Prime Time Money's Review of High-Yield Online Savings Accounts

Prime Time Money has recently posted a handy review of the major players in the online high-yield savings accounts. To read his post, check out High-Yield Savings Account Mini-Reviews. It's a nice article to get an idea of some of the online banks and what their current offerings are.

Go Green, Gain Green

Image by author, March 2008, Oxford

The green movement is quite trendy today. Yet, many people have been living green for a long time, maybe without even realizing it. No matter the reason for "going green", green choices are often economical. A big (broad) example is that reducing one's consumption is probably one of the most environmentally-friendly things a person can do. Decrease your amount of consumption (of cars, clothes, energy, electronics, fuel, food, paper, plastic, toys, water, etc.) and you will inevitably save money as well.

Green (our environment) and green (your money) go hand in hand. "Going green" does not only mean buying expensive pairs of organic jeans (but props to you if you can afford them and want to spend your dough on them) or having the latest, coolest Hybrid. Driving a 1998 used-Honda that is well-maintained can be what makes sense for you. And it can be especially green if you are conscious about your driving habits (no quick starts or stops) and you try to lump trips together when you do drive (instead of walking, taking public transportation, or biking). Likewise, buying new (even if it supposed to be eco-friendly), while trashing something older, doesn't necessarily make sense, especially if the old goes directly to the landfill.

Being conscious and reducing what you consume are things that can easily earn you more green [since more green money (at least for those in the States) will remain in your savings account]. At the same time, you are being "greener" and more eco-savvy.

For more thoughts on being a clean, green machine:

How to Live Greener Without Spending Money

Quality vs. Cost

I'm slowly learning that quality needs to be a bigger factor in my consumeristic decisions.

As a college student, cost ruled my world. At TJ Maxx, I picked the running shoes with the lowest cost. Score! At the thrift store, I'd snag some sweet finds. Vintage Levi's for $8. Say hello to mama! A free avocado-green blender, from my Aunt, that hasn't been used in decades. Sweet!

TJ Maxx, thrift stores, and hand-me-downs still have a role in my life (especially for cool clothes deals), but as I'm getting older and my husband and I are starting to purchase appliances and furniture for our home, I am becoming more aware of the importance of quality. For example, when I'm looking for pots and pans, I don't necessarily want to get the cheapest ones I can find. The greenest and most economical decision is to get quality pots and pans, with a timeless look that will withstand the test of my experimental cooking for years and years and years. Basically, I want those babies to last.

So, for me, no more really cheap deal on a blender that will only lasts through one smoothie-making blitz! I'm looking for stuff that will go the distance. That is good business for my pocket book and for the Earth.

How about you? How do you weight quality versus cost in your decisions?

Dave Ramsey's "Drive Free, Retire Rich" Video

I just watched a video about the cost of car ownership. Dave Ramsey addresses the obvious to the not so obvious in this cute but effective video. While this was created to demonstrate what a money drain cars can be, especially when they are purchased new and replaced soon, the concept can be extended to other aspects of one's financial life.

Increase the Peace: Fizzle out the Feuding

Feuding from time to time about money is natural for most couples. But never is it fun or the best use of time, especially in the dwindling free time of modern day life. So taking steps to prevent arguments and reduce the intensity of ones that may occur is vital are to creating more positive interactions regarding finances. Some of the basic ways feuds can be curtailed are communication, openness (being honest and sincere!), and being a team in developing (and adapting, etc.) a budget along with short-term, medium-term, and long-term financial, personal, and family goals.

Here are some great articles regarding ways to reduce the feuding and opening the lines of communication to help stamp out the feuds:

From Prime Time Money - 6 Ways to Argue Less About Money
From Get Rich Slowly - Ask the Readers: How Can I Get My Wife to Talk About Money

Reduce the feuding and increase the peace!

Yin vs. Yang or Saver vs. Spender

Often relationships are composed of one person more inclined to spend and the other person more inclined to save. Sometimes the difference between the "spender" and the "saver" are vast, while other times, the difference is subtle. Even the categorization of who is the "spender" and who is the "saver" may switch depending on the scenario. However, any difference in personal finances has the potential to cause some degree of conflict.

Having these differences does not have to be an all out battle call, though. Despite being opposing energies, yin and yang are naturally complementary. So, too, can it be with the saver and the spender when they come together in a relationship. A better, more balanced partnership can result.

To spend. To save. Those are two essentials of modern day life. Actually, those two concepts have been a component of life, spanning the stretch of time. Today we usually think of these verbs in terms of money. But energy and time are also things that can be spent or saved. One can choose to conserve or expend energy, which is closely tied to how one selects what activities they devote their time to. There have always been these options in life when one really thinks about what "spending" and "saving" means. And when viewing these verbs from a broad scope, one can see that each act is important. Each act is needed to sustain life. And that each act has its own place and importance in living.

When we jump back to saving and spending in relation to money, we can likewise see that only saving or only spending really makes no sense. You can't really live life being on the extreme of either end. A balanced life requires a thoughtful approach to saving and a thoughtful approach to spending.

In the rare case that the "saver" in the relationship hoards money to an unnatural degree and the "spender" is spending money with reckless abandon, finding a healthy balance will be more of a challenge, but nonetheless, not impossible to merge. Working as a unit, this pairing can create a more natural, balanced approach by helping each other step outside of their normal relationship to money so as to find a more healthy way to deal with their financial life.

Luckily, most couples that differ on the financial spectrum don't approach money in such a contrasting way that they are on the opposite ends of the spectrum. And since most couples come together in the hopes of creating a healthy, joyful, responsible, and purposeful life, obtaining a general conscious on financial matters does not have to be approached as a battle between opposites. Spending and saving are both components of creating such a life together, so recognizing the importance of each element in money management can go a long way in coming together as a team regarding finances.

Family Feuds when Opposites Attract

Opposites may attract, fall in love, get married, and live happily ever after. But when a couple has opposite views on the financial front, things can get a little intense at times.

Many people stress the importance of marrying someone who has similar values regarding money. That's wise fodder for consideration, but even when this occurs, the financial spectrum is huge, and thus, varying values on different financial aspects are a possibility. And even if there is a general consensus (e.g., that building an emergency fund is important), couples may assign different degrees of importance to a goal (e.g., one thinks that saving 3 months of income is plenty while the other wants to fill that fund with a year's worth of expenses).

This blog is an acknowledgement to the fact that even the most cohesive families may feud at times due to money matters. Yet, while these disagreements about financial topics may occur, our purpose is to find a way to calmly approach family finances, compromise as needed, and obtain a healthy balance so that these different view points don't override what should be a cozy atmosphere of love and joy at home.