Fortuna Finds

Fortuna Finds... a job

2009-05-25T16:55:00.001-07:00

Wickedly long hiatus for the purposes of nailing down my next contract. The truth is, another is likely to follow as I shape up and ship out for three months of international off the grid ocean faring life.

I could tell it like some blogs I read and say I simply charted a course and made it happen. The truth is, it was pretty anxiety inducing. I'd negated to work on much of a Plan B and it was getting down to the wire: would I have something lined up for when I got home? Should I be looking in another city? Would the unresolved status of things compromise my professional reputation?

Soul searching and complaining to close friends commenced. There may have been one particular day resulting in a brief bout of tears while my boyfriend petted my head. (I want to be honest about this because I have been helped in the past by others being honest about challenges and dealing with them. Colloquially, it sucks.)

And now, for another year, it's over.

I have an event Friday and I don't have to dodge the "next year" question.

I can enjoy my sabbatical without beaming resumes out from afar.

I can develop the next step in the game plan.

This next job, and tax return, should dispense handily with outstanding loans. I don't yet know how much I'll bank but I have a $20K range and would be very surprised if it were very far outside. Yes, that's right, I didn't talk salary yet.

Even though I work contract to contract, this next job is key in upgrading my skill set in a way that makes what I earn not completely relevant. I know the ballpark will be near what I earned this year, an amount I was very comfortable with. I'm choosing to work at a specific place because I like the people there and I know I will be able to focus on my work rather than toxic politics. People underestimate this vastly, in my fairly green opinion.

I'll feel completely relieved when it's all hashed out, as I always do, but in the meanwhile things are looking pretty good in this crazy world.

Show Me the Experts

2009-04-29T17:34:00.000-07:00

First, today, I went to a computer store to get an adaptor switched. I was annoyed at having to go back to the store in the first place and when I got there a debate ensued about the problem. Eventually I got the new adaptor but I think it's actually a lack of compatibility. I was relying on knowledge on when I went all the way to the store and paid more than I would if I had ordered the adaptor online. The whole thing was a fairly annoying waste of time in a week where I'm tying up a lot of loose ends and moving.

Then I got a call. My tax return arrived, paying exactly what I'd suspected it would (score!). However, investigations revealed for the past five years way too much was paid to do my taxes erronously, errors worth at least $1500. That's right, based on "advice" from a "professional" - and a legit one, not some mall kiosk - not paying attention earlier to what was going on because I thought I had no income and therefore no issues resulted in errors on my behalf. I literally had maybe three relevant pieces of paper at tax time. It's not rocket science to offer a little planning.

The are going to get a letter inquiring what, exactly, they were paid for.

The error, for your interest, was picking the wrong province to file in, something that should have been incredibly obvious. Sadly, I'm not the first person from my professional background to have a similar error. I could have saved myself the fees, had my refund quicker, and had a better command over the paper trail (they were having me submit absurd things you don't actually use to file).

The fact is, few have your financial interests at heart. If someone is doing something you don't understand, just telling you they have a better understanding of the system and how it works, how willing are you to trust them? Smart people get bad answers from accountants, overbilled, and at worst find themselves Ponzied. There are great studies about how investors, people whose profession is to invest the money of others, actually do worse than a basic tripartite portfolio barely managed (see: Couch Potato Investing; tripartite being domestic/american/international splits). Similarly, accountants have given me nothing but grief this year. Every mistake is worth money, and not small amounts. It's amazing how much PF writing there is about 'errors at the till' and ways to save on ATM fees yet a serious lack of troubleshooting in checking the work others are doing for you.

Taxes in 2009: A CRA Snapshot for the Young, Childless Types

2009-04-27T19:15:00.000-07:00

In thinking about how much I want to make next year, this comes into consideration.

The increase of the basic personal amount (the primary deduction) isn't terribly exciting, offering about $50 to your single middle income earner. A small boost to the lower tax brackets is more than welcome in a year where I won't be earning a lot but I'd like to keep what I do earn - and it gives me an an amount to aim for.

If I cash out my pension it's likely I'll lose at least a quarter of it, assuming I have a job in the Fall. If I don't have a job in the Fall I can probably cash it out without risking those consequences. It kind of serves as an emergency fund until otherwise designated - yet is making a decent rate of return in an economy where that's not typical.

Even if I can't move the funds into a TFSA, putting $5000 into an RRSP would go a long way towards making $25K available (temporarily and penalty free) when I might finally be ready to throw down on property in a few years. The fact is, I don't have anyone else to provide a down payment (or dowry... or inheritance...). Am I saying I'm going to buy somewhere and stay put? Not necessarily. I do know if I move with my Other next year then I may be establishing a five to ten year base in whatever community we wind up in and a mix of owning and renting out a basic piece of property would be timely.

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I ran some numbers today and in a couple of days my financial house is rapidly coming into order. The money to pay for my time off is flowing into the bank and I can't wait to bust out in about a month. Most of the stuff on my financial 'to do' list, like making sure claims and reimbursements get filed, has been done. The taxes are filed, I owe no one rent, and my phone will quietly decline in thirty days and wait with the rest of my stuff for a return. Within forty days I'll be somewhere on a beach... until Fall. I really can't imagine not taking these three months and doing exactly what I want this year because too soon it will be next year.

Biweekly Breakdown: Waiting for Godot?

2009-04-26T16:24:00.000-07:00

Right now I'm waiting for what seems like everyone I know to pay up. Health insurance, work reimbursements, a damage deposit, two paycheques, my tax return, you name it... I want it! As fun as spreadsheet projections are I feel a little better when it's visible in my account and at my behest.

The pension plan informs me that a quick switch last summer has meant averaging 5.8% on my "investments." Impressive in the year of mass depreciation. This has made me consider whether I should leave the cash in the account during the impending sabbatical, as high interest savings right now aren't paying close to that and my student loan rate remains fairly low. The plan would look like this:

Pension - hold
Bank account - $5000
All excess - student loan

The $5000 is essentially the trip budget ($3500) plus $1500 to negate bank fees plus provide a cushion for damage deposits and start-up expenses upon returning home. When I get back I can look at rolling over the pension to an approved investment (avoiding the tax consequences) or cashing it out and applying it to my loan, whatever appears more reasonable. Especially attractive would be some way of moving the money into a TFSA (tax free savings account) investment, but I'm not sure if that's allowed and produces the result I want. If it is possible, my TFSA amount would be essentially maxed out in one shot, I would avoid some tax consequences, and I would have relatively accessible cash earning tax-free interest.

Doing my taxes this year was very educational. Although I knew a bit beforehand having to actually do it has given me the knowledge to streamline document management in the future. It also made me aware of when and how I might want to incur certain expenses and where I want to file in the next couple of years. If I had known while going through school how valuable this knowledge would be I would have been managing my own returns much earlier.

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Staying with my Other has been really awesome. I've offered to cover more but he's pretty content with how we usually do things, i.e. switching off who pays for groceries and entertainment, and has no interest in rent as he owns the house and has a couple of tenants to cover the mortgage (he's a pretty finance savvy Mr.).

We tend to eat in because both of us can cook well and we like our food a little healthier than most restaurant fare (says the girl considering what she can get for take out from her Vietnamese joint in a few minutes), and both of us like dabbling in in the gourmet sections of delis and experimenting. Picking up groceries, making food and cleaning up is and always has been one of the major ways we spend time together.

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Also: cleared all rewards programs lately. At least one has quietly announced some changes, I suspect more will follow. I used one particular reward to satisfy the niggling Spring shopping urge I wrote about, another for some movie tickets.

After getting a particularly good gift-with-purchase last week, full of small products, I paused to wonder why sizes can't be smaller in general. I like tiny tubes of gloss and little bottles of polish because it's likely all I use in a year. Similarly, in a lot of other countries you can get more expensive but single-size amounts of things like baking powder. For a solo household, or even one with two people, fairly attractive. I've read articles about this being standard practice in minimalist countries like Japan and dream of the day the world realizes I don't need super sized anything.

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Follow up: my friend from this post is actually a guy. I guess one of the things I'm always interested in is how gender roles (and expectations) might affect money management.

Into Temptation

2009-04-21T18:10:00.000-07:00

(Written from an undisclosed rent-free location.)

Downtown without an office means mall lunches, i.e. smoothies en route. Malls in Spring are dangerous, all little dresses and bikinis and unscuffed flat shoes. Bronzing this and lipstick that. Suddenly, I feel as though I need a makeover. And to release my winter skin into the light, limb by limb.

As of Friday, 90% of my personal effects were relocated and the prohibition on acquiring new things because they would have to be packed is a harder sell. Instead, I remind myself of how much I like this minimal life and that I have everything I need right now and that I'm soon unemployed and that the exchange rates are doing me no favors...

Conversations About Love and Money

2009-04-15T10:44:00.000-07:00

A good friend of mine is recently single, one of those amicable late mid twenties splits between people whose lives were going different directions. One of the things we talked about was how an unhappy marriage can seriously affect your financial habits.

First, my friend admitted for the last year materialism totally replaced love, the void was filled with expensive clothes and meals. My friend was decidedly non materialistic when we met, a socially oriented type we all thought would quickly end up doing good things.

Because the marriage became all about keeping up appearances, appearances became the only thing that mattered. When it dissolved, it was easier to put things back into perspective. To think about moving back into the artsy 'hood and out of the glistening condo mecca. It became easier to decide on a career change.

It was an interesting perspective on how difficult it may be to get your financial house in order if there are things consuming all of your energy, and impeding growth, in your personal life.

Second, after the break up, my friend discovered a secret credit card with a multi thousand dollar balance on it. Interestingly, the ex was known for being frugal and running a tight ship, almost to the point of being cheap. This was really upsetting for my friend -- though they weren't happy, couldn't they have been honest? It was a type of financial infidelity not so easily forgiven.

If you make yourself unhappy enough, you will never have enough money.

Now, my friend is dating again. The most recent love interest was an engineer with an $80K sports car, not atypical among the single yo-pro single set. Our conversation:

Friend: I knew from the car that it wouldn't last. What's the point of that, even when you can afford it. Somewhere nice to sit in traffic every day, I guess.

FF: I just look at it like a lot of potential freedom. For $80K you could take an entire year off and live pretty well.

Friend: For $80K you could spend a year in Italy and drink a bottle of wine every single day.

FF: It would probably be the best year of your life.

And there we sat, on a balcony in the sun, contemplating that very fact.

A little test: after reading this, is my friend male or female?

How Have I Been Reacting to the Recession?

2009-04-15T08:37:00.001-07:00

Harvey Schacter writes about different consumer reactions to the economic pressures. The categories are a little tidy but made me wonder about my own behavior.

In most respects I'm probably under "Live For Today." I'm still eating what I was before, buying nice clothes when I feel like it, and willing to pick up a bar tab. But am I really living for today? That sounds so... frivolous. It sounds like the antithesis of someone interested in holding the personal finance ship steady.

I think a strong grounding in personal finance actually insulates against some of the broader economic pressures (and ensuing psychological stresses). Practice being rational with money makes you more rational in the face of challenge. Maybe he sees a young urban person living for today but I'd characterize my position as a young urban person who has positioned herself financially for good times and bad, and who has used finance to ensure consistent quality of life.

If you never live like it's a boom you may not have to live like it's a bust.

I Dedicate This Award To...

2009-04-14T10:31:00.001-07:00

I've been incredibly absent because... work has been hectic, my other is back on the scene after being away for a couple of months, I finally made it out of the city to see my best friend and I'm moving more or less on Friday.

I got a blog award?! Well, a somewhat informal one. But nonetheless... have you SEEN this thing I've been calling a blog? Colorless and difficult to navigate and prone to typos and extended diatribes. Motivation to improve it.

Anyways. Here are seven things I like (and what I read, none of which I anticipate will know about or feel the need to meme on)...

(1) Monocle magazine. The podcasts are decent, too, but the print version is an intellectual vacation. The style points of Dwell meets National Geographic and just enough Economist-style coverage for a Saturday perusal. And, oh, the fashion spreads. My goodness. It's also printed on a matte/glossy mix and the perfect size.

(2) The smell of wax in the morning.

(3) Scars. I have a couple of wicked scars from a life well lived and think they're hot (they're not disfiguring, just character marks). I would never get them 'fixed.'

(4) Wool blend suits. It's a hallmark people can't quite place; I like how they hang and how they make me feel when I walk into a room. Down with polyester, I say!

(5) Trains. Train travel is, in my opinion, vastly underrated. And it lets me indulge all relevant Before Sunrise fantasies.

(6) People. I'm really picky about friends but I genuinely enjoy getting to know people, their stories, how they think about things, what they like. I like being in places where there's a constant flow of new people.

(7) Yoga. I've done yoga everywhere I've gone and I'm always amazed at how I can learn something new from every teacher I've met about something that seems so simple. My practice is fairly intermittent so I'm not exactly going to do any asanas that will blow any minds.

And here's what I read on the daily, beyond Brunette on a Budget, which is so well written I sometimes have questions. Can Brunette really exist!? Can there really be a Holly Golightly who doesn't rely on powder room stipends? Do non-Italians really get married in Italy?

Anyways.

(a) The Frugal Bachelor - currently there's some kind of transition going on but some of the archives are brilliant - justifying smaller sizes instead of bulk, for example. His morals may be dubious, at times, but at least they're consistent and honest.

(b) Vagablogging - Rolf Potts is kind of the man.

(c) Krystal At Work - the frequency is the substance and it allows a kind of evaluation most people wouldn't be comfortable with. It's like having a friend who will genuinely disclose all her financial choices. And I like her distinctly WestCoast Canadian lifestyle.

(d) Rainy Saturday - has no particular blog theme but the variety is entertaining and the writing is funny enough to be a good mid day diversion. And her musings about the Mac Snack Wrap actually got me to go eat one, which says something. East Coast!

(e) Not updated in forever, but Daily Routines is super fascinating - how, exactly, do successful people work?

(f) Matador Blogs - although sometimes veering dangerously towards being too conventional, still the best source for the under forty set for travel philosophy and advice.

(g) Third World Cash - one of the most useful things in getting some perspective on personal finance is to step outside the context you operate in, even slightly. TWC is young, female and successful - but living in a place where personal finance is sometimes radically different.

Real Life Advice Corner: Banker Bob Says

2009-03-31T07:50:00.000-07:00

[Based on real-life events this morning]

Banker Bob says "If I were purchasing currency right now and had a no-fees source I would purchase every week to even out the fluctuations!"

Fortuna Says: But if a currency starts to move in one clear direction and is not fluctuating much - as has happened with several currencies in the last year - does a strategy blind to the economic realities make any more sense than one that might objectively consider what's going on in a country?

SHOW ME THE LOGIC. (A la Cuba Gooding Jr.)

I put this one right up there with blindly "buy low!" when it's not impossible there will be at least a few stocks Nortelling it this year. The rules have changed and we treat economic studies as though they're evidenced over a thousand years instead of just over one hundred. Economies undergo major shifts periodically, it's a historical fact. Beaver pelts would have made you a wealthy lady in Canada a couple hundred years ago, today they're nearly worthless.

STOP TAKING FINANCIAL ADVICE BLINDLY!

If when people were starting to see drops a year ago they had pulled the cash off the market and put it into extremely low risk they would have retained forty to sixty percent of their funds. Even if gains were to suddenly turn around within the next year and hit 7% per year it would still take over a decade for those investments to recover to the 2008 level.

I pulled my investments from the market into low risk funds in July, against the advice of "financial experts." You'd be hard pressed to show me the math this was or will every be a bad decision. Millionaire Mommy Next Door is a PF blogger I really admire who trumped the experts by ditching the housing bubble before it burst - when you read what she writes it's clear she went with her own logic and gut reactions and looked around until she found ideas that made sense.

This is a really ugly truth financial experts haven't come to terms with because most of them were relying on Investing 101 rules of thumb learned in B-school to keep their own assets safe and now they're in the same position as their clients - and in an industry about to shed a lot of weight.

I come from an old school profession and most of my social circle are people with multiple degrees. If there's anything I've learned from education it's that people have a hard time admitting they screwed up or they don't know how something works, despite a high rate of error. I watch people screw up at my job every day, most of them aren't aware of it. I probably screw up at my job at least once a week. The meritocracy is flawed and doesn't have appropriate feedback mechanisms.

Those of us in the meritocracy recognize this. I know the system is changing. I stick to my original feelings six months and a year ago when the edges of subprime showed and when the markets started to take their first hard falls.

THE POWER SHIFT

There is a global power shift going on. This isn't news to anyone outside of North America and it's certainly not news following the test expressions of China and Russia at the G20. The Chinese suggestion of a new reserve currency isn't actually what they want - it's a market test to see what will happen if and when they start systemically liquidating American debt (and dollars). They can't afford rapid currency destabilization. Luckily, all it takes is someone saying "The USD is alright!" to bounce the currency back up.

Here's a tip: China doesn't speak publicly about policy. They don't react like America. They don't have elected officials give soundbites. When you hear something out of the Chinese Government it's probably worth listening to.

One of the most interesting political events the past week has been the barring of the Dalai Lama from South Africa. The unofficial heads of state in SA remain Nelson Mandela and Desmond Tutu. South Africa is the most robust economy in Southern Africa right now and looking at an election in three weeks. Despite the impending election, the current government is willing to do something attracting international media (unfavorably) to placate the Chinese government. Whether this is to protect against further foreign capital outflows (which are quietly gushing from SA for the first time since 1994) or not, this is a fairly dramatic political statement from a fairly important economic power.

China has extensive stakes in Africa and South America the United States relinquished when it turned the majority of it's international power to the middle east over the past two decades. Apparently, the changing world conditions are strengthening rather than weakening these ties.

So What Am I Doing?

Learning and watching. In times of social change there are always opportunities appearing that failed to exist before. I don't know what mine will be yet, I probably won't write about it. I am shoring up my personal financial situation as quickly as possible. But, I'm also refusing to live in fear or deep concern about the future - it's not useful and promotes bad decision making.

I also believe Canada is a good place to be right now.

First, because of extensive untapped wealth, both in human and natural terms.

Second, because all parties in government are essentially and comparatively non ideological. We're all small "l" liberals these days. This means political energy is better spent on real issues and less wasted by arguing about, say, whether or not gay people should be able to get married.

Third, high rates of immigration have made Canada's urban centers super diverse. Human connections to other countries and dual citizens are an advantage in a world with shifting loyalties and demands. Respectful coexistence is economical for many reasons.

Fourth, our currency is undervalued and not a bubble.

Fifth, Canada's diplomatic relations are diversified and low key. The US and the UK became publicly exclusive to their detriment in the last decade. Canada doesn't hold much sway in world politics but it never has and never will (no matter what we tell ourselves about mediating the cold war).

However, whether we maintain these advantages is always open to question.

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The National Post is feeling pretty bleak today.

In other news, my NYTimes failed to hit the inbox this morning. What's up?

Thoughts on the Future: Decidedly Non Financial

2009-03-29T17:24:00.000-07:00

Let me preface this by saying: I do not believe in the law of attraction. Sometimes bad things happen to good people and the idea they "brought it upon themselves" by "thinking bad thoughts" just doesn't jive well with my cosmic understanding of the universe.

That said.

I've been thinking a lot lately about components of the future. I have found imagining what I want works better than goals because it allows flexibility and staves off a fear of failure. Often, when I reread paper journals I find I've accomplished things I was merely imagining years before by virtue of getting the idea into my head.

You have to get ideas into your head.

I had a conversation about this with one of my most successful friends who comes from one of the most disadvantaged communities in the country. He asked if he should be working a difficult, badly paying "do gooder" job or if he should sell out and make money. I responded with a story about encountering someone from his community when I was maybe eleven.

We were sitting in a circle talking about what we wanted to be when we grew up. There were "funded" kids who were shipped in from his community, a few middle class kids like me, and a large number of kids from white collar homes. The middle class and white collar kids came out with answers like "Doctor!" There are a limited range of career options you're aware of in elementary school. One funded kid said "taxi driver." Everyone laughed. His uncle was a taxi driver.

The thing is, his uncle was probably the most successful person he knew, one of few in his community with steady work. It was difficult for him to imagine anything else because he didn't know anything else. I told my friend there was nothing wrong with making money and being the most successful person kids growing up there know.

I don't personally know anyone right now with the life I want to lead. There are people with pieces, though, and I knit them together in my mind as potential ideas.

(1) A relationship like the one I have with my significant other - even if the relationship doesn't end up being with him. Specifically, I see myself leading a fairly uncomplicated life with someone who shares my most basic interests yet still challenges me.

(2) Connecting with an intellectual community on a casual basis, engaging with people able to process ideas in a capacity I respect and can engage with. This has nothing to do with education. As an odd digital example, Ask MeFi is a problem solving community full of articulate insightful people. Personally, the high school friends I still consider friends are in diverse fields but have stimulated my thoughts on many issues for over a decade.

(3) Doing good work I feel good about. Not on an abstract level, which is kind of what I work in right now. I envision myself working with people.

(4) A small office with hand selected coworkers, most of whom will probably fit the description in point two.

(5) Located in a community that facilitates my spiritual development. That sounds hokey. I'm not erasing it. I want to live around as many people as possible who are striving to lead a good life, in that philisophical introspective sense. I see myself finding a home (my Other and I have a lot of discussions about prospective cities and neighborhoods) after all these rootless years.

(6) The freedom to investigate many different ideas to maximize convergence. I see myself learning to do a lot of different things through life. I like novelty. I also think learning about a variety of things increases understanding of prior knowledge.

(7) I see myself living in defiance of my age.

Everything else, kids/money/travel is still developing. I expect the life sabbatical will offer some insights - I'm spending a great deal of time in a community containing some of my favorite minds. None of them are famous, most are wise, all offer genuine ideas about life.

Newsstand Rundown: Winners, Losers, and G&M Love

2009-03-28T19:38:00.000-07:00

My weekend so far has been ideal. Tons of yoga. Sleep (including an epic nap today). Early morning groceries and some excellent healthy food. A lengthy sojourn at our very well stocked public library. It may be my last chilled out weekend for the next five months and knowing that makes the quiet slowness delicious. However, it's also the exact model I'll be following on my life sabbatical (except less yoga and more surf).

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The G&M sometimes does a decent magazine roundup and for something more critical, may I suggest Jezebel's dissections.

There are two winners in the pile this month, so far: Real Simple and Rolling Stone.

Vanity Fair: I simply can't take anymore heartbreaking econ journalism, even with Paul Rudd on the cover. I couldn't even pick up your magazine to find out what the New American Dream was. I am sorry.

Vogue: I'm not sure why Anna Wintour's ed letter now gets three pages for one page of text but your last two issues (yes, I'm including the Obama issue - which was quite good) have been surprisingly thin on content. The only really memorable article was the younger Huston's writing about Jack Nicholson as a young dad and Anjelica's relationship with him. The fashion spreads sucked. The prediction of "shoulders" coming back didn't feel timely. The Gainsbourg piece was done better by French Vogue in January 2008. Not worth the cover price.

BUST: for a cool DIY magazine directed towards savvy twenty somethings you probably should have channeled old JANE financial advice articles instead of going over the most basic steps ever... that's not journalism. Something about women-driving micro economies would be cool and BUST could be the one to break it. Also, how can young women help each other out right now? The editorial kind of touched on this but didn't get that this is the story right now. Always the keeper of the best album reviews, though.

Real Simple: the cover is... eh. However, there's a top notch article on ways of staying in touch (via reader contributions), a decent article on non-commercial cleaning products, and a solid research based fitness article. One note: Borax is not an environmentally friendly or safe cleaning product, just for the record. Much better than last month and probably worth the cover price - I definitely learned a few things and the focus on relationships was zeitgeisty.

Rolling Stone: You minx! The Gossip Girl cover walks that find line between softcore and feeding exactly what's to love about Gossip Girl. Blake and Leighton have that thing right now, the same thing Mischa Barton had so briefly in the first season of The O.C., the style and self possession that demands a little emulation. The timing is perfect - the last two episodes of the series have been major improvements over the pre-Christmas plot lines. There's a decent econ news article that makes the aging magazine feel a little relevant coupled with profiles of people who matter... that actually includes some people who matter (and Bono).

For Canadians, Outdoor this month is particularly good and well rounded.

Say what you like about media contraction (and I really am sad the CBC basically cut 10% of employees last week), it was time for a thinning of the herd and some publications are getting distinctly better and more innovative while others get thinner and less relevant. Survival of the fittest? Hopefully the talent from folding pubs is picked up by the healthier ones.

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G&M Weekend Notes

The corporate strategies of Lululemon are really interesting right now. Technically, the store should be really hard hit by the downturn - the gear could be difficult to justify in good times. I recently ended up with a pair of Roots yoga pants for $35 (I had a coupon) and despite my initial misgivings... they're pretty comparable. Better, they're not as obviously branded. The further I get into practice, the less I want some logo apparent when I'm trying to focus on the distinctly non-material.

Since el Recessiono hit, the G&M has been doing younger "financial facelift" profiles. I'm not sure if this is because they literally have no more advice to offer most people attempting to retire in the next couple of years but I obviously enjoy the shift to the under forty set. However, I wish this week they'd given more detail about why the couple needed a more expensive house ($600K to $900K upgrade? Even in Van?). I actually heard a table rip the article apart over my lunch this afternoon.

The resource coverage has been decent but how about an in depth analysis of gold and oil and world currencies next week? It's what I'm most curious about getting expert opinions on right now. The US media has been doing some excellent pieces on the dollar and hypothetical IMF driven World reserve currency, where's the Canadian spin?

Also, as a country that loves political inquiries, high level consensus (compare our Supreme Court jurisprudence to either the House of Lords or the American version), and that has little interest in sex scandals (it's actually unclear if anyone political in Canada has much sex, ever, and we like it like that in our igloos)... it's no surprise the Canadian move right now is looking at studying financial regulatory oversight and revamping it. I support this and think we have a better shot at a viable model than most countries, I also think it will help inoculate against ripples that might follow any quick signs of recovery. The fact is, new financial "products" are going to be made available as "solutions" and we need a way of screening them.

"Where we're gonna be when we turn 25" and other Existential Moments

2009-03-26T14:52:00.000-07:00

A while ago someone pointed out the Baz Luhrman song about wearing sunscreen has reached the decade mark. I was in highschool when it first came out and incredibly envious of the graduating class who got to use the song in that yearbook and at their ceremony. It was way more profound than Vitamin C's Graduation (Friends Forever) which followed in 2000.

Today, recovering from the hostile interaction that prompted me to write the earlier post, I came across this gem.

As cliche as this sounds, I have found my mid twenties to be fairly life-defining for reasons related to many of the choices from that list. College is an experimental bubble with a lot of safety nets and easy opportunities, life after college has challenged my personal values and the choices are more definitive. It's possible to get your degree and lead a rather boring life for the next forty years as you wait to retire - there is no GPA requirement to graduate and no Dean's List in real life. At the same time, success is no longer a transcript or a set of extra curriculars and the ability to chart your own course and set your own mark is what's really profound.

Like DVF said to our girl Whitney Port on The City finale, "the most important relationship you have is the one you have with yourself." Or something really sage like that.

I like the list because realities (like financial responsibility and good health) exist alongside hard won wisdom (don't worry about the future) and practical advice about a life well lived (never stop learning).

A necessary set of objectives given I haven't yet found the job that "won't interfere with her tan."

Do The Right Thing: Ethics, Coworkers, and Surviving

2009-03-26T08:59:00.000-07:00

One of the most difficult parts about being in a competitive industry or professsion is being exposed to the competitive underbelly of humanity.

Surviving The Inferno

(1) Unethical People are Not Your Friends... or enemies.

Does she cheat on her time sheet? Over-expense the company? Does he give a little too much away about what went on in confidential meetings? The small things matter - when you start out in the professional world, allie yourself with people who are ethical.

First, unethical people are likely to throw you under the bus if anything happens. They're inherently selfish and egotistical, so if accused of anything may suddenly come out with something completely innocent you've done in an ill planned effort to save themselves. Additionally, if you appear to gain success they might encourage it until it is percieved as a threat and then go on the offensive unexpectedly.

Second, if they do get busted you can end up guilty by association.

Third, while ethical people tend to extend opportunities to others unethical people often seem to subscribe to the maxim that others have to fail in order for them to win - when actually the opposite is true. By creating success in others you are more likely to be surrounded by success in the future. Think about it.

At the same time, remain neutral and friendly. Just don't confuse being friendly with being friends.

(2) Engage at the Water Cooler But Provide No Real Information

In a competitive work environment it's essential to have access to inside information. It helps you stay ahead of the curve and gives insight into what actually matters. It helps you sync what you're doing to what the workplace needs: work smarter, not harder. It can also ensure you know about new projects, opportunities and red flags early enough to fall on the right side.

I think people underestimate the power of workplace gossip in creating a sense of community. If you never participate you may become invisible and lose out on key connections. At the same time, you need to develop a reputation as someone who is confidential and understands discretion. Blow it once and you sabotage a relationship permanently.

There are a few tricks I've picked up. First, make things that are not insider information seem like they are. Be early on office announcements and break them before anyone else. Offer thoughtful but neutral commentary. Next, figure out who has information and engage them. It's amazing what people will reveal when they simply feel listened to. Last, recognize you are being tested by people with good information - if you leak, you will be cut off abruptly without notice. The point is to get information, not to pass it along. Resist the ego boost that comes from seeming like you're an insider.

(3) Find and Keep Sane Friends

My best friend has the same educational credentials as I do - in fact, she graduted the year before I got in. She's in a different field but we're in near daily contact about what's really going on at our offices... I know I can trust her. She's the reality check when I think someone is crossing the line, and a safe place to vent about frustrations. She also gives great advice because we're close enough she won't just agree and will call me on overreacting.

My boyfriend is a similarly excellent person to bounce ideas off of. He asks the right questions and understands the nature of a competitive professional environment.

Like the ladies of many a Candace Bushnell novel, you need powerful (probably girl) friends from diverse backgrounds. Almost all the people I know with great jobs have one thing in common: great friends.

I could offer some other reasonable advice: don't sleep with your boss! Invest in matching pension plans! Don't be afraid to ego stroke for mentorship! But all of this advice is something you can get somewhere else and perhaps even intuitive. The above is from the trenches, one young female yo-pro to another... dispatch over and out.

The Cost of Privacy

2009-03-25T18:15:00.000-07:00

Today, an unfortunate sick day coincided with a visit from my roommate's other half. I'm not a fan - I feel like he's always in my space. He doesn't wash dishes properly, so they need to be rewashed, he does "home improvement" projects that tend to result in messes I have to clean up and dust that gets everywhere, and he situates himself in areas I'd like a little privacy.

Frankly, when I have vomit-face I don't want to see anyone when I open my bedroom door and move into my bathroom. Let alone some loafing stranger sitting on the couch flipping through a car newspaper.

I don't say anything because I know she's going through a rough time right now, largely spurred on by legitimate money concerns, and I'm almost done and relocating to live with my lovely other.

But the whole thing got me thinking about the price of privacy.

There are periods where I've relished a lack of privacy and lived in extremely communal situations. However, in my North American life (as a whole) I've consistently disliked living with roommates but have done it for five of the last six years. I regularly struggle with the difference - why I can't make an easy transition from "communal" to "shared" space? Right now, I know my summer abroad will be super communal and being around other people will add to the experience. I also know that when I move back in the Fall, all finances pending, I plan to finally justify living alone.

One of the things I enjoy about voluntary communal living is the pooling of resources and common activities. Real communal living is about contribution and being open to those around you. A true "communal" space has: (1) multiple personalities, (2) no distinct claims to space, (3) respectful understandings that result in consequences if breached.

The key difference is "community" - setting rules or standards is done by a group, not on a one-to-one basis. Another key is that personality differences, for me, blend in. A third difference is the lack of value placed on space - there is an understanding all space is communal and no one gets more than, say, a specific place to sleep. A final likely difference is that people who are not able to function in communal spaces tend to avoid them...

Contrast this with a roommate (or two). With a roommate you are faced with the quirks of one person, all the time. The reason most people are living with another person is because there is a value placed on the space. Any rule-making tends to be "imposition" by one person on another rather than a more neutral respectful understanding.

Because I'm a little grumpy from all this flu, let's review roommates through the ages:

The Cat Lady: I was allergic to her cat, which she allowed to walk on the counters. Her entire room smelled terrible and I avoided going in there for fear of seeing something new that would disgust me, like when it became apparent the entire floor of her en suite was covered in litter never cleaned up and tracked through our carpet. Our conversations revolved around how too much cream resulted in extra gastro grossness for the cat, how much she loved the cat, and how hot she was. I plead the fifth on the latter.

The Angry Married Couple: next, I lived with a young couple. Aside from the annoying habit they had of playing full volume video games outside my room during exam week, and washing unrinsed ash trays in the dishwasher, it became increasingly apparent they were unhappily married and needed a roommate to keep them together - they wouldn't fully fight in front of me but I could sense the tension. I moved out, they split up. I'm on decent terms with them both and still party with her periodically when we're in the same city.

The Uber Jock: next, I lived with a young professional who could never be alone. For an entire year I listened to play-by-plays of his sex life with his two girlfriends who both had the same name (he didn't like fidelity or doing the dishes, apparently); I didn't actually need the play by plays because the walls were that thin. The parties were constant, and some were fun, but he was so competitive I had to hide the fact I was doing really well in our course from him or face the consequences. He was the guy evil enough to throw a party the night before the exam, get everyone doing shots and stay sober in hopes of riding high on the curve.

The Princess: following an international hiatus, I got a letter for an acquaintance about a spare room. It was in a great building and a great location, and the rent was super cheap. Within a month, my best friend had nicknamed her "Sympathy Suzie" because she always had a major problem in her (very easy) life which no normal person would construe as a problem but I was required to listen to as I was dealing with some very real situations. For example, I had an invasive, painful surgery earlier in the day. She was considerate enough to point out a recent vaccination she'd had (yellow fever, ouch!) and invite some people over to our very small apartment so I'd be forced to hide in my room, looking and feeling really messed up. Better still, upon moving in it became clear that what she actually wanted wasn't the rent money - it was possibly my life. She wanted to date guys in my boyfriend's profession, and to hang out with my circle of friends (who had met and didn't like her). She also had a variety of food issues causing her to pay obsessive attention to what I was eating and discuss it:

SS: I see you also bought salmon cream cheese.
FF: Yeah, I'll have to not confuse those.
SS: Don't you think fat free tastes exactly the same as full? Just saving some calories!
[I always purchase full fat]
FF: Yes.

The Not So Single Guy: upon relocating to a new city where I knew no one, I moved in with a guy who attempted to illegally raise my rent two months into it when it became apparent I wasn't interested in sleeping with him or making him meals. Interestingly, he told me he was single when he moved in but it quickly became apparent he wasn't - he had a jealous girlfriend who began appearing frequently at our house three weeks in. As an added bonus, he trained his dog to defecate in the basement when he couldn't make it home to let her out.

To demonstrate I'm not the only one who picks terribly, my best friend is currently having the SAME experience in another city (the sleep-with not-so-single thing, not the dog problem)

The Current Roommate: I actually really like my current roommate, for all purposes, just not the significant other.

However, she marks a likely end of splitting the rent as I feel I've paid my dues and the cost of privacy is an upgrade I finally feel I'm coming due on. I recognize, rereading this, it probably seems like I have terrible judgment. Indeed, many mutual friends would seriously question how I could live with the above (the uber jock, the princess), I ended up living with both because I was out of the country and needed to come back. I actually lived with the Angry Married Couple for a really long time and dated the roommate who had lived in my room before me - overall, a group of good people. It's a consolation so many of my friends who moved in with "randos" have had similar frustrating experiences. Overall, I feel like living with so much crazy has made me more tolerant than I was when I first left home as a teenager. It will probably make me better suited to living with a significant other some day. And hopefully, it makes for a somewhat entertaining (commiserating) post.

Biweekly Breakdown: Getting Stuff Done

2009-03-24T10:58:00.000-07:00

I am craving, craving a burger. And not the free range whole wheat bun variety, but rather the brown bag wax paper wrapped may be meat (maybe not) variety. I brought lunch but...

I submitted about $500 in insurance claims yesterday. I'll need to make at least one more submission around the end of April. When I was in university, I was much less organized in terms of keeping track of cash in/cash out and it's amazing how much easier it is to file claims efficiently by keeping a record of what should come in on my "books."

A short list of what needs to be done between now and about a month from now, in the spirit of Martha Stewart's "monthly" lists:

Financial

-2008 tax return filing
-Claim work expenses
-Prep to cash pension plan
-Confirm how to eliminate bank fees
-Remind roommate about damage deposit

Moving Related

-give formal notice
-empty cupboards
-empty bathroom
-clean and store clothes
-clean and store linens
-move 90% of clothes
-clear out anything accumulated in closet
-address changes

Travel Related

-confirm insurance
-decide on luggage
-go through "travel box"* start packing
-do I need to purchase anything?
-see about return layover into weeklong stop

Work Related

-complete 'exit assignments'
-back up reference copies/important documents**
-empty email folders and copy helpful contacts**
-look into letters of reference
-prep for temporary rotation (research)
-get resumes in circulation in the area
-set up lunches with contacts

Hopefully, mapping out this list provides some concrete plans to get 'er done (as we say in these parts).

*box where I've collected small versions of toiletries and other items I thought would be useful for my trip
**allowed at my workplace.

Same As It Ever Was: Why My Budget's Still Boudoir

2009-03-22T21:56:00.000-07:00

And you may find yourself living in a shotgun shack
And you may find yourself in another part of the world
And you may find yourself behind the wheel of a large automobile
And you may find yourself in a beautiful house, with a beautiful wife
And you may ask yourself "well...how did I get here?"

-talking heads, once in a lifetime

Lately it's trendy to talk about money, financing, even personal finances. Magazines and weekend sections go on about how we'd rather talk sex than money. The final taboo, right?

No, indeed, this is not about to go Carrie Bradshaw and you are not about to read any analogies between menage a trois and credit card binges. If there were analogies, frankly, I don't know enough about either. Rather, it's a little story about brunch.

We were eating a la carte as they detailed their latest clothing purchases. He's unemployed, she's about to be, they're moving in with family next month. Both are applying to school again next year, both are almost thirty. They've done a variety of things this year from investing in Apple stock (which dove after Steve Jobs got sick) to spending a few hundred dollars each on some random clothing purchases this weekend.

Red flags.

We started to talk about exchange rates and how "if x currency drops low enough" whether they should "just throw our entire tax return into it." They had conceived this plan without any research, without monitoring the news, without even knowing how exchange rates had performed in the last few months for either currency.

As you may realize from reading this blog, I've been reading about the CAD and a select few currencies since last summer. The currency markets are pretty volatile but I know some decent monitoring tools and news sources. What's the appropriate response?

The best possible response, for me, was to shut my mouth. Or rather, open it and fill it with some poached egg and mimosa.

There are a multitude of reasons I don't want to go there. First of all, they have a raging consumption problem. The appropriate metaphor to even talking about financial savvy is sitting with someone struggling to understand the weight watchers points program as my size four behind debates the merits of different probiotics. A whole different ball game, an emotionally loaded value laden super bowl.

Second, I feel talking about how much attention I pay to money makes me seem miserly. Like getting busted using a mirrored storefront to check out your own image. In reality, I pay attention to money and financial news more out of interest than out of any attempt to be wealthy. There's serious social relevance to cash. But, unless my company comes from the same school of thought any reflections I have on exchange rates and currency value are going to make me seem a bit odd.

Third, teaching a crash course in any financial idea should only be done by invitation. Else, it can seem really patronizing. We can't have a conversation about this possible choice without it seeming like I'm telling them what to do. And, if they totally disregard the information I'm able to offer - an awkward "I told you so" could occur.

So I turn to my allies and accomplices in the online world who also know the abbreviations for at least four international stock exchanges, who want to contemplate the deeper meanings and effects of bailouts, who track spending not only to hold themselves accountable but because they believe it helps create self awareness and long term changes.

And I raise my Sunday mimosa to you all.

Welcome to the Good Life

2009-03-21T10:45:00.000-07:00

If you read past entries, you know I like bang for my buck. I want it top quality, on sale, with a discount or coupon and charged to my rewards-back account. I was thinking today about how this kind of strategy applies more broadly to making better decisions and how I can describe this philosophy of value convergence to help me make better decisions.

So here's a theory.

Everything you do in life should have benefits to more than one part of your life.

For example, a job should provide money but also fulfill objectives such as increasing knowledge, social contact, or even (shocking) happiness. There have been a lot of arguments that work was never meant to make us "happy." I don't think anyone goes to work and is delighted for the entire shift. However, coming from an agricultural, um, heritage -- I can assure you that although the work was grueling and difficult it was satisfying and my grandfathers remained deeply connected to nature in a spiritual way until they passed away. I aspire to that.

Another example is exercise. I get a lot of lifestyle exercise, partly because I voluntarily don't own (and have never owned) a car. The benefits of a pedestrian lifestyle range from not ripping up my joints with a more aggressive routine squeezed into shorter time spaces, feeling connected to my neighborhood, and still fitting into my (27-34) high school pants. Yeah, winter sucks, but so does scraping the ice off a windshield and cold seats.

Food. This morning I made some local seven grain hot cereal with coconut milk, topped with unpasturized honey and organic cinnamon. Reading that is like gastro-porn for anyone who understands, I'm sure. Food should be good for your body and good for your mind and, often, both of these things meet at a low cost intersection because basic is beautiful. The honey and grain was from a farmers market - providing a bonus social interaction in the food chain that's far more relaxing than a check out.

I have a lot of choices to make in the next while: I'm in the process of finding my next contract and my next apartment. I have to decide what stays and goes, both on my trip and when I move again. I've given broad examples but I want to see if I can apply the theory more narrowly to find solutions. Accompanied by a Kanye soundtrack.

Trillions and Tax Credits

2009-03-19T08:17:00.000-07:00

In The News

The NY Times coverage of the new New Deal today bluntly referred to the fed as making up money it doesn't have and potentially destabilizing the currency. True.

Did everyone miss when Warren Buffet called the USD the next bubble? Or maybe I just imagined that one. The worst part about a rapid USD devaluation would be, as usual, the ripple - smaller countries that use it as a reserve currency, and potential reactions from China who has already been warning the USA to run things a little tighter in order to secure the value of it's investment. Ruh roh.

The Joy of Refundable Credits

On a lighter note, as taxes come in I was delighted to discover what I'd assumed was a non-refundable credit was actually refundable, to the tune of about $1000. If you can bring your taxes owed down to $0, as many recent grads can, refundable tax credits essentially meant the government pays you above and beyond what you've put in. A nice general explanation is, of course, provided at Wikipedia.

Obviously I plan to use the $1000 to offset student loans, putting me in an even better position after working for a year than originally assumed.

On Wealth

It was funny to read this post over at Brunette On a Budget.

Last night I was talking to my mom about how her business in the small city I grew up in remains very busy and in fact the whole area appears 'recession proof.' One of her clients, who has always been a multi-millionaire, was purchasing something substantial but doing so frugally and they started talking about how things are where we're from.

Where I grew up, there is no real upper class. There are "rich kids" but it really is so relative there is no discernible class difference. Similarly, there was a low level of real poverty comparable to what I've seen after leaving. You cannot now, nor could you ever, buy designer jeans of any kind within hours of the city.

Growing up there, people were taught to patiently save for a rainy day. Expensive purchases - clothes or homes or cars - become the subject of gossipy derision. Even if you could afford it, most people would consider it inappropriately showing off. Even if your parents could help you out, you were expected to work in order to access opportunities. Salt of the earth people were respected, laziness was not.

Obviously, there are contradictory examples, but overall it was an isolated community where the kind of values that breed stable, long term wealth were fostered. As a result, even with net worth declines there are few people who have to change their spending habits.

Entering the real world, especially during my second degree, was completely disorienting. I dated a guy whose parents gave him a new car to bribe him to attend school, he often complained how insufficient that was. Unemployed students would buy rounds of drinks for twelve friends. Everyone dressed well whether they could afford to or not. Rather than adopting the habits of my new friends, I went into the frugal closet. Sometimes it was hard. I had a roommate who would drop two hundred dollars on two litres of hair product as I was figuring out how long I could go between cuts. There were times I felt I was living in Edith Wharton's House of Mirth where money and opulence and corruption were a necessary accoutrement of my new social stratification.

And then, I graduated.

Unfortunately, the place I grew up is exceptional. We've made wealth too important and values too relative.

It's a tragic irony Ms. Wharton could have written that those who bought into image, entitlement, consumption and a lack of personal substance in pursuit of The Dream are those who can no longer afford the cost of living.

The Biweekly Breakdown

2009-03-17T08:23:00.000-07:00

Reading Fabulously Broke's Money Diaries made me consider how boring my money diary would be.

Sample Excerpt:

Yesterday, I spent nothing. Today, I bought a cappuccino ($4.25) and will spend nothing else. Tomorrow, I will likely spend nothing. And so on.

As I like to do midmonth, I checked all my statements and made some projections. I try to overestimate expenses and underestimate income sources, such as my tax return, until received.

THE GOOD NEWS:

The reservoir of cash in my bank account is accruing nicely. By next month I'll be holding enough to have a fee-free account.

My line of credit is at an incredibly low rate right now, making debt service fees negligible. It's costing me less than $2.75 in interest per month per thousand dollars. Considering there was a point where I was paying about $6.00 per thousand or more, not bad. Ironically, in an age of low credit availability my credit has never been less expensive. The key will be to knock out the account before the interest rate rebounds.

THE CHALLENGES:

I need all of my benefits processed and delivered before I leave for my life sabbatical, right now about $600 worth. Luckily, it looks like my roommate will be spending the summer in our house and I can leave her an envelope to forward any errant mail.

Since I busted the accounting error, I've been doing an even better job of keeping track of when things are allocated. I've noticed the pension plan has a serious lag some months. I need to ensure everything hits the account that should be in there before I pay it out.

MOTIVATION

If I continue to live within the plans I've made, by September using my first job contract (one year) I will have cleared about $20K in student loans, taken three months off and managed several short term visits. After a 2009 tax return and work in the fall, I could be at zero, giving me the absolute freedom to work anywhere I want because I haven't upgraded my lifestyle at all.

Partly, I want to do this so I can use my degree to do something (even more) fulfilling than what I do right now. Recent inspiration includes the Canadian nurse who works with MSF in the Sudan who was just released. Her career is a reminder those of us with extensive education should be brave in making choices to lead a worthwhile life (and she's pretty darn hot for someone who works in communities without running water or pilates studios).

The End of Rent

2009-03-16T08:21:00.000-07:00

Two weeks from now marks my last rent cheque. I'm living with my Other in another city in May, likely covering groceries. Being able to (essentially) cut my only fixed expense for my last two pay periods is pretty awesome.

Being in that city for May also cuts transit costs down substantially - no more weekend commutes!

Moving in a month means it's time to get ready to go. I'm looking forward to using it as a reason to get organized and pare down my life again.

Discount Saturday...

2009-03-14T11:42:00.000-07:00

My day, so far:

SHOP WITH THE SENIORS:

Sometimes there's a perfect storm of a sale plus a special offer plus things I normally buy and have good coupons for. Getting up early on a spring morning and picking up some groceries is relaxing - the stores aren't crowded, everything is fully stocked. Because everything I bought was extensively on sale, I used the leeway to get some small luxuries.

Premium scores includedThe Scharffen Berger Gift Box (for $3.75), and some organic cashew-carrot-ginger soup (1L $3.50). I made sure I hit the "minimum spend" amount and got a $10 cash card for Subway.

GRAB SOME FANCY COFFEE:

I noted Starbucks Frapps were on sale and decided to substitute picking up coffee for the grocery store version ($1.69).

GO TO THE EARLY CLASS:

Only five people showed up to 9:30 am Saturday yoga. As a result, I had my best class this month - doing things I've never done before and getting awesome adjustments about every third asana. I, um, didn't know my body bent that way.

BEAUTY SCHOOL MAGIC

My misgivings about the Beauty School Pedicure? I take it all back. It was possibly the best pedicure I've ever had. $10 cold cash, which actually goes completely to charity.

SCORE THE WEEKEND PAPER

I borrow the thick weekend paper from the office as no one reads it except me and there are two copies. In university, I used to wait until Saturday afternoon and score the abandoned NYTimes and Globe & Mail at coffee shops in my notoriously educated-liberal 'hood.

RANDOM CRAFTY PROJECT

NWA has a promotion where for 1000 miles or points or whatever it is (i.e. the balance of my account) you can upload a picture and have two custom tags made and shipped. I can't decide if I want to have them made for my mom and/or boyfriend, or if I want to make them for myself...

The Great Car Caper: Canada's Bailout Propositions

2009-03-12T20:06:00.000-07:00

Ok. I have one more, this is a story about unions and bad jobs. I've belonged to a union. In college I had an excellent unionized part time job, it was one of the best I had going through school. The union kept my hours steady and my pay above $10 an hour. I could call in sick without fear. People were reasonably happy. There was a health and safety committee.

I've also worked a lot of jobs that should have been unionized. In high school, at an abusive grocery store who cut hours from 35 per week to five without notice when it suited them and who refused to provide appropriate safety equipment. I had chemical burns on my arms, it only changed when a coworker nearly blinded herself with the chemicals. The hour cuts would leave the women in my department with children and bills beyond our high school realm no option but to find a new job. I've cleaned hotel rooms, contracting the Norwalk virus and projectile vomiting green and running dangerously close to not being able to pay rent for taking sick days. I've worked a midnight to six shift for $6.50 an hour on casual with an hours notice when I could get the work, dealing with bodily fluids I never want to think about again. For admitting I wasn't religious to the Bible-loving owners of a coffee shop, I worked every Sunday starting at 6:00 am with my Muslim coworker for minimum wage (I guess they missed the "servants" part of that commandment). This is just the start.

So when I write this, it's not as some rich kid. When we have a "name your worst job ever" competition, I can blow a lot of the people out of the water about six times over.

Unions as they stand are a disaster. They don't really protect those who need protection and they plant unreasonable demands upon establishment that go far beyond the realm contemplated by legislation. I know people who work directly for the unions, I know people who work in the factories, and I know people who will lose their livelihoods when GM goes under - we're talking family members. As sympathetic as I am to someone about to lose job security who has no feasible Plan B, I still say no bailouts.

There comes a point where you pay for your choices. The unions supporting this should pay for their choices to create campaigns of stupidity, using the tools of solidarity to advance mediocrity. The people who work for auto factories made a choice, too, supporting unreasonable demands made these companies unsustainable. The CFOs and CEOs of the auto companies made choices. They made a product that wasn't profitable and drew huge salaries to do it, congratulating themselves for mediocrity. Yet I guarantee, from conversations with people I know, no one is willing to suggest maybe they themselves have failed.

North America has a sickness where no one is willing to be responsible for autonomy even though it's the value we champion above all else. I've made poor choices and I learn from them and live with them, I certainly don't go and ask someone to fix them for me or request someone else sacrifice so I can continue to make bad choices. I already gladly pay for many things I will probably never collect on, in fact things I hope I never need. I will fund your social services, a health care system, quality public education, unemployment, public pensions and even welfare. I will fund these things knowing they will be abused to some degree. I pay for these things because I know that autonomy has it's bounds and that my whiteness and my passport give me so many advantages, and because I recognize luck is as much a part of my life as hard work. I believe in leveling the playing field how and when we can.

I don't believe in the auto makers; the people who genuinely need support can collect it through the established social systems - not some odd social capitalist hybrid where no one has yet gotten up and said "it's my fault and I am sorry."

*

In other news, the new iPod shuffle blows my mind and I want one so, so bad. Damn you Apple for your justifiable price range, free shipping and innovative design right around tax time...

Should We Punish Countries that Don't Financially Regulate?

2009-03-12T15:11:00.000-07:00

A "think-tank" says no.

Agree/disagree?

First, I don't think there should be international monetary law beyond the existing trade agreements. This is for the simple reason that international law in other areas which would seem easier to come to common agreements on, such as criminal law, has been a fairly useless endeavour. At best, it's symbolic, though the value of Truth and Reconcilation style documentation is debateable. In the middle, it's arduous and overly technical, recent examples of the Saddam Hussein trial and execution demonstrate the limited satisfaction in convicting a single leader for a relatively minor act of aggression (he was convicted for a single incident that is far from the worst he was alleged to be responsible for, investigations into the other events will never take place as a result of his execution). At worst, it results in heightened rebellion and further damage, like the current situation in the Sudan.

Bluntly, responsibility after the fact is ineffective.

Second, I don't think "best practices", as the think tank would like, are effective. The UN is a useless bureacracy. I said it and I meant it. In the few cases where the UN has actually found consensus to intervene it's been ignored. "Hey guys, there are no weapons of mass destruction!" Response: "we don't care. Bombs away." Further, anyone following draft declarations from the last decade knows how useless they are. The indigenous rights declaration was recently killed following years of academic debate, partly because countries like Canada couldn't accede to the human rights demands.

Finally, there are no impartial third parties. The IMF is a farce and has not met any of the mandates it was created for. I won't even go into that one.

I think reactions should be case-by-case and conscious of history. Germany's economic situation following WWI resulted in chaos and destruction in WWII. We do not want to force countries into economic positions that result in desperate action. However, privileges should be removed for those harming others. The USA should be roundly condemned for deregulation and should apologize to the global community. Countries with stable monetary systems should be able to form allainces and new trade agreements, excluding those who have demonstrated they can't police corruption.

This isn't something that requires law, it's something that requires political foresight. Right now, Canada is too closely tethered to a bad relationship, one that involves us in conflicts we have no interest in, one that siphons resources through taps-on trade agreements. We need to find like-minded countries to partner with in developing millenial currency: communications, medical care, diverse energy sourcing, and mass education. America has fallen behind in the last three, we can't share their lagging priorities.

But what do I know?

At the Mercy of Exchange Rates

2009-03-12T14:14:00.000-07:00

Contrary to some December news optimism, the CAD has not recovered yet.

The briefest explanation is that while oil is low the CAD remains low. Interestingly, though, the weakening is attributed to better retail sales than expected, including automobile sales pushing the USD higher. What is most consumption, and specifically automobile consumption, tied to directly or indirectly? Oil.

If oil recovery is delayed a few months, as the spec increases, maybe the CAD gains a little by the time I head abroad.

Oh Canada. Our currency, save for those bright days last summer, has always been the poor sister of the Western world. Only at peak oil did we hit parity for the first time in decades. All volatility is bad volatility, it appears, and because 2009 is expected to be generally bad everywhere it may still be a lean travel year for Canadiennes. Et alors.

"The greenback has weakened against every major currency except for the Canadian dollar."

Guilty Pleasures on a Wednesday

2009-03-11T19:39:00.000-07:00

The best things in life, for free (or almost). A Canadian edition.

(1) Body Shop skin samples, masks included, in perfect tiny plastic jars that beg to travel. Free.

(2) Tuesday iTunes singles. Free. The Current's song of the day podcast (Minneapolis-St Paul Public Radio). Free. Movies of the week, downloadable on iTunes, this week including Some Like It Hot, aka sexpot training. Ninety-nine cents.

(3) Television on demand from ctv.ca or mtv.ca. Choice picks: Greek and Degrassi TNG (CTV), The City and Real World Brooklyn (MTV). Free. (I never claimed to be high brow)

(4) The NY Times Thursday Styles section. Free (via email).

(5) Complimentary snacks (and people watching) at any Fairmont in the afternoon, delivered by someone who understands gracious service. Free, assuming you order some kind of beverage.

(6) Mac's large organic coffee and giant pudding muffin, right now $2. Alternative: the mint oreo cappucino 7-11 is serving up puts fourbucks to shame. Under $2.

(7) Spritzes of department store fragrances mid afternoon. Free.

(8) Second-run midday matinees on Tuesday (there is nothing better than catching a movie in the middle of the day just because you can). $2-3.

(9) Weekend grocery store samples at Sobeys with your love affair. Free.

(10) Turkey Sub Monday at Subway, preferably on honey oat with extra banana peppers. $3.45.

May vary by location. Not guaranteed. Merely a reflection of my favorite things that are not at all expensive yet completely make my day.

I Don't Care About My Credit Rating

2009-03-10T14:51:00.000-07:00

Due to the Suze, I've been peripherally aware of credit scores and what affects them for awhile. Much American PF writing focuses on improving credit scores through elaborate practices and for the longest time I'd wondered: do they matter to me?

What has affected my credit:

(1) Education. As soon as I was accepted into my second degree, the money flowed, and at "preferred" rates.

(2) Income. At a Credit Union, I was turned down for even marginal student financing because of my low income at the time (although I indiginantly pointed out if my income was high I obviously wouldn't be looking into inexpensive credit for potential emergencies). At this point, I had paid every bill of my life on time and held a credit card in my own name with a perfect track record for five years.

(3) The amount of "revolving" credit open. Currently, I have something like $30K unused at various interest rates. Canadian lenders don't like seeing a lot of empty revolving credit or even dormant credit, according to a loan issuer I spoke with. Fair enough - the thought has crossed my mind to cash out the whole thing and make a run to a country where no one knows or cares.

I've concluded my credit score, frankly, doesn't matter to me and there's no point in spending any time or resources to attempt to increase it. BLASPHEMY!

Some disclaimers. I don't have a mortgage and don't forsee one in the next few years. I don't have a car or intentions to own one for the next few years. I don't need anything "financed" and I'm not carrying any consumer debt. The impression I've been given is that a credit rating, due to standardized lending practices in Canada (read: controlled by legislation), is far less useful or important than common sense about what might make you a good risk. The credit union was a perfect example of a strict policy uninterested if I was 1000 on a 900 point scale, no income = no loan.

Further, all of the above are logical sources of information I would look to if extending a loan and hoping to make a profit at it (i.e. the traditional focus of banks). Does the person have good lifetime earning prospects and reasons to be a good member of society? Do they currently make enough to support a minimum payment of principal plus interest? Could they empty the accounts and run for it? Not exactly rocket science. And further, if you don't meet those minimum requirements why are you borrowing money?

It makes me wonder if the usefulness of credit scores will fade in the USA as lending becomes more controlled, when and if consumers are protected from predatory lending, and as financing becomes more realistic. I've always been amazed at how cheap money is there, from zero percent financing to below-prime interest on student loans.

Economists and bankers attempt to intimidate people away from asking when things don't make sense. Credit Scores are a prime example of an overly-technical creation distracting from the fundamentals of good lending. From what I've read, scores can be manipulated by behavioral changes which logically don't have much to do with whether someone is a good risk. In another unsolicited and unqualified financial opinion it would seem to me that a "credit score" system has failed to provide an effective objective tool to assess lending efficiently. I'm sure this would elicit arguments about how the scores just haven't been used appropriately or other deviance and how it's a great system.

I would counter that a great system is only lending money to those who can pay it back, with interest.

NO IDEA WHAT THIS IS ABOUT?

The Government of Canada has a nice rundown for Canadians about what a Credit Score or Credit Rating is here.

Finding Employment - Making Calls

2009-03-09T09:31:00.000-07:00

Roughly six months from now I hope to be working at a new job. This is because I'm on a non-renewable contract that ends May 31 and I'm taking three months off to expat-it on another continent. Life, my friends, is way too short.

My process started like this: I did a lot of investigation into who I might like to work for. I sent a casual message to a friend who has an in, someone I went to school with. He contacted his in and I got a phone call from my first choice.

I'm going to another city to do somewhat of a trial-run (it's complicated, but I can do that with what I do right now). It may result in being hired, point blank. However, to cover my bases, this weekend I'm going to write and send CV's and cover letters to a reasonable number of places, potentially placed through any connections I may have where I'm going.

I also called a mentor/professor from my alma mater and asked about who he thought was really hot (and hiring). It was suggested I just start going for lunch with people, as opposed to applying outright, and soliciting advice. A little ego stroke goes a long way. It was also suggested I drop his name early in conversation to get more difficult lunch dates locked down.

I don't network on purpose, and in fact I'd love to be better at it. My networking thus far results from: being social in general and volunteering. I have trouble asking for what I want and I'm not looking forward to salary negotiations. I feel like a lot of people are more natural than I am at making key connections quickly.

My Other, for example, could be a politician. He connects to so many people so easily. I've had Presidents of his professional organization privately rave to me at dinners about how fantastic and genuine he is (I agree - he got me to date him, right? He saw me at a fundraiser and tracked me down until propinquity kicked in. The guy knows what he wants).

School taught me a lot about kicking down doors versus having them opened for you. Over the next year, I have a variety of professional development goals: some programming I want to complete, perhaps a run at toastmasters, and really amping up an effort to make and maintain professional connections.

Ordering Eyeglasses Online and Beauty School Bargains? Risky Business, Friends.

2009-03-08T21:15:00.000-07:00

After consideration I decided on three boxes of lenses (at least one year's supply) plus glasses... online. They're going to FedEx the order to my office, so hopefully I'll get them sometime this week. The total was about $195, maxing out my benefit without requiring any real cash input.

The contacts will be no problem but I'm a little jittery about the glasses. I had to measure my own pupil distance. What if I'm inaccurate and what if the frames are totally huge on my face? They had an online "upload your picture" feature where I theoretically was able to test out what it should look like.

I also checked the online waiver form - nothing too draconian.

If it works out I know I can just order glasses off the internet, if necessary, and have them FedExed to me. That's pretty darn convenient. The glasses are more of a back-up in case of eye infections or spending too many hours with a screen, whereas the dependable contacts are my primary, so I'm optimistic.

*

Next week I'm getting a $10 pedicure at a local college having a fundraiser. I'm sometimes ambivalent about nail care. I've had everything from the China Town manicure to the expensive spa pedicure and it's not something I enjoy (although I can never French my own nails properly). However, my feet have taken a beating due to a penchant for not wearing shoes and ocean life, and a solid bit of care would make me feel less the outcast in yoga. So unless I back out next Saturday it's on.

The other reason nail care sometimes sketches me out is sanitation. I went for the $25 Yonge Street special last time I was in T.O. and the aggressive overworked beautician cut me. It was gross and put me off having anyone else go near my feet for a long time. I'm actually more inclined to believe the sanitation at the beauty school is better than at the average inexpensive spa, or at least that's what I'm telling myself.

Often, people suggest going to a training school. My own esthetician goes to the beauty college for nails and waxing. I would definitely go to an Aveda school for cuts and color, but everything else... I'm not sure.

I have a friend who swears by a beauty college in the city we went to school with for cheap scalp treatments and sometime blowouts. I went with her once:

PROS: the scalp treatment worked in the middle of winter, my blow out held up all night, inexpensive
CONS: not a relaxing setting, my hair looked like every girl in beauty school, longer time required than a normal salon, egregious use of back combing for volume and wet straightening of my friend's curly hair

I'm not sure I'd ever let them do anything permanent to my hair. I judge a salon by how the hair of the people working there looks, not only because it gives you a sense of the style they're likely to default to but because it suggests if the people working there have a simple understanding of necessary concepts like proportion and face shape. The men and ladies of beauty school sometimes aren't managing their own hair, so what guarantee do I have they're not going to hack and fry mine?

That Grease song about Beauty School Dropouts? That's not just musical theater, people.

Benefit Management: When is a Benefit Not a Benefit?

2009-03-07T19:33:00.000-08:00

I'm currently well insured, full dental and above average health. All checkups are done or will be done by the time my contract ends. I also get a professional development allowance that I've almost maxed out.

As I get ready to finish my contract, I need to decide how to best spend the untouched eye care allowance of $200. I'm on my last pair of lenses and my glasses are in an unwearable state following a series of unfortunate events. I've already decided to order four boxes of lenses (a year to two year supply) online. This leaves me with about $40.

I'm aware you can order glasses online but I have a really amazing optician who picks out my frames for me and fits them, choosing glasses I tend to be complimented on frequently. He's not expensive and his stock is always well selected. I don't remember what my last glasses cost but my guess is I'll have to front at least $100 alongside the $40 coverage to replace them, probably more like $150.

So is this saving money by spending money, or spending money to save money (the latter, of course, being a bad strategy)?

My professional development allowance is down to about $30, a fairly unexciting amount. Part of me thinks: free money! But another part wonders if the claims process is worth the savings, especially since what I can get for the cost is so limited.

When does the process necessary to claim a benefit outweigh the actual benefit? Equivalent to driving to another supermarket to save $1 on some product?

Simplifying Money Management (And, I Heart Leo Babauta)

2009-03-05T10:59:00.000-08:00

J.D. Roth, guesting on Zen Habits, writes a quick summary of themes culled from his widely read blog. Aside from the obvious (make a budget, track spending), stopping junk mail and optimizing your bank account are solid advice.

I continually draw parallels between PF advice and dieting.

Both are infinitely easier for those who have a natural dose of self moderation (note, not control). Sometimes, self moderation is just an appropriate level of awareness - what are you really consuming? On the polar end, are you so obsessed with what you are consuming that you "fall off the wagon" easily? Trust me, the science backs the latter up almost irrefutably (and I leave you to Google et al. if you're curious).

Better, both have similar approaches when it comes to advice. Like the calorie-counting programs of the world (e.g. Weight Watchers), some people find keeping track of everything, maybe forever, is the only way to hold themselves financially accountable. In contrast, there's a very small body of writing that devotes energy to making your finances self regulating, with occasional tune ups coinciding with life changes. The comparator are successful "lifestyle" health books that advocate upfront re-education and retraining about nutrition and health and slowly forming new habits.

Ideally, I want my financial situation to self regulate. Something requiring intensive monitoring isn't worthwhile.

Strategy: investing upfront time to

(a) Cancel anything lingering in my name (deactivated cards), use and remove rewards programs

(b) Make sure my bank fees are controlled and minimized

(c) Get rid of a cell contract and convenient 'extra' charges each month

(d) eliminate and avoid subscriptions, including junk mail, and

(e) centralize cash management so it's paperless and at-a-glance. This spring, an e-filing program will replace the small paper file I've been toting around, at minimum for credit cards and bank statements. I'm working on a method of organizing paper for tax purposes, although at this point a brown envelope marked TAXES has sufficed. The key to managing tax documents is being familiar with what can be claimed, for example most people miss medical claims (and there are software glitches that facilitate this). You can figure this out in an afternoon at a public library with one of many step by step books, along with the difference between deductions and credits and ideas about rolling over credits (i.e. maxing out deductions first).

There really is no excuse for a person to not understand the basic principles of income tax. It's actually simpler, in my opinion, than the idea of compound interest. Even if you never file your taxes yourself.

Why (I) Go With Less:

>> The simpler records are, the easier it is to spot anomalies before they're penalties.

>> Unnecessary charges (and overcharges) stick out. A quick complaint call often rectifies the situation and then some.

>> Projecting income and expenses is ridiculously low-energy. If I have a busy month or am abroad my finances don't fall apart. I don't require an overly complicated tracking system because I don't have much to track.

>> Timing is a non-issue. Nothing is overdue, there are never late bills unaccounted for or cheques that didn't cash. Even with records, the more you keep track of the easier it is to make a mistake.

>> Limiting information inflow (for example, stopping paper flyers and just checking online) allows minimal time investment and focusing energy on what actually makes a difference to you. At the same time, automate information inflow for something you need to purchase - sign up for online alerts about flights or electronics.

We live in an age of information management. More is available at any time than has been available to any previous generation. It's easier to track and analyze your own behavior. However, the dark side of information management is information overload consumes far too much energy and can cause confusion (and, if you're a news junkie, abject depression!) I'm still working on how to balance everything and taking an often Zen Habits-inspired approach of continuous gradual self improvement. Bless Mr. Babauta, seriously.

Finding Employment - It Begins

2009-03-04T09:48:00.000-08:00

For lunch, leftovers from last night: couscous + olive oil + cider vinegar + asparagus + feta + spicy pepper anitpasto. Fantastic...

Yesterday I decided to get my next job. I sent a facebook message to a friend hours away, who made a call, which resulted in a call to my office at 10:00 am this morning. The process is apparently underway.

Meanwhile, work is steady and I need my brain to be able to work for the next while so everything is on hiatus. Except for lunch yoga and AYCE sushi after work today, of course.

How Much Is That Downward Dog in the Window?

2009-03-03T12:51:00.001-08:00

Although fitness passes are often cited as a budget downfall, after renewing a pass at my favorite yoga studio I'm reminded they're something that work for me (and not just by a disturbing lack of motion in my lower back). The pass is expensive ($100+) per month, but there are at least three classes every day. Here's why it's worth it:

(1) Paying a flat fee up front motivates financially aware part of me to think about how inexpensive classes will be if I go all the time... and how expensive they are if I don't. Although it's not logical, since the money's already spent, it's motivation to make sure I get out of bed at 6:00 am to get to class and Get My Money's Worth, which I totally forget about within the first five minutes as I remember how good early a.m. yoga feels.

(2) Paying for fitness gives it value. It says to your brain: hey, this is important to you! Money should be spent on what you value and what helps you lead a better life. Psychologically, making health a priority in one area can shift your entire value set.

(3) A good membership has benefits you can't replicate at home. I consider my studio, due to the small class sizes and excellent instruction, equivalent to a personal trainer. They ensure that when I do show up my body knows what's up and make me push myself on sluggish days. I've tried to replicate the experience through DVDs, it's just not the same. Instruction makes the time I spend being active more worthwhile and productive.

(4) I like something that gives me a time span as opposed to "x number of visits" because I make excuses not to use the number of visits. I feel like I can have a better visit at some future date. Maybe I'm tired, I don't have enough time to really spend doing the activity and it will be rushed and in the future I'll have more time, I feel like a class taught by one instructor is superior to a class taught by another and don't want to 'waste' a class... all of these are terrible excuses I've used to not use drop-in passes, to the point where they expire with value on the card.

At the same time, I've never bought a gym membership. In University my school had the best facility in the city, and it was free, so I attended sporadically but I know that I don't like going to the gym. So this is not a ringing endorsement of paying for motivation, a strategy that funds weight loss programs everywhere, but a ringing endorsement of... the om feeling of stepping out for lunchtime ashtanga. Indeed.

My Memories of 1997 Are A Little Hazy

2009-03-02T14:47:00.000-08:00

Days like today, it's surreal to attempt to add information to the mix. The markets aren't even volatile, just dropping, steadily, and the end feels as long off as Spring at the start of snowy March.

I Got It From My Mama: Family and Money

2009-03-01T07:56:00.000-08:00

My dad came to visit this weekend and we ended up talking money. Unsurprisingly, my low-key lifestyle is mirrored in my parents. Unlike some of their friends, they own their home outright and have no debt. Although their retirement portfolios have taken a 30% hit, it's nowhere near the losses suffered by friends of 50-60%. My parents own and operate a couple of small businesses they built themselves over the last fifteen years and at this point they're one of the few in the industry remaining very busy. Their fixed expenses are about $500 per month (utilities, cable, taxes, et al.)

Knowing my parents are secure takes pressure off. Although my education was self-funded, I would rather control that on my own than worry about providing for my parents in old age. It could still happen, but overall they're making what I consider smart choices. I also really appreciate how candid they're able to be about what's going on. I never specify the amounts of my student debt, mostly to keep them from being concerned or feeling guilty, but they know the rate it's being paid off at and that I'm essentially solvent.

We talked about how it's going generally for the pre-retirement generation. My father relayed a horror story about some close friends. Names are changed to protect the fiscally improvident, in the spirit of my favorite Globe&Mail weekend personal finance column.

Meet Steve and Wendy. Wendy has a decently paying government job. Steve used to run his own company and was audited for expensing too many personal items through his work account - he estimates he'll be paying the penalty until he's 75 and now works at a hardware store as a retail employee. They don't own their home. If it wasn't for Wendy's job they could be bankrupt.

Steve and Wendy paid for their kids to go to school. Only one is using her degree, at a steady government job, but with a fairly low salary cap and a reasonable burn out rate. Let's call her Sarah.

Recently, Sarah got married. Her husband is an affable chap who didn't go to college and works in transport. Sarah's parents paid for the wedding, taking out a line of credit to the tune of about $20K. Among the expenses of the event, Sarah bought a $3K wedding dress (which, for the record, was no bias cut Vera Wang, from the pictures, if you see what I'm saying).

As a result, Sarah's parents now have: tax debt, a mortgage, a line of credit, and unknown retirement savings. Sarah has a $3000 dress.

I'm the same age as Sarah, in fact we graduated high school together, and her parents are maybe a year younger than my own.

I understand the feeling of wanting to do whatever possible for family, but what have Steve and Wendy done?

(1) Continued to indulge the unrealistic expectations of a child in her mid twenties whose household income bracket will not reflect the snap decisions she has become used to making (like, um, a $3K dress?)

(2) Further pushed themselves towards a lack of resources in old age, forcing their children to be able to support them or finally forcing a serious lifestyle downgrade

(3) Set a really bad model for living within ones means

Sarah, due to her career, will already likely have a downgraded lifestyle from that she grew up in. Add the obligation to support aging parents, which her younger siblings are even less likely to be able to do, and it's not exactly an ideal situation. Steve and Wendy were in a position to be far wealthier in retirement than my parents, who only really started to accrue any wealth (beyond home equity) in their late thirties.

Obviously, the purpose of writing this is not to condemn anyone to financial purgatory, but it causes reflection - what are the motivations that bring someone to the position Steve and Wendy are in? How are they avoided? If you know or suspect your parents are Steve and Wendy - how do you protect yourself from the fallout?

I think it's time for eggs benny and the weekend crossword.

Month End: Results of the Calculations

2009-02-27T15:52:00.000-08:00

All those 000111000's flowing through the computer today are what was sitting on my card and subsequently cleared off. All bigger numbers than usual. Air tickets, done. Visit to the USA, cleared. Spending last month, other than the wedding, was minimal. The accounting error boosted this cheque to the tune of $1200 and means my last three cheques will have an extra $200 to work with. I don't love the tax consequences that flow from discovering this in 2009 instead of 2008 (which is probably the least I'll make for awhile), but not discovering it at all would have been worse.

I regularly debate if I should put the actual numbers online, as of yet I've decided not to.

I'll be taking my tax refund and dumping it on my Student Credit, destroying 1/4 of what remains (and reducing the debt service by as much). Deeply satisfying. Even though I haven't applied everything coming to me in the next while to the credit, I feel like I'm on the home stretch of paying for school. If I had to advise someone if they should take a year and work and save or just incur the loan, in June I might have said "work and save" but now I'd likely recommend doing the degree first. The benefits and salary of this job offset the interest paid, by far. Oddly, though, I think having paid in full for the education will be more exciting than graduating was. It somehow makes it mine.

I've never actually framed either of the degrees I have. I didn't bother convocating with the first until I finished my second, because to me they're just a formality that's somewhat meaningless. The education itself is something I really cherish, I just have never felt the need to hang it on my wall.

I'm looking forward to March. Partly, I'd like to try all the interesting PF exercises I read about... for example, having a number of no-spend days. Not so much for the savings value but to see how it affects my life. How little can I live on? How few times could I use my card? I'll update later on what I decide on.

WOOOOOOO. PAID.

Ahem.

40L To Freedom: Go Carry On

2009-02-26T20:05:00.000-08:00

I really don't like checking luggage. First, it takes time. The only times I've almost missed a flight have been a result of inordinate luggage checking delays (and the only reason I didn't miss either flight was the desperate smile used to jump the line). Second, it limits transit options on arrival. Too much luggage and navigating subway systems is a pain, as is having to monitor your stuff under a luxury coach in sweltering siesta heat. Third, it makes you more of a target in any country, at least until you check in.

However, traveling mostly carry-on requires: (1) some idea about what you might do where you go, (2) going easy on the liquids, (3) limiting. The more you do it, the better you get. Over time, I've developed a standby arsenal of compact products and a very functional set of clothes. None of them involve Gortex.

After a day of reading "what's in your bag" blog entries, some suggestions.

HOW I PLAN AHEAD:

(a) At home, I tuck away basics I'm almost ready to donate - worn shirts and skirts. I take a few with the intent to leave them behind if they survive the trip. This means: I don't worry when it gets dirty, I can send out laundry without fear, and I come home lighter than I left.

(b) I make my own guide book - using a thin Moleskine that will also serve as a travel journal/note pad, basic details and maps. I make notes about what a book really recommends and compare books. I don't make solid plans, but I try to get ideas. In the journal, along with what I do and experience, I record things like exchange rates or email addresses as I go.

(c) Read up on risks and learn medical care; know your insurance. I'm reasonably able to diagnose minor medical problems and treat them, but more importantly I know when things are going sideways and I need to not only see a Doctor but communicate what may be happening.

(d) I hoard sample sizes. Nothing is finer than having just a little surprise after a long haul or before a night out.

WHAT I NEVER LEAVE WITHOUT:

A denim skirt - beach wear, club wear, afternoon wear. Black long yoga pants - fend off harassment and allow for impromptu yoga by the sea. A simple cotton dress, short - it has to be able to go to dinner, survive a light hike, and dance all night. A basic black fitted tshirt, currently non-cotton. A pashmina - blanket on the plane, scarf when it's cold, accessory to your sun dress, way to make airport security treat you like you might be business class. Comfortable shoes that aren't ugly and match my basics.

Aloe Kote sunscreen (SPF 25) - someone finally made solid non greasy non pore clogging sunscreen, they live in Minnesota. Solid shampoo. Powdered detergent or a Sunlight bar. Ear plugs and butterfly band aids that could handle blister triage. Gel strips and bobby pins.

A small camera (+ charger), often a laptop, ear buds, flash drive, inexpensive cell that will hold a pay-as-you-go SIM card (for long term stays/security risks)

A book to read and leave behind. Books can be the ultimate black market, especially in the language you prefer to read in. You can trade with people you meet and swap at exchanges in hotels/hostels.

Surf wax, a wax comb/remover and a fin key. I tend to surf where I go if possible (albeit poorly) and it's good form to be able to share. The trio remind me of my best trips. I also love the way wax smells and have from time to time joined the cult of using it to moisturize... shhh.

ON ARRIVAL:

Oatmeal and vacuum packed tuna. An inexpensive tote bag, often whatever grocery bag everyone uses, to carry temporary stuff, as an added safety feature if you're carrying a grocery bag it seems like you must have been around for awhile, as opposed to an expensive water resistant something that screams MY PASSPORT IS IN HERE. A towel, maybe two if it's beachy. An adaptor, except for Europe where it may be less of a mission to get one before.

Local magazines and newspapers. I conduct small immersions when I go somewhere new - I want to know what they read, how they party, what they're listening to, what local politics are affecting people, and how people communicate. For example, some cultures are blunt. Other countries don't use sarcasm widely. It also helps a bit with language, though translations are pervasive. It's also interesting to compare how my news sources at home are covering a given area.

An item or two of clothing. Sometimes just some inexpensive heels to get into a club, other times something cool and interesting. My only souvenirs are clothes and consumables, 90% of my clothes are not from the city I consider home.

Insect repellent and possibly a SIM card.

I'M CONSIDERING

A candle. Tres romantique, better than a flashlight if power goes down. A pillowcase. Though full linens are often overkill - if I wind up somewhere absolutely gross, I improvise or sleep in my clothes. A can opener.

WHAT I WOULD NEVER PACK:

A passport holder or money belt, most medications (except something for rehydration)

Hiking boots. I find a lot of Western travelers overkill the gear needed to actually explore places. Unless you're planning on a multi-day hike (which this list is not appropriate for) or scaling a legit mountain, you will see people like me doing it in flip flops and feel like a dork.

An SLR. I love SLR shots, but I'm not willing to be diligent enough with my stuff. A laptop is enough to worry about. I'm also just not a huge picture taker. And I make friends with anyone carrying an SLR and make them give me their stuff.

I don't actually travel with an MP3 player outside of North America. I've never missed it. In a lot of unfamiliar places I prefer to be able to hear what's going on around me... And I secretly like cheesy music played by mini bus drivers throughout the world.

Great Expectations: How Much Do Any of Us Need?

2009-02-25T06:36:00.000-08:00

Yesterday, an uncomfortable conversation with a coworker:

FF: I'm not in this to be rich. If I wanted to make money, I would have pursued a different kind of work entirely.

Coworker: So you're saying you could take a $20K pay cut and work for [good cause]?

FF: Yeah. Because I don't love money.

Coworker: That's easy for you to say when you're dating someone who will be incredibly wealthy.

FF: That is so not a factor.

(Awkward pause)

FF: I think that people have unreasonable expectations.

Coworker: I don't think it's unreasonable for me to expect to have a summer home and nice vacations.

(Polite smile)

FIN.

My boyfriend is angling towards a specific field that does have the potential to make him very comfortable. However, I also know there's a chance he might take a pay cut to do something less intense and that his financial situation is complicated by a variety of lending versus assets that have paid for school. Let's not count eggs for chickens, I say.

Interestingly, I haven't dated someone without potential wealth for years (familial, professional, entrepreneurial), not because I seek it out but because they seek me out. It's that obvious I'm self supporting and not a gold digger. And, I don't love money.

[Said coworker told her husband (who put her through school) that he should become a dentist instead of a teacher. To fund her expected lifestyle. In front of me.]

The whole conversation made me think about how what we do translates into what we earn, what we should realistically expect, and the values that underlie those things.

Do we get to expect more because we attained a certain level of education? Why? What does that level of education represent that entitles us to more than someone else? What if that someone else didn't have the option but was otherwise qualified? What if that someone else makes a bigger societal contribution than we do?

If you're having trouble drawing the parallel, what entitles the banking industry to... well, lately, anything? Entitlement and unreasonable expectations are two of a kind, at least in my mind, although entitlement results in taking something that you unreasonably expect whereas bare expectations can simply result in disappointment.

My standpoint on work is as follows: you need to make enough money to live, and make a threshold that allows you a safety net. Security is priceless. Beyond keeping the lights on, it's more important to do something I feel good about at the end of the day than to be able to afford life's little excesses.

I do worry this is really naive and idealistic.

I base my values on the following:

(1) I haven't met a lot of genuinely happy people, but those I have met made a conscious choice not to spend their time in ways that don't matter (the double negative is imperative)

(2) I spend too much time working to do something meaningless. Meaning can be broad - one of my childhood friends makes pizza all day and finds real satisfaction in preparing people's food

(3) Not all money is bad, but easy money is often conspicuous. I refuse to gather wealth from what I fundamentally disagree with. I have environmentalist friends who... work for the oil sands. Global warming or not, tar ponds kill living things and are virtually eternal, and arguments you can "influence from the inside" aren't yet persuasive. I never want to watch a news story and know that a disaster in someone else's life paid for the car in my garage

(4) If you can make a living doing something you don't hate, maybe even benefitting the world around you in some small way, it will outweigh the material things you surround yourself with. I always think, Titanic style, about the pictures I want to surround me as a little old lady. Those pictures are people and experiences, not so much the necklace (which you will remember, she THREW INTO THE OCEAN. Life lesson.)

Maybe in twenty years, I'll recant this one. And maybe I do find license to say it because my life is so easy now, because I have sufficient security to not worry much.

Getting Ready for Payday

2009-02-24T10:43:00.000-08:00

After discovering the accounting error payroll made, my cheque this month gives me considerably more to work with on Friday. As always, I've already run the numbers and marked up a spreadsheet with cash in, cash out, and outstanding debits/credits.

I'll be glad when this month is over because it means the major expenses for winter are cleared (the wedding, international plane ticket, all transit around Easter) and paid for. There's something psychologically reassuring about that, hard numbers and transactions.

March is a really slow month - no long weekends, no trips to see my other, no events. I have a stack of books, some unwatched DVDs, plans for a yoga membership ($115), and a feeling it will be April before I know it. It's a good time to get finances in order, avoid frivolous spending and eat at home.

>> I adjusted vacation plans until something stuck and drew up estimates from that. Locking down a few more costs before leaving (i.e. by the end of March) would be ideal, I also need to make sure I'll have access to several sources of cash (for example, my credit card isn't cancelled while I'm gone)

>> I want to hold $1500 in my bank account from now until I switch financial institutions to get rid of plan fees. When my student line of credit is paid (liberal est: December 2009, or possibly after my tax return is filed depending on accounting), I'll probably switch to a credit union. I may even see if the credit union will transfer the remainder of my loan in the Fall

>> I need to make sure all my health and expense claims go through, preferably before May, because I'm worried about changing my address and losing cheques

>> It's the time of year to decide how to file taxes, gather documents and put the return together. I'm looking at filing online to expedite the refund process

>> In the next eight weeks I'd like to cash out the final rewards program benefit and eliminate any extra wallet cards

>> It's time to switch over my Medical Insurance

>> Spring cleaning... getting rid of excess and getting ready to move. I'm hoping my Dad visits in the next week so I can ship off some clothes and books for storage so when I move mid-April, it's a matter of a couple suitcases and nothing more

Breakfast in America

2009-02-23T08:19:00.000-08:00

My Spring Break to the USA was lovely. The wedding was perfect and it was so good to see so many friends and to visit one of my favorite cities.

A few observations were striking.

First, I used to get major culture shock coming to the USA: everything was so consumption driven. I was amazed how often people went to stores, the things they ate in restaurants and how much they talked about consumption-related activities. The America I visited this weekend was a little greener and a little healthier; it was also a place where conspicuous consumption is ending. There has been a distinct shift not yet felt in Canada, though the culture of consumption was never as embedded here.

In the stores clerks thanked me just for looking. Everywhere, people were returning items instead of buying them. No one I knew felt like shopping, mall trips were restricted to specific purchases (other than a small foray alone). My own enthusiasm for shopping was dampened by a pathetic exchange rate but also by the feeling in stores and from those around me.

Second, I noticed the inflation and absence of product innovation. There used to be major disparities between certain items - for example, magazines and paperbacks, or even junk food. Prices in the USA are now virtually identical to prices in Canada, maybe even slightly more with the current exchange rate, for everything I looked at. I also noticed a lack of novelty. America used to be overwhelming in terms of variety and new products I'd never seen before. I was hard-pressed to find anything that differed from what is available at home and I don't live in a metropolis. When I noted this, I began to actively search for the new, the improved, the experimental... there was none.

The GW-era posed a lot of conflicts for my friends but not as many personal challenges. We used to talk about international relations, now we talk about how many unemployed people they know. They are less optomistic, overall, and more aware of current events. Partly, we're a little older and no longer the fresh-faced college kids we were when we met, but the shift is more than that.

In many ways, America now feels a lot like, well, everywhere else.

*

For Your Interest, My Personal Economic Stimulus Package Included:

One BCBG winter formal dress <3 ($101)
One evening bag ($21)
One basic skirt suit ($86)
One Litre Export-Quality Tanqueray Gin ($20)

All the clothing purchases were at least 75% off. The alcohol isn't available for purchase here but would be at least double. I was impressed I could get a 1L bottle instead of a 750 mL version, maxing out the duty free limits (1.35 L, I believe).

I cased the duty-free shop for reference. When I fly through in a few months, I'll have layovers one three continents. Not all duty free is created equal! I'm pre planning a few stock-up cosmetic purchases for either June or August and although the shop at this airport was minimal it had all of the necessary basics.

I did run into the tragic problem of the way pants are cut; had this not occured I might have purchased a second suit. I was also disappointed by material quality, but didn't embark on a really extensive process for many of the reasons discussed above.

*

Today the NYTimes identified Pay-As-You-Go as the New Cell Plan. Will cell phone companies stop with the draconian contracts and unadvertised service fees as a result of this shift?

Zinio... Friend of the Nomad

2009-02-18T21:22:00.000-08:00

I was cleaning out my computer (as I'm loathe to reformat my Mac but this HD is not a bicycle built for two) and found a program file for Zinio. Judging by the free copy of MacWorld, this was surreptitiously installed during an update.

I love magazines and have always loved them. Even as a kid I would read any glossy that came into our house, cover to cover. Beyond the content, I actually enjoy fashion advertising. As lovely as digital information sources are, they've never given me the cozy feeling of an "issue."

However, a nomad faces the following problems:

(1) Subscription changes are still incredibly difficult to get processed, issues get missed, I weep

(2) I like trees.

(3) I don't like hauling paper products to a recycling depot.

(4) It takes me longer than it should to want to give up old copies of my favorites. I still have an early issue of now-defunct JANE and a random collection of Euro fashion magazines you will have to pry from my cold fingers, along with every copy of Blueprint I could salvage. Um... yes.

(5) Subscriptions in Canada for many tomes cost an unholy amount due to the paid-value-sticks-around-longer advertiser attraction.

Enter Zinio. Sure, some like Women's Health are charging by the issue (and far too much, although it is my preferred fitness magazine), but there are a significant number of others that are yearly subscriptions... for $10. That's about 75 cents an issue. Even Marie Claire or Glamour has at least .75 worth of information. The view is crisp and as realistic as possible, and the issues are neatly stored digitally. Download is automatic, like podcasts. The only downside is the glare of my screen instead of a paper copy in bed Saturday morning.

They allow some 'flipping through' online and some free issues. I haven't subscribed yet but it may be on the horizon.

Stop With the Loyalty Cards

2009-02-18T20:20:00.001-08:00

Today I was at a clothing store I never shop at dispensing with a gift certificate. I was asked if I wanted to sign up for the new loyalty program. It's free and it's forever! It only requires me to spend a ridiculous sum of money at this niche store before getting a reward too small to purchase anything in the store!

I don't want to carry around a wallet full of plastic cards worth fractions of a dollar. I don't ever want to spend $200 in this store. And I don't want to give you my personal information so you can mail me "offers."

I belong to three loyalty programs: Airmiles, Chapters-Indigo (books), and Shoppers Optimum (drugstore). I'm phasing out all three this Spring.

Chapters has an upfront cost and was to offset entertainment purchases this year. I won't renew because it was too much work to utilize the card and it encouraged me to spend more.

Airmiles is linked to my banking and credit use; I'm switching to a card with cash back instead because it yields better rewards (and pays out automatically).

Shoppers has been useful but the program requires monitoring sales and planning shopping trips (at a regular rate, the plan requires spending $350 to earn $5 off)

Although the privacy factor is concerning, it's actually the life-clutter that's most annoying.

Living a pedestrian lifestyle, I plan errands strategically. I need to leave the house with everything necessary to get something done, from reusable bags to coupons and cash, and usually gear for some other random activity (like, oh, my job). Rewards Cards are one more thing to think about when I'm deciding to make a purchase.

It requires energy to navigate the system and make sure the Loyalty Program is giving me a fair trade: does it require me to buy more than I need? Have they raised the prices to account for the cost of the rewards? Does it entice me to try/buy something I don't really want or need? In my experience (and from the hard math), what you see is often not what you get.

In 2008, I collected $300+ in rewards. The breakdown: three years of collecting Airmiles passively yielded about $120 in gift certificates. Moderate use of a cash back card earned me $20 in six months. My Shoppers Card cashed out for $175 total. However, what was actually earned exclusively in that year was more like $100, where the rest was just claiming rewards I had abandoned due to a slow accumulation process. The process of earning that $100 included monitoring flyers and shopping on specific days as well as keeping a track of what I needed and delaying certain purchases to wait for a Customer Appreciation event; significant inconvenience in the name of saving $100. Any time you purchase something on impulse while there, pay more, or stock up on something rarely used it depreciates from the $100. So, if rewards programs really yield a sum of zero for paying so much attention to the Loyalty retailer, there may be serious advantages in avoiding them completely and just monitoring retailers who discount.

Someone may come up with an offer I can't refuse next year, but for the time being, I'm cutting up the cards.

To Have and Have Not

2009-02-15T10:17:00.000-08:00

There seem to be two schools of individual PF blog: full family expense and minimalist. I really like seeing other people's numbers posted, for reference. What expenses do they have? How much do things cost? What are people willing to pay for and cut back on? Where am I comparatively overspending?

I fall in the minimalist category. No mortgage, no car, no land line, no utilities. Realistically, my only fixed expense is rent ($550). My rent includes all utilities, furnishings, and access to wifi. Even my cell is pay-as-you-go. I walk everywhere, all seasons, catching a cab or the bus if necessary (maybe twice a month). I don't have cable or a TV. I'm subscribed to one magazine, $2 per month.

When I see car costs posted (payment, insurance, gas, repairs...) it blows my mind because I've never fronted that kind of cash. Ditto for the expense of running a household: mortgage, taxes, repairs, fluctuating utilities... whoa. Right now where I live I'm probably coming out ahead by not carrying a mortgage. The rent payment I make would only cover taxes, utilities and maintenance. I would be gaining "equity" in a home but: paying interest, carrying a non-deferrable expense, and locked into a property value that is likely to be volatile over the next few years. Further, I have no idea where I'm going to end up right now. I also haven't had to sink any cash into furniture or appliances and moving is simple and low cost as a result.

My only current financial goal is eliminating a consolidated loan incurred to pay for my second degree. I don't keep specific "funds" - emergency funds, travel funds, whatever - I just delegate the excess as necessary. Some months I make a heavy debt payment, other months I fund gifts or travel. I keep track of things in an old-school excel spreadsheet, relatively easily, more to monitor the status of my "accounts" - payments owed, payments owing. I kind of treat my finances like a small business, Fortuna Inc.

Really, I'm a lazy financial blogger.

Sometimes I wonder if I shouldn't be looking deeper into the oracle of money management. Maybe it would make sense to come up with specific accounts - representing specific goals - but at this point, does it matter?

(1) My taxation situation for the two years after grad is not deeply affected by contributing or not contributing to retirement funds, at least in any calculations I've pulled out, due to the level of credits I'm carrying against projected income

(2) Debt repayment gives me at least a 4% "return" annually, a better ROI than anyone else I know got this year. Further, eliminating it now avoids future rate fluctuations and increases control over my expenses. The banks are in a bad state, as a banker acquaintance of mine said recently "the industry is on it's knees" and I don't want to have any obligations to what I consider a desperate creditor

(3) It makes me happier to just have money available to do what I want, when I want it. The fact is, I'm not really a consumer and I doubt I will become one. Stuff doesn't do it for me. At the same time, I like the money to buy quality things when I need them. I like being able to afford to go where I please, eat what I like, and make choices based on my values.

I do know that around this time next year I'll need to have my post-debt (i.e. rest of my life) plan in place. I need to decide what to do with the excess I'll have on my cheques, beyond socking it away in a high interest TFSA. This is where I know it's going to get mucky.

Money Saving Tip: Live Somewhere Boring

2009-02-14T11:43:00.000-08:00

Okay, I'm being a little facetious with the title. Valentines weekend this year is kind of a write off. My significant other is on another continent doing aid work (long story) and I'm stuck in the Great White North.

This morning I got up and checked my preferred flyers online, determining there were no great sales. I ate breakfast and considered how I should spend the day.

Recent trips to the magazine racks are fruitless. The fact is, I don't want to read about Money Saving Tips from the editors of fashion magazines. I want lifestyle! I want fantasy! I want stories about celebrities leading unrealistic lives! I do not want to be told to wear things from last season - I already know that. (However, I did discover Zinio... post to follow)

Right now, I'm finishing a contract in the second most boring city I've ever lived in. It's badly planned, closed on Sunday and generally lacking in interesting activities. There isn't even really a good neighborhood to just wander around, grab some food and watch the day go by. The public transit is unreliable and a pedestrian lifestyle is ill supported. The nightlife? Don't get me started. I've discovered all the upsides: decent ethnic food, a better than average downtown public library, good spa service for less, and a redeeming yoga studio.

The result, however, is that my life has never been less expensive. I've become a healthy homebody. The days of late nights followed by early mornings fueld by nutribars claiming to be healthy? Over. The period where I partied with everyone from war journalists to euro-royalty and slept in the bar? Paused. Weeks go by without a single drink, let alone an expensive bar tab. I dress however I want, there is nowhere in town you'll be turned away or treated badly for not wearing something with fashion cred. In fact, when I first moved here and dressed like I did in various metropoles before, people stared.

In some ways, this could be a utopia, temptation free for the voluntarily simple.

But I miss living in a place where there were interesting things going on and every day looked different. Where there were concerts and coffee shops and you could get food BOTH days of the weekend, where there were always people to meet and things to find out about. I miss living in a place where I could dress up to go out, and dancing somewhere that isn't my living room.

On the upside, I earn a decent salary and spend almost nothing to live...

How I'm Planning for Travel...in an Unstable Economy

2009-02-12T13:03:00.000-08:00

At first, going away this year seemed insurmountable. Student debt upon graduation was an ugly number and the interest payments alone... depressing! Now I'm looking at a departure date in three and a half months. I have three sources of cash between now and then:

(1) a tax return
(2) a matched pension plan (cashing out)
(3) my salary

I need to make sure I have a financial cushion for when I get home. I'm planning on being under contract to work, but the world the way it is I don't want to take unnecessary risks and I need to be able to write a damage deposit cheque for when I get back. This will come from the pension plan. My tax return covers the budget for the trip plus a couple thousand dollars extra for emergencies. I'm going to apply as much of my salary to my student loan as possible in the interim to drive down the interest payments which will be in effect while I'm away.

I know that clearing out my pension is controversial, in the PF world. But, my return on investment for doing so immediately is: the savings in student loan interest, the freedom to take any job that pays my living expenses, and freedom from the tyranny of the bank who tends to operate in shady ways to do whatever it can to take that extra $20 from me each month. I could stay home and clear the debt off a few months faster, but to be honest being able to take time off in my industry can have a high opportunity cost so it's better to do it now than hope I might be able to do it later... I think?

Easy Come, Easy Go

2009-02-12T12:13:00.001-08:00

Yesterday I participated in non-invasive research for $30, cold cash. Transit costs detracted from the benefits but the appointment only took an hour. Gone less than 24 hours later, totally spent on food (and never making it to my spreadsheet).

I like to take "surprise" cash and keep it separate from the stream, allowing frivolous behavior like picking up breakfast in the morning. It feels good, the feeling of careless money. I would suppose that for someone who had a lot of trouble with spending, careless money is like drugs to an addict, and maybe if I were really frugal I wouldn't find this pleasurable at all.

But I do. So into the special red pouch it went, and went again.

Personal Finance: American Tribute Edition

2009-02-11T08:56:00.000-08:00

Yesterday I half-watched the Suze Orman podcast where Suze and Oprah field Skype questions (free on iTunes). Although it was, well, slightly culty (I'm afraid to look into the eyes of the Suze! I feel like she will steal my financial soul, a little), it was better than the book.

My favorite part was when she told viewers not to be desperate, or at least not to appear it. It's a little law-of-attraction (a horrible philosophy, having been to a lot of countries in the world where Thinking Happy Thoughts will not attract a Mercedes and working in shelters where I don't believe people were ruminating on abuse when it started), but also a reminder: KEEP YOUR CHIN UP!

*

I'm heading to the USA next weekend! Things I love about visiting America:

(1) Cheap Duty-Free Alcohol
(2) Greater clothing selection & sales
(3) Inexpensive groceries

Things I don't:

(1) The beer, no matter how cheap (sorry!)
(2) The exchange rate
(3) American-cut clothing (i.e. Gap Thighs)

I like hitting duty free a couple times per year to stock my bar or to have bottles on hand for hostess presents. I don't think most Americans realize how heavily taxed Canadian alcohol is: even non-duty free American liquor is ridiculously cheap to us (this may also explain why so many Canadians have at least one passport... we must flee the country to really be able to enjoy most vices these days). So that's a definite purchase.

The rest I'm having trouble with. What's my discretionary threshold?

Do I want to budget for a suit? I know I'll be working in a city where good women's suiting is hard to find. What if I find the perfect pair of jeans/LBD/white shirt - on sale?

I've considered avoiding shopping altogether.

I don't expect to be as tempted as I would have been last summer, given the exchange rate. Before going, I want to review my closet and assess. It's a lot easier for me to not buy when I can visualize an item I have that will serve the purpose of whatever I'm holding for the next two years.

It's a really interesting time to be visiting the United States, I've spent significant periods of time in the country over the last few years and felt like I had a good sense of the zeitgeist; I want to compare. Although I absolutely hate the airport security, I'm looking forward to the legendary hospitality of Americans and intend to gorge myself on Chipotle and Cinnabon. God Bless America, indeed.

Get Your Hands Off My 85%-Reduced Prada

2009-02-10T11:08:00.001-08:00

A confession.

For years I have benefited from the consumption of others. A penchant for quality and an atypical stature have allowed me to build a very nice wardrobe, 50-90% off. When I dropped off my dry cleaning today, it contained labels and fabrics suggesting I must be clothes-poor, one of those credit card junkies maxing out her store line. But I paid less for those items than poly blend mall wear.

All areas of my life were easily reduced by taking advantage of wastage. I bought the day-old bread, the end of season shoes, and the we're-switching-to-a-new-line nail polish. I combined coupons and rewards programs to game the system.

I lived a reasonably luxurious life in those halcyon days. Today, as I hand over a 20% off coupon with my stack of clothes, and the dry cleaning lady regards me with the disdain reserved for the wealthy who have suddenly jumped on the coupon cutting bandwagon, I know that just as people benefited from building and flipping sub-prime homes I benefited in a small way from hyper consumption. The cheap and chic bubble has burst, leaving us only with one hundred frugal blogs flogging the benefits of lentils and Sally Ann.

Others are adopting my once rare way of life. Coupons are becoming lower quality, there are new rules against piggybacking rewards programs, and discount grocery day has become a zoo. My way of life, chic on the cheap, will soon be extinct. I knew it had to go but I will miss it. And I will grab that deeply discounted pair of classic black pumps on my way out.

Why Do A Second (or Third) Degree?

2009-02-09T08:27:00.000-08:00

This article really raises some valid points about continuing education.

I do have two degrees. The second one took me from "vaguely employable" to "hot prospect." So, I've had a more or less positive experience with extensive post-secondary ed. A third degree remains an option at a later point, but would be purely for personal and professional development rather than the credential value.

The article is really good - any port in a storm is not a great philosophy when deciding on education. I'd like to add some considerations to the debate.

Benefits to A Second Degree:

(1) Networking. Both peer and industry. If you are someone who is able to build relationships with others, a second degree can put you in the position to become close with people who can give you access to opportunities. This may have been the major advantage of my second degree. However, most of my classmates didn't see the same opportunities or value-added aspects.

(2) Quality of Life Improvement. I learned things indirectly about how the world works, how to get information, and how to make people do what I need done. If you grew up in an upper class family, less useful. If you come from a middle class or lower class family, potentially life altering.

(3) A career relatively insulated from future downturns. When everything crashed, my boyfriend and I (different second degrees) looked at each other with relief that we didn't just take Super Well Paying HR Job With Oil Company X. You may not make as much during the booms but you survive the busts better in certain traditional career paths. Some of the article's criticisms are very true for the American system which does not control it's professional entry levels as rigorously.

Things to Consider:

(1) Do you have access to funding? The majority of my post-secondary education was scholarship funded. I chose a lower-cost (less prestigious) school because I knew I could be a bigger fish in a smaller pond - more opportunities (see "Networking" above) and funding were available. However, I would not have gone into a program with less esteem than my Alma mater - a fine balance.

(2) Are you interested in what you're taking? Lack of interest is related to poor performance which can translate into a poor investment. If you absolutely hated your undergraduate education it is entirely likely you will not enjoy your second degree, and vice versa.

(3) Are you willing to do what it takes to be in the top 25%? Unlike your undergrad, you may be faced with a harsh reality of no longer being a star player. Admission itself may not actually be worth much. The top 25% from my class universally have excellent employment prospects, downturn or not. We were the top from our first semester and took up a substantial number of the entrance scholarships. A harsh reality for incoming students, but worth considering.

(4) Are you putting a budding career or financial path on hold, potentially in reverse, to take this opportunity? One of my friends in my program was more than a decade older than me and had a successful film industry career. He knew he was giving up key income earning years to pursue this career change and his job prospects were limited to those that would replenish the missing income years and savings depletion required to support yourself without income. It's more than the degree sticker price.

(5) If you are unemployed, are you realistic about what led you there and if a new 'credential' is going to change your situation? Many are unemployed but many people remain employed. Without at all condemning those at the behest of layoffs, think seriously about whether you will be able to make gains with more paper. Success is mutifaceted. You may need additional things to even make the piece of paper worthwhile. You may be able to get what you need without the paper at all. Despite taking advantage of a great deal of post-secondary ed, I steered my younger brother towards a community college degree that has allowed him to get into the work force earlier. He's killing it and just got a raise that puts him in my wage bracket, he may even have more offers than I do. Different strokes, right?

My current situation is a combination of the following: luck, volunteering/community involvement, taking jobs for less cash to gain experience, building a solid network, seeking out opportunities that set my CV apart, and working. Hard. I have a list of things I want to do in the future to further craft my career that have nothing to do with more school.

If you believe that post-secondary education is the only way of advancing your career, you are not in any condition to be attempting to use post-secondary education to advance your career.

In regards to the assertion about PhDs, I was warned off one by several early-thirties PhDs who were my friends. After a decade of student poverty, they were faced with a demand to Publish or Perish and a further tenure competition. The rewards did not in any way compensate for investment - unless you really love your field, stay away!

Recalculations: The Joy of Tax Season

2009-02-05T14:56:00.000-08:00

I've prepared a few possible outcomes when everything is settled this spring. In projecting, I start conservatively and then add in potential sources - a hidden credit I can transfer to my parents here, some insurance claims there. I don't bank on them in my planning until they're in hand so if there's an unexpected delay... nothing unexpected happens.

My best-case scenario is better than I thought. I finally feel good about how money management has been going post-grad, like my efforts are paying off. On the day of my last exam ever (even though I was pretty, um, festive in school) I went out and bought a basic guide to personal finance instead of heading straight to the bar - I had planned to do this, it was symbolic.

I really feel that my financial accumen makes me a legitimate adult. I know I have a lot to learn - and what a time to learn it - but I no longer feel uncomfortable in the realm of interest rates, bank fees and tax returns. Sometimes, I even read the finance pages before the fashion section - who knew it would come to this? I'm looking forward to finishing up the paperwork for this fiscal year to put the last touches on my financial self-education (phase one).

Finding Money... Checking Payroll Accounting

2009-02-04T11:21:00.000-08:00

By happenstance over noon I discovered an accounting error to the tune of about $3K (assuming it all gets corrected).

The tax consequences are annoying - one of the benefits in taking time off from work can be dropping a bracket if done appropriately and this may affect mine next year adversely (TBA), although it will make looking into proposed income tax cuts under the stimulus/relief plan more worthwhile.

BUT, the unexpected quasi-windfall makes my position coming out of this contract a slightly better. Some is better than none?

Financial Status - Early February

2009-02-04T07:21:00.000-08:00

I really enjoy after all the monthly bills are accounted for and organized, when everything is in it's rightful place on the spreadsheet.

(1) I'm keeping most of my paycheck liquid to cover the cost of an international flight appearing on next month's statement (though it is possible the timing gods may smile on me and they won't bill until after the issue date). I may keep general liquidity until my tax return is finalized because...

(2) The interest rate on my loan is dropping, albeit slowly, likely hitting 3.5% by March. The bank drops the rate slower than it used to raise it but I'll take it. Technically, this preferential-rate loan is open until next fall and will be a nice emergency-emergency source while abroad. Because...

(3) Having travel plans confirmed helped me make a liberal seven month financial projection, i.e. what my networth will look like when I start work again (It assumes I don't work while abroad and a comfortable lifestyle). I'm allowing $5K total for the trip, which may actually be overly generous in light of the current exchange rate and off-season travel.

(4) Having solid plans also (hopefully) provides concrete incentives to be more minimalist and financially responsible. I want to acquire as little as possible. It's easier to limit things like dinners out by imagining how many days the cash could sustain me elsewhere. Rather than an urge to shop, there is an urge to gut my closets (again). I'm in the process of sorting worn clothing to wear for the last few months and then eliminate, all those socks/sundries/casual clothes on their last legs (admittedly a little obsessive)...

(5) It helps to live in a city with no real social scene right now. It's also not exactly a fashionable city, and the middle of a Canadian winter. Also, my boyfriend is gone for six weeks starting mid-February. This mix is a potential perfect storm of limited discretionary spending, assuming I don't get cabin fever.

News Scan - Early February, 2009

2009-02-03T07:13:00.000-08:00

(1) It's true, California is broke and you can't have your tax return. I had seen things about that floating around, but it's really pretty mind blowing. I'm relying on my tax return this year to apply as a lump sum to my student loans and although I could live without it, I can't imagine the government saying "uh, we're a little short..."

Is this an Onion article? Nope, just 2009, first quarter.

(2) I really think the canary in the coal mine is Starbucks. I've been following the Starbucks trajectory for the past couple of years - from the image problems to the store closings to the product flounders, mixed in with certain successes and surprising resilience. The bearer of the $4 latte is symbolic, even more so than the $400 purse, as Middle Class Luxury.

(3) The economic forecasters (who have realized they were starting to look a little like Miss Cleo of television psychic hotline fame) have slowed down production rates. Without dissecting whether or not economics are accurate at all, though The Economist has taken to making it known whenever they're accurate lately, what may be reasonable is: today's economics require knowledge we don't have and more leeway for human behavior, not just consumer behavior.

If you were a wall street firm who was seeking a bailout, would you give heavy bonuses? There's been too much operation under the assumption that there's an endpoint to greed. You can gauge sub-prime mortgage sales and Ponzi schemes, at least in retrospect, easier than the wide breadth of dishonesty that has become normal.

To many immigrants this is probably all too familiar. A corrupt class with preferential access to resources takes as much as they can creating, and during, a "crisis." The difference is that at this moment North America has some semblance of public representation to intervene and hold people accountable. Beyond watch-dog institutions, there should be legislation passed alongside stimulus packages to make white collar corruption at least temporarily par with blue collar robbery. The government can create employment by hiring some of those forlorn bankers to form investigative branches that work directly with law enforcement.

Hey, it's just a modest proposal.

Guerilla Chef - Breakfast Edition

2009-01-31T10:36:00.001-08:00

I "borrowed" two eggs from my roommate and made a pepper, cheese and sun dried tomato omelet (cooked in a little sambal olek and olive oil), served with toast and jam.

Yesterday, I paid homage to the spirit of British grandmothers past and had beans on toast for dinner - seriously underrated UK comfort food. I had allowed myself a reprieve and bought lunch after bringing lunch most of the week. And, someone made muffins and left them in the coffee room for breakfast.

To Summarize Grocery Ban: I ate out twice (dinner, lunch), and otherwise relied on what I had to great success, probably making more interesting things than I otherwise would have. I gave in and bought some soy milk and bread, and borrowed a couple eggs. Despite this, a lot of random food remains. Vegetarian curries and veggie dogs with saurkraut are on the horizon next week. I'm going to stop updating what exactly I'm making from what's left - I've figured out enough to know that I need to stop collecting food until I use what I have.

I'm lifting the grocery ban for some fresh produce on Monday. I'm considering unofficially joining Krystal's February Food Challenge to replace the grocery ban. The wrinkle four days I'm spending with old friends at a wedding - with a USD exchange rate. This February, for those who like precision and symmetry, is a perfect calendar month. I'd like to think I could do $25 per week plus $25 per day for the trip - a total of $200, but I'm not completely sure this is possible and I won't resort to any kind of deprivation exercise to make the point. As you will notice, if you've read any of the grocery ban entries, I like interesting food with decent ingredients... however, being able to cut my expenses down significantly over the next four months is not only padding my bank account but good prep for living on no income when I'm away. I'll definitely be checking out who's taken the challenge on (with low limits).

It's Possible I'm a "Bum"

2009-01-30T18:58:00.000-08:00

There's a semi-controversial article over on wisebread. I've worked in a breadth of poverty advocacy so obviously I'm a little disappointed that someone would write something so ridiculous. A "grain of salt" preface doesn't help - promoting half-facts about a vulnerable group is kind of embarrassing, especially since a number of wisebread readers may be facing really bad financial situations and not see the black humor. Anyways, I thought it would be interesting to go through his list.

37 ways you’d be better off as a bum.

1. You don’t pay taxes on any money you collect

I haven't paid taxes, ever, because I've never made enough in a year to qualify. This year I finally do make enough but it will be entirely refunded because of an assortment of credits from my 'poverty' years. Technically, I pay EI and CPP but I can also collect from those things - and partly according to what I pay in.

2. You don’t have a mortgage

I don't have, nor have ever had, a mortgage. I don't see one in my future for the next few years.

3. You don’t have a boss

I don't technically have a boss. Long story. Neither do a lot of people. They're called small business owners and freelancers.

4. You can never get fired
5. You have zero debt
I have some debt, but I'm well versed in how bankruptcy works (another long story, not mine) and it would follow me even if I became a bum.

6. You can pick up and move anytime you want

I do pick up and move whenever I want. Of the last two years, I've spent max four months at any fixed address.

7. You don’t have a car payment

No mortgage and no car for this girl

8. You don’t get stuck in traffic jams

See above

9. You’ll never break down on the motorway

And again!

10. You don’t have to pay bills
11. Or remember to pay bills

12. You don’t care about your credit report

I really don't care about my credit report. I've never seen it. It doesn't matter to my lifestyle choices. From what I've read, it's probably really good.

13. You don’t get harassing calls from collection agencies

I don't get calls from collection agencies.

14. You don’t get calls…period

I get, max, four phone calls per week that aren't to my office and absolutely no unsolicited calls - a never listed pay as you go number will do that.

15. You don’t have to deal with junk mail

I don't get junk mail. You can actually put up a sign not to have any delivered. I'm also not on any lists (probably because I don't get most paper mail).

16. You don’t have to wake up to an annoying alarm
No, you just have to get up when someone is telling you to move it along (sidewalk) or the shelter is emptying for the day, or when someone lays the boots to you well you sleep. Sorry, I had to.
17. You don’t have to do laundry
18. You don’t get criticized for bad fashion choices
19. You don’t have email to check (Well, apart from PayPal dude)

20. You don’t have to wait three hours in security at the airport

I have to say, this is purely an American thing. I get through security in two to ten minutes at any airport in Canada except over Christmas. So, maybe it's not better to be a bum, it's just better to be Canadian? Or Canadians are bums??

21. You don’t have to attend parties with people you hate

I, uh, don't attend parties with people I hate. Nor do I feel I have to. This guy needs to make better friends or get a better social life or just start RSVPing "no."

22. You don’t have to fix yet another paper jam

I don't have a printer and my administrative staff does that for me at work.

23. You never have to sit through an ad featuring Billy Mays

I don't have a television. Or know who Billy Mays is.

24. You don’t have to vacuum

There is no carpet in my apartment.

25. Or spring clean
26. Or scrub the toilet

27. You don’t get bothered by cell-phone salesmen in malls

Again, this must be American as no person attempting to vend a cell phone has ever approached me except in American malls.

28. You don’t care about identity theft

29. You don't give a crap about reality shows (you're living one every day)

I have no TV.

30. Going to jail for the night means a warm bed and a meal
Although, as someone who's put a few drunks in tanks (ANOTHER story), I wouldn't exactly characterize the experience as pleasurable - those cells are pretty cold and empty, usually. If you're lucky.

31. You've (probably) never heard of Paris Hilton or Kim Kardashian.

Interestingly, I don't really know who Kim Kardashian is.

32. Newspapers are actually handy; and you can read them too

My office subscribes to multiple papers. We are encouraged to read them. I read three papers a day, most days.

33. You don't care if gas hits $4 a gallon

I don't really care much about the price of gas - I buy a lot of local food anyways, and I don't drive. The inconveniences to me are outweighed by public transit improvements, better air quality and so on.

34. Sell-by dates are your friend

I totally buy half-off food at the grocery store (because the sell-by is imminent), albeit within limits. So does my roommate (we're frugal-ish soulmates). The sell-by date has certainly been my friend before.

35. Every cent is valuable to you; spare change is an oxymoron

I collect my change and regularly dispense of it at my convenience store for treats. I like a plastic-plan because in minimizes change altogether.

36. Hair salons are a joke

There was once a period where I went over a year without cutting my hair. It was prolonged by figuring out how to cut hair myself, which I totally got my best friend doing and we would call each other and giggle about how fun it is. My brother hasn't had a haircut in years. All three of us have successful jobs in professional industries, go figure. If you've never given yourself even a tiny trim, I suggest you try it and see how liberating it feels. [I do, for the record, get my hair cut a few times per year now. I have really long easy maintenance hair that looks best with less attention]

37. You can say you're free...and mean it

I really think I am pretty free. That's why I'm taking a few months off this year. Because I can.

Ok. So, roughly 2/3 of these criteria apply to me. But, I'm not a bum?!! I'm an independent woman (than you, Destiny's Child, for your lyrical leadership in my formative years). With an enviable education and a decent post-grad job. Most of the hassles this guy seems to feel really impinge on his daily life are far more linked to active lifestyle choices - whereas a lot of my life, and the life of "bums" may be passive lifestyle choices. No one makes you buy a car/house/television. No one makes you consume unhealthy pop culture and avoid reading things that matter. No one, as one of my friends and mentors once said to me, is making you do anything. And you don't even have to be indigent to capitalize on this opportunity!

Airline Tickets - Booked

2009-01-30T12:52:00.000-08:00

I have a secret air transit hook-up, if I told you I might have to kill you, so let's dispense with that possibility. However, to celebrate my covert ticket booking, here's what you might not know:

-agents have access to unlisted fares. This means: not on the internet. It's worth the comparison for anything international. My ticket is $200 less than the best online option (This is actually not as well as I expected to do - sometimes it gets about $400 to $500 less!)

-Talking to someone who specializes in flights to the area I'm going about dates: leaving two days earlier than planned saved me about $200, just missing the "high season" push, which is certainly not advertised widely and difficult to discern without searching several dates in a span

I'm just happy to have that amount settled, although it looks like my cash-only plan for next month may be shelved to make sure I have enough in my account to pay for this thing near the end of the month when my statement comes due...

Guerilla Chef - The One Where I Realize I Don't Eat Much Food

2009-01-29T18:29:00.001-08:00

Yesterday, I ended up having some cold cereal for breakfast and the Mexican casserole for lunch. For dinner, I had an event to attend and some Ethiopian food to warm my varietal heart.

Today, I revisited the cold cereal breakfast - convenience is king. For lunch, I had... the rest of the Mexican dish. For dinner, I had the last of the tuna salad in the guise of a tuna melt and then followed it up with a kind of pizza toast: tomato sauce, cheese, pepperoni and a little red pepper.

Basically, it occurred to me that part of the reason I have trouble using up groceries is because I just don't eat that much food. This means that I should buy smaller quantities and versatile ingredients to make sure turnover keeps up.

Tomorrow I already know I'm craving thai. I almost caved tonight but the tuna melt and a lack of restaurant reading material lured me home. My weapons of choice include green curry, pad thai, and any kind of roll - fried or fresh, but the truth is I will eat absolutely any thai food served to me with gusto. I've convinced myself I will be able to make a decent green curry if I pick up a chicken breast and some green peas, but my favorite restaurant is calling my name.

After work I got my monthly insured massage. I currently feel like a puddle...

VICTORY IS MINE. (Mid Season Winter Boot Purchase Victory, At Least)

2009-01-28T09:19:00.000-08:00

I'm really picky about footwear. I like it high quality (and as a result, on sale). In November, I visited stores and saw so many boots but nothing I had to have and a serious lack of quality in this area. Currently, I'm wearing boots I got for $6 that I'd held on to as a backup. They look cool but are ortho-nightmares and I know if I keep wearing them I'll pay for it.

Brown's Shoes is having a winter fire sale. Although I prefer the above-the-knee editions, they remain in the $300 range and totally unjustifiable. I ordered a pair of Brown's Couture for $50 (reg $300). I got the very last pair so hopefully the transaction went through...

Guerilla Chef - The Tuesday Tuna Special

2009-01-27T18:42:00.000-08:00

(I ended up getting soy milk and bread)

Today I made a tuna melt [remainder of the red onion, cheese, tuna, mayo, grainy bread]. I served it with a side of sliced raw red peppers dipped in yesterday's yogurt. The chili/honey/ginger yogurt combo was delicious.

I ate it after doing some number crunching. After a very long time being cashless I'm going to run February paid-in-cash, completely, and see how it affects things. My rewards only amount to about $3 per month. I will take a pre-determined amount when paid Friday and see what happens until the 27th.

Freeloading

2009-01-27T12:08:00.000-08:00

I have this friend who has the same job as I do, we make exactly the same amount. She pays exactly the same rent as I do. The only difference is, she lives with her husband... who is collecting EI (Employment Insurance).

At first I was neutral about this and just considered if I would do the same. He has a professional degree, he just doesn't want to work in his field anymore and qualified under the "spousal relocation for work" category. It's not for me, but should I really begrudge it?

Then the year went on. Then a "financial crisis" happened. He nets an extra $1500 per month for their household and acts as a personal concierge... or house husband. He purposefully applies for jobs he knows he won't get, online, two hours per week.

On a micro-scale, it's the same feeling you get when you think about executives of a company getting a huge bailout for running the company into the ground and siphoning profits. In the end, we all pay for your luxuries (they have spent the extra money this year on eating out a lot and an expensive vacation, along with a lot of conspicious consumption).

Maybe honesty and wealth just rarely coincide?

Or, maybe it doesn't matter where your income comes from. Maybe you work for a company that harvests natural resources where both the collection and use of the product are damaging, not just to the environment but to lower employees. Maybe you're overpaid for your qualifications and overbill expenses. Maybe, you cheat on your taxes.

Sometimes I worry that the biggest obstacle to wealth will be my ethics. I don't cheat on my taxes, work for unscrupulous companies, or try to dupe my employer (or insurer). But unless I'm ethically perfect, what's the point in only keeping some? I'm sure there are certain ways I freeload. Maybe I'm just a vegetarian in leather boots? If my motivations for doing the right thing aren't motivated by some future existential payoff (i.e. religion, perhaps), then why not take while the taking is good? Why must I continue to adhere to all the social contracts I didn't know I signed?

I know I'm not about to abandon team Ethics (So don't worry about talking me down from that ledge), but I can't help but turn over my grounding on that issue in my head...

GROCERY BAN UPDATE: I may have run late and picked up my first chai latte plus breakfast cookie of the month... I did bring the mexican cassarole but fridge it until tomorrow as lunch got waylaid, I ate a bunch of almonds, and we're having a birthday party (i.e. food) in an hour.

Guerilla Chef - Waste Not, Want Not Edition

2009-01-26T19:24:00.000-08:00

The pressure of writing what I'll prepare encouraged me to avoid eating the bag of popcorn and calling it a day. HOWEVER, investigations reveal the cheese about to go off so the next few days may focus on dairy triage.

(1) Not so hungry, as today was a birthday lunch at work. Solution: Crystal Rice Rolls. Contents: red pepper slices, rice noodles, 1/2 tsp oyster sauce, cilantro, rice paper wraps, dipped in spicy mango chutney.

(2) Work tomorrow: mexican cassarole! (Ole? Exclamations seem appropriate) Ingredients: rice, red onion, cumin, refried beans, tomato sauce, red peppers, cheese. Layered and baked. To be garnished with: salsa, yogurt, cilantro.

Also: special breakfast edition: an experiment - spicy ginger-honey yogurt cup (plus cereal)

Arranging Money - Obsession or Efficiency?

2009-01-26T08:08:00.000-08:00

Normally, my strategy with every pay cheque is the following:

Pay all bills
Pay off credit cards
Leave Enough for Auto-Withdrawals
Dump remainder on Student Loan

I generally keep very little in my bank account, maybe $20 leeway. I have excellent (free) overdraft protection to $500 that covers anything unexpected requiring cash on hand.

Now, I have five pay periods left until I'm done work and I'm tempted to leave the funds in the account and stop the "leftovers applied to loans policy," operating more on a cash basis.

I've vastly simplified my personal finances this year, they now consist of:

-a single normal credit card (low limit) plus emergency card (high limit), paid off in full each month
-prepaid cell, no land line (using the credit card)
-rent and utilities as a single payment, fixed rate
-two minimum loan payments, auto-withdrawn

I plan to clear one of the loans before I go. The cell will lapse and I have no lease to get out of. While away, I will have to remember to pay my card periodically (and monitor my account for fraud), but nothing else.

However, given that my primary loan is still open (at a low interest rate), I'm not sure if this shift will help freshen up my finances or just result in $5 more interest per month? I'm hoping it allows me to stockpile about five months of earnings (plus tax refund, plus pension cash out) in a tangible way to get a better picture of what I have to work with. But will the temptation of having a large sum of cold cash languishing in my savings account be too much?

*

MOST INTERESTING DEVELOPMENT OF THE WEEK: I am attempting, largely unsuccessfully, to empty my cupboards. I haven't had a major grocery shopping trip in two months. Although most of this is a result of being away over the holidays, this is my fourth week home in January.

This has made me realize how much I had unintentionally hoarded. The funny thing is, it's hardly a stocked pantry (condiments and beverages excluded) and this has been the same for so long I can do it from memory:

Pancake mix
Box cold cereal
Bag hot cereal
One can chic peas
One can tomatoes
One can beans
One can coconut milk
One bag microwave popcorn
A few sun dried tomatoes
Small bag of sticky rice
Package of sushi nori
Can of tuna
Can of sardines
Small bag whole wheat cous cous
Assorted noodles/pasta (house pool)
Frozen naan
Jar of saurkraut
Half a can of refried beans
Package of pepperoni
Package of veggie dogs
250 g marble cheese
3 red peppers
One small red cabbage
Half a red onion
200 g plain yogurt
500 g natural peanut butter

*Bold = january purchase

I'm so amazed at how long this stuff has been able to hang around in the cupboard I'm declaring war and continuing the grocery ban. For morbid interest I will document what I end up eating as a result. The exceptions include: bread or buns and some fresh produce... but only whenever I manage to get through the existing produce to a measurable degree. After exhausting protien sources, additions will be allowed on a piecemeal basis.

MOST ANNOYING FINANCIAL PREDICAMENT: the time has come to renegotiate my bank fees. Instead of notifying me the no-fee period as they understood it was about to end, they just started billing. I don't really like my bank at all but it's the best of many evils, somewhat like cell phones...

How to Plan for the Unplannable: Guidebook Mashing

2009-01-25T13:24:00.000-08:00

I find the yes/no guidebook debates fascinating.

I don't have much to say beyond what's been said. Yes, it's unfortunate to try and reduce a beautiful place in the world to a uni-dimensional game plan. Yet, it's also unfortunate to get mugged in a South American grotto because you didn't know you should have gone left instead of right.

I've been fine-tuning my information-carrying strategy. I like reading about a place before I go, if only because it builds anticipation and begins to create curiosity. It also helps to know a little bit before going to avoid cultural gaffes and get in interesting conversations with people who are living there. Yet, I want to pack as minimally to increase mobility. Roughly half to three quarters of any given book is not useful to find what I'm looking for.

Here's what I do right now. I am certainly open to altering these strategies.

(1) I buy, or source, any books I will get at a bookstore so I can cross-compare. I usually have an idea of one place I want to visit in an area, and I check to see what the comparative coverage of a sample spot is. If there are no good books, I don't buy a book. If there is a good book, $30 is nothing for the many ways it may save your ass. Do you travel uninsured? Then it is possible guidebooks are not for you.

(2) I make a condensed version of the book, by photocopying (e.g. maps) or just making notes about the most useful advice. If I didn't buy the book, at a local library (though please do not violate copyrights and copy the whole thing). Often, even if I did buy a book I use the library to add additional details from others - maybe there's some random festival only one book thought to list that's worth getting more information on (often via the internet).

(3) I consult blogs and friends to add more detail. When I went to Paris, I sent a quick note to a friend who had just finished a year there. She wrote me back with a very detailed beautiful walking tour that was the highlight of my visit and certainly took me to unlisted places. I like blogs better than review sites because they tend to contain a whole body of work, from which I can gage what kind of traveler the person is and maybe even get in touch with them. I scan popular, vetted travel websites for interesting ideas and news articles.

(4) As soon as I arrive I check out local media, preferably the stuff targeted to my age in the country and newspapers. I rip things out and tuck them into my "guidebook," which ends up becoming a quasi travel journal. In urban North America, even craigslist can give you some fascinating stuff to see or do.

I also do the usual: make friends with bartenders/university students/whoever, but I understand this is actually not feasible for everyone and often depends on social skills, language skills, etc.

If there is less time to prepare I just plan out the first twenty four hours (multiple contingency plans, for example: what if my first choice of transit isn't possible) and make sure I stay in a hub city at a decent hostel. Most hostels in hubs have a guidebook kicking around, if not an entire library. I also really don't mind the LP-heads who use a book as a Bible and check everything off - if you get past having different goals and ideas about travel, they often give a shortlist about what's good/closed/can't miss/overrated and where the book has been dead on or is now totally wrong.

Is this too labor intensive? Just a way of making myself feel like I'm different from being an LP-head in kevlar synthetics and Tevas, when really I'm still not embracing the full journey by letting myself get off a plane a little less prepared? Establishing impressions about a place that will taint my experience of it? Maybe so, maybe so...

Welcome to the Magic Bus: The Employment Implications of Tuning In and Dropping Out

2009-01-21T12:57:00.000-08:00

The missing loan mystery was due to a computer glitch. We can dream.

One of the issues I'm having to address right now is explaining why I would abandon "career opportunities" to spend more time travelling, meeting people without pretense, and generally enjoying life.

Short of referring them to this, which would probably reinforce the idea that I'm a slightly unstable drop out.

The most hostility, of course, comes from people who wish they had the cajones to live life on their own terms. Yet, some dissent comes from people who aren't jealous, just curious. And maybe the most disturbing comes from that quiet inner voice who says "you could be just like that guy from Into the Wild. Remember him? Good guy. How'd that one end?"

Am I more afraid of dying without any money or dying without having done everything I could to have fully experienced life? Actually, the latter. I don't expect fully experiencing life to always involve moving around rootlessly. I expect at one point it will involve staying somewhere awhile and having children. I want to experience being able to make an impact by working, leave things a little better than I found them if possible.

How do I convey this without totally destroying my employment prospects for when I come home? Possibilities:

(a) Lie about what I'm doing when I take time off.
(b) Tell a culturally modified truth, making it sound like what I'm doing advances my career and fills out my CV.
(c) Tell the truth and hope for like minds. Or at least open minds.

How do other people deal with this problem?

Twenty bucks in the bank and she's making a run for it: welcome

2009-01-19T15:04:00.000-08:00

Tracks:

Networth - negative $20K exactly
Debt - $23K
Assets - $3K

Because I'm a recent grad, assets refers to: a no risk fund, some outstanding reimbursements (aka accounts owing), and my bank balance. No car, no house, no kids.

I'm still trying to figure out some long term goals, but in the short term I'm planning on taking three months off when my current situation is up to go live elsewhere. Although that's only technically true - I'm planning on being able to finance it without supplement but actually looking at some streams of income to lessen the impact. Depending on what's going on in my personal life by the time those three months are up, I may end up staying abroad for awhile.

MOST INTERESTING DEVELOPMENT OF THE WEEK: one of my student loans has disappeared. I went to check the status online and it said I currently had no loan with them. Because important financial information still gets sent to a more permanent address, I have no idea what's happened. Bank error in my favor? If only.

MOST ANNOYING FINANCIAL PREDICAMENT: this weekend there's a birthday party for someone I'm not all that sure I like that involves a $50 beauty treatment and then dinner/bar hopping that will easily run another $50. I'd like to cancel but it really would be a special kind of social suicide with a key career contact.

Stay tuned, pfsphere.