Out of the Red

"Red" is signing off.

I wrote my last "Out of the Red" column for yesterday's MoneyWise section. After 10 years as a business writer -- the last three with the "Red" column and last two also with this blog -- I wanted to try something new. I am going to write about the Charlotte region's newcomers and what makes the area a unique place to live.

I will miss "Red." I learned about personal finance -- mine and yours -- and hope you did too.

Click here to read my final column.

Also on Sunday, I wrote about what some people are doing with their tax rebates and what financial pros say you should do with that found money. Click here to read that story.

Stay tuned for my newcomers column, which will start next month, and my newcomers blog, which is coming soon. Are you new to Charlotte or have a newcomer-related question or story idea? If so, let me know. My contact info remains the same: abaldwin@charlotteobserver.com, 704-358-5179.

Spending, saving or investing your tax rebate?

This week President Bush plans to sign into law a $168 billion economic stimulus package that will put cash -- in the form of tax rebates -- in the hands of people and businesses.

The rebates, due to start hitting mailboxes in May, will be equal to taxes paid -- up to $600 for singles and $1,200 for couples, plus an additional $300 per child.

What are you going to do with your rebate check?

Have you already spent the cash several times over? Or will you save it, use it to pay off some debt or invest it?

My husband and I will put ours in our savings account, offsetting money we took out to complete this year's home improvement project -- a home office face-lift.

I'd love to hear what you are doing with your rebate. Please post here or email me at abaldwin@charlotteobserver. Leave your name and daytime phone number in case I want to catch up with you for a story. Thanks.

Lots of tips for scaling back spending

Last Sunday, I wrote about how to scale back spending, because unlike recession, inflation and stock prices it is something well within your control.

I listed a few ways to cut back -- i.e. eating in more and not trying to keep up materialistically with your friends and neighbors. Just don't forget to reward your frugal efforts -- i.e. after 20 dinners you get to have one modest-priced meal out. Click here to read the story.

Great personal finance minds think alike. The brains over at U.S. News & World Report have a story on eight painless sacrificing running on Yahoo! now. My husband just pointed it out to me, noting that we pretty much follow all of these. "We are good," he said in an e-mail. Click here to read that story.

If you have money-saving tips to share, please post them here.

1950s living

I heard somewhere -- maybe the Charlotte Saves luncheon last week -- that to deal with a potentially severe recession Americans should live like they did in the 1950s. More modestly. One family car, not two or more. Homecooked dinners, rather than eating out.

Giving up lattes won't be enough, this person said.

We need to make major changes.

Of course, this isn't the 1950s. These days both mom and dad often work, necessitating two cars. Or, is that just what we're used to thinking we need? Could we get by carpooling with spouses or colleagues or using the bus or Charlotte's new light rail?

Are you scaling back on expenses? How?

Or do you think there's no reason to be so dramatic?

Either way I want to hear from you. Please post your comments here or email me at abaldwin@charlotteobserver.com. Leave your name and daytime phone number, so I can catch up with you for a possible story.

Personal finance: It's no vacation

I read somewhere that Americans spend more time planning for their vacations than their financial futures. Gosh, I love reading stuff like that. It's like, duh! I imagine Americans spend more time raking leaves, cleaning their desks or doing most anything else that doesn't involve personal finance.

Why? I guess because it's boring. And intimidating. And we like instant gratification and the future is a long way away compared with right now.

So two questions:

What would make you care about personal finance?

What's the best piece of advice about money you ever got that you actually followed?

I really want to know.

Now you can go back to planning that exciting trip to Lima, Ohio.

Do you pay your bills on time? It is a big deal.

Do you pay your bills on time -- every bill, every time?

One in four Americans missed paying at least one bill on time in 2007, according to the third annual survey by TransUnion's TrueCredit.com. The bulk of those delinquencies were on utility bills (12 percent), credit card bills (12 percent) and medical bills (11 percent).

Why should you care?

Late payments hurt your credit score, making it hard or more expensive to get loans to buy things like a car or a house.

"To keep your credit in good standing, set up an automatic funds withdrawal to ensure you don't miss a billing cycle and if you're in a financial bind, consider contacting your creditors to explore special payment arrangements for your particular situation," said Lucy Duni, director of Consumer Education for TrueCredit.com.

Another interesting finding: Only 17 percent of Americans chose paying down debt as their top resolution for 2008, down from 22 percent in the previous year's survey.

My financial resolutions

When it comes to money matters, here are my financial resolutions for 2008. Enjoy -- and please feel free to share your own, either here or via e-mail to abaldwin@charlotteobserver.com.

1. I will try to save more money. I'm not sure how I'll do this. I'm not a spendthrift. I don't spend money for fun at the mall. It's rare that I have a $4 cappucino from Starbucks. I don't drive an expensive car. I gave up my personal trainer in 2007 when I had to start paying for day care. But I am sure I can cut somewhere.

2. Well, I know one way I could save money. I will look into changing my cell phone calling plan and/or better track my minutes. We had a couple triple-digit cell phone bills last year -- all mine. My bad. My husband is not happy. I can't blame him.

3. I will plan a vacation that does not involve traveling to exotic places like Brunswick, Neb. In 2007, my husband and I spent a lot of time and money on obligatory travel -- a family wedding tour (seriously, we had t-shirts made to mark them all), a baptism and a family trip to the Smoky Mountains. It would be nice to plan a trip we selfishly want to take entirely for and by ourselves! We just better act quick. One cousin just got engaged at Christmas.

4. I will not lose my checkbook. That's right, your friendly, helpful personal finance columnist lost her checkbook late last year. I recently figured out where -- a hotel in Lakeland, Fla., location of the year's final family wedding. (That hotel, by the way, won't send me my checkbook without payment. They wanted to send it COD. COD! I didn't know that's still an option. Oh well, I guess that's the service you get when you pay more than $100 a night for mediocre lodging. Head of housekeeping says she will mail it if I pay her back. I better get it or else I will have to post negative feedback on every travel Web site I can think of and lodge a complaint with the Better Business Bureau.)

5. Lastly, I will file my taxes before March 1. That was my goal last year and I made it. I liked not waiting until the last minute. And I will adjust my withholding so that less is taken from each paycheck, something that has been on my chore list for about a year.

Now let me hear your financial resolutions.

Spending to feel good?

More than half of Americans say they aren’t saving enough money, according to a study released yesterday by Wachovia Corp. and the Consumer Federation of America. Even more younger folks admit that. Nearly two-thirds of those ages 18-24 say they aren't saving like they should. The culprits: peer pressure, impulse buying and spending money to feel good?

Do you do that?

Or, maybe you've done that in the past. If that's the case, how did you kick the spending habit in favor of saving? Let me know by posting here or sending an e-mail to abaldwin@charlotteobserver.com. Look for the story Sunday in MoneyWise.

Gifts and more gifts or college fund?

Hey, readers, do your kids really need more gadgets, toys and clothes this holiday season? What about a college education instead?

I want to do a story on how young parents can ask family members -- i.e. grandparents -- to invest in the gift of higher education, meaning contributing to a college fund, rather than spending a small fortune at the mall on items kids will outgrow or get tired of.

Have you done that? What did the grandparents say? Or are you thinking about it? It can be a touch subject. I'd love to hear how you handled it.

Please share your thoughts ASAP. Thanks!

Quick questions

Quick holiday-related questions: Who do you tip?

Housekeeper? Newpaper delivery person or postman? Apartment manager? Hair stylist or personal trainer? Day care provider?

And if you give money, how much? If not money, then what?