52 Week Money Challenge

I came across on Facebook many of my family and friends talking about saving for the new year as one of their goals.

One savings goal plan intrigue me. How does it work? Every week save that particular week in dollars.





                           Week 1 Save $1
                           Week 2 Save $2
                                     .
                                     .
                                     .
                          Week 52 Save $52
                                         At the end of the year you will have saved: $1,378

As we are finishing up Week 10, you will have saved $55. If you are following the end year route in which you begin at Week 52, as week 10 ends you will have saved $475.

Who says saving can't be easy. Will you try this 52 Week Money Challenge?

Rhonda W.

Which One Are You: The Jeffersons or The Evans?

The NiA theatre group got the Financial workshop series "Growing Savers" started by singing, acting, screening a money webseries, and getting the audience involved to not be afraid to talk about moneY. Why the emphasis on the Y? Are you using your money and Movin' On Up like The Jeffersons or are you struggling like the Evans on Good Times?

The first of a five part series was held in Columbia, SC by the Richland County Public Library (RCPL). They wrote and received a grant that involved the NiA theatre group and bringing in three financial panelists.

Photo from www.blogs.wsj.com

Photo from www.tvtropes.org

The NiA group had the audience warmed up with the song Summer Time from the play Porgy and Bess, the TV show The Jeffersons "Movin' On Up" Theme song, and reminiscing about the TV show Good Times.

Hosted by WIS anchor  Judi Gatson.

                           Highlights:

• Don't Borrow from your IRA - Unless it is for Education or Homeownership. Not for hardship for being unemployed. 
• FICO Score - You need to know your Score. Being late one time after years of on time payment will ding your score.
• Identity Theft - Don't have your SSN on you (purse, wallet, etc). Most Military cards have taken SSN off, but not Medicare cards. It needs to change. Press charges, even if it is a family member stealing your identity.
• Just Do It - SAVE, even if it is $5 per month from your paycheck
• No payday loans - You need to get out of this circle. It's very hard when 85% of your income goes to your everyday expenses.

Congrats to the RCPL on writing and receiving this grant. It is of great service to the Richland County community.

Four more upcoming workshops:  Saving and Budgeting, Credit, Retirement, and Investing will be held at the Library October 10, 17, 20, and 24.

www.myRCPL.com for more info.

So which one are you? Are you money savvy by investing, saving, and/or growing a business like The Jeffersons or are you living pay check to pay check like the Evans on Good Times? I would love to hear from you. Comment below.

Rhonda W.

Cutting Expenses to Have a Comfortable Retirement

I posted a few days ago about purchasing the Magic Jack to replace my current landline phone. I would only have paid $30/year and get to keep my current number. I was excited to receive the message that my number will be able to transport. However, the next day I received another message stating I had to separate my home phone and Internet service. My area does not do that. They have what is called "capped" in my area. Meaning they will not be able to get an installer to come out to separate the two services. I didn't want to lose the number I've had for the past nine and half years. Thus, I made the decision to return the Magic Jack. I may not get the whole refund, but hopefully half of it.

It has caused me to think of other areas in which I can cut back or pay more of so I can have a comfortable retirement. A few ideas I thought of:

1. Pay car loan and/or Student loans as quickly as possible. Currently paying a few extra dollars each month, toward the principal, from my part-time job(s) and cash surveys I've taken.

Photo from creditcardz-info.blogspot.com

2. Pay Credit Card bills.  Pay more than the minimum. My weakness because I love the cash back option.

3. Pay off mortgage before retirement. I refinanced a year ago from a 30 year loan to a 15 year loan. Interest rates at the moment are low, so you may get a great deal. I went from paying 5.75% to 3.75% for my mortgage.

4. Eliminate Landline phone. If you use your cell phone more often than your landline, then eliminate the landline. I continue to use my landline, so I'm looking at other ways to cut back.

5. Lower your plans for Cable/Satellite and cell phone services. If you are not at home very often, reduce the number of channels you receive. DISH has a great Welcome package for $14.99. If you are not using the Internet on your cell phone, then eliminate that cost.

6. Get a roommate If you are single, find a friend who is single and the two of you share expenses. If you are married and have an extra room, rent it out a few months out of the year. I reside with my twin sister and the savings I have by splitting the mortgage have helped me pay down many of my debts.


Remember in retirement you want your expenses low so you are not depleting your retirement funds (State retirement plan, 401k, 403b, Roth IRA, etc.) so quickly. Your retirement years can last 20 or more years.

What are other ways you are eliminating your expenses for a comfortable retirement? Please comment below.

Rhonda W.

Being Impatient With Your Money

You are looking at your quarterly statements and see over the past few years your 401(k)/403(b) is growing BIGGER AND BIGGER. You may start looking at what you can do NOW with that money. Vacation to Europe, new car, or your child's education. "Hey I have years before I retire".

But wait, what is the cost of you being Impatient!! You are not 59 1/2 years old, so you have to pay 10% in penalty charges and ordinary income tax. In the case of 403(b)/Roth 403(b) annuities you have to pay surrender charges. You can use  the withdrawal as a loan, but have to pay it back within a certain period of time (usually 5 yrs) plus interest.

That's money you have taken out that is no longer generating interest and compounding interest (interest on top of interest) for you. Instead of maybe $300,000 at the full retirement age of 67(if you are born after 1959), you may have $200,000. A big difference when people are living more into their 80's and 90's (at least 20 years in retirement).

However, there are certain instances in which you can get access to your money with minimum penalty, including hardship for unemployment and eviction from your house, if there is no other resources.

Read more  Rules for Early Withdrawal from a Retirement Fund

What are your thoughts on early withdrawal of your retirement fund? Are you impatient when it comes to your retirement fund?

Rhonda W.