tag:blogger.com,1999:blog-44551040993745611072024-03-12T22:18:47.200-07:00Making Sense with Common CentsChris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.comBlogger23125tag:blogger.com,1999:blog-4455104099374561107.post-30612771850521543312012-08-15T06:10:00.001-07:002012-08-15T06:14:15.002-07:00The Power of NoWe all have them. Wants and desires that take us off track from our long term goals and plans. Trips, cars, clothing, electronic devises, trinkets and toys. All can be a siren's song to lure us into making a purchase.
Here is a summary of the actions one person took to reduce the wants.<br />
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Caution! Unless you're really ready to dive in to win, some of these may appear radical.
Ready? Here they are:<br />
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No TV. We have DVDs, but no cable. Not watching commercials really helps you not see what you're "missing."<br />
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Don't go to the mall-- for the same reason. It's not fun when I know I really can't buy much, so it's better if I just stay out of the mall and don't breed discontentment.<br />
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Don't visit websites where you used to do online shopping, read blogs or whatever that make you think of things you want.<br />
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Pinterest is a difficult one for me-- I tend to want to do a bunch of DIY or home decor stuff that I just can't afford right now. I do still look, but try to limit the time on whatever site(s) give you trouble.<br />
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Tell yourself that if you cut back now, you can buy XYZ eventually without any guilt. I'm hoping that after living this way for a while, I won't want XYZ all the time anyway.<br />
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Don't read magazines if they make you want stuff-- again, the ones that get me are BHG, or other home decor type magazines. Also don't look at catalogs that come in the mail. If you know you aren't going to buy, don't even look-- straight to the trash.<br />
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Delete coupon/sales ads in your email inbox. Remove yourself from their mailing list. You can always sign back up, but for now the coupons won't be a constant reminder/temptation to shop. There's a reason they send those out-- why make things harder for yourself?
Start clearing stuff out for a yard sale.<br />
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There's nothing that curbs the shopping tendency like seeing how much STUFF you have that you don't use or want. A lot of my stuff for the sale was almost new-- crazy.<br />
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So there you have it. Radical? In a certain way, yes.<br />
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But not impossible and kooky going off the grid. But by approaching life differently, it can be a recipe for winning.<br />
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I think gratefulness is one of the keys to contentment. One thing you have to break in this process is your sense of entitlement. Working with people who struggle in life is a good way to break it. You can quickly go from "I deserve this because I work hard" to "I think I'll just be thankful today".
This type of thought process can really assist you in treading the balance of being a penny pinching curmudgeon (which actually is probably related to materialism) and a careless spender. You can enjoy what you have, plan well for the future, and give when you are grateful.<br />
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Chris Johnston is a Dave Ramsey Certified Coach in Central Ohio. Learn more about how you can get one to one coaching and begin winning with money by calling 614-296-7177 or by emailing chrisjohnstoncoaching@gmail.com
Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-16440609943077628802011-05-05T12:36:00.000-07:002011-05-05T12:38:10.534-07:00Salon Article on Countywide<strong>Angel Mozilo and Countrywide: A tale of greed and folly</strong><br /><br /><em>The CEO knew exactly how toxic his company's loans were. But that's not what he told the general public </em><br /><br />By Andrew Leonard <br /><br />"We ensure our ongoing access to the secondary mortgage market by consistently producing quality mortgages... We make significant investments in personnel and technology to ensure the quality of our mortgage loan production." (From Countrywide's 2005 Form 10-K)<br /><br /><br />Poor Angelo Mozilo. The "left-wing anti-business press" that the former CEO of Countrywide once blamed for making too much of a fuss about his excessive compensation is about to have another field day. On Thursday, the Securities and Exchange Commission formally accused him of fraud; specifically, of misrepresenting the kind of mortgage loans his company made as the housing boom began to lose steam.<br /><br />At first glance, the SEC's case appears damning. As early as September 2004, Mozilo and two other top Countrywide executives were aware that the company was making increasingly risky loans. Indeed, the impression one gets of Mozilo from the SEC's complaint is that the CEO knew exactly how crappy the loans Countrywide made were. At one point, he called Countrywide's "80/20" loans (in which one loan is made for the first 80 percent of the purchase and then a second "piggyback" loan for the remaining 20 percent) the most "toxic product" he had ever seen in his years in the business. Mozilo was also appalled at the spread of "Pay-Option adjustable rate mortgages" that allowed borrowers to make minimum payments that didn't even cover accruing interest. He sent numerous e-mails to other executives warning that default rates were sure to balloon on these mortgage products, and tried to stop Countrywide from even offering them.<br /><br />He also knew that it would get harder and harder to pool these loans and sell them as securities to Wall Street investors, and worried that if the real estate market took a dive, Countrywide would face major liquidity issues. (He was right!)<br /><br />All this makes sense. As CEO of the biggest mortgage lender in the country and a man with decades of experience in the industry, Mozilo had a better vantage point than just about anyone to see what was happening in the mortgage business. But armed with that knowledge, what did he and his fellow executives do? They told investors and the general public that nothing was wrong. Mere days after railing about the danger of Pay-Option ARMS, Mozilo gave a speech at a conference extolling their value. In documents filed with the SEC in 2005, 2006, 2007, Countrywide asserted that it was different from its competitors because of the high quality of its loans. In other words, Mozilo lied through his teeth, time and again, and the SEC has him to dead to rights.<br /><br />From the complaint: <br /><br /><br />From 2005 through 2007, Mozilo, along with David Sambol, chief operating officer and president, and Eric Sieracki, chief financial officer, held Countrywide out as primarily a maker of prime quality mortgage loans, qualitatively different from competitors who engaged primarily in riskier lending. To support this false characterization, Mozilo, Sieracki, and Sambol hid from investors that Countrywide, in an effort to increase market share, engaged in an unprecedented expansion of its underwriting guidelines from 2005 and into 2007. Specifically, Countrywide developed what was referred to as a "supermarket" strategy, where it attempted to offer any product that was offered by any competitor. By the end of 2006, Countrywide's underwriting guidelines were as wide as they had ever been, and Countrywide was writing riskier and riskier loans. Even these expansive underwriting guidelines were not sufficient to support Countrywide's desired growth, so Countrywide wrote an increasing number of loans as "exceptions" that failed to meet its already wide underwriting guidelines even though exception loans had a higher rate of default.<br /><br /><br />The obvious question to ask here is why would anyone engage in such wilfully self-destructive behavior? But there's an equally obvious answer. Money. Because even as Mozilo was extolling how great Countrywide's loans were --- an assertion he didn't believe for a second -- he was at the same time scrambling to sell shares in Countrywide that generated hundreds of millions of dollars. It's a classic case of insider trading -- he was in possession of material knowledge that Countrywide was headed for disaster, and he got what he could while the going was good.<br /><br />Mozilo should, of course, be prosecuted for anything misleading he said to the general public, perhaps even including his notorious statement in March 2007 that the housing bust "will be great for Countrywide at the end of the day because all the irrational competitors will be gone." But there are other implications to consider here.<br /><br />First: Countrywide's example makes a mockery of the idea that government pressure to expand low-income and minority housing can be blamed for the housing boom and bust. Countrywide watered down its underwriting guidelines and gave mortgage loans to anyone who could sign a piece of paper for one reason, and one reason only -- to generate revenue. Private competitors with ever lower underwriting standards threatened to take market share away from Countrywide, so Countrywide matched their standards in a race to the bottom. Countrywide needed to keep its market share and volume high, because it had come to depend on the revenue from reselling the repackaged loans into the secondary market. In 1006 alone, it made half a billion dollars from such sales. (In 2007, that number fell to $14.9 million!)<br /><br />Growing market share kept Countrywide's stock price high. Wall Street's appetite for securitized mortgage products meant it could unload whatever bad loans it had made as fast as it could repackage them. Government mandates to increase homeownership hardly appear to be a significant factor in Countrywide's sage of greed and stupidity.<br /><br />Second: The focus on Mozilo's misdeeds makes him into something of a scapegoat for the entire subprime mortgage crisis. I'm not saying he doesn't deserve that honor: Countrywide was the biggest mortgage lender in the United States, and as such, did more than its fair share in propelling the global economy to its doom.<br /><br />But he was hardly the only guilty party in that scheme! Shall we start naming names? Who else's head deserves to go on the block?Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-52226804298596652072009-05-27T13:48:00.000-07:002009-05-27T13:56:06.561-07:00HabitsI’ve always heard that habits are hard to break. In my life, that has generally proven to be true. <br /><br />I’ve also heard that research has proven that it takes 21 days of repeated repetition to form a new habit. <br /><br />Why then do people who do something repetitively for five or six months always find it so easy to break the habit they have maintained for that period of time? Should it not be ingrained and hard to break? I mean if it only takes 21 days to create the habit, shouldn't it be unbreakable in 6 months?<br /><br />If we can find why something that needs changed is so hard to do, yet something so right is so easy to walk away from, even after the habit is formed, we will be able to break the chains of bondage for so many people.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-65339939337207302462009-05-16T08:35:00.000-07:002009-05-16T08:38:16.729-07:00Town Hall for HopeIn April, radio host and financial commentator Dave Ramsey hosted the Town Hall for Hope. The program was streamed to many churches and was carried by Fox Business Channel. Many people did not have the opportunity to view the event due to conflicts, lack or a church in their area or the somewhat limited availability of Fox Business to us frugal penny watching folks. <br /><br />The video is now available. Please watch.<br /><br /><object width="400" height="229"><param name="allowfullscreen" value="true" /><param name="allowscriptaccess" value="always" /><param name="movie" value="http://vimeo.com/moogaloop.swf?clip_id=4491396&server=vimeo.com&show_title=1&show_byline=1&show_portrait=0&color=&fullscreen=1" /><embed src="http://vimeo.com/moogaloop.swf?clip_id=4491396&server=vimeo.com&show_title=1&show_byline=1&show_portrait=0&color=&fullscreen=1" type="application/x-shockwave-flash" allowfullscreen="true" allowscriptaccess="always" width="400" height="229"></embed></object><p><a href="http://vimeo.com/4491396">Dave Ramsey - Town Hall for Hope 2009</a> from <a href="http://vimeo.com/user1704137">Central FPU</a> on <a href="http://vimeo.com">Vimeo</a>.</p>Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-8274168334539449572009-03-29T16:40:00.000-07:002009-03-29T17:12:53.420-07:00Money ConnectionAs time goes by, I've found links to resources that have been helpful to me in learning more about money.<br /><br /> <br /><a href="http://www.daveramsey.com/etc/tell_your_story/?fuseAction=dspReadStories ">WE DID IT!!! </a>Actual Stories of People Just Like You and Me who Followed Dave's Plan and DID IT!<br /><br /><a href="http://chrisjohnstoncoaching.blogspot.com/">Ruturn to Chris Johnston Life Coaching</a><br /><br /><br />Use the Links below to learn along with me. Please note, these are for refernce purposes only and do not imply explicit endorsement. <br /><br /><br /><strong>Useful Links</strong><br /><br /><a href="http://dir.yahoo.com/Business_and_Economy/Finance_and_Investment/Reference_and_Guides/Calculators/">Yahoo Calculators</a><br /><br /><a href="http://www.irs.gov/individuals/article/0,,id=96196,00.html">IRS Withholding Calculator</a><br /><br /><a href="http://www.kiplinger.com/tools/">Kiplinger’s Tools</a><br /><br /><a href="http://moneycentral.msn.com/personal-finance/calculators/evaluate_your_debt_calculator/home.aspx">Debt Elimination Calculator</a><br /><br /><a href="http://moneycentral.msn.com/personal-finance/calculators/aim_to_save_calculator/home.aspx">Savings Calculator</a><br /><br /><a href="https://www.annualcreditreport.com/cra/index.jsp">Free Annual Credit Report</a><br /><br /><a href="http://www.idtheftcenter.org/">Identity Theft Information</a><br /><br /><a href="http://www.fastweb.com/">College Grants, Scholarships, and more!</a><br /><br /><a href="https://www.optoutprescreen.com/?rf=t">Stop the Junk Mail for Credit & Insurance</a><br /><br /><a href="http://chrisjohnstoncoaching.blogspot.com/">Return to Chris Johnston Life and Financial Coaching</a>Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-69011026910867371312009-02-28T20:19:00.000-08:002009-02-28T20:53:04.069-08:00How Neat It Is To Deal with a Classy PersonNothing could have be worse than to have to take two weekends and apply it toward Continuing Education. But it wasn't.<br /><br />First, the class was relevant for the world today. The instructor was entertaining and informational.<br /><br />And second, I got to meet one of the most unique people I've ever met. <br /><br />Seriously.<br /><br />Have you ever met someone who just seems to have a nice aura?<br /><br />The backdrop of where this is going is I'm not the first person most people tend to seek out for a conversation. But as my wife and I settled into the classroom last weekend, a young lady sat at the table in front of us. <br /><br />Let's say that this lady is striking. Very striking.<br /><br />During breaks and lunch we would chat with her. But she was the one initiating the conversation. As I noted above, in general, I'm usually the last person someone people look to in creating a conversation. (No, I'm not being negative. But I am working on being more approachable.)<br /><br />Did I say she was striking? So striking that she for several years was a member of the Cincinnati Bengals cheerleading squad known as the Ben-Gals. Having retired from active duty, she is now one of the coaches of the squad.<br /><br />Did I mention her professional background is engineering and she is a computer programmer, systems analyst and information systems manager? Not your typical stereotype for a cheerleader.<br /><br />On the way home from class last week, my wife and I both commented what a genuinely nice person she was. In a single word, classy. So nice that we've exchanged information and will stay in touch. (Frankly no one in the world would believe I have the personal number of a former pro sports cheerleader.)<br /><br />What makes this so unusual is despite her great looks, her avocational success and her vocational success and savvy, we never once noticed her doing or saying anything rooted in ego.<br /><br />That was refreshing.<br /><br />How much better would the world be if more people..... successful people....... the beautiful people......... were as down to earth and simply as nice as she was?<br /><br />So what does this have to do with the theme of this blog? Everything. Think of how many people we could touch if we had the class and humbleness of this young lady. Whether in a business sense, spreading what we are doing with our financial and spiritual lives or simply creating friends for good times, adding a classy person to your friends list is always an accomplishment.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-67898197856840940502009-02-27T08:33:00.001-08:002009-02-27T11:29:28.165-08:00Screw It<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgdeLorBs-f43fLnBMH0-ysU_7DN8maE7Z8VAdN4VfTpfORkLZXZM0jDyw9Bqq7fjlf6_2fq9V8ZNtQtivi3kIzFRWuWOSoAHLY1tG7Dkp0t6vSsvYhVFwni-EBKseaKi-zKMKL0Rqy5lid/s1600-h/corkscrew.gif"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;width: 244px; height: 320px;" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgdeLorBs-f43fLnBMH0-ysU_7DN8maE7Z8VAdN4VfTpfORkLZXZM0jDyw9Bqq7fjlf6_2fq9V8ZNtQtivi3kIzFRWuWOSoAHLY1tG7Dkp0t6vSsvYhVFwni-EBKseaKi-zKMKL0Rqy5lid/s320/corkscrew.gif" border="0" alt=""id="BLOGGER_PHOTO_ID_5307516852558408418" /></a><br />I was scanning the New York Times this morning and came across an advertisement that contained a picture of a corkscrew similar to this one with a headline that said............Screw It. <br /><br />How many times when trouble has come our way have we looked at it and have given that same reply. Screw It. <br /><br />Now that was not the intent of the advertisment. It was for something entirely different, but when my eye first saw the corkscrew and the headline together, my first thought was how many times have I worked on a problem only to get frustrated and said........... Screw It!<br /><br />Screw It for some reason in gives our minds the mental detour that if we give up on the problem it's no longer ours. And sometimes the perception leads us to believe it. For a short period of time. Because in reality it isn't and reality always returns. <br /><br />I guess that's why I like the corkscrew. For while Screw It if part of the corkscrew equation, the next step is to stop and take the effort to uncork the contents. And those contents generally represent something good.<br /><br />Maybe that's what we need to do with our problems. Not only just Screw It but stop and take the time to uncork the possibilities the problem presents. Maybe those contents will be just as satisfying as the contents of a fine bottle of wine.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-45570390230170328892009-02-26T06:31:00.000-08:002009-02-26T06:32:03.899-08:00Job Hunting<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg4Y9f19rvQY5NSgql71rv7gPtc6WNHlclhskzkYvoVZrY5yQill_Ybj7_vHsfShx2oopU1aEcKRET1hdyv_sWTsg4cqWJb82v9r3emJHqlVbdDmjmWhThqJ4FT96AYcxCKgj0KBYrGP2E/s1600-h/jobs.bmp"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;width: 320px; height: 212px;" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg4Y9f19rvQY5NSgql71rv7gPtc6WNHlclhskzkYvoVZrY5yQill_Ybj7_vHsfShx2oopU1aEcKRET1hdyv_sWTsg4cqWJb82v9r3emJHqlVbdDmjmWhThqJ4FT96AYcxCKgj0KBYrGP2E/s320/jobs.bmp" border="0" alt=""id="BLOGGER_PHOTO_ID_5307110746011328978" /></a><br /><br />Over three thousand people turned out at the Columbus Zoo the other day for a job fair. Looking at a picture, there was one thing that stood out. I can't find one example where someone while networking seems to be exchanging personal information. A card, a piece of paper, a handshake....anything.<br /><br />In the world we live in today, networking is the key to finding opportunity. <br /><br />Many in that line probably drilled a dry hole with companies they interviewed with. <br /><br />But how many people in that line might get hired in the future and remembered talking to a really neat person who could fill a role in a company but they have no idea that person was or how to contact them. <br /><br />Or what if someone in the that line comes up with their own business idea and needs the talent of the person they just spent two hours in line with and have no idea who they are. <br /><br />Always, always, always exchange information and stay in touch. That chance meeting could turn out to be the opportunity of a lifetime.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-37733202423679903992009-01-19T06:58:00.000-08:002009-01-21T18:55:29.245-08:00The Most Dangerous Baby StepFor those following the Dave Ramsey program let me tell you about what I believe is the most dangerous step in the plan.<br /><br />Baby Step 3 aka BS3.<br /><br />BS3 is like that gangly stage between being a child and an adolescent. It just isn't pretty and easy for most people to do.<br /><br />There is so much focus in Dave's program to get debt free and experience the freedom that allows. And yes, that is a <span style="font-weight:bold;">huge<span style="font-style:italic;"></span></span> part of it. But so many think when you finish BS2 the money suddenly starts becoming available again and a return to an earlier life. <br /><br />IT DOESN'T. <br /><br />And to a point, Dave does not strongly address this stage of the program. And while I'm not in Dave's head, I think it's rooted in him being so thrilled you've made it this far. <br /><br />And intuitively, you'll know the score. <br /><br />I disagree with him on that. I've read too many times on his forum and others from so many expressing that they've experienced a let down, a loss of intensity and the loss of a focal point. And honestly, I experienced it too. <br /><br />Again, BS3 is a very dangerous step for many people. <br /><br />For it is also during this step that you realize that the snowball you've been sending to creditors now will be sent to savings or sinking funds or retirement or extra house payments or college funding. In other words, most people will find that money used to pay off the snakes will be used for other purposes other than fun type freedom. <br /><br />Even though you're paying you and your family now, they aren't this evil being that needs eradicated from your life like the credit cards and car loans were. That represents a huge paradigm shift that many need to be aware of and need to learn how to address so they can shift their focus. <br /><br />So it's not time for freedom yet, because at this point, you've only laid a foundation for freedom to be built upon. <br /><br />But your mind begins saying, <span style="font-style:italic;">I made it, I'm debt free, so why not go back to the old ways</span>. The old temptation virus. <br /><br />But let's face facts. Budgeting and sticking with it is just as if not more important than when you were in BS1 and BS2. Because as the intensity on getting BS2 debt free abates, the temptation sirens begin to show up and start singing their songs. <br /><br />I so agree with others who have developed a thermometer or some other chart to keep track of BS3 progress. And to have mini celebrations when you make it to a milestone. Intensity, goals, milestones and celebrations. All very critical and import. <br /><br />One note of caution. If you were in BS2 for any period of time and were very intense, BS3 is where Murphy shows up to be paid for all those things you put off while being intense. So it may be two steps forward, one step back for a while.<br /><br />Stay the course and find creative ways to stay intense. And win!Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-33532491550207768462009-01-18T12:40:00.001-08:002009-01-18T15:26:39.790-08:00Getting to the Starting LineIt's been too long since I've added anything to this blog. <br /><br />As I sat in church this morning, I was thumbing through one of the weekly magazines found at our welcome desk. An article, while not related to money, got me to thinking about why some people never seem to get ahead or really begin working on their financial journey.<br /><br />Writer Mark Atteberry tells the story in the 1/18/09 issue of "Christian Standard" about going to a professional football game. Four young guys were seated in front of him. One struck up a conversation and related he had never been to a professional football game in person.<br /><br />Atteberry writes that the young man still hasn't.<br /><br />Why?<br /><br />Throughout the game the gentleman was caught up in everything around him but the game. The concessions, the beer, the women, the wave and numerous trips to the restroom to part with the previous session with the beer. So caught up in all the things going on around him he missed what happened during an important and exciting play. Simply put, while in attendance, he missed the game.<br /><br />How many people have you met working on a financial plan that are the same way?<br /><br />Caught up in the details of living on an envelope system and how many and what categories need created. Caught up in the details of couponing and making sure you double, triple or even get a refund on every purchase. Caught up in the details of reading the latest guru and their spin on the age old process of living wisely, on less than what you make, on not getting caught up in debt and trying to impress people you don't even know or may not even like.<br /><br />Sometimes the best plan of action is to get to the starting line. In one simple word...........start.<br /><br />Sure, it won't be perfect. It may not even be pretty. But it's a start. A beginning. <br /><br />Instead of worrying about all the stuff going on around you, like envelopes, coupons, spending plans and debt payments, get to the starting line and being to take control. Control of the situation begins the process of hope. And hope can make great things happen. <br /><br />Let that start reveal where the changes and tweaks need made and what to leave alone since it is working like a well oiled machine.<br /><br />Don't be like that young man who may have gone to his only professional football game in his lifetime......and missed it by watching and being concerned with everything going on around the game but the game.<br /><br />Don't worry about all the peripheral details. Get to the starting line. And start. <br /><br />Experience and wisdom will take care of the details.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-71997765659918373982008-10-27T10:04:00.000-07:002008-10-27T12:55:16.815-07:00Relentlessre⋅lent⋅less /rɪˈ<span style="font-weight:bold;">lent</span> lis/ [ri-lent-lis]<br /><br />–adjective<br />that does not relent; unyieldingly severe, strict, or harsh; unrelenting: a relentless enemy.<br /><br />adj. <br /><br /> 1. Unyielding in severity or strictness; unrelenting: relentless persecution.<br /> 2. Steady and persistent; unremitting: the relentless beat of the drums.<br /><br />I heard an interesting word during a conversation this weekend. The word used was relentless.<br /><br />In that discussion, we were discussing the traits that separate the more entrepreneurial among us from the rest of the population. <br /><br />The conversation shifted to that topic because we were trying to distill and determine the key characteristic that leaves so many who attempt to do their own thing in the dust. <br /><br />Hard work? A lot of people work hard and long hours. And still don't cut the mustard in the world of self employment. If employed by others, they often receive a modest return on the hours invested. <br /><br />Risk? Lot's of people take risk. Some more educated than others, but even educated risk does not always bring desired results. <br /><br />Knowledge? A lot of smart people fail.<br /><br />Meeting a need? Again it depends. <br /><br />Add hard work, risk, meeting a need and knowledge? No, it still doesn't equal success. Even by the percentages. <br /><br />What we all agreed on was one word. When someone mentioned the word relentless, we all quickly and without hesitation agreed that was the key word. That was the word needed to be successful. <br /><br />Those successful who are entrepreneurs are relentless in the pursuit of what they want or need to obtain. They have a goal. They fix on the goal and don't let anything or anyone get in the way of the goal. They are relentless to get to the goal and many times never stop. <br /><br />Sadly, my first thought of being relentless was something not positive. And I felt very bad about that. <br /><br />Some of this goes back to an email exchange I had with another person last week that I greatly admire. He had a comment on his blog that he saw another notable person at a conference stating he bailed the hate mail he gets and that from an inference a lot of it comes from Christians. <br /><br />In my email exchange, I told him I once asked that same person who spoke at the event he attended about how he dealt with unsolicited advice. <br /><br />The response was he didn't; unless it came from a selected core group of people. The people in his accountability group. Anyone else must be someone who that person (the event speaker)has solicited feedback or guidance. He has cut off other external feedback because they are on a mission and don't see those who are unsolicited as understanding the various complexities of that mission. <br /><br />My impression is the speaker at the event is relentless in obtaining his mission. And no one unsolicited was going to question the process in obtaining that mission. Thus possibly the hate mail label. Those unsolicited pieces of mail may or may not have contained pieces of constructive comments, even though presented in a critical manner. But whether constructive or not, they could have also contained information that could have derailed the mission. And that couldn't be risked. Relentless. <br /><br />That email exchange was one of the thoughts in the back of my mind as that entrepreneur conversation that took place over the weekend. <br /><br />When the word relentless was brought up, it matched this mission obtaining process. <br /><br />But I concluded that my view of relentless was not positive and that's what bothered me. I thought I had been conditioned by outside sources to think the worst of this word. Sort of a JR Ewing mental picture came to mind when the word was used. <br /><br />So when I got home, I looked the word up. <br /><br />As you can see from the top of this entry, it's not a very complimentary word. <br /><br />Do entrepreneurs need to be relentless in their pursuit of their mission and to carry it out does it need to be negative?Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com1tag:blogger.com,1999:blog-4455104099374561107.post-42150025603154926792008-10-09T06:18:00.000-07:002008-10-09T07:00:11.741-07:00Are You "Normal" or "Weird" in the Current Economic TimesSomeone reminded me that Dave Ramsey has recently said that the largest amount of Millionaire's were created during the Great Depression. I didn't hear it, and whether that is what Dave actually said or even if factual it is true there were a number or people who got wealthy during that time. <br /><br />And one thing I do know for sure is Dave often focuses on the differences between "Normal" people and "Weird" people when it comes to finances. <br /><br />The "Weird" people found the Achilles heel of the problem and turned it into profit. <br /><br />How did they do that? They focused on what could be. "Normal people" focused on what happened, who did what to who and who is to blame. <br /><br />What I am finding is that too many of us are doing what "normal people" do in the current crisis. "Normal people" have spent their time over the past few weeks getting angry with Wall Street execs, blaming politicians and bureaucrats, complaining about the lack of regulation, oversight or imposed laws and counted their losses. "Normal people" are blaming the poor. Both the financial poor and the people who have done what poor people do. Many have become proficient and done all the above. <br /><br />"Weird people" have spent their time looking for that Achilles heel of opportunity. They aren't consumed that someone did something stupid, or some politician from either party profited or imposed a stupid law or predators preyed upon the weak. <br /><br />They do believe that none of that should have happened. <br /><br />But it did. As it has happened throughout history. <br /><br />Some people will pay for what they did. Others will get a get of jail card. Again, that too has happened throughout history. <br /><br />"Weird people" want the right things to happen and for someone to pay for their crime if one was committed. But they don't get mad, angry or let it stop them from getting ahead. They haven't spent the last few weeks in that mode. They aren't interested that someone has to pay or getting that pound of flesh. They don't have time. <br /><br />They will look for the opportunities. They will devise a plan. They will execute that plan and reap the rewards. <br /><br />"Normal people" will fall into the trap of emotion and anger. They'll be agitated and egged on by Rush and Sean, Big Eddy and Olberman. At the end of the day they still be "normal people". But just a little more angry. <br /><br />So what is it. Are you going to be "normal" or "weird"? <br /><br />I'm looking for that weirdo so and I learn to profit just like him.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-72060778857456683052008-09-28T18:05:00.000-07:002008-09-29T17:20:49.417-07:00Getting Together With MoneyPower.......... <br /> Control.........<br /> Trust........<br /><br />Three very big words that few couples factor into the marriage equation before the vows and exchanged and the words "I do" have echoed into the air. <br /><br />Yet each has the chance to tarnish even the most golden of relationships. Especially in the area of money. It is so critically important that couples go into a marriage understanding each partners expectations of money and it's uses. <br /><br />So many couples expect to continue and smoothly transition to living in their parents lifestyle by living in similar homes, decorated in a similar manner while driving the same vehicles and taking the same vacations. In many cases, it took their parents a decade or more to build up to that lifestyle. Today's newly weds believe it's possible to recreate that same life all within a few months or a year. For most, it simply is the beginning of financial problems that can lead to financial ruin.<br /><br />Also, so many couples planning a marriage haven't really discussed the roles each will play in terms of income. The family dynamic has chanced once again, and many soon to be mothers are now staying home to raise a family instead of returning to the workplace as their mothers and grandmothers often did. While certainly a wise choice, most new young couples have already designed their footprint of living conditions without factoring the loss of income from the now staying at home partner. <br /><br />Finally, consider the big three mentioned above. Power, Control and Trust. It is very easy for the remaining breadwinner to transition into a person who begins to consolidate power and control of the budget as they are the person now earning it. What was once an easy alliance between the couple, trust begins to erode in equal measure to the financial stability beginning to erode as the lifestyle begins to strain the relationship. What was once a strong relationship now has become fragile. <br /><br />It is key for any couple planning to spend their lives together to truly understand the motives, needs and temperament of each other as they move toward the wedding day.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-77980646748429214392008-09-09T18:51:00.000-07:002008-09-10T08:06:04.745-07:00Opportunity Cost<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgiWol6pqI3coEa3o7ibvn70LdTYIAKjqGkwV12UmVGz2blGLjB3hQ36QkgFIWAVeucr1F7PpLF6aDY3tFK69Hv1JnhTnZoGYzs_v_QS50lyq1JKRt6qN816FpDFb31IC7KI9bxLtfyttbz/s1600-h/opportunity+cost.jpg"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgiWol6pqI3coEa3o7ibvn70LdTYIAKjqGkwV12UmVGz2blGLjB3hQ36QkgFIWAVeucr1F7PpLF6aDY3tFK69Hv1JnhTnZoGYzs_v_QS50lyq1JKRt6qN816FpDFb31IC7KI9bxLtfyttbz/s320/opportunity+cost.jpg" border="0" alt=""id="BLOGGER_PHOTO_ID_5244212231302376402" /></a><br />Yesterday I wrote about the chance of having two car payments if you trade in a car that still has payments remaining. I noted that as long as you had a paid off car and paid cash for your new purchase you were ok.<br /><br />I was reminded by my friend <a href="http://www.livingalmostlarge.com/">Living Almost Large </a>that just because you have cash in hand doesn't always mean you can afford or should be making a car purchase. Or any purchase for that matter. <br /><br />It all boils down to opportunity costs. <br /><br />Opportunity costs you say. What exactly is an opportunity cost and why is it so important?<br /><br />Opportunity cost is generally a business or economics term. Technically, opportunity costs are choices that yield often completely different results. It's the use of scarce resources wisely. And it's not always cash as it could include time, enjoyment and pleasure. A company for example may have to decide to build a plant addition or invest that money in the marketing of existing products. They may need to decide whether to expand overseas or further develop here in the states. <br /><br />For us regular folks, LAL was pointing out that there may be a more enjoyable, pleasurable or simply better use of the cash other than spending it on an automobile.<br /><br />And frankly, LAL is correct. Is it best to spend the money on a vehicle or would it be better to invest it for a long period of time and enjoy the fruits of it's earnings at a later date?<br /><br />It becomes often a matter of understanding the need for gratification and when it's best to delay it. <br /><br />As Dave Ramsey tells us, a spoiled child cannot wait for gratification and must have their gratification need immediately fulfilled. A mature adult knows when it's time for gratification and when it's time to delay gratification for the greater good. <br /><br />In many ways, using cash instead of other means of monetary exchange often helps us decide the opportunity cost of a decision. It's always harder to part with dollar bills versus using a credit or debit card. We realize the stack of money bills in our hand or wallet will be less, much less, if we spend them on something in the present. That's another prime example of opportunity cost.<br /><br />Enjoyment and pleasure also are an opportunity cost offset often by work and the earnings the work can bring.<br /><br />As with all things, balance and moderation must come into play. <br /><br />If we choose to work as much as possible, the opportunity cost is lost relationships and often poor health. In this situation, we need to balance the need for income and the largest wealth building tool most of us will ever have with the relationships we have with friends, nieghbors, spouses and children. All suffer if we work too much. <br /><br />We will also suffer if we spend to much time with them and don't work at our career and nourish it through continuing education. We no longer can afford to do things and care for those important to us if we allow ourselves to become work obsolete as well as not being accountable to an employer if employed or customers if self employed. <br /><br />Understanding the opportunity cost of life choices will be a challenge as long as we live.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-77564069731742753182008-09-08T16:10:00.000-07:002008-09-11T07:42:11.857-07:00How Would You Like to Make Two Car Payments at the Same Time?<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgzuSuXHTlOhPo5Wnp0fT6qpuk3QzjjNvQCz2znI0j9ktFOXtpSVwrIbbiFLwb55h-U8oRnhdY_-rN4dYs8IHiRTOpcMSRNb8900DVum9S9JN-nrq5CTlxSnuhoYPC01zeGo3cyz2rdVaoo/s1600-h/BookWork.jpg"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgzuSuXHTlOhPo5Wnp0fT6qpuk3QzjjNvQCz2znI0j9ktFOXtpSVwrIbbiFLwb55h-U8oRnhdY_-rN4dYs8IHiRTOpcMSRNb8900DVum9S9JN-nrq5CTlxSnuhoYPC01zeGo3cyz2rdVaoo/s320/BookWork.jpg" border="0" alt=""id="BLOGGER_PHOTO_ID_5243797147257469074" /></a><br />I get a variety of emails from a variety of places. One that I get that I always look forward to is the one I get from talk show host Clark Howard. Clark is one of talk radio's premiere financial gurus, and certainly unrivaled in the geek division. <br /><br />I say that lovingly. Clark is one of the nicest people you'd ever want to meet or work with. <br /><br />Clark is bringing to his listeners attention something that I had never thought of. The latest thing to watch for when purchasing a new car from a dealership is not the purchase itself, although that is a critical element. It's happening with the car that's being traded.<br /><br />Seems that in these tough times, many auto dealers are on the brink of closing their doors on an almost daily basis. Some survive to come back another day. Others turn the lock on the door and never reopen.<br /><br />So what does this have to do with anything? <br /><br />When the door locks on the dealership for the final time, it's possible that the loan you may have presumed was paid off when you bought the new car and left the old one as a trade wasn't. Remember, the dealership may be.....well.....broke!<br /><br />So you still assume you're off the hook? Dealer has the car so it's their problem. Think again.<br /><br />The lending institution still has a lien on a car that is no longer in your possession. You can't drive it. But you'll still have to pay for it because they still expect payment. And the law is on their side. <br /><br />So now you've just drove a new car off the lot with a fresh payment book and the old payment book still has coupons in it......that still need your check to accompany it to the payment address. Because you have a car locked somewhere on a lot that you are still responsible to make payment but no longer own. <br /><br />Boy, doesn't that new car smell become less sweet with that news?<br /><br />And how do you avoid such a situation?<br /><br />Well first, stop buying new cars when your old car isn't paid for. And when selling an old car, sell it outright. You'll likely have larger net proceeds by selling to a private party. And finally, buy that new or new to you car with cash. <br /><br />Remember, if you can't pay cash for it, you really can't afford it.<br /><br />To learn more, click <a href="http://clarkhoward.com/liveweb/shownotes/2008/08/28/13938">here</a> to go <a href="http://clarkhoward.com/liveweb/shownotes/2008/08/28/13938">there</a>.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com2tag:blogger.com,1999:blog-4455104099374561107.post-62210377712461956752008-08-26T17:27:00.000-07:002008-09-11T07:49:20.832-07:00The Thieves Attacking Your Wallet<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjTNcNOkCP-a1lLcpyn2YC4dTFR_TiuOk2Dy7NCIiBs7eTiXt7hJm2qb0PY6vH04d7PGIHMkIeFGBjA6GZNQHf-YQPpkSikxmZmGlfVH0eh5wwyiyx9oTjtwgm5VlSHBSf7SPmBgvl2T9g-/s1600-h/images.jpg"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjTNcNOkCP-a1lLcpyn2YC4dTFR_TiuOk2Dy7NCIiBs7eTiXt7hJm2qb0PY6vH04d7PGIHMkIeFGBjA6GZNQHf-YQPpkSikxmZmGlfVH0eh5wwyiyx9oTjtwgm5VlSHBSf7SPmBgvl2T9g-/s320/images.jpg" border="0" alt=""id="BLOGGER_PHOTO_ID_5238993542316493394" /></a><br />If you bring home $4,000 a month and 24% of it is taken by thieves, you've lost almost $1,000. That's shocking. <br /><br />What's more shocking, a member of that team of thieves is you. <br /><br />Wait. You ask how you can steal your own money? <br /><br />A recent ABC news story tells of a family who discovered that they had thieves that took 24% of their income in one month. Costing them $1,800 a month.<br /><br />Seems the thieves were their own habits and their credit cards.<br /><br />Touting the ease at which transactions can be done, credit card companies and retailers have teamed together help you leave your money at their establishment and in their care. <br /><br />Marissa and Philip Farhat agreed to go credit cardless. They sliced, diced, chopped, minced and performed other sadistic methods to kill their cards and their card spending habits.<br /><br />Was it easy? Not always. Spending was limited to cash on hand. A trip to the gas station required setting up the dispensing and later coming back to settle up. That is quite a pain. <br /><br />But not having unlimited access to funds, the Farhat's found that they really didn't need that dress or shirt. Stopping by the store and making an impulse buy literally stopped. Why go in the store when you can't buy anything?<br /><br />And they discovered, they simply could live without the stuff.<br /><br />The Farhat's didn't go totally cardless. They did save one card and put it on ice during the experiment. And they have defrosted it, agreeing they would only use it for gasoline purchases. <br /><br />But having a $4000 dollar a month take home and having an extra $1000 per month by spending wisely allows you to save or invest the difference. <br /><br />You can see the video report <a href="http://cosmos.bcst.yahoo.com/up/player/popup/indexFP.php?rn=3906861&cl=9425290&ch=4226720">there</a> by clicking <a href="http://cosmos.bcst.yahoo.com/up/player/popup/indexFP.php?rn=3906861&cl=9425290&ch=4226720">here</a>.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-14761805003047095362008-08-25T19:19:00.000-07:002008-08-26T08:35:04.322-07:00WSDD<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg2TEQb4Z3E0UttcuX59PBsoY-lRJFpGugvDm2oHWTsGL3c6SaNWg9CnBEX31pWv5PNijPJF1flYBycLclwDlTwe-5at4QyiZR6-B4avSB62zJAzQ5m8cQCIfC5Yr5KE-Xszop5aHmz3Kq0/s1600-h/Ramsey_TMM.jpg"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg2TEQb4Z3E0UttcuX59PBsoY-lRJFpGugvDm2oHWTsGL3c6SaNWg9CnBEX31pWv5PNijPJF1flYBycLclwDlTwe-5at4QyiZR6-B4avSB62zJAzQ5m8cQCIfC5Yr5KE-Xszop5aHmz3Kq0/s320/Ramsey_TMM.jpg" border="0" alt=""id="BLOGGER_PHOTO_ID_5238651451981866242" /></a><br />WSDD?<br /><br />What should Dave do, if he knew. Or maybe he does.<br /><br />I was doing a web search on financial talk host Dave Ramsey tonight and found a special offer from Joseph Farah's World Net Daily web site.<br /><br />Let me first state, I'm not a huge fan of Farah. <br /><br />We've got that out of the way. <br /><br />But the offer said I could save $20.00 on Dave Ramsey's plan for Financial Fitness. $20.00 bucks off Dave's book. Sounded like a pretty good deal. Even better than the deal I got in an email from Dave the other day where I would get $14.95 off the same book from Dave's web book site. <br /><br />Hey, maybe Farah bought em by the truckload. Volume discount. Critical mass pays off. A deal is a deal, eh?<br /><br />Now I already have in my possession 4 or 5 copies of the book. I've picked up a few here and there and as payment for volunteering at various Dave Ramsey events through the years. As I meet someone who I believe will put a book to good use, I give them away. <br /><br />So a few additional at $4.95 ea might be a good deal and I can restock the shelves. Dave's not coming my way for a live event this season, so I need the get the best deal I can get.<br /><br />So I click the link.<br /><br />It took me to a web page extolling the virtues of Dave and his book. A proven plan for financial fitness. People need one in this time of "skyrocketing levels of personal debt, foreclosures and bankruptcies." A book "filled with hope and how to."<br /><br />I've already been sold on Dave's plan. I live it every day. I teach it. I talk about it. But the article on how to obtain the book is very convincing. <br /><br />But the key to getting the book follows: For this very special $4.95 offer, you will receive "Total Money Makeover: A Proven Plan for Financial Fitness" as well as three free issues of Whistleblower magazine. Also included with your free issues will be a renewal notice for a one-year Whistleblower subscription. If you wish to renew, do nothing, and <span style="font-weight:bold;">your <span style="font-style:italic;">credit card </span>which has been pre-authorized for $49.95</span> will be debited for the annual renewal rate of $49.95 .<br /><br />Did I see the word "credit card" and "The Total Money Makeover" in the same sentence? The same Dave Ramsey who makes a living, according to his oldest daughter as she recounted in an elementary school exercise that her daddy makes a living, cutting up credit cards! <br /><br />With shears about a foot long. While flipping them like the Riffleman used to flip a riffle! <br /><br />I have no idea whether Dave Ramsey and Joe Farah share a close friendship, business or otherwise. I do know Dave's column appears on Farah's World Net Daily site. Some how, some way there is a connection. But whether deep or shallow, I cannot tell. <br /><br />So does Dave know? And if he doesn't, what would he do if he knew?<br /><br />To see the web page in question click <a href="http://worldnetdaily.com/index.php?fa=PAGE.view&pageId=69958">here</a> to go <a href="http://worldnetdaily.com/index.php?fa=PAGE.view&pageId=69958">there</a>Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-65791006620928998342008-08-18T17:27:00.000-07:002008-08-19T16:50:41.668-07:00Do You Do It In the Morning, or Is It Better as an Afternoon Delight or At NightThe great debate.<br /><br />Is it better to do it first thing in the morning, sneak out in the afternoon or do you do it at night.<br /><br />The great debate. <br /><br />Whether temperature makes a difference. Whether you get more if you do it in the cool of the morning, the heat of the afternoon or in the sultry evening.<br /><br />Consumer Reports recently looked at the importance of temperature........in the purchase of gasoline and mileage.<br /><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhngQmJw8DBICcRDeoSi9PehCf6Sh3lFpDMYPbXypuL0M2KCgYziSdt6VkOR-_DSrWzuw0SjMhkrKiiwe1cQyx8492_uNaaCZx2wGRuZa2E5OYeQr74ZckDMR-5pCEr4RcvOYIt0wx_q94s/s1600-h/sohio.jpg"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhngQmJw8DBICcRDeoSi9PehCf6Sh3lFpDMYPbXypuL0M2KCgYziSdt6VkOR-_DSrWzuw0SjMhkrKiiwe1cQyx8492_uNaaCZx2wGRuZa2E5OYeQr74ZckDMR-5pCEr4RcvOYIt0wx_q94s/s320/sohio.jpg" border="0" alt=""id="BLOGGER_PHOTO_ID_5236023905386146978" /></a><br />The thought was that since liquids expand as they get warmer, could filling up in the heat of the day or in the evening before the cool of the night set in, possibly result in lower mileage. <br /><br />Although the cost of gasoline has eased somewhat from earlier highs, the driving public has become more concerned and proactive to find ways to conserve and stretch their gasoline dollar. If temperature has an impact on the quantity of gasoline pumped into the consumers tank, it could mean a significant change in the time of day when filling stations would see peak business. <br /><br />Was there a difference?<br /><br />Craig Eerkes of the Petroleum Marketers Association of America noted that since tanks are stored in the ground there would be little change in the temperature of gasoline when pumped into a automobiles fuel tank. Even the advocacy group, Consumer Watchdog agreed.<br /><br />Consumer reports did their own test and found some difference. But only in the first few gallons pumped that had been allowed to rest in the pumps above ground reservoir. But once the gas that was in the underground tanks began to be dispensed, the temperature dropped to the underground tank temperature for the rest of the delivery.<br /><br />Consumer Reports conclusion?<br /><br />Even with the first few gallons being warmer than the last several being pumped, the difference in volume delivered amounted to such a small amount that it shouldn't be a reason for drivers to alter their gas purchasing habits.<br /><br />It seems any time is the right time.<br /><br />For a complete look at the Consumer Reports article, you can click <a href="http://finance.yahoo.com/family-home/article/105578/Save-on-Gas-With-Morning-Fill-Ups?-Don't-Bet-on-It">HERE</a> to go <a href="http://finance.yahoo.com/family-home/article/105578/Save-on-Gas-With-Morning-Fill-Ups?-Don't-Bet-on-It">THERE</a>.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-44242825704416734812008-08-12T16:18:00.000-07:002008-08-19T17:31:42.435-07:00The Great Fuel Cost Debate-Keep Your Gas Guzzler or Buy a HybridDriving a gas guzzling SUV or just a plain old gas drinking car? Considered racing out and buying a more fuel efficient hybrid to take the sting out of the old gas/fuel budget? <br /><br />Maybe it would be best to think again.<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEirzOXHUxiNG4HC35sNbOEI6ErUsUmC7y4vVali0O3_wRAnaFYooyaNlWSjZiIJ3l0YI4mXM5MxLFrKABxLd_A7ZofxRmt1Du_GVvSDNdq1ZYxmjx3QA9EkBanjfChfksuSQx1nK9j6t17R/s1600-h/143810263_11b60aa38a.jpg"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEirzOXHUxiNG4HC35sNbOEI6ErUsUmC7y4vVali0O3_wRAnaFYooyaNlWSjZiIJ3l0YI4mXM5MxLFrKABxLd_A7ZofxRmt1Du_GVvSDNdq1ZYxmjx3QA9EkBanjfChfksuSQx1nK9j6t17R/s320/143810263_11b60aa38a.jpg" border="0" alt=""id="BLOGGER_PHOTO_ID_5233781259843578386" /></a><br /><br />Human nature would be to amputate the cause of the budget drain. Anger at watching the dollars digitally flash by while filling up is a weekly or more often event for most people. What only a year or two ago cost $40.00 to fill up now costs $80 or $90.00. <br /><br />With fuel costs now easing slightly off their $4.00 plus per gallon peak, ones wallet or purse feels a lot lighter leaving gas station. Or it takes a brinks truck to pay off the gas or credit card when the bill comes. The sting of gas and diesel costs are still a sore point for many people. So sore that they amputate the fuel guzzler and opt for the hybrid car.<br /><br />But maybe it would be better for people to think again. <br /><br /><a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg2zrqviXWXlO2oYqvgDz-qCChtLrHvHzw3HL7gljSr8f59ATsRTulbXoHTBZxpq7Wrtl8Un1R-Lpoj5I5rZAR5wKJI9TKqqrpsTpJFOi1CLsxRhGWtMIEyGqj2tuEghWanWFYAEfdvlA1J/s1600-h/untitled.bmp"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg2zrqviXWXlO2oYqvgDz-qCChtLrHvHzw3HL7gljSr8f59ATsRTulbXoHTBZxpq7Wrtl8Un1R-Lpoj5I5rZAR5wKJI9TKqqrpsTpJFOi1CLsxRhGWtMIEyGqj2tuEghWanWFYAEfdvlA1J/s320/untitled.bmp" border="0" alt=""id="BLOGGER_PHOTO_ID_5233778664993262690" /></a>Can the increase cost of fuel be offset by the purchase of the suddenly trendy hybrids? <br /><br /><span style="font-style:italic;">Smart Money Magazine</span> decided to it worth the effort to devise a nifty tool to check before you step foot on the new car lot. <br /><br />Their calculator considers many factors such as current car payment (if any) miles driven and trade in value (don't be shocked if it's worth a lot less than you thought. If you're getting rid of it, so are many others in the same position.) of the old fuel hungry vehicle. <br /><br />On the new vehicle side, it considers among other issues cost of the new vehicle (get ready in some cases to be shocked), down payment, length of new car loan and the interest rate. <br /><br />I know, Dave Ramsey fans just had a sudden drop or rise in blood pressure over the "car payment". But not everyone has caught on and pays cash for their vehicles. Sigh, maybe some day. <br /><br />Now don't be surprised to find that it will probably be in your best interests to keep the current vehicle. Even if you're in a position to pay cash. <br /><br />You can click <a href="http://www.smartmoney.com/consumer/index.cfm?story=20080613-suv-versus-fuel-efficient-car#calculator">HERE</a> to go <a href="http://www.smartmoney.com/consumer/index.cfm?story=20080613-suv-versus-fuel-efficient-car#calculator">THERE</a> to find the Smart Money" tool.<br /><br />Good luck!Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com1tag:blogger.com,1999:blog-4455104099374561107.post-64473898233185742742008-08-12T05:13:00.000-07:002008-08-20T02:51:13.924-07:00Voice Mail Hell-The Automated Attendant<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg46LYwD45BveIYaFGJMecod3_YI_F-pj_P5DSACgoWy81v216eyYi7_eHSFFhWW6v3tXVwfzfI5E0zSGesbbez2YrGRTHp3uE4TIWHWchx5BIwTMu4W4_qk4BHEG4PGXhe94o2TQSHnFk/s1600-h/200403.jpg"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg46LYwD45BveIYaFGJMecod3_YI_F-pj_P5DSACgoWy81v216eyYi7_eHSFFhWW6v3tXVwfzfI5E0zSGesbbez2YrGRTHp3uE4TIWHWchx5BIwTMu4W4_qk4BHEG4PGXhe94o2TQSHnFk/s320/200403.jpg" border="0" alt=""id="BLOGGER_PHOTO_ID_5233597257158780162" /></a>I was recently reading a <a href="http://sethgodin.typepad.com/seths_blog/2008/06/learning-from-f.html">blog</a> that discusses poor customer service. The example given was a recent encounter with Verizon and their voicemail operated automated attendant.<br /><br />I've got to agree, Verizon has one of the worst run mechanical secretaries I've ever run into. But it also seems to be a characteristic of most land line or cellular companies. You simply have a terribly difficult time getting to a live person no matter what company you are attempting to contact. Communications companies that find it hard to communicate. <br /><br />Even more insulting is along the way they ask you to enter your phone number and then when a live person is finally on the line one the first things they ask you is your phone number. Excuse me, didn't I enter it about 20 minutes ago as I tried to navigate my way through the circuitry to finally talk to you?<br /><br />And what about the company that answers with "Thank you for calling the XYZ. Hey, we hate these machines too, so to get you to a real live person.....yada, yada, yada." Anyone find it ironic that even though they hate the machine, they are using the machine? And admitting they hate it! <br /><br />Pretzel logic. <br /><br />If they hate the machine, then why use the machine? As Dr. Phil would say "Get Real!"<br /><br />Evidently they like it enough to save the salary of whoever they would have to hire to man the phone and give assistance. <br /><br />But they aren't openly saying that. <br /><br />I guess by saying they hate it too, they are giving their callers what I would describe as a digital Oprah moment. Digital empathy. If technology improves, maybe their automated attendant will begin recommending new age books and have an interview with Tom Cruise too! <br /><br />Oddly, that's the recording you get if you call them on their dime. Their 800 number. On your dime, if you call their local number with toll charges being your burden, you get an answer by the 2nd or 3rd ring and a delightful live voice is ready and willing to assist you. <br /><br />I guess you get what you pay for.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-18573149717108920542008-08-09T15:06:00.001-07:002008-08-09T15:06:49.836-07:00Money Talk Radio<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjhOE_Xr5rgeAtQgFDcDnQEmsqhjv4D17-XZUMfujiV6zUNBGLF8KhInOlKOj688uYqKRtg2azpRT6mPJUL_BOE7k1D1H6FAfPO91oK9SN6I0TtdqTVzMv4u1hx3DGNbyhUk-Uc1EmciLY/s1600-h/2932965.gif"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjhOE_Xr5rgeAtQgFDcDnQEmsqhjv4D17-XZUMfujiV6zUNBGLF8KhInOlKOj688uYqKRtg2azpRT6mPJUL_BOE7k1D1H6FAfPO91oK9SN6I0TtdqTVzMv4u1hx3DGNbyhUk-Uc1EmciLY/s320/2932965.gif" border="0" alt=""id="BLOGGER_PHOTO_ID_5192596896635944002" /></a>Irwin "Sonny" Bloch. <br /><br />In the late 80's I first heard his radio show returning from a business trip to Detroit. I was hooked. <br /><br />Sonny Bloch was unique. He had a personality that was reassuring to the callers and listeners. He gently handled people who called his show with financial questions and financial difficulties. In todays world of talk show hosts pushing the edge with their flaming commentary, calling people twits and use of hot button topics, I've wondered if a program with the on air qualities of Sonny's could survive. <br /><br />Sonny always appeared to be at your service. <br /><br />I was impressed by the fact he would suggest mutual funds to review for purchase. And he named them. This was one of the first times I heard a talk show host do that. Traditionally hosts would use words "find a good growth mutual fund" and let you guess what they were talking about. Hello! I was a rube from the hustings. Sonny named them, told their minimum investment amounts, talked about load funds vs no load funds and 12-b1 fees. All without becoming overly technical. <br /><br />As a person who had no idea what mutual funds were all about, that was a huge breakthrough for me. I now had a realistic benchmark to work from.<br /><br />Two funds that were often mentioned were Financial Industrial Income and the Fidelity Contrafund. Both were quality funds in the late 80's and early 90's. Money Magazine was a big fan of both funds. But here was someone who had a comforting personna and what appeared to be the heart of a well meaining teacher. Fidelity Contrafund is still one of the better funds out there. Financial Industrial Income got absorded into another group and I've lost track of it. I own Contra to this day. <br /><br />Sonny taught me to what to look for in a Morningstar report. Where to find the information for free (this was before the internet revolution). He suggested term insurance over whole life. Although he talked about leveraged debt, he wasn't a huge debt proponent. All that information laid the foundation for the knowledge I have today. <br /><br />I became a huge fan of his program. A financial rube from Ohio was getting an education. I envied his ability to connect with is listeners. If he was connecting with me, then he could connect with anyone.<br /><br />The station in my town that carried his show would often cover it with sporting events since the show aired from 5-9 pm. I would turn on my old tube Zenith radio and dial in the show. At first it was WABC and then later WOR both from New York City. Because they both are 50kw stations, their signals bounced to Ohio in the evening sky. <br /><br />Often I would listen to learn. Other times, I would listen to try to learn to emulate his on air presentation. Man, was it smooth. <br /><br />I eventually had the opportunity to meet him at his home in New York City on East 63rd Street. Yes, I called one evening and he invited me to his home while on a trip to the City. Simply because I was a fan. Not many hosts would do that. <br /><br />And despite all the good things Sonny taught me and the hospitality he showed me, he was a crook. <br /><br />Besides some solid advice, Sonny was also promoting via advertisements wireless cable, precious metals from a dealer who was selling, or rather selling but not delivering the goods. He also began selling unlicensed securities in broadcast properties that he bought to air his show as well as other shows he had syndicated on a network he had ownership. <br /><br />By 1994, the walls were caving in on Sonny Bloch. Prosecutors say Mr. Bloch and others used the "Sonny Bloch Show," broadcast on 170 stations, to promote investments in unprofitable radio stations and marginal wireless- cable operations. <br /><br />He moved his operations to the Domican Republic to avoid prosecution assuming he was safe from extradition. <br /><br />Not a smart move. He was extradited.<br /><br />By October of 1996, Irwin H. (Sonny) Bloch, who had been host of one of the nation's longest-running financial talk shows, was sentenced in United States District Court in Manhattan to 21 months in prison for personal and corporate income-tax evasion and lying to the Securities and Exchange Commission. He also was to serve 750 hours of community service all from a plea of failing to report $263,000 in personal income tax in 1991, 1992 and 193. <br /><br />Mr. Bloch, 60, who previously pleaded guilty to seven counts, was also sentenced to three years of probation during which he would provide 750 hours of community service. <br /><br />In his plea, Mr. Bloch admitted that he failed to report $263,406 in personal income in 1991, 1992 and 1993. <br /><br />While in prison, news reports noted he was assisting the prison staff with financial matters.<br /><br />But it soon all came to an end. By March 10, 1998 Sonny Bloch was dead of cancer. He reportedly told the court in his appeal to the court to die outside the confines of bars that the cancer was retribution for his acts. He was allowed to go live with relatives under house arrest as he was only expected to live no longer than 6 months. The court allowed him to die in peace with family.<br /><br />From portion a New York Times article reporting on his death in July of 1998 noted <br /><br /><em>On his show, he dispensed financial tips with folksy warmth -- advice that was, by all accounts, solid and sometimes sophisticated, especially concerning real estate. A self-described consumer advocate, he produced several seminars and six books of financial advice. <br /><br />''He was everybody's friend -- we felt he knew us all,'' said Jean Goldsmith, an 89-year-old widow who lives on the Upper East Side and invested $35,000 in the radio and cable securities. ''Everybody simply adored him. He gave some wonderful, wonderful advice. He made a lot of money for people.'' </em><br /><br />Sonny Bloch taught me my first lessons in finances. Thankfully, the lessons I learned taught me to stay away from the frauds advertised and promoted on his show that cost many other listeners in some cases their life savings.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com1tag:blogger.com,1999:blog-4455104099374561107.post-15109311406764756412008-08-09T02:06:00.000-07:002008-08-09T02:18:23.164-07:00Controlled Anger Eliminates Debt<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjmnPZsPi2-QhKjtb69hYjW9HmT-RnjyrHnSq-TflPnE-GD7WI6_Hw5gXgX8c_AbLgMTh3G8vX6_YvsjXfQi9Mz2gM8gSfY1sFcDtrZzKexvDNqp-6O-rXtg-xGP8bIc6c6lsopq5QtsAF8/s1600-h/debt1.jpg"><img style="float:left; margin:0 10px 10px 0;cursor:pointer; cursor:hand;" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjmnPZsPi2-QhKjtb69hYjW9HmT-RnjyrHnSq-TflPnE-GD7WI6_Hw5gXgX8c_AbLgMTh3G8vX6_YvsjXfQi9Mz2gM8gSfY1sFcDtrZzKexvDNqp-6O-rXtg-xGP8bIc6c6lsopq5QtsAF8/s320/debt1.jpg" border="0" alt=""id="BLOGGER_PHOTO_ID_5232442626432270402" /></a><br />One of the toughest issues to wrap you arms around if you've decided to get serious with money management is debt reduction. The reasons can be numerous. <br /><br />Debt attainment is largely a phenomenon that began with the baby boomers and has become a larger alter ego for each generation hence. Many articles have been written on baby boomers suddenly realizing their golden years may not be so golden since they have not been savers but debt accumulators. Those habits have been passed on and enlarged by the current Gen Y population. <br /><br />In a recent article written by Emma Johnson of MSN Money she noted that among the many reasons Gen Y is broke is they were coddled by their parents, banking deregulation changed the rules and allowed new, exotic and more easily obtained credit vehicles and the fact that consumerism rules is the name of the game in retail selling. <br /><br />What that all adds up to is people increasingly have taken on debt to establish and maintain a lifestyle that probably beyond their means and slowly the debt monster crept up and overcame them. <br /><br />Credit card debt, car loans or leases, college debt,medical bills and the home mortgage usually are the more common categories that are found in most households. <br /><br />Now the chore it to tackle the debt and reduce and eliminate it and more importantly never let it again become a part of your life. <br /><br />Certainly among the first reasons or obstacles to tackling debt is many people tally the amount of debt they owe and find that is often a six figure number. Sometimes amounts could exceed a quarter million dollars. And in high cost of living areas, that amount would probably seem small. Seeing those numbers is enough to derail even the most optimistic individual. Baby boomers typically become depressed and give up. Gen Y folks simply deny it's a problem and somehow will simply go away or someone will rush in with a rescue mechanism. <br /><br />Neither option is a solution to the problem. And with the passage of the new bankruptcy laws, simply walking away from debt and letting the courts handle it is not the easy option it once was. The do over is becoming increasingly rare, especially among those who have decent incomes.<br /><br />The only realistic option is look at the numbers and not let them scare you. Actually quite the opposite needs to occur. And although I am a peaceful person by nature, this is one instance where anger,constructive and focused anger, needs to take place. Constructive in that the only destruction that will take place is the destruction of the debt. <br /><br />The anger must be channeled at paying down or off the existing debt and stopping it from ever appearing again. It will require a commitment that extends to facing a reality that for some extended period of time a life style change will likely happen. <br /><br />Serious people will sell off, sadly at a loss, much of the "stuff" that was acquired during their accumulation phase. Those with even more intensity will take on second or even third jobs to throw additional money at debt. And some will be faced with selling off high riced motor vehicles or even selling and down sizing home size and payment. <br /><br />For most, taking those steps back, facing the debt head on and accepting the realities that go with killing off debt will often be one of the hardest and life changing events of their lives. Not only will they potentially lose a fun and outwardly prosperous lifestyle, but they must now face friends and relatives who may not be so quick to provide support. Instead shame and ridicule may come as part of the debt recognition problem and payoff process. <br /><br />All those very human feelings must be set aside, dealt with and instead life for some modest period of time will be virtually focused,in channeled anger, at removing the debt burden and never allowing it to comeback into their life.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0tag:blogger.com,1999:blog-4455104099374561107.post-20662185555119526482008-05-16T05:44:00.001-07:002008-05-16T05:44:57.995-07:00WelcomeThis is just the beginning of a new blog.Chris Johnston.http://www.blogger.com/profile/07131649196771626440noreply@blogger.com0