Year End Tax Planning 2011

 1. Social Security Taxes

The one-year-only reduction in the Social Security tax expires at the end of 2011. In 2012, the Social Security tax will revert to its regular rate of 12.4%, with half (6.2%) paid by employers and the other half (6.2%) paid by employees. Self-employed persons pay the full 12.4% rate as part of the self-employment tax. For 2011, there was a temporary rate reduction to 4.2% for employees and to 10.4% for self-employed persons.

2. Educator Expense Deduction

The above-the-line deduction available for teacher's out-of-pocket classroom expenses expires at the end of 2011. This deduction will not be available for 2012 unless renewed by Congress.

3. Tuition and Fees Deduction

The above-the-line deduction for college tuition expires at the end of 2011. For 2012, both the Lifetime Learning Credit and the American Opportunity Credit will be available for college students.

4. Alternative Minimum Tax

Two separate provisions impacting the alternative minimum tax (AMT) will expire at the end of 2011. First, 2011 will be the last year when personal tax credits will be allowed to offset both the regular tax and the AMT. For 2012 and future years, tax credits will offset the regular income tax, but not any alternative minimum tax. Secondly, the temporarily patched exemptions for the alternative minimum tax will end in 2011. For 2012 and future years, the AMT exemption amounts will revert to a lower statutory amounts ranging from $22,500 to $45,000. This will result in more taxpayers being subject to the AMT, and will increase the adjustments for taxpayers already subject to the AMT.

5. Adoption Tax Credit

The refundable nature of the adoption tax credit expires at the end of 2011. For 2012, the maximum amount of the adoption credit decreases slightly from $13,360 (in 2011) to $12,650 (in 2012). For 2012, any unused non-refundable adoption credit can be carried forward up to five years to offset the regular income tax.

6. Mass Transit Fringe Benefit Reduced

For 2011, the tax-free exclusion for mass transit fringe benefits was set at $230 per month and was the same amount for tax-free parking benefits. For 2012, mass transit benefits no longer enjoy parity with the parking benefit. The 2012 amount for mass transit benefits eligible for tax-free treatment is $125 per month; while the parking benefit amount is set at $240 per month.

7. Deduction for Mortgage Insurance Premiums

The deduction for mortgage insurance premiums expires at the end of 2011. This deduction will not be available for 2012 unless renewed by Congress.

8. Sales Tax as an Itemized Deduction

The optional sales tax deduction expires at the end of 2011. This deduction is available in lieu of the deduction for state and local income taxes, and is particular valuable for taxpayers who live in states with no income taxes.

Continued...

Rent or Buy? 10 Cities Where It's Better to Rent

There are so many great cities in which to rent rather than buy a home right now, and for not all that much money. The latest Trulia Rent vs. Buy Index shows that even though it’s a better deal to buy than rent in 72 percent of the U.S. at the moment, rental rates are pretty low in most places.

Still, the study behind the index found that a “nation of renters has emerged as more Americans rent by choice or due to unforeseen financial difficulties.” And yet, renting is only less expensive than buying in four of the cities covered in the study, including New York City and San Francisco.

But even though buying is a great deal, no one at Trulia is surprised that U.S. consumers are renting.
“Since the start of the ‘Great Recession,’ many former homeowners have flooded the rental market. Following the principles of supply and demand, renting has become relatively more expensive than buying in most markets,” said Pete Flint, CEO and co-founder of Trulia, in a press release announcing the study.

“Though necessary for achieving true economic recovery, stricter bank lending practices have also further aggravated the struggling housing market in the short term. Even highly-qualified home buyers face intense scrutiny on their income, savings, existing debt and credit history before they can get a mortgage loan.”

The 10 best cities to rent rather than buy include:

1. New York
2. Seattle
3. Kansas City
4. San Francisco
5. Memphis
6. Los Angeles
7. Fort Worth
8. Oakland
9. Portland
10. Albuquerque

Real Original Article

BP Reimburses Fort Lauderdale for Oil Spill expenses

Fort Lauderdale has been reimbursed for preparations it took last summer in case the oil spill in the Gulf of Mexico affected South Florida.
City Commissioner Bruce Roberts said BP has paid the city $70,000. The company had promised to cover costs of government responses to its spill.
In the wake of the spill, then-City Manager George Gretsas signed an emergency deal with the engineering firm PBS&J to develop a crisis plan and begin sampling and testing water and sediment along the city's beaches and waterways. Gretsas said the work would establish a baseline to determine any damage that results if the oil spill comes here.
The oil spill, though, never reached the currents that would have pulled it toward the southeastern coast of Florida.

The Most Common Tax Mistakes

Protect Yourself From an Audit
You have your no. 2 pencil, a calculator and this year's W-2. Now what?
That's the thought that crosses many self-preparers' minds as they get ready to tackle their taxes. Veteran CPA Steve Duben says it's a tale as old as time. "The truth of the matter is that the law is complex and not easy to understand," Duben said. "The IRS claims that the average tax return self-prepared will take an individual 21 ½ hours to complete. This includes information gathering and understanding and preparing the return."

If you're willing and able to put in the time and effort to prep your own taxes this year, Duben gave MainStreet a list of the most common tax mistakes he's encountered and how to avoid them.

Forgetting to Report All Income
Did you do some freelance work while you were looking for the dream job you finally landed in September? You still need to report that income in your 2009 return.
"Some taxpayers feel that if they did not get a 1099 form then they do not have to report income received," Duben said. "The IRS has a long arm and seems to know what was and was not reported. To avoid this take your time and review all sources of income."

Source: The Most Common Tax Mistakes

Balancing Act: One Woman's Story About Having It All

For years Towanna Freeman put her daughter, Jenesis, first. After being sideswiped by a divorce more than a decade ago, the 39-year-old management consultant and author (Purposeful Action: 7 Steps to Fulfillment) cut back on her hours--reducing her income by 50 percent, so she could focus on motherhood.

There were a few lean years, but disaster never struck, in fact things got better. Freeman revamped her career to suit her needs and even found time to pursue her passion, life-coaching. Despite all of her success, there was one things missing: a man. That all changed three years ago when she met Byron Freeman, a Colonel in the US Army. Freeman talks to ESSENCE.com about her transition from life as a single lady to being "the Mrs."


ESSENCE.COM: You weren't always a single mother. Tell us how your life changed when you split from your ex-husband?

TOWANNA FREEMAN: My daughter Jenesis was 3-years-old when I divorced my first husband. I had to make a lot of changes going from two incomes to one, but I was motivated because I knew I had a mouth to feed. I didn't want my daughter to come in second. I was a project manager for the CIA but I downsized--everything. My shopping had to change, vacationing, even getting a new car, were now all luxuries that I couldn't afford. My priority was making sure my daughter was in school and I could pay for aftercare.

ESSENCE.COM: After raising your daughter alone for 10 years you recently got married. How did you know he was the one for you?

FREEMAN: My husband had to woo two women, my daughter and myself. Once our relationship got serious--and I knew I could trust him--I let him spend alone time with Jenesis so they could bond. For example, we'd all go to the arcade, but I'd let them go off and play games while I watched from afar. I'd check in with her to see how he treated her when I wasn't around. I believe it's important for parents to listen to their kids-- because they see things we don't--and not just focus on what our mates say. Lastly, I made sure to talk to him about his views on parenting because I knew integrating families would require a lot of a man who didn't have children.

ESSENCE.COM: Many women who've been single for a long time find it challenging to open their hearts and minds to co-existing, though they want a mate. Did you find it difficult?

FREEMAN: As a woman I'm naturally a nurturer, but after being single for so long I was used to bringing home the bacon and frying it. My challenge was allowing someone to take care of me. I had to learn to relax; I had to drop my defenses. It was like a changing of the guard. I had to acknowledge that my husband is capable. He's a man whose decisions I can trust, so I had to learn how to stop asking for details. I don't always need to be in control.


ESSENCE.COM: Money is a big issue for couples, especially since many Black women are also the primary breadwinners or may be entering into a relationship after already amassing significant savings. Are you and your spouse co-mingling funds?

FREEMAN: Yes, my husband has a successful career but I make more money then he does. Communication is important. All of our income is combined because we are working towards a common goal. I don't taut the fact that I make more than him and he's not competitive. We both respect our contributions to the household.


It's important to get rid of that individualistic mentality the day you take your vows. Respect your mate. Most importantly, let the person who is naturally better at handling money manage your household's finances. My last tip is don't keep money secrets.If you have funds that you plan to keep aside, be upfront about it.

Source: Essence.com

Business Answers: To Cut or Not to Cut (tell me what you think)

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Looking for a job? Here's a tip, Try a sandwich board...

Looking for a job? Try a sandwich board
Posted by lisacullen Monday, October 13, 2008 at 5:23 pm
Submit a Comment • Trackback (0) • Related Topics: Getting a Job, Interviews, Stupid Workplace Tricks, careerbuilder, job-hunting
Seven years ago, I reported a piece about white-collar unemployment for which I interviewed a man who advertised his availability by wearing a sandwich board in midtown Manhattan. Seems we're back to those bad old days. Here are some drastic measures some job hunters are taking, according to CareerBuilder:

• Candidate advertised on a billboard.

• Candidate carried around a sign that said, "Will work for paying bills."
• Candidate brought a broom to the interview to "clean up the waste and corruption in the office."
• Candidate wore a shirt to the interview that said, "Please hire me."
• Candidate showed up with breakfast for the employer every day until hired.
• Candidate approached the hiring manager in a restroom.
• Candidate sent a giant cookie with "Hire Skip" written in frosting on it.
• Candidate parked outside of the office building with a sign that said, "Seeking employment."
• Candidate wrote a poem about why she wanted the job in her cover letter.
• Candidate promised to give the employer a foot massage if hired.
• Candidate noticed the employer wrote a blog about a particular restaurant. She persuaded the restaurant to put her name on the menu so the employer would see it the next time he ate there.
• Candidate created an electronic resume with flash animation and musical score.
Read more: http://workinprogress.blogs.time.com/2008/10/13/looking_for_a_job_try_a_sandwi/?iid=sphere-inline-bottom#ixzz0UXUC6Y9w

You may be surprised which Big Companies are veering toward Bankruptcy

From The Business Insider:

Despite a few green shoots in the economy and a rocketing stock market, many large companies are still struggling to avoid bankruptcy.

A new report by Audit Integrity identifies some high-profile names "that have the highest probability of declaring bankruptcy among publicly traded firms."

Which companies appear the worst off? We took the list and removed any company with a market cap under $3 billion. We then ranked the remaining names by a simple measure of the market's perceived bankruptcy risk - Market Cap (MC) divided by Enterprise Value (EV). The less MC vs. EV, the less residual shareholders' value (above what debt holders can claim) the market is pricing-in for the company. Thus a lower MC/EV means the market thinks the company is more likely to go bankrupt.

1. Hertz
When you have tons of debt financing your fleet of cars, falling rental demand really hurts.
While the company raised new capital in May for some breathing room, Fitch and Moody’s actually cut their ratings for the company in July.
Ignoring the downgrade, shares kept rallying and are now at over five times the March $2 low. Best of luck.

Market Cap (MC)/Enterprise Value (EV) = 32%

2. Textron
What a tough time to be selling business jets.
Textron wrote down $2.3 billion its backlog this year after it canceled a new jet design, and demand for its other aircraft-related offerings has plummeted.

Shareholders may be heartened by the company’s ability to push back some debt maturities lately, but deteriorating credit quality at the company’s leasing arm makes the outlook uncertain at best.

MC/EV=39%

3. Sprint Nextel
Sprint Nextel is bleeding customers, and could lose as many as 4.4 million net post-paid subscribers this year.

This is a huge problem when you have large amounts of maturing debt over the next few years.

A recent Deutsche Telekom acquisition rumor offered some hope, but that appears to have faded. Facing a difficult road ahead on its own, the company better keep its lawyers on speed-dial.

MC/EV=41%

4. Macy's
Does anyone even shop at department stores anymore?
Same store sales will likely keep falling at Macy’s right through 2009. With $2.4 billion of maturing debt over the next five years, the company is trying to cut costs, and has already reduced its dividend.

Hopefully the US consumer will bounce back soon, and actually want to shop at Macy's.
MC/EV=47%

5. Mylan
In a classic case of management empire building, Mylan overpaid big time when it bought Merck’s generic business back in 2007 and is now stuck with $5 billion of long-term debt as a result.

From 2007 – 2008, the company lost over $1.3 billion very much due to goodwill write-downs.
While the company could earn $300 million this year, they’ll have to earn far more than that in the future to make their debt manageable.

MC/EV=51%

6. Goodyear
Demand for Goodyear tires has sunk, and the company is saddled with massive debt and pension obligations.
It doesn’t help that The United Steelworkers union prevents the company from proper cost control by forcing factories to stay open.

Shareholders have to wonder how much value will be left of the company after bondholders and the union members have their way.
MC/EV=53%


7. CBS
Weak advertising and falling license fees have sent CBS's earnings off a cliff in 2009.

If they remain depressed for too long, the company could have trouble refinancing $3.2 billion of debt coming due over the next five years.

It will really come down to whether or not CBS’s earnings collapse is merely cyclical, or the result of structural trend whereby traditional TV is dying.

As a business blog, we can't help but feel partly guilty here.
MC/EV=55%

8. Advanced Micro Devices
When will AMD actually make money again? The question is becoming more important by the day since it carries over $5 billion in long-term debt.

After losing almost $3 billion from 2007 – 2008, analysts expect the company to lose more money in 2009 and 2010.
While the shares rallied from their February $2 low, they still appear stuck in a long-term down trend from $40 highs way back in 2006.

MC/EV=55%

9. Las Vegas Sands
Las Vegas Sands over-expanded and over-levered in the last few years and now has over $10 billion in debt to deal with.
Despite jumping 13 times from their March low, Las Vegas Sands shares still face an uphill battle.
Conditions in Las Vegas are horrible, Asian expansion isn’t enough, and if this lasts too long then LVS will end up in bankruptcy court looking like it bit off more than it can chew.

MC/EV=60%

10. Interpublic Group
As one of the largest advertising and marketing companies in the world, IPG was slammed by the global recession.

As the company’s CEO said during recent second quarter results, the downturn “is proving steeper and more lasting than expected”.

Revenues have fallen double digits and the company’s exposure to General Motors as its largest client hasn’t helped.

MC/EV=80%

More coverage from: The Business Insider

A Few Dumb Financial Moves in the Recession

This recession has brought to light dumb money management practices, forcing just about all of us to confront our financial foibles.


Maybe, for instance, you're one of the ones who panicked and sold during the market bottom. Or, you believed housing prices were guaranteed to rise.

The federal government is tapping behavioral economists -- experts on why we humans make the money judgments we do -- to help devise regulations so that people don't take on unaffordable mortgages and to help them understand their actual credit card fees.


But these efforts just scratch the surface. Here are four common mistakes that surfaced during this economic turmoil, and fixes that we can put in place to prevent ourselves from making the same costly error again:

Regret 1: I didn't have emergency reserves.

Outsmart yourself: When we're confident about our security, stashing cash can seem like a waste. We'd prefer to put the dollars into a "better" use, whether it be sprucing up our home or going on vacation.

Last year, when the unemployment rate started soaring, so did the savings rate of suddenly scared Americans.

If you were one of those scrambling to build emergency reserves, you may abandon the practice once your fear subsides -- setting yourself up for another panic at the next sign of trouble.
So prevent yourself from slipping out of the savings habit by establishing an automatic withdrawal from your checking to a liquid savings. Moreover, if you instruct the bank to sweep a certain sum into a short-term CD when your balance reaches a prescribed level, you won't be tempted to raid the emergency stash.

"The idea is to create a mechanism that will force a habit," says Dan Ariely, a Duke University behavioral economist and author of "Predictably Irrational: The Hidden Forces That Shape Our Decisions."

If disaster does strike, there may be a small penalty to cash in a CD, but at least there'll be money to tap, says Ariely. Not all banking institutions may agree to automatically set up a short-term CD, however, so you might have to direct yourself periodically by putting the task on your calendar as a "must do."

Regret 2: I panicked when the market collapsed.

Outsmart yourself: Once a powerful emotion sets in, don't expect to overcome it, says Ariely. So head off the fear before it takes hold, he says.
When the market took a plunge earlier this year, Ariely says he personally took deliberate steps to block the reports of the Dow's dive. "I didn't want to look at my accounts online, so I input the wrong password three times. That locked me out," he says.
Don't listen to the business news, either, if that will rattle your resolve to hold your investments, Ariely adds.

Moreover, before an investment drops precipitously, you may want to set up alerts (many brokerage houses and financial Web sites offer this service) so that you receive an e-mail when a stock price drops to a certain level. Although he doesn't think most individuals know enough about a particular company to wisely invest in stocks, Eric Toya, a financial adviser based in Redondo Beach, Calif., says that these alerts could spur investors to talk with their adviser about keeping a holding that's losing value.

Regret 3: I greedily overinvested in a 'sure' thing.

Outsmart yourself: Studies have shown that the human brain's "wanting" system strongly activates when an asset goes up in value, driving us to buy more, says Paul Zak, director of the Center for Neuroeconomics Studies at Claremont Graduate University.

So even if you've sworn that you'll never again put the bulk of your wealth in a single asset, like a house or a stock fund, what's to stop your brain from getting excited when the next "big" thing rolls around?

Enlist your financial adviser, your partner or a trusted friend to dampen your excitement, says Michael Ervolini, head of the Boston behavioral finance firm, Cabot Research.

While a broker or financial adviser may not actually be able to prevent you from dictating that you'd like to sink your money in one investment type, you can ask him, even put it in writing, to dissuade you.

Cleveland financial planner Kenneth Robinson says his clients sign off on a written asset allocation plan, which helps them stick to the resolve to diversify.

And, says Ervolini, especially if you invest with a partner who has a vested interest in the success of your investment plan, establish a pact that you won't make moves unless you've both talked it over.

Finally, for those who can afford to set aside some "play" money, a separate fund can placate the desire to follow the hot trend without "betting the farm," says Zak.
Regret 4: I didn't read the fine print on my loan.

Outsmart yourself: If you're one of those homeowners with a mortgage that seemed cheap initially but has since proven ridiculously expensive, chances are "you were just following what you thought was acceptable wisdom" when you took the loan, Ariely says.

"Figuring out how to borrow is very complex," he says. Instead of delving through loan documents and plotting out just how much payments can rise, consumers are lured into complacency when they hear platitudes like "you can always refinance" or "if you're moving again in a few years, you don't have to worry."

Make a pact with a partner or friend that you won't take on debt without reading all the fine print, says Ervolini.
The federal government aims to make that easier with proposed reforms, like requiring a lender to give a one-page outline of a loan's risky features.

Still, complex loans will likely stick around. Ervolini says, "If you are not willing to read and really understand what a loan is all about, pledge that you'll go with the plain vanilla option."

Read Original Article:  A Few Dumb Financial Moves in the Recession
by Marilyn Kennedy Melia

Wednesday, September 16, 2009
provided by

Do you know anyone who is afraid of the internet? See how it's costing them...

Ways fear of the Web costs you

In 2009, making financial transactions online isn't just mainstream -- it's quickly becoming the norm.

A July 2009 study by Fiserv found that 69.7 million households now use online banking services, and 64.4 million households pay at least one bill online.

Numbers on that scale mean cost-cutting banks and other businesses increasingly are focused on taking their services online, and consumers who can't -- or won't -- do business online may end up paying high fees and missing out on great deals.

The following are five ways that fear of the Web may be stealing money from your wallet.

Banking -- higher fees. Banks have been trying to shift transactions online since the Internet came into its own. Why?

"(Online banking) is a cheaper channel to service customers," says Emmett Higdon, a senior analyst for Forrester Research.

Higdon cites the example of Bank of America, which recently announced it would close up to 10 percent of its branches because so much of its customer traffic has moved online.

In past years, some financial institutions -- like Bank One (now part of JPMorgan Chase) -- even tried charging a fee of $3 on some accounts for the privilege of visiting a teller. Needless to say, the fees were unpopular.

"We learned this lesson the hard way a few years ago," says Higdon. "A lot of people voted with their feet on that particular measure, and we learned very quickly that customers will not be forced into using a particular channel."

Today, banks are less likely to browbeat customers into going online. Instead, they offer perks to savers as a way of enticing them to take the online leap.

For example, Higdon says customers who check their fee schedules may notice that some online transactions -- such as transferring funds to another account or sending money overseas -- are much cheaper than the same services performed at a brick-and-mortar branch.
Technology analyst and BlackPlanet.com co-founder, Omar Wasow, agrees banks generally have moved away from the online-banking hard sell and now are trying to woo customers with perks.

"If you're trying to open up a certificate of deposit, for example, you're able to get better rates online. Right now, it's more carrots than sticks," he says.

Meanwhile, customers who still insist on receiving paper correspondence may pay a price. Many banks are now charging customers extra to mail hard copies of canceled checks, a service the banks used to routinely perform for free, Higdon says.

Banking Luddites also may miss out on one small bonus: Some banks now offer a statement credit of a few dollars when you stop the stream of paper statements coming to your home.

Secrets of Surviving Bankruptcy

Secrets of Surviving Bankruptcy
Anger and shame are natural byproducts of bankruptcy, but these 3 women discovered they could reinvent themselves and be entrepreneurs again.

In 2002, I was forced to declare personal bankruptcy. OK, "forced" may not be entirely accurate, but my lawyer advised me that the only way to get out from under an $80,000 lien on my personal bank account was to declare bankruptcy.

Why did I have an $80,000 lien on my personal bank account? Because a former business partner defaulted on his company's line of credit, and I was the only one dumb enough to personally guarantee the loan. So dumb, in fact, that when he handed me the papers to sign years earlier, I didn't even bother to look at what I was signing, trusting that everything was in order because he said it was.

I didn't know it then, but that blind trust and business ignorance put me on a path to bankruptcy court.
The shame of having to declare bankruptcy was crippling. I tried to block it out of my head, but every time I tried to do anything involving a bank, I was shamed all over again.

"I think the major emotion [I've felt] has been that of failure," says Robin Hardy, whose company The Moosey Group Inc. taught adults and children financial literacy. "The creditors really make you feel like you failed, you are a loser and you are worthless."

Hardy explained that the adults she worked with expected the services to be free and, while working with kids was rewarding, the youth programs were more of a community service--one her company couldn't afford. Income had come to a standstill.

She says overcoming feelings of failure was a challenge.
"That was a huge process that took [many] affirmations and deep soul searching to overcome," Hardy says. "We all need to understand we did not fail because we went bankrupt and do not own it personally . . . I did not plan to do a [bankruptcy]. I really believed we could come up with maybe grant money to continue the program."

Hardy filed for business bankruptcy last fall and is in the process of filing personal bankruptcy this year.

From a business standpoint, she says dealing with bankruptcy made her explore who she really is and embrace the opportunity to reinvent herself.

"I worked with a coach that helped me move through the negative mind-set of failure to the positive mind-set of reinvention," Hardy says. "Plus, the [bankruptcy] attorney shared great stories of multimillionaires that had rough starts leading to bankruptcy yet in the reinvention created a more powerful business opportunity, so why can't I, and why can't each person moving through this part of their life?"

While people consider bankruptcy for many reasons, not everyone chooses that path. Author and public speaker Diane Darling considered declaring bankruptcy in late 2002.

"I was trying to get [my business] Effective Networking off the ground, I had debts from a business that didn't make it, and too much was in my own name," explains Darling, who also got sidetracked by other projects that weren't generating income.

Darling went to a Debtors Anonymous meeting.

"I'm not a spender per se; it was more that I am an under-earner," she says. "They (at Debtors Anonymous) said that rarely does declaring bankruptcy fix the real problem, which is more emotional/psychological. In retrospect I wish I had met with a bankruptcy lawyer and looked into it a bit more. It's been a struggle."

For Darling, anger, humiliation, frustration and depression were present as she moved through the process of considering bankruptcy. She also worried that her professional image was too visible and was afraid of what people might think of her if she declared bankruptcy.

I can understand Darling's fears. A few years before I began the process of declaring bankruptcy, I was interviewed for a documentary film about powerful and inspirational women. When I got in touch with the producer a year later to see how the project was going, she said I was taken out of the film. I asked why.

"Well, I heard you went bankrupt. So you can't be in the film," she snapped. At that point, I had recently started and shut down a second internet company because of the 2000 market bust but was nowhere near bankruptcy. Knowing someone else thought I was bankrupt was painful and embarrassing.

Darling admits she actually avoided bankruptcy due to "sheer will and naïveté."

Recalls Darling, "I did go to a credit counselor who said I had to give up my apartment. I avoided it for a while--just had too much else to think about. Finally an opportunity came to move out and decrease my costs. It was the first of nine moves from 2003 to 2007."
Avoiding the Abyss

Attorney Edward E. Neiger, founding partner of Neiger LLP, says among the most common reasons he's seen women declare bankruptcy is the dishonesty of a significant other.

Says Neiger, "In one case, a woman's husband convinced her to put the home in her name only. When the relationship went sour, she was stuck with the mortgage burden. In another case, the woman forgot to take her fiancée off her credit card. After she broke off the engagement, she was forced to file for bankruptcy because of the bills he racked up."

Other than that, says Neiger, other common reasons include job loss and the bad economy.

Neiger says many women he sees have had to file for personal bankruptcy after going through a divorce if their current job is not enough to sustain their debt. On the business side, he says he hasn't seen much difference between businessmen and businesswomen in their reasons for declaring bankruptcy.

It takes time to rebuild your credit after bankruptcy. Most experts say about seven years.

Fast Forward . . .

Darling now has two housemates, paid off her debt last spring and is saving for a down payment on a place. Her business is OK, and she says she can do well when she puts her energies into it.

Today, Robin Hardy is a business consultant, sales trainer and motivational expert. She feels like she is finally following her passion.

Me? I married a wonderful man with impeccable credit who "floated" me for the past few years, adding my name onto everything he could--car, credit card, title of our house--hoping it would help boost my financial snapshot. Over the past few years, I've also learned how toxic my relationship to money had been. I recognized my tendency to ignore the fine print and important details than dig in and understand financial details. I realized if I didn't change that, I'd bring my family down into a black hole of debt.

As a couple, we are now living debt-free, only using credit cards for emergencies and paying them off in full, and I'm continuing to identify and break bad financial habits. I'm six years post-bankruptcy and recently had a major financial breakthrough when a new corporate bank provided me with a line of credit in my own name. My business is thriving.

I'm not entirely out from under the financial mess of my former company. Luckily, I now have a banker who believes in me (not to mention my husband). And I finally believe in myself.

Source of Article: Secrets to Surviving Banckruptcy

AMEX Helps Small Businesses

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7 Ways You're Getting Ripped Off

7 Ways You're Getting Ripped Off

You know you're paying too much. We show you just how much.
By Entrepreneurs staff, Forbes.com

Economists call them "market inefficiencies" — those thrilling or frustrating moments (depending on your point of view) when the price of something veers from its underlying, inherent value. In that world — the one in which we all live, eat, shop, drive and pay bills — they're called rip-offs. We're not talking fraud here (though there's plenty of that going around, too). We're talking about all the ways, within the law, that humans allow themselves to be taken for a ride.

Cable Television
The Rip-off: All you want is basic cable, but your cable company wants you to have so much more — and pay for it, of course. That's why it bundles in a whole mess of channels, including dozens that even the most feckless of couch potatoes won't watch, including foreign-language channels, background-music channels and niche stuff like Speed (an ode to all things fast). Time Warner Cable charges a minimum $67.50 a month for a "value package" with 350 channels (HBO and Showtime cost another $14.95 each). Comcast isn't much better: Its basic package includes 98 channels for $62.40.

How To Avoid It: Cue up network Web sites and watch for free. Hulu.com offers thousands of videos, TV episodes (new and old) and full-length movies — all free. And Netflix charges as little as $8.99 a month for access to more than 100,000 DVDs and TV episodes, as well as 12,000 movies. — Miriam Marcus

Electronics Warranties
The Rip-off: Warranties cover everything from technical problems to spilling beer on the keyboard. They also empty your wallet in a hurry. Two-year coverage on a $350 Toshiba laptop from Best Buy goes for $280 — a whopping 80% of the purchase price.

How To Avoid It: Check out third-party warranty providers, who often offer better coverage for a lot less. SquareTrade.com sells a three-year warranty (with all the same protection and reimbursement guarantees) on that same Toshiba laptop for $100. — Melanie Lindner

Caskets
The Rip-off: Upscale boxes, purchased by emotional families through funeral homes, can go for $20,000 — a mark-up of up to four times cost. "People end up paying giant premiums that they don't have to," says Joseph Conzevoy, owner of ABC Caskets Factory in Los Angeles.

How To Avoid It: Plan ahead and buy direct. Make sure the funeral home doesn't whack you with a penalty for going outside its supplier network. The savings can be huge: ABC Caskets' Carved Mahogany model, which Conzevoy sells for $5,000, would fetch three times as much inside a funeral home showroom, he says. (While you're at it, shop around for flowers, too.) — Christopher Steiner

Movie Theater Snacks
The Rip-off: It's a law of business that captive customers pay through the nose. Proof: At an AMC Lowe's theater in Manhattan, a 5.3-ounce bag of peanut M&Ms sells for $4.25. That hurts more than just your teeth.

How To Avoid It: Buy your snacks at a drug store on your way to the theater and stow them in your purse (it's not like anyone's going to check it). Less than one block from that same theater a Rite Aid charges $2.99 for an 8.2-ounce bag of peanut M&Ms--that's 55% more candy for 30% less! — Melanie Lindner

See More of the 14 Ways You're Getting Ripped Off

Keep Customers Coming Back

Ways to Get Repeat Business

Here are two statistics that will reinforce your concerns in keeping your customers.

1.It costs anywhere from 5 to 8 times more to gain a new customer as opposed to retaining your customers. When you consider the cost of sales people, advertising, Internet marketing, etc. to attract new customers this becomes obvious.
2.68% of customers will stop using your services or fail to return if they feel unappreciated. This is the number one reason businesses lose customers.
Based upon these two statistics, it is obvious your business needs to place as strong an emphasis on keeping existing customers as it does on gaining new ones.
Here are 5 easy to use tips you can use today:

Keep in touch

If your customers’ needs are seasonal or ongoing, always stay in touch. Never assume they will continue to do business with you or call you when they need your services. They can always go elsewhere.

Be sure everyone in your company provides outstanding service to your customers.
Your account executives, sales people, and customer service staff already know this. But does your receptionist have a list of your best customers and clients? Does everyone in your company know how to properly treat an existing customer or client?

Nothing is worse than if one of your best clients calls with a question and someone asks, "&ldots;and what can I say this call is in reference to?" Your client is thinking at this point: "How about all the business I continue to give you although five of your competitors call me daily!"

Continue to understand your customers’ needs

Your services must stay up to date with what customers expect from you. It is not enough to assume that your current level of service and results is enough to keep customers satisfied.



Read more:Ways to Get Repeat Business

Cheap Business Electricity - Ways to Reduce Your Business Electric Bill

Cheap Business Electricity - Ways to Reduce Your Business Electric Bill

Cheap business electricity is getting harder and harder to find in the UK as prices continue to increase despite there being no apparent reason for it. Unless domestic electricity, there are no major comparison services to help you find cheap business electricity so you are left with a more arduous task of manually going through the major suppliers to see for yourself which one is cheapest.
However, despite this there are certain things you can do as a business to help keep your prices low. Most of these are quite simple and really common sense, but it is surprising how many businesses don't do it.
For example so many businesses leave their lights on at night, supposedly in the name of security, but in most cases it just saves the burglar the need to bring a torch. Speak with your local police and see whether it really is worth burning up all this electric.
And this need not just apply to lights. On the road to cheap business electricity, Monitors, Computers, vending machines and much more equipment can be turned off at night saving you an absolute fortune.
Solar panels may also be a possibility to save you money and as a business there may be grants available to help you do this.
As I have previously said to get cheap business electricity you need to manually go around the main suppliers for quotes but before you do that you should ensure you are on the correct rate as many suppliers charge different rates dependent on the size of your premises or businesses. It's important to ensure you are on the correct rates before you go comparing and looking for cheap business electricity.

Read the original article: Cheap Business Electricity - Ways to Reduce Your Business Electric Bill

Know the Value of Your Time - MSN Money

Know the Value of Your Time - MSN Money

How much is your time worth?
Do you know how much leisure time you really have during the week and how much it's worth? Knowing the value of your time can help you determine whether it's worth hiring some help for those household projects. Know the Value of Your Time Calculator examines how much time and money you spend on work-related activities every week. Find out what an hour of your leisure time is really worth, and determine whether you should consider buying a little more free time. You might find that paying someone else to do the chores makes perfect financial sense.

Calculate The Value of Your Time - MSN Money

Lucrative stimulus jobs

Lucrative Jobs from Obama's Stimulus Plan

President Barack Obama's plan to get the U.S. economy going has a strong focus on creating jobs. Two of the bills he's recently signed, the American Recovery and Reinvestment Act (ARRA) and the Making Home Affordable program, provide funding that will create a wide variety of job opportunities with good salaries. Better yet, many of these jobs don't require a four-year degree, so job-seekers may be able to move into these careers pretty quickly.
Here's a selection of some of the best-paying stimulus jobs:

Computer Security Specialist

A big chunk of the ARRA money is dedicated to health-care information-technology initiatives -- digitizing medical records so they're easier to transmit and share between doctors, hospitals and pharmacists. Computer-security experts who can help keep electronic medical records locked away from computer hackers and other unauthorized users will be in high demand as the health-care sector modernizes, says Laurence Shatkin, author of "Great Jobs in the President's Stimulus Plan."

Other specialists will be needed to train workers on how to keep the data safe. A brief certificate program may suffice to get you started in this field, the Bureau of Labor Statistics (BLS) says. "There's going to be a special role here of how to keep prying eyes away," Shatkin says.
Median annual salary: $78,376

Cost Estimator

For each of the major infrastructure projects that receive stimulus funding, an estimator must determine the likely cost of material plus labor so that accurate job bids can be submitted and budgets properly prepared. Shatkin says laid-off workers with a background in construction, who are familiar with the industry's labor and materials costs, should find opportunities here, though many estimators have a four-year degree.
Median annual salary: $58,868

Civil Engineer

For each of these big federally backed construction projects, Shatkin points out, civil engineers must make sure structures are properly designed to withstand the elements. Engineers also make sure construction projects are executed correctly. You'll need at least a college degree, usually in engineering. But the BLS notes a degree in science or mathematics might work to get you started here, too.
Median annual salary: $66,638

Insulation Installer

The ARRA is focused on making federal facilities more energy efficient, starting with simple methods such as weatherizing buildings with more insulation to save energy. Projects are happening all over the country, Shatkin notes, at science labs, military installations, and other federal buildings. High-school graduates often can receive on-the-job training, the BLS says.
Median annual salary: $44,460

Read More: Lucrative Jobs from Obama's Stimulus Plan

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New Uses for Old Things!

New Uses for Old Things!

New Uses for Aluminum Foil
It's a versatile kitchen tool, used for everything from holding in heat to protecting your pans―but it also removes wrinkles, scrubs glassware, and more.

Use Egg Slicer on Strawberries
A clever way to repurpose an everyday item.

Original purpose: Slicing hard-boiled eggs.

Aha! use: Cutting strawberries and mushrooms. Give this classic tool a permanent spot on your kitchen counter and―presto!―you'll have perfect slivers of your favorite summer foods.
Reward: Sleeker food and less chance of nicking a fingertip.

Baby Spoons as Serving Utensils
A clever way to repurpose an everyday item.

Original purpose: Playing airplane ("Here comes da wittle plane...") with your babies. Now, though, they're your teenagers.

Aha! use: Serving party dips or condiments―a chic alternative to setting out a bottle of French's.

Reward: No gunky bottles, plus a way to reuse shower gifts from, oh

Kitchen Towel for Preparing Rice
A clever way to repurpose an everyday item.

Original purpose: Drying hand-washed glasses.

Aha! use: Steaming perfect rice. Once the rice is tender, remove the pan from the heat, place a folded towel over the saucepan, replace the lid, and set aside for 5 to 10 minutes. The towel will absorb the excess moisture.
Reward: Great rice, no mush.

Read More: New Uses for Old Things!

Eddie Bauer files for bankruptcy

Eddie Bauer files for bankruptcy
Retailer cites debt concerns stemming from previous reorganization.

NEW YORK (CNNMoney.com) -- Eddie Bauer Holdings Inc. filed for Chapter 11 bankruptcy protection Wednesday, citing an inability to pay back debt.

Eddie Bauer (EBHI) emerged from Chapter 11 bankruptcy in 2005 after being spun off from former owner Spiegel Catalog, which itself sought bankruptcy protection in 2003.

Costs from the 2005 reorganization, combined with pressure from the current recession, left the company "with no choice but to use this process to reduce the debt load," said chief executive Neil Fiske in a prepared statement.

"Eddie Bauer is a good company with a great brand and a bad balance sheet," he added.
The outdoor clothing retailer plans to sell most of its assets to private-equity firm CCMP Capital Advisors for $202 million. It expects the sale will be complete in 60 days or less.

CCMP has agreed to keep most of the stores and employees, though the sale is open to other bidders per bankruptcy law. Eddie Bauer has 371 stores nationwide, with 8,600 employees.
Eddie Bauer said it secured financing from Bank of America (BAC, Fortune 500) and CIT Group/Business Credit (CIT, Fortune 500) for a total $100 million based on final court order.

Read More: Eddie Bauer files for bankruptcy