No Limits Ladies.com

Today is the last day on the contract gig. This placement was something different for me. Not only was it in a not-for-profit but it was in Treasury (my usual strength is new business development).

What did I learn over these past 6 months?

1. Cash Flow Is King.
The first thing I did every morning was check the cash balances in all the accounts. I’d look at the transactions for the day, compare them to the same day last year, ensure we had cash for the outstanding checks, and invest any excess money.

Application To Personal: I now also check my personal bank accounts every day. I look at upcoming expenses and make sure we have enough cash to cover them.

2. There Is No Lazy Money.
Any excess money the company had would be invested, even if it was in a high interest yielding account for a single day. That single day’s income was immaterial but added up over the year, it came to millions of dollars.

Application To Personal: High yield interest accounts are available to personal investors. Although we need to be more aware of fees, we can use them to take advantage of the timing of cash flows. Our emergency funds should be relatively safe but still invested.

3. The Past Predicts The Future.
One of the “cheats” to predicting future cash flow was to look at the past. I did this by overwriting the previous year’s daily tracking with this year’s numbers. That way, I could see the revenues and expenses for up to a year ahead.

Application To Personal: I keep my bank statements from year to year. Why? So I can scan them for any upcoming expenses (or less likely revenue) that I might have forgotten about. I can see that December is a big spend month. I can see that we have a big insurance payment in June.

4. Investments Are Matched To Timeframes.
I had a few vehicles available to invest excess money (this was set by the Board). I had the high yield savings account for the very short term, bonds and T-Bills for the medium term and money market funds (due to risk and fees) for the long term. Where I invested depended on how soon the company would need the money.

Application To Personal: Personal investors can use the same three buckets with the addition of stocks to the long term, matching risk to timeframes.

5. Rebalance Regularly.
In the funds, the Board had a set allocation between local, global and other money market funds. It was monitored daily and reported on monthly. When global exceeded the allowed range, money was re-allocated to local.

Application to Personal: Although I don’t reco this being locked in (as the corporate allocation was), having a goal allocation between different asset classes reminds investors to sell high and buy low.

Looking around the personal finance blogosphere, I see that my fellow bloggers are dropping like flies. No, no, they’re not dying or anything like that (thank goodness and knock on wood). They’re healthy. They’re even still blogging. Just that they’re no longer blogging about personal finance.

E, my former blog partner, left for bigger and better opps months back. YoungAndBroke is now CakesAndAle. RichMinx now covers every topic under the sun. That’s only a few of the changes (and yes, I know that I have to update my sidebar, will do that after the book launch).

Why?

Is it because they’re no longer investing? Is wealth building not working for them? If that’s the case, and they, as “experts” can’t make it work, how can you as a reader?

No, no, no. They’ve changed the focus of their sites because, frankly, blogging about wealth building is boring. Most of us are one trick ponies. We find a technique that works and we work it until it doesn’t work anymore. Not exactly exciting writing material.

We’re also restricted to the fields we play in. I, luckily, have business building in my investing mix. That is a bit more interesting than I bought Citigroup today at $XX and sold MicroSoft at $XX and… (are your eyes rolling back in your head yet?).

However, I didn’t talk a lot about the subprime mess because I don’t invest in real estate (directly, I do hold REITs and bought some sure and steady’s during the meltdown). Why display my ignorance? There are other bloggers with actual experience in that field.

So don’t look at these changes as discouraging. Look at them as “this investing business is so simple that it doesn’t require years of learning.”

It happens to me all the time.

I gradually become more and more free with my spending until I’m on the verge of compromising my investing goals. It starts with the little things, a pack of gum purchased at a convenience store instead of at Costco (at three times the price). Then I forgo the brown bagging it and eat lunch out one day as a “treat.” Oh, and there’s a new romance novel. Yes, I could borrow it for free from the library but just this once… Before I know it, I’m burning through my two week allowance in a couple of days.

I think a lot of us have this problem. I think that might be why most North Americans are in debt. We don’t spend in big chunks, we build up the spending until we can’t pay for it all.

Luckily, I have the cash allowance restraining me. I also have a once a year money panic as the hubby and I prepare for my summer writing time off (on Thursday, thank goodness). January, after the holiday spend, is another period of natural spending pull back.

But I must still deal with spend creep. What do I do? I go cold turkey. No “treats” for a week or two. This forced deprivation resets my expectations. Like a purging or fasting. Still wanting to feel like a princess, I look for other free ways (like borrowing 30 books from the library). These creative solutions are like games for me. How to do it for less.

Then I start small again.

Is it the best solution? I don’t know. I know it does work for me. What do you do?

Finally, finally, finally spring is here. The snow has melted and the grass is getting green. Many of my neighbors are out puttering around the garden, happily digging in the dirt and planting things.

Not me. This is tax season and to compound things this year, I have a May book launch.

That’s okay. I’m prepared. You see years ago, when we bought this first (and likely only) house, I planted a few bulbs with the roses and a couple lilies along our white picket fence (Seriously, we have one. I know, I know, I don’t seem like a white picket fence girl).

The bulbs (daffodils, tulips, crocus) were a great idea. At first, they were sparse but they’ve now multiplied so much that I thin them out every fall and give some bulbs away (I could sell them but instead, I trade for other things).

The lilies seemed like a similar great idea… until little red bugs got at them. I tried to kill these bugs off but nothing worked (plus I am quite lazy). I’ve since replaced them with irises. The irises are even better because the leaves by themselves are quite pretty. When the spring blooms are done, I chop them off and leave the leaves. Plus the irises are fine growing in the shade of the big maple and in almost 100% sand.

Don’t have the money for bulbs? Simply ask around. Many of us have extra that we’d be happy to give you. That makes spring planting… hhhmmm… basically free.

A couple of weeks ago, I talked about how to find a job during a recession, but, after reading Single Ma’s career adventures, how about the opposite? How does one leave a job?

First off, I realize that the time for grievances and complaints is over as soon as I tender that resignation. From that time on, I'll be looked at as a former employee, an outsider, and what I say will be weighed accordingly. My time to change the organization has passed.

To tender my resignation, I write up a very formal resignation letter with my last day outlined. I always offer at least two weeks notice but I know that as soon as I hand over that letter, I could be walked out. I pack up my things (including my contact list) the night before.

I assume that the resignation letter will live forever. I don’t put anything personal in it and nothing negative. Usually mine say

(Name)
(Home Address)
(Today’s Date)

Dear (Manager);

As of (departure date), I will no longer be with (company). I appreciate my time and experience with (company) and will be happy to train my replacement. Please feel free to contact me at (home phone number) with any questions after (departure date).

Thank you,

My Name

Yep, very simple.

I set up a meeting with my manager with a hairy fairy subject line like Staffing Issues. That usually gives her some heads up. I walk in, I sit down, I hand over the letter and as she reads it, I make small talk.

If she asks why, I say I was offered an opportunity I couldn't pass up.

I never accept counter offers. Remember that as soon as I tender my resignation, I'm looked at as an outsider, a traitor to the company. A counter offer doesn’t change that. The manager might offer it to buy some time but if she is smart, she will spend it looking for my replacement. The first neck the next axe lands on will be mine.

Because I don’t accept counter offers, I don’t talk about compensation. Nothing ticks a former manager off like hearing I now make more than her. I’d rather not tick anyone off, especially someone I’ll likely need a future reference from.

The manager will want to know where I'm going. I don’t share this information. The working world is small. Odds are the manager or some of her manager buds know someone in the new organization. I would rather they not gossip about me before I even start. There is no benefit to sharing and lots of potential problems.

My response?
The situation is delicate so I’d rather not share at this time. You understand.
"The situation is delicate" is manager code for the employee I'm replacing hasn't yet got her butt fired. "At this time" is added to show that I'd like to stay in contact with my manager after I leave (remember that precious reference). "You understand" reminds the manager that she could be in the hiring manager's shoes and she wouldn't want it talked about either.

I hold firm against inquiries, knowing that my silence drives more respect, not less. It shows that I'm mature enough to keep my mouth shut. You'd be surprised at what your now ex-manager will tell you in that sort of situation.

This holds with co-workers. They don’t need to know where I'm going (I usually tell them it is "bad luck" to say what company I'm working for before I start and I don't want to "jinx" it), how much I'm making, or even why I'm leaving. Any of this information will simply serve to make them feel bad and cause hard feelings. Again, the working world is small. I assume I’ll work with my team members again.

It is my manager's job to notify co-workers, clients, and other work relationships. I'll confirm that in that first meeting and I'll offer to give my manager a list of people she should contact. If she wishes for me to notify them, I'll send an email or phone them and say that I've decided to leave the company but my manager (or some other point person) would be happy to help them. Again, less information the better. Most business associates care less about me than how me leaving will affect them. It is my job to make the change as easy as possible.

I give co-workers my personal (or a temporary) email for contacting. I have personal business cards for this purpose. If they give me their personal contact information, I will contact them first after leaving (telling them where I'm working and in what capacity - remember the contact list is gold). If not, I wait for them to contact me. Once I leave the company, unless I receive an email first, the company email list is off limits.

Human resources will often set up an exit interview. Exit interviews are seldom used or looked at, unless I make a fool out of myself (did that on my first real job). Then they will be shared with the entire management team (and I'll hear about it decades later). They have no upside (if I want to blow off steam, that is what non-work buddies are for) and all downside for me. I tend to avoid or refuse them for that reason.

On my last day, I always bring in some sort of baked goods (donuts) or treats for the team. If I get a going away lunch, I only speak favorably of my time there and my associates. If there are buddies that have helped me out a lot, I'll send an email to their managers telling them why this buddy is fantastic with concrete examples of their superstardom. This has helped land promotions for many and has earned me some loyalty.

When I start my new job, I don't talk badly of my old job. The new company hired me for that experience. They don't want to hear that experience wasn't worth the cash. Also my new manager will assume that I'll talk about her or her company the same way when I eventually leave there. Not a good scene.

With the book launch a week and a day away, I know I need to do some marketing. I wish I could devote 24/7 to it (I do love marketing so). The thing is… I’m still on the contract gig for another week, I have my blogs, I am finishing up a contest entry for the end of the month (testing a new plot), I have my core investing to do, and, of course, my loved ones to spend time with. I don’t have a lot of excess time.

I’ve outsourced some of the marketing (the hubby, master banner maker, can vouch for that) but some of it, I need to do myself. How do I do it? By tackling one or two marketing projects a night.

Yep, I’m marketing by drips and drabs.

It doesn’t sound like much, doing one marketing task every night but think about it… if I write, say, one guest blog post a night, that’s 365 guest posts a year, capturing potential new readers from 365 different blogs. That’s a lot of new readers.

One thing to keep in mind though is because you’re marketing in drips and drabs, your results will come in drips and drabs too. A buddy does all her marketing in one big hurray. She’ll then email, telling me about the 5 interview requests she received in one day. Me? I might have the same amount of requests but they’ll be spread out over a longer period of time.

But I’ll still get them and that is better than not receiving any at all.

The hubby always gets nervous when I take the summer off. I don’t think it has to do with lack of income but more like he then feels 100% responsible for paying the bills (as we don’t wish to dip into our passive income).

So right before I wind up the contract gig, we play the “if we needed cash flow in a hurry game.” We look at everything we have and outline how we could earn cash off of it.

For example:
We have a four bedroom house with a big empty unfinished basement for the two of us. The obvious choices are renting out rooms or renting space in the basement for storage (to friends and family) or running a computer camp with our multitude of computers (the hubby is in Information Technology) or…

We’ll look at almost everything we have and think of its earning or resale potential. Knowing that we could tap into it gives us the confidence and security to take a few more risks.

You might think it is silly but it does have an interesting side effect.

You see, knowing that we’ll do this every year, changes the way we think about purchases. When we were purchasing furniture, we leaned towards antiques because we knew we could always resell those pieces for as much as or more than we paid. When we bought a lawnmower, we didn’t buy the cheapest one out there. Instead, we bought one that could cut multiple lawns (potential business).

This thinking offsets our normally overly frugal attitudes.

My contract gig wraps up (finally) April 30th. Starting May 1st and lasting until the fall, I’ll be concentrating on my upcoming book launch and writing one new novel and two new novellas.

Although the hubby and I invest 100% of my salary (we’re simple burgers and fries type people, no need for a huge salary), we still do a few things to prepare.

Budget Longer Term
Usually we budget on a two week basis matching our pay schedules (every two weeks). During my time off, I draft up a mini budget for the entire duration. There will only be the hubby’s salary so if the roof needs replacing, the car needs huge repairs, and a great investing opp comes up, we’ll need more cash.

That leads me to the next point.

Increase the cash buffer
Lately, because of the good bargains out there (both in the stock market and in the resale goods market), we’ve been flying pretty darn close to the zero excess cash line. Yeah… being a conservative gal, I’m a little nervous about that. The last few weeks, however, we’ve been socking a bit more away… just in case.

Trading Time For Money
We’re not exactly big spenders but during the double income time, we are a little freer with our cash. The meals are more instant than usual. The laundry is dried in the dryer instead of on the line. The hubby eats boxed cereal instant of oatmeal. When we switch over to one income, all that spend happiness switches over also. Is that a bad thing? Actually, a big no. The hubby prefers oatmeal (with raisins and brown sugar – he’s a big kid at heart). Nothing beats the smell of laundry dried on the line. And plunking a roast in the crockpot isn’t exactly the depths of deprivation.
How do we prepare for that? We don’t buy boxed cereal or fabric softener sheets or Hungry Man dinners.

Basically, it is all about planning ahead.

Whether we are or aren't officially in a recession, we all know someone hurting financially. It could be an overextended homeowner or a downsized auto worker or even one of those formerly high income Wall Street mavens caught in the Bear Stearns mess. These folks have bills to pay. Many need cash and they need cash quickly.

Unfortunately there aren't many with the available cash. But those of us with some dollars set aside can help the situation while also helping ourselves.

How? By shopping.

It could be buying discounted stocks other investors are selling or resale items such as cars and art. In almost every market, the sellers out number the buyers. That means anxious sellers and good prices for buyers.

Recently the hubby and I bought a new-to-us car. We hadn't planned to buy for another year or two but when we saw the lowered prices, we decided to buy now. At first, I felt like a bit of a vulture, taking advantage of someone else's bad situation.

Until we met the car owner.

The seller was happy, no, thrilled to see us. He had multiple cars. He hadn't driven the about-to-be sold car for months. He had a mortgage payment and a kid in college. I got the impression the car sale was going towards his bills.

Maybe if things were better, he'd have held out for a higher price. Likely, however, the car would still be sitting in his driveway, not driven and not used (you know how waste of any kind drives me crazy).

We were happy. He was happy.

The hubby and I are looking at two stocks. Both stocks have sold off recently (due to the subprime/Bear Stearns messes). One stock has been hit more heavily than the other. There is a possibility there may be more bad news for this stock. This is partially factored into today's price but there would still be a drop upon the announcement. I expect both stocks to eventually recover to their historic p/e's.

So all other things being equal, which one should we buy?

It depends. If we needed the cash in a couple months, neither (too risky). If we needed the cash in a couple years, likely the one without the possibility of more bad news. If we needed the cash in five years (and wait for a drop), we'd lean towards the riskier stock.

You see, time frames matter in investing. They matter A LOT. A good deal for a day trader may not be a good deal for a long term investor. A good deal for a long term investor is usually not a good deal for a day trader. The investments for your emergency fund should not be the same investments for your retirement fund.

That's why I get nervous while watching stock shows with the "expert" tossing out buy, sell or hold recommendations. I also get squirrelly when people say all their money (funds for kiddie education, retirement, a new car) is invested the same way.

I read once in a Brian Tracy book that safety and freedom are mutually exclusive. The safest people in the world have no freedom.

You want to be pretty darn safe? Go to jail. There you don't have to worry about when or where to eat, sleep, or exercise. All that is decided for you.

You want freedom? Then you'll be putting yourself at risk. You might (and will) hurt yourself. You cross the road enough times and something is going to happen (especially this winter, I landed on my butt a few times).

Years ago, some financial advisors gave bad advice and people lost money. Now there is a rule stating that financial advisors can't mention investments until the client asks about them. This severely limited my returns because I didn't know what I didn’t know. I still don’t know if there is some fantastic "secret" investment vehicle out there that I don't know about.

Even more years ago, some investors lost their life's savings investing in risky vehicles. Now there's a rule saying that unless an investor is "qualified" (i.e. wealthy), they can't invest in these high risk/high return vehicles. It doesn't matter how smart or knowledgeable you are, unless you have a lot of money, you can't play.

That is why I shudder when I hear people talk about putting more rules in to "protect" investors from bubbles such as the subprime mess. Heck, I heard one talking head suggest that unqualified investors (i.e. investors without a bunch of cash) shouldn't be allowed to invest in stocks. You read that right! According to him, the average person should be limited to fee heavy mutual and index funds.

If I had those limitations while building my wealth, I would have never reached the qualified investor level. I would have been shut out of the investing game.

Yes, I know that it is sad people lost money. Yes, I know that we have a very commendable impulse to protect others. But think it over very, very carefully before taking the freedom to invest away.

They're the internet generation. Born between 1979 and 1999 to the huge cohort of baby boomers, Gen Y is now entering the workforce en mass. Many of us will be selling to them, working with them, and managing them. We even could be them.

So what is the best way to communicate with Gen Y's?

You'd be surprised to know, this tech friendly generation would prefer to communicate… in person. Yep, you read that right. According to a recent survey by Robert Half, two-thirds of Gen Y's would prefer face-to-face communication over phone, email, text message, or other means.

It makes sense, if you think about it. Although coming from smaller families, this generation grew up in daycare. They've spent most of their lives in school, surrounded by other people.

Another interesting finding was that 73% expected to go back to school, at some time, to obtain another degree. Rather than the slacker image the media has given them, Gen Y's EXPECT to be continually learning, to work hard to stay current throughout their career.

I think that is something other generations should borrow from Gen Y. I've decided to take a college course this summer because my skills are getting a bit rusty. I haven't decided what in but I think it will likely be tech based (that field moves so quickly).

I've worked with married couples before.

Even in the best situations, although the wives and husbands did not flaunt their status, I KNEW that when push came to shove, they would back each other up. It would be them against me, putting me at a distinct disadvantage.

In the worst situations, it was like a mini-soap opera every day at work. I'd hear personal arguments that shouldn't have been held at work. It was awkward. It was uncomfortable. It got in the way of business.

Yep, working together should be considered carefully. Starting a business together even more so.

As Carley Roney and David Liu, married co-founders of The Knot pointed out to TIME, "If you want venture capital, being a husband-and-wife team is not looked very kindly upon. And we didn't know if it was something that would help us or hurt us. We also had two other business partners, so we wanted to be seen as equals. But it was funny — AOL gave us the money and never knew. People would ask, "Are you married?" and we would say yes but implying that it was to somebody who wasn't in the room. In the end, we considered it a competitive advantage because we were working from the moment we were brushing our teeth in the morning to the moment our heads hit the pillows at night. "

I think it helped that they didn't have the same last name, pointing out their coupledom. It also helped that they intentionally left their married status at home, dealing with each other professionally (at least in front of others).

Being a touchy feely gal, I'd find that very challenging to do.

I own a house year round but there is something about spring that brings out the hidden home reno girl in me. I watch all the shows. I hang out in Home Depot. I'm not that handy but I do get the urge to try my hand at it.

The urge doesn't go away just because I've socked all my free cash into those bargain basement selling stocks offered right now so I have to find a way to do it on the cheap.

One solution?

Spending the money on paint. Changing a wall color is a relatively quick, easy, and inexpensive way to update a room. (Lucky for me, a decade after moving in, I still have the builder's primer on some of my walls… LOL, told ya I wasn't handy.)

I'll wait for sales and coupons (or even better coupons AND sales). Sometimes if I'm impatient, I'll phone paint manufacturers and ask if they have any coupons. Usually they will send me some (especially if I'm very nice about it).

I don't like buying the cheapo paint. I'm lazy. I find I have to use more coats with the cheap paints and if I have to use more coats, the savings tend to disappear.

I tend to watch tv less during recessions. All that fear mongering by the media gets on my nerves but more importantly, I'm too busy with opportunities.

Opportunities? But-but-but isn't it a recession?

Yep, believe it or not, opportunities don't go away during a recession. Some do, true, but others surface to replace them. Many self made millionaires are "made" during bad economic times.

What are some opps to think about?

How about the affordable luxury market? Did you know that there's something called the Lipstick Index? Lipstick sales tend to increase during bad economic times. We might not be able to afford our Manolo Blaniks but we can buy a fresh tube of bright red lipstick. One of my buddies in the reno business is banking on homeowners freshening up their houses with paint, an inexpensive way to give an older home a new look.

What about buying some of those high quality, income producing stocks during the fearful sell offs? I know I need to look closely at financial statements and think about how an economic downturn will affect cash flow but there are and will be some bargains out there.

If you're a top notch salesgal, well, a recession is prime time to make a move. Not only will your current employer want to keep you (perhaps giving up some of the valuable equity), but other companies will be looking for producers also. Rainmen and women not only bring the rain but do best during it.

Decades ago, I graduated into a tough job market. I had a university degree in accounting and about two years of relevant working experience. I managed to land a job to pay the rent upon graduating and six months later, I used that job to get a better job (entry positions are called that for a reason, you're not supposed to stay there).

How did I do that?

I was prepared. I had my resume polished and waiting since my last work experience. Even today, I always keep it updated. You never know who might ask for it.

I started early in the job search. About three months before graduating. Sounds early but getting an office job takes at least a month from the time you apply. It is a LONG process.

I was flexible. I preferred to work in the big smoke (where the boyfriend/now hubby lived) but I could have worked anywhere. I preferred to work in the accounting field but I looked at every office job.

I swallowed my pride. The job I did land was receptionist/LAN administrator/bookkeeper/salesgal/coffee maker for a small, small company.

I applied for everything. To get that first job, I sent out over 800 resumes (after 800, I stopped counting). I'd send it to anyone and everyone I knew. I'd ask the bus driver if he knew of any openings (seriously). I'd haunt the different daily papers. I was listed with multiple recruiters (though they weren't helpful because they prefer to place folks who are already working). Since this was pre-email friendly days, I had to fax most of the applications. I tweaked the cover letter for each application, addressing all the "wants" in the ad. Getting that first job was a full time job.

When I was interviewed, I was also flexible. Start date tomorrow? Sure. It involved a bit of a commute? Sure. Overtime required? Okay.

Sounds like a lot, right? But remember that no one says you have to stop looking after you land a job (I didn't) and it is much easier getting a job once you have a job.

For more ideas, see Scoble's post on what to do if you're laid off.

I watched a show on CNN about the subprime meltdown. There were a bunch of experts on it finger pointing, assigning blame everywhere except to the "victims."

We all know finger pointing doesn't help anyone. Often suing people doesn't help anyone (other than the lawyers). And I feel it actually hurts the "victim."

Why?

Because to call someone a victim immediately puts them in a place of powerlessness. All the power and control goes to the attacker, not to the victim. I don't know about you but taking all my power away from me is not going to help me.

It also gives people an excuse not to learn. Many of the subprime "victims" are also dot com "victims." Because the dot com mess wasn't their fault (I guess they were forced to buy the stocks), they didn't look at the situation and ask themselves "what could I have done differently?" and because they didn't do that, the next time they invested, they DIDN'T do anything differently. I suspect that a few years from now, they'll be another bubble "victim."

A few years ago, swayed by one of the talking heads on the tv, I bought into energy services stocks. Luckily I only bought a few shares. Luckily because I didn't do any research. I bought blindly. Heck, I was so ignorant, I didn't even know they were cyclical beasts.

I lost money. Sure, I could point my finger at the expert and blame him but why? I bought the stocks. I didn't do my research. I didn't listen to the other experts saying to stay away (for every expert pushing an investment, there is always one saying "stay away"). I was impatient. I was emotional. I got greedy. I lost money.

Now I try to be patient. I try not to be as emotional. I ask myself "Kimber, are you being a greedy Gus here?" It has made me a better investor.

Erin at Country Financial forwarded me a link to their latest survey.

Some key highlights?

While both men and women are worried about funding the retirement lifestyle they want, women have the additional worry that we'll run out of money completely (the bag lady syndrome – unique to women). One reason why E and I started this blog.

The other is that most of us know we should start investing early for retirement but we don't do anything about this. Unfortunately Country Financial didn't ask why there was this gap between good intentions and action. I suspect it is because retirement when you're 20 years old is far in the future and happy hour with buddies is only hours away.

That's why I don't talk a lot about retirement here. I don't think amassing a pile of cash to magically spend when you're 65 should be the goal. I prefer it to be having the ability to maintain a desired lifestyle at any age.

Last week I spent $2,000 buying a REIT paying me $200 a year. That's exactly how I thought about… $200 a year for the rest of my life. That buys me 2 nights at a hotel in Vegas. If I didn't spend that money this year, I could stay 4 nights next year. I see the reward within the year. Not 30 years from now.

When I first started investing, I'd invest $20 to earn $2 a year. Doesn’t sound like much, right? But that $2 will pay for a pain du chocolat in Paris every year for the rest of my life. It made investing that $20 so much easier.

I don't like to have a lot of stuff in my house (all those copies of past manuscripts drive me mad but I'm paranoid about not having a hard copy). So the stuff I do have, I make work hard.

Like fabric softener sheets.

First off, I only use half of one with each load of drying. I haven't seen a difference between using half and using a whole one. The clothes end up smelling nice and there's none of that dreaded static cling (unless I'm going into an important meeting, then you can bet I'll have all over static cling, including my hair).

Then when the clothes have been dried, I reuse the sheet.

How?

For dusting, mostly. I'm not a fan of dusting (try to keep all my knick knacks under glass) but using used fabric softener sheets makes it a bit easier. (BTW... if you are using one of those sprays with a rag aka an old tshirt, spray on the rag, not on the furniture.). I'm thinking fabric softener sheets must have been the inspiration behind the swiffer (same shape and everything).

I heard tell that fabric softener sheets are good for caked on pans too. I haven't tried that trick because, well, I have plenty of dusty furniture.

This week, we've been chatting with Emily Humphreys-Beher, Trust Officer with Community Bank & Trust of Florida, about estate plans.

Today, we'll finish off the series with Emily's estate planning advice for business owners and investors.

What special considerations should female business owners and investors have in an estate plan?

If you are a business owner, you have a major worry: business succession. You may wish to have key person insurance and a business succession plan ready. Even in the case of a family run business, they may need extra money to keep going during the transition. There are more complicated estate planning techniques available to you to minimize estate taxes, and you should definitely see an attorney experienced in estate planning to help you. For everyone, make sure that your Will and the way your accounts are titled are in sync. For instance, you can’t leave an account or property in joint name with right of survivorship to someone else in your Will. All of your documents and accounts need to be planned for cohesively.

As Emily advises, it is best to see a professional about your estate plan. You worked hard for your assets, take the extra time to ensure the assets are treated properly.

Yesterday, Emily Humphreys-Beher, Trust Officer with Community Bank & Trust of Florida, let us know why we all need estate plans.

Today, we'll cover some common mistakes.

I see that you’re based out of Florida. How important is it to have local assistance with estate planning?

I’m not a big fan of do-it-yourself documents. Some states (such as Florida) have different requirements for signatures and witnesses, and you always want to cite state law in your documents. You can find attorneys that have estate planning packages (a Will, Power-of-Attorney, Living Will and Healthcare Surrogate documents) at fairly reasonable prices. Sometimes you pay a little, but get a lot in return. Professionals may ask questions that make you think in a new way about your options.

I'm not a fan of do-it-yourself documents either. For one thing, I'm lazy. For another, I'm certainly no expert in the law.

What is the number one mistake you see with estate plans?

Failure to plan at all. If you have no plan, the state has one for you! The second most common mistake I see is in naming beneficiaries of life insurance and retirement plans. If you get divorced or remarry, especially, you need to take a look at these documents and make changes. Don’t overlook the contingent beneficiary, especially if you are married and you and your spouse often travel together.

Great tip about the contingent beneficiary. That's a must for the hubby and I as we travel often and usually together.

Tomorrow we'll talk about special considerations for female business owners and investors.

Estate Plans. We haven't talked about them and you KNOW we should.

Not being qualified myself to discuss them. Emily Humphreys-Beher, a Trust Officer with Community Bank & Trust of Florida, generously offered to be interviewed.

I’m 36 years old. Do I really need an estate plan?

Yes. By the time you are 36, you probably have at least some assets. An estate plan can be as simple as a Will, and naming your beneficiaries in any life insurance or retirement plans or as complicated as family limited partnerships or multiple trusts. The degree of complexity in an estate plan depends on several factors: how your assets are already titled, whether you have children and a spouse, and the degree of wealth you’ve attained. There may be other factors, too, such as being a single parent with young children or providing for a relative with disabilities. Estate planning boils down to the most efficient way to pass on your assets, exert control when necessary, and alleviate the expense of probate and estate taxes.

If I already have an estate plan (I do), when should I update it?

I think that the recent examples of Heath Ledger and Anna Nicole Smith remind us that whenever you have a major life event (such as the birth of a child) you need to get that Will out and make any necessary changes. In any event, you should read through your documents every couple of years and make sure your intent is the same.

Tomorrow, we'll talk about whether we need local estate planning assistance and what the biggest mistakes, Emily sees with estate plans.