Monday, November 16, 2009
Cheap ass friends
Saturday, November 14, 2009
Weekend articles
Thursday, November 12, 2009
Imitation = flattery
Going car-free would be good for me, I figured. Obviously I'd save money on insurance, gas and other car-related costs. I'd get more exercise. Best of all, I would no longer have to worry about maintenance, parking or cleaning bird poop off the windshield.
Not that I wasn't apprehensive. How much time would walking or riding the bus steal from my already-crowded days? Would hunting down ultrabargains be possible without driving from store to store? If not, would my frugal lifestyle be compromised?
The past few months have been a revelation. I feel much better physically. Not only have I lost weight, but I've been reminded that walking is a great stress reliever, thanks to the endorphins our bodies produce. Not only are endorphins legal, they're also free.
More to the point, adding up last year's auto-related expenses shocked me -- and my car had been paid off for years. Vehicle ownership is the biggest single expense in many people's lives, and not owning a car can be the biggest single weapon in a serious-minded budgeter's arsenal.
Monday, November 9, 2009
Dry cleaning costs HOW MUCH???
Fortunately, I only have to see these people a handful of times each year. Ironic that I escaped a stressful East Coast city only to end up working with a bunch of those personalities anyway, precisely because of my experience living on the coasts.
But my biggest surprise was how much all of my dry cleaning cost. Because I was at a bunch of high profile meetings and events last week, I broke out several suits and one gala dress. Usually I wear business casual clothes to the office that I can machine wash, but this past week was different. The total for four days worth of clothes? $45! How the heck does anyone afford that regularly?
And if there's one thing all my recent travel reinforced, it's how much I love living in Minneapolis. Man, it's great to be back. The city is so relaxed and fun, DH and the cats are great, the mansion is fantastic (even in spite of the fact that the new, improved contractors have moved in and the kitchen is being gutted tomorrow), and we've got lots of terrific friends. So even though I use this blog to vent so you hear mostly the crappy stuff that happens to me and my frustrations, in general life is good and I'm just really grateful to be at such a comfortable place.
Occasional crappy real estate agents, bike mechanics, student employees, and contractors aside!
Sunday, November 8, 2009
Weekend articles
Money Issues That Can Test Even a Rock-Solid Marriage
Turning Happy Hour Into a Global Job Search
Happy Times at the Dog Run, Now Coming to an End
Getting Serious About Your House and the Market
The Decline and Fall of the Bachelor Pad
Going With Uncool
A Production Called Home
As Luck Would Have It ...
What's Good for the Kids
When Being Home Is an Adventure
Don't Worry, Be Happy: The Warranty Psychology
Windfall Is Seen as Bank Bonuses Are Paid in Stock
Tuesday, November 3, 2009
Work sucks
And now, everyone is questioning my skills as a manager. Instead of saying, wow, you've accomplished so much in such a short period of time despite having this dead weight employee who completely undermined you and bailed on your event, the board is saying, what did you do wrong as her manager? And I just received vague performance measures that include things like "management effectiveness measured by employee satisfaction." I kid you not. For the one employee the budget allows me to hire.
I could just be having a really bad few days. But after this past week -- when I've been traveling to meetings, single handedly managing every last detail because the stupid student employee quit (not that she would have done anything anyway), and basically being run ragged -- I'm kind of feeling like I want to say fuck it; I resign.
I've had jobs where egomaniacs treated me like shit and it never ended well, so even though I'm trying to be assertive and professional with this group, I'm sensing the same slippery slope. And I don't want to be stuck somewhere for six months or a year and then have nothing to show for it if it's just not working from the beginning and I end up leaving anyway.
On the other hand, it is income. If I quit, I won't get unemployment, although at least it would be a short enough period that I wouldn't need to put it on my resume. But who wants to be miserable for a paycheck?
Maybe I just got spoiled at my last job. That environment was great and people appreciated the things I accomplished. This enviroment is a bunch of high maintenance micro-managers who will never be satisfied. One board member likes to yell at me for things she supposedly e-mailed me to do, except I have no idea what e-mails she's talking about. So I'm constantly caught by surprise because she'll just invent things she supposedly e-mailed me about. Maybe they're all lost in cyber space? And instead of trying to work out a solution, she'll talk down to me like I'm a piece of garbage. Did I mention that I'm working my ass off?
I'm probably just rambling because I'm stressed and sleep deprived. Thanks for listening.
Monday, November 2, 2009
October Spending Report
October Income:
- $3,044 Day job (my retirement contributions started)
- $300 Transfer from savings to cover bike purchases
- $1,500 Extra payments to mortgage principal
- $18.31 Netflix
- $500 Student loan
- $8 Prescription co-pay
- $20 Tree House charity
- $272 ING savings
- $10 Pocket money
- $35 Haircut
- $26 Groceries
- $100 Extra bike (bought from friend)
- $43 San Francisco Trip
- $14 Mascara
- $190 Rain & snow gear
- $75 Additional Charity
- $24 Shoes for work gala
- $46 Bra & tights for work gala; gym clothes (damn dress code!)
- $154 Restaurants
- $24 Theater tickets
- $20 Food co-op Membership (1 of 4 payments due)
- $428 New Bike
- $20 Discount coupon book for charity
Total Income: $3,344
Total Expenses: $3,527
Drat -- I'm over by $183! We also got an additional $70 from someone who bought something from us on Craigslist, but I didn't carefully track that money so it probably went to groceries or eating out. Sigh.
Sunday, November 1, 2009
November Net Worth Report
Assets:
Cash: $34,983
Retirement: $131,376
Home: $175,750
Personal Property: $4,000
Liabilities:
Home Mortgage: $136,110
Student Loans: $19,797
Total Assets: $346,109
Total Liabilities: $155,907
Net Worth: $190,202
Saturday, October 31, 2009
Friday, October 30, 2009
$30,000 later...
This is not what I wanted to see from Liz Pulliam Weston on MSN after spending more than $30,000 fixing up my fixer upper! Remodeling? It's a waste of moneyThe home-improvement-as-investment myth, combined with easy credit, fueled an awful lot of irresponsible spending in the past few years. People thought it was OK to tap their home equity so they could ape the fancy kitchens and bathrooms on HGTV, little realizing they were throwing away their wealth.
This is not to say you should never remodel your home. Appliances and surfaces wear out over time. You might want to improve an inefficient layout. Or perhaps the home's previous owners had awful taste. (One of my relatives, a serial remodeler, says most of what she does is tear out the "improvements" of past owners.)
Also, it might make more sense to remodel than to sell and buy another home. Swapping homes is really burning money, as you lose about 10% of your current house's value to real-estate commissions, selling expenses and moving costs. If your home update would cost less than 10% of your home's value, or if you really love your current neighborhood, the improvement project might be worthwhile.
But you should view home improvements for what they are: consumption spending, not investing.
Wednesday, October 28, 2009
My transformation to total bike dork is complete
I never wanted this day to come. But after commuting via bike for the past three months, I've officially become a bike dork. It all started with spending $100 to buy a friend's bike as a back-up because mine was in the shop. After buying fenders, and a new bag, and a basket.Monday, October 26, 2009
Uy
Note to self: fire incompetent people sooner rather than later, no matter what.
I'll keep you posted. Fingers crossed that I still have a job myself. You should see what she's trying in terms of sabotage. I got some good advice from an old boss this weekend, though, and am about to go for the jugular.
Wish me luck!
Sunday, October 25, 2009
Weekend articles
The Loin in Winter: Hefner Reflects, and Grins
65 and Up and Looking for Work
Scrutinizing 2010 Insurance Options
Money Talks to Have Before Marriage
Hey, Big Spender, You Want Value?
Your New Condo Leaks? Join the Club
Homeowners Walking Away
The Apartment That Didn't Get Away
Trading Noises
Why Many Co-ops Fare Well
Flunking Out at the Food Co-op
Jobless, 50-ish, and Without Many Prospects
Demolition Daddy
How an Insurance Mandate Could Leave Many Worse Off
Friday, October 23, 2009
Who knew this is why I was saving so much
I recently finished reading How to Live Well Without Owning a Car. I picked it up for $6 at a used book store in Berkeley because I noticed that a friend of mine was quoted in it, and I wanted to show him the book if he hadn't already seen a copy. Turns out it was actually a pretty good read."According to a 2004 American Automobile Association study, the average American spends $8,410 per year (roughly $700 per month) to own a vehicle."
Wednesday, October 21, 2009
Advantages of prepaying
I enjoyed MP Dunleavey's recent breakdown of her mortgage options on MSN: Refinancing: When is it worth it?Refinancing:
With a 15-year mortgage, we'd save more -- a whopping $131,392 in interest payments, about $33,000 more than what we'd save by paying extra each month under our existing loan.
We'd be forced to stick to the plan. The disadvantage of a do-it-yourself plan is human weakness. Would we stick to such a big payment ($1,600 a month including escrow) if we had a choice?
Mortgage freedom comes earlier. If we did a do-it-yourself refi, we'd still be making mortgage payments until our son's junior year and possibly longer (see "human weakness," above).
Tuesday, October 20, 2009
Monday, October 19, 2009
Guilted into giving
My October spending is out of whack after I got several charity requests back-to-back.Saturday, October 17, 2009
ING is my nemesis this week
I have this convoluted banking system at the moment that only makes sense to me. Allow me to explain.
I've had accounts with HSBC for the last 7+ years. I had an individual checking for myself, a joint checking for all the Philly stuff, a line of credit that provides me $3,000 in overdraft protection, and my Brooklyn co-op mortgage and home equity loan. Because my total balances were well over $100k with the mortgage and home equity, I qualified for some sort of elite customer status and got perks like free checks.
Then I sold the co-op and moved to Minneapolis, where HSBC doesn't exist. But I still had the Philly property so I kept the HSBC checking accounts and overdraft protection open.
In Minneapolis, I opened two Wells Fargo accounts, one for my individual checking and another joint checking with DH. Eventually, I changed the Philly mortgage payments to come out of the Wells Fargo joint account. The flaw with Wells Fargo, however, is that they don't give me a line of credit for overdraft protection. Instead, it's just linked to a low-interest savings account that I have no money in at the moment.
So I decided to keep the HSBC checking open and stuck a few thousand dollars in it to pay for renovation costs. Confused yet? Me too.
I also have three ING accounts, one for my own personal savings and two joint accounts: one renovation and one emergency. After we sold the Brooklyn co-op, we stashed the profits in these accounts, and they currently have about $40k left. But the interest rate is at a pathetic 1.3%.
The problem with ING is that it takes at least two business days to transfer any money between accounts, then they hold the money for another week before it's actually available. It's a nightmare, hence why I kept the HSBC account open. If I need to suddenly run to the hardware store and spend hundreds of dollars for new doors, or order space heaters for my cold house, I can make the payment from HSBC and not worry about overdrafting. At worst, my line of credit will cover it while I wait for ING money to transfer over.
My mind boggling system came to a screeching halt this week, however, when I accidentally transferred our Philly profits from HSBC to ING, instead of from Wells Fargo to ING. Long story short: neither HSBC nor ING would reverse this mistake when I realized it had happened because the money was in ACH "limbo," and I had to wait a few days to see whether HSBC would reject the transfer for insufficient funds or not. The customer service representative told me they wouldn't, but according to my online account a few days later it appears they did. And I got charged a $35 fee for the privilege. That pretty much wipes out any interest I earned from ING this year.
I'm not sure yet if ING is also going to charge me. And yeah, I'm pissed. But technically it probably was my fault because I probably picked the wrong account from ING's drop down menu. Or maybe it was ING's fault -- their e-mail confirmations don't include the specific accounts so maybe I did select the right account. Who knows.
Anyway, now I'm trying to figure out what I'm going to do about my banking. Clearly this system is ridiculous and I have too many accounts to balance every month, which drives me nuts. We also don't have the Philly house to worry about anymore, so that's one less account to have to manage.
I think I'm going to close out my HSBC account altogether. I'll transfer a big wad of cash to the joint Wells Fargo account to cover renovation costs, and just accept that I won't earn any interest on that money. I still need to find an alternative to ING, however, but surely there must be an option that would offer more convenience and more interest. Why do I have to wait weeks to get my money for a paltry 1.3%?
Suggestions?
But that's where I've been all week. Waiting on hold to argue with bankers in India or China.
Wednesday, October 14, 2009
Bad news Wednesday
Here are a couple of gloomy articles for your Wednesday: Tuesday, October 13, 2009
It got worse
Monday, October 12, 2009
$10,690
Between dealing with deadbeat tenants, traveling back and forth from New York to Pennsylvania to evict and clean, and handling random emergencies (e.g. non-working furnace, leaky roof), the stress really took a toll. Then even selling the house was a nightmare, since that process took a lot longer than we expected and we worried that we might lose even more money as housing prices collapsed. Fortunately we came out in the black.
In terms of benefits, we got some tax breaks for a few years, but our profit is less than DH and I gross in a month at our day jobs. Totally not worth it! Perhaps if we were going to own the house for the next 20+ years and pay off the mortgage with rental income, it would then provide an income stream in retirement. But we couldn't do that long-distance.
I think the only person who made out pretty well was the real estate agent. He got a commission when he sold us the house and again when he sold it for us less than three years later. I see why people give up landlording and decide to just invest in stocks.
The only good news may be that the bank might still owe us escrow money of about $1,000, which will help us buy a new laptop, since ours is going kaput. Other than that, the extra money is going to be quickly absorbed by our renovation fund. It's certainly not enough to buy another investment property. Which is probably a good thing...
Sunday, October 11, 2009
Thursday, October 8, 2009
I'm baaaack
Truth be told, I've been back since Tuesday a.m. but have been too exhausted and swamped at work to post anything here. Note to self: no more red eye flights! I say that EVERY time...Friday, October 2, 2009
I'm hearting Berkeley
In case you didn't notice in my monthly spending report, I'm actually away enjoying the San Francisco Bay Area. DH and I wanted to relive his carefree college days (pre-mortgage, pre-cats) and we couldn't resist the $99 round-trip, direct flight. I saved $600 for a hotel and $50 for airport transit, and DH came up with $400 in spending cash and $100 for a cat sitter. We're good to go; five nights!Thursday, October 1, 2009
September Spending Report
September Income:
- $4,133 Day job (woo hoo!)
- $200 Prescription reimbursement from DH's FSA
- $150 Prescription reimbursement from medication foundation
- $16 Survey check
- $100 Birthday cash
September Expenses:
- $1,500 Extra payments to mortgage principal
- $18.31 Netflix
- $500 Student loan
- $5.95 Angie's List
- $8 Prescription co-pay
- $107.78 Prepaid phone minutes
- $20 Tree House charity
- $700 ING savings
- $274 Pocket money
- $134 Haircut, highlights, product & tip
- $206 Groceries/toiletries
- $20 Mittens (the temp dropped suddenly and I was desperate)
- $162 Restaurants
- $30 Shoes
- $34 Renaissance fest
- $50 Sweaters
- $12 Plants
- $650 San Francisco trip
- $84 Bike
Total Income: $4,599
Total Expenses: $4,516
And I benefited from a little double dipping. My prescription co-pay skyrocketed to $200/month on DH's plan, which he had set aside in his FSA to cover. But then the prescription company told me about this foundation that would subsidize that, so in addition to getting $200 back from DH's FSA plan, I also got $150 from the foundation. Sweet!
Except then my co-pay dropped to a crazy low $8/month on my new health insurance plan at my job, which means that the $1,700 DH had set aside for his FSA plan for my prescriptions won't be necessary. I suspect we'll be stocking up on condoms and contact lens solution in the next couple of months.
October Net Worth Report
Assets:
- Cash: $31,155
- Retirement: $129,176
- Home: $175,750
- Other Real Estate: $135,000
- Personal Property: $4,000
- Home Mortgage: $137,802
- Other Mortgage: $131,139
- Student Loans: $20,243
Total Liabilities: $289,184
Net Worth: $185,897
Wednesday, September 30, 2009
I wouldn't pay twenty dollars for that
I'm developing a new theory that the more expensive the real estate, the fuglier it is. Check out this New York Times slide show: What you get for ... $1.3 millionAnd don't miss the picture with the weird yellow protective cushion covering the fireplace. Do they do MMA in that room?
Not what I wanted to hear
Oh, great. Check out the title of this MSN article: Retirement? Good luck with thatThe retirement-savings system in the U.S. is "a failed experiment," said Teresa Ghilarducci, the Bernard Schwartz professor of economic policy at the New School for Social Research in New York.
The U.S. system is "headed for a serious train wreck," said John Bogle, the founder and former chief executive of the Vanguard Group, in testimony to a House committee hearing on retirement security in February.
Separately, Ghilarducci and Bogle have called for substantial changes to the current system, but even those who like what we've got now say it needs improving -- and certainly demands better financial education be offered to savers.
"Many people are very overwhelmed with the notion of retirement," said Gregg S. Fisher, the president and chief investment officer of Gerstein Fisher, a financial advisory firm. "How much do we need to put away? Where should it go? How should I invest?"
Tuesday, September 29, 2009
The good life
Granted, the fact that it's cold enough -- in September -- to require a fire is another story. Just the trade-off of living here, I guess. Summer is over.
It's been a little more than 4 months since I moved here and much to my surprise, I haven't looked back. We've been able to make lots of new friends (despite the rumor that Minnesotans are an insular bunch), the job stuff worked out great, and the new house is fantastic. We'll never need to trade up and our total monthly costs are just a little more than we were paying in Brooklyn.
Actually, now that we've rented out our garage for $150/month, we're probably paying less. And if I keep up my extra principal payments, we're on track to pay off the mortgage in 6 years.
We have access to everything I always wanted to do in NYC, like museums and restaurants. But instead of having to schlep an hour each way on the subway and spend hundreds of dollars, we can walk or bike most places in minutes and pay just a fraction of the cost.
I was reading Time Out New York last night and they profiled a bowling place in Brooklyn. One game of bowling costs $30-$50. My jaw dropped; I forgot how insanely expensive everything is there. I was just so used to it.
For the same salary here (and a lot more in DH's case), we can afford to do so many great things. For example, during happy hour (all day Monday-Friday) DH and I can split a huge plate of nachos and get two margaritas each for under twenty bucks. All within a couple of blocks of where we live. What else do I need in life?
I guess the only downside is that it's not New York. Thank god for that.
Sunday, September 27, 2009
This must be why higher ed costs so much
The word “furlough,” I recently read, comes from the Dutch word “verlof,” which means permission, as in soldiers’ getting permission to take a few days off. How has it come to be a euphemism for salary cuts?
Look, I’m from West Philadelphia. My dad was an electrician. We didn’t look up stuff like this. It wasn’t part of what we did. When I was growing up we didn’t debate the finer points of what the word “furlough” meant.How did you get into education?
I don’t know. It’s all an accident. I thought I’d go work for a law firm.Some people feel you could close the U.C. budget gap by cutting administrative salaries, including your own.
The stories of my compensation are greatly exaggerated.When you began your job last year, your annual compensation was reportedly $828,000.
It actually was $600,000 until I cut my pay by $60,000. So my salary is $540,000, but it gets amplified because people say, “You have a pension plan.”What about your housing allowance? How much is the rent on your home in Oakland?
It’s about $10,000 a month.Does U.C. pay for that on top of your salary?
Yes, and the reason they do that is because they have a president’s house, it needed $8 million of repairs and I decided that was not the way to go. Why the heck would I ever authorize $8 million for a house I didn’t want to live in anyhow?Why can’t you have architecture students repair the house for course credit?
Let me ponder that.

