Airfare
Greater demand and fewer available airline seats will likely lead to higher ticket prices for flights next year.

Digital Cameras
Smartphones have quickly replaced budget friendly point-and-shoot cameras, so manufacturers and retailers are focusing more on higher-end digital SLRs.

Hard Drives
There’s been a shortage of hard drives thanks to epic flooding in Thailand in 2011, and some retailers have actually been rationing hard drive–based products.

Desktop Computers
The consolidation of desktop features into monitor-integrated units — many with touchscreens — will drive desktop prices up in 2012.

Food
Most retailers have reported that food prices are rising and those increases are being passed along to shoppers.

Mobile Data Plans
Data plans in the past have had a tendency to decline, but as carriers build out 4G and LTE services, and move away from unlimited plans, data is set to become more expensive in 2012.

You can check out the rest of the list at dealnews.com.

Post from: EveryJoe

Last September, the IRS deposited $110,000 into McDow’s bank account in error. Apparently the intended recipient had closed her bank account and the number was re-assigned to McDow. When the woman discovered that McDow had her money, she called him, only to find he had already spend $60,000 of it. The woman declined his suggestion for monthly payments and called the police.

McDow was then arrested and charged with grand theft — his bail amount is $110,000.

This story begs plenty of questions. How long do banks wait before re-assigning account numbers that have been previously used? Why would McDow think the woman would go along with a payment plan when he stole her money? And who in the heck gets $110,000 back from the IRS!?

[Huffington Post]

Post from: EveryJoe

I make more money than my husband. Granted, he’s working on a Ph.D. right now so his earning potential is limited, but I’m still the primary breadwinner. But even after he is done, chances are that my earning potential will still be higher. I am in the minority in this area. But, apparently, not as much in the minority as I used to be. The Pew Research Center recently published a report about “the rise of wives” as breadwinners, and found that one in five marriages boasts the woman as the dominant earner. Looks like social change is coming.

In fact, women are so well educated, and have such high earning potential, the roles are reversing in terms of who benefits financially from a marriage. The Washington Post offers this insight on the study’s results:

Looking at the impact of nearly four decades of social change, the report shows that men increasingly get a significant economic boost when they tie the knot — improving their household incomes and often pairing up with a partner who has at least as much education as they do. Compared to 1970, when men usually married women with less education and fewer wives worked, these changes have contributed to a “gender role reversal in the gains from marriage,” the report said.

Overall, men are still the primary breadwinners in most households (especially in my corner of the world — Utah). However, it is becoming less uncommon for women to be contributing a great deal as well. And men are seeing an improvement in their fortunes as they marry.

Of course, this means that the “money talk” is even more important before and during marriage than ever before. As finances continue to become more complex, it is vital that you take the time to get on the same page about money.

Image source: FunnyBiz via Flickr

Post from: EveryJoe

It may seem counter-intuitive, but many personal finance gurus cite charitable giving as one of the most important aspects of financial planning. For giving money away! But the idea is that when you live your life acknowledging that you can help others through charitable giving, you live more abundantly.

If you have spiritual convictions on the subject, you probably believe that you will be blessed when you share some of your money with others. On a non-spiritual level, someone who budgets for charity and prioritizes such items are likely doing something similar in all areas of their finances, and are likely to be doing well.

In the end, I think that it is vital to share some of my wealth with others. There is almost always someone who needs help desperately, and I think that charitable giving is an important part of sound personal financial behaviors.

What do you think? Do you give to charitable organizations?

Image source: United Nations via Flickr

Post from: EveryJoe

This book is written by Michelle Singletary, and encourages you to stop using credit cards for 21 days, and only buy things that are necessary for survival. That means you buy food, pay your bills and only buy clothing if you are in danger of going naked. It’s an interesting concept. If you stopped to think about your spending habits, what would you find? Taking on this challenge would force you to consider your spending priorities, and take an honest look at where your money goes.

I’m not sure that I could take this challenge in its full form. But I do think I could stand to examine my spending habits and motives a little more closely. What about you? Could you go 21 days without spending money on unnecessary things?

Post from: EveryJoe

My financial New Year’s resolutions

Every year I make resolutions. I try to keep them simple and doable. Things that I know will probably help me improve my overall financial situation in the long term. For 2010, I have three main personal finance goals:

1. Refi: This is a holdover from last year. I never refinanced the house like I had planned, so this is the very first thing on my list. I’ve been preparing a bit so that the refi is possible, so hopefully this will be accomplished.
2. Health Savings Account: I’m sick of waiting for the pipe dream of actual health care reform. And I’m even sicker of the premiums I pay. Even paying out of pocket for everything (my family’s health expenses are fairly low), I could save money with a high deductible plan with a small premium. And that mean’s that I’ll want a Health Savings Account to go with my shiny new health care plan.
3. Retirement account for my man: My husband has been working on his Ph.D., so the only retirement account we have is my Roth IRA. That’s going to change this year. Even if my man doesn’t get a job with retirement benefits after he completes his education, we can still fund another retirement account. And we will.

Do you have any financial New Year’s resolutions? What are they?

Image source: onemonkeyshow

Post from: EveryJoe

1. Sell it: Just sell it. Even if you don’t get “full price” you are still getting cash you didn’t have before — for free.
2. Regift: As long as you don’t get caught, regifting can be a great option. Just be sure to remember who gave you the present, and try to avoid regifting to common acquaintances. This year’s unwanted Christmas gift can save you money when it is time to buy your buddy a birthday present.
3. Return it: Just take it back. If you have a gift receipt, this is easier. But if you don’t, many stores will take it back anyway. The downside is that if you don’t have a gift receipt, you might end up getting back the clearance price, even if the giver paid full price. And you may just get store credit rather than cash.
4. Donate it: Give it to charity. Someone else might be able to use it. And you can take a tax deduction for its value.

Of course, if you are concerned about the effect getting rid of the gift may have on a relationship, keep it. Make sure that the giver sees it for a couple of years, and then you can quietly donate it.

Image source: Kelvin Kay via Wikimedia Commons

Post from: EveryJoe

1. Brutal Honesty

The first thing you have to do is have an idea of where you are at. This means that you need to be brutally honest about how much debt you have, and how much income you have to help pay it off. You also have to take a good look at your spending habits and be brutally honest about why you’re in this position to begin with. You have to be willing to change.

2. Create a Plan

Next, you have to take the information from your financial self-discovery and create a plan. This plan needs to include a strategy for changing your money behaviors, as well as for paying down your debt. If you don’t create a lifestyle change in the way you spend money, you will just rack up the debt again down the road. So make a plan that includes replacing negative money habits with good money habits, and then make a plan for paying down your debt.

3. Don’t Forget to Save

Make sure that, as part of your plan, you are still setting something aside for savings. It doesn’t have to be a lot, but it should be something. You need an emergency fun to fall back on, and you also need to develop a habit of saving. It’s worth noting that many people fall into the trap of putting every dime toward debt reduction, and then when an emergency comes up, they are right back to square one, since the credit card is used to alleviate the emergency. Don’t let that happen to you.

4. Negotiate Your Loan Terms

In some cases, you can negotiate your loan terms. Contact creditors to see whether they will reduce your interest rate. Many creditors do this just for the asking. If things are really dire, you can explain your situation and negotiate a repayment plan. If you are in earnest about repaying your debt, many creditors will work with you. But, if you need professional counseling or help, seek it. Just be careful to avoid scammers.

5. Look for Additional Income

You can speed the process considerably if you look for extra income. Take an extra job, or look for online opportunities. There are options wherever you look, and every little bit helps.

Image source: Daylife

Post from: EveryJoe

I have been hearing a lot about the comeback of the charge card. What is a charge card? Is it difference from a credit card?

There is no denying the convenience of plastic money. However, even though a debit card is preferred by many, the debit card lacks a number of advantages and protections available withe a credit card. Many people, though, are justly concerned about the potential for problems with using a credit card. Is there some sort of happy medium? Actually, there is. It’s called a charge card. The charge card was the forerunner to the credit card, but it never completely went away.

I received a recent email on behalf of American Express with helpful information about one of the main differences between a charge card and a credit card:

Many consumers use the terms “charge” and “credit” interchangeably and are unaware that there are differences between Charge cards and Credit cards. For example, American Express has a Charge Card program that helps consumers spend within their means because the total balance is due in full at the end of each month. Meanwhile, unlike credit, with Charge consumers aren’t paying 10 times more in accrued interest fees.

A charge card is plastic money in which the balance must be paid off each month, so you have to have the funds available. (There is often an annual fee in order to make up for the fact that charge cards don’t collect interest, but it’s not that horrible.) But there are also credit card like features that include:

• Purchase protection.
• The ability to build a credit history.
• Rewards.

A charge card, if you don’t mind paying the annual fee, can be a happy medium between debit and credit, bridging the gap and allowing you to avoid debt while still retaining some of the more valuable and desirable advantages often associated with credit cards.

Image source: Fish Train

Post from: EveryJoe

Here are some of the celebrities listed by Free Money Finance:

1. Michael Jackson
2. Mike Tyson
3. Nicolas Cage
4. Kim Basinger
5. Gary Coleman
6. Corey Haim

And, of course, I can think of a few more off the top of my head, including Elton John, Britney Spears and Lawrence Taylor. These starts have all had money problems. And Kevin Bacon has fallen on tough times, since he had put his trust in Bernie Maddoff.

So, even if you don’t spend more than you earn, it is still important to be careful of who you trust, and try to avoid giving any one person too much control over your financial future. But, in the end, true wealth is built little by little, with prudent decisions, and by living within your means, rather than spending everything — and then some — on a lavish lifestyle.

Image source: Missbritttney via Wikimedia Commons

Post from: EveryJoe