Final Week #8 Challenge

Week 8 is here! Those of us that "stuck it out" are hopefully better financially now than we were just 8 weeks ago.

Your last challenge is to make one financial decision that will help you throughout the year. No matter how big or small find one decision.

About 4 years ago I participated in the 21-Daniel Fast, during which I could not have hamburgers. I made a decision not to go back on hamburgers after the fast. Was it life changing, no, but I think that I have eliminated unneeded "back fat". So over time, I am sure that it has made a difference.

So, what financial decision can you make to help you this year for example.

1. Start saving $10 per paycheck. Open an account with no ATM card.

2. Start a Christmas Club account at your bank.

3. Cut your cable bill by cutting back on services.

4. Ride share one time a week to work or even church.

5. Instead of spending ALL of your tax return, save 1/4 of it for emergencies.

So again, this week take time out to make a declaration about your finances. It is decision time!

Week #7 Challenge

Week 7 is here of our financial fast. So this week I challenge you to find "free" money. I know you are thinking "that's impossible", however there is free money out there and we are going to find it.

1. Find out if your employer will match your 401k plan. Many times if you contribute a certain amount towards your plan, your employer will match that amount. Contact your Human Resources department for more details. That is free money!

2. While speaking with a representative of my Credit Union, she begin giving me information in regards to purchasing CD's (certificate of deposit)for your self or your children. If I purchase a $25.00 CD today, it could be worth about $44.00 in 12 months. That is free money.

3. Coupons are actually free money as well. There are a lot of coupons out there, especially online. Before you shop, check online for coupons. They are everywhere.

Let's find free money. Post your comments and suggestions about other great finds!

Week #6 Challenge

Have you noticed the price of food lately? Everything is going up, slowly but surely. Also with the lack of rain in various portions of the country, more increases are anticipated in the food industry as a whole.

If you are like me, I can't afford to keep paying these higher prices. So something is going to have to be removed from my list.

So our challenge for week #6 is the cut our grocery budget by 15%! I know that is a lot, but we can do it and I am not sure about you, but I NEED to try. So here are a few tips to help slash your grocery budget and put more money in your pocket(savings)

1. First, Actually establish a monthly budget.- In order to accurately track what you spend per month, you need to keep track of your monthly grocery bill. Review your checkbook or bank statement and add up your grocery spending. Set an amount that you will spend, and try not to over extend this budget.

2. Set a goal for your new budget. If you are currently spending $1000 per month, try to spend only $850.00 on food this month. That is only a $37.50 a week cut.

3. Plan a weekly menu plan- making a food plan is not hard it just requires a little of your time. You can find online websites that can help you plan a weekly menu and print a shopping list as well. I use http://www.allrecipes.com/ for my menu planning and shopping list. It works great.

4. Make a shopping list and stick to it. Only purchase needed items. Watch out for items at the end of the aisles, they are there for a reason.

5. Use coupons! I registered at http://www.coupons.com/ and I save at least 5-7 dollars on my shopping trip. You can find a lot of coupons online for free. One caution is to only use coupons for the items that are needed and that you currently use. You can easily get "caught-up" and start trying new items.

6. Look at prices before you buy. Sometimes the bigger, "on-sale" item is not the better buy. Check the prices of the smaller item and make sure you are getting the best deal.

7. Last but not least. DO NOT GROCERY SHOP WHILE YOU ARE HUNGRY! You will spend up to 25% more in the store. So eat prior to hitting the store.

If you have other suggestions to saving, please post under the comments.

Week #5 Challenge-Financial Accountability

Financial matters can cause serious danger in marriages if not dealt with properly. Many couples are unable to have conversations regarding their financial status. As adults we often feel as though we should be able to spend OUR money when and however we want. But we must remember that everything we have belong to God and He is expecting us to make good decisions with what he has given us, which includes our finances.

So what is financial accountability. This is not to degrade anyone, but should be a blessing to you. You need to become accountable to someone, if you are married it needs to be your spouse. Why, my spouse? Well, how can two walk together unless they agree? This includes your finances. This may be one of the hardest challenges for some of you, but changes must be made. You will be less likely to “splurge” if you know your spouse will question or ask about the charge. Now, you can always “cheat and lie” but that is not helping your status. So discover at least 3 ways that you can become more accountable to your spouse. Such as sharing the checkbook, leaving a printout of all charges, or not making any decisions without the others permission.

If you are single, find someone that you can become accountable to in regards to your finances. Don’t get mad, when they tell you that you do not NEED to purchase shoes with your last $20. Allow others to help you. This has to be a person that you can trust and has your best interest in mind. But you have to be willing to listen and make changes. Develop at least 3 ways to become accountable to your friend. Such as sending weekly printouts of your checking account(WOW), and talking honestly on the phone at least once a week just about finances.

So let’s breakdown the barriers to financial freedom and begin having that crucial conversation with our spouses and our friends.

Week #4 Challenge

This week's challenge is about checking late fees!

I am sure that at one point or another we all have forgotten to pay a bill, or you looked at your banking account and you simple did not have the money to pay the bill until your next pay check which is 2 days AFTER the due date. Then, when you are able to pay, now you have an additional $20.00 to pay for late fees. Some credit card companies have no grace period and they charge up to $40.00 for late fees.(just crazy). Now a days even, utility companies charge late fees, depending on your balance.

Various accounts, such as phone or cable may charge only $5.00 per month for late fees, but that is $60.00 a year. That is a nice "trip to the spa" money. So your challenge is to look at your accounts and find out how much you are spending on late fees a month. Let's try to eliminate late fees all together. This will take time so have patience!

So here are a few tips to help avoid late fees:

1. Change your due dates. Sometimes it's as simple as a phone call or logging online. If you get paid twice a month, put your due dates around your payday.

2. Organize your bills. Keep all bills in one place and in order by due date. This will help you to quickly view and pay your bills.

3. Use your online bill pay service. You can actually sit down and pay all of your bills once a month. You can schedule your payments out for a month to assure that they are received on time. Just make sure you keep track of your spending!

4. Sometimes if you call a company and say "Hey, I am going to be a few days late" they will waive the late charges for you.

So let's avoid this unnecessary waste of late fees! Any other suggestions?

Repairing your Credit

This article was shared by Sis. Bush, from Blue Water website.  Very good information

 

3 reasons to repair your credit
even if you do not need to be
approved for a new loan.

 

Most consumers do not think about their credit score until they anticipate applying for a new loan. While you should absolutely repair your credit before you make a major purchase, there are very good reasons to repair your credit even if you do not intend to make a purchase.

Employment - You may not be aware, but the majority of employers conduct thorough background checks on prospective employees. At one time, background checks were limited to positions involving a security clearance. Current technology has made it very cost effective for employers to conduct background checks on all applicants. If your credit report is full of late payments and charge offs, you may appear to be someone who is unorganized and unwilling to make good on your obligations.

Risk of losing existing lines of credit - Many consumers with poor credit feel that since they have one or two lines of existing credit, they can ignore their poor credit history. This is a mistake, as your existing creditors will perform periodic credit checks to evaluate your continued credit worthiness. Despite the fact that you pay your statements on time and use
the credit responsibly, the credit card issuer could view your poor credit history as a risk and close your existing account.

You never know when you will need your credit - Let's face it, life is unpredictable. You never know when your car will be wrecked in an accident or your refrigerator or washing machine will stop working.

 

 

Week #3 Challenge

Good Afternoon,

Today is considered “Blue Monday”. This day received its name because more people commit suicide and feel really depressed. Why? Well, it is a known fact that it takes 21-days to form a habit. Therefore, if you have made promises to yourself for the year of 2012 and have not kept them as of today, you may feel down today.

Let me encourage you today. If you have fallen off “the wagon” on your commitments, don’t be hard on yourself. Get up and brush yourself off and start all over again. You can do any and everything you have set your mind to do.

So for this week’s challenge, take all of your bills that you have written down from #2 challenge and divide those bills into 2 categories. The first category will be Operating Expenses. In this column place all reoccurring bills. This would include your electric, gas, phone, water, mortgage, rent, gas for car, car insurance, food, tithes, etc. So anything that will not change in the next 20 years or so.

Secondly, make a category for Project Expenses. This would include things that can be paid off in less than 5 years. For example, your credit cards, student loans, car payment, etc.

Now, you need to make a monthly budget for your finances. Add up your operational expenses and subtract from your income. Then, subtract the minimum payments from your project expenses. Determine how much money you have remaining each month. If you are in the negative you need to find ways to decrease your expenses or add income to your household.

Take a deep breath! You can do this. So do the “Happy Dance” together.

Quick Tip Challenge

Quick Tip Challenge

This is a great time to “declutter” your life. January is a month of cleansing and renewal so why not start by making your living environment clutter free. So here is a Quick Tip Challenge.

So let’s begin in your bedroom! Yes the bedroom. This is what I want you to do, stand in the middle of your bedroom and look around. Is this a place that you can think clearly and feel free? If you are married, is this a place of romance and intimacy? Can you hear God speaking in this room? Can you see the carpet?

Next, look for items that do not enhance or support the “vision” for your bedroom. Such as the old statue you purchased from a garage sale about 10 years ago and you are not really sure why. You only want items in your space that support your vision for your room. I am sure your vision has changed, therefore you need to donate that item to Goodwill.

Your bedroom should not contain items “housed” on the floor(ex. Stacks for papers, magazines). If you have items on the floor, you MUST find a place for them. If you don’t have a place for them, toss that item or donate it to charity or to a close friend.

Let’s move to the closet. Does your all of your shoes and clothes fit into your closet? If not, perhaps you should donate a few of them to someone or charity(Yes, Sis. Kathy James that means you!). If you have two closets that is fine, however every items should have a space. Remember you should not have an excessive amount of anything in your life. Balance is the key to happiness in all areas of your life.

So let’s get started! This is a great weekend to become clutter free. No excuses, you can do it.

FYI-This is not the week #3 Challenge. J

Week #2 Challenge

This week is the week to "Get Your Head Out of the Clouds". This is a 2 part challenge. It is important to know just how much debt you have. This is the start of changing your financial life. So let's get started.......

This week I would like for you to first, check your credit report/profile. This is a simple task, but very important. Your credit score affects the interest rates you receive on credit cards and other items. It is now used to determine health insurance premiums, rental rates and employment. You should always check your credit report at least once a year. Check for errors and all negative impacts on your credit report. If you see something incorrect on your credit report, don't be afraid of filing a dispute form.

You may check your credit report once a year, from each credit reporting agency and when you are denied credit free of charge. Along with your credit profile, it will give you suggestions on how to improve your credit profile.

You may want to check your credit FICO score once a year as well. This is not free, but will normally cost you $10.00 to $20.00 dollars. However, now if you are denied credit you may receive your credit score for free.

So go to www.annualcreditreport.com and sign up to receive your credit profile. If you are asked for a credit card you are at the wrong site.

Secondly, I need you to write down ALL of your debt. I mean everything. List all of your credit card debt, amount you owe family members, student loans, etc.......... After you do this, hold on to it for next week's challenge.

Okay, let's get busy!

Challenge #1

Go to Sleep!

We are ready for Challenge #1! It does seem like a simple challenge, but for some this will be difficult, including myself.

Growing up and even today my mother is a total “night owl” and I believe it stems from her working the evening shift for many years. However, the habit of not going to sleep until after midnight or later each night passed on to my generation and I unfortunately have passed this habit on to my son. For night owls, we seem to obtain a “second wind” at about 10:30pm. I can get up, clean and eat a second meal with no issues at this time of night.

So, your week #1 challenge is to sleep! Yes, sleep. During this first week (and hopefully for the duration of the fast) you need to get between 7 and 8 hours a sleep each night.

A new study suggests that beyond leading to poor decision making, sleep deprivation actually makes us more optimistic in our judgments, particularly those about money. Researchers at Duke University studied healthy volunteers as they underwent functional magnetic resonance imaging (fMRI) and found that the less we sleep, the more likely we are to focus on potential gains and ignore potential risks.

Sleep deprivation actually changes the way that our brains process information. Lack of sleep makes us:

• More sensitive to positive outcomes-Not “keeping it real”


• More likely to pay attention to the upside and not the consequences of using the credit cards.

Therefore, we make financial decisions and don’t look at the risk and reality about our finances. In other words, we live in the “fog” and continue to go into depth monthly.

So this week, set a bed time and stick to it. Turn the TV off and just go to bed. You will wake up refreshed with a clear mind and ready to make good financial decisions.

No more excuses………….

Sometimes we can come up with the craziest excuses not to change. But I have found that people want to change, but sometimes we just don’t have the “energy” to change. I have heard “I want to do the financial fast, but I just don’t know why I can’t do it!” Methodology teaches us that the energy
For change comes from both the heart and the head. Therefore if you have a lot on your mind and feel overwhelmed, adding another “project” to your life seems impossible and draining. When life has you drained, just getting out of bed sometimes takes up 99% of your daily energy allowance.
But if you could look beyond your “now” and see yourself in the future. See yourself as a more balanced and more energetic you. Begin to imagine yourself in control over your finances and able to be a blessing to others around you. Anything worth having is worth the fight.
This is a daily fight. We have to learn to do the right thing one day at a time. You don’t need enough “energy” for the full financial fast; you just need enough energy to make it through today, or even through challenge number #1.
Pray for the strength you need to make change in your life. Whether it’s the financial fast or other areas of your life. You can do this, but it will take work.
2 Corinthians 12:9 states “But he said to me, "My grace is sufficient for you, for my power is made perfect in weakness." Therefore I will boast all the more gladly about my weaknesses, so that Christ's power may rest on me.” So in the weakest times of your life, you can draw from the strength of Christ.
You can do this!!

Ready, Set, Go..........2012 Challenge

Happy New Year! Can you believe that we are in 2012! Now that Christmas is over and the New Year is here, and hopefully your credit cards have cooled off and your checking account can now rise above a negative balance!

Again this year our economy is not in a good state and we must gain control of our spending. The “keeping up with the Jones” mentality must die. If you want to see drastic changes in your finances, you will have to make some drastic decisions.

God has called us to be a blessing to others. We are not able to do this if our checking accounts are always in the negative. We are responsible to be good stewards over the finances (no matter how big or small) that God has given to us.

Our 2012 financial challenge for January and February is to stop ALL of the UNNECESSORY spending! And I mean ALL!

So ladies here are the rules: Beginning January 9th-February 29th

***** If you are married, please consult with your hubby/wifey prior to beginning this fast*****

Set a personal goal for the financial fast. Pray about your goal during the challenge. For example, Kathy James of Sacramento is going to save an additional $300.00 a month. You may begin with small steps, but set your goal.

You may not use ANY credit cards for the month of January and February. WOW!

You can only spend $35.00 on entertainment for the entire month. You can do alot for this small amount. Go to Red box and don’t forget those coupons (buy one get one free). Or, have a family game night, be creative.

No unnecessary purchases such as clothes, shoes (even clearance items), new makeup, extra items at the nail salon (no designs).

Create a spending journal (or sort of categorized spending chart) and keep track of your spending by writing down everything that you spend in a day, no matter how small. At the end of the day add your total and find ways to save.

Balance your checkbook at least once a week. Know how much money is available to you in your checking and savings account.

You may only eat out twice during the entire month for dinner. Spending limit of $25.00-per person/$50.00 for family.

You may only spend $5.00 a week to eat lunch. This includes eating in the cafeteria (payroll deductions)

This year we are on Face book. (2012 Financial Fast) join us there also to post your progress and victories!

Okay are you still in?