It's Halloween. The only thing scaring me is the economy.

There's some good news out there. There's some bad news out there. Which should I believe? In my own state of New York, the mayor of New York City, Michael Bloomberg (who happens to own Bloomberg News Corp and is a billionaire) has just put the city's employees on a belt-tightening alert. Mayor Bloomberg, responding to shrinking revenues from a cooling economy, imposed a hiring freeze for all agencies yesterday and directed commissioners to devise spending reductions of 2.5 percent this fiscal year and 5 percent in the next. Read the article by clicking here. The mayor’s latest move, which came on the same day that the state comptroller said turmoil in the credit and housing markets would batter Wall Street and take a toll on tax revenues for the city and state, is a sign that Mr. Bloomberg’s regular predictions of tighter times are coming true.

On the good news side, there are many stating that despite the housing woes, the economy is doing well. This recent article from CNN Money contradicts what Mayor Bloomberg is doing. Here's a quote: The U.S. economy shrugged off problems in the housing and credit markets in the third quarter, as the pace of economic growth showed an unexpected gain in the government's latest reading. The 'government's latest reading'? You mean the reading that the government uses which eliminates food, energy and housing from it's calculations?

I think I am siding with Mayor Michael Bloomberg on this one. Mayor Mike didn't get to be a billionaire and one of the most wealthiest men on the planet by listening to governmental reports. Mayor Mike looks at his own figures and the world around him and makes decisions based on his own fact-gathering efforts.

I'm betting that what happens on Wall Street doesn't stay on Wall Street.

And so it goes.

Credit Cards: The Next Financial Bubble.

The banking industry is worried. They are worried that the next bubble to burst, after the housing mess, is consumer credit card spending (and the lack thereof). According to this month's Fortune Magazine, click here to read the full article the banks expect a $915 Billion Dollar hit waiting to explode out of people's wallets. All of us can't go on spending and borrowing forever. Eventually, one by one, people will reach their maximum and just crap out. It's as simple as that. And just as frightening.

Here's a direct quote:

This past summer's subprime meltdown involved about $900 billion in now-suspect securitized debt, reckless lending, and consumers who buckled under the weight of loans they couldn't afford. Now another link in the consumer debt chain - credit cards - is starting to show signs of strain. And the fear that the $915 billion in U.S. credit card debt (an uncannily similar figure) may blow up has major financial institutions like Citigroup, American Express, and Bank of America strapping on their Kevlar vests.

Last month, as banks reported their worst quarterly results since 2001, concerns about rising credit card delinquencies began to make their way onto earnings announcements alongside mentions of subprime woes.

Big banks, such as Citigroup, Bank of America and probably a local bank near you are starting to feel the drain of consumer overspending. I wouldn't be blaming the consumer, though. After all, they were just doing what they were told to do: Spend And Save The Economy By Buying Worthless Crap.

Here's the doomsday quote from the article:

The doomsday scenario would play out something like this: Just like CDOs and other asset-backed securities, credit card debt is sliced, diced, and sold off again as packages of securities. Rising delinquencies would hurt not only the banks involved but the securities backed by the credit card receivables. Those securities would decline in value as consumers defaulted, leading to bank losses as well as portfolio losses in the hedge funds, institutions, and pensions that own the securities. If the damage is widespread enough, it could wreak havoc on the economy much as the subprime crisis has done.

Credit cards are unsecured loans. If the consumers default on them, it will be the banks that will suffer. Hopefully, the banks will go under. I have no mercy for predatory lenders. Every time I hear about the decline of a financial institution, a job loss, job cut, profit loss or any other negative news item related to a banking demise, I sigh a breathe of relief. How can anyone feel sympathy for these conglomerates who are nothing more than bottom feeders sucking the life blood out of fellow human beings? The pressure these monsters put on human souls to buy, consume and exhaust has caused so much excruciating pain to many.

Our only salvation will be when we rise up from the ashes and go back to living our wage. That is, living within our means, buying what we can only afford and living a life based on the reality of who we are. NOT a life that some marketer projected on a television screen, movie theater or promotional advertisement. The new reality of a Visa commercial will be a person who will be able to buy a product using cash. All other card holders will be sitting on the sidelines, waiting.

Life doesn't take Visa.

Visa has taken our lives.

Festival Of Frugality #98 and The Bloggin' Boomers #44

Frugality is going to be the 'Talk Of The Town' soon. It's going to be the new gold standard of everyday living. You can check out all the great frugal posts at this weeks Festival of Frugality by clicking here. Happy cost-effective reading!

Also, the Blogging Boomers have a great wealth of information over at Life Two click here for all the great news. Happy reading! Now.......go!

Credit Cards: Impressive Sign Of An Idiot.

I'm not impressed when I see someone paying their bill with a credit card. Credit cards, to me, show me that you aren't smart with your money. How can you be? Using a credit card means you are enabling banks to treat you like an idiot. You are allowing financial institutions to rip you off, fee you to death, overcharge, overindulge and sell your very soul to the devil. It's usually right about here in the conversation that people start telling me they pay their bill off in full every month, they get free airline tickets, rewards, bonuses and actual cash back. More and more, however, I am reading posts from these same people who have somehow missed a payment, had their credit card companies change a pay date or upgraded them without their permission, thus having their accounts levied with fees. These people still don't get it. The charge card companies are in the business to make money off of you. Heck, I'd throw you an airline ticket too if I could milk you for the rest of your days. Idiots.

Credit card contracts are written so that you, the consumer, loses. Don't believe me? Have you read your Disclosure Summary lately? I'll wait while you go get yourself a magnifier, because that's what you'll need in order to read the fine print. I got an offer the other day for a zero (0%) percent charge card. The opening top line read as follows:

As required by law, rates, fees and other costs of this credit card offer are disclosed here. All account terms are governed by the Credit Card Agreement sent with the card (so, in other words, this sentence you are reading is meaningless. You have to wait till AFTER you get your card and THAT statement will contain the full disclosure. ) Account and Agreement terms are not guaranteed for any period of time; all terms, including the APR (Annual Percentage Rate) and fees, may change in accordance with the Agreement and applicable law. (zero percent? what zero percent? we can change it at any time we want and you are going to pay and pay and pay). We may change them based on information in your credit report, market conditions, business strategies, or for any reason. (WTF? Say what? You can change the fees I am charged if the wind blows in a different direction than yesterday? Yes, idiot consumer. Yes, we can. Sign on the bottom line.)

The rest of the details include a list of their fees, but it doesn't matter what you read or what is printed because the information can change at any time. In fact, there is a disclaimer at the bottom of the page that states: The information in this summary was accurate as of 10/2007 and may have changed. Who in their right mind would sign such a document?

The list of fees are as follows:

9.99% for Platinum Plus or 15.99% for Preferred Accounts (who would prefer the latter?)
0% balance transfers apply till last day of the promotional period which will end on January 2009. After that, you will be charged the rate as listed above. The promotional period will end sooner if your payment is late (not received by 5PM ET on it's payment due date (which we can change at any time plus we don't use EST-eastern standard time, we use ET-eastern time:whatever that means)

0% applies to Direct Deposits that are not processed online and to Check Cash Advances. This must be done before November 10, 2007 otherwise you will be charged the interest rates, as listed above. After November 10, 2007 (what time?) you will be subject to the standard APR for Direct Deposits and Check Cash Advances of 24.99%. (Stop looking at rates printed above, because you can't get them). The Promotional Period will end sooner if your payment is late or the account balance is over the limit (and you haven't even gotten the balance transfer yet and already there's a threat you may be late).

Default APR: 29.99% for all purchases, balance transfer and cash advance balances if you are ever late, over the limit (or the sun shines on a Saturday afternoon).

Grace period: 20 days from statement closing date, provided you fully paid your New Balance Total from previous statement by it's Payment Due Date. The number of days between your statement Closing Date and your payment Due Date (the grace period) may vary from one Billing Cycle to another. (Folks, this is a real statement, subject to change of course, at any time, on the detail list. How are you supposed to know the 20 day grace period if they can change the number of days at any time? You are destined to fail and they are guaranteed to win. You are an idiot. They are genius.)

Is your head started to spin right about now? Mine is. I don't even want to type anymore I am so confused. And disgusted. How can you allow yourself to be treated this way? Credit card companies are snakes. When you play with snakes you are going to get bit by snakes (in the infamous words of Dave Ramsey). The list goes on and on about all the other fees and charges they are going to take out of your pocket. There are transaction fees (3%), bank and ATM fees (3%), overdraft protection fees (if enrolled) (3%), cash equivalent fees (3%) Say what? late payment and over-the-credit limit fee (ranging from $15 to $39).

Please don't think your credit card is any different from what I have listed here in this post. This kind of tomfoolery will soon be coming to a credit card company near you.

The poor classes don't have the means to get a charge card. They are the 'lucky' ones and they don't know it. There has never been a millionaire who made the claim that he/she became rich from their rewards, charge-backs, cash back, airline tickets, bonus points or whatever else a charge card company can fool you with. Only the middle classes use charge cards. As long as the middle class keeps fooling themselves into living a life they can not afford they will always remain right where they are. Unless a pay date changes, a payment is lost or late, or the sun rises on a Saturday morning, those middle classers will find themselves slipping into a bottomless pit. Welcome to the land of idiots.

And so it goes.

Saying Yes To A Discount.

Age has nothing to do with the senior citizen discount. I should know. When I was only 48 years old, I placed an order at a Wendy's for a burger and a coke. Usually, I calculate in my head what the anticipated bill would be and was surprised when the counter person charged me LESS than my expectation. I glanced at my bill and noticed a negative number above the final tally. I asked the counter person why the negative charge and she told me it was "a senior citizen discount." I was mortified. I immediately went into a tirade with the girl until she said she would charge me back the discount. When the realization hit me that I was now going to be charged MORE, I did an about-face, thanked her and left to go eat my burger in contemplation of this new found source of money.

I know I am NOT a senior citizen but because I have bouts of not dying my premature gray hair, I have found my laziness to be advantageous. On the periods of my life, when the gray roots start to take over my head, senior citizen discounts abound. I get discounts at coffee shops (.65 for a cup of java) bookstores, clothing stores, senior-citizen-Wednesdays, the movie theaters, restaurants and fast food stores, to name a few. Granted, yes, I am only 55, but that now qualifies me for affordable housing as well as reduced rent at some assisted living communities. Not that I would ever move to one BUT it sure is nice to know that these programs have now become available to me. Getting older may not be such a bad thing after all.

The best and nicest discount that became available to me this past week was at the train station. I was heading to New York City to meet my children for an afternoon. I placed my order with the ticketmaster at the train station: round trip to Grand Central Station, one way off-peak and one way peak with a Metro Card. This would have cost me $39 which is a lot of money. The ticketmaster, however, gave me the senior citizen discount and the total cost dropped to $21. If I had purchased the same ticket on the internet, the price would have dropped another $1. The discount saved me $18! This opened up a whole new world for me. It meant that I could visit my children more. I used the new-found money to treat my girls to lunch! The discount did not differentiate between peak and non-peak hours, so I could go earlier and stay later when I traveled to the city. This was a very good thing.

As we get older, our ability to earn money diminishes. Many retirees are on a fixed income, as I will be when I retire at age 66. It is very comforting to know that society cares for the elderly by offering these wonderful discounts. Some are available to you when you turn 55 and others when you are 65. Either way, I am grateful for them because they just make life a whole lot better for living.

Thank you.

And so it goes.

How Much Would You Pay For A Cupcake?

Yesterday my daughters and I spent the day traipsing around New York City. We all took the day off from our busy schedules and used the time to mother-and-daughter bond. My daughters wanted to get cupcakes from a local bakery, Magnolia, located in The West Village that was made famous from the HBO sitcom Sex And The City. The bakery opened in the late 1990's and became famous for their butter creme pastel-colored cupcakes. The demand is so great for these little treats that unless you pre-order them, you are only permitted to buy a maximum of a dozen per visit at a cost of $24. I'll admit they look cute. But after tasting one yesterday, they were no better than what would come out of a box mix. The cupcake was small and the frosting plentiful. I immediately knew it was butter creme frosting, but exactly how much butter they were using wasn't apparent. I'm sure the frosting was a mixture of butter, shortening, confection sugar, vanilla and food dye.

When we arrived at Magnolia's Bakery, much to my children's glee there was no line but that quickly changed once we got inside. I've posted 2 videos below for you to see. One is a clip of the mile long lines that appear outside Magnolia's and the other is an actual clip from Sex And The City with Carrie and Miranda indulging in the little cupcake that could. I suppose at $2 each, and if you only buy one or two, a sweet treat can make you feel good.

But how much should one pay for a cupcake? Really?

Festival Of Frugality #97

This week, the festival Of Frugality is being hosted by The Natural Living Family Blog. You can check out many of the healthy living submissions by clicking here. Healthy and frugal: that's a great combination. There are articles on 'going green', gardening and healthy recipes. Check them out!

A Room With A View.

This is the view from my desk, looking out a side window. Needless to say, I get very distracted. Especially when deer or turkeys and yes, even a big ole' bear goes meandering by. Most of the leaves are gone. One of the trees is already bare. No pun intended. I don't think I could ever sit in a room that didn't have a view, let alone, an office. The view helps make my job bearable.

And so it goes.

Don't Fear The Baby Boomer

Walter Updegrave answers every Gen Xer's nightmare: what happens when I retire and there isn't a Baby Boomer left working to cover my retirement? Read the answer here.

A synopsis:

NEW YORK (Money) -- Question: I'm 30 years old and invest regularly in my 401(k). So far, my account has been doing well, but I wonder whether that might change when retiring baby boomers stop making investment contributions and begin taking money out of their retirement accounts. Are we in for a bump down the road when the boomers retire? - Jason, Salt Lake City, Utah

Answer: News flash: The financial markets do not revolve around the baby-boom generation.

I know that may be hard to believe at times. Turn on the TV and you're practically inundated by ads from financial services firms offering all sorts of investment products and advice to retiring boomers. And the boomers themselves could certainly never be accused of underestimating their influence.

Indeed, at risk of incurring the wrath of my fellow boomers, I think I can safely say that my generation is one of the most self-absorbed and self-important in the history of the U.S., if not the world.

But if you're looking for things to worry about when it comes to investing your 401(k) and planning for retirement, your first priority should be making sure you're handling the current market turbulence the right way.

And even after that, there are lots of other things you should focus on, such as saving as much as you can and getting the most from your 401(k), before worrying whether boomers selling down their retirement assets will trigger a market meltdown.

In fact, I don't think the boomer effect should get much of your attention at all. Why? Well, for one thing, as my colleague Penelope Wang noted in her Thirteen Retirement Myths feature story in the latest issue of Money magazine, stock holdings tend to be concentrated among the very wealthy, who are not likely to have to unload all their assets during their lifetimes. Much of their wealth will remain invested so it can be passed on to their lucky heirs.

So the notion that virtually all of the boomers' retirement wealth will be dumped onto the market resulting in some huge mismatch of selling vs. buying that will drive down prices isn't a very accurate one.

This was essentially the same conclusion that MIT economist James Poterba reached in a paper he presented a few years ago at a summit meeting of central bankers from around the world, as well as what the Government Accountability Office found in a report on threats to retirement security that it released last year.

I haven't undertaken any such study, but the idea that selling from the boomers or any one group is going to bring down the stock market doesn't make sense to me on the face of it. After all, stock prices are set by the interplay of supply and demand from investors all around the world, not just the U.S.

And even if massive selling from the boomers did start to drive down stock prices, it's not as if stock prices would fall into a black hole and stay there. At some point, stock values would become so attractive relative to bonds, real estate and other investments that investors would bid stock prices back up until they settled at some equilibrium where they represented a fair value versus the alternatives.

So I suggest that all you younger investors out there focus on saving as much as you can in 401(k) and other retirement accounts and investing those savings as sensibly as you can. (For advice on how to do that, I suggest you check out my recent Money Magazine feature, Get On Track For Retirement.)

And don't waste your time or effort worrying about what the boomers will do in retirement. Truth is, they're not sure themselves.

Bloggin' Boomers #43. Bi-Polar Global Warming.

Our host this week has done an excellent job of highlighting some rather interesting posts from the Blogging Boomers. Give us a look by clicking here.

Happy reading.

Finding Joy In Your Life.

Dr. Christiane Northrup, a leading proponent of medicine and healing (click here for her website) says that for people to be happy they must find the five things in life that bring them joy. When I first heard this, I thought about what brings me joy and found the answer wasn't so easy.

There are many things that make me happy, but not too many things that bring me joy. Dr. Northrup's idea of joy could be as simple as a massage or a bubble bath. Those things make me happy. They do not bring me joy. I wanted to delve deeper into the question and discover something in my life that makes my soul rise. After a full week of thinking about Dr. Northrup's question, I arrived at the following five things that bring me utter joy:


1. The smiles on the faces of my two beautiful daughters.
2. Holding my DH's hand while we take an evening walk.
3. The sounds of the ocean.
4. Meandering through the streets of Italy.
5. Being and living debt free.

Take some time and think about what brings joy into your own life. It doesn't have to cost you anything. It could be a simple thing as taking your child to the park, walking your dog, sharing a meal with a friend or staring at the clouds on a sunny afternoon. Dr. Northrup says that in order to fully enjoy our lives we should spend some time experiencing joy. Have a nice day. Truly.

And so it goes.

Who's Spending Any Money Today?

The reports are in. Every single retail store: Macy's, Target, Sears, Bloomingdales, Neiman Marcus, The Gap and Old Navy, to name a few, have seen same store sales drop by as much as 10%. Falling home prices, rising credit card interest rates and adjustable rate mortgage sticker shock has kept the consumer feeling a bit broker these days. People still need things (notice the keyword: NEED) so stores like Wal Mart and Costco have seen an increase in sales. Wal Mart, in it's quest to attract customers has gone on a campaign to cut prices on over 1,500 items in preparation of the upcoming holiday market read the article here. But America's buying binge may be over (check out this related article here).

The economy is based on consumers going out and buying stuff. I don't think people want to do that anymore. Especially when they aren't feeling the 'wealth factor' anymore. Their homes are worth less, the falling dollar has made imports more costly (practically everything you buy is imported from somewhere else) food and energy costs are rising, interest rates on saving accounts are dwindling (4% vs. 5%) while interest rates on credit accounts are rising (9% vs. 29%). Even home remodeling has taken a dive click on this report from Lowes and Home Depot. Why would anyone want to fix up an asset, like a home, when it's value keeps falling? People are rethinking that expensive kitchen upgrade as well as a bathroom remodel. Those granite countertops, stainless steel appliances and whirlpool tubs aren't bringing back the big bucks they promised.

People are more concerned with just keeping a roof over their head, food on the table and gas in the tank. Desperate times like these cause people to stop and think what is really important in life. Have you considered the folly of that $1500 handbag yet? Yesterday on The Oprah Show, a woman with six children was highlighted for her spending habits. This woman/mom spent $300 to $400 a month on Starbucks, $60 a week on manicures, was $135,000 deep in consumer credit card debt while her children did not have health care. One daughter had rotting teeth and another child needed an MRI because she had a tumor growing on her optic nerve. You can see the story here. Oprah called in Suze Orman to speak to this woman and her husband and offer life saving money changing adjustments. The husband (who Suze blamed entirely for the wife's spending habits) was reluctant to make the most drastic change: sell the house and move to a less expensive area. Yet, he was all for his wife going out, getting a job which would supply health coverage for the whole family. Coincidentally, Suze recommended the wife get a job at Starbucks.
The husband was more concerned keeping his trophy-looking wife and the false facade she exaggerated to the neighbors than the well being and health of his family. Suze Orman was very precise to announce to the audience that this couple, though the worst Suze has ever seen, was not unusual. Many, many people live the way this family does. The only reason why they had agreed to seek help and advice was because they had finally exhausted their credit limits and borrowing power. There was no more money to be had. They were officially broke. Their $700,000 home was worthless.

If this family is typical, we should be hearing the roar of the dominoes as they fall. One by one, one person by one person, one family by one family will be facing the empty wallet. Hopefully you, unlike this family, will make the important changes in your life. The first step is to stop spending unnecessary money.

And so it goes.

Showdown in New York.

New Yorkers have a problem. In their quest to send the White House a message, many voters blindly voted Democrat without looking closely at the candidates. As a result we've got a steamroller Governor, Eliot Spitzer, who is hell bent on giving illegal immigrants a drivers license. Despite the fact that 75% of New Yorkers are against this, despite the uproar in the nation, including a no-holds-bar campaign against Spitzer by CNN's, Lou Dobbs read the NY Times article by clicking here, Eliot Spitzer, the newly elected Democrat governor of New York State is on an all-out campaign to issue these drivers licenses. Anyone who stands in Spitzer's way will be met with vengeful retaliation.

Such is the case with Spitzer and Republican Minority leader, James Tedisco, who dared to speak up against Spitzer's plan. As a result, Spitzer rescinded on a $100,000 NY state funded free health care clinic. Tedisco isn't suffering. The poor people in upstate New York are. You can read the article here. "This is truly governance by vengeance," Tedisco said in a press conference."

We all know the underlying reason why Spitzer wants illegal immigrants to have these driver licenses: voting power! Anyone can register to vote here in New York as long as they have a drivers license to prove who they are. It doesn't matter to Spitzer the safety of the citizens of New York City and New York State, nor the country. New York is the number one target for terrorists. Anything that undermines the safety of it's citizens, as this driver license stupidity does, is deplorable.

I'm starting to hate New York. I'm starting to wish I didn't live here anymore. I can't believe the plundering and pillaging that is going on in my beloved state. On September 11, 2001, my DH and I had to drive to the outskirts of New York City to pick up my two young daughters. They had just been evacuated out of Manhattan and transported to Hoboken, New Jersey after witnessing the tragic destruction of the World Trade Center. I shall never forget the smell of the air and the smoke fumes billowing up from Ground Zero. Any elected politician who doesn't keep the safety of New Yorkers his/her primary focus is doing the whole country a terrible disservice.

The problem with these newly elected Democrats isn't confined just to the Governor and New York State. My little town wanted to send a message to the White House also. After 62 years of Republican leadership, my town voted in a nobody whose only claim to fame was that he was a Democrat. He didn't even live in our town. He lives in New Jersey but he owns 65 acres of land here. First thing this Bozo did after taking office as our Town Councilman, was give himself a 63% raise. Second thing he did was give himself and his wife health benefits. Third thing he did was hire more employees for the Town Hall office because he felt the workers shouldn't have to multi-task. He hired a part-time receptionist because he didn't want the part-time bookkeeper having to answer the phone. Where does all the money for this come from? You guessed it. Local taxes need to be raised.

Let me assure you that George W. Bush knows absolutely nothing about my little town, nor does he care about the Spitzer madness. If the voters were trying to send Bush a message by simply voting Democrat, the only thing you accomplished was shooting yourself in the foot. For years I have been listening to the kudos of Hillary Clinton for what she has done for the people of upstate New York. I LIVE in upstate New York and I haven't seen one rotten thing she has done for any of these poor people here except her getting huge contributions from Corning Inc. (Corning Inc. manufactures bake ware and is the largest employer in upstate New York.)

We New Yorkers don't have to worry about being attacked from outside sources anymore. We're being attacked from within. When did New York become a bouncing ground for political gain? Hillary Clinton doesn't care about us. She's not even here in the state, she is out campaigning. This woman has a very good chance of becoming the next President of The Untied States, all at the expense and abandonment I might add, of the citizens of New York State. What makes you think Hillary will suddenly start caring about the citizens of The United States once she is magically elected?

Eliot Spitzer has vowed revenge to any DMV employee who threatens not to comply with his mandate on giving illegal immigrants driver licenses. So far, the DMV employees have stated they are willing to lose their jobs in order to keep the citizens of New York safe. Can you imagine? WE THE PEOPLE have to resort to such measures in order to insure our own lives? In an article just written in The American Chronicle click here to read it, Spitzer's disdain for the Department Of Motor Vehicle (DMV) employees is evident. Here's a direct quote:

The Governor is determined to shrug off massive opposition from the state residents and even his own Party. But that is not all - about a dozen county clerks have said they would refuse to go along with the plan, and several of them, including one Democrat, appeared at Monday’s hearing of the Legislature. The clerks’ offices in many upstate counties double as D.M.V. branches, and the governor has threatened to take legal action against them if they do not carry out his policies. Republican legislators threaten for their part, that they will cut off funding the MVD if they start issuing driver’s licenses to people who are in the country illegally. The MVD Commissioner, David J. Swarts, is singing the praises of his boss, the Governor. When grilled by the Legislators, Swarts told them with a straight face that MVD clerks will be able to judge the validity of passports offered for identification (authentic of fake) from all countries of the world.

People, we are all in trouble. Not just the residents of New York State. I've been thinking of moving out of New York, but where would I go? Every state is under some form of internal attack. WE THE PEOPLE have no rights anymore. America is not a democracy anymore; it is a dictatorship. We are being sold into slavery for a 'VOTE'. That's a switch. Our ability to vote was to set us apart from all other forms of democracy. Now, we are being enslaved by it. All that matters to our politicians today is power. And the way they achieve that power is through your vote. The politicians today will stop at nothing (as Eliot Spitzer is demonstrating) to get that vote.

As for me, I am voting for Rudy Giuliani. Rudy Giuliani is a native New Yorker and I know from first hand experience what he has done for my city. Rudy transformed a dying, forgotten metropolis into a bright, shining gem whose golden beacon could be seen from every corner of the universe. Can you imagine the glory and hope he will restore back to America? It was because of Rudy that I allowed my precious children to return to Manhattan to attend school, live and work. I look at what candidates have done NOT on what they promise to do.

Use your vote wisely. Your ability to vote is becoming a hot property. Think about what you are doing. Don't vote pure party line. Look at the candidates closely. And vote!

And so it goes.

Festival Of Frugality #96

Smart money and frugal living are part of this weeks' Festival of Frugality. Check out all the submissions (including mine) here.

Happy reading!

The Incredible, Edible, Low-Cost Egg.

In much of Europe, eggs are expensive and only eaten for dinner, as a main course. Here in America, eggs are inexpensive ($1.59 for a large-sized dozen) and are eaten quite abundantly for breakfast. When I was in Paris, I was in dire need of an egg. I ordered just one hard boiled egg with a scant teaspoon of hollandaise sauce and that little meal set me back $6.00! Same holds true in Italy and most of the European countries.

I decided that if I followed the example of our European neighbors, I could lower my food costs substantially. By having a continental breakfast of coffee, artisan breads with jams (orange marmalade is my favorite), a small glass of juice, a 1/2 cup serving of either plain yogurt or hard cheese and reserved my eggs for the evenings, I could reduce my food bill. (Plus, I could pretend I was back in Paris or Milan, for that matter!)

One of my favorite egg recipes is the frittata. I took this photo while the frittata was still sizzling right out of the oven. It's simply four beaten eggs combined with a half cup of Parmesan cheese, salt, pepper, paprika and parsley poured over sauteed (leftover) potatoes and onions. I had a bit of (leftover) stir-fried peppers, which I added to the potato mixture before adding the beaten eggs. Once the bottom of the mixture is cooked, I pop the oven-proof pan under the broiler for a few minutes until the top of the frittata is browned and puffy. I usually serve this meal with a light, mixed green salad and a small glass of either white or red table wine. It's delicious.

Another of my favorite egg recipes are these Broccoli and Cheddar tarts. Into 2 frozen pie crusts ($1.49 for both) I lay the bottom with crumbled cooked broccoli. (You can use any leftover vegetable for this recipe.) In a side bowl, I beat 2 large eggs with a 12 oz. can of fat-free evaporated skim milk. I add in salt, pepper, paprika,parsley and 1/2 cup of shredded cheddar cheese. You can use swiss cheese or whatever bits of cheese you have left over. I pour the cheese and egg mixture over the broccoli and bake in a 350 degree pre-heated oven till firm and slightly browned, around 45 minutes. I always make 2 because I eat one immediately and freeze the other for another time. You can either have the tart as an appetizer or as a main course. Side salad and glass of wine completes the dinner meal.




Another way I save money in the kitchen was buying this 'third shelf' from the oven manufacturer. It cost $25 but is well worth the expense. I called GE directly and bought another rack/shelf which in turn increased my cooking capacity, thus saving me money. The top shelf contains an apple pie with oatmeal cookie crumb crust and an organic spaghetti squash I bought from the local Farmer's Market. The second shelf has 4 turkey cutlets with seasoned Italian panko bread crumbs (I bought the cutlets this morning for $3.78 which was $1.50 off the $5.28 price because it was a last day-of-sale item). I'll be serving them later with my home made cranberry-orange relish. The bottom shelf holds the two broccoli tarts. Later on, when everything is cooked, and the oven is still hot, I will turn on the self-cleaning device. This cuts down on my energy consumption because the oven is already hot and will require no warm-up time.

I used 4 apples for the pie which cost me $1.60. The crumb crust is made from a mixture of Smart Balance "butter", brown sugar, old-fashioned oatmeal, cinnamon, nutmeg, all spice and ginger. The apples are seasoned with a dash of lemon juice, 4 tablespoons of sugar and cinnamon to taste.





If anyone tells you they neither have the time nor the money to eat well.......send them to my blog. I've got some Parisian and Italian lifestyle choices I'd like to share with them. Bon appetite!

And so it goes.

Clean Water And My Environment.

Clean drinking water in a rural community (such as mine) doesn't come easy nor cheap. My DH installed this system in our home after a solid year of research. If we were to hire a company to come in and install this system, you are looking at a $6,500 bill. DH did it for $2600. It comes complete with a reverse osmosis system, which is installed under our sink and gives us clean, pure drinking water. Before we put in this system, our water smelled like sulfur (from the rock) and left brown spots on our clothes, kitchen and bath appliances, teeth and hair. It was a nightmare.

My DH's research led us to a great company called, of all things "Budget Water". You can log onto their website by clicking here. They are patient, informative and we give them a thumbs up. You can't mention our name because you don't know who we are nor did Budget Water do the installation. They will, however, recognize their products. Tell them my jacuzzi tub thanks them, my pearly white teeth thank them, my dishwasher interior thanks them and my water bill thanks them. We no longer have to buy or haul gallons and gallons of drinkable water into our home.

This is our contribution to a healthy (and money saving) environment.

And so it goes!

Fox Launches New Business Network. Cool!

There's no doubt about it. I like to watch anything that has to do with money. I usually keep CNBC click here on during the day, then switch to Fox's Neil Cavuto show at 4PM, EST. Today the Fox network has launched a new, 24 hour business channel called, appropriately, the Fox Business Network (FBN). I get it on channel 359 through my satellite network. You can read a review about the network here. The critics so far say that it is going to be a battle between CNBC and FBN for viewers. That's a good thing for us, the viewer. The more they battle it out, the more premium, expert shows will become available to us. Right now, I'm betting on FBN to earn the gold star.

Also, tonight on FBN, the Dave Ramsey Show click here premiers at 8PM EST. If you have any money problems whatsoever, I strongly advise you to watch this life changing show. Dave Ramsey tows a tight line with his listeners and promotes a 'tough love' approach to getting your money problems in gear. If you want to get out of debt and live a debt-free lifestyle, Dave Ramsey is your guru. If you are facing foreclosure, credit card lawsuits, inheritance or investment questions, Dave Ramsey has the answers. I like Dave because he has mastered the debt-free lifestyle for over 18 years now. It's not easy. Dave keeps me centered.

I also like to watch the Bloomberg Network click here (in addition to the over 4 hours of internet reading I do per day and financial books I read per week). If you have gotten the idea that I am obsessed with money, you are correct. It's an obsession that I enjoy. The more I learn, the more I realize I had it wrong. Live and learn. Live and invest. Live well and prosper.

And so it goes.

Bloggin' Boomers Carnival #42

The Boomers have a plethora of information for you this week. Check them out by clicking here. Happy reading!

A Slow Economy Is A Good Economy.

Have you been food shopping lately? Have you looked at your fuel costs? Of course you have. Investors may be cheering wholesale prices but consumers aren't.

From an article printed today by CNBC click here to read, food prices are up. Way up. Here's a direct quote:


"Steak cost an average $5.52 a pound in August, near its 2007 high and the highest price since August 2004, according to government statistics.

Chicken breasts cost an average $2.33 a pound in August, up about 9% since January. And a dozen eggs cost $1.63, up 24% from a year ago. Rising milk prices have also been a big story in the U.S. agriculture market, though the price for a gallon of whole milk remained steady at $3.87 in September.

Much of the rise in food prices can be blamed on ethanol. The rising popularity of the alternative fuel, which is made from corn, has pushed corn prices to record levels this year. And since corn is a major ingredient in many food products, and is used to feed livestock, that's pushed up the prices at the supermarket."

I don't know where these authors get their food prices from but I am paying $4.49 a pound for chicken breasts and a gallon of milk costs upwards of $3.99. I don't buy milk. I buy soy for $2.99 a half-gallon BUT I do buy a lot of cheese. I always get Wisconsin mozzarella for $2.50 per 8oz. This week the price jumped to $3.98, a 60% increase. A dozen eggs cost me $1.79 for large. Pizza dough went from .64 to $1.04. Bean prices increased by 5%. I haven't eaten red meat ($16 a pound) in years and some meals are vegetarian. The reason why these particular items are upsetting to me is because these are my staple foods! These are the things I eat when I am trying to SAVE money. Every week I try to find ways to cut costs and be more creative, but guys, I'm running out of ideas. Throw in the weaker dollar and "that's not even all the bad news. Many experts predict that this is just the beginning of what may be an extended period of higher living costs".

We should sit and pray that our economy slows down. A slowing economy means it won't be easy for companies to justify raising their prices. Unfortunately, I don't know how that theory will apply to food and energy. We all have to keep on eating and heating/cooling our homes. We could go on a food boycott but how long could we keep that up? We can grow our own food as this guy from Brooklyn, NY did read article here. (Make sure you click on his video. How'd you like to have that in your backyard?)

I don't know what the answer is. Right now, DH and I are starting to actually eat less and use less. Oh! and that Wisconsin cheese? That already had been the new cheese of choice after down shifting from an imported variety. I've switched to another American made generic mozzarrella, made from fresh whole milk from Wal Mart. Cost is $2.84 for 16 oz. Who would have thought pizza would be a gourmet delicacy?

And so it goes.

As a side note: When the above food products go on sale, I stock up a 2 to 4 month supply. For example, chicken breasts went on sale for $1.99, I stocked up a 3 month supply in my freezer. Same for the cheese (freezes very well) and whatever else I need. Wal Mart sells local, large eggs for $1.29 a dozen as well as other (non China, non-imported) food products. I usually go once a month to Wal Mart to buy the major supplies and then shop the local supermarkets for their loss-leader items. This week I am going to Shop Rite to buy Chock-Full O'Nuts coffee for $1.64 per 13 oz. can vs. $4.00. I will stock up and buy a 6 month supply of this item and store it in my basement.

Maintaining a Rich Lifestyle On Pennies.

There's a certain lifestyle that I always liked to live. The first one being that I always liked to own two homes. One home was the major residence; the second was a vacation home. Since 1985, I've always owned 2 homes.

The other lifestyle choice I liked was owning a boat and driving a recent model car. I also liked one major vacation per year: either to the tropics or Caribbean in the winter.

In the 'Before Time', I used to own all of the above, but I was mired in credit and debt. Over time, this lifestyle of mine became unsustainable. Was I asking too much or did I have unrealistic goals? From the time I was a little girl, I used to daydream and imagine the lifestyle I wanted to live. I always believed that life was a maze. Once you knew where the ending was, you could back peddle and find another route through the labyrinth until you made it to the other side.

In 2001 I had to give up all the material possessions, as listed above. I did NOT, however, have to give up my lifestyle choices. I just had to find a different route and adjust my expectations accordingly. The secret, I found out, was to go smaller, more manageable, more cost conscious and for just pennies I could eek out my dream lifestyle. Without borrowing, I might add. So, I cashed out, regrouped and restarted.

Without debt and credit, my money was free to purchase unencumbered. Without high interest rates and costly fees my money, in reality, had more purchasing power than I had ever realized. That was the secret of this new maze I was traveling through. I found out that by not being so mired in certain choices and decisions, if I remained flexible and open to anything, I could achieve my desired lifestyle yet once again.

So, I'll start with house #1. It's smaller than what I owned before. But, in reality, it's all I need and it's mortgage free. It's custom built to my needs and affords me a very comfortable standard of living. There are no granite counter tops nor stainless steel appliances but it gets the job done nonetheless. Living in it for five years allowed me to save an 'imaginary' mortgage payment which in turn I used towards the purchase of a vacation home. Again, the home is very small but it's one block from the beach and provides me with what I need. Next came a boat. Rather than purchase and finance a $25,000 powerboat, I bought a 20 year old, 22ft. sailboat for $6100 cash. It's powered by the free air. I learned how to sail and found a new sport and friends at the same time. When it came time to get a car, I bought an end-of-year plain Ford model, manual transmission with only air conditioning and a CD player for creature comforts. There are no heated leather seats, cruise control, GPS or any other status gadgets inside the vehicle. It just gets me from point A to point B comfortably.

Gone are my days of expensive restaurant meals. I learned to cook better than any gourmet. Gone are the imported French wines. I'm content with Italian Chianti, California Chablis or any locally made brand. Gone are imported cheeses. Welcomed are the cheeses of Wisconsin. I still vacation once a year but my Caribbean vacations have been replaced with jaunts to Italy, where I have family. My only expense is airfare and a portion of my living share. My entertainment budget can be found inside my local library. Occasionally I will still attend live performances but only when a steep discount is offered. I've learned to appreciate the parks and nature and anything with the tag FREE attached to it.

I don't have the latest iPod, camera, TV or computer. My large screen TV was purchased (for cash) in 1995 and still serves me well. Most of my gadgets have been either birthday or Christmas presents and are at least 4 to 2 years old. My jewelry has been the same for 20 years. I don't need trinkets to adorn me nor whisper my status to strangers. I am who I am. I have no one to impress.

I just enjoy living a rich lifestyle for pennies on the day.

And so it goes.

Correcting Lifetime Mistakes.

I'm going to go out on a limb now and admit to some stupid mistakes I've made. Ever wake up in the middle of the night and realize you did something asinine? That's been me these past few weeks. I've been having tons of those 'light bulb' moments. So much so, that I find myself with my head in my hands exclaiming: "What was I thinking?" Just because I am 55 years old, doesn't mean I am a grown up.

I console myself by telling myself that at least I have realized the errors of my way and make a vow to never do it again. Some of these errors however, can never be corrected nor can I play 'catch up'.

Like the time (August 2007) the stock market took a dip. All the investment mentors I admire and respect said not to panic, don't make a move, stay firm. Did I listen? No. I moved my portfolio out of stocks and into a money market account only to see the stock market return within 2 months. Now, I'm back into mutual funds but I lost $3700 in just that 2 month transfer. Odds of me ever recouping that money? Right now, it doesn't look too promising but I've called it wrong before. I can console myself and say, well, at least I'm back in the game. If I had stayed in the money market, the 5.25% rate of interest I was earning dropped down to 4%. The drop was due to the Feds lowering the interest rates by one basis point. In turn, the stock market has soared and I'm back on the incline.

There was another time I actually withdrew $1000 out of my Roth IRA to buy airline tickets to Europe. I never bought those tickets but rolled over the money back into the Roth IRA (within the 60 day guideline) once I realized my stupidity. Again, it was a panic in the middle of the night that compelled me to awaken and realize my folly. Why was I playing with my retirement portfolio? There were periods where I stopped my weekly contributions all together. Hey! I'm not a kid anymore.

I've got over 11 years to dote on my retirement portfolio before I retire at the age of 66. I've decided to concentrate fully on socking away as much money as I can and act responsibly. This retirement stuff is serious business. I've lowered my standard of living by $5,000 and aim to put that money into my retirement account along with my regular weekly deposits. I've scaled my standard of living so far back, even I am starting to squeak. Plus I've taken on a second job and that additional revenue is being socked away. If a product comes in a generic version, I buy the generic instead. I've been stock piling loss-leader food sales and only preparing meals around bargain food deals. I've streamlined, refined, defined my future goals. I'm reading everything I can regarding preparing for retirement. One great read is this Money Magazine article debunking the myths of Saving For Retirement click here to read the article.

One myth revealed is that it's never too late to start correcting a lifetime of mistakes and misjudgments. The comfort is in knowing I wasn't alone in my bad decisions. The remedy is to admit your mistakes, dust yourself off and get back on the track. So, I did.

And so it goes.