Understanding money, one blog at a time

With the rising costs of everything on Earth, credit cards and financing has become the 'American Way' to get the things you want.  Many people look at debt as the saver of all desire.  "I really want this vacation, I'll just put it on a credit card" or "I want some new furniture this weekend, I'll just get a store credit card". NO! Bad Bad Bad! Credit should be used as a tool or vessel, to make you even more successful. That's the trick. It's ok to have credit cards, but it's not OK to max them out, or buy things your don't need. Look at it this way: DEBT IS STOPPING YOU FROM FINANCIAL FREEDOM. Period pooh . As long as you owe someone, you'll always be broke.  Lucky for you, I have the most effective way to get out debt in 3 easy steps. Step 1 Save a nice nest egg for emergencies.  Take a few dollars from each check and have it automatically transferred to a separate account. Your saving goal should be a set amount, so t...

New and old business owners alike have met with this struggle at some point in their entrepreneurial journey. Your business is thriving and you need help! You decide to hire one person. Excited at the new relief and separation of duties, you bring the candidate of your dreams in to duplicate yourself (insert mass exaggeration).   The time has come to issue their first paycheck. After realizing that you have to pay additional taxes and worker’s compensation to employ this person, you revert to paying them as a contractor.   “Ok” you think, “this will save some money and still get the job done”. You’re living the dream for two years when suddenly, you receive a certified letter from the IRS. You are being audited! Let’s transgress into a real life story.   This happened to a previous client of mine.   In this case, they had 17 people working as contractor’s when really, they were employee’s.   After a 30 day debate, the IRS hit my client with a $45,000 bill. T...