Saturday, August 13, 2011
Private Venture
I finally got the time to start up a private venture to help channel my hobbies. I am a motorhead at heart and always looking for the latest and greatest automotive accessories. I decided to go ahead and start a sole proprietorship website to sell automotive products while trying to provide expert advice and superior pricing. www.GreaseBandit.com is now up and running and I'm constantly working on uploading new products. I hope to eventually grow my internet business but in the meantime I'm providing service to friends and family who are looking for an alternative to other high priced automotive sites and stores.
Finally Cut the Cord
Well I finally cut the cord and canceled my cable TV. The price had continued to grow as the service and satisfaction continued to drop. The final nail in the coffin was fully converting to digital and I was required to place a $2/month box at each of my TVs. We don't have any other broadband internet options right now so I had to keep that service, but our local phone and cable TV was dropped which will reduce my monthly cost by roughly $120/month after taxes. All the programming we normally watch can be found at the network tv websites for free but with a little more trouble. We may also spend a month or two worth of savings on a media player which would automatically grab the programming we like to watch for us. It's refreshing to be free from that leash and I encourage others to try it!
Tuesday, January 11, 2011
Aquiring Money Making Hobbies
Everyone needs a hobby. They keep us sane in times when we need an absolute break from the real world. The options are endless from fishing, hunting, camping, collecting stamps/cards/antiques/beanie babies, biking, hiking, skiing, ATVing, etc... Some of our hobbies are driven by the need for a fix. We have a need to get away and be disconnected, or a need for speed and excitement. While others are purely driven by boredom or pursuit of purpose.
What I'm proposing is that we consider the earning potential of our hobbies. I for one have several hobbies that are not what I consider cheap, and do not earn me money. They consist of equipment that loses value over time and requires expensive maintenance, insurance and fuel. I really enjoy these activities though so I've made a commitment to continue enjoying many of these activities with my family because personally the value of the time with my family exceeds the cost. But I've also made a commitment to pick up additional hobbies that create an earning potential and that might also generate new family experiences.
Some of these hobbies include cleaning up the basement and attic and holding a garage sale or continually listing items on eBay. We've easily generated an extra $250-$400 a month through listing 10-15 items a week that we have lying around the house and have no use anymore. I've also begun investigating the earning potential of storage locker auctions. Not only can you generate additional eBay merchandise but there's a small chance you might find something extremely valuable for very little investment.
My wife also participates as a sales person for AVON, Tastefully Simple and Lia Sophia. She's able to generate additional income and enjoys the organization aspect of putting together the orders and seeing what's new. She's also able to purchase the things she wants at her cost and pay for them with her profits.
If you like to perform yard and garden work then you can work on the side for others with landscaping or make money using the equipment you've purchased for your hobby. If you like to work on cars then you can charge for simple maintenance or start-up a detailing business. Sometimes you can even barter these services for parts or services. I plow neighbors driveways in the winter because I enjoy running around on my ATV and my neighbors always jump to lend me a hand or a tool when needed for my projects around the house. A friend of my is always helping others but built his own garage without paying for many tools or services because he cashed in on favors instead.
The idea is to continue to enjoy life to it's fullest but try and find a way to make them also pay for themselves or help others. We don't have to give up our hobbies to save a dime if we are creative about.
What I'm proposing is that we consider the earning potential of our hobbies. I for one have several hobbies that are not what I consider cheap, and do not earn me money. They consist of equipment that loses value over time and requires expensive maintenance, insurance and fuel. I really enjoy these activities though so I've made a commitment to continue enjoying many of these activities with my family because personally the value of the time with my family exceeds the cost. But I've also made a commitment to pick up additional hobbies that create an earning potential and that might also generate new family experiences.
Some of these hobbies include cleaning up the basement and attic and holding a garage sale or continually listing items on eBay. We've easily generated an extra $250-$400 a month through listing 10-15 items a week that we have lying around the house and have no use anymore. I've also begun investigating the earning potential of storage locker auctions. Not only can you generate additional eBay merchandise but there's a small chance you might find something extremely valuable for very little investment.
My wife also participates as a sales person for AVON, Tastefully Simple and Lia Sophia. She's able to generate additional income and enjoys the organization aspect of putting together the orders and seeing what's new. She's also able to purchase the things she wants at her cost and pay for them with her profits.
If you like to perform yard and garden work then you can work on the side for others with landscaping or make money using the equipment you've purchased for your hobby. If you like to work on cars then you can charge for simple maintenance or start-up a detailing business. Sometimes you can even barter these services for parts or services. I plow neighbors driveways in the winter because I enjoy running around on my ATV and my neighbors always jump to lend me a hand or a tool when needed for my projects around the house. A friend of my is always helping others but built his own garage without paying for many tools or services because he cashed in on favors instead.
The idea is to continue to enjoy life to it's fullest but try and find a way to make them also pay for themselves or help others. We don't have to give up our hobbies to save a dime if we are creative about.
Friday, January 7, 2011
Arm Yourself for 2011 Tax Changes
Tax season is here and although we've heard over and over on the news that the Bush era tax changes have been extended, it's also critical to note that changes have been put into effect for 2011 by the IRS. First and most important it should be noted that taxpayers will have till April 18, 2011 to file their taxes as opposed to the traditional April 15 deadline. This is due to Emancipation Day being observed on April 15 in the District of Columbia (http://www.irs.gov/newsroom/article/0,,id=233910,00.html?portlet=7).
Even more important is the fact that the new tax law enacted by Congress and passed by President Obama will not be programmed by the IRS until mid to late February. These new laws passed in February did not give the IRS enough time to reprogram it's processing systems in time for the normal January submissions.
Folks required to wait will be anyone who itemizes deductions on Form 1040 Schedule A including deductions for mortgage interest, charitable donations, medical/dental expenses, as well as state and local taxes. It also includes individuals claiming higher education tuition and fees or educator expenses.
Stay tuned for more to follow on tax credits and deductions to consider including those often forgot about.
More on recent tax changes can be found at: http://www.irs.gov/formspubs/content/0,,id=178012,00.html
Even more important is the fact that the new tax law enacted by Congress and passed by President Obama will not be programmed by the IRS until mid to late February. These new laws passed in February did not give the IRS enough time to reprogram it's processing systems in time for the normal January submissions.
Folks required to wait will be anyone who itemizes deductions on Form 1040 Schedule A including deductions for mortgage interest, charitable donations, medical/dental expenses, as well as state and local taxes. It also includes individuals claiming higher education tuition and fees or educator expenses.
Stay tuned for more to follow on tax credits and deductions to consider including those often forgot about.
More on recent tax changes can be found at: http://www.irs.gov/formspubs/content/0,,id=178012,00.html
Welcome to Frugal Personal Finance for the Average Joe
Welcome to the new Frugal Personal Finance for the Average Joe. I'm building this blog to help financially responsible individuals identify the latest ways to personally manage their wealth and build their kingdom on their own while meeting the demands of working a full time job and providing the novelties we've come to appreciate.
Making frugal decisions on how you manage your finances and taking advantage of the opportunities to earn additional income or make your money work for YOU will make a real difference over a long term commitment. What most families fail to realize is that it can also make a real difference in the short term as well. Simple changes in your life can make immediate impacts such as analyzing your monthly expenditures and realizing that each $5 latte, $30 movie, $30 dinner, and $200 cable bill will nickle and dime away your monthly income quickly.
We also have to seize the opportunities throughout the year to make the most of opportunities to save or build our portfolios. For instance, applying your yearly bonus to debt instead of buying a new TV or ATV could reduce your 4 year car loan to 3 or 2 years. That could save you $300-$500 every month, plus earn you money saved on interest charges. Making educated decisions on filing your taxes could also save thousands each year allowing you to pay down your debts quickly.
Lastly taking those few hours you spend each night searching eBay or watching TV can be shared with a hobby to earn you additional income on the side. Instead of spending money on impulse buys for that rare purple polka dotted beanie baby you could be earning a few dollars by listing the junk piling up in your spare bedroom. It's amazing what people will buy. You could also take up additional hobbies such as attending storage auctions, doing lawn work or running errands for money. You could also just use that time to perform home improvement around you house and property which will result in earned income if you ever sell your home.
Each potential to earn or save a few dollars may seem like noise in the grand scheme against that $5,000 credit card debt, $1500 mortgage payment or $500 car payment, but the idea is that each of those nickles and dimes add up over time and the sum of the parts make a huge difference!
Making frugal decisions on how you manage your finances and taking advantage of the opportunities to earn additional income or make your money work for YOU will make a real difference over a long term commitment. What most families fail to realize is that it can also make a real difference in the short term as well. Simple changes in your life can make immediate impacts such as analyzing your monthly expenditures and realizing that each $5 latte, $30 movie, $30 dinner, and $200 cable bill will nickle and dime away your monthly income quickly.
We also have to seize the opportunities throughout the year to make the most of opportunities to save or build our portfolios. For instance, applying your yearly bonus to debt instead of buying a new TV or ATV could reduce your 4 year car loan to 3 or 2 years. That could save you $300-$500 every month, plus earn you money saved on interest charges. Making educated decisions on filing your taxes could also save thousands each year allowing you to pay down your debts quickly.
Lastly taking those few hours you spend each night searching eBay or watching TV can be shared with a hobby to earn you additional income on the side. Instead of spending money on impulse buys for that rare purple polka dotted beanie baby you could be earning a few dollars by listing the junk piling up in your spare bedroom. It's amazing what people will buy. You could also take up additional hobbies such as attending storage auctions, doing lawn work or running errands for money. You could also just use that time to perform home improvement around you house and property which will result in earned income if you ever sell your home.
Each potential to earn or save a few dollars may seem like noise in the grand scheme against that $5,000 credit card debt, $1500 mortgage payment or $500 car payment, but the idea is that each of those nickles and dimes add up over time and the sum of the parts make a huge difference!
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