Imagine this: you’re on the road to your long-anticipated vacation, packed and ready for a week of relaxation. And then you realized you forgot [insert vacation necessity here]. Or parking costs more than you expected. Or someone gets sick and you can’t find any doctors nearby covered by your insurance.

While this may not be the most pleasant imagination exercise, it’s an important one to go through if you don’t want hefty credit card bills to follow you home from vacation this year.

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Plan for Everything

Luckily, taking the time to think ahead now can save you time, money and frustration when you’re trying to enjoy yourself later. Here are some tips to help you prepare for terrific time off.

• Do some digging. If you’re visiting a new location or looking to try new things at a familiar spot, hit your library and check out some travel guides of the area. Once you find one you like, consider buying a copy to mark up and keep handy on the road.
• Determine your priorities. Figure out what activities are important to you and your family members. If the “traditional” mini-golf game has everyone rolling eyes this year, scrapping it is a great way to save money.
• Make an estimate. Once you have an idea what you want to include in your vacation, you can guess what it’s likely to cost. This would be a good time to guess a little high.
• Trim the fat. Knowing what the most important parts of the vacation are will help you find activities you can eliminate without upsetting anyone. Sometimes, you can save serious money on gas by simply deciding to go places in a different order.
• Start saving. It’s not too late to begin a vacation budget. And, once you’ve spent time plotting out your trip, it will likely seem more real and much easier to save for.

If you have young children, you and your spouse may want to have a discussion about how much spending money to allow them for the trip. Once you’ve decided on a number, take the opportunity to explain to your kids how their allowance will work.

This is a great opportunity to teach some basic money lessons and will help you prevent over-spending on last-minute souvenirs.

The sheer volume of sales pitches and advertisements we see and hear every day can be irritating at best. And, according to a recent article from msnbc.com, some contact from advertisers should trigger alarm bells, because it might signal that your personal information has gotten into the hands of people or organizations you don’t want to have it.

Mailing & Contact Lists

The article notes that personal data—including telephone numbers, credit card information, addresses, age, marital status and more—is considered today to be a commodity like beans or oil. Electronic databases of consumer figures allow retailers, charities and advertisers to access you, even when you don’t explicitly give them your digits.

There are a few ways your information could become accessible to those looking for it:

• Online surveys. Filling out a survey that includes personal and contact information could lead to that information appearing on large-scale databases, meaning that anyone with access to the database can reach you to offer you a service or product. Be wary of sites that offer something that seems to good to be true, like a MP3 player, simply for filling out a survey.
• Charitable donations. Many charities share, rent or sell the contact information of donors as a source of income. If you’re unsure about the policy of a charity you give to, check its privacy policy online. And, next time you fill out a donation form, look carefully for boxes that let you indicate your privacy preferences.
• Prize drawings. Whenever you fill out a form with contact information, you risk having it added to a widely accessible database.
• Credit card use. When you pay using plastic, a store can cross-reference your card number with digital information and find other personal information if you’re in the system. This gives the vendor new ways of contacting you about sales and promotions.

Part of the reason why databases of consumer information are so popular among retailers is that the more they know about you, the better they can target their sales pitches. This translates to less money wasted on consumers not likely to purchase their goods.

Financial problems? Speak with a local bankruptcy lawyer today.

Getting Off the Lists

If you’re interested in limiting the amount of contact you get from people trying to sell you stuff, you have some options.

• Do Not Call Registry: DoNotCall.gov allows U.S. citizens to opt out of receiving sales calls. It does not prevent political calls or those from legitimate charities.
• Mailbox Makeover: DMAchoice.org, from the Direct Marketing Association, lets you tailor what types of mailings and promotions you want receive so you can get only what interests you.

Ever try to pay a clerk with an old receipt instead of cash? Or swipe your debit card only to find it’s an expired credit card? If so, you could benefit from a clean wallet or purse.

A post from Wise Bread offers some suggestions about cleaning out your wallet or purse and how doing so can benefit your overall financial health—and I couldn’t agree more. Take a look at some of the points from the post, along with some techniques I’ve found to be helpful.

Take It All Out

The best way to get started is to take everything out of your purse or wallet and lay it on a clear surface. That way you know what you’re working with. You may come across…

• Old gift cards: They could have money on them! Happy early birthday to you! Rather than saving these for a rainy day, consider using them before their value starts to decrease—this could be a concern if they’ve been in your wallet for a while.
• Old receipts: If you’re a receipt hoarder, you may have an overly thick wallet. But these could be lifesavers when it comes time to sort out your taxes and you have deductible expenses from work or travel. So sort them into save or recycle piles and store the important ones with your other financial papers.
• Coins: Metal money can seriously weigh a person down. I’m one of those keep your coins in a jar until it’s full and roll them into paper money kind of people, but if you know you’ll never get around to rolling your own money, donate it to some worthy kids or toss it into a change-counting machine for quick cash (but be careful, because many of these change-to-paper companies take a cut of the proceeds).
• Dirty stuff: No matter how many times I vowed to keep my purse clean, I’d always end up with sticky, grubby stuff—largely, I think, from melted gum and lip balm coating my possessions and attracting dirt. And then I learned about compartmentalizing. Now I have a wallet, a cell phone case, and a zip-case for cosmetics. My bag is cleaner and I save serious time digging around for things.
• Old debit or credit cards: Get rid of these. Cut them up and dispose of them. By old, of course, I mean for accounts you no longer use or cards that have been replaced. So lighten your load and prevent confusion and potential identity theft by tossing these babies from your bag.

I don’t know of any studies that show a neat wallet leads to better financial health, but I know that I’m much calmer and more levelheaded about financial matters when I’m working with a clean slate (or purse).

If you need to wipe your financial slate clean, consider filling bankruptcy, which was designed to give you a fresh financial start.

Sometimes, managing your finances can seem overwhelming—there are so many factors to take into consideration. Here’s a quick, easy look at three bits of personal finance news/wisdom from around the web.

American Express & Taxes

A post from CreditBloggers.com reports on some odd tax-season news: American Express has apparently decided to allow customers to use their rewards points to pay for taxes this year. Here’s the deal:

• If you’re a qualified cardholder interested in using your rewards points, you visit one of these web sites: OfficialPayments.com or Pay1040.com.
• You fill out the information required on the page, indicating the amount you wish to pay and to satisfy which taxes.
• You cash in your rewards points for money you owe Uncle Sam.

But before you rush off to cash in, note the catch: each tax dollar costs 200 points, a rate of exchange that is, according to sources, not that great. Other rewards items available from AmEx come to fewer points-per-dollar.

So, if you’re looking to get rid of rewards points, this may be an option for you. Otherwise, no big loss.

Savings from Verizon and AT&T?

If you’re looking for expenses to cut as part of a new budget, you may be in luck if you have a cell phone plan with either Verizon or AT&T. A post from Five Cent Nickel indicates that both companies have been cutting prices on their unlimited plans by up to 30 percent.

All you have to do to see if you qualify is visit your provider’s website, call their customer service number or go into a store. Whichever option you choose, make sure you have your account details handy to make any changes as easy as possible.

Learn more about your bankruptcy options.

Maximize Your Warehouse Membership Benefits

If you shop at warehouse-style retailers that require membership payments, a post from Wise Bread is a must-read. It offers sixteen tips for making sure you get all the benefits the warehouse has to offer.

Highlights include:

• Crunch the numbers: Make sure you know what fees are. Determine how much money you’re likely to save in each visit and see how many visits it will take to make a membership worthwhile.
• Check per-unit prices: If you don’t already read per-unit prices in the grocery store and elsewhere, now’s the time to start. They’re listed below the retail price and will let you know whether or not you’re actually getting a bargain in an apples-to-apples comparison.
• Be realistic: Remember to take into account your family’s eating habits and storage capabilities. If something will go bad before you can eat it, it’s not a good value!

A recent article from Get Rich Slowly highlighted a very real concern for half of the population: women’s finances in retirement. Specifically, according to the article, American women tend to be worse off financially in their golden years than men.

The article’s worth a read (for women of all ages), but here’s a look at some of the major points the author makes:

• Women earn less than men. I’m not thrilled about this, but, on average, we only make about three-quarters of what our male counterparts do. Over a lifetime of work, this could add up to a quarter of a million dollars, according to the article. Whew.
• Women tend to be caretakers. Since we’re already earning less and because we’re traditionally seen as “nurturers,” women are usually the ones to leave a job to take care of children or other family members. This means that we’re working fewer years, thus contributing to retirement funds for fewer years.
• Women live longer. I always thought this was a good thing, but financially speaking, it might not be so hot. Having a smaller nest egg to spend over a longer period of time could make for some pretty lean golden years.
• We’re having fewer children. It’s no longer normal to have an enormous brood of children, which can mean there will be fewer candidates to take care of you (financially or otherwise) if you become unable to do so yourself. Part of the reason for this is that women now approaching retirement age are more likely to have been divorced than earlier generations.
• The workforce is changing. Pension and 401(k) plans are not as common as they once were, and may not be as lucrative. Plus, it’s much more common today for someone to have moved from one job to another, which could further confuse retirement funds.

What to Do about It

Luckily, there are steps women (and the people who care about us) can take now to help ease the stresses of retirement.

• Get involved in your finances. Make sure both you and your partner are aware of what’s going on in your financial life – that way, you’ll both be prepared to make important decisions in an emergency.
• Work a little longer. Social Security benefits are based on your highest 35 years of earnings, and if you took time off, years of no earnings may bring your benefits down. A few extra years of work could make a big difference in your payments.
• Don’t think it’s too early to start planning. Even if you’ve just started working full time, it’s not too early to begin saving and investing for retirement.

Retirement accounts can be even more important if financial distress hits and you decided to file bankruptcy. In many instances, your retirement account may be fully protected.

Here’s a look at some useful personal finance information around the ‘Net this week. This information will likely be useful if you’re planning a budget or otherwise keeping track of your finances in 2010.

Coupons: To Print or Not to Print?

A post from Wise Bread lists web sites that offer printable coupons to help you save money. While the information is valuable, I’m not sure whether printing coupons is, in the long-term, a good way to save money.

After all, printer ink is pretty expensive, so if you’re hitting the print key too often, you may end up spending all the money you save on refilling your cartridges. The Debtress’s opinion: Print coupons only for items you’d buy anyway and that could save you serious money. Otherwise, don’t bother.

Where the Money Goes

A post on Get Rich Slowly explores some of the less obvious ways your income is depleted. It’s worth taking a look at, since it offers important reminders about how our money dissipates.

When planning your finances, it’s important to remember these sneaky income depleters:

• Foundation expenses: Any dues, licensing fees, travel expenses for conferences or similar costs can creep up on you but significantly cut into your income.
• Commuting expenses: The cost of gas is what comes to mind first here, but remember you also have to pay to maintain your vehicle, buy bus fares, keep your shoes in good repair or otherwise make sure you’re able to get to and from work.
• Food & drink costs: Don’t assume your grocery bill is the only place you’ll spend money on eatables. When planning your finances, remember to include snacks you might buy, trips to restaurants and mid-day coffee runs when you need a lift.
• Health & Beauty: Makeup, vitamins, perfume, hair accessories and similar expenses are easy to overlook because many people only spend money on them once in a while. But many of these items are fairly expensive, so be sure to keep them in mind when plotting your finances.

One of the most important parts of maintaining financial responsibility is examining your spending habits carefully. These two posts offer useful tips to help you make sure you’re not steering yourself astray at the beginning of a new year. If you do find yourself in troubled waters, consider serious financial help with a bankruptcy lawyer.

Since the real estate bubble burst and helped to drag the United States and much of the world into a recession, we’ve all heard about how short-sighted people were saddled with bad mortgages and investments, how we should have seen the fall coming and so forth.

But for people who have never bought a house before, these obvious lessons are still shrouded in plenty of mystery. Here’s a look at some important aspects of mortgage agreements for beginners.

Pursue Savings Actively

A recent post from the blog Get Rich Slowly includes the story of one couple who managed to drop more than a decade and a half of mortgage payments with a simple hour’s meeting with their bank. The writer includes some important lessons for potential homeowners:

• Know what’s normal. When the writer bought her home, her lender said a 40-year mortgage was the new normal. This was during the real estate boom, when banks were finding creative ways to lend non-traditional mortgages. Forty years wasn’t normal then, and certainly isn’t now. Thirty years is a standard mortgage payoff period—if you can’t afford your house in that time (or less), you may be trying to buy too much house.
• Pay attention. After noticing a decrease in her automatically deducted monthly mortgage payments, the writer immediately called the bank to find out what was up. She learned there was no mistake, and realized she’d have an extra $180 each month.
• Take action. Rather than spending that money, the writer decided to pursue a different mortgage payment schedule that would allow her to make payments slightly more often—and in the long run, cut her mortgage by 16 years.

To make the most of your mortgage, apply these lessons:

• Review bills carefully and ask about changes you don’t understand.
• Ask a professional about alternate payment options you’ve heard could save you money.
• Research typical mortgage payment schedules before committing to one.

See the Whole Picture

In a post from Five Cent Nickel, the writer addresses the question of whether to go with a big name bank with a slightly higher APR rate or a smaller bank with a slightly lower APR for a mortgage loan.

Essentially, the post emphasizes the importance of making sure you’re comparing truly identical products before making a decision. When dealing with mortgages, this includes:

• Interest rates (and whether they change over time)
• Length of the loan
• Closing costs
• Lender’s fees
• Other fees

In other words, a bank that covers fees or closing costs may end up charging you more through a higher interest rate, even one that seems minuscule. Make sure you’ve worked the equation all the way through before deciding what you want.

If you’re struggling with your mortgage or facing foreclosure, consider speaking with a local bankruptcy lawyer.

Sometimes, despite our best intentions, we spend more money than we mean to, often because we’re drawn in by appealing offers when we’re in a store or subtly pressured by friendly-seeming salespeople trying to make some extra commission.

These types of splurges can be especially frustrating when the credit card bills come in, largely because we never intended to make them in the first place and may not have even wanted them. Luckily, new research suggests there may be a cure for falling prey to salespeople’s sneakiest tactics.

Body Language and Empathy

Behavioral scientists have long seen a connection between body language and empathy. Here’s a look at what happens when we mirror the positions others take.

• Imitate someone’s movements: Research suggests that when you copy another person’s movements (like crossing the legs, leaning on one hand, etc.), you’re more likely to understand and share his or her emotions.
• Have your movements copied: Similarly, we tend to like people who imitate our own movements, because they generally relate easily to our emotions and empathize with us.

While this can be a positive relationship in some situations (like when you’re meeting new people and trying to put them at ease), it also has negative consequences. According to a study from the Netherlands, mirroring others’ body language can also cost us money – and could lead to bankruptcy!

• In the study, one group of subjects either lied or told the truth about having donated money to a charity organization.
• The other group of subjects either mimicked or did not mimic the first group’s body language.
• During assessments of the first group’s perceived emotions and truthfulness, the non-mimicking group was better able to detect deception and better able to evaluate the first group’s true emotions.

Make It Work for You

The takeaway lesson here is this: you’ll be more likely to maintain your autonomy and unbiased judgment if you refrain from copying the body language of others, particularly in sales situations, when the person you’re talking to has an immediate and specific motivation to deceive you.

• Cross your arms. This is a guarded stance, and may help create a barrier between yourself and aggressive salespeople.
• Reject help you don’t need or want. Salespeople are often charming and difficult to resist, so if you arrive at a store knowing what you want or need, politely turn away any help that could result in your spending more than you meant to.
• Just say no. If a salesperson puts pressure on you (claiming that an item is the last in stock, that its price will soon double, etc.), simply walk away. You should never make major purchases under pressure or with high emotions. Give yourself time to reflect.

As the weak economy drags on and on, you may have found yourself feeling less and less thrilled by the idea of scrimping and pinching pennies to make sure you stay above water financially. I know I’ve felt that way more than a few times in the past year or so.

Luckily, the Internet is teeming with tips for enjoying the finer things in life without parting with too much of your hard-earned money. Recent posts from Wise Bread offer tips for going on a vacation – without draining your bank account.

House Sitting and House Swaps

It’s no secret that hotel rooms and other vacation accommodations can set you back a pretty penny. But, if you go off the beaten path, they don’t have to cause bankruptcy.

• House sitting: Offer your services as a house sitter in places you’re interested in visiting. Rely on word of mouth (tell your friends to tell their friends!), web sites like Craigslist.org and signs you post in areas where the wealthy are likely to shop (like upscale shopping centers). Be sure to offer references from people who can speak highly of your character and/or previous house sitting experience. Most people with nice digs will be happy to have someone looking out for their stuff when they’re out of town for a while.
• House swaps: This method of traveling was famously employed in the movie The Holiday, and will likely work best if you live in a place people would want to visit. Search online for house swapping web sites where you can post the details of your abode and search for potential matches.
• Apartment rentals: If neither of the other two options is practical for you, consider searching for other non-traditional accommodations. Many cities offer apartment rentals on a weekly basis, which are often much cheaper than hotels.

Eating on a Budget

One of the nicest things about opting for non-traditional housing is that you’re better able to save money on food. Consider the following tips:

• Find the nearest grocery store: Before leaving home, learn where you can buy food. Eating out is massively expensive compared to cooking for yourself, so limit your restaurant trips.
• Work the kitchen: Staying in a house or apartment probably means you’ll have access to a stove and a refrigerator. Take advantage of these, as they’ll keep you from blowing serious money on otherwise inexpensive foods like milk and coffee.
• Think local: Your favorite foods might be expensive when you’re on the road, so take the opportunity to try cheaper, local favorites – it’s a great way to discover new tastes and save some green!

If your resolutions for 2010 include saving money or improving your finances, you should be taking concrete steps toward making those goals a reality now, before the excitement of resolutions wears away and you’ve lost that new year motivation to stabilize your financial situation, particularly if you’re considering filing bankruptcy.

Know the Facts about Credit Reports & Credit Scores

Hopefully, you already know that your credit report is a compilation of information about your use of credit and loans in recent years. One important part of financial responsibility is keeping track of your credit report, which you can do by visiting www.annualcreditreport.com.

This site lets you check your credit report from each of the big three credit reporting bureaus (Equifax, Experian and TransUnion) once a year for free. Once you see your report, you should identify any incorrect information and follow the site’s directions for having it corrected.

Then, you can use the information to help you see where you’re doing well financially and where you need improvement.

And, to illustrate how important it is to maintain a healthy credit history, a post from Five Cent Nickel examines the exact, numerical difference that a few points’ change to your credit score can have on the loan terms you get.

• Credit report: A collection of information about your history with credit, loans and debt, a copy of this from each of the big three credit reporters is available free to every American, every year.
• Credit score: A number based on credit reports and other factors developed by the Fair Isaac Corporation, this figure is available for purchase, but generally isn’t necessary to understand where you stand in the eyes of lenders.

Be Serious about Cutting Costs

You may discover that, in order to meet your financial goals for the year, you need to lower your spending in some areas. So here are some places to look for great tips on trimming everyday costs without feeling the squeeze:

• Growing veggies and fruit: According to Get Rich Slowly, early January is prime time to start planning for a garden.
• Trimming food costs: Two articles from the Daily Green include great suggestions for making sure your food dollars don’t go to waste.
• Cutting energy costs: Check out the detailed tips for saving money around the house by reducing your energy usage, also from the Daily Green.

The New York Times reported this week about an all new web site, FreeAllMusic.com, that will allow users to download free music – legally. The catch? Users must watch advertisements before downloading. For those interested in saving money (that’s me) and still enjoying new music (also me) the site sounds like it may be a winner.

The site, which has been described as a mix between iTunes and Hulu.com, will work like this when it goes public in January:

• You select a song to download.
• You choose a commercial to view (several companies, including Coca-Cola, Warner Brothers Television and Zappos.com have reportedly already signed on).
• You view a 15 – 30 second ad.
• You download a song.
• The company whose ad you saw pays for the song.

According to the Times, two of four major record labels have so far agreed to make their music available on the site. And 10-15 seconds for a lifetime of listens sounds like a good deal.

The Details

In theory, the site will offer a win-win-win situation for those involved:

• Record companies get revenue from advertisers for songs that could have otherwise been illegally downloaded.
• Users get free, legal songs, which means no fear of retribution in the form of fines or restrictions.
• Advertisers get a unique venue to hawk their products and services – theoretically to an audience interested in hearing about them. Plus, there’s the guarantee that an intended audience is actually seeing an ad (rather than, say, fast forwarding it on a DVR).

Besides the ad viewing requirement, FreeAllMusic.com restricts downloads in other ways; specifically, users apparently cannot download more than five songs in a single session, and not more than 20 songs per month. Still, 20 songs is about two albums.

The downloads, according to the Times, will be compatible on both Macs and PCs, and the company is currently planning to develop future versions of the site that will be compatible with smart phones.

Save Money, Spread the Sound

You want to jam, but don’t want to file bankruptcy. Sources note that the site will also include an option that allows users to post their recent downloads to their Facebook or Twitter accounts and as banner ads around the Web. The announcements would include usernames, songs downloaded and sponsoring companies, and would apparently be used both to generate buzz and to increase revenue for the site.

New Year’s Day is a great time to look back and look forward. When seeing where you stand and where you want to go, include – and be honest about – your finances.

To make and keep resolutions that translates into a more financially stable 2010, it’s important to know which concrete steps you can take to begin the process of financial improvement.

Part One: Tally Up Your Assets

At this point in the game, don’t fret about the little things – trying to determine the value of all your possessions is probably more trouble than it’s worth. So focus on your major assets, including:

• Real estate: Estimate conservatively the equity you have in any properties.
• Retirement accounts: Get a current value for any savings you have for your golden years.
• Savings accounts: Check with your bank for an updated total.
• Vehicles: Estimate conservatively (or check this year’s Blue Book to learn) the values for any cars or recreational vehicles you own.

This side of the equation gives you an idea of what you have to work with, so to speak.

Part Two: Tally Up Your Debts

This may seem painful, but the only way to develop an effective plan for eliminating debt is to know exactly how much you’re starting with. Liabilities could include any of the following:

• Mortgages: How much do you owe on your primary (and, if applicable, secondary) mortgage?
• Credit cards: Review your most recent statements for a solid number.
• Educational loans: Again, a current bill should reveal your obligation.
• Business debt
• Car leases or loans: Review the terms of your contract or loan agreement if necessary.
• Personal debts: Any individual who has loaned you money should also appear on this list.

After working through this from memory, you may want to pull a copy of your credit report (available free at annualcreditreport.com) to make sure you haven’t missed anything.

The Big Financial Picture

Once you know all your assets and debts, take a clean sheet of paper (or spreadsheet) and divide it into two columns. In one, list debts (with amount owed, interest rate, and any pertinent details). In the other, organize your assets.

Once you have a visual of where you stand financially, it will be much easier to make a plan for getting your finances into shape so they can outrun bankruptcy.

Here’s to a happy and financially healthy 2010! Cheers!