The Budgeting Babe

3 Crazy Nights in Chicago: Chapter 2 - Eating and Drinking Our Way Through the City

2008-06-30T23:18:00.003-05:00

I was toying with calling this chapter "Texans Like Pizza and Drinking," because that pretty much sums up my weekend.

I'm not sure whether my Texan mamas (and some fellow Illinoisians, to be fair) fully expected the beast of a weekend we got. But one thing was clear from the start - they wanted pizza and drinking. And lots of it. And since I know all too well the city's famously hearty foods - and few of the famously foodie foods - I sent them to reasonably priced casual places. Though I'm always happy to provide recommendations for those looking for a trendier, less-touristy or more upscale scene.

So we started our caloric extravaganza at Gino's East on Friday night; their pick, although since I eat it so infrequently it's a treat for me. If I had to pick the best pizza in the city, it would be difficult, so I usually take out-of-town guests to the place closest to where I am at any given time: Lou Malnati's on the North side, Gino's East downtown, Giordano's or Salerno's in my hood and Home Run Inn on the Southwest side. You really can't go wrong with stuffed deep dish. We ordered a large one, two pitchers of beer (Goose Island, thank you), toasted ravioli and spinach sticks. Including the beer and a few mixed drinks, the total came to about $22 per person. Which is a great deal considering how much food was on our table!

After dinner, we went to Stanley's on Racine for a happy hour in the West Loop, where I taught my girls the fine art of playing bags in the dark. I think I only bought a few beers there, because our bag play amused the crowd, so folks kept our drinks coming whenever we were out. Gotta love the city. We made some new friends, but after losing both games to the Jeffs (that's Jeff and Geoff, to be precise), we were ready to move on.

A quick cab ride later brought us to English, a newish local hotspot downtown, where my smooth tap-dancing moves pretty much owned the top floor. Well, at least I thought they did. Another few drinks, some non-tappy dancing and the bar called last call. So we began our walk back to the hotel (which was a cool corporate apartment complex) with a stop at McDonald's along the way.

Saturday morning I skipped breakfast in favor of Dunkin' Donuts iced coffee and a chocolate donut as I frantically cruised around the city trying to get a phone. The other girls headed to Navy Pier and then west to Wicker Park, where they discovered Earwax, a trendy vegetarian diner that they raved about. I still can't stomach the name, because actual earwax really, really freaks me out, so despite its loveliness and dedication to keeping food real, I don't think I'll go there anytime soon.

Saturday night, we wanted something close, so we headed to the House of Blues, where we split bottles of champagne and racks of ribs. Weird combo? Yes. But also totally fun. There was a FANTASTIC musician performing and I've always thought the space itself is really cool, and they let us on the stage to take pictures with the band. That's usually more of a lunch place for me, but I'd go back for the BBQ ribs. Without the champaign, the ribs came to about $20 per person, including tip. Considering that we saw awesome live music with dinner, it was a great deal.

After HOB, it was up to Sheffield's for the beer garden. We planned to go to Funky Buddah Lounge but got rained on, and thus ended up instead at Trader Todd's because one of the girls was feeling some karaoke coming on. And apparently some shot-ski's... which my super fun Texan friends loved (you'll have to go there to figure out what those are). A few Virginia's Bananas, and some shot-ski's later, we were ready to call it a night.

But first, we finished things off with some late-night burritos. I couldn't even tell you where they were from. It was kind of a "hey cabbie, stop here!" thing. Though I can definitely offer some solid advice on picking a late-night burrito joint... look for long lines and happy faces! Two of my favorites are The Burrito House and the one by Wrigley Field, where Ish will serve you up burritos with a smile all night long at a tasty price. OK, LaBamba will also hit the spot when needed.

Sunday was a late breakfast at Potbelly followed by a heaping spoonful of pride at the Pride Parade (more on that later), and then the girls wanted MORE PIZZA before they got on the plane for Texas so we hit up Giordano's for one last stuffed deep dish and some fried zucchini.

Sure they missed out on some things - Al's Italian Beef, Taylor Street Italian Ice, Nicky's Hot Dogs, Garrett Pop Corn (get the Chicago mix), Portillo's and every foodie place in the city...

And of course they missed out on museums and most indoor activity aside from shopping, but that's why they need to come back in the winter. Maybe by then I'll have a handle on the places that require a coat and tie.

3 Crazy Nights in Chicago - Chapter 1: Chicago Swallows my Phone

2008-06-29T22:36:00.002-05:00

So much happened this weekend that I need to write it up by chapter to organize my thoughts. And so, I bring you tales from the city streets. Enjoy.

Chapter 1: Chicago Swallows my Cell Phone
Hot as an oven, vibrant, pulsating with life and music and smelling familiarly industrial like rubber and asphalt, Chicago in the summer infuses my soul with life, heat and passion. Maybe it's because I was born here on a steamy July day, but walking downtown this weekend, I felt one with the city. We are jersey dresses and flip flops and iced coffee and open fire hydrants and sunburns and sweat and ponytails and baseball caps. We are Cubs and Sox. We are proud, tall buildings that stand up to winds and storms. We are families and sisters and brothers and lovers and fighters and friends and everybody and nobody all at once.

It's enough for a girl to get caught up in, swallowed whole by the romance of a sunny day when the world is free and open and bright and anything ...can happen. Well, I didn't get swallowed up. But I was so ennamored with the city this weekend, serving as a guide for friends from afar, that I lost track of time, I lost track of my responsibilities... and I ultimately totally lost my phone.

I first noticed it was missing Saturday morning, apparently discarded somewhere between late night McDonald's and our hotel around 2 a.m. I wondered: Is it somewhere on a street curb, lonely? I wonder if it was karma - The City's way of balancing out the perfect evening with a little unpleasantness to remind me that like the seasons, Chicago's mood can change at any time.

Unfortunately, and much more pragmatically, turns out that someone else has it. They tried calling my parent's house in the morning before turning off the phone for good. Sadly, this means I won't get it back. This also means all my cell photos... including California sunsets, Wrigley Field from the top balcony and my mother dressed in a banana suit... are lost.

So on Saturday morning I went to the Sprint store, where I spent two hours negotiating a new contract (mine was up) and cell phone. I ended up with a pricey BlackBerry Pearl (I had planned to buy one for work, just not at that moment) with an added service pack and insurance for an extra $37/month, but my work will cover the BB pack so the monthly costs aren't bad.

While I didn't enjoy loosing my perfect afternoon and precious time with friends to the Sprint store, I was grateful to have a rainy day fund to fall back on. You don't plan to loose your phone with out-of-town guests in your city. But you should plan to have some extra cash in case you do. My rainy day fund turned out to be more than a cliche -- after I got my new phone, it poured most of the evening, cooling down temperatures but serving as yet another reminder to be prepared for anything at any moment. Because what saves you today might be that layering sweater or the small umbrella you keep in your bag, but tomorrow might be far more costly.

Chapter two coming tomorrow.

Figures...

2008-06-27T12:30:00.002-05:00

Note to self:
Cheap shoes = shoes held together with packing tape when the strap breaks.

Turns out, you DO have to spend more than $20 if you want to look professional at work. Sigh. Still, you can't blame a girl for trying to save a few dollars.

Wednesday News Round Up: I'm a total YAWN! (...Awesome)

2008-06-25T18:51:00.004-05:00

Sorry all, been in UP Michigan with my dad, brothers and boyfriend on our annual fishing trip, and we had no Internet there. (Yes, I am Midwestern..It was fantastic cheap fun.) Until I can catch up, here are a few helpful articles to help you pass the time. Enjoy!

Young, Prosperous and Frugal
Kiplinger.com
By Erin Burt
What you can learn from millionaires on a budget.
TOTAL BB shout-out for this fantastic article! Read it and learn how we roll.
I am a beliver in the YAWN philosophy (just without the W).

Living together while keeping money unmarried
US News and World Report online
By Kimberly Palmer
Welcome to my world, yo.

Using your tax rebate: What's good for you vs. the economy?
USA Today online
By Mindy Fetterman, Alex Newman and Juan Thomassie
It was interesting to see how what's good for you isn't really going to help the economy. Yeesh, that's a head scratcher.

What the Fed's decision means for you
CNN.com
By Jessica Dickler
This was helpful, so read it.

A first job primer

2008-06-16T12:59:00.003-05:00

In today's edition of "I scour financial news so you don't have to," check out this must read from Ron Leiber at the New York Times.

Your Money
A Primer for Young People Starting Their First Job
By RON LIEBER
Published: June 14, 2008
What employee manuals on health insurance, taxes and retirement plans should say, but don’t.

Get the full article here.

And since 'tis the season to talk first jobs (welcome interns!), here are a few things I've written on the subject:

-- My tips for starting a new job

-- About my job search, post-college

-- What to wear to the office

-- When to turn down a job

I hope these help you and good luck with your career journey!

Frustration: My savings accounts aren't keeping up

2008-06-15T01:56:00.007-05:00

I've just spent the last four hours online, researching my finances. And I feel frustrated. Not just because I'm sick and my head feels like a giant balloon is expanding inside of it, or because after four hours of sitting on the floor, my bottom has fallen asleep, or because it's a lovely summer Saturday night and I'm stuck at home. No ... I'm frustrated because I'm working hard to every day to save my money, but my accounts are acting like total deadbeats -- unmoving, unsuccessful and quite possibly hung over.

After my last post, a reader asked me to explain exactly how inflation is affecting my bank account. So I went back to pull the numbers, and analyzed my accounts during May 07, November 07 and May 08. I expected to find that expenses for ordinary things have gone up over the last few months. But on the contrary, I've been pretty good about adjusting my purchases to keep groceries and other staples at the same cost; for instance, we've made an effort to shop at Trader Joe's more regularly vs. Whole Foods, and at the high-priced Whole Foods, we've cut back on the higher-priced items.

While I was rather impressed with my spending discipline, I knew there were more accounts to investigate.

Up next was my savings account - and that is most definitely hurting. First, the good news: I have managed to save nearly $15,000 towards my downpayment during the last twelve months! Now the bad news: During the last twelve months, my money market account has plunged from a 5.05 percent APY in May 07 to a 2.75 APY in May 08. It's not even keeping up with inflation (which is currently at 4.2 percent), which sort of defeats the purpose of a savings account.

In fact, none of my accounts are keeping up with inflation. Not my bank savings account, not my money market account and not my 401K. In response to this statement, B said, somewhat sarcastically, that if my rates of return are above zero, the accounts still doing OK, and that the only people doing well right now are those who invest in commodities. I asked him if this meant I should invest in eggs and corn and cows. He laughed for a second, and then, more seriously said, "Well, if you open a brokerage account you can. Corn and gold are up right now."

Unfortunately I don't know how, or where, to open a brokerage account. Or if it's a good idea. So I looked it up on google, and found that it's pretty much just a standard investment account, which is not on my list of things to do with my downpayment funds.

It's weird - I'm so close to where I want to be with that account, but it still feels so far away. I'm probably a year to 18 months away from buying a place -- I have about $25,000 saved up right now -- and I have a plan for the next twelve months that involves home buyer education and real estate market analysis. So I should feel good, or great, about my progress. But instead of feeling like my money's doing well, I feel like my accounts aren't working as hard as I am to help me reach my goals.

But given the economy, I guess everyone's in the same boat. Maybe I should be happy that despite my savings accounts, I'm still managing to sock away money. Maybe I should also be happy that I haven't lost any money, or any equity (since I don't own a house). My net worth has steadily grown, despite the "market contraction." All very positive things. So what's bugging me?

I think the problem is that I feel helpless to do anything about the fact that my accounts aren't keeping up. On the downpayment account, I shouldn't move into higher risk, higher yield accounts, because I'm not planning on keeping money there five years or more. On the retirement account, a 1.9 percent rate of return is actually better than where my account was in November 07 (-4.5 percent). Truth be told, I wouldn't want to make any bold moves in this economy; there's too much uncertainty. And really, the difference between a 5.05 percent APY and a 2.75 percent APY probably only boils down to about $20 per month for me. So the best bet is to sit here and continue to save, like I always do.

I don't know, maybe it is the weekend cold talking. Let me get a little better and tell you how I feel next week.

Inflation jumps

2008-06-13T08:53:00.003-05:00

It may be time to adjust your budgets. I'm noticing a change in my bank accounts - are you?

AP: Inflation rate jumps highest in six months
By MARTIN CRUTSINGER, AP Economics Writer
WASHINGTON - The inflation rate shot up in May at the fastest pace in six months, pushed higher by soaring costs for gasoline and other types of energy.

Read the full article here.

Along the same lines, I read something yesterday on "stagflation." Can anyone explain that concept?

A Vacation Alternative for an Expensive Summer: Crashing

2008-06-11T22:25:00.010-05:00

As I noted a few posts ago, summer's gonna be rough for vacationers - gas prices have skyrocketed, airline tickets are outrageous and nobody has any extra cash to spend on exotic getaways, since prices of everyday things are rapidly rising. So what's a girl to do when she needs to get away?

My answer: Shack up with a faraway friend.

This may seem obvious for legions of college students accustomed to spending time crashing on friends' couches during summer vacation, but for many young couples and young-at-heart singles, the days of "crashing" ended with the diploma (or at least the sober, non-sexual kind did). Work schedules, family life, significant others and small apartments create imposing barriers to hospitality, and eventually it becomes easier for everyone involved to stay in hotels. As a traveler, you don't want to impose on your friends.

But one of my best friends just moved to Elko, Nevada, with her husband, and since I was desperate to get the frick out of Chicago and she was happy to have a visitor, we found a cheap flight, coordinated our schedules and made it work over a long weekend. The entire trip ended up costing about $150 more than I expected due to a last minute travel snafu (more on that), but overall I ended up having lovely time in a totally unexpected place that would never have been on my radar ... all for about $750, including flight, meals, entertainment, gambling money, snacks, souvenirs and extra lodging.

So if you're thinking of shacking up this summer to save a few bucks on a hotel room, here are some tips: plan well in advance to score a cheap flight, don't assume anything about your hosts' schedule, be as specific as possible about what you want to do during your trip (set expectations) and be a polite guest.

If you're interested in my trip to Elko and some cheap activities we did there, read on. My trip synopsis is below... I warn you, it's a long one; I will edit later... Read at your own discretion for now.

Day before the flight:
8:00 a.m. - I send an e-mail to my friend informing her how excited I am to visit Elko, then run off to attend about 800 morning meetings.

10:00 a.m. - When I come back to my desk, I find an e-mail from her nicely telling me that I am a moron because I assumed she was taking a half-day off work to pick me up from Salt Lake City. She is not, and now my options are to wait six hours at the airport for her or wait twelve hours to take a train. Rats.

12:00 noon - Friend informs me that she has found a flight for $180 to take me from Salt Lake City to Elko and offers to pay 1/2 the ticket b/c she feels bad that I am an idiot. I accept. She books the flight. Hurrah! I'm definitely getting to Elko, but since I'm planning to insist on paying the whole thing, my flight is now costing me roughly $480. I am mad at myself but too busy to care much.

Day one: United sucks. Reunions rule.
I make it to O'Hare fully packed with plenty of time to spare. Then I sit on the runway for 90 minutes. Then I miss my connecting flight, and the United flight attended tells me I'll probably have to pay another $100 dollars since my flight itineraries weren't linked and my missed flight was on Delta. I want to step on her toes.

Luckily, someone at the gate is much nicer and gets me onto the next Delta flight for free. She is a goddess. I profusely thank her and dash over to catch the flight to Elko... which leaves three hours later. Luckily I bought an $11 Quizno's sub and a $15 dollar copy of "My Sister's Keeper" to hold me over during the wait. I spend most of my layover crying like a baby in the airport. Damn that book is good.

At 6:00 p.m. I finally meet up with friend in the Elko airport. She and her husband take me on a brief tour of this high desert town -- we drive past the mysterious brothels of Elko, the oldest casino in Nevada and some men wearing cowboy hats. I learn that Elko is as high above sea level as Denver, that it's a gold mining boom town and that there are so many people trying to buy property there that all the hotels are booked with semi-permanent residents waiting for homes to be built.

We eat at a folksy Basque restaurant called "The Nevada" where the waitresses are super friendly, the gold miners eat in long rows and there is no sign of Basque cooking from what I can tell; however, friend points out that the homemade soup contains alphabet letters and this makes us happy. I estimate that the population of Elko is about 30 men to every one woman. Over a few cocktails, we speculate what it would be like to be a single woman in Elko. I bet you'd get a lot of ... um, dates.

Then we go see Sex and The City. It ranks a "meh" and shoulder shrug on my SATC scale. We're tired and go to bed.

Day two: Elko gets plastered
I sleep in while friend works; when I wake, I discover that I have the worst hair of my life in Elko - one half is plastered to my face and head via static and the other half is sticking straight up. I try five different hair creams to no avail. My hair sticks up like pipe cleaners. No wonder there are no women in Elko.

Friend gets off work early, and we eat lunch in a casino with a polar bear on the front. It's the only place in town that's open for lunch at 2:00 p.m. (Elko moves at a different pace.) We window shop around and pick up some souvenirs. I do not buy cowboy boots. We visit the cowboy museum, where the national cowboy poetry reading is held annually (who knew there was such a thing?). Then we watch her husband compete in a tug-of-war for charity (who knew there was such a thing?).

In the evening, we go to this crazy party at the Red Lion Casino, which friend tells me is THE BIGGEST PARTY OF THE YEAR in Elko. And no wonder! There's a band, a beer tent, a mechanical bull (yep!) and an amazing all-you-can-eat buffet with a seafood bar. AND IT'S ALL FREE! Apparently one of the gold mining companies is doing so well that it can host this extravaganza for about 1,000 people every year. They don't do that stuff in Chicago! I proceed to partake in the free bonanza.

By midnight, I'm playing craps at a $3.00 table with $20 worth of chips. At $5 left, I resolve to quit with my dignity in tact, but friend's friend says to me, "No risk, no reward!" so I keep playing. I end up getting on a nifty streak and winning my money back, plus $35 more dollars. Life in Nevada is good, and my souvenirs are covered with my winnings. Plus, gamblers drink free so I still haven't really spent anything on the awesome evening. Vegas, eat your heart out.

Day three: Ruby Mountain High
We wake up late because we're hung over. Then we drive 20 minutes outside Elko to the Ruby Mountains, which are amazingly beautiful. Our campsite is $15 per night, it's secluded and it's on a mountain stream. We pitch tents, cook dinner and start a fire.

But we're freezing cold, so we go to sleep early. The temp gets down to 30 degrees at night, and I am shivering in my winter jacket, gloves, hat, hood, sweatpants and wool socks. I think about going to the car or jumping into friend and her husband's tent, but it's too cold to get out of the sleeping bag. I think I hear a murderer or a grizzly bear outside but am more intimidated by the cold than the bear. So I wait in bed until the sun comes up. And when it does, I am warmed and I fall asleep and I am at peace.

Day four: Hiking the Rubies
When we finally get up, the sky is bright and we are refreshed, but my skin feels like sandpaper. I disregard it and we feast on campfired eggs and turkey sausage -- protein never tasted better. We then hike up to the snow line in the mountains. It's more beautiful than I imagined from our camp site.

After hiking, we head home, wash up, pack up and hit the road for Salt Lake City, where friend and I booked a hotel on priceline.com for $60 near the airport. We have a fantastic seafood dinner in Salt Lake City, though the city is dead on a Sunday night. After I roundly kick her arse at air hockey at a local watering hole, we head back to the hotel, exhausted and full. I am sad to say goodbye.

Day five: Homeward bound
Friend leaves Salt Lake City at 4:30 a.m. I sleep in and leave for Chicago around 1:00. I cry reading "My Sister's Keeper" the entire trip home. I hope no one sees me. With my dry skin, flat hair, red-rimmed eyes and general look of exhaustion, I'm sure I paint a pretty picture. But despite my outward appearance, I feel alive. And that's what my vacations are all about.

Budgeting Babe Podcast on US News!!

2008-06-04T13:42:00.002-05:00

Check out this interview I did with Kimberly Palmer at US News & Report. I think it's worth a listen over your lunch break.

Podcast: Being Young and Thifty
US News & World Report
Interviewer: Kimberly Palmer

What do you guys think?

(No more to read on this one, so ignore this >>>)

Summer Poll

2008-06-02T23:08:00.003-05:00

It's the first day of the meteorological summer! So I've decided to celebrate with a random poll. Tell us: if you had an extra $50 this summer, what would you spend it on? I've listed a few options with my very unscientific poll here and I've decided to be very rigid. You can only pick one of these, so if they don't appeal to you, pick the closest. No wimpy "none of the above" options in my make-believe land of happy $50 for all. No sir.

Or you can just, you know, write it in the comments. But take the poll first, and then tell me how you'd rather spend an extra $50 if someone approached you with it right now.

My extra $50...

Consequently, I did get an extra $50 this summer as a gift, and I spent it on ... gas. In May (ok, still technically spring) I traveled to Wisconsin with my mom to visit my aunt and donated $20 towards the trip. The rest was spent at Mars' Cheese Castle off the 94 expressway outside of Kenosha (aka the best place on earth), where I loaded up on cheese curds, summer sausage and New Glarus Beer - a virtual cornucopia of Midwestern delight - before heading to my aunt's to chill by her firepit and watch my little cousins catch bullfrogs.

If that's not $50 well-spent, I don't know what is.

And here is the rest of it.

The Difference

2008-06-01T11:39:00.005-05:00

Last night, a group of friends old and new gathered to celebrate the passage of time, the ritual of the 30th birthday, for two of our best party boys at the mysterious Debonair Social Club on the city's West side.

The bar, billed a "boutique video club" by a local review site, featured a curious mix of clientele, decor and wait staff. Among mash up of goth-ish goers, heavily tattooed leather fans, 80's material girls and quasi-punk lovers, my casual crowd was totally out of place. The bouncers seemed more focused on keeping people out than getting people in, and the bartenders were ridiculously rude, but for the most part, we didn't mind. Intrigued by the people watching and the strange interplay of Nirvana, Annie Lennox and Fall-Out Boy on the speakers, we spent most of the night debating whether the place was an all-out gay bar, a bar for the more dramatic theater crowd or simply an oasis for the eccentric. The videos and images on the high walls offered more than a little fodder for conversation.

Today, in thinking about a bar whose image is up for grabs, I began noticing how within my own social scene, people's images, personas and passions have changed over the last 10 years.

The fun-loving, free-sprited lifestyle of our early 20's - yet so filled with drama, tension and angst - seems to have given way to a more focused kind of existence. As some friends said good-bye early to be home with their babies, others laughed about recent stints living abroad in Europe and Brazil while others discussed career goals and other aspirations. Of course, this conversation was often punctuated by the occasional sing-along to Billy Idol and eventually became more vodka-driven than not, but still, this morning I can't help but think about the change that's occurred.

If our early 20's are all about defining our identity, determining our priorities and filtering out what we don't want in our lives, then our late 20's - for some of us, at least - are about internalizing those priorities and goals and setting in motion a path to get there.

I'm not sure how long this "setting in motion" phase lasts. But I would define it as the point in between once you finally identify what you want out of life until you actually are able to achieve it. Crap. Scratch that out. Because that sounds an awful lot like life itself.

OMG, the enormity of what I wrote just hit me...

When did we become adults?

That's the difference, isn't it. Individually, we're at different stages, but collectively, we're all officially adults now. I'm at once proud and sad.

Is that what our 20's are really about? You pay the student loans back, you learn to succeed in the nine-to-five (Ok, 8 a.m.-to-8 p.m.) world, you buy the furniture and the wall art, you adopt pets, you learn to manage your finances and live well within your means.

And somewhere in there, adulthood happens. Who knew?

Air Issues

2008-05-26T23:08:00.002-05:00

My annual budget-friendly trips have become a highlight of, well, my life. During the past few years I've traveled on the cheap to California several times, to Washington and Oregon and to Ireland, to name a few. I early await trip-planning season every year. And every year, I book a reward ticket on American and use my credit card rewards to keep the cost of most trips around $1,000 for a week-long expedition.

But have you tried booking flights lately? It's out of control! I'd spend the cost of my entire annual trip on airfare alone. The cost of flying to the Pacific coast has doubled since the last time I flew there, and now my miles are ridiculously difficult to redeem. We were considering a trip to Belize, but the flights cost an arm and a leg. I checked a few other destinations and the costs and mile redemptions are nuts...

This is a vacation crisis, people!

I feel blindsided. I mean, I know the cost of gas is bad, but what happened to Southwest's cheap flights? I guess I haven't been following the effects of airline consolidation and the high prices of gas haven't really hit me yet either(don't laugh, I don't drive).

So what's a girl to do this summer? I was really relying on cheap airfare for the summer. I need some suggestions for a good August destination with outdoor adventures stat! I'm thinking now I should just try to go to the boundary waters in Minnesota or do something in the Midwest. Which kind of sucks because I really love meeting people from all over, learning about the history and culture of new regions and GETTING FAR AWAY with my long vacation time.

SOS!

Five Basics for Your Finances

2008-05-24T14:46:00.003-05:00

For those of you who missed this...

New York Times: Your Money
Five Basics for Building a Solid Financial Future

By RON LIEBER

Published: May 17, 2008

A new Times columnist offers guidance for making financial decisions, when making good ones is more critical than ever.

Read the full article here.

(Sorry, I can't figure out how to delete this darn "read more" link, so ignore it here.)

Biggest Purchase of the Year!

2008-05-20T10:24:00.005-05:00

I confess, I splurged. I bought a Dyson vacuum cleaner. I was totally reluctant at first; after all, at more than $400, it's my most expensive purchase of the year. But after my first apartment sweep (and five canisters of horrifying gunk pulled off my floor), I absolutely love it. It's worth every single penny. Vacuuming could very well be my new favorite sport. Which is weird for a girl who spends most of her time away from home...

The Cost (or, How I Paid for this Beast)
As you can probably guess, I didn't pay the whole $439 by my lonesome. B and I agreed to split the purchase, which was nice since he could probably live with another $40 vacuum that doesn't pick up anything (eh, guys). On top of his portion, I used a $50 gift card (cha-ching!). With that help, I was able to buy the Dyson outright (not on credit). PS. Love the feeling of ownership, rather than credit card debt!

At the Store
As for my purchase decision, I was between two vacuums - the Kenmore progressive, ranked #1 by Consumer Reports and priced at $375, and the Dyson Animal DC17, which received rave consumer reviews here (gracias), from my brother - an inventory manager at Best Buy - and on many Web sites, priced at $550.

I visited several retailers online, including Amazon, Best Buy and Sears to scope out pricing and reviews. I ended up at Sears, determined to buy the Kenmore model (though deep down I wanted the Dyson).

While browsing the aisle, B and I discovered the Kenmore needed new filters every ten months; we added up the cost of filters over five years and found they added an additional $210 to the price of the vacuum. That brought the total five-year cost of the Kenmore model to $585 (plus tax, of course). I was bummed, but at that point, the sales lady stepped in and told me she had a Dyson on close-out pricing... and so the magic began.

Sears had a Dyson model with attachments (the Sears-exclusive fully equipped DC-14) for $439 - it requires no additional filters or extra parts, and comes with a 5-year warranty. She demonstrated some nifty features, like the crazy long hose and ghost-busters extendo-arm, and then had me vacuum some dirt off the floor. I kid you not, at this point, I was in the center of my very own "as seen on TV" commercial. Sweet.

At that point I was sold, though still a little skeptical of how great a vacuum could really be. I mean, I already vacuum my floors every week. Would there really be that much of a difference? We packed up the cool-looking Dyson into the Eclipse and headed off into the sunset, with just a twinge of buyers' remorse.

The Proof is in the Pudding (THIS THING ROCKS!!!!)
OK, you're bored, I know. But I have to tell you, this vacuum is freakin' amazing. I pulled what looked like an entire additional cat off the floor. It was like I never had vacuumed before; like there was a science project happening in my living room. Poor B was trying to study and I just kept shoving the full canister in his face shouting, "Look! Look at this gunk! Can you believe it? Can you believe we're living in this???"

My carpets are clean, less smelly and less full of cat hair. If you are a pet owner, I would definitely recommend getting the Dyson, especially if you have frequent visitors with allergies (I do - my mom can't visit for more than a half-hour at a time; though I'm hoping she can get in a full hour now). Sure, there are probably more pressing things to spend your money on, but if you're living in an apartment, and your vacuum breaks and it's the only appliance you are actually responsible for and you have the money set aside (wow, that's a lot of "ifs"), then I would splurge.

I think it's safe to say I'm obsessed. (You should have seen me cleaning the thing after I used it; it was like my dad cleaning, waxing and polishing a car.) If you ever want to come over and watch me vacuum, you totally can. Maybe the next time I sweep, I'll take a picture of the full canister to share so you can share my obsession.

Until then, what new items are you randomly obsessed with? What's the best big purchase you've ever made? Ever had a bad case of buyers' remorse? Enlighten us!

Women and Negotiations: Don't Be Afraid to Ask! (Updated version)

2008-05-18T13:30:00.004-05:00

For a lot of young women, negotiations are as uncomfortable as stepping into a wet swimsuit, and as painful as walking in too-small stilettos. Asking for more money, or getting a service for less money, feels awkward and unnatural. But in a negotiations workshop I recently attended at the Kellogg School of Management, I learned the importance of asking for what I want, and the harsh consequences of not negotiating.

Our class started with an exercise in humility. Half of the room played the role of a “new hire” asking for a signing bonus, while the other half played the role of an HR person charged with giving the bonus. The goal of the new hires was to get as much of a signing bonus as they could – up to $30,000. The goal of the HR rep was to “make the hire” with a bonus of $20,000 or less. Neither side knew of the other’s goal.

I played the HR rep in my exercise. While I was prepared to go up to $20,000, my new hire started the bidding by asking for only $10,000. I pushed back a bit, but she ended up getting her inital ask ($10,000) out of me, and felt good that she secured her initial ask. I felt great that I saved my company $10,000 dollars on the deal.

We then rejoined the larger group, and learned that a few other women – about five out of 100 – had secured a $20,000 bonus. When my partner learned I could have given her up to $20,000, she was surprised. “I should have started at $30,000!” she declared. And she was right. In fact, nearly all of the women in the room ended up negotiating a $10,000 signing bonus because they felt awkward asking for more, or didn’t feel they deserved more. That’s a lot of money left on the table.

Kellogg Professor Vicki Medvec has seen this scenario play out time and again without fail. She’s a professional negotiator, professor of management and organizations and executive director of the school’s Center for Executive Women. “Women don’t ask,” she says, “and it’s costing them in the long run.”

In her research, she’s observed that from day one in the workforce, men negotiate for greater salaries and benefits than women. In general, men aren’t afraid to ask for more, or to jump on an opportunity for advancement, while women feel they will eventually be rewarded with a promotion or raise for the good work they’re doing.

As young, working women, think about the effect this can have in the long-term. If your male colleague gets hired to do the same job for $20,000 more than you as a starting salary, what’s the effect when you both get five percent annual raises? If a new position is open and you apply but don’t follow up because you don’t want to seem pushy, what’s the cost of missing the opportunity for advancement?

The above examples aren’t made up, they came from women in my workshop (and were echoed by the experiences of many other attendees). Medvec noted that women often feel so "honored" to receive a job or promotion, they often don't think about negotiating for more to go along with the position. This might mean accepting a new title, or new account, without additional pay, vacation days, benefits or support. It's flattering to be recognized, right? Most women probably feel they're "pushing it" to ask for more.

Interestingly, research shows the “women don’t ask” rule generally applies to negotiations on behalf of ourselves only. Women actually do quite well negotiating on behalf of their companies. So why are we afraid to ask for ourselves?

Medvec shared some insights from her research that stem all the way back to childhood household chores: girls are given primarily indoor tasks, like washing the dishes or sweeping the floor, while boys are frequently given outdoor tasks, like washing the car or shoveling show. Outdoors, neighbors might approach the boys to ask how much they charge, sparking the idea that “free” chores can also be done for profit for neighbors. (Medvec called this “exposure to external labor markets.) For the girls indoors, this isn’t the case. How many neighbors ever asked you what you charged for vacuuming the rug or dusting the bookcase? Me neither.

So how can women learn to be better negotiators for themselves? Luckily, there are a host of techniques and tactics that can help us collectively improve our bargaining results. Here are a few that I learned:

1) Be prepared.
Know what you want before you go in, and know why you deserve to get it. Don’t think about your argument in terms of your life (ie. I should get a raise because I can’t possibly afford the cost of living in Chicago on my current salary.), think about it in terms of value you bring to the company. Come prepared with a list of your accomplishments, praise, client satisfaction, etc.

Under this point, doing research is also a top priority. If you’re landing a new job, know what others in your industry are making. This is particularly helpful if you’re moving to a new city, where salaries may vary greatly – you don’t want to start your new job with an earnings gap!

Finally, figure out exactly what you’re asking, what you’re prepared to give up and what your best alternative is. (In other words, how low can you go before you walk away? And where would you walk to?)

2) Find a mentor outside of your circle.
We tend to ask our mentors before making a business move or attempting a negotiation. But what if we’ve filled our ranks of mentors with people exactly like us? Sometimes, we need to ask for opinions outside our trusted circle. Medvec takes this a step further and actually argues that women should have a male mentor to bounce ideas off of. I can vouch and say that in my experience, men in my field often have completely different views of what is “risky,” when advancement should happen and what raises and promotions should look like. I’m always blown away by their perspective. Maybe that’s why in PR, our entry levels are filled with women (like 90 percent) and our managers are all men.

3) Money isn’t always the main goal.
Develop an inventory of all the points that would be “wins” for your negotiation. If your boss can’t give you a raise, are there other points you can talk about? More vacation days, better support, new responsibility, advanced training or perhaps a better understanding of your career path?

The idea here is that it’s much more difficult to negotiate when you’re only negotiating on one point. If money is your main goal, and you walk into your boss’ office and ask for $10,000, and she says, “I can’t right now due to the economy,” you’ve lost. Medvec says it’s much more effective to go in with an A, B, C approach, so you can say, “OK, if I don’t get A, how can I still get B and C from this negotiation?”

It’s important to think this way outside of your career, too. If you’re buying a house, and the current owner won’t meet your price, are there extras she can throw in that would help bridge the gap? New appliances, repairs, etc. Think about how you can close this deal in a way that’s satisfactory to you.

4) Ask first.
Though it seems counter-intuitive, the person who asks first sets the price point for the entire negotiation. Think of it this way: in the exercise I referenced, the new hire could have asked for $20,000. Since my new hire started at $10,000, she automatically closed the door on anything from $10,000 - $20,000. She set the window of her negotiation at $0 - $10,000 by starting too low. Had she started at $30,000, I would have been desperately trying to get her “down” to $20,000.

Don’t close your window low, and don’t let your window be closed. Start first, and ask high to “anchor” the price point in your favor. It’s a tried and true technique that professional negotiators, corporations and everyday people use all the time. Don’t be afraid of it!

5) Concede.
Concessions are relationship builders. Always have an option you can afford to lose as part of your negotation points. For instance, if you really want a $10,000 bonus, and you ask for a $15,000 bonus plus two additional vacation days, conceding down to your desired $10,000 makes your company feel like they scored a "win" somewhere.

That said, don't be outrageous about it. If you're company's freezing salaries, don't go in and say "I need a 20 percent raise and I want to work Fridays from home." Understand what's reasonable and what's not. Be sensitive to the company's needs and the business/economic climate. You may need to wait a few months before making your move. Don't propose something outrageous unless you're really prepared to walk.

As you can tell, I felt really enriched by the workshop I attended. I’ve always been of the “work hard and you shall be rewarded” mindset. I probably have even resented people who do what they can to get ahead and bypass those who “really deserve” to get a promotion or raise. The challenge I have coming out of the workshop is to take greater control over the direction of my finances and my career, instead of always just waiting around for the next big thing.

Now I know you have to ask! And I’ll be more mindful and respectful of those who do ask to get ahead, because it’s definitely a necessary skill.

Do you have a story about negotiations to share? I’d love to hear how you learned about the importance of asking, or how you realized you had missed out on a big opportunity because you didn’t ask.

Spring Cleaning

2008-05-11T19:58:00.007-05:00

I haven't been feeling much like myself lately. I've been in a funk and stressed out for some reason - probably due to increased stress at work and some small health issues (which seem to go hand-in-hand). I've been meaning to post, but haven't had the heart to write what's on my mind. I tried to work out a bit, but don't have the energy. I've been spending weekends in, mostly sleeping or just lounging, rather than going out with my girls. And you know what? I'm sort of sick of myself.

I realized today that I've been spending more time talking about my health and nutrition issues lately than, well, anything else. And I think it's driving my family and friends crazy. I need to get back to my normal, energetic and engaging self. But how?

Well, as most of you know, I'm not an unhealthy person. I usually eat plenty of veggies and fruits, try to eat "clean," or organic/unprocessed whenever I can, avoid sodas and too much sugar and work out regularly. This isn't the cheapest or easiest, but it's how I feel my best and has worked well for me. Despite my healthy ways, about two weeks ago, my digestive system staged a protest and I ended up at the doctor's office to get some advice.

Digestive issues are nothing new for me. I've had a sensitive stomach my whole life and regularly carry around a purse full of everything from antacids to Pepto to Immodium to chamomile tea to fiber to gas tablets (sorry for the TMI!). I've tried digestive enzymes, tried going vegan, tried avoiding dairy. How I'm processing foods really just depends on the mood of my tummy on any given day.

This time around, my doc advised me to be really restrictive about what's going in, and suggested I limit my fiber, uncooked vegetables and raw fruits until I get back on track. So I've been doing that for two weeks now and I hate it. Though my body seems to be back in order, I don't have the spring in my step that I usually do. So today I've gone back on veggies, fruit and fiber. Screw the brown-rice bread, bring on the whole grains! I'm scrapping the "sensitive stomach" diet and getting myself back into shape.

Here's how I'm going to get back to normal...

1) To start, I made an appointment with a GI doc. I like my doc just fine, but she's never tested me for what starts my issues in the first place. She recommends a high-fiber diet one day, and a low-fiber diet the next.

I have no idea what the GI doc will cost, but he's in my network so it should be reasonable. For those of you wondering, I don't want to delve to much into symptoms or history. We'll leave all that to the health and nutrition bloggers out there.

2) As I noted, I'm going back to my pre-protest diet... high-fiber, good fats, yummy fruits and veggies. If I weren't going out of town all week, I'd be at Whole Foods or Trader Joe's right now, buying $80 bags of groceries.

3) I'm going to keep taking the probiotics I started last week. The kind I'm using now is about $30/month.

4) I'm going to try to take a multivitamin every day.

Hopefully this strategy will keep me running right, with the energy levels and nutrients I need, until I see the GI doc at the end of the month. Until my appointment, I'm not going to complain or wallow one minute longer. I'm going to get off the couch and start exercising and cleaning my house.

Speaking of cleaning my house (how's that for a transition?)... My vacuum cleaner has also staged a protest this week, and has decided it is no longer cleaning up cat hairs. Unfortunately for the vacuum cleaner, this means we have reached an impasse and will no longer be working together.

That said, I now need to buy a vacuum cleaner. And not just any vacuum cleaner; one that will actually clean my floor. My 5-year-old $40 Hoover probably "lost suction" about a year ago; we've been fiddling with bags and cleaning brushes, but it's progressively getting worse. So in the name of spring cleaning, I'm going to splurge and actually buy an adult vacuum [read: expensive] this time. (My family had a top-of-the-line Rainbow growing up... I still remember when the sales lady came to my family's house in the mid-80's for a demonstration and all six of my family members sat in my living room in awe as she picked up a bowling ball with only one small attachment!)

So given how I'm partial to expensive vacuum cleaners because they actually, you know, work, I have narrowed down my search to two models: the Kenmore Progressive Model 35922, rated number one for pet owners by consumer reports and retailing for about $300, and the Dyson Animal, which retails for about $550 and is rated number one by my brother, who works with inventory for Best Buy. I have read glowing reviews for both. I'm guessing the Kenmore will be the winner based on price... after all, I am still the Budgeting Babe.

OK, so I think we've covered it all today: digestive ailments, probiotics and vacuuming. I have officially become the most boring blogger ever. Oh well. If it makes me sound any more glamorous, I also bought a plane ticket to visit a friend in Elko, Nevada. They have a cowboy museum there! Don't think I was going to let the opportunity to visit a cowboy-lovin', gold-mining western town pass me by. Spring cleaning season might suck, but I'm feeling an adventurous summer just around the corner.

You guys rock! (Thank you!)

2008-05-07T10:48:00.003-05:00

I'm thrilled to say that I reached my fundraising goal of $300 for the Chicago Police Memorial Foundation with help from you guys. I didn't originally post my fundraising link on Budgeting Babe because I wasn't sure if that crossed a line or would be unwelcome, but consider the lesson learned: I will definitely share future fundraising opportunities with you -- you guys put me over my goal (though it's not reflected on the digital meter because I got a few checks).

Together, we raised ~~$305.00~~ $325.

So without further ado, I'd like to thank my list of sponsors for the race and people who ran with me:

My sponsors:
Reader Jennifer M. (!) ... thanks!
Mom & Dad
Uncle Jim
Bob and Kim
Trisha M.
Allison A.
Chandra L.
Desta D.
Nichole V.
Christina W.

And a special shout-out to the folks who ran with me:
Aunt Pam & Uncle Gabe
Megan W. (who happens to be a reader)
Carla R.

Now it's onto training for the 1/2 marathon in September!

Runnin' to Remember

2008-05-04T17:10:00.005-05:00

Wind rushing in my face, the bright sun beaming down, the fresh smell of Lake Michigan on a beautiful spring morning and a run for a good cause ... those were the perfect conditions in place when my mom snapped this rather intense pic of me. I like how it looks like I'm in the lead.

For the second year, I completed the "Run to Remember" to benefit the Chicago Police Memorial Foundation, which supports the families of officers lost or catastrophically injured in the line of duty. My dad is a police officer, and he's been injured (though not catastrophically!) a few times on the job throughout the years, so the cause feels close to home. This was my first ever solo fundraising drive (outside of a group or organization), and I managed to raise $285. My goal was $300, and even though I didn't make it, I'm glad I tried.

I imagine there are better ways to fundraise than simply e-mailing your donation URL to family and friends and posting a sign at a party, but that's all I did. I was really worried about seeming too pushy, so I only asked for $10 donations. In the process, I learned a few important lessons about fundraising:

1) People are fundraising for a lot of things. I have a really big family, so my cause was "competing" with an Easter Seals drive and with donations to support a relative's efforts to adopt (it's a long, happy story for another day). At work, a colleague was raising funds for a health research foundation. All worthy causes, and for the average person, it's probably difficult to choose where to put the extra $10 or $20 on top of annual donations. For the fundraiser, breaking through the clutter is a challenge.

2) People don't feel compelled to donate to your cause just because they like you. Truth be told, I was sort of surprised by the lack of response. I usually try to make a small donation whenever somebody I know is running, walking or rolling for a cause. But I guess folks have a lot of other things going on in their lives that prevents them from donating, and I can't take that personally.

3. People who do donate are spectacular superstars. I tremendously appreciate donations from friends and family who supported my efforts. After this experience, I have a new found respect for those who do manage to scrape together a few dollars here and there to help the fundraisers out there.

4. Just e-mailing people isn't enough. I'm not sure what cause I'll raise money for next year, but I'm pretty sure I'll do more than just e-mail. Certainly lots of people don't check their inboxes and it's much easier to ignore donation requests completely over e-mail.

Overall, I think this experience really opened my eyes to how difficult fundraisers have it. I realize the police department isn't at the top of the list of causes for most people, who probably believe their taxes are already supporting the officers' families, and that this cause doesn't affect everyone in the same way that it affects those of us with loved ones in the police department. But the fact that support is hard to come by kind of makes me want to push harder for the same cause next year.

Originally, I was thinking about fundraising for colon cancer research in 09, since both of my grandmothers were afflicted with it, but the ACS has a huge fundraising machine behind it. I'm thinking it might be more impactful for me to stay with the Memorial Fund and try to raise more next year.

Either way, the first one is under my belt, I'm glad I did it, and I have a long time before I decide plans for next year's fundraising drive.

If you're interested in donating to the Chicago Police Memorial Fund, you can visit my fundraising page here. (Note that not all of my donations are reflected on the page.)

Steve & Barry's Rocks It Out

2008-05-01T13:59:00.004-05:00

I have never been to a Steve & Barry's. And yet, this article in the New York Times makes me want to visit one.

Tightening the Belt
Is This the World’s Cheapest Dress?
New York Times, May 1, 2008
By Eric Wilson

... Steve & Barry’s, for the uninitiated, is to fashion what Tower once was to music. Steve & Barry’s is manna, a store that sells stylish celebrity-branded clothes at prices that are absurdly inexpensive, lower than those at Old Navy, H & M or Forever 21, undercutting even Wal-Mart by as much as half....

Read the full article here. (You'll need to register free of charge, I think.)

It's interesting to see that the themes presented in the CBS interview in which I participated (Is cheap the new chic?) are living on.

To take it a step further, I just hope all you fashionistas are putting all the dinero you're saving on clothes to a good cause - like your retirement, education or investments. After all, it's not just about looking good for less, but making sure your bank accounts are just as stylish.

Cold Weather, You're Out

2008-04-29T09:35:00.004-05:00

Dear Chicago:

I don't know what I did to piss you off, but I'm writing to let you know that I've absolutely had it with your attitude. I WILL NOT, no matter how cold, snowy or downright nasty you get, WILL NOT wear my down parka another minute until at least October. I refuse! You may have gotten the best of me this winter by jacking up my heating bills to over $200 each month, leaving permanent salt stains on all my clothes and shoes and halting my driving lessons with your "ice storms," but mark my words, frienemy, your frosty days are numbered.

Watch out Chicago. Because as soon as your cold snap ends, I will be out on your town with a vengance.

Regards,
Nicole

Simply College Answers Our Student Loan Q's

2008-04-27T22:47:00.003-05:00

While I typically spend my weekends dining, drinking and catching up with friends at social functions, I spent much of this weekend at the Kellogg School of Management's
Women's Leadership Workshop in Evanston, Ill. Kellogg is one of the world's top business schools, and I was honored to be a participant. The session featured valuable classroom workshops on negotiations, interviewing techniques, values-based leadership and relationship dynamics for leaders.

I'm going to reflect on those themes and share learnings from the workshop in coming days, so look for more on that. In the meantime, I noticed that many of the women attending the session were grappling with the issue of funding and student loans. Serendipitously, I had already been working on a story about college loans with the good folks at Simply College, a company that specializes in simplifying financial aid for those applying to college and graduate school.

Since the job market's looking pretty glum these days, and the news about student loans has been drab as well, I posed some questions about loans to Rene Bolti, Vice President of Simply College, and an educator with 17 years’ experience creating and administering programs and services for elementary, secondary and higher education. I hope you find her answers helpful.

Here's the Q&A...

1. In layman’s terms, what’s changed in student loans over the past six to twelve months?
Probably the most significant change is a new trend toward eliminating loans from financial aid packages of students below certain income levels. As a result, students at many top-name colleges may find themselves being awarded grants (which don’t need to be repaid) instead of loans.

But, the vast majority of students attend colleges that still include loans in the financial aid equation, so unless you are accepted at one of the top-tier, no-loan colleges, you’re likely to have to grapple with the question of student loan debt.

Although some lenders are exiting the student loan market, there are still many education loans available through a variety of lenders, including federal loans. In fact, the maximum annual limit on federal loans and grants for undergraduate and graduate students has recently increased, making the loans go further toward paying for a year of school.

2. What are three things I should know about college loans today?
1) There are many different types of college loans.

- Federal Stafford loans are available to students who complete a Free Application for Federal Student Aid (FAFSA).

- A family’s financial situation determines whether a student qualifies for subsidized or unsubsidized Stafford loans. (In subsidized loans, the government pays the interest while you’re in school; in unsubsidized loans, you’re responsible for the interest that accrues while you’re in school.)

- Federal PLUS loans are a low-cost option available for parents of students.

- Private loans, made directly by banks or specialized lenders, which tend to be the most expensive option, are available to students and parents to fill any gaps that remain once financial aid has been awarded.

2) Not all education loans are taken in the name of the student; some are student loans, some are parent loans, some need to be co-signed by the student and a credit-worthy adult.

3) Private education loans need to be researched for terms of repayment, length of repayment, total cost over the life of the loan, special qualifying characteristics (like minimum grade point average), and whether all terms and special offers (like interest reduction based on a certain number of on-time payments) are guaranteed for the life of the loan.

3. Can’t parents help their kids navigate the process?
The financial aid process is complex and overwhelming, even for parents who are college-educated and highly motivated. It is a multi-step process requiring attention to timing and detail, with many significant decisions compressed into a very short period of time. To minimize the anxiety and stress inherent in the process, it is beneficial for parents and students to work together, using trusted resources, to be sure they pay attention to each critical component.

Our program, Simply CollegeTM offers a step-by-step workbook/organizer, “Financial Aid Simplified”, to guide students and parents through the entire financial aid process beginning as early as January of junior year in high school, including researching scholarships and loans, completing required forms, comparing financial aid award offers, building a “college life” budget, and more. Go to www.simply-college.com to view video segments that accompany each tab of the workbook.

4. Is the financial aid process different for grad students?
The financial aid process for graduate students typically includes the FAFSA (to make federal loans accessible), but also may include looking for fellowships, assistantships and private loans. FinAid.org has a page dedicated to information for graduate students, including information on specialized loans.

5. Are working professionals at a disadvantage when it comes to loans?
While it is true that income will determine eligibility for certain loans and grants,
working professionals might consider financing their graduate degree through a combination of: employer tuition reimbursement, fellowships, grants, loans.

If you research the possibilities, you’re likely to be able to put together a package that meets your needs. In addition to discussing all possible funding sources with your selected university’s financial aid office, be sure to discuss assistantship and fellowship opportunities with your selected department.

If you are currently employed, talk to your human resources department about tuition reimbursement options (even if you’re unsure whether your employer has a tuition reimbursement program). As mentioned above, finaid.org is a good source of information and fastweb.com has loads of scholarship opportunities, including some for graduate students.

6. If I’d like to quit working and go to school full-time, using student loans, what special considerations might I have to take?
Giving up a salary and returning to the classroom full time will mean making some adjustments to your current lifestyle as student loans are unlikely to equal your salary. Each person needs to weigh personal responsibilities, career aspirations and financial goals when considering full time graduate study and how best to finance it. Here are some specific questions you should ask.

- Is there an alternate source of support available while you’re in school, like a spouse or parent? Even if it’s a loan from a family member, the terms of repayment and amount of the loan would likely be more favorable than any formal education loan.

- Is it possible to work part-time to cover basic living expenses while in school?

- Will a post graduate-degree job in your field draw a salary sufficient to afford and justify educational loan payments?

- Do you already have employment prospects that will be enhanced by a graduate degree?

- If you need to take an educational loan, how soon will you be expected to begin repayment?

# # #

To read some of my personal thoughts and other research on college loans and education, click here and here and here.

Good luck with your applications!

US News Loves Budgeting Babes

2008-04-23T17:57:00.005-05:00

My girl Kim Palmer over at US News and World Report wrote to let me know that the magazine has launched a new financial Web site ENTIRELY DEVOTED TO 20-SOMETHING FINANCE!!!!!

So exciting! Click here to partake in the awesomeness and sweet knowledge building.

And congrats to Kim for doing an absolutely amazing job on her ABC News Now interview, which you can watch here. It's everything I wish I would have said in my recent TV interview. She's so smart and together. If only my financial brain was as big as hers!

Kim, when you become uber-famous and spin off your own cool magazine and TV show properties, keep me in mind as a contributor! Or at least invite me to the kick-off party so we can be sassy together. I know you will.

Avoiding the Vending Machine

2008-04-21T21:42:00.004-05:00

Ladies and gents, I'm happy to say that I've received my first reader question to which I can actually provide an answer without having to look a bunch of stuff up or call on a smarty-pants friend/expert resource. Neat-o. (It's the small things that keep me happy, really.)

Anyhoo...this question comes from Sarah over at My Dainty Dollar, who seems like could use our collective support. She's having a hard time living within her means in New York while trying to pursue her passion for performing. She writes:

" I am a slave to the vending machines at work. Every day I get at least one thing. These snacks are never healthy and are 80 cents each. I'm sure over time that's going to add up. I think part of the reason I snack at work is because I'm so bored and my job is unfulfilling. Do you have any tips for staying away from this money taking calorie machine?

Thanks,

Sarah"

OK, I'm going to answer the question about vending machines for now and leave the career management bloggers to advise you about the job. But before I begin dispensing my snacking wisdom, I will say that life in general can seem pretty crappy if you hate your job and don't know what else to do. A lot of people find themselves totally bored out of their mind at work, feel stuck in jobs that are unfulfilling and develop bad habits to compensate. But remember that life is all about decisions, and that you are never a passenger in your own life. You are the driver. You get to choose where you want to go. That is the beauty of life. So, you know, drive. Make a turn or stop and ask for directions or something.

Ugh. This driving analogy's making my head hurt. Onto snacks.

Snacks, indeed... I love them. Every day at like 3:00 p.m., I start thinking about cookies. Big, lovely, sugary, chocolate-chipped yumminess. Or Doritos - a bag of cheesy, crunchy heaven. Or just about anything I ran past on my way to work in the morning or got a whiff of on the bus. Suddenly at 3:00, it's all I can think about.

Luckily, I have the good fortune to work with dietitians, personal trainers and other nutrition specialists at my job. And I have pumped them for information, well, like it's my job. So without further ado, here are my tips for staying away from the vending machine at your office.

1. Plan ahead. My best days are those when I manage to pack sandwich bags or Tupperware with enough snacks to get me through the day. The sandwich bags are key, because in my opinion, they give me the illusion I'm eating something sinful. So into my sandwich bags I pack dried berries, wheat crackers, baby carrots, cut-up red peppers, trail mix, pistachios and other fruits, vegetables and grains to get me through the day. When I feel like I need a bag of Doritos, I go for the crunchy carrots. When I need a cookie, I eat my dried berries.

2. Keep healthy food at your office. For days when you can't plan ahead, keep a few supplies at your office. I usually have an apple or orange, a packet of oatmeal and a can of soup at my desk in case of emergency. Trust me, they come in handy.

3. Buy in bulk. If you can buy granola or dried fruit in bulk, and then bag it, you'll save some cash. I don't really know where to buy healthy versions (without preservatives, sulfates or additives) of this stuff in bulk for cheap, unfortunately, since I don't really have cabinet space. Whole Foods bulk always seems really expensive. So let me know if you find a better alternative. People with cabinet space will thank you.

4. Fill up with fiber. To stay full, keep your energy levels high and help with your daily calorie count, eat foods that are high in fiber. You can find a great list of high-fiber foods here. I also have been known to use a fiber supplement (I like Metamucil Pink Lemonade) to tide me over for days when I'm really hungry.

5. Keep a box of low-sugar, high-fiber cereal at your desk. This is a no-brainer. See the above note. (I like Kashi Good Friends.)

6. Drink decaf green tea. I read the book "Skinny Bitch" and one of the best tips I got was to drink decaf green tea to conquer cravings and provide a non-caffeinated energy boost. I drink Celestial Seasonings because it's typically the only decaf green I can find. It's also yumtastic.

7. Drink enough water. I also read that most of the time when people feel a craving for snacks, they're really dehydrated. So for a while, I required myself to drink a full 12-oz. glass of water before I had any snacks or soda. It was a punishment back then, when I used to drink cans of soda every day. But now, practically the only thing I drink is water.

As a sidenote, have you ever actually tried to drink 64 oz. of water in one day? I have. My stomach was so full that I couldn't fit any snacks in.

8. Go easy on yourself. All food costs money, especially the healthy variety. So don't beat yourself up over spending 80 cents per day on snacks. It's not like you're buying two $5.00 lattes every day. If you're trying to cut costs, take Suze Orman's advice and look for the bigger expenses first (expensive cable, two phone lines, etc.).

And in general, don't be so hard on yourself. You're doing an amazing job by just recognizing where you are in life and trying to do better! Congrats on taking your first steps towards financial fabulousness! Good luck and remember the little people when you get big and famous.

Saving game

2008-04-20T10:45:00.000-05:00

I generally don't do blog "tagging" games. Mostly because I could never actually figure out what they actually are. But Twiggers over at In Debt Because I Like to Have Nice Things kindly explained how it worked, and now that I've read a couple posts, it's actually pretty fun to read everyone's lessons learned.

Here's my deep and meaningful contribution:
SAVING TOTALLY BORES ME. OH WELL.

Most other memoirs were super serious so I thought I'd change it up.

Seriously, for those of you who are rock stars and love going out, saving will be a challenge. But there are some things you can do to spice it up. Like getting a cheap hobby; I've tried about 500. Knitting? Super cheap but kind of hot for the summer. Step aerobics? Dangerous... I fell off it and hurt myself. Getting a pet to keep you company? So not cheap. Eh... oh well. In the end, I've emerged a stronger, healthier, more content, less chaotic person with a lot to live for and a simple, chill life to enjoy. So call me boring. I do not mind. I'm having fun.

I'm not going to tag because I know it can be laborious sometimes to participate in these things. That said, take a quick read at these memoirs for a nice snapshot of different people in various stages of their financial journeys, and feel free to post your own so-called memoir here. It's actually pretty cool to think about.

IDBILTBNT: "You can't take it with you"
Young Broke and Fabulous: "At least you have the experience"
Beachgirl's Budget Blog: "Do what is best for you"
The Debt Hole: "Falling down. Getting up. Trying again."
Frugalista Files: "Peace, values and a decent wine."

Who else should I add up here???