Personal Finance Resolutions for the New Year

Pst ...It's only Four

Make some personal finance promises that you can actually keep in the New Year. Lose weight. Stop smoking. Learn Jiu-Jitsu. Making a pie-in-the-sky New Year's resolution feels great for about 10 minutes. Then you figure out that these goals were a stretch too far, and you settle down on the couch with a pint of Cherry Garcia and your old friend, Joe Camel. See ya next year, Sensei!It doesn't have to be that way.

Some promises can put more money in your pocket every day, and who wouldn't feel motivated by cold, hard cash incentives like that? Here are a selection of resolutions that can put more money in your pocket.

1. Commit to a realistic budget Sit down with your family and figure out where your money is going every month. Add up the non-negotiable bills, like car payments, mortgage payments, the kids' college or kindergarten tuition, or the electric bill. Then, for the next 30 days, calculate the variable costs, like food and clothing, gasoline, video rentals, and orange mocha frappuccinos. (You get the idea.)The grand total absolutely, positively cannot exceed the family's combined paychecks. If it does, make cuts in your variable costs, or plan to increase your income. Replace the latte with home-brewed coffee. Turn the light off when you leave the room. Wash the neighbor's car for extra cash.Write the whole budget down, item-by-item-and stick to it. You can have fun discovering where your cash ends up, but it's no fun getting caught under an ever-heavier debt load.

2. Hide your credit cards Do you use plastic responsibly? If you're paying off your entire credit card balance every month and taking advantage of cash-back or reward points offers, you're good. If not, you're better off paying cash, or using a debt card, whenever possible. Those finance charges add up very quickly, not to mention late fees.

3. Save and invest This resolution puts today's money in your pocket tomorrow-with compounded interest. Set aside three to six months' worth of living expenses in a high-interest savings account or short-term CD-you just never know when that rainy day comes around. Max out your 401(k) or IRA contributions, and earn tax-free interest until the day you retire. Invest in the stock market, or buy some gold. You won't miss that money today, knowing that it's hard at work growing for tomorrow.

4. Live it up Okay, this is not a financial commitment, at all. But you deserve to enjoy life. The best finances in the world can't make you happy unless you take some time for yourself once in a while. Think about last year and the purchases that made you unhappy-then resolve not to repeat the same mistakes. Find the highlights of last year, and make more of them in the next.

Article courtesy of

http://www.mortgageloan.com/four-personal-finance-resolutions-for-the-new-year-1431

Principles of Feng Shui

Everyone appreciates the benefits of beautiful, comfortable living environments; America's billion-dollar interior decorating industry attests to this fact. However, Feng Shui takes the approach that your surroundings affect not just your level of material comfort but also your physical and mental health, your relationships, and your worldly success.

Feng Shui (pronounced "fung shway") examines how the placement of things and objects within it affect the energy flow in your living environment, and how these objects interact with and influence your personal energy flow. Your personal energy flow affects how you think and act, which in turn affects how well you perform and succeed in your personal and professional life. Feng Shui affects you every moment of the day — whether you're aware of it or not.
As you begin to discover more about Feng Shui, remember that you need to have an open mind and should use the methods that are most comfortable for your particular circumstances.

Demystifying Feng Shui
If you've already read a bit about Feng Shui, you may be somewhat confused by the seemingly contradictory advice you've encountered. People who are unfamiliar with this method may have some misconceptions and apprehension.

Feng Shui is not
A get-rich-quick method of Asian interior design that guarantees impossible results for mystically rearranging your furniture

A superstitious or magical belief system, or a New Age fad that disconnects you from reality or from your daily life

A simple home and garden makeover

A quick fix to be tackled in one afternoon

A luxury only the rich and famous can afford

So the million-dollar question is, what is Feng Shui?

On the surface, Feng Shui is the simple interaction of humans and their environments. Taken a step further, Feng Shui enables you to influence these interacting energies to achieve specific life improvements. This influence is achieved by positioning or designing your surroundings in harmony with principles of natural energy flow. As a result, you (and your life) can achieve harmony with your surroundings. Feng Shui is practical and grounding, and it helps you right where you live and work.

Feng Shui is often referred to as the art of placement. How you place your furniture, possessions, and yourself within your surroundings largely determines your life experience at every level. Feng Shui offers a unique way of looking at yourself and your environment, and it provides a way of bringing balance, comfort, and harmony into your environment in a manner that is difficult to achieve by any other means.

Feng Shui is the study of the relationships between the environment and human life. Discovered by the Chinese, Feng Shui has been practiced for centuries to design environments that enhance conditions for success in life.

Interesting bits of historical Feng Shui confirmation are starting to emerge. For example, recent scientific research indicates that 28,000 years ago, Neanderthal cavemen (located in present-day Croatia) chose which caves to live in based on three criteria: The caves held the high ground in the area, the surrounding area was easily seen from the entrance of the cave, and the water source was easily accessible. These findings show that even our ancestors were naturally aware of the effects of placement in their environment. Interestingly enough, all three of these criteria are in harmony with the basic principles of Feng Shui, which has evolved and become more sophisticated along with humankind. Thus, Feng Shui is as relevant and beneficial to humankind today as it was 28,000 years ago.

Feng who? The meaning of the term Feng Shui
Feng Shui is a term composed of two Chinese words: feng (wind) and shui (water). Wind and water are the two natural elements that flow, move, and circulate everywhere on Earth. They are also the most basic elements required for human survival. Wind — or air — is the breath of life; without it, we would die in moments. And water is the liquid of life; without it, we would die in days. The combined qualities of wind and water determine the climate, which historically has determined our food supply and in turn affects our lifestyle, health, energy, and mood. These two fundamental and flowing elements have always profoundly yet subtly influenced human individuals and societies.

The essence of these life-giving elements is chi, or life force. Wind and water are direct carriers of chi, as their flowing quality reflects their essential nature. All living organisms are largely composed of these two elements. Thus, Feng Shui is the art of designing environments in harmony with the flow of chi through one's living space, and this flow supports and enhances one's personal chi or life force.

The big picture view of Feng Shui
Feng Shui is rooted in a holistic worldview. It sees all things and creatures as part of a natural order, a vast environment that is alive and in flux, ever moving and changing. Each thing in this natural order is equally alive and has an energetic value or component. So everything — plants, animals, people, and things — exists in a vast landscape that swirls with vital energy. The same energy that flows through the world flows through you as well. In fact, according to this view, your essence — the part of you that makes you alive, unique, and vital — is this energy. And your body is the vehicle or environment in which this essence flows.
Feng Shui divides the vast environment or landscape that is the universe into more manageable units — like human beings and their homes, property, offices, living rooms, and bedrooms. You can't control the Feng Shui of the world at large. But Feng Shui enables you to design your personal environment according to the same universal principles of energy flow by which planets spin in their orbits and galaxies wheel through space.

Article Adapted From: Feng Shui For Dummies

Photo Courtesy of www.5elements.ch/img/feng_shui_room_350x280.jpg

Simple Tips for Controlling Mortgage Cashflow

Since we are in the middle of rising mortgage rates and potential foreclosures, I want to suggest a few ways for folks having cash problems to avoid potential disaster.

The number one rule is not to close your eyes and ignore the problem that you are having. It is best to read the signs and address problems that you see coming down the road. The biggest mistake would be to allow yourself to make late mortgage payments. That will virtual eliminate about 90% of the solutions you would otherwise be eligible to receive.

If you have an adjustable rate mortgage that you know will reset soon, pull out the paperwork and find out what new rate is due to adjust. Refinance ahead of time, because mortgage rates are pretty low right now.

Also, if you have consumer debt (e.g. car loans, credit card balances, etc) that has a high interest rate (8% - 20%), you can consider paying off those loans with a cashout refinance. This only works if you have enough equity in your home. This strategy will give you a fixed mortgage rate and reduce your total monthly obligations.

The Federal Housing Administration (FHA) loan is also making a comeback. While most lenders require that you keep 20% equity in your home on a cash-out refinance, FHA will allow you to keep just 5% equity in your home. This results in a much larger cash-out refinance.

With the squeeze in credit availability and the rise in consumer monthly payments, these suggestions should help you to manage your monthly cash flow.

Photo courtesy of http://www.frankbetz.com/

New FHA changes effective 1/1/08

Written by Tiasha Hendricks
Friday, 21 December 2007 09:06
As you know the industry is changing. Beginning January 1, 2008 there will be a lot of changes to FHA, VA and Conventional; primarily FHA. FHA will now require a credit score of 620 in order to use Down Payment Assistance. The Down Payment Assistance programs (Non-Profits) can be used until March 1, 2008. We will have to wait and see what will occur after that time. If a borrower has a credit score of 619 or lower, they must have their own money for down payment, or they can receive gift money from a family member.

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http://www.blackatlanta.com/home/index.php?option=com_content&view=article&id=1228:new-fha-changes-effective-1108&catid=100:mortgages