“Each of us will one day be judged by our standard of life, not by our standard of living; by our measure of giving, not by our measure of wealth; by our simple goodness, not by our seeming greatness.”  ~William Arthur Ward

EIGHT GREAT FINANCIAL MOVES in 2009
The global economy is no surprise to the Almighty God who created the universe!  Our Lord, Jesus Christ, is still on the throne and God is in control.  However, if you listen to the radio or read a newspaper, you’d think the sky has fallen and we’re trapped under debris.

For the Christian, we can take great encouragement in knowing that the current economic picture is only a snapshot of what is really happening in our world today.  This world is not our home.  We have a glorious heaven with Jesus awaiting.  Turn to this hope for peace and to the Bible for advice in your stewardship endeavors.

This said, let me offer what I consider to be ten great moves for 2009.

1-Tithe.  Yes, even if you are having problems making ends meet, give to the Lord FIRST.  You cannot outgive God.

2-Offerings.  If you have a surplus in your finances, give a thanksgiving offering.  Why?  Because we have so many riches in Christ.  For every day of life and for every provision, we are told to be thankful.

3-Work Unto the Lord.  Don’t use the economy or any other excuse as an excuse.  If you work hard now, you are making a good witness for the Lord.  You never know how God can bless your faithfulness.

4-Pay Your Creditors.  If you have debt, devise a plan now to repay what you owe in a timely fashion.  The faster you repay your debt, the more freedom you have to give and to save (in that order).

5-Build an Emergency Fund.  Typically, financial advisors recommend a fund equal to six months of your income.  I’m not sure this is always possible because at my house, it seems like there is always some type of home or car repair dipping into this amount.  However, I recommend you strive to have a minimum of three months and as much as six months of income saved in a fund that is accessible.  In other words, not in your IRA where there is a penalty for early withdrawal.  This fund can be mutual funds, stocks, money market funds or your choice for liquidity.  I do caution against placing your emergency funds in investments with high risk because when you need this fund, you need the money to “be there.”

6-Retirement Savings.  Regardless of your age, ensure that you are paying yourself second after the Lord.  You need to invest at least the amount your company matches.  I recommend you save 10-15% of your gross income for retirement in your company retirement plan (ex: 401(k)) and/or an IRA account. 

7-Shop Around.  If you are making a purchase, ensure you’ve compared prices.  Many retailers are offering deep discounts on any and everything.  This is a great time to negotiate and even ask store managers for better deals!

8-Insurance.  Like every commodity, insurers are hurting for new business.  Thus, this economy is a good time to review your life, home, disability, and health coverage.  You can always ask for better rates and by comparison shopping, you might improve your coverage for less money.

MYSTERY SHOPPING
Mystery shopping is generally a way to enjoy a meal or some type of service for free.  For example, you sign up with a mystery shopping company and agree to evaluate the meal, waitress’ service, and restaurant facility in exchange for having your meal expense reimbursed.  Some mystery shops pay a nominal amount ($10) to shop at a store, but I have not found a way to earn a fee that offsets the value of my shopping time.  Therefore, as I write this article, I personally advocate the route of dining free.  This seems to be the best value for your time spent.

For several years, I was a registered shopper at www.bestmark.com.  My family enjoyed many meals at restaurants and we typically had close to the full cost reimbursed.  We got to be pro’s at ordering items that didn’t exceed our reimbursement amount so that we could essentially dine free! 

While this sounds like a deal, and it is….there are a few points to consider.  First, you select the restaurant from a small population of options.  Second, you are assigned either 1-2 dates you must dine.  Often you are instructed about the entrees to order; thus, your food selection may be made for you.  This could be a problem for people with restricted diets who try to mystery shop.  Lastly, after you shop, you spend 30 minutes - 1 hour preparing an on-line report of your experience.  Thus, you have to know what to observe during your meal in order to prepare the report correctly.  If you prepare a report incorrectly, you are not typically reimbursed for your meal.

This said, if you have time and ambition, mystery shopping can help your family budget.  The key is knowing that you are giving a sum total of 2-4 hours of your time (travel, dining, and reporting) in exchange for a free meal.  As long as you enjoy the experience and can manage the schedule with your mystery shopping company, this is a good option for this economy!

Recently, Nancy Twigg, who has a marvelous website and free e-zine, featured mystery shopping in her monthly e-zine.  She is a dear sister in Christ and an outstanding resource for those trying to live frugally.  I can also attest she is a great speaker for women’s activities.  She spoke at my church about 4 years ago and gave our ladies tea group some thought-provoking ideas about holidays, frugal living, etc.

Here is some info from her “Counting the Cost” e-zine.
1-www.volition.com/mystery.html–They list more companies than you would ever enroll for and are a good place to start. You can sign up for about 25 companies to receive e-mail offers.  There is also an option to pay money and achieve a mystery shopping certificate (approx $25). Having that certificate number definitely increased how many higher-paying jobs you are offered/accepted for.

2-www.narms.com–The National Association for Retail Marketing Services website (www.narms.com). able to get a job through one of their vendors. These retailers have vendors who look for employees through this website. These vendor representatives go into retail stores and do a lot of their stocking, cleaning, ordering, etc. for specific companies. I worked 5 different stores here in my city and made on average $25 per visit. Each visit usually lasted about 1-2 hours and I only worked one day a week!

3-Market Force (www.marketforce.com). This site may not be very lucrative, but does give you a few extra dollars. The other company is Certified Field Associates (www.certifiedfieldassociates.com). This is a part of MarketForce.  You don’t make money, but you do get to do some things like dine out for free.

IDENTITY THEFT

With a tough economy often comes increased crime.  Readers should be on the watch for opportunities for thieves to steal your good credit and identity.  Be sure to request annual credit reports.  If you suspect unauthorized activity, call credit bureaus and report that you would like to be contacted prior to releasing any credit information about yourself.

Here is some general info from the Identity Theft Resource Center® (ITRC).  ITRC conducts studies to monitor identity theft activity.  Her are a few points to consider.  The full report and all tables can be found on the ITRC website:  www.idtheftcenter.org.

There is now occurrences of Medical Identity Theft.  One-third of the respondents said there is now another person’s information on their medical records and 11% were denied health or life insurance due to unexplained reasons.  So, if you encounter issue with medical claims, you might want to scrutinize your financial credit as well to ascertain if you might be a victim of multiple types of identity theft.

For the past six years, opening new lines of credit has remained the most frequently occurring financial crime with 67% of the victims were in this category for 2008.  Charges on stolen credit cards and debit cards also ranked high.  Check fraud increased 5% in 2008 to 17% in 2008.  Criminals also used personal information to gain mortgages and 2nd mortgages (33%), car loans (22%), personal loans (32%) and business loans (8%).

Identity theft costs the victims time and money.  It also is costly to business and government.  These costs are passed along to all consumers and adds to the overall frenzy of our global economy. In 2008, victims reported spending an average of 58-165 hours repairing damage done, depending upon whether the account was existing or new. 

Many victims reported additional effects such as their inability to get a police report, credit accounts being reposted on credit reports, fraud alerts are being ignored, and the inability to prove innocence even with a police report, denied credit and credit cards, inability to get a job, and increases in insurance and credit card rates.

Last but not least, there is an emotional impact.  The frustration in clearing issues as well as the long-term impact complicate victims’ lives. 

WHAT IF I LOSE MY JOB?????
If you have read my website, you know I’m a huge fan of Mary Hunt.  Below are some tips from Mary about what to do if you suddenly lose your job.  Even if you feel secure in your job, you need to take a minute to prepare for the “what if.” 

No, I’m not trying to be a pessimist.  I am trying to help you consider what plan of action you might need if you suddenly face an unforeseen financial challenge.  The time to prepare for calamity is when you’re not in the midst of it.  Thus, use your extra opportunities in 2009 to build an emergency savings fund to cover those “what if” moments.

Don’t panic. You will get through this. Network with family and friends and do so quickly.  Your attitude will make or break you.  Turn to God and ask Him to deliver you by showing you the steps to take.

Get your family to add responsibilities.  Children over age 16 can seek employment to help with their expenses and contribute to the family.  Encourage one another and stay optimistic. 

Stop spending. If it is not necessary for the preservation of life, don’t spend on it.

Activate unemployment benefits. After all, this is why we have unemployment benefits in the USA!

If you walk away with severance or any other payment, keep this money.  Since you do not know how long you’ll be unemployed, keep this money for your more rainy days.  If you gain employment quickly, then you can consider using these funds to pay off debt.  But do not go shopping or take a vacation with it.

Short-term, pay minimum balances on any debt. This will help preserve your savings and maintain cash flow.  For anything you can live without…live without it.  Make a game of finding expenses you can eliminate.  No more newspapers or visits to the salon!

As you identify debts, be sure you pay your mortgage first.  You don’t want to lose the roof over your head!  Next, address food, medical and utilities.  Contact your creditors and seek ways to work with these organizations.  They want to keep your business and they want you to pay.  Thus, if you have to make partial payments, explain what is happening and you are more likely to find payment plans.

Secure employment as quickly as possible.  Searching for a new job should be your job!  Spend 8-10 hours a day sending out resumes, calling friends, visiting job fairs, and contacting collegiate employment offices.  Reach out to neighbors and do some leg work as you visit local office buildings to identify nearby companies.  No job is beneath you!  If your spouse was previously staying home, see if they can work at least a part-time retail job to bring in food money.  Every penny counts!
COUPONS
Here are a few ideas to help you get even more from your coupons. 

1-Ask stores if they accept competitors’ coupons.

2-Go online to favorite retailers and restaurants to see if they will email you coupons.  For example, craft stores and bookstores will send you weekly coupons.  I enjoy getting coupons from Baja Fresh!

3-If you are limited to one coupon per customer, bring a spouse or child to use a second coupon.  The more the merrier!

4-Ask stores if they have loyalty programs.  If so, join.  The points can add up fast resulting in a discount or coupon in the future.
FRUGAL IDEAS
1-This idea came from Maria Gracia’s site, www.getorganizednow.com’s free ezine (April).  This idea was from one of her readers (Ann M in PA)!  Create non-expanding file pockets from old cereal boxes. This is a frugal way to recycle and meet a need especially at tax time!  Cut out one narrow side of the box, tape the top closed, and turn the box on its side.  Insert into a file drawer. Now you’re ready to file large volumes of papers, like tax documents.

2-Take your discount cards, like AAA, with you in your wallet as you travel and run errands.  It is always good to ask if a retailer or a site offers any type of discount.

3-When bidding on hotels at www.priceline.com, wait until 2-3 days before you actually need the hotel.  Yes, this is a risk you have to accept.  We have found that we can bid lower prices as the day approaches because hotels realize their rooms will be vacant. Thus, they accept lower bids.  You can often get 2-star hotels for $35-$40 plus taxes.  While this is not “free,” these rates are substantially lower than the typical $80-$100/night rates.

4-Do not purchase expensive cleaning products.  use baking soda, vinegar and dryer sheets to reduce household expenses and clean your home.  I’m convinced baking soda cleans nearly everything!
 

EXCURSIONS
Spring and Summer are the peak times to travel with family and friends.  As you take your trips, be sure to carry along reading materials, hobbies, etc.  As you relax after a day of sight-seeing or whatever, you can utilize your time to do something creative, like needlework, etc.  This summer, as my family travels, I plan to take some beads for my daughter and I to create bracelets in our hotel room. 

Another tip I’ve learned from the last few years is to carry workbooks for my children.  When they’re riding in the car or looking for a 5-minute activity, I get them to do workbook pages.  By Summer’s end, they’ve completed a workbook to help them review the prior year’s learning.

This year, during my family vacation, I plan to bring along a few portable crafts.  This will make hotel time more enjoyable with less television time.  Also, there is a sense of accomplishment with making an item!  Hopefully, I can get a little of my scrapbooking done, too.  I’m not sure how this will work out, but I rarely have time during the school year.  I figure it’s worth trying at least once to bring along some photos and supplies to see what happens.  I’m also engaging my children to help with the scrapbooking.  This may save me a few hours and let them express creativity.
If you have a frugal idea, I’d love to hear from you.  Please use the link at this website to share your thoughts.

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If your community or church group is seeking a speaker, please email using the form in this website.  I would love to share some encouragement and the love of Christ with your group!  As many of you are familiar with my ministries, I speak not only on financial topics, but also on spiritual topics and about our family’s adoption experience.

And I also provide limited one-on-one financial planning and counseling by appointment.  Contact me if you are interested in discussing your counseling needs.

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Joy!  Michele