I did a big, scary thing today....at least for me. I changed my mortgage to a bi-monthly payment automatically deducted from my bank. Auto payments make me uneasy just because I feel like I'm not in control of it. But, the benefits of doing this FAR out-weigh that. First off it will force me to pay even more attention to my spending, always a good thing. With splitting the monthly mortgage into two payments I'm actually able to pay more each month on it which means the loan will get paid off earlier. The projection with what I'm paying now is it will cut 7 years off the mortgage. Nice....but not good enough for me. My goal is to pay off my house in 15 years so I will be working for the next year to get into a position of being able to up my payments even more. The third benefit is in 10 years I will have gained an additional $26K in equity that I wouldn't have had. All in all, a smart financial move that I've known every since I bought the house I needed to do....just had to get serious about it.

I still want to start a home business too. Something else I really need to get serious about and start doing some planning for.

I got derailed from blogging over the last few months. And I think I've figured out why this happens to me. I'm someone who needs there to be a point to doing something. I love blogging....as long as I feel someone, anyone, is reading. No comments ever equals no one reading in my mind. So if no one is reading then why blog, right? I know that's not necessarily the reality of it but its how my mind works. So if you read my blog comment on occasion! And I promise I'll be more regular about blogging.

I've gotten re-focused on the financial stuff so will be blogging more on what I've done and what I'm doing now. I'm also looking to learn to be a more frugal shopper. Coupon cutting has always been a fruitless exercise for me but I think its more a function of I just haven't found a method that works for me. Plus, for a lot of things I buy store brand/generic so coupons don't tend to work. But I want to learn to plan grocery lists based on what's on sale and figure out which grocery store truly gives me the most bang for my buck.

I'm checking out www.mint.com to see if its something I'll use. Not sure yet. The one huge negative I've found with it is you can't add a debt to it that you don't have an online log in for. So if you have a short credit-line debt or personal loan with someone there's no way to add it to the loan category. That sucks when trying to use the site as part of your debt pay-off tracking. It looks like the budgeting function though has a lot of nice features so I'm going to finish setting up my budget in it and try using it for a couple months to see how it goes. Any and all suggestions and advice welcome!!

I'm going to take a sidestep here in my financial postings to talk about something I feel very strongly about. That would be the used of credit. Let me put it right out on the table. In general, I don't believe in the use of credit. If you can't afford to pay cash for an item then you can't afford the item. (I am not talking houses and cars) Or you spend your cash on unnecessary things so when that emergency comes up you suddenly have to use the credit card because your cash is gone.

If you look to the past it seems to me people's financial stability has gone down over the generations as their reliance on credit has gone up. This can't be a coincidence. When we start buying on credit we start down the path of spending more than we have. And lets be completely clear about one thing. Credit card companies are not your friend. They are not going to look out for your best interests. In fact, most of them are designed to get you sucked in to them for life. If you didn't already know this, that minimum amount due? That nice low number that seems so simple to pay...how nice of them!.....yeah, not so much. Those minimum amounts are designed so that you'll essentially never get your card paid off and they end up making tons of money off of you in the interest you pay.
Credit card companies are notorious for their draconian policies. Read all that fine print some time. That lovely 5% interest card? See what happens if you are one day late on one payment. Suddenly you're paying 29% interest.

Buying things on credit because you can't afford to pay cash is a childish behaviour. Children demand instant gratification. Adults set goals and plan for the things they desire. Its called financial responsibility people. Its a value that has been lost over the last couple generations.

Every person, company, entity you owe money to owns you. Personally I don't want to give up that kind of control of my life. I'm told they get very nasty too if you don't tow their line. Fortunately I've never had to deal with a creditor or debt collector but I know others who have and it ain't pretty. But I'll be writing another post down the road on how to handle those kind of calls.

For now though, think about your use of credit cards. Is what you're doing responsible? And no, you don't need a credit card to reserve a hotel room, rent a car or buy airplane tickets. A debit card will do just fine.

My next financial post will be about the nitty-gritty of how to go about paying off debt.

It shouldn't be so hard to find a blog template I like. It really shouldn't. Guess I'm going to have to learn how to make them myself to get what I want. Grrrrrrr.

First let me say if you don't like my opinion that's ok. Odds are that means I don't like yours either! And that's ok too. This is something that seriously pisses me off though.

When did illegal become ok? Seriously.

I am so freaking sick of this whole illegal alien drama. I don't see what is so complicated about this whole thing. Last I checked the definition of illegal hadn't changed. Illegal means unlawful, illicit.....you are breaking the law. You are a criminal. And since you aren't a citizen of this county you really aren't entitled to all the rights afforded us by our constitution. And I really don't know who the hell you think you are to feel you deserve anything via my tax dollars.

Don't get all outraged when we say we're going to arrest you, its just what we do to criminals. And threatening to leave if we pass laws you don't like??? DUDE!! Let me help you pack!!! If you want to come back legally, be self-sufficient and obey our laws I will welcome you with open arms.

Heck if being illegal is ok then why do we have ANYONE in jail???

I'm talking about budgets.  People hate budgets.  They hate making budgets, they hate trying to live on budgets.  But that really is because people don't understand budgets.  They don't understand the real importance of one and they definitely don't understand how to create a budget you can actually live on.  I know I sure didn't before someone taught me.

First off budgets serve one very important purpose....knowing where your money is going.  Now I know a lot of people who say, "but I know where my money goes".  Really?  Do you?  Do you truly know where ALL your money is going or do you just have a vague idea of where it goes beyond the basic bills?  This is really important.  If you only know where some of your money is going then you only have control of some of your money.

To start your budget you must first list EVERYTHING you need to spend money on each month.  Mortgage/rent, electric, water, TV, internet, phone, gas and groceries are pretty standard things but there are other things that you may need to include.  Do you have meds you take on a regular basis?  Or regular doc appointments?  Maybe manicures?  These things need to be listed in your budget.  What about car repairs and clothing?  You may not spend money on these every month but you should be saving up for these expenses because you know they're going to come.  Here's what my categories are.  They're split into two sections because the top ones are the things I use cash for and the bottom ones are the ones I pay via online.  The "Blow" category is my spending money.  I can "blow" it on whatever I want.  And there is no such category as "misc".  That's a meaningless category that basically says you don't know where that money is going.


Gas
Car Repairs
House Repairs
Groceries
Meds
Blow
Doctors
Clothes


Savings
Mortgage
Insurance
Security
Electricity
Water
Phone
TV/Internet

One you know where you need to assign money to each month now you need to decide how much goes to each item.  You always take care of your "four walls" first, meaning you pay for your basic necessities: housing, food, transportation and utilities.  So fund those budget items first.  Once those are funded move on to other bills such as credit cards and loans.  For a start fund these for the minimum payment due.  Its easy enough to adjust those later if you have the money and I'll do a post soon on how to pay these things off.  Next is things like car/home repairs and medical stuff.  Finally, what you have left over you divvy out among what other things you have left.  Make sure to give yourself some blow money.  No one can stick to a budget that doesn't allow for them to have any spending money.  It may not be a lot, depending on your financial situation, but even a little is better than none.  When I was working to pay off my debt I only had $20 a month for spending and I thoroughly enjoyed spending that $20!!  

The critical part to a budget is making sure EVERY penny is accounted for somewhere.  This is known as Zero-based Budgeting.  The money out should equal the amount in each month.  It is the only way to really know where your money is going and money that goes where you tell it to is now working for you.  

Love to talk about budgeting so feel free to leave any comments or questions.

This is known as "Murphy-proofing" yourself.  Face it, something is only an emergency if you aren't prepared for it.  Murphy's Law can't happen to you financially if you already have funds in place to take care of those pesky things that pop up.  Please note, this money should be in a separate account from the one you do your day to day banking from.  You want something that you can get to in an emergency but isn't sitting right there with the rest of your money.  The temptation is too great to dip in to it then.  I highly recommend an ING savings account.

I know $1000 doesn't really seem like a lot but its more than most Americans have in savings.  And really, if you think about it, $1000 will cover most unexpected expenses....washer breaks, A/C needs fixed, new brakes for the car.....you get the picture.  The key here though is being clear about what an emergency is.  New shoes are not an emergency.  A weekend away is not an emergency.  Replacing something simply because you want the newest, shiniest model is not an emergency.  Trust me, this is a hard one for me too.  Especially when it comes to bright and shiny techno geek stuff.

A lot of people want to skip this step and go straight to the paying-off-debt phase.  Don't.  Trust me on this.  You can't imagine the peace of mind that $1000 will give you, especially if you do need it.

So I know someone is probably saying "But I don't have enough spare cash to save up $1000.  It would take me forever"!  Been there, know that feeling oh so well.  Most people can find some extra money in their budget (which will be the topic of my next financial post).  However, there are other ways to find money as well.  Look around your home.  I bet you can come up with any number of items that aren't really serving any purpose in your life.  Sell them!!  Use this as an opportunity to de-clutter and simplify your life.  About half of my original emergency fund was funded from selling things I really no longer needed and wasn't using.  For me that included a really nice 35mm camera with lenses and filters, and a motorcycle helmet.

(BTW, just as an FYI, don't ask me to come over and help you de-clutter unless you really mean it....because I will, and will take great joy in seeing things go away.  I am a minimalist at heart and purge my home at least once a year following the rule that if I haven't used it in the last year I obviously don't need it.)

Honestly, once I took a hard look at my finances and readjusted my budget then sold a few things I had my emergency fund in place in a month.  So if you don't have that $1000 set aside yet, start working on getting that taken care of.  You won't regret it.

This weekend has been largely dedicated to yard work.  Not something I particularly enjoy, at least not the mundane stuff like mowing grass, raking leaves and such.  However, I do like cutting things down!  I think its that whole instant gratification thing.  So this weekend was spent reclaiming some more of the yard.  And I use the term 'yard' loosely.  I don't think large patches of weeds around bare patches really qualifies as a yard.

The corner that I keep my garbage cans in had been overtaken by some vine encased small trees.  It seriously was a mini jungle.  I got it all cleared out which makes me very happy.  Got most of the huge piles of oak tree leaves bagged up....just in time as I'm sure the oak tree "worms" will be falling soon.

My lawn guy came over and cut down all the bushes in the front and along the side of my house....except for a small azalea bush.  Now its really obvious the outside of the house needs to be cleaned.

Next up will be spraying the yard for grubs.

I'll be doing another financial post later today probably.

I'm following 7 steps to achieve financial freedom.  This works very well for me because I'm a planner but I had no idea what I SHOULD be doing to fix my finances.  What was the fastest/best way to pay off the debt?  What about savings?  What about retirement?  How do I make sure I'll be ready to quit working when I want to?  The 7 baby steps outlined what to do in what order and how to do it.  So I think starting out with a brief description of the 7 steps is a good place to start.  I'll go into detail for each step in separate posts.

Step #1 - Save $1000 into an Emergency Fund. 
Step #2 - Pay off debt using a debt snowball. 
Step #3 - Three to six months of living expenses in savings.
Step #4 - Invest 15% of household income into Roth IRA's and pre-tax retirement.
Step #5 - Save for college for children (If this is a goal for you.)
Step #6 - Pay off house (If you have one)
Step #7 - Build your wealth!


So there you have it, my secret financial formula. Ok, so maybe its not really so secret.  Ask any questions you might have.  I truly love talking about this stuff.  And for those who like to keep tabs, I am currently on Step #3.  Because of what my future plans are I'm aiming for the 6 months of living expenses.  That's part of what I need to do now....redo my budget so I can see when I will have that in place.  Please feel free to ask me about my progress if you're interested.  It will help hold me accountable to doing what I need to do.

Its been suggested I start blogging a bit about something I'm super passionate about.....cash basis/debt free living.  I thought that was a good idea so here I am.  I want to start with just a little history about my financial journey.

In 2003 I found myself pretty much flat broke.  I had lost all my financial resources, including having to cash in my retirement fund simply to have money to live on.  The whys of how this happened aren't really all that important.  On top of that I had moved to DC and started a new job at $5K less a year than I had been making back in Cincinnati.  It was definitely paycheck to paycheck for awhile.  I was living the way most Americans live, on credit.  I had the same collection of plastic my friends had so I must be successful......right??  By the end of 2005 I was in about $24,000 of debt. I had the $9000 in college loans. The credit card was now close to $4000. I owed someone $800 in a personal loan. And I had an $11,000 car loan. I was making more money by now, yes.  But the debt was eating up any extra money and I couldn't see a way out of the hole or even a way to keep the hole from getting deeper as I had no way to pay for anything else that might come up.  I knew something had to change.

Christmas 2005 a friend gave me probably the greatest gift I've ever received.  They paid for me to attend Dave Ramsey's Financial Peace University**.  I started the journey in the end of January 2006 and using the things I learned I became 100% debt free in April 2008.  Don't get me wrong, it wasn't easy.  I had to make a choice, what was more important to me....continuing to buy "stuff", eat out, go places or learn how to handle my money and get out of debt.  The way I looked at it I was going to have to pay the piper at some point...now or later, and I chose to do it now and have financial freedom later.

Today I am debt free with the exception of a mortgage.  Yup, I was able to buy a house last year because of the choices I made before.  I still struggle at times with sticking to a budget and living on a cash basis but I keep working and trying.  I have a definite plan for where I want to be in life in the next 3 or so years so now I am starting to work on what I need to do financially to get there. 

I'm going to start writing about what I've learned and how I got out of debt as well as share my financial work on my future plans.  So stay tuned.

**For those interested, the course I took is Dave Ramsey's Financial Peace University. Yes, it is a Christian based program however, while Ramsey does reference Biblical principles he is very good about not cramming them down your throat or moralizing about money choices. His main focus is teaching people how to handle their money regardless of their beliefs. If you want more information about the program, feel free to ask me.

I have great intentions of updating, honestly I do.  But you know how life goes.  You get super busy and other, more important things eat up your time.  Or it could be you just forget and end up playing WoW instead.  Not saying that's the case with me.....but it is a potential scenario.

So what has happened since I last updated?  Well, the month of February was pretty much consumed with back-to-back blizzards.  I was, very literally, snowed in for 2 weeks.  Sure, I could drive my car to the end of my driveway but then that 3+ foot of snow that used to be my street kept stopping me.  You might think that because I live at the airport's long term parking my street would be at the top of the list to get plowed.  Not so much though.  Seems neither the airport....or the city....considers my road all that important at all.  I think the only thing that gets plowed after my street is....well, nothing.  I'm pretty sure I live on the last road in the county to see snow plows.  The house and I survived the storms mostly intact.  There was a small leak in my bow window where the gutter froze and backed up.  My carport roof now has two leaks in it that I need to get fixed.  Oh, and the flat roof section on the Shed O'Doom collapsed.  I am pretty irritated by that.  I wanted the WHOLE shed to collapse....save the effort of tearing it down.  Honestly, that pretty much sums up the high points of February.

Not a whole lot has been going on this last month.  I'm starting to work on my yard which has been declared a national disaster area I think.  Between the storms, a grub infestation and a burrowing-critters-going-after-the-grubs infestation, my lawn is pretty well destroyed.  So this year I'm focusing on killing the grubs which should theoretically cause the burrowing critters to move elsewhere and tearing out all the ugly bushes around the house.  I got all the holly trees that were clumped at the corner of my house cut down so the dogwood that was hidden in the midst of them can now breath free.  I also need to seriously pressure wash the house.

Other than that, its been insanely busy at work.  And I mean more insane than normal.  Who keeps bringing all this hazmat into my buildings???

Oh, I'm going to attempt canning in a couple weeks.  Gonna do tomato sauce.  So we'll see how that goes.  I'll keep you posted.  No, seriously.....I will.

A very good friend of mine is once again taking part in the Avon Walk for Breast Cancer.  I want to help because this is a disease that has touched people I love, including my mother.  My friend, Ralph, has earned thousands of dollars over the last six years he's participated in the Walk and I'd love to help him earn thousands more.  I've re-posted below, with permission, his letter explaining why finding a cure in our lifetime is important to him.  Please take a couple minutes to read it and help out as you can.  If you don't know anyone else doing the Walk please consider donating to Ralph.  I know times are tight for a lot of people so if you can't afford to donate please help boost the signal even more by sharing Ralph's message with those you know.  Thank you.

Dear Becky,
Happy New Year!

Yes, I'm a few weeks behind the times, but it's been a busy time. Winter has set in and it shows no immediate signs of letting go. I hope that everyone receiving this email is healthy and warm in this new decade. As we in the DC area stare at the snow that is still on the ground from Snowpocalypse, we dreamily turn our minds to plans of enjoying the time we hope to spend with family and friends with picnics, beach trips, and other outings after Old Man Winter finally lets go.

Personally and unfortunately, this time of year is also about remembering those who can no longer join my road-trips and adventures. I'll be taking more than a moment or two this warming season to rejoice in the memory of dear friends who lost their fights against breast cancer. Anyone who's known me for any length of time knows that I hold a particular loathing for this particular disease... this disease which has robbed me of several friends throughout the years and which will very likely claim another before the end of 2010. Every year in the USA, someone else is diagnosed with breast cancer EVERY THREE MINUTES. That's too much. I consider myself fortunate to have not lost anyone to breast cancer during 2009. However, I know that this fortune hasn't shone on everyone.

I have a fantasy. I've talked about it before, and I'll talk about it over and over until it becomes a reality. I want to, within my lifetime (not my childrens' lifetimes, but my very own), be able to raise a glass not only to the memory of lost friends, but also to the memory of the wonderful day when breast cancer joined the ranks of polio and smallpox and measles. I'd want to take that horrible list of diseases that were once considered to be death sentences with no possibility for parole -- but that now have simple vaccines and/or cures -- and add to it by at least one. I want to have my grandchildren (still many years in the future!) ask me "but why didn't they just get the shot for it?" and never have to attend a funeral for their loved ones who died from this awful disease. I want to look back on the day when a cure was announced and raise the toast "never more" and know it to be true.

In order to make these dreams a reality, more research needs to be done. In order to get more research, scientists need more funding. They need millions upon millions of dollars to find a cure. And that's where you come in, dear friends. That's where you can help. While it would be very cool to win the lottery and toss in a few million myself, that's unlikely to happen. It's also unlikely for me to record a hit song for me to donate the proceeds. I can't do it alone, and neither can you.

I will do what I have done for the past six years. I will continue to participate in the Avon Walk for Breast Cancer. I will spend my evenings and weekends getting myself prepared for this event. I will also ask you for your support.

I know that times are tight. I know that some of you are in more dire situations than I went through last fall with the loss of my job. I know that money is short. But I ask anyhow. I ask because, though times are tight for many, they are not tight for all. I ask that each of you look into yourself and figure out if you can stand to lose another loved one. If you can't, then look into your wallet and see if you can help. Please try to help. Don't help for me or for my dead friends, help for all of your loved ones who are healthy today and who you want to keep that way. Help them stay that way. Don't let another year go by and wonder what could have been done... at the end of this first year of a new decade, know in your heart that you did what you could.

Donation link: http://awbc.lhhf.org/
Historical link: http://avonlj.lhhf.org/
(Note: both links are redirects to other sites whose URLs are a lot more convoluted than I want to include in an email.)

Thank you.

--
Ralph/Sas

I ventured into the world of cooking with quinoa tonight. Made a quinoa version of spanish rice. I must say it came out absolutely delicious! So here's the recipe.

* 2 c quinoa, rinsed and drained
* 1 - 2 Tbsp cooking oil
* 2 garlic cloves, peeled and minced
* 1 medium sized onion, chopped
* 1/2 - 1 tsp chili powder or paprika
* 1/2 - 1 tsp tsp ground cumin
* 1/4 - 1/2 cup sliced olives (I used green olives)
* pinch cayenne
* 1 - 8 oz. can of tomato sauce
* 1 3/4 cups some flavour of broth (I used chicken this time)
* Pepper and salt to taste

Directions:

1. Sauté the onion in the oil over medium heat until onion starts to become translucent
2. Add the garlic to the onion and sauté a few more minutes until the onion is translucent and garlic is turning golden
3. Add spices
4. Add quinoa and stir constantly for 3 - 4 minutes
5. Add tomato sauce and broth stirring occasionally until mixture begins to boil
6. Add salt if needed - broth and tomato sauce may already be salted
7. Cover and reduce heat to simmer for 20 minutes
8. Turn heat off and let sit for 5 - 10 minutes
9. Fluff with a fork and serve garnished with cilantro

I tried a new dish tonight. It has an interesting mix of ingredients but they really all worked together. A very tasty dish and definitely one I'll make again.


German Beef and Barley Bake

1 pound extra lean ground beef
1/2 cup chopped onion
1 large clove garlic, finely chopped
1 cup pearl barley
4 slices bacon, diced
3 cups tomato juice
1/2 teaspoon salt
1/8 teaspoon ground black pepper
3 to 4 cups sliced green cabbage
2 teaspoons caraway seeds
1 cup shredded Cheddar cheese

In large saucepan over medium heat, sauté ground beef, onions and garlic until beef is browned. Pour off drippings. Add barley and bacon; sauté 2 to 3 minutes. Stir in tomato juice, salt and pepper. Bring to boil. Reduce heat, cover and simmer 30 minutes. Stir in cabbage and caraway seeds. Spoon mixture into 2-quart casserole. Bake in 350° F oven 30 minutes. Sprinkle with cheese and bake 5 minutes longer or until cheese melts. Makes 6 servings.

So far I've made five soups.  I think I'm going to start putting together a cookbook of the recipes I like, with the modifications I've made to the recipes of course.  I'm not sure if I'm going to post the actual recipes here or just email them to anyone who wants one.

Anyway, the first two soups I made were cheaters...meaning I made them from pre-packaged mixes.  The first was was a corn chowder.  Absolutely fabulous so I need to find my own recipe for it.  The second was a mushroom and wild rice soup.  It was just ok which is disappointing since I love mushrooms and wild rice.  

The first soup I made from scratch was a Bean and Barley soup.  I used pinto beans and pearl barley.  It was fabulous with the exception of it was a bit too salty.  Couldn't figure out why until today when I realized I put in too much chicken base in my broth.

The second soup was made yesterday.  It was Bean w/ Bacon.  I'm considering it largely a fail.  It is way to bland for one thing.  It also uses potatoes and I've come to realize I don't like potatoes in soup.  I don't like the texture or bland taste of them cooked that way.  Maybe I need to dice them up into much smaller pieces.  I'll have to try that.  But, I also need to look for another bean w/ bacon recipe.  I do have to say the smell of the onions sauteing in the bacon grease was heavenly!

Today's soup is a Curry Barley and Lentil soup.  It is a total win!  It was quick and easy to make and has wonderful flavour.  I've not actually had a bowl of it yet but I have tasted it.

I've determined I need another stock pot.  Only having one is a pain though I suppose I could use my pressure cooker pot.  I also need to start replacing my herbs with fresher ones.  Don't think I'm ready to start growing my own herbs and drying them and such.  The other thing that would be useful is to learn how to use knives to cut up things quicker.  I have such envy of chefs when I watch them just chop away so fast you can't even hardly see it.


Monday's cooking adventure is going to be Bean and Cheese Burritos and maybe a German Beef and Barley Bake that sounds yummy.


But right now I hear today's soup calling me.....

I have been horrible about updating here.  Though I don't suppose it matters since no one reads it except my sister!  There's really not been a whole lot of excitement going on though.  I went to my parents for Thanksgiving.  I had a few friends over for dinner for Christmas.  I stayed home, curled up on the couch and watching movies for NYE.  And that pretty much sums up the last couple months.  I really need to get back out and start dating again.  Easier said than done.  

One new thing I've started doing is experimenting with cooking with beans, barley, lentils...all that kind of stuff.  Mostly been soups at this point but I have to say, I find making a soup from scratch to be very satisfying.  And most of the things I've tried have been pretty tasty.  I'll do another post that talks about the recipes.  Don't want to bore everyone who's not reading my blog and isn't interested in cooking.

I've also decided I want to learn to can.  Great way to save money, especially since I don't have a whole lot of freezer space to keep things.

I need to go see how the soup I have on the stove currently is doing.  I promise I'm going to try and blog much more frequently.  Maybe someone will actually start reading then.