One of the more amusing responses to my unofficial Gal Pal Survey was from a friend whose father advised her, "Never live beyond your means, pay off your credit cards each month, and remember that there will ALWAYS be another sale!"
But I Want It!
As children, we were all guilty of asking our parents for something that caught our eye while shopping that we just had to have. At first we were given a simple "No." Then we'd beg, "Come on, it's on sale!" As adults, we justify a purchase we probably shouldn't make the same way, "This sweater regularly sells for $250.00!" But it's true, there will always be another sale.
If you can't afford that cashmere sweater, or any other discretionary item, the solution is not to buy it on credit. Simply don't buy it at all, or save for it first. But it's hard to resist temptation in today's wired world where we are bombarded daily with e-mails offering us all kinds of deals...that END TOMORROW! And it's also way too easy to hit the link that takes us to the retailer's site in an instant. Driving through traffic to the mall, where the only open parking space would be at the far end of the ginormous lot, and then schlepping to the store at the opposite end of the mall on the second level seemed to take so much more effort--which made us take a healthy pause before whipping out the charge card.
The Proof Is in The Advertising
For you shopaholics out there who still need convincing, how many times a month do you receive a 33% off coupon from Borders? You rush to make a purchase and a week later a 40% off coupon arrives in your mailbox! I also get e-hounded by The Body Shop. Last month an e-mail announced "2 Days Only! Save 30% Off Entire Site!" Not even two weeks later, another e-mail said, "Free Shipping Today Only! 80% Off Sale Ends on Monday!" --and let's not forget a couple of other daily-specials e-mails in between.
But my favorite tease this summer was from Skier's Edge. I've been eyeing their training machine for a while now...and it would be SO good for my knee! But they're SOOOO expensive. Then I learn that they're on sale and I can save over $700! Then I get the e-mail that says, "The Super Summer Sale ends July 6th, but today is the last day to get the 6-year warranty bonus!" Then comes the "Only 3 Days Left!" warning, followed by the final day e-mail that reminds me in bold font not to miss out because "This sale will not be repeated!"
BUT WAIT!
The sale gets extended! And now I have "ONLY 4 HOURS LEFT!" to take advantage of the lowest prices in the company's 25-year history! While supplies last, of course. I was tempted, but I still didn't bite. The machine still seemed too pricey for me even on super sale. Maybe I'll get lucky on Craig's List one of these days.
Buyer, Be Aware!
So when whatever you're craving does go on sale again--and you have the funds to pay for it while still living within your means--avoid the trap of buying it in two colors because it's so cheap!
Last Updated ( Saturday, 31 July 2010 13:52 )
This Isn't Your Father's Diversification
Written by Jody Cohan
Saturday, 19 June 2010 11:23
The most popular tip reported in my gal pal survey was "diversify, diversify, diversify." In other words, don't put all of your eggs in one basket.
When It Comes to Financial Advice, Apparently Father Knows Best
Written by Jody Cohan
Monday, 31 May 2010 20:08
Recently I asked my gal pals to share with me the best piece of financial or investment advice they have ever received...and who gave it to them. I thought my survey would result in one blog of several one-liners, but I got so many interesting responses, I'll be writing about them for months.
For starters, I note that the overwhelming source of sound financial advice was dear old dad. This doesn't surprise me as I, too, am the beneficiary of many fruitful financial discussions with my father. But isn't it a pity that we weren't taught some basic financial planning in school beginning at a very young age?
Two days after I wrote about travel insurance last month, an Icelandic volcano spewed so much ash over Europe that air travel there came to a grinding halt. Whether or not travelers are --or will-- be covered for this unprecedented event depends on the individual policy and when it was purchased.
Some of us plan and save all year for a vacation, but then a family member dies, you break your leg, the trip supplier goes out of business, a crisis hits at work, a hurricane decimates your desert island, the cruise ship departs without you because fog shut down the airport where you had a connecting flight, or a war breaks out in your destination.
Last month I wrote about whether or not to stay in your home when you're on your own by relating the experiences of two women currently facing that decision. This month, Janet French, a Certified Mortgage Planner and partner at Silverstar Finance, offers her thoughts on the topic:
Is staying in the family home after a divorce or death a good decision or even feasible? First, it's important to consider why you want to stay in your home. Ask yourself these two questions:
The end of the year isn't the only time for tax planning. The beginning of the year can make a big difference, too. One way is to reduce your taxable income. Contributions to retirements accounts are always a good way to reduce taxes, but if you are near a tax bracket threshold, try to save enough to move yourself into the lower bracket by the end of the year for additional savings.
Kara's prince took off with another woman. No explanations, no wanting to work at it. Done. One long-term marriage, two under-aged children, and a nice home. Now what?
Did National Breakup Month thrust you into a life transition? If so, you’ll find out who your real friends are...and you will need them—but for more than just a shoulder to cry on. Your best friend’s husband may be a CPA who can help you assess your financial situation and make a budget. Another friend may be a real estate broker who can help you decide whether or not to sell your home.
It can take a coffee klatch to weather such a storm and good friends will want to help, especially if they see you trying to help yourself. Don’t be afraid to ask.
If National Break-Up Month has left you queen of the castle, now is the time to acquire and develop some new skills so you can support yourself and your family. Whether it’s computer training, job interview techniques, financial planning, or home and automobile maintenance, take inventory of what you want—or need—to learn. Then check your local community college or vocational school for classes that are more than affordable, or look for a local organization like The Jericho Project for the Advancement of Women in New York (JPAW).
