Simply Junior

Building and maintaining a savings cushion is vital for your financial health. Most financial experts recommend having a minimum of three months’ worth of living expenses set aside in case of an emergency, but many people may find it difficult to build up that much money in savings. If you think that you might have difficulty in building up the savings that you need, you might want to consider some of the following ideas.

Focus your spending

Create a budget and track your spending. After seeing where your money goes, it’s much easier to decide where you can cut. Then live by it.

Treat saving like a bill

Consider your monthly savings amount a bill that has to be paid. Pay your account every month or every two weeks.

Think small

Many people don’t think their budget allows room to save, but even a small amount adds up over time. Depending on the size of your family, skipping a meal out each week could result in a $160 per month savings deposit. Take a good look at your spending habits, and you probably can find $150 or so each month in extras that you could do without to build up savings.

Save your raise

The next time you get a raise at work or a tax refund, consider directing half to savings. If you’re not used to the money, you won’t miss it.

Continue paying

When you pay off a car or other loan, consider making half of the payment to yourself and put it into your emergency savings account. You will not miss the money if it is in savings, but you will find a way to spend it if it remains in your checking account.

Turn off the TV

Don’t listen to the advertisements, Ignore sale flyers or mail-order catalogs. The latest sale tempts you to spend money unnecessarily.

Think before you charge

Unless you’re in the habit of paying your credit card bill in full each month, don’t use the cards for anything you can eat or wear.

Consider a refinance

Shop for loan quotes and see if interest rates are lower than they were when you took out some of your major loans. Consider refinancing your mortgage and your car loan.

Alternate your commute

If you live in an area that has good public transportation, see if you can get around without the car. Maybe you can get by on one car instead of two.

Conserve energy

Do an energy check on the house. Replace cracked storm windows and renew the weather stripping.

Java-jolt savings

If you’re a coffee drinker, don’t stop at the coffee shop each morning. Make your coffee at home.

Participate in a 401(k) or 403(b) plan

If your employer doesn’t offer these plans, then you could start saving in a tax-advantaged IRA or Roth IRA account.

Involve the whole family

Even the youngest child can contribute change to the savings goal. It is easier for children to get involved if they understand why they must give up pizza night (or at least cut down the number of toppings!). Also, you are setting a good financial example for your children.

Savings rewards

Plan a treat for you, your family or both when you reach your emergency savings goal. Make it something everyone will look forward to, but not something very expensive, like a day at the zoo or at the beach. The important thing is to mark the occasion and congratulate yourself and all those who helped!

When you consider Medicare Plans for 2011 from a top-level view, you really have only three options. Understanding the types of Medicare plans available will enable you to compare 2011 Medicare plans on an individual and side-by-side basis to determine which is the best plan for you in 2011. The first option is the one that you have every year; that is, original Medicare. The other options consist of Medigap, otherwise known as a Medicare supplement and lastly, a Medicare Advantage plan.

The first thing to consider is if you should stay with original Medicare and purchase a Part D plan. There is no rule that says you have to purchase a supplemental policy or enroll in a Medicare Advantage plan. Some people choose to stay with original Medicare. The vast majority of these people do so because they have supplemental insurance from a former employer. If you are offered health insurance from your former employer, that coverage will to one degree or another pay after your original Medicare pays.

If you fall into this group, you should at least look at your other options to ensure that you are receiving the best benefits. In some cases, insurance from your former employer may cost more than a Medicare supplement policy and afford less benefit. If you are paying a premium for your employer group supplemental policy, you should explore the costs of a Medicare supplement.

A small group of people choose original Medicare even though they do not have coverage from a former employer. Many of these people do so because they are not aware of their options. When becoming eligible for Medicare you should evaluate all your options.

Choosing original Medicare by itself or an employer group policy without drug benefits will require that you purchase Part D insurance. You are not actually required to purchase Part D, but the late enrollment penalties give you a good incentive to do so.

If your budget allows, you may consider purchasing a supplemental policy in 2011. Medicare supplement policies are referred to as Medigap because they fill the cost-sharing gaps to one degree or another, depending on the individual policy. You must have original Medicare Parts A and B to purchase a Medicare supplement. Plans are standardized and benefits will not vary from one company to the next. Price will vary from one insurance company to the next, as may your perception of the customer service. Some companies have more rate stability than others and these factors should be considered.

Nationally, Medicare supplement Plan F is the most comprehensive and very popular. Another supplement that was introduced June 2010 is Medicare supplement Plan N, which is proving to be wildly popular due to its lower cost. Medicare supplement plans do not include Part D coverage and it must be purchased separately.

Even if you have typically been enrolled in a Medicare Advantage plan, you owe it to yourself to consider a Medicare supplement if you are comparing Medicare plans for 2011. Some 2011 Advantage plans have premiums approaching those of Medicare supplement policies, often with less benefits.

When considering Medicare plans for 2011, your bound to be inundated with marketing materials touting the benefits of Advantage plans. As far as Medicare plans for 2011 go, Medicare Advantage plans generate the most questions and often confusion. Medicare Advantage plans are annual plans that can change yearly or even not renew for the following year.

An Advantage plan is not a Medicare supplement. But rather, you receive your Medicare benefits from a private insurance company that is approved and contracted with CMS (Centers For Medicare and Medicaid). The benefits of an Advantage plan include:

Often little or no monthly premium. Fixed cost sharing, including co-pays, coinsurance and deductibles. Part D is often included. Plans have benefits beyond original Medicare, like dental and vision.

The down-side of an Advantage plan is the uncertainty of an annual plan and often the network restrictions that are part of HMO or PPO plans. You are also subject to restrictive enrollment periods. Plans are offered on a County-by-County basis and what may be available in one County may not be in the next. Premiums also vary based the plan and locations offered. If you are comparing Medicare plans for 2011, you should take a look at these plans to determine if they would be a good fit for you.

Once you have looked at your options from a top level view, you can get down to the business of comparing Medicare plans for 2011. Most insurance companies have all relevant information online to save you time and the trouble of meeting with countless agents.

Are you struggling on spending too much money already? Well, if you are one of those, this article is for you. Here are some effective ways to cut money spending:

1. Delay gratification – If you want to cut off too much spending and save instead, you must learn to delay gratification or delay pleasure. Too much pleasure requires too much money spending. Examples of gratifications are spending of unnecessary things, going out with friends during a not so important party, or you try pampering yourself with an expensive whole body spa. These are the most pleasurable things that you can delay just to save more money. If you want to cut money spending, learn to avoid these things. You control yourself and do let those evil delights drive you to do these things.

2. Learn to pack meals – You can always save by learning to pack your own meals. It does not have to be necessarily every day, but you can do this alternately. You can probably do this at least a few times a week, depending on your budget. Aside from the benefit of not spending too much for breakfast, lunch and dinner, you can also get the benefit of eating healthier food. In this way, you are far way surer that you are eating a clean food because you are the one who prepared it.

3. Drop your unnecessary electrical appliances – If you want to cut off too much money spending, it is very important that you consider your electrical appliances at home. Your electrical billings are taking most of your money. It is important that you unplug electronics, phone chargers and other electrical appliances sources. Turn the power off when appliances are not in use. Make sure that you turn off the lights whenever you leave the room or if it is unused. This will lessen your electrical bills, this, make you save more money.

There are actually so many effective ways to cut off money spending. If you want to save more than spending, consider these ways and you will surely keep a whole bunch of money savings in the future.

On Tuesday 4 January 2011, the standard rate of Value Added Tax (VAT) in the UK is set to increase to 20%. This increase from 17.5%, originally announced by George Osborne in his 2010 Emergency Budget, marks the third change in the VAT standard rate within three years.

Retailers and cash businesses

For retail businesses making principally cash transactions to clients not registered for VAT, then the new 20% rate will apply to all income that is received on or after 4 January 2011. However, this does not apply to any transactions that take place prior to 4 January 2011. These transactions should use the old rate of 17.5%.

Invoice businesses

Invoice businesses should utilise the 20% rate for all VAT invoices issued on or after 4 January 2011. However, if goods and services are supplied before 4 January 2011 and the invoice is raised after 4 January 2011, then the old rate of 17.5% will apply. For example, if a VAT invoice is issued on 8 January 2011 for any goods or services provided prior to 31 December 2010, then the 17.5% rate can be applied.

Flat Rate Scheme

The new percentages applicable in the flat rate scheme may change on

4 January 2011 due to the increase in the standard rate of VAT.

The flat rate scheme percentage rate can be viewed by clicking here.

Credit notes

All credit notes that are issued should be at the rate of VAT in force at the time of when the original invoice was issued. For example, if goods or services are supplied on 12 December 2010 and a number of of them were returned in January; then the credit note issued after January should have the 17.5% rate applied reflecting the rate in force when the original invoice was issued.

Anyone planning to start a business needs to have a plan in place. Coming up with a business plan, no matter how small the business may be, is sometimes not very easy and may call for the services of a professional business consultant. The need to have a business plan is propelled by the fact that later on in the life of the venture, one may need to present it to investors for planning or partnership.

A business plan consultant is normally in a position to tell you what key points need to appear on your document. One may wonder why such a crucial document is so difficult to write, but as earlier mentioned, it needs to capture and sustain the attention of whoever will be reading it. The content will also be determined by the amount of starting capital that is being looked into at the start of the venture. A business plan written with an aim of getting a loan of $50,000 is definitely different from one that is targeting $5 million. All the same the content should not be more than 40 pages.

As a suggestion to what the business plan should contain, the consultant will guide you through the various sections of the document. The first one is the executive summary which should capture the main points of the content. Remember that, the first impression is the lasting impression and so, what the reader draws from here will determine his general judgment about you and the business.

You need to explain how you will market your business and what your strategy for growth and expansion will be. These two factors will be faced with competition from other ventures in the same industry, so be clear about how you plan to step up your game to deal with competition. The other most important bit is the budget, in which you should capture all the requirements for the start up and their costs. Be careful with the figures, neither underestimating nor over quoting prices.