap in Miami's Design District.

Monday- While you all are grilling, I'll be working. I can't let the overtime go untouched. My social life and credit card could use the discretionary income.

Even though I'm not going out of town, I still feel like I have travel expenses because of all the driving I will be doing. This high-priced gas is a mess.

What are your holiday plans? Are you frugalizing? Did you cut back on plans this year to save money? Talk to me!

Now Hondas are the new BMWs?

Alright, so I'm vexed again. Since gas prices are hovering around $3.80 nationally, the cost of small cars has gone up. I got issues with that. The economy cars were supposed to be our saving grace with these jacked up gas prices. Now, they are in demand and are getting pricey too. MEH!

Here's a little video about whether premium gas is worth the extra cash. I don't think so. I buy the cheapie gas and I'm rolling along just fine.

So talk to me. Are you in the market for a car? What do you think about economy car prices going up? And do you use cheapie gas? Can you tell the difference?

Pre-Owned Perfection

So, I've been studying up on the freegans and thinking about the great response to my urban foraging expedition. Used stuff is all the rage, no? I ran across this article that talks about what's O.K. to buy used.

I bought my car used about three years ago, and it's been a dream. I was able to getting a higher level car than I could afford to buy if I bought new. The car was certified pre-owned and two years old. Now mind you, I bought the car in early 2005 before Hurricane Katrina and Hurricane Wilma came around. You have to be careful with the car's history. My friend bought a used Land Rover and it's giving her hell. It had a lot of electrical problems. I hope it's not a hurricane car.

I clothes swap with my friends, too. That's not buying used, it's just wearing used goods. Honestly, I don't really go to thrift stores. Why pay when I can swap with the homies?

Looking at the list of things that you should buy used, I agree with most of them. But I am not so sure about used kiddie toys. I would be worried that there was a recall I didn't know about. I bet I would be a worry wart for a parent. 

Opinion Polls & Market Research

Frugal Chic

One of my favorite columnists Michelle Singletary wrote about agencies that want to make being thrifty/frugal the hip thing to do.

I'm trying to do my own frugal campaign, too. Fun, fashionable and frugal is my mantra. What else is there to life? I mean, my readers revolt at squandering money but are sure up to see a free concert or two. It's the best of both worlds. My philosophy is to enjoy my life as much as possible, while minding the bank. Miser McNeal will never be my name. I don't mind blabbing about a balance on a credit card or how I couldn't go out to play because I'm trying to save a buck or two. Financial freedom works better for me. Since I've taken a vow a frugality, I feel much more focused.

In the personal finance blogging world, paying off debt is a big old carnival  on the internet. I am so glad I started blogging. It's like group therapy but you go to sessions at your leisure. Tricia at Blogging Away Debt, posted about several bloggers who paid off debt.  For some folks, it took years, but they did it. Tricia's no slouch either. She's gone from $37,614 to $8,998 in debt.

Certainly, saving money is not a new concept, but somehow it got placed on the back burner for far too many.

I'm glad that speaking/blogging/writing about not becoming prey to subprime loans, credit cards or extravagant lifestyles is en vogue.  It's overdue.

Do you think it's becoming cool to be frugal? Is the culture of bling and excess out of style? Do you think Americans are having a wake up call? Do you think  even saying that saving money is a new craze hilarious to you? I mean, America has gone through a Great Depression.

Latrell Sprewell's Home Foreclosure

The home foreclosure crisis is hitting people of all economic backgrounds. Ex-NBA star Latrell Sprewell home was foreclosed, according to this story in the Milwaukee Journal Sentinel. I emailed the author of the article, Marie Rohde, and she said that in a few weeks, Sprewell's home will go to a sheriff's sale if he doesn't come up with the full amount he owes.

According to the story:

The holder of the mortgage, RBS Citizens Bank, told Milwaukee County Circuit Court Judge David Hansher that Sprewell owes $320,284. According to River Hills records, the house is assessed at $610,000 and has an estimated fair market value of $667,980. Sprewell bought the house in 1994 for $405,000.

Once upon a time, Latrell scoffed at a $21 million contract extension. My how things change. I hope he doesn't feel the need to lash out.

Well, to end on a positive note, Essence magazine has these five tips on how to stop wasting money.

Do you feel bad for millionaires who squander their fortunes and end up broke? What do you think about Essence's tips for being frugal? I'm not so sure I want to give up my gym membership, although I don't use it like I should. What are some of your frugal tips? And should sports agents start linking to The Frugalista Files in contracts?

Thanks to Product Junkie Diva for the tip!

Pinch at the Pump

I read two interesting posts over the weekend about people using bicycles and public transportation as the preferred method of travel. I concur! If I didn't need my car to chase down stories for work, I would get on the band wagon.

On my own, I walk a little bit more to the store/bank and I think about whether I REALLY need to take a drive to go some place. Still, I feel the "pinch at the pump." To fill up my ride it's $53. When I first got the car, it was about $30 to fill it up. Meh.

Here are some fuel-efficient cars. I'm not in the market for a new ride, and I think the Prius' are a little pricey for my budget. But then again, with more people considering fuel-efficient rides, maybe prices could go down. It would be nice if South Florida could get a public transportation system like Washington, D.C. or Chicago. I'm over vehicles.

What's it like where you live? Do you own a car? How much does it take to fill up the tank? Are you taking public transportation more? Are you riding  your bike or walking more?  Tell me all about it.

*Don Tate III AMERICAN-STATESMAN ILLUSTRATION

Freebies for the Week

Big business is warm and fuzzy this week.

On Tuesday, Haagen-Dazs is following in the ice cream freebie tradition and giving away its new flavor, Vanilla Honey Bee from 4 to 8 p.m. The company created the flavor to honor  honey bees that are now disappearing in large numbers. At the Haagen-Dazs Shop at 1455 NW 107^th Avenue in Miami, revelers can meet Willie the Bee Man. For more info, click here.

Dunkin' Donuts is giving out free iced coffee on Thursday. For more info, click here.      

Micky Ds is offering a free southern style chicken biscuit or sandwich on Thursday as long as you buy a medium or large drink.

 

                                                                                                                                                      Please let me know if you know of any other freebies. Thanks Lou and Afrobella for the info!

Is Hillary Clinton a Frugalista?

Presidential hopeful Hillary Rodham Clinton may be a frugalista. Seriously.  The senator is having a few money woes on the campaign trail. She's loaned herself about $11 million, and she may have to loan more. 

According to the New York Times, she will run some frugal campaigns in the future:

Clinton advisers said they were looking for opportunities to save money on campaign events in the coming primary states of West Virginia, Kentucky and Oregon. The advisers said events would be more frill-free, but they also said that the campaign was likely to go deeper into debt to vendors who design and produce her events.

When I ask if Clinton is a frugalista, it's because she's considering cutting back on the campaign trail. I don't think carrying debt is a frugalicious thing to do.

However, the Clintons don't seem to be hurting for cash in their personal lives with their big book deals and other assets. Furthermore, the family can command high fees for speeches.

Still, she's having to deal with her financial future as a candidate. Slate.com had this interesting explainer article about the fiscal ramifications that Clinton may face after the primaries.

What do you think of Senator Clinton's money concerns? Does it not matter because she's flush in her personal life? In today's society, is it possible to run a bare-bones campaign? Can money buy an election win?  If you were her, would you loan yourself that money?

For the record, I am not registered to any party.

Stamp Price Increase Starts Monday

Aw man. The price of stamps are going up yet again. I'm mini vexed about this. Why must this happen? First food, now stamps? I pay most of my bills online but not all. My checks cost $20 to order, too. I'm thinking this last stamp price increase may send me to online bill pay through my bank.  I was hesitant to sign up for it through the bank because I felt like it would wed me to the instituion. But, going to several sites just to pay my bills is worrisome, too. I'm going to stick it to the man! No more mail for me. I'm e-billing.

Do you pay your bills online? How much do you think that saves you? What do you think about stamps going up? Does the U.S. Postal Service need to realize that stamps are so, so, out of style?

Mother's Day

Mother's Day is the time of the year to honor the woman who gave birth to you. Or you can simply honor all the good women who've had an impact on your life.

But what can you get for the special woman as a gift that won't break the bank? Gift giving can be great, IF you can afford it. I'm always a big fan of planning in your budget for gifts. But even if you plan, you still may not be able to spend much money. And mothers have their own hang ups about receiving gifts, too. My friend Jeannette is a reporter, wife, mother of two and feels guilty that she asked her hubby for a $67 bottle of perfume. You can read about her frugal dilemma here.

As for Mama McNeal, she's getting an airline gift card. She's a flying granny nanny, helping out with my niece who lives hundreds of miles away. It's what she wants.

My affordable gift idea is writing an appreciative letter. I wrote my grandmother a letter once. I never saw her so happy. Here are some other gift ideas.

Is it possible to give a gift that's frugal yet shows how much you care about someone? What are you giving the special moms in your life for Mother's Day? Is it O.K.to not give a gift on Mother's Day? Do you have any good, affordable gift ideas?

Guest Blog: Advice for People Recently Laid Off

Meg Green, a certified financial planner at Meg Green & Associates and a Sunday business columnist at the Miami Herald, is guest blogging today about how to handle your finances if you are laid off.

*MEG'S TIPS*

1.  Check on your eligibility for unemployment benefits and apply immediately. Any individual who has been employed in Florida in the last 18 months and is currently unemployed or partially unemployed can file a claim. If eligible, your benefits may start the second week of unemployment. Call 1-800-204-2418 for the Claims Assistance Center.

2.  Consider working for a temp agency until a match for you is found. Or look for spot jobs, like baby sitting, tutoring, substitute restaurant server or receptionist, dog walking, to help keep you afloat. This way you will keep money coming in the door but have flexibility if you get interviews.

3. Sell things you no longer want or need, like old jewelry or Grandma’s clock. With the prices of gold and diamonds so high, you’re bound to clean up. Try Ebay for your stuff…even old clothes and shoes, if in good shape.

4. Review your living expenses and reduce/eliminate discretionary spending until a job is secured. This means eating in, making instead of buying presents, whatever your creative mind can come up with to save. Pull in the belts, and make it a family affair. It’s no secret you’ve been laid off. Don’t hide it from those that have control of your wallet and credit cards, like spouses and kids. Everyone needs to tough it up temporarily.

5.  Have your resume reviewed by a professional service. This often gives the biggest bang for the buck as your resume is your first impression. Be flexible in what you’re looking for. The ideal career job may be elusive right now, so consider whatever you can (legally) do and go for it.                                                                        

6. As a very last resort, consider a hardship withdrawal from your 401k, but leave that for last.  And try to avoid borrowing from friends and family. It’ll be so difficult to pay it back once you’re up and running, and that’s the best way to sour relationships.

   

  Try to make this time as stress free as possible by being open and up front with people. Exercise, walk the park, swim in the ocean, keep yourself healthy and fit. It’s good for you, your family and your new employer! Good luck.