What a week!  We finished up our 10-day journey where we looked at 10 money-saving tips to help us stash $10,000!

Through each of those tips we freed up between $275 per month on the low side all the way up to $950 per month on the high side if you were able to maximize each of those tips!  That’s a savings over this next year between $3,300 to $11,400! 

Again, the question is – what will you do with your savings!?  If you’re not careful, any freed up money will evaporate to other expenses.  Be intentional about putting that money away!

Well, it’s another week in the books and it’s time for a quick tour.  This Week in Personal Finance takes a look at interesting articles, posts and news from the past week in the personal finance arena. 

So give these articles a click!

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• Matt Jabs from Debt Free Adventure shares his story of how he saved over $41,000 by refinancing!
• Kevin from Out of Your Rut asks a very pertinent question that usually elicits some heated debate – Is it better to build your savings or pay off debt!?
• Over at Len Penzo Dot Com there was some very interesting discussion going on regarding whether people should walk away from a mortgage if they cannot afford to make the house payment!
• In today’s economy it’s even more important to diversify your income sources – Five Cent Nickel offers up a great post via Matt Jabs on How and Why to Diversify Your Income.
• I love talking about retirement issues.  Flexo over at Consumerism Commentary references a recent ING survey about retirement that had some pretty interesting stats.  Flexo says he might need $3,000,000, but one-third of Americans believe they can retire on $250,000 or less. 
• Jeff over at Deliver Away Debt might be the hardest working guy in the PF Blogosphere – dude delivers pizzas on the side to help knock out his debt, which is why he’ll need a guest post now and then.  If you were a fan of Teenage Mutant Ninja Turtles growing up, you’ll like this post on fighting debt – TMNT style.
• Looking for a new job and getting ready for interviews?  Check out some helpful tips and reminders on the art of the interview from Financial Samurai
• Is there such a thing as good debt?  Take a look at what Kevin says over at Fiscal Geek!

R2 Around the Web

How Should We Help the Poor was included in Wealth Pilgrim’s Round Up

What is Your Motivation in Giving was included in the Carnival of Personal Finance #245.

Tip #8 in the 10 Money-Saving Tips Challenge was included in the Yakezie Alexa Challenge Carnival over at CJBowker.

Tip #7 in the 10 Money-Saving Tips Challenge was included in the I Love You Like a Blogger round up at Enemy of Debt

Is Money Your Functional Savior was included in the round up at Personal Finance by the Book

Have a GREAT weekend everyone!

It’s been a great week!  My first post as a writer went up on Christian PF (see link below).  I’m excited about the opportunity to write for a great site like that.

The markets have been a little crazy this week and there still a lot of talk about our national debt.  The best thing we can do is focus on changes to our own personal situation. 

Anyways, This Week in Personal Finance takes a look at interesting articles, posts and news from the past week in the personal finance arena. 

So give these articles a click!

• NPR takes a look at the decade ahead in jobs - this is an interesting graphic that shows what they project to be the best and worst employement areas.
• The question of giving and tithing is an oft-debated one in Christians circles.  Questions of how much and to whom stir up lots of answers.  Craig from Money Help for Christians looks at a healthy view of Christian giving and tithing.  This is a great, in-depth post on the subject.
• Paul from Fiscal Geek takes a look at 10 Ways to Invest $100 - he covers just about anything you can think of to get you started.
• Miranda at Personal Dividends writes about  6 Things You Should Know About the 2010 Roth Conversion.  This was a very solid post.  For more on Roth Conversions, check out my guest post over at Wise Bread.
• This post from Linsey at Wise Bread was right up my alley – saving money on office supplies! 
• Matt from Debt Free Adventure shares some pretty common ways people get into debt and how to dig out!

Don’t miss out on another post!!  Get Redeeming Riches delivered to your inbox!

R2 on the Web

I’ve recently been “hired on” as a writer over at Christian PF – one of the leading Christian personal finance blogs out there! 

This was a great honor to be asked by Bob Lotich to contribute articles on a regular basis. You can check out my first on called Blueprint to Building Your Financial House!

Also, Tipd.com is a financial news website where users vote up their favorite articles.  My article 6 Ways to Find Free Money received enough votes to be the #1 article on Tipd’s Greatest Hits!  Thank you to everyone who voted for it!

That article was also included at Fiscal Geek’s Perma Friday Round Up and Canadian Finance Blog’s Friday’s Links post.

4 Money Lessons from a Fool was included in One Money Design’s Friday Round Up.

Have a great weekend everyone!!

Today’s the big day! We are finally closing on our new house.

We started the building process back in August of ‘09, moved into the inlaws basement and recently have been frantically trying to get a bunch of little things done so we can keep our closing date.

We locked in our rate back in November with a 45-day lock and today’s the last day!

But the house is ready, we’re ready and we’re so excited to get back to our normal routine!

Enough about us – let’s talk about some of the interesting discussions going on in the Personal Finance world this week!

This Week in Personal Finance takes a look at interesting articles, posts and news from the past week in the personal finance arena.  Give these articles a click!

• Joe Taxpayer is confused why so many Christians seem to look at all debt with such disdain and asks an interesting question, “Is Debt Anti-God?”
• Free Money Finance is a very popular and simple blog  that offers some very thought-provoking posts.  I like that.  This week he says that Those Who Give More Become Rich Faster.  I don’t think that should be our motivation to give, but he does offer a good look at the relationship between wealth and giving.
• Paul over at Fiscal Geek asks a questions we’ve all asked at some point in our lives, “Should You Save For Retirement While in Debt?”
• Kevin at Out of Your Rut asks another popular question, “Will A Million Dollars Be Enough to Retire On?”
• Free From Broke delves into the dark world of credit card reform to find some answers on how the CARD Act affects us.

R2 On The Web

My post about the 4 Questions You Should Ask Before You Buy Life Insurance was included in:

• Cavalcade of Risk from the Colorado Health Insurance Insider
• Canadian Finance Blog’s Friday Links

Ever wish you could have a financial “re-do”? We probably all have one or two things in our past where we wish we could go back and do it all over again. One of my major financial mistakes is retold over at My Next Buck.

Brian was gracious enough for me to share my experience of buying my first brand new car with a giant balloon payment at the end in his Financial Foul Up Series. Check it out.

This Week’s Links

Healthy Online Banks - Jim Wang over at Bargaineering takes a look at some healthy online banks as an alternative to your regular brick and mortars.  I didn’t realize until after reading the post that there have been 145 bank failures since the start of the credit crisis!

How Much Does Your Debt Cost – Matt Jabs tackles this one over at Five Cent Nickel.  After calculating how much his debt was costing him he used that as motivation to knock it out!  He challenges readers to do the same! 

Does Saver’s Remorse Exist? – Bob at Christian PF looks into ING’s tagline – “There’s No Such Thing as Saver’s Remorse” and shares his two cents.

If you haven’t yet, consider staying current with Redeeming Riches by receiving my posts FREE through email or RSS Feeds here.  Also, follow me on Twitter here.

If I knew then what I know now - surely I would’ve done things differently!

Every hear those words before?

Every say them!?

I catch myself saying them every now and then.

We all have various lessons we wished we would’ve learned at an earlier stage in life.

The great news is that it’s never too late to change.  It’s never too late in the game of personal finance to turn the ship around.

Money has a funny way of controlling us doesn’t it?

Our thoughts, our desires, our motivations – they are all impacted by our money.

Learning these lessons early on will help you stay in control of your money rather than letting it control you.

1. Spend Less Than You Make

I spent an entire post talking about this very point – so I won’t hammer it too much here.

At the core of our personal finance is this very thing – you cannot spend more than you make and expect to get ahead.

It’s so simple, so basic that it’s almost insulting to mention it – but time and again I hear from folks who just can’t seem to get this in their minds.

The earlier you “get this”, the better off you’ll be.

2. Pay Your Tithe First

The Bible talks about honoring the Lord with your firstfruits (Proverbs 3:9), which back in an agricultural society meant bringing your best produce and livestock to the Lord first.

In today’s economy, a practical application of this can be: the first check you write when you get paid is your tithe.

Giving back to Him is a natural response we have when we realize how much God gave us.

We don’t do it to earn God’s favor, but rather to show our gratitude for canceling our greatest debt.

Don’t wait til you “have money’ to give, because that day never comes.  Rather give back to the Lord first for He promises to provide for your needs.

3. Pay Yourself Second

After you give back money to the Lord, the next check you should write is to yourself.

This means you should have a set percentage or a set dollar amount that you save before you pay everything else.

Usually, if you don’t do it beforehand, what happens is that you may typically spend all of your money and by months’ end – there’s none left over to put into savings and investments.

Saving before your other bills – even if it’s only a small amount – will help establish a consistent pattern of savings and will also help you realize the importance of putting some money away.

4. Debt is Slavery – Not Leverage

This is something I wished I would’ve learned early on when I was in college.  The first day of school my freshmen year I signed up for a credit card mainly to get a free T-shirt.

Little did I know that a little plastic card would lead to thousands of dollars in credit card debt.  Unfortunately I thought that credit cards were a good source of leverage – and I paid dearly for those mistakes.

Using leverage to buy a home is something many of us have to do, but using leverage to buy everday items or depreciating assets is typically not a wise move.

The Bible illustrates a great point when it says that the “..borrower is slave of the lender” (Proverbs 22:7).

5. Contentment is a Jewel

One of the biggest reasons we take on massive amounts of debt and struggle to get ahead is because we lack contentment.

Contentment is defined according to Merriam Webster as:

feeling or showing satisfaction with one’s possessions, status, or situation

Whether in good times or bad, in excess or in want, when we learn how to be content with what we have, where we live and what kind of car we drive we can start making big strides with our finances.

Contentment is a rare gem in today’s society and an area I hope I can grow in as well.

Friday Finance Round Up is a weekly post that includes interesting articles and blog posts on money found during the week from across the web

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US Debt Clock - US Debt Clock.org

Wow!  This is disturbing!!

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 The Nefarious Hidden Costs of Debt - The Personal MBA

Are you an indentured servant to your creditors?

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Backlash Against AARP – Sound Mind Investing

SMI takes a look at why AARP members are canceling their membership.

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Credit Score Changes – Gather Little By Little

Lending institutions continue to tighten the belt, will these changes affect your score?

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How to Make Money on Ebay – Money Help For Christians

I’ve been wanting to do a post like this myself.  Great stuff from Craig on how to make some extra cash on ebay.

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Friday Finance Round Up is a weekly post that includes interesting articles and blog posts on money found during the week from across the web.

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Cash For Clunkers Suspended After Only a Few Days: Here’s Why - Bible Money Matters

Peter does a great job explaining this confusing government program and why it is being suspended.

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Hiding Debt From Your Spouse – Suburban Dollar

Unfortunately this is probably a more common phenomenon than one might think .

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10 Unhealthiest Restaurants – WiseBread

If you want to add some guilt to your dining pleasure, read the list of unhealthy restaurants.  Let the record show: I won’t stop going to Chili’s!

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How to Make Your Own Air Conditioner – Fiscal Geek

Wow! Talk about ingenuity.  Paul at Fiscal Geek shows a step-by-step process for those of you looking to really save some money on your electric bill this summer!

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Creative Way to Settle Debt – My Money Shrugged

I got a good laugh out of this.  Go figure that this guy supposedly sold this picture on ebay for $10 grand!

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I always get a kick out of watching kids use their imagination to play games.  My two-year old daughter is just getting to this imaginary and pretending stage. Her new thing is to pretend she’s sleeping when we go to get her out of the car.  When we are about to get her, she “wakes up” and yells “boo!” to scare us.  She gets a great laugh out of it every time and so do we.   

Let’s play a little pretend game for a moment and imagine that you had an average job making about forty thousand dollars per year, but you owed $80,000 on your Mastercard.  Your interest alone would be around $1,300 a month at a 20% rate.  You can hardly make the minimum payment and you’ve had to use your measley savings to keep up with the debt so now you are walking a tightrope.  If something goes wrong, you’d be in serious trouble. 

Then your worst nightmare happens.  Your company informs you they’ve experienced a downturn due to the economy and they had to make some cuts.  You recieve notice in your paystub that this would be your last check indefinitely.  They are closing down their doors.  Jobs are scarce and it doesn’t look like anyone will be hiring for a while. 

“How am I going to pay my bills, I can’t even afford the minimum payment on the credit card as it is”, you say to yourself.  Imagine the feelings and raw emotions you would have.  The utter despair, loss of hope and total despondency.  Perhaps you’d feel like you had the weight of the world on your shoulders.  You would have no freedom to enjoy life because you’d be a slave to your debt.  Feeling dejected, hopeless and overwhelmed you cry out for help. 

Suddenly, the phone rings.  It’s your credit card company.  “Oh great”, you say, “here come the debt collection calls already?.”  The man identifies himself as the CEO of Mastercard.  This has to be a joke you  think to yourself.  “I’m calling to let you know that you don’t owe us anything anymore”, the CEO says.  ”How could that be?” you ask, “That’s a lot of money I owe you.  You can’t just wipe it away?”  

“I’ve decided to pay the debt myself.  Your account balance is now $0.” explains the man.   You stand there in silence.  “It’s true” says the CEO.   You desperately want to be believe this, but it seems so crazy.  It just doesn’t make sense, why would he do something like this when you racked up all that debt yourself through foolish decisions?  The CEO repeats himself, “I’ve wiped out your debt myself, your account balance is now $0.”  “But sir, I don’t deserve this” you say with tears streaming down your face.  “I know, that’s why it’s called grace” says the CEO “consider this a gift from me to you.” 

Imagine the feelings you have after hearing that news!  You would be humbled the CEO’s generosity.  You’d probably feel the weight of the world lifted off your shoulders.  You’d have freedom to enjoy life again.  There’d be no more sorrow or despondency.  You’d probably tell everyone you knew about the CEO’s kindness and would do anything for that man.  You wouldn’t have to worry about trying to work harder to pay off your own debt because it’s been taken care of by someone else!  Your debt has been canceled!

Now, let’s step out of the pretend game and talk reality.  Every single one of us is in this situation whether we realize it or not.  We all have a major debt that we cannot repay.  In fact, this debt is way more than $80,000.  It’s called our sin.  The Bible uses the debt metaphor in a few passages to correspond to our sin (Luke 7:41-50; 11:4; Matt.6:12; 18:21-35).  Because it is an offense against a holy and just God, the debt must be repaid.  Our future is hopeless and we could never work hard enough to pay it back.  But, God in his kindness through the sacrifice of his only son Jesus Christ, extends grace to us.  Jesus steps in and pays our debt. 

Photo by: noe_carillo

What should our response be to the fact that God has provided a way for us to receive the forgiveness of our debts?  We should be humbled by His generosity and kindness towards us and put our faith and trust in Him.  We should live our lives to please Him and tell everyone we know about God’s mercy.  

Because of Jesus’ sacrifice on the cross, you are free from being enslaved to sin, you don’t have to worry about trying to work harder to pay off your own debt and appease God any longer.  Look to Him, Look to Jesus and put your faith and trust in Him today.  Friends, your debt has been cancled!!

A collective gasp was heard around the world last week when the news broke about the death of Michael Jackson.  Known as the King of Pop, Jackson was arguably one of the wealthiest and most popular musicians and artists of all time.   His legacy teaches us a great deal about life and money.

Photo by earnest70six

At one time, Jackson’s popularity and musical talent made him one of the richest artists ever.  During the 1980’s and ’90’s he regularly made over $50 million a year and earned $125 million in 1989 alone.  Most, if not all of us, will have no idea what it’s like to even come close to that kind of bankroll.  So how can a guy whose estate is estimated over $1 billion teach us about money?  Below are a few positives and negatives we should consider with our own money and finances:

Have an estate plan

Having an estate plan (at the very least a will) is a key component to a personal financial plan, especially those with young children because they can name a guardian in the will.  Other key components to a good estate plan include a living will, durable power of attorney, health care directives and possibly a trust.  Michael took the right steps in setting up a will and trust to make his estate settlement an easier process.

 Be charitable

During his lifetime, Michael Jackson supported a wide range of charities with both his time and his money.  He earned a spot in the 2000 edition of the Guiness Book Of World Records for the “Most Charities Supported By a Pop Star”. It is reported that Michael supported some 39 charities. 

We often limit our joy in life because we hold on so tightly to our money thinking that it will make us happy, when in reality our lack of generosity is the very thing that robs us of experiencing a deep joy that God originally intended. 

Care for the needy

Jackson regularly helped the poor and needy.  According to Wikipedia,  Jackson founded the Heal the World Foundation in 1992. “The foundation’s creation was inspired by his charitable single of the same name. Through his foundation, Jackson airlifted 46 tons of supplies to Sarajevo, instituted drug and alcohol abuse education and donated millions of dollars to less fortunate children, including the full payment of a Hungarian child’s liver transplant.”

Learn financial responsibility at a young age

According to Michael Jackson’s former Financial Adviser, Alvin Malnik, Jackson had no idea how to make good financial decisions. ”I think that Michael never had any concept of fiscal responsibility. He was an individual that had been overindulged by those that represented him or worked for him for all of his life,” Malnik said. “Millions of dollars annually were spent on plane charters, purchases of antiques and paintings.”

It’s never too late to start learning about fiscal responsibility.  There are a number of great personal finance blogs as well as other resources that can help you get started.  If you are a parent, be sure you stress the importance of fiscal responsibility to your children.  They will be glad you did.

Don’t spend more than you make

Many people make the mistake in believing that the more money you make the easier budgeting becomes.  This is true in theory, however, in practice it is not.  You can find story after story on the web of wealthy celebrities filing for bankruptcy.  Why is this?  It’s because getting yourself in a good financial position at the end of the day comes down to one simple thing:  Spend less than you earn!

It doesn’t matter how much you make.  If your outflows are bigger than your inflows you will have financial trouble.  Michael Jackson ran into this same issue.  Here is an excerpt from Michael Jackson’s Money Troubles, a CNN Money article posted in June 2005 when Jackson was going through his legal troubles:

The King of Pop, for all his assets, spends far more money than he generates these days, according to an expert who testified at Jackson’s trial. His legal costs alone topped $20 million in recent years and Jackson had more than 60 outfits made for his daily court appearances, according to CNN.com.

Don’t believe that money will buy you lasting happiness

One of the root causes of people spending more than they make and over-indulging in things they cannot afford is a desire to fill a void in their life.  There is no question that there is a certain level of happiness derived from buying and using a new item, however, it doesn’t take long for that feeling to wear off. 

Buying “stuff” does not bring lasting joy because it wasn’t designed to bring lasting joy.  I made a point in an earlier post that happiness derived from money is fleeting.  We were made to find our full joy, satisfaction and treasure in worshipping and being in relationship with our great God. 

Bottom line

Money is a tool that can be used for good or for evil.  It can be used for the betterment of others or the detriment of ourselves.  Gaining control of our finances and recognizing the purpose behind our money will help us keep a proper perspective, avoid massive debt, and use it to help others. 

At the very least everyone should have a solid, actionable financial plan that helps you create a budget, spend less than you make, give generously to others and save and invest for the future – all of which will glorify God when done with the right heart motive.

With credit playing “hard to get” during this most recent economic downturn and lenders raising their standards for doling out cash, it’s more important than ever to boost your odds of getting a loan with a good credit score.  Here are five tips to help improve your score and give you a greater chance of getting that cash you may need.

A. Annual Check Up

Getting an idea of what your credit score is has become so much easier now with government legislation that gives everyone the right to request one free credit report each year.  I highly suggest visiting annualcreditreport.com to request your free copy.  Knowing where you are will help determine your next steps.

B. Be Punctual

This is so simple, yet it’s amazing that many folks think being a couple weeks late on their payment is no big deal as long as they are paying something.  According to CNN Money, ”someone with an average credit rating of 707 can raise their score by as much as 20 points by paying all their bills on time for one month.” 

C. Clean Up Errors and Old Information

Check you report carefully to see if there is any outstanding information that shouldn’t be showing up.  Perhaps an old doctor bill or credit card still shows a balance.  You’ll want to check for accurate credit limits from your card issuers as well.  These things can typically be taken care of with a phone call to one or more of the reporting agencies. 

Experian – 888-397-3742
TransUnion – 800-916-8800
Equifax – 800-685-1111

D. Don’t Close Old Accounts

This may seem counterintuitive, but closing old accounts will actually hurt your score.  This is because the reporting agencies want to see a nice long history of using credit.  According to Fool.com, “lenders take a hard look at the ratio between the balances on your revolving accounts and your total available credit. If you do have debt, try to keep it to less than 30% of your available credit.”  If you start closing your accounts, your debt-to-available-credit ratio goes up and impedes your score.

E. Eliminate Debt

As mentioned, lenders typically like to see a debt ratio of 30% or less.  No debt would be ideal!  Get serious about improving your credit score by getting serious about eliminating debt, especially paying down those credit cards.  Managing your debt responsibly will help boost your score tremendously.

Breakdown of How Credit Scores Are Calculated:

Improving your credit score won’t happen over night, but with simple discipline and some practical steps you can start seeing improvement in a very short time.