BA

Soooo I am actually writing this entry on my iTouch while lying in bed in Snoopy pajama pants. Why am I doing this you ask?

The weather has been heating up, and in an effort to stay cool while keeping the electric bill down, I thought I'd give this a try....

Yeah, I admit having an iTouch in the first place is anything but frugal. It seemed like a good idea at the time since this is how I manage all of my personal finance as well as essential data that I carry with me.

But the cool part (pun intended) is that I don't have to turn on my heat-producing monitor, old PC, and if desired, my speakers just to post this entry. In fact, start up is pretty fast!

The only thing that is not very fast is my thumb typing. On a regular keyboard, I type about quick enough to think freely if that makes any sense. Here, I stumble slightly while thoughts are briefly placed on hold. So, this isn't ideal for long entries such as this one.

What is also limiting is the fact that my "viewing window" if you will is quite small and does take some getting used to.

I suppose all this isn't too bad that for light use, but I would trade a kidney if Apple came up with a larger version with higher resolution. I actually wrote to Stebe Jobs once for that. For an "iTouch HD" with a full-blown browser so I won't have to constantly zoom in and out, and rumor has it a similar "iPad" is in the works but rumor are Anything but reliable....

Ok.I am rambling, thumbtyping on an expensive gadget while making an entry that has nothing to do with frugality. Yep. I am a bad boy. I'll try to he extra frugal in my next entry....

Ever heard of This American Life by Ira Glass?

The giant pool of money is an hour-long radio documentary on the subprime mortgage and CDOs.

You can listen to it online for free with the "full episode" link. Alternatively, you can also download a PDF transcript if you prefer to read it.

I may have mentioned this already, but I also track my cellphone minutes. Because it is pre-pay, I am interested in finding out just how much per month do I actually use.

I've only started tracking a couple of months ago. In the first month, I used 120 minutes, but last month, I only used 30 minutes!

At $0.09 per minute, last month's phone bill comes out to be only $2.70!

Of course, whenever my friends call, I don't try to hurry them off the phone or anything. That's what the minutes are there for, so we always talk for as long as they like.

Still, last month's phone bill total was a very nice, small figure! I really am liking the way my pre-pay phone is working out.

This isn't a huge deal or anything, but often times, I will run across non-personal finance stuff that I think is worth sharing. However, since it shouldn't cost you anything extra, perhaps it still adheres to the spirit of SavingAdvice here? Good clean fun that will hopefully make you smile. That's goal. That's Breaktime.

First up,

I love this music video. It may seem unremarkable at first, but stick with it, and you'll see what I mean.

I finally figured out who stole my credit card and bought pizza with it.

A clever use of flickr indeed.

First, and biggest issue. I've always had problems with this house's central AC. Basically, it doesn't work, other than to sap out a lot of money in electric bill while trying to pretend to work.

The summer heat just arrived, and as I sit here, practically naked (try not to gag ) with a fan running and yet still sweating, I am seriously considering what to do next.

First options is to get an HVAC guy out and inspect my unit. How much does it cost for someone to come look at and repair the central AC? Is it even worth it since I don't even use most of the house?

The second option is, and this is the one I am leaning towards, does anyone have any experience with "portable" air conditioners? It's basically a window AC, except it sits in the room with a hose running out to the window. The Homeowner's association doesn't allow window AC, but they're willing to let something like a portable AC squeak by because it doesn't stick out.

The only problem is the upfront cost. The unit I am realistically looking at is $500. There are cheaper, but I've read scathing reviews about how poorly those ones are built, and that they will not last.

The other thing is my electric bill. In the summer months, they are literally FIVE TIMES higher than the winter months. (Well, to be exact, my winter electric bill is around $20-30, and my summer electric bill is around $70 to $120, but normally hits $100.) Is that normal for you guys? If not, it could translate to as much as $300 I am losing due to the defunct central AC. It would also well-justify the cost of a portable unit....

Oh, and before you mention it, yes, I've done all the self-repair tips I can find online. Still no dice. I don't know, what do you think?

Since the first question is so long, I'll keep the second one super short. Basically, I've got olive oil stain on a silk shirt. Although it's considered blasphemous, I tried to wash it out with the washing machine, but still no luck. Am I stuck having to dry clean it? Will that actually get the stain out? Is it expensive to do that, or should I just never wear silk again?

Since today is the last paycheck of the month, I decided to go ahead and update my net worth early.

This month has been an especially good month for me, thanks largely to Mr. Market. But I did help a bit too, trying to be frugal.

Well, actually, I've been rather spendy recently, snapping up the last of the "recession deals" on my list. It really is a shame that I'm neither in the market for, nor can I currently afford a house right now. This year seems like a particularly good year to buy.

But most of my days are small struggles with my budget, trying to keep the costs down as much as I can while trying not to get too discouraged because, sometimes, it doesn't seem like it's going anywhere.

That's why this month's net worth is particularly encouraging. It's motivating me to want to go even faster.... I WANNA GO FAST!

Stock-related entry. Read at your own risk.

I was at a K-mart (or Kmart) over the weekend, and as I strolled across the remnants of a once mighty discount business that could have stood toe-to-toe with Wal-mart, I wondered just what happened to them?

Although wikipedia's information should always be taken with a grain of salt,

I nevertheless found it quite informative. Gleaned from wiki's entry, there are several important insights as to why the business have failed:

"In the late 1980s and into the 1990s, the corporate office shifted much of its focus from the Kmart stores to other companies it had acquired or created...."

So, right off the bat, K-mart appears to be doomed the moment management lost interest in this business....

"Unlike its competitors Wal-Mart and Target, it had failed to invest in computer technology to manage its supply chain."

Perhaps, due to the above reason, it did not evolve to become as efficient its competitors.

"Furthermore, Kmart maintained a high dividend, which reduced the amount of money available for improving its stores."

I couldn't look up on what exactly was the historical percentage, but here's a classic example of how sustained high dividend isn't always a good thing....

"In a scandal similar to that involving Enron, Conaway and Schwartz were accused of misleading shareholders and other company officials about the company's financial crisis while making millions and allegedly spending the company's money on airplanes, houses, boats and other luxuries."

Management has always been a key factor one needed to look at, but as an individual investor, I know that if I was looking at them at the time before the scandal, I could not have predicted that it would come to this. Sort of goes to show why stocks can be such a risky gamble, because things can still go awry even when you research everything....

"On May 6, 2003, Kmart officially emerged from bankruptcy protection (...) Lampert took control of the company and began to run it for profit instead of sales.

So, I assume this part is why K-mart is no longer known for its discount prices and blue light specials, and by now, we all know it's stuck between a rock and a hard place against Wal-mart and Target.


In hindsight, there's so many good lessons here for investors to take away from. None of them are terribly difficult, and chances are, you may already know about them. Still, these signs are important enough to keep in mind, and it especially hits home for me whenever I walk through a K-mart....

I was just perusing through some of the Carnival of Finance-like posts from other blogs (not from any blogs here), and um, how do I put this?

I am reminded again that there's no minimum requirements to have a financial blog. In other words, I can easily set up a blog like here, and fancy myself as an "expert"... like here.

By the way, I know I'm not an expert. I'm just a guy, trying to get through life. I blog as a way to express online what I can't always do in real life, as well as to sort of chronicle something that is important to me, which is my financial journey.

And yet, to be blunt, there are some people who are much less informed about financial matters than even I, but are parlaying themselves as financial experts, and giving out all kinds of semi-misleading advices. (Let me say again that none of these blogs are from here.)

Let me also add that these sort of blogs and entries are in the minority. Typically, I've enjoyed these sort of Carnival articles.

You know, I was actually quite reluctant to make this post, because as a rule, I don't like to criticize other people. If anything, I prefer to be someone who is known for being supportive and helpful, not critical.

Still, where else would I be able to get something like this off my chest except... here? I just hope that people will keep in mind the age old Latin warning, "Caveat Emptor" when they read about financial advice, including ones from me.

Speaking of rides, did you know that even wealthy people are feeling this recession? And that there are also a lot of "bargains" for the filthy rich out there? I remember seeing several examples of this, but this

buy one get one yacht free deal is, by far, one of the most over-the-top I've seen and I just have to share it.

* The topic of why leveraged ETFs should not be used for long-term investing has come up in the past before, and

I found a relevant article that I wanted to save here.

* A comical but ultimately grim reminder of not letting one's feelings cloud our judgment when it comes to making rational trading decisions. Investing psychology chart.

* Note to self: Study OAKVX more in-depth later. ER obviously too expensive, but I think they've got the kind of thinking that I would like to help pick my own stocks.

* Not really investing-related, but this article really blew my mind.

"Last summer, Congress passed the Hope for Homeowners Act, setting aside $300 billion to help people refinance into more affordable mortgages. But the program has been a total flop.

When it was first introduced, the Congressional Budget Office estimated that the program could help 400,000 people keep their homes.

But more than six months after the program was launched, the Federal Housing Administration says only one homeowner has made it all the way through the government program and received the FHA guarantee. "

This entry is going to focus mostly on trading and investing, so please feel free to ignore if you are not interested.

But, if you're still here, I'm going to try to make it as brief and interesting to you, the reader, as possible.

* So, I think everybody is familiar with the Sharpe Ratio, but what if you're only interested in the downside volatility? The gains can be anything for all I care, it's the downside risk that I care about, right? Well, I just learned that there is a modified version called the

Sortino Ratio, which calculates for that.

* By the way, ever heard of the Amaranth Gamble? The link will tell you more, but basically, it's one of those hedge funds that didn't use futures to hedge against risk. Rather, it used the same futures to leverage massive bets with little regard for risk.

In other words, no matter how good someone is, no matter how "sophisticated" the trading strategy or the instrument may be, trading with little regard for risk is ultimately a recipe for disaster. It's an important lesson all traders and even investors should take to heart.

* Finally, I don't know how seriously you want to take this, but I thought this is, by far, the most amusing stock pick I've ever seen. Text equivalent articles are available, but the stock picker in the video is what makes it so funny. Check it out!

Perhaps that's a terrible title, and I apologize. I'll try to make it quick.

* Wikipedia has an interesting etymology for the entry

piggy bank. Go check it out!

* I tossed out a couple of Blockbuster coupons. Why would I want to pay $1.99 discounted price for DVDs when I can get about the same for $0.99 at Red Box? Sometimes, a deal still isn't a deal.

* Wells Fargo stock jumped to over 30% yesterday. I wasn't in it. I weep.

* Probably noticed by now that I've made some color changes on the blog, as well as added some links that I like. Please let me know what you think of it.

* How do you keep birds out of air vents? I read that the best way is to put a wire mesh over the vents, but what if the vents are second story high and you don't have any means of reaching it?

* Ok, there is absolutely no rhyme or reason why I should even be aware of something like this, but I thought this is the prettiest baby crib I've ever seen. And that's my insane moment of the day.

The current economic recession is deep. Deep enough that some are already speculating it will shape and define the decade to come.

Good! I had lamented before that, once the economy is in recovery, the lessons of this recession will be forgotten. I feared that people will go back to their old ways of super-sizing everything from cars to credit card debts.

Fortunately, that appears less and less to be the case. In fact, as I was listening to the radio, they brought up a buzzword that I really like: The New Normal.

Still, as the radio program begs the question, how has this economy affected your every day life? What is your New Normal?

- - -

Since I'm asking, I suppose I should also be the first to answer. The truth is... besides worrying about becoming unemployed, I can't say the economy has affected me that much. Don't get me wrong though. It could have, but I already turned frugal as a result of my divorce, before the economy got really bad. But if that had not happened, then yes, I think the economy would have had a bigger influence on me.

Actually, and at the risk of stabbing myself with fateful irony, perhaps this economy HAS influenced me in a rather peculiar way. Despite being re-born as a frugal person, the economy is quite the consumer's market right now. There's just so many good deals out there that I ended up spending on a lot of stuff that I've always wanted, but kept putting off.

20% off for micro-fleece Snuggies blanket with sleeves and super absorbent made in Germany wonder towel Sham-Wows at the local Bed Bath and Beyond? Heck yeah, sign me up! Just kidding.

Anyways, back to the question for you, has the economy changed you somehow, and if so, how?

I've been casually looking into Bug Out Bags (BOBs for short) lately. The basic idea of a BOB is, in the event of an emergency, you can grab this one bag and, as the name implies, bug out.

Although it's unlikely to run into an emergency like a house fire, if a fire should occur, can you honestly say that you know, in the heat of the situation (haha, punny), exactly what to get and can get to it quickly? I certainly don't. Yet.

Not that it's actually advisable to be sifting through your drawers and closet during a fire in the first place, but what if most of your essential belongings are already gathered up into one easy, convenient carrier, ready for you to grab on your way out? That's what a BOB is for, and I think it's something everyone should consider....

Unlike some survivalists out there, I don't really have a hard and fast rule on what should or should not go into a BOB. I think it should depend on what emergencies each household believes they may run into, and how far they want to take this.

I do think all BOBs should have a small amount of cash, for one thing. Nowadays, it should also contain your flash drive of important documents (which can and probably should be encrypted). It should also contain at least a pen and a sturdy note pad of some sort.

Of course, one can expand to other things such as flashlights, multi-tool, first-aid kit, fire starter, water decon tablets, solar charger, spare cellphone charger, hand crank radio, etc etc. Here's an example of a

wilderness survival BOB that I think is fairly well-thought out.

But for most of us? We don't need to go too far with it (unless you want to). The upside to keeping ours minimal is that we can also store most of the items in a fairly small pouch that will not be too cumbersome. For women, it could be as simple as a small purse, and for men, maybe a fanny pack. Keeping it small also makes a bit easier to hide, since a BOB is not something you want a burglar to easily find in plain sight.

Other containers that are worth considering are bookbags, vest or jacket, and brief-cases.

So, do you have a BOB? What else do you think is important or you already have in your BOB?

John Templeton was a brilliant stock investor who lead a long and distinguished career, and was one of the early pioneers of the mutual fund. Like Buffett, he too was a Billionaire that lead a life of thrift and philanthropy. He recently passed away on November 2008....

However, Mr. Templeton's legacy lives on, and thanks to

Get Rich Slowly, there is a link to a free PDF book from him. Though the book is short and the advice is simple, I think these are the kind of words that all investors should know and live by.

Anyway, here's that PDF link.

Earlier this year, my mother told the children that she wants us to go to Disneyworld this summer.

Disneyworld....

It was one of those places that my ex and I once talked about taking the family there. Somewhere deep inside my tight-wadded heart, I secretly loved it. Visions of the rides where the kids and my ex would be able to get on, and the ensuing laughter and squeals danced through my head.

But that was back at a time when divorce wasn't even in my vocabulary. As they say in the Apollo 13 movie, "Hell, we've never even simulated that before." And now, here I am faced with the prospect of perhaps having to go to Disneyworld without my ex.... A woman whom I still love. A woman whom I still detest.

I know, I know. "BA, you're being too mopey. Snap out of it and go have fun with your mother and kids!"

But the human heart, or at least mine, can be quite the touchy child. After all these years, I have yet to see LOST. I loved the parts of the first season that I saw, but haven't been able to get myself to watch the rest yet, knowing full well that's what the ex and her boyfriend enjoyed as they camped out at his place while we were still quite married....

After all these years, I said that I would draw the strength to finally watch the show some time this year. But Disneyworld? That's too sudden!

I wonder if I will break down in tears? I wonder what the children or my mother would say if they caught me breaking down? What about the crowds? Would they think that perhaps I am somehow injured while waiting in line to ride It's a Small Small World? Would Goofy run up and try to give me CPR? Now that would be funny.

Yeah, I know I'm sulking still, I know the world doesn't center around me, and that I Don't Have Any Problems. And for heaven sakes, I AM a man, and somehow I'm sure I'll survive-- oooh horrors-- Disneyworld.

Just the same, if it does come to that, I think I may need to hold my daughter a little extra close. I hope she doesn't mind. She's getting old enough that she starting to not like being coddled. It's just that, she's the only thing I have left that's close to the woman I once loved. They grow so fast, but I am hoping that she can still be daddy's little girl for just a little while longer... at least until after Disneyworld.

Now if you'll excuse me, I think I'll go over to the forums and talk about stocks or something while I search for my misplaced man-card.

Remember the friend of mine that used to live in a car because he can never seem to get his financial act together? The one that drives me crazy, and yet somehow, we're still friends? (I've minimized my contact with him, by the way, and that has helped immensely.)

Well, he finally lost his job as a fitness trainer about a month ago. From his perspective, it's because the economy has been doing poorly, and believes his boss was just looking for an excuse to get rid of him.

Honestly though? He's just one of those guys who thinks he is always right and everybody else is somehow wrong. I mean, he may be my friend and maybe that's rude of me to say, but that's just the way he's always been. That alone has always rubbed people the wrong way, including me... but that's a whole other can of worms there.

Anyway, even though he has been unemployed, broke, and lived in a car before, that's never bothered him in the past. And yet, for some reason, it seems to bother him greatly this time.

I asked him about this, and his basic response was that, this time, he isn't going to try to find a job, and instead, have opted to live on student loans while he's going through school. Ah....

Although I don't think that's a good idea, I didn't come out and say that. However, I did suggest that he should at least find a part-time job somewhere and have some kind of income.

Anyway, it's strange to see him nervous about money. This is coming from a guy who has boasted in the past that he can always go back and live inside his car, and has accused me of "lusting money". But now, he's asking me about budgeting and frugality! Can you believe that? Him of all people!

Or, perhaps, I shouldn't be so surprised, since fear is exactly how I finally got serious about getting my own financial act together.

Still, I wonder if this will be a lasting trend, or is this just a temporary effect until he finds a job again?

Either way, I really hope that he can get through this. I don't like seeing my friends suffer for any reason... but at the same time, maybe this will be good for him. Maybe this experience will finally help him realize the importance of money.

I was at another site where there are a few members who are struggling with their personal finances. When you get even just a glimpse of their lives, know their names and faces, and the hardships they've had to endure in their everyday life, well... it just makes everything that I've ever gone through seem petty and shallow.

Here you have people hoping that their husbands will find a job soon, worried they might be evicted from their homes, and praying their daughter will be able to win the battle against cancer.... And here I am, trying to decide if I really want to upgrade to a set of surround sound speakers.

No. I didn't upgrade my audio speakers.

I probably shouldn't be saying this, because this will probably make me seem like some kind of attention-grabbing, self-centered jerk, but I felt so bad, especially for that girl with the cancer that I donated to her family's charity that's tied to the American Cancer Society.

I double checked before I donated to make sure it wasn't a scam or anything, and everything looked legit.

It wasn't money I'm going to miss anyways. I probably would've just ended up wasting it on video games or speakers or something.

I tried to stay anonymous, but didn't realize that they somehow show your real name, or at least parts of it, when you donate. That's rather problematic, but I had to use my real name because I was donating with my credit card. Fortunately, I don't think anyone can tie me to my online identity over there.

Oh, and don't worry about adding any more contributions. I gave them the full amount they needed to reach their goal, so they're all set....

I do have a question though. It wasn't a big sum or anything, but charitable donations are tax deductible right? I've never filed a charitable deduction before. Anybody know what is involved?

I thought I'd use a "catchy" title this time since the results are sadly much more pedestrian....

My net worth this month is up, but barely crawled on by. The reason?

For one, I lost a little bit on the stock trading. Not much, but every little bit counts.

A much bigger loss is from transferring my old 401(k) out to my new rollover IRA. Yes, it's finally complete as of... well, just this morning! Actually, that's the good news, because I really didn't like my old 401(k) at all.

The bad news is that the loss came from losing some of the vested money due to my employer change.... I suppose this part can't be helped, but it still affected this month's bottom line.

Fortunately, the losses appear to be covered by the combination from rebuilding my cash reserve and last month's overall market performance.

On a separate note, my old 401(k) mailed me a check to give to Scottrade (where my rollover IRA is). Is that normal? I would think it'd make more sense if they would mail the check directly to Scottrade instead?

Elsewhere on the internet, a very interesting discussion is brewing about which account is better, Traditional or Roth? All things being equal, it turns out that the numbers favor the Roth! Color me surprised, and it's not even close!

To delve deeper, first we have to make a few assumptions....

Assumptions
* Assume you have $100,000 in a traditional IRA (based on the original example).

* Assume the money grows at 8% each year (based on the original example)

* Assume you have $30,000 in bank savings to cover the Roth conversion if you choose to.

* Assume that the investment horizon is 30 years.

* Assume that the 2009 tax codes do not change between now and 30 years from now. (A big assumption indeed.)

* Assume effective income tax based on filing single in 2009. (I'm cheating here with

Money Chimp.)

* Assume the capital gains tax also does not change at 15%.

* Assume that you convert/withdraw all at once, and therefore, pay your taxes in one lump sum (for simplicity sake).

* Assume that's also the only tax you have to pay during those times.

* Assume that there are no legal restrictions of any kind on the Roth conversion.

* Assume that early withdraw penalty is not an issue here either.

Whew! I hope I covered everything. Now let's start with the Roth IRA path.

Roth
1. The cost in taxes to convert the $100,000 to Roth is $21,720. That leaves me with $8,280 in bank savings.

2. The $8,280 is left to grow in my bank account for 30 years. That's a growth rate of 8% minus capital gains tax of 15% which equals to 6.8% in net growth. 30 years of growth at 6.8% equals to $59,589.25.

3. The $100,000 inside the Roth then grows, tax-free, for 30 years, and at 8%, that totals up to $1,006,265.69.

4. The combined total of the Roth and bank savings gives you a total of $1,065,854.94.

Ok, let's move on to the Traditional path where you don't convert, and instead, decide to pay the taxes later on.

Traditional
1. The IRA grows tax-free for 30 years at 8% for the same total of $1,006,265.69.

2. On the final year, you withdraw it all at once. Money chimp says your tax burden for the entire amount is $329,877, leaving you with an after-tax total of $676,388.69.

3. However, you also have $30,000 left untouched in the bank, growing at a taxed growth rate of 6.8%. After 30 years, that amount is $215,903.08.

4. That leaves you with a combined total of $892,291.77.

Conclusion
So, ASSUMING that my assumptions are reasonable and comprehensive enough, and that my math is correct, it's clear then that the Roth would win out. And it's not even close! $1,065,854.94 and $892,291.77 is a difference of $173,563.17! That's a lot of money!

So what happened here? Why such a gap? The basic assumption has always been that people would use the retirement principal to pay for the conversion tax, but a more realistic assumption is to use our own savings instead. And if that's the case, most your money in the Roth path grows tax-free, whereas with the Traditional path, you have much more (in the bank savings) being withered down by paying annual taxes.

Of course, I am making ALL SORTS of assumptions here for simplicity sake and in the interest of attempting a fair comparison, but is hardly representative of real life or our individual financial situations.

And that's why my final answer has always been, "It depends." It's best to just sit down and crunch out the numbers, to see what will work best for you. Still, all things being equal, I thought the numbers would be a lot closer, though I see now that it isn't. Amazing.

Boy, I sure do seem to talk a lot about my 401(K), don't I? There's sort of a reason why. You see, I'm in the process of doing something kind of provocative. Controversial. Maybe even dangerous....

I'm going move most of my retirement money to Scottrade, and will likely focus on stocks and bonds....

Ok, take a deep breath people. Try not faint. For one thing, I don't plan to trade with most of this money. Instead, I DO plan to buy-and-hold AND diversify!

Also, please consider that when you buy stocks and bonds, there is NO expense ratios to speak of. Just a trading fee, which with of increments of $10k at a time, amounts to something like 0.07% equivalent front load in a mutual fund....

Of course, the main problem here is the assumption that I am actually competent enough to micro-manage my own portfolio. Ok well, I am not so sure about that, but the interest is definitely there. Enough to steer me towards this direction for now.

Why do I feel like I'm trying to justify to the missus why I shouldn't be locked out for buying something I shouldn't have? "But honey! If this doesn't work out, we can always go back to index funds! And the kids'll love it! I think!"

I just checked my old 401(K) brokerage, and have a balance of $0. GOOD RIDDANCE! However, the balance has yet to appear on my new Scottrade rollover account. Hopefully that will happen soon!

But yeah, this is the extent of my exciting life right now. I would jest about needing a new hobby here, but you know what? Screw it, I like this stuff!

So, I've overheard some chatter about some place called "Aldi". And this "Aldi" supposedly have some pretty good prices.

Right, so I looked up their website and checked their store location to see if there is one near me. Much to my shock, not only is there a store near me, but there is actually not two, not three, but FOUR Aldis within driving distance from me!

How long have I been living here again? More than 15 years I think... and yet, I never knew that?

So, earlier today, I finally decided to visit one of these mythological Aldi, and I must say, it's quite different from other grocery stores.

For one thing, it looks more like a small warehouse than a grocery store, with an assortment of knick knacks including children's clothing thrown in for good measure.

Some of the prices were comparable with other grocery stores, but others, especially lesser-known brands, came with quite a good discount!

Here's something else I found interesting (and applaud the management for doing): The cashiers at the check out lines work sitting down! Much more ergonomic!

Oh but this is the biggest pleasant surprise: When I checked out, the cashier asked, "Cash or debit?"

"Oh? No credit?", I asked, "I don't mind. I'm just asking why."

"Credit takes out a percentage for every transaction, and by skipping credit, we can pass that savings on to you.", she answered. I love it!

Unfortunately, none of the Aldis is close enough to me to be considered as "convenient", and the savings aren't big enough to warrant the detour.... That's also why I never knew about them in the first place.

Still, if nothing else, it an interesting little diversion. And now, I can finally understand what other people are talking about when they mention Aldi.

You guys ever heard of

this website? They're a similar resource, perhaps even a competitor to, Consumer Reports. However, unlike CR, consumersearch.com is still free at this time.

I've known about this site before, but recently, it appears to have undergone a complete face-lift, and the results look good! Also, rather than simply culling information from other sources as they have done in the past, I think the site is starting to step up and conduct their own lab tests as well.

In particular, I was looking in the Health & Beauty section.... Yes, a guy... checking out the Health & Beauty section. Haha, ok, let's move on. But you know, I did find some good information about men's electric razors, men's multivitamins, and even toothpaste! Based on what I've read, I think I'm going to try some of their recommendations in the near future.

And to help us frugals out, they will often times make budget recommendations as well as normal recommendations.

Anyway, it's just one of those websites that I think is so good, it bears mentioning.

So, here I am contemplating what I want to do for the rest of the night, and at nearly 10pm EST, I'm thinking about just going straight to bed. But if I wanted to get out and do something real quick, well, I can do that too.

Now, here's the really funny part: As I am looking over my budget... yes, Friday night, single, can do whatever the heck I want, and what am I doing? Looking over my budget for the umpteenth time today. Nope, still hasn't changed from a few hours ago!

But see, that's what occurred to me. Maybe the real secret to my frugality-- the real, dirty secret-- isn't so much that I am just motivated towards frugality, but....

I may have also forgotten how to spend money?

Does that sound crazy? Am I thinking too hard? Do you guys know what I mean by this?

Don't get me wrong. I think I can window shop as well as anyone. I can even "force" myself to buy something if it comes down to that.

But let's be honest with myself here. Ultimately, I didn't really get up and buy or do anything, did I? No. Instead, I'm sitting here trying to psychoanalyze why I am sitting here, looking over my budget.

So, I wonder. Have I really forgotten how to... *gulp* spend money? Have I, in some ways, also forgotten how to live a little and perhaps enjoy life? I don't know, what do you think?

Anyways, I'm going to think about it some more... as I head to bed while looking over my budget.

I just found out from my old employer that, unless I was still actively employed with them by the end of December, I would not get any company match in my 401(k).

So... all that effort over my 401(k)... is for naught. Sigh.

But, I'm trying to see the bright side of this, and basically, it's still money I am investing, and I can roll this to an IRA now instead of later!

Now, the question is, where should I roll this to? Vanguard and their famed index funds? Fidelity along with my new 401(k)? Or here's a crazy one, what about Scottrade and micro-manage my own portfolio?

During my lunch break, I decided to have a little fun and

see how I stack up with other NetworthIQers. As you may or may not know, that's how I track my net worth, though I keep my profile private....

For my age group, I am severely behind. In fact, I fit in the median of my previous age bracket.

Same thing with education.

I am way, way ahead for my income group. In fact, I fit the median of two brackets above me!

I am ridiculously ahead in my occupational field.

Lastly, I am behind by state count, but that doesn't mean anything to me.

I think it's also worth noting that NetworthIQers are like SAers in that we are a particular breed. Chances are good that those who track their net worth are are likely to be financially savvy, and is therefore a tougher crowd to compare finances against....

Not that this is a contest or anything, but it's just nice to see that I am not hopeless... and I can even sort of run with the pack now.

Oooh, I got my "action package" from my old 401(k) today. I'm not kidding about the "action package" part either. That's what is written on the envelope.

Now that I've officially left my old employer, my old 401(k) wanted to let me know what I am working with and what my options are. How nice....

Let's see, I could leave it with the old 401(k), and according to their simplified calculations of 3% and 8% return, I could expect a seemingly large sum by the time I reach age 65.

Or, I could roll it to a rollover IRA for only this so-and-so amount.

Or worse, I can cash it out and be penalized for around 20% in taxes (sent to the IRS as a withholding).

While the calculations aren't wrong per se, I love the way they only talk about "the big numbers" by keeping my money with them, and only so-so numbers for leaving.

Why do I feel like I'm in an abusive relationship? They've already made a bunch of money off of me in front loads, and now, they're singing me a song about how much better our lives would be if we are to stay together?

Snarkiness aside, the information was indeed very helpful. It included details of the various tax implications of each options and so forth.

Still, I'm going to stick to my original plan: Wait until maybe next year, when the last batch of employer contribution is sent, roll it all at once into an IRA somewhere, pay for the Roth conversion if all goes well, and rock on with life.

So, thank you for the Action Package, old 401(k). It's been real, but I can't say that I'll miss this old, dusty town.

This is not going to be one of my finer moments or posts, but I just have to get this off my chest....

For literally years, my ex has made it crystal clear that she's quite happy with not having any contact with me. And yet, yesterday, she decided that it would be fitting enough to talk to me in person about insurance matters. Namely, she decided that my high deductible insurance isn't good enough for the children.

But rather than trying to understand my position, and after making it clear that she has her own insurance to supplement mine for the children, she's still accusing me that I'm trying to screw her or the kids somehow.

Here I am trying to understand why she insists on that line of questioning, but when I offered for us to sit down and look over the choices, and help pay for the insurance premiums, all of a sudden, she was like, "No, no. I don't think I want to do that."

Why? Why does she get to decide on what we will or will not talk about? Why does she get to decide that I am the bad guy in this picture but we can conveniently avoid anything constructive? Why does "I" take precendence over "we"?

You know why I am so upset with this conversation? It is because, basically, she wants me to pay more so she doesn't have to. This, despite that fact that she knows I make less money than she does, AND the man whom she committed adultery with when we were still married, and is still together with, makes EVEN MORE money. In fact, he is moving into her basement and will be paying my ex rent!

So, despite having at least six figures worth of income to tap from, she has gall to basically say, "You should pay more on the insurance"? I was flabbergasted! Here I am, standing in her house; a fully-upgraded, corner end townhouse, in a small and private cul de sac from a nice part of the town, thinking about all the vehicles she has bought, upgraded, and swapped around, along with her emails making it crystal clear that she is not destitute and "No I don't need you or your money"... and now, she wants to stand there and tell me that I'm a bad person for not picking an insurance that's good enough for her?

"Oh but I don't want to talk about that. Let's not talk about that", she says, referring to all the money she's spent on her lifestyle, which she thinks she has cut back on. Of course! Let's conveniently skip all the stuff she doesn't like but we can focus on the stuff that makes me look bad.

What is wrong with this woman? But like I said, I would not have gotten even remotely upset talking about something like... insurance.. if she would just stop thinking only about herself and her needs and start thinking about other people... like ME. It was like being married to her all over again:

She decides on what she wants to do, regardless of how it affects anybody else, including me. I get upset because she doesn't give a damn about me. She blames me and tells me I am at fault for getting upset and that's why she has to leave me, but instead of the battered women's shelter after telling all our family, friends, and co-workers what a horrible, abusive, and angry husband that I was, she gleefully runs off on ski trips with her adulterous boyfriend while leaving me at home to watch the kids... because somehow, angry, abusive husbands are still good enough to watch the kids. Makes perfect sense!

Look, I'm not a perfect human being. But despite my flaws, I really do care about our children and even my ex's welfare. But IT GETS OLD when, ultimately, my ex does not care about ME. Only what works for her. Very simply, that's why I get so upset.

And here's something else: I KNOW my ex is aware of this blog. So it's not like I'm talking behind her back. Ex, if you've got anything you want to say in your defense, you know how to respond. But I'll say this much: YOU are the one who cheated on me and left me. YOU ALONE DECIDED TO DO THAT. I even tried to work things out with you, but YOU CHOSE NOT TO. So, while I will work with you, especially when it comes to the children, I owe you NOTHING! And you will NEVER, EVER push me around again. EVER!

Hallelujah yes!

My first paycheck from the new employer just posted, and everything looks good!

Earlier in the week, I checked the new employer's website and saw that our direct deposit had not been set up yet. However, it could be done online, so I set it up myself. This morning, I'm happy to see that it worked as it should.

Another snag was whether the new Fidelity 401(k) was working or not, and I am pleased to report that it's working beautifully! In fact, unlike my old 401(k), which takes a few days to update in my account, Fidelity's account is updated about as quickly as my direct deposit! I think I'm going to love my new 401(k)!

With my money in the bank account, I just finished paying off all but one of my bills (but only because the website is down). It's a very cathartic experience to get the bills caught up again. I hate falling behind.

And because the 401(k) contribution is down to a normal size again, my paycheck is also bigger than what I am normally used to. However, my budget won't change, and instead, I can begin rebuilding my EF in earnest.

Oh and on the side, I used another 1/3rd off coupon for Bed Bath & Beyond. This time I swiped it from my mom. Well, I did ask first at least, and she was fine with it. More for the stockpile!

OceansLuver asked, "

Who is your favorite blogger?"

I was going to say that it's not something I can answer, because I have so many different favorites, each with their own amusing little quirks.

But the comment took on a life of its own, and I decided to post it as an entry instead. Brace yourselves, because this is THE longest entry I've ever written! In no particular order and off the top of my head:

Yes, Ima is among my favorites because, given her age and what she has gone through, it seems as though she still sees the world through the eyes of a child, with wide-eye wonder. And that is a beautiful thing.

PrincessPerky is one of the first SAer that I got to know here, and has done much to restore my faith and confidence... more than I've let on. And I really should have been more vocal about that. Thanks PP! Keep up your home-schoolin'!

Miclason is from El Salvador. Did you know that? I didn't know for the longest time. It just goes to show how amazingly well she writes, and with such a unique, outside-the-country perspective on things. And yet, she keeps it so close to home with her beloved daughter.

Baselle. One of the kindest, smartest, and wittiest bloggers on here. I don't think I can quite describe how intellectually interesting she is. Attempting to would take more than the space I have available here.

MonkeyMama. Among the smartest and yet so grounded. Ever meet a woman who is like the sun? She has entries that is as long and descriptive as the pervasive rays of our star, and yet, remains an inscrutable, womanly mystery that one can never quite seem to make out no matter how hard I squint.

Koppur actually worries me. She doesn't lead an easy life, but she still does the very best she can, and is truly an American story. Follow her and you can almost get a pulse of what the country is going through....

Thriftorama's adventures with the Tiki bar and Hurricane Katrina had me glued, seeing how she is coping.... I've read just about every entry that she's written if that says anything.

Ah Thrifty Ray. If there is ever one blogger that can transcend the cold, ethereal medium that is the internet, and prove that indeed, warmth and kindness can be transmitted via tiny bits of 0s and 1s, it would be Gramma Ray. It's hard not to read her entries without smiling.

Paulette Goddard is one of the most whimsical and articulate writers I've ever encountered, not just in the blogs, but anywhere. Reading her blog isn't just perusing yet another blog entry. It's more like an other-worldy, and often times, magical journey. I think I have a boyish crush on her writing style. Konichiwa!

Although I may not have commented on there much, I actually keep up with FrugalTexan's blog quite closely. She's a woman who doesn't seem to be afraid to bare her soul, and there's something very engaging about that. A real, down-to-earth girl going through the trials of life that, in so many ways, can make even a guy relate to her.

LuxLiving is, quite arguably, THE most stylish blogger on here. No really, she has a sensibility about her that easily stands out and makes her unique. If there's ever a blogger that I need style suggestions from, you know who's on the top of that list!

Ceejay is unique and bares mentioning. I hope I am not over-stepping my bounds when I say that she is a part of a 3-person household. The perspective, both social and financial, keeps me glued. Yet another blog that I read just about every entry because... run-of-the-mill it is not!

DisneySteve. Enough said. Seriously, an extremely rare entity on this blog. Male. Successful. And yet, frugal! What's not to love? Hey Steve, when are you taking me to Disney with you?

Gamecock. Another blogger that needs no introduction, and an endearing walking contradiction that requires more words to explain than I have space for here. That was a compliment by the way.

Fern, to me, is the quintessential Southern gentry that I've come to associate her blog as. I think her technical writing prowess sometimes goes under-appreciated due to her disarming, soulful, and yet very accessible but real look into her life. For some reason, I always crave a tall, cool glass of sweet tea when I read her blog.

I haven't seen Merch around lately, but he has been instrumental in shaping my investing point of view. Preferring the comfort and civility that is often associated with the blogs over the rabble-rousing that sometimes goes on in the forums, Merch is quite a well of knowledge that I hope many more will discover and tap. Yet another rare guy in the blogs.

Zetta will never tell you how smart she is. And if you don't pay attention, her sharp intellect can often slip by you as she pelts you with one thoughtful question after another. But that's what I've always admired about her. She embodies that seemingly insatiable pursuit of knowledge and insight, and that I think, is infinity more important than knowing it itself. Zetta is yet another blogger that, when she writes, I pay attention.

I am SO SO SO very sorry if I didn't write something about you and your blog. Believe me when I say this: There are so many more blogs on here that I enjoy and keep up with. It's just that, as this entry drags on, I am beginning to get more and more fatigued. So, in my drowsy state, I'm getting careless. If you've been around and blogging on a fairly regular basis, I promise you, I've read it and it has left an impression with me one way or another.

I know this seems like one big group-hug (or worse, some kind of popularity contest which it isn't), but I would not have taken this much time to write about it if I didn't think so highly of this blogging community. To me, it's a vibrant world that shines in a seemingly endless economic gloom. I'm glad to be a part of this community, and I hope you will all continue to keep on blogging.

I finally got the material from HR regarding their Tuition Reimbursement Program, and am now brainstorming a return to school for maybe a masters... like maybe an MBA, or really, anything that will increase my earnings.

As you can probably tell, I haven't quite decided what is the best course of action yet, and any input on this would be greatly appreciated.

PRO: Employer will cover up to $5,250 for undergraduate programs, or $12,000 for graduate programs. Annually.

CON: Has to be something that is beneficial to the company. So, I can't pick a major in Pharmacy or Adult Entertainment or anything like that.

Also, I might only have 2 years to do something about this, depending on how long the contract holds up....

Another con is that I have a Bachelors in Criminology, and not only is it likely to be unrelated to most of the masters program that I am looking for, but it's was also many years ago. So, that may push me further back....

What do you think? Any other suggestions aside from MBA? I'll update as I go along on this one....

Update:
Ok, I just got off the phone from talking to two representatives from the University of Phoenix....

Yes, they're that all-online outfit. Good news is that it looks like everything looks ship-shape and that I could get a MBA from them within 2 years....

Bad news? They're an all-online entity that doesn't offer any co-op training, job recruitments or networking. On the other hand, if I stay with my new employer, such an MBA is good enough for them....

Another "bad news" of sorts is their cost, which I thought was a little high... but it's still doable in terms of getting it covered and finished within 2 years so....

Everything lines up on this one. I'm not saying this is what I should do but at least it's an option.... But what do you think of it?