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Own a Business? Think About Your Plan

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Hey, everyone! I’m back here….it appears OG and I are going to write at FFA once per week. My posts here will be more structured and on-task than my writing at Stacking Benjamins. If you’re looking for more humorous writing, find me there……

 

I just got off the phone with my coach. We have a session three times per month and they’re a powerful use of time. Not only do we focus on business, but on the balance between my business, personal and spiritual life.

This month we’ve begun digging deep. Here’s what we’re working through:

1)   I’ve listed all of my important strategic priorities for the fall.

If I don’t prioritize what’s important to me right now, I find that it gets lost in the shuffle. It’s better to plan my fall now to make sure that those events that are important to my business and family all make the cut.

2)   I took out the calendar and planned my model week. This also included making sure I block out time for family and friends. I don’t want to get buried in my work and forget my priorities.

For me, the Apple calendar works best because I use mostly Apple products. However, you should do something similar and find a good  calendar that will automatically sync with all your devices. That way, whenever you remember something that needs to be added to a calendar, you don’t have to worry about being at your desk.

3)   I reviewed my business accounts. Because I’m starting to build up some money in my business accounts that I’ll be spending later in the year, I’m interested in business savings. By setting up separate accounts, I can make sure my “buckets of money” for different projects don’t inadvertently get spent on other, less important pursuits.

4)   I scheduled creativity.  This is an important one for me. To write entertaining pieces and fun podcasts takes a ton of creative “juice.” Studies have shown that a neatly sewn calendar actually decreases creativity. I’ve scheduled time to read (called R&D) and time to play games with friends. I also schedule time to listen to other podcasts and read other blogs.

5)   I created automation whenever possible. If I could automate it, I’ve scheduled ways to get it done. Much of my twitter and Facebook posting can be prescheduled. Because I’ve found a bank that offers free business banking, I’ve automated much of my financial tasks. Anyone helping me on the back end of the site is given tasks each Monday so that I’m able to concentrate on the reader experience.

 

That’s what I’m doing to plan for the fall. How about you?

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Trying to Save Money? Concentrate on Time

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Editor’s note: Hey, kids! We’re handing the spotlight to my good friend Miranda for today’s post. Check out her site for more about people struggling with the broken concept of work-life balance. – Joe

The best money savings tips are the ones that save you money. Clearly.

But since time is money, a tip that saves you both, is like a double expresso. Sort of like an “uber savings” tip.

How did I discover “uber savings”?  I write a blog called beyondworklifebalance.com

As a full time working professional, a mom to one, stepmother to three, framing my life in terms of achieving balance is absolutely NOT useful. I’m not a trapeze artist balancing work and life, on a wire, ready to be free falling, with a mere puff of wind.

I started to think about work and life in a more integrated way, and finding the complementarity in the things I do.

Here’s how this works:

Suppose I want to spend an hour exercising, and an hour catching up with a friend, and I have a toddler to take care of.  Instead of scheduling an hour at the gym, and then another hour at Starbucks with said friend, and then having to find a sitter to take care of the toddler, while at the gym and maybe at Starbucks too, I find another solution.

I take the jogging stroller, put my son in it, and meet my friend for a jog around the block. I save time driving to and from the gym. I save money by not having a gym membership. I save money by not hiring a sitter.  And as much as I like those double lattes at Starbucks, I save money there too. And since we’re running, theoretically, I don’t need the caffeine jolt to get going.

Here are a few others:
1. Walk two miles to work. Save money and time by not having to go to the gym.  Save money on gas and on parking. Oh, and lower the carbon footprint, too.
2. Double up dinner recipes and freeze. Save time since I don’t have to do get all the ingredients out and cook again. Pack my lunch for the next day and save money by not hitting the cafeteria. And maybe get a second dinner from the freezer on a night when the Little League baseball game goes into extra innings after a rain delay.
3. When I buy groceries, I use my debit card to get weekly cash and buy a book of stamps at the same time,  I save money on those naughty little ATM fees, and save time by not having to go to the post office.You get the idea.Some people will say, “isn’t this just multitasking?” I say no. I say it is finding out how these small, and sometimes, not so small, ways of saving money and time and can be complements of each other. It opens up a new dimension beyond just saving and beyond just work life balance.

4. Fill prescriptions online. Those who have monthly or weekly prescriptions to fill know how expensive and time consuming it can be. What I have found is that ordering these prescriptions online through a Canadian internet pharmacy saves me time and money. For starters, I never have to wait for my prescription to be filled. Secondly, ordering this medication online is much less expensive, as the Canadian government has put a cap on what pharmaceutical companies are allowed to charge. If you’re like me and need prescriptions regularly, this option is definitely worth considering.

 

What techniques do you use to save time? Let’s share some more money-saving ideas in the comments.

&bsnp;

4.14.12Miranda1143x4WEBMiranda Daniloff is a wife, mother to one and stepmother to three, university senior manager, a daughter, sister and sister-in law, friend, creative writer, former radio and television producer, who loves to read, run and cook. She started beyondworklifebalance.com to find a better way to integrate work and life. The idea of balance just stressed her out.
Photos: Strollers, Sergie Melki; Miranda, Martha Stewart
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My Plan to Save $1,200 by Streamlining Subscriptions AND a Giveaway!

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Before working from home, I spent a ton of time in the car and could justify XM Radio. After a long day on the road, I wanted good television or a movie available on a whim. That led me to investigate Netflix and finally sign up. At that point, I had two subscriptions monthly: XM and Netflix.

That was just the beginning.

I love the Tour de France, so when changing my cable over to dish, I signed up for a premium package. At the time I felt lucky. The total number of channels I was about to receive dwarved the cable lineup and the price stayed exactly the same. Bonus!

Oh, but I wasn’t done.

We’re Detroit Tiger baseball fans, so through our Xbox (and its Gold subscription annual fee) we sprung for the MLB Baseball season ticket so we could watch our favorite sports team. Of course, ESPN shows a full slate of sports over my satellite provider, too, also through the Xbox.

In short: I’m wired to the gills…and paying for it.

 

Paring down my electronics

 

You may think, “Man, he’s wasting money hand over fist!” In the old days, when I owned my business, nothing could have been further from the truth. Sure, I was spending every month on subscriptions, but I was also able to justify the expense by the large sums of money I was bringing home. Now, as a financial writer, I don’t see that same level of income. I also find that because I’m wired to the internet constantly, my needs have changed. I enjoy reading blogs and perusing Flipboard.

It’s time to cut back.

First, I need a plan. This is the plan:

 

Satellite

 

It’s time to broach the subject with Cheryl: I’m investigating options such as Roku, that would allow us to stream channels via the internet over our television. I also have discovered that I can get the Tour de France over the internet. If I’m streaming this event over the internet, I can save tons of money.

Cost of Roku (x2 for two televisions): $160
Cost of Hulu Plus: $8 / mo.

Cost of Tour coverage: $20

Savings from Cutting Satellite: $80 / mo.

 

Total Savings: (COST of $80 first month, then monthly savings of $72 per month – July, which will be savings of $52)

 

XM Radio

 

This is a no-brainer. We have XM in two cars now…we’ll pare it back to a single vehicle. While I can hear the frugalistas yelling, “Get rid of it completely!” I travel too much to do that. We’ll keep it in the car we constantly travel across country in, but dump it in my car. I’ve gone from 45k miles per year in the car to less than 5k, while our primary car has already been driven 55k miles in just over a year.

A holdover from my working days: I have the expanded sports package to hear every sport, rather than the ½ and ½ (they totally rip you on this) in my existing car.

XM Radio Subscription cut savings: ($14.50/mo.)

 

Total Savings: ($14.50 / mo.)

 

Netflix:

 

If you listen to our podcast, you’ll know how much I enjoy movies. I saw 72 films last year alone. However, the disc service isn’t getting the use from me that it once did. Sure, I want it around Oscar time to watch my favorite flicks, but now I can stream videos for a low fee through the iTunes store or Amazon. There’s no need for Netflix on my monthly subscription. I love the original programming and access to older television series available through Netflix, so I’m holding onto that subscription for now:
Cutting to Streaming Only Savings: ($12.00/mo.)

 

The Big Finale

 

Total Savings: $98/mo. (except the first month, when I’ll pay $180 for two Roku boxes and July of each year for Tour de France, when I’ll only save $78 on July bill).

Not bad….nearly $1,200 a year and I’m not missing out on any of my entertainment options!

 

A Giveaway: How About Winning A Great Television?

 

Nothing helps you streamline all of this media like a quality television. Luckily, I’m part of a big giveaway this month to help you get just that! I know, you can thank me later. However, by spending just a few moments following some good financial blogs on Twitter and liking them on Facebook, you’ll be signed up to win a Samsung UN50EH6000 50-Inch 1080p 120Hz LED HDTV!

Check it out:

(That’s an affiliate link, if you’d prefer to just buy one!)

If you’d like cash for annuities, you’ll love the folks who helped us bring this contest to you, by the way. It’s great to have partners to give this stuff away, isn’t it?

The contest ends May 31, so enter quickly!

 

a Rafflecopter giveaway

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Dress For Success Without Breaking the Bank

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What type of job do you have? Are you trying to climb the ladder in Corporate America, but don’t have the money to drive around in flashy cars and brand new designer clothing? Well, let me tell you a secret. You don’t need to spend a lot of money to fit into the corporate world. Sure, it helps to look the part, but rather than rack up your credit cards with mountains of debt, it’s much wiser to pay for your clothing with cash.




“But clothes are expensive!” you might be thinking, “…and to get quality pieces, you’ve got to pay top dollar.” I’ve heard these complaints many times before, and while they sound relevant, they are absolute myths. First of all, sure, clothes can be expensive if you buy them from the retail store when they’re not on sale, but this is a complete waste of money. And, if you think that spending more money means that you’re getting higher quality goods, you’re absolutely wrong there too. Much of the time, you’re just paying for the designer name, not the quality of the clothes.

Avoid paying retail prices. Let’s explore where you can get high-quality clothes for less than half the cost of retail.

Second Hand Stores

Many people stick their nose up at the second hand stores, but hear me out on this one. Don’t head down to your local slummy second hand store because they’re going to have slummy looking clothes. Instead, drive yourself to the nearest ritzy town and walk into their “gently used” stores. You’ll quickly notice that the clothing there is far different than from the bad part of town, and it’s severely cheaper than at the retail store!

Platos Closet

This store sells gently used clothing as well, but you know that it’s in good shape and that it’s the latest fashions. They often have more trendy items, which could only be used for “weekend wear”, but the men might be able to find a few dress shirts, slacks, or dress shoes as well. For the ladies, dress shoes can easily be found here, and at a far reduced cost from retail. Other items that can be found are skirts, dresses, and plenty of accessories.

Search Online

There are many big players coming onto the online scene these days, and since they don’t have the liability of a huge retail store on their books, they can charge far less for their clothing than the other guys. For big events, it might make sense to rent clothing. My daughter is headed to the prom in a dress from RentTheRunway.com. On top of this, you could check out RetailMeNot.com and find a promo code to reduce your overall bill even more!

The Key to Dress For Success

These three areas are a great place to search for some new clothes, but be smart with your purchases For women, when you purchase a new wardrobe, don’t buy complete outfits that can only be worn together. Buy versatile pieces that can be interchanged with one another. When you buy a few neutral colored skirts, a few solid colored blouses and a couple of decorative scarfs, you end up with not just two outfits, but 10+ outfits that can be worn all different ways! While men generally don’t buy matching sets, the same is still true: focus on clothing that can easily be worn in multiple combinations and you’ll be able to lower your cost while still looking great.

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4 Guidelines for Paying Down That Credit Card Debt

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If you’re like me, then the past month or two of your life has involved getting your financial ducks in a row in order to file your taxes. Now that tax season is essentially over, it’s a good time to take a look at your credit card situation before you take a much-deserved break from obsessing over your finances. If you’ve got any significant credit card debt, then you’re probably thinking of the best strategy to go about paying off that debt. As a former victim of credit card debt, I know that drowning in debt is not fun, and often leaves you feeling trapped. However, I’m here to tell you that you can get that debt paid off, and it’s easier than you may think as long as you are responsible with your spending. In addition to being responsible, stick to the four guidelines below to get that debt paid off most effectively.

 

  1. Pay down your highest APR credit card debt first. This point is the most important, and should probably go without saying, but I’m going to say it anyway. If you have several different credit cards that you’ve accrued debt on, you need to pay off the balance that is charging you the most interest first. If you fail to get those high-interest credit card balances paid down, then you will find yourself falling deeper and deeper into the debt hole.
  2. Always make the minimum payment. Sometimes it may seem as if there is no end in sight to the debt you have accrued. Since I’ve personally been through this myself, I know that there is an end in sight. However, if you fail to make your minimum payments each month, your credit score is going to take a pretty significant hit so that even when you have all your debt paid off, you will end up with a poor credit score, which isn’t going to be useful when it comes time to buy a house or car. Generally, the minimum payment each month isn’t a huge amount of money, so do everything you can in order to get that minimum payment in.
  3. Consider a balance transfer. If you have a decent credit score but have accrued sizeable debt on credit cards that charge high interest rates, it may be in your best interest to consider a balance transfer in order to consolidate your debt onto a credit card with a 0% APR introductory period on balance transfers. Not all balance transfer credit cards are created equally, however, so you will want to make sure you compare credit cards so that you can find a card that offers a long 0% introductory APR period. The longer the intro period, the more time you have to get that debt paid off without accruing any interest.
  4. Get rid of debt before trying to save. Generally, the credit card debt you accrue will charge a much higher interest rate than the interest you will earn on cash that you save. While it’s always smart to have a small stockpile of cash for extreme emergencies, most of your income should go to paying down that debt. If you try to save most of your money before paying down that credit card debt, you’ll be stuck in debt for much longer than you need to be, as well as hurting your credit score.

 

This article was written by Logan Abbott. Logan is the editor of MyRatePlan.com, and a personal finance and credit card expert with over a decade of experience.

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We Gave Frugal the Finger

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Let’s get philosophical before I tell you how I’m about to blow $4,000 on things people may think are “trivial.” What’s the purpose of money?

As some of you know, the Men’s NCAA Basketball Championship is winding up right now.  Last weekend, the top 8 teams played to whittle the field down to only the top 4.  (Various copyrights prevent us from actually calling the top 4 teams what they truly are – and the “ultimate four” doesn’t quite have the same ring-J).  For those that watch or follow college basketball, there are four great teams left – one of whom I’ve followed since birth and still watch religiously. They haven’t been this far in a long, long, time and may not make it again for a long, long time.

As my wife and I were watching the glorious victory of our favorite team I had (what I thought at the time was) a brilliant idea: let’s go watch the semi-final games!

 

Planning a Last Minute Trip

 

So we talked about it Sunday night and began looking at ticket prices – holy sticker shock batman!  Apparently, we weren’t the only two people thinking about these games!  Total ticket cost for three games of basketball: $1,500.

Now, we have to find a hotel – again sticker shock – there goes another $1,500.  We decided to drive, to save some costs (also gives us some flexibility), but after food and gas our total cost is probably around $4,000 or so.

Some would call this quick, unplanned, and certainly unbudgeted for trip, excessive or irresponsible – I call it freedom.  My job before this was to build a reserve…and I did. What’s your reserve for? Emergencies and opportunities. If I have a cash reserve of $30,000 or $26,000 once this is over, is it really that big of a difference?  I don’t think so.

 

Money’s purpose isn’t to buy things – it’s to have experiences.

 

This is a question I rarely am asked in client meetings, but try to ask to clients as much as possible:  What’s the purpose of money?  Is it goal attainment or is to make your life better?  Perhaps it’s to make another persons life better, or maybe even to help a whole bunch of people, say through an endowment or something similar.

I think it’s much simpler than that.  Money equals happiness.  Happiness is freedom.  Freedom to do what you please with whom you please when you please.  I’m not talking about being pompous, flashy, or flamboyant, but rather just having the ultimate freedom to do whatever you want.

…and after this, I’ll have the obligation to my freedom to build my reserve back up so (hopefully) I can do this again next year!

 

When Is It Time to Call in the Professional?

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A serious question here…without an answer. Does anyone have the mathematical equation?

Over the last few weeks, my garage door opener has been acting up.  Door goes up…won’t come down.  Goes up half way…won’t open at all.  In my expert “garage door opener” opinion, I decide it’s probably the opener. I’ve used the door before, so I’m pretty sure this is a no brainer.
I drove down to Home Depot, purchased the latest-and-greatest Genie model and began screwing it together.  Never mind that I know nothing about the difference between a “screw drive” and “chain drive” opener. I figured I could get this thing done easily.  Since I had installed my previous garage door opener, I though, “Hey, I can do this!”

After six hours of tinkering, I was ready for the test run:  Hit the button…drum roll please…and viola!  It opened!

Press the button again…it’s going down, down, aaannndddd….stopped.  Half way down.  Six hours of work (or rather six hours of not working) and it’s still as broken as it was before I began on this project.

 

Advice From a Friend: Call the Professional

 

A friend happened to stop by and while we were playing around with it, suggested I call a professional.  I had been convinced I could do this without help!  I really wanted to be able to do it right!  But, alas, I finally had to wave the white flag and admit: I have no clue what I’m doing.  So I sheepishly make the call.  The door guy came by right away and strode like John Wayne into my garage. You should’ve seen his face and head shake as he saw each and every tool I owned spread across the garage floor helter-skelter.

I began to explain the problem, what it would and wouldn’t do, blah, blah, and he’s not even listening.  He grabbed the door, shook it, lifted it, and it slammed down.

Without even asking if I would stop talking he cut me off and said, “The spring is broken.  Gonna be $289 plus $35 per ½ hour labor.  Oh, and your garage door opener is broken.  That’s another $450, but that includes labor…and it’s the best opener on the market.  We take check or credit card and I can be out of here in under an hour.  OK?”

 

What’s the Cost of Pride?

 

I now know the cost of my pride:

$250 for the “new” but now broken garage door opener,

$450 for the new one I now have to buy.

Oh, and here’s the best part:  The old one hadn’t even been broken.

I can only laugh at the irony:  I plead with people every day to outsource their crucial financial decisions to a professional: and sometimes I can’t even take my own advice.

 

When’s the Right Time?

 

Is a broken garage door the right thing to call a pro over? When is it time to call in experts?  What’s the ultimate cost?  In my case I would have saved the cost of the two new openers and just replaced the spring for $289.  But our financial lives are much more complex, aren’t they?

The truth is, a lot of people can do their own simple financial planning and investment work, but statistically, most don’t.  Sometimes we hire professionals to do work because we don’t want to do it (mowing the lawn, house cleaning, etc.) and other times we hire a pro because we don’t know how (taxes, mortgages, etc.) and then there are times we need to hire a pro so we don’t screw it up (garage door openers).  Don’t let pride get in the way of accomplishing the goal:  a fee or commission is a small price to pay for goal attainment.

…but I still think I would have been happier if I’d been able to fix the door myself.

When do you call in the pros? When do you DIY?

Rethink Your To-Do List: Throw Out Your Problem Tasks

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Your life is too short to work on tasks you aren’t good at or don’t like. Remove unnecessary tasks and I’ll bet you’re happier AND have more money.

Recently, I was reading an article from Edmunds, Stop Changing Your Oil, where its author, Phillip Reed, contends that the vast majority of people mindlessly change their oil every 3,000 miles – and not because it’s needed. Today’s cars can drive further, sometimes twice as far, between oil changes – but because we’ve been conditioned and trained by our parents, grandparents, peers, and service mechanics for years to do so, we change it more quickly than necessary.  Reed suggests that not only is this a waste of money and oil (replacing good oil before it’s ‘used up’ is bad for the environment) but it is part of a much larger ‘plot’ (my word not his) between the oil industry and consumers to up-sell and cross sell us into thousands of needless expenditures over our car’s lifetime.  Interesting read, to be sure.

 

Stop wasting time

 

But this made me think: What are some other things in our lives that we should stop doing?  Or maybe stop doing so frequently?  I’ve written many times about my thoughts on the purpose of money; money can and should be used to provide for oneself later in life, but needlessly sacrificing pleasurable things today so that my great-great-grandkids can inherit sixty-four million dollars is ridiculous.  So, in my life there are things I don’t do, not because I can’t, but because I can trade an hour of my time working in the yard for an hour prospecting for new clients or perfecting my putting stroke – both things I like doing immensely more than weeding the garden, fixing the power or mowing my grass.  And I’m perfectly comfortable with that exchange.

Part of my goal when giving something up is to exchange that freed up time with something else that provides me increased marginal utility (my economic professors are smiling ear-to-ear).  Notice how I didn’t say, “provides me with more money” or “more free time,” but rather increased utility.  To me, that can be any number of things: spending time with family and friends, watching a great basketball game, playing golf, acquiring a new client, marketing, or maybe even just reading a good book.  But, if I can eliminate something that I’m not terribly good at or like to do with something I do like to do or am good at doing – I’ve increased my utility.

Said another way, utility = happiness.

 

Remove the “Junk”

 

Eliminating things from one’s life becomes a liberating experience and frankly, it doesn’t have to be anything as big as changing a job or selling a couple kids (although the thought has crossed my mind).  It can be as simple as cleaning out a closet or even organizing that dreaded kitchen junk drawer.  Ask anyone who’s started selling stuff on eBay and you’ll likely find that they found the experience quite addictive – cleaning up or eliminating things from one’s life is addicting and you cannot wait to find something else to clean up.  Just last week, I asked my team whether there was one particular client who we should fire – just so we’d remove that headache from our lives.

The same can be said for reducing the frequency of useless or draining activities.  In the Edmund’s article, Reed doesn’t say we shouldn’t ever get our oil changed or car serviced, but rather reduce the frequency of doing those activities.  Ask yourself the question: What things should you reduce?  In the money/finance world that could be something like frequency of dining out or dare I even say, trading in your stock account!  Maybe I’ll write an article titled: Stop Trading in Your Stock Account.  Nah, that’ll never pass the review board.

Take a second, oh dearest reader, and ponder this question:  What’s the one thing you could eliminate in your life right this second that would measurably increase your utility?  The logical follow-up to that is: What would your life be like, if you did it…today?

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5 Savings Tips You Wish Someone Had Told You Earlier

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There are many ways to obtain a little extra cash when it is most needed, from log book loans and second mortgages to working freelance, to much more unlikely scenarios, such as winning the lottery! It’s always better to try and save cash than hope for the lottery windfall. Here’s five of the most useful ways to ensure there is money there when you most need some:

 

Budget! It’s surprising how many people let budgeting pass them by, even if they are mentally sold on the idea. Once you’ve overcome the remarkably large hurdle of actually sitting down with pen and paper, the basic concept is simple: track what you earn and make sure your expenses don’t outpace your earnings. The very first time you carry out this exercise, you’ll be surprised at how many “little expenses” add up. Often, you’re surprised by some of the numbers. Your energy bills might be higher than you’d expected, or gasoline for the car is more than you’d thought. Once you create a plan to bring those demands under control, you’re well on the way to making tangible savings.

Put savings first. Too many people think they can’t save because “there’s not enough money left over at the end of the month”. This is putting the cart before the horse. Spending nearly ALWAYS expands to eat away whatever amount is in your bank account, so it’s vital to decide how much you wish to save before beginning to spend, spend, spend. Typically, it’s a good idea to set aside a minimum of 5-10% every month for savings, either consciously, or by directing your bank to automatically siphon off the sum into a separate savings account. Once that is done, then you can apply the remainder of your income to your budget!

Cut your energy bills. A major household expenditure is gas and electricity. Fortunately, with many different providers out there, it’s reasonably simple to go online and change suppliers – after first using price comparison sites to find out whose offering the cheapest tariffs. Be sure to repeat the exercise every few months to take advantage of market competition.

Pay down your debts. Debts are the single biggest drag on personal finance, and eliminating them is a massive step on the road to saving. When resolving to pay off debts, start with those commanding the largest interest rates – and remember: these are not necessarily the largest debts. Credit cards generally come with relatively hefty interest rates, so they are an excellent place to start, but all personal circumstances are different, so list your debts and their attached interest rates from highest to lowest, to see where the axe should fall first. Some people start with the lowest balance and work from there (Dave Ramsey’s “snowball” method). This has been proven to help people psychologically pay down debt, but may cost you more in interest over time.

Watch how you shop. Make an “audit” of your next trip to buy groceries by studying the till receipt. Strike off the ready meals and processed foods and resolve instead to get your fruit and veg at the market. The ingredients are much cheaper there, and with the help of easy and quick online recipes you’ll soon be eating more healthily – and saving a remarkable amount every month into the bargain!

 

More about personal finance:

Frustrated With Great Lakes
Walmart Savings Catcher Phone Number

5 Simple Steps to Kick 2013 Into High Gear

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Happy 2013, everyone!

It’s time to take yourself a little more seriously and step up your game. My cousin, a year younger than me, had major heart surgery a couple weeks ago and nearly lost his life on the operating table. Not to be all melodramatic, but it was another close-to-home reminder that time is a finite beast. If you’re going to leave your mark on the world (or just on your little private Idaho), 2013 is the time to make changes.

Here’s the gameplan we’d use when practicing financial planning with clients back in “the day” and it’s also what I’m using this year to shift up a gear:

1)   Write out clear, actionable goals. I like Maria at The Money Principle’s post about themes. Start with an idea generally of what you want to do, then drill down toward specific tasks.

My 2013 theme is about tying up loose ends and focusing harder on core tasks. I haven’t yet crystalized completely the theme (it should be more succinct than what I have so far), but that’s not bad news. I’ve been thinking about it constantly, and this action gets the right thoughts in my little noggin’.

My main goals are simple: I have the first draft of a book written, and I’ve let it sit for about 9 months. Why? I have no idea. Other priorities. But now’s the time to finish that project. I’ve run marathons now for two years. I’d like to run one faster than ever. I’d also like to try an ultramarathon. I need to focus on cooking healthier food at home and have a more regimented plan. On the website side, we’ve talked about creating some products. These need to be launched in 2013.

2)   Direct deposit to your savings account. Everyone direct deposits money into their checking account…and immediately drains it. Reconfigure your system so that you direct deposit to savings. Manually move money to live on over to your checking account.

While this seems like a little step, it’s a huge change. Now you’re saving automatically and having to think every time you spend money. You’re a conscious consumer, rather than an auto-spender.

3)   Protect your downside. I know this for a fact: bad stuff that you don’t expect will happen in 2013. I don’t know where it’ll come from, so the best course of action is to look for Achilles Heels and apply duct tape. Do you have an emergency fund? Is your insurance up-to-par? Is the budget tight?

I need to adjust Cheryl’s life insurance (adjusted mine in 2012). Our will is now six months from being out-of-date (my children will be 18 years old…how the hell can that be? They were just babies yesterday….). I also have to begin “landing the plane” with my kid’s investment funds, so they’re ready when and if I need them for college expenses.

It’s also time for me to get home and auto quotes again. For some, checking out Insure 4 a Day may be a good idea. They offer a variety of cheap short term car insurance options dependent on your requirements.

4)   Focus on energy, not time. I agree with Jim Loehr and Tony Schwartz in their book The Power of Full Engagement on this one: the key to optimum performance is to manage your ability to crank stuff out. As workers, we’re like tennis players: we compete year-round. It stands to reason that we can’t be great every moment of every day. We should gear up for those times when there are “big tournaments” in our life and focus on those days.

I’m working on a model day that better uses my energy and shelters that time I need for key tasks. I generally experience great creativity in the morning and low energy around 3 pm, so I’m reconfiguring my day to take advantage of that morning time and guard against the afternoon letdown. I’m also focusing more on my diet to avoid those crashes (just as soon as I finish these chocolates….).

5)   Create surround sound. The best way to stay motivated is to surround yourself with people, books and podcasts that keep your mind on those activities that’ll help you achieve your dreams. Schedule meetings with your planning partners, spouse, and close mentors. Don’t just say “I’ll talk to people more often about my plans.” That doesn’t happen, does it? Set a time in your calendar and stick to it.

We created the podcast for this reason. I enjoy casual talk about subjects I’m interested in, not hard core discussions. I couldn’t find many chatty money podcasts (Planet Money is probably the closest I’ve found), so we created one. If you’ve listened to our show you know: it’s more about equating money with fun and less about deep drilling.

Biographies work well for me, too, to create surround sound. I don’t know why, but I particularly love books about chefs. Maybe it’s because they have to be in-the-moment so much. I loved Kitchen Confidential by Anthony Bordain (don’t read this book if you don’t like foul language and discussions about illegal activities). Currently I’m polishing off Restaurant Man by Joe Bastianich. Both of these are great looks into the world of business, written passionately by someone who knows their craft inside-out.

This list could be 100 points long, but if you practice those five above as you walk into 2013, you’re going to move faster, with more energy, and with fewer distractions.

ON that note, how about $100 Amazon money or cash to start your year off right! That’ll buy a bunch of groceries, books or mp3 players…..

Photo: TheBusyBrain

 

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