In many cases, the new spirit of frugality is not necessarily born out of financial necessity, but also out of a desire to simplify life, avoid excessive consumption and focus on what’s really important – family, friends and community.

If you’re an adult over 50, maybe you’re exploring the hidden treasures of your own region instead of taking exotic vacations. Maybe you’re barbecuing with friends in the backyard instead of going out to eat. Maybe you’re spending more time playing with your grandkids instead of buying them the latest electronic gadgets.

In short, you’re trying to cut back on spending without sacrificing quality of life. Here are five tips to help.

Examine recurring expenses.

It’s easy to overpay for utilities and other recurring expenses if you don’t periodically review your options and make sure you’re getting the best deal. Many utility companies offer senior discounts, for example, but you have to ask. Also consider a lower-cost no-contract cellphone plan. Consumer Cellular, for example, offers a variety of affordable no-contract voice and data plans that can be changed without penalty at any time. You’re never locked into a plan that forces you to pay for more service than you need, and complementary usage alerts mean you don’t have to worry about accidentally exceeding your maximum allowance. Flexible family plans where couples and families share minutes can save an additional $20 to $30 per month.

Increase energy efficiency.

Another way to reduce your bills is by increasing the energy efficiency of your home. You can unplug battery chargers when not in use, turn off appliances rather than leaving them in standby mode, use energy-efficient light bulbs and turn off the lights when you leave a room. If you’re able to invest a little to ensure longer-term savings – whether through weatherproofing or upgrading aging appliances – you can schedule an energy audit to find out how to get the biggest bang for your home-improvement buck.

Be a smart shopper.

If you’re not into clipping coupons, that’s OK. There are other ways to save. For example, try store-brand products rather than automatically reaching for the brands you’ve always purchased – in many cases, you won’t be able to tell the difference. Buy in bulk if you use large quantities of something. Watch for sales on items you purchase regularly, but don’t buy something just because it’s on sale – if you wouldn’t have bought it otherwise, you’re not saving money. For bigger-ticket items, be sure to comparison shop to make sure you’re getting the best price. Websites such as pricegrabber.com allow you to research numerous retailers without leaving your home.

Take advantage of free entertainment.

Wondering what to do this weekend? Low-cost, or sometimes free, options are abundant. Check the events sections of local newspapers and websites to see what’s happening in the area – festivals, exhibits and other special events are often free, and high schools and colleges frequently host sporting events, plays, concerts and lectures that are open to the public. Libraries are also an excellent source of free entertainment – you can try out new authors, artists and genres with no risk by borrowing books, audiobooks, DVDs and CDs instead of purchasing them. You might even meet some interesting people while you’re out and about in the community.

Reassess your gift-giving habits.

If you’ve ever found yourself rushing to the mall to buy a last-minute gift for a loved one’s birthday, chances are you’ve spent more than you originally planned, settled for something you suspected the recipient might end up exchanging, or avoided the decision by purchasing a safe but impersonal gift card. However, most of us don’t really need more things. Instead, consider giving your loved ones the gift of a shared experience. If your grandson loves animals, take him to the zoo. If your sister is into jazz, take her out for an evening at a jazz club. Of course, you might not end up spending less money this way – experiences come in all price ranges – so do keep your budget in mind. The point is that instead of wasting money on something that might just sit in the garage for years, you’ll enjoy a meaningful experience together. And that’s what quality of life is all about.

Provided by: ARA

Indeed, according to the U.S. Small Business Administration, small business owners employ half of all private sector employees, pay 44 percent of total U.S. private payroll, and have generated 65 percent of net new jobs over the past 17 years.

The challenge before American small business owners is keeping their companies financially healthy long-term. This is so that small business owners do not over-rely on the sale of their business alone to take care of them in retirement, and so the business will continue to remain a viable employer in the communities it serves.

Because small business owners and entrepreneurs are busy every day working to keep their businesses running strong, their schedule can often interfere with planning for the future. But in this economy, planning is a must in any business strategy. Without it, business owners may be surprised to find that the ultimate sale of their business may not leave enough for them to live on. This is because the sale timing might be off, or their finances are not strong enough to cover a full retirement.

“Setting a target number – or dollar figure of what is needed to live on for the rest of your life – is important, and it should be determined at least 10 years before you’re ready to retire,” says Tara Reynolds, corporate vice president with Massachusetts Mutual Life Insurance Company (MassMutual). “And as you approach retirement, it’s also a good idea to re-calculate what the business is worth with a proper business valuation to determine how you will need to fund your non-working years, if the value has changed. Having this plan and expectation in place can help you determine the best way and time to retire from your business.”

The average business owner expects to retire at age 68, according to a survey conducted by GfK Custom Research North American for MassMutual in 2011. Yet only one-third of the respondents had a sound retirement strategy to ensure income for life, having access to income when needed, managing potential health care expenses and leaving a legacy to the next generation.

MassMutual financial professional Katheigh Degen of  Kansas City offers the following tips to help small business owners stay financially secure during the run up to retirement.

* Anticipate needs – Traditionally, most people need about 70 percent of their current annual income to live comfortably in retirement. Know what your business is worth – both as one entity, and also broken down into smaller parts. Only about 10 percent of business sales involve the entire business as one lump sum.

* Save on the side – You’ve probably heard about diversifying your portfolio, and the same is true with diversifying your retirement plan. Put aside 20 to 25 percent of your gross income in savings outside of the business. This provides you with flexibility as you plan your exit from the business. For example, if you have an heir or employee interested in purchasing the company, they might not be able to afford it all at once, but could take over the helm with smaller payments over a period of time. Having additional savings can help you tide over in retirement while you also receive payments for the business.

* Explore options – As you near retirement, selling off your business in one setting would make everything easy. But as mentioned earlier, it doesn’t always work that way. Knowing your business’ value can help you evaluate offers that come your way, so you can make an educated decision on whether to sell and live comfortably in retirement, or keep working and pursue a better offer.

* Don’t wait too long to find a buyer – Within three to five years of retirement, business owners should start to find a buyer for the business. Of course, this plan demands that the owner set an expected retirement date and stick to it. By waiting too long, owners may begin to experience poor health and low energy, which could affect productivity and potentially the profitability of the company.

Planning for retirement is so crucial, and owning a business can often add complications in timing the retirement perfectly.

“Business owners put so much hard work into building the business and making it strong and viable in the market,” says Degen. “With additional planning in retirement strategy, a good business owner can retire and see the business continue to succeed even after it has been transitioned over to new owners.”

The tight job market can be especially hard on job seekers with 15 or more years of work experience. As they look through posted jobs, they often find entry-level openings that require less education or experience than they have accumulated. Sheryl Decker, director of Career Services at Brown Mackie College – South Bend, offers steps that can help overqualified job seekers find employment.

“An overqualified job candidate is someone who has too much education or experience, or can be too highly-paid for the position sought,” Decker says. “When employers review a resume, they first tend to weigh the level of education and a candidate’s past experience against the job opportunity. If the candidate possesses qualifications that are higher than the position requires, a manager may set the resume aside.”

An overqualified applicant can raise a red flag for a number of reasons. Employers generally attach a negative connotation to overqualified candidates because they feel the candidate:

• May leave as soon as he or she finds a job commensurate with the higher qualifications.
• May continue looking for employment with a higher salary.
• Has never been promoted by previous employers.
• Has not explained why he or she seeks a lower level position.

“The employer’s top priority is to make the right hiring decision. It costs money to hire and train a new employee, and it is beneficial to the organization when the employee comes on board for the long haul,” Decker says. “It can be scary for an overqualified person who isn’t finding job openings that match their credentials.” How can you overcome this negative perception?

Change the format of your resume

“If you have a lot of skills, it can be helpful to organize your resume into a functional resume format,” Decker says. “Rather than presenting information in chronological order under each position held, highlight your skills and accomplishments as they pertain to the position you are seeking.” You can include the companies you have worked for in the past without emphasizing titles that may raise concerns. Quintessential Careers, a website dedicated to empowering job seekers, supports this tactic for overqualified applicants.

Customize resume to each specific position

“Tailor each resume to include the attributes the prospective employer seeks,” says Decker. “Highlight the things that show you are qualified, not overqualified.” Be sure to include characteristics of your personality that show you are motivated, a team player and dedicated to performing the job effectively. Along with a positive attitude, these soft skills can help define you as an asset.

Call on your professional network

Never underestimate the importance of joining a professional association. “People who know you can vouch for your experience and value to the company, even though your qualifications may be higher,” Decker says. “This is one of the best ways to overcome negative perceptions.”

Honesty is the best policy

“Prospective employers call your references, check your background and criminal history, and speak with the company where you last worked. Be honest about the reasons you left, and make it known that you are flexible about salary in a new position,” Decker says. “Today’s economy makes this a reality.”

Above all, focus on how your learned skills can benefit the company. Employers want to provide good service to customers in a positive atmosphere for employees.

“Since the January 2012 transition from paper to digital savings bonds, account openings on Treasury’s retail website, TreasuryDirect.gov, have increased 9 percent,” says Jerry Kelly, national director of the U.S. Department of the Treasury’s Ready.Save.Grow. campaign. “In many cases, people are opening an account for themselves as well as their children to give relatives and friends a convenient way to give gifts.”

Ready.Save.Grow., a Treasury educational effort to encourage more people to save for their future, provides information on how to open a TreasuryDirect account for you and your children. The campaign also offers these timely tips as you prepare for the upcoming season of graduations, weddings and other gift-giving occasions:

Tip 1: Invest in savings bonds for your child’s future by opening a free TreasuryDirect account.

For as little as $25, you can buy a safe and affordable savings bond – a guaranteed investment – for your child. To enable your child to receive savings bond gifts, open a child’s account within your own TreasuryDirect account.

Tip 2: If family or friends offer to help with your child’s future education, think savings bonds.

When you think about saving for your children’s education, remember that savings bonds offer many advantages, such as:
* Bonds earn interest for up to 30 years.
* The interest earned is exempt from state and local income taxes.
* The interest earned by eligible owners may also be exempt from federal income tax if bond proceeds are used to pay for qualified education expenses. See the TreasuryDirect website for more information on this feature.

Tip 3: Set an example by giving savings bonds to the children of family members or friends.

Start a trend and invest in the future of the kids you know – buy savings bonds in their names. Your family and friends will thank you. To gift a savings bond, you’ll need to log in to your TreasuryDirect account to make the transaction. It’s important to know the recipient’s full name and Social Security number ahead of time so you can complete the gifting process in a few simple steps. Also, be sure to print out a themed gift certificate to include in your card or present.

Tip 4: Encourage your adult son or daughter to list savings bonds on their wedding gift registry.

Even though your son or daughter may be eager to receive new dishes, silverware or linens, a savings bond will be the gift that keeps on giving in the future. When the savings bonds mature, the couple will welcome additional funds for a major purchase, their children’s education expenses or as a supplement to their retirement savings.

Tip 5: Use the gift of a savings bond to teach your child about the importance of saving and financial planning.

Receiving a savings bond for the first time is a great way for your children to learn how to take control of their financial future. Use the gift of a savings bond in your child’s name as a way to educate him or her on the value of money and help sharpen financial planning skills.

The preceding information was provided by the U.S. Department of the Treasury, Bureau of the Public Debt.

TreasuryDirect is a registered mark of the U.S. Department of the Treasury.

Ready.Save.Grow. is a service mark of the U.S. Department of the Treasury.

If you haven’t considered yourself as a candidate for estate planning, you might be underestimating the value of your assets. In fact, you might think of items like your home, your car and your life insurance simply as part of the background of your life, but they are, in fact, assets – and valuable ones at that. And if you’ve underestimated your need for putting together an estate plan, you’re not alone. The unhappy result of failing to plan may be unnecessary fees, expenses and delays at a time when your loved ones are struggling to cope with loss.

“As many as 120,000,000 Americans do not have up-to-date estate plans,” says Clark McCleary, president of the National Association of Estate Planners & Councils (NAEPC). “That makes it one of the most overlooked areas of personal finance, but it’s also one of the most important. Estate planning protects you, your family and your family’s future, so it shouldn’t be put off.”

The complex nature of planning your estate might put some people off, but in that situation, a professional, Accredited Estate Planner (AEP) can simplify the process.  Working with a team of professionals ensures that your plans are streamlined, understandable and clear-cut, to avoid confusion down the road. The NAEPC makes it easy to find vetted professionals in your area with a search tool on its website.

The economic challenges of the past few years have shown many Americans the importance of saving and making well-considered financial decisions.  Even as awareness has grown, programs that support the development of financial literacy have also gained traction. As important as it is to create and maintain a household budget and use credit wisely, it’s equally essential to include estate planning as part of an overall understanding of personal finances.

For most people, the human element of estate planning is key, but it sometimes gets lost in the discussion of accounts and numbers. The most important thing to remember is that planning your estate well ahead of time – when you’re feeling your best and when you’re calling the shots – ensures that your goals will be accomplished.

Though young people often don’t feel the need to take action, a well thought out plan is the best way to ensure that your wishes, from guardianship of young children to charitable intents to caring for older parents, are carried out the way you want them to be. Your plans can always be updated as life’s inherent changes alter the landscape, but establishing a starting point that clearly represents your wishes is the first step that needs to be taken.

Giving yourself and your family peace of mind about the financial concerns of the future is a great gift. If you’ve never considered an estate plan, speaking to an Accredited Estate Planner can help shed light on how a plan can benefit you and your loved ones for years to come.

Provided by: ARA

The allure of smartphones may be hard to resist, but more than one user has been hit by “bill shock.” Consumers experience bill shock when they receive a bill that is significantly higher than what they were expecting. Many monthly service plans include a maximum level of data usage. Once customers surpass that threshold, the overage charges start piling up, and the final tally can be hard to swallow. Taking a few precautions can help keep costs under control:

1. Be selective with your usage. Smartphones are great tools on the go, but some activities are best left to other devices, like your tablet PC, laptop or PC. Frequently streaming music and videos will take a huge bite out of your monthly data allowance so it may be best to save these activities for devices that are not tied to your cellphone plan.

2. Be realistic about your data needs and then select a plan that best meets your data consumption. Consider whether you’ll be streaming music or videos, downloading apps or games, sending photos or documents, surfing the Web or checking email. Each of these activities requires bandwidth, some more than others.  Just looking at the weather or other news doesn’t use much data – the activity that really racks up the dollars is streaming and downloading files.

3. Use Wi-Fi when you can. Data accessed with a Wi-Fi connection won’t count against your cellular service data usage. If you have a wireless router at home, simply switch over to Wi-Fi. If you don’t have Wi-Fi access at home, there are plenty of cafes, bookstores and other community gathering places that offer free (or nearly free) Wi-Fi.

4. Consider no-contract cellphone plans. Major carriers typically offer the “best” prices with a two-year contract. However, you can expect a stiff penalty if you need to break the contract, as well as steep overage charges if you exceed your plan’s limits. Instead, choose a no-contract cellphone carrier that allows customers to change their plans as often as necessary, without penalty, enabling them to capture the best rates for their usage needs.

5. Monitor your usage levels. If you haven’t used a smartphone yet, it may be difficult to determine an accurate estimate of data requirements. Check with your carrier about enabling usage alerts to notify you when you are getting close to your plan’s limits. With some service providers, like Consumer Cellular, you’re automatically opted-in to the alerts and get notified when you’re approaching, are at and have exceeded your limits. The company sends alerts at 75 percent, 100 percent, 125 percent and 150 percent to give customers plenty of time to change or modify their plan to avoid overage fees. There are also free smartphone apps that help you monitor your usage.

Owning a smartphone doesn’t need to be a budget-buster. With just a few simple tips, users can keep their bills in check while enjoying the convenience and capabilities of their mobile devices.

Provided by: ARA

Here are some ways to prepare for the spring and summer seasons with just a few simple steps:

* Plans – Sketch out those garden plans, and pick the plants that can be purchased or grown from seed. Plans don’t need to be drawn to scale, but they’ll provide great background information for a shopping list. Research how early seedlings should be started, so they’ll be ready for transplant when the time arrives.

Also create plans for any home projects that need to be accomplished. The depth of those plans depends on how complicated the project is. Make certain all permits are in order, if required by the community; and if a contractor is needed, a formal agreement and timeline is in place prior to work commencing.

* Lawn tools – Check pruning shears for sharp blades – and either sharpen or replace them if they don’t easily cut through a small stem of plant material. Also, review lawn mower blades. Check the oil, gasoline and starters on all gardening machinery to ensure they’ll run correctly when needed.

* House tools – A review of all home tools helps to determine if any new purchases – or replacements are needed. This is the perfect time to head to the store and purchase missing tools, add new blades to saws or replenish the sandpaper stash – eliminating wasted time running back and forth to the store.

* Hand tools – A little care can go a long way in keeping your hands and feet – the most valuable tools found in every household – in good shape after the long, dry winter months. These tools are vital to accomplishing everything on those garden and home project lists, and they are often forgotten. O’Keeffe’s Working Hands and O’Keeffe’s for Healthy Feet are both guaranteed to effectively relieve dry, cracked skin in even the most extreme cases. And just a little bit of the highly concentrated, hypoallergenic and odorless creams is needed. Start every project off with healthy hands, and keep them that way throughout the entire season of projects. It’s the best cream for dry hands – especially after the long and dry winter months.

* Materials – As the project season gets closer, start purchasing the materials needed ahead of time. This helps to spread the cost out, and can give an idea of how much time and effort the project will take to be completed. Get started now in matching colors, finding the perfect accessories and even price-comparing between different suppliers to help save money.

For homeowners who haven’t experienced the warm-weather-project itch quite yet, it’s still a good idea to start thinking about those items on to-do lists to help with being prepared and ready to go when the season arrives. It doesn’t take a lot of energy to have a successful spring and summer project season. Don’t forget O’Keeffe’s Working Hands and O’Keeffe’s for Healthy Feet to keep hands and feet in healthy shape to tackle any job.

Consider these home improvement solutions to take a huge bite out of your energy bill:

Tip 1: Assess the roof

The sun’s rays beat down on your roof, increasing the temperature in your entire house. Your air conditioner has to work hard to counteract these intense temperatures and that means a high energy bill. The best way to defend your home from this type of heat is to install a radiant barrier in your attic, especially if your AC unit or ductwork is present.

A radiant barrier, such as Enerflex, reduces heat transfer between your roof and the attic floor where insulation is typically installed. Enerflex can reflect up to 96 percent of the radiant heat energy from the sun back through your roof, making your attic space up to 30 degrees cooler. A cooler attic leads to a more comfortable and consistent temperature throughout your home and a decreased workload on your air conditioner and other appliances. This also leads to a lower utility bill.

Tip 2: Look for leaks

No matter what time of year it is, having even small leaks in your windows or doors is like letting money, literally, float away. Just an 1/8-inch crack all the way around a doorway creates the same air loss as a 6-inch square hole in the middle of your door, according to the Edison Electric Institute.

There are various ways to check for window and door leaks, from holding a candle flame near the crack and gauging how much the flame moves to sliding a piece of paper through the opening to see if it catches or tears. If you find a leak, the easiest solution is to add weather-stripping around doors and to caulk windows. Remember to check once a year to see if any repairs or replacements are needed.

Tip 3: Swap the bulbs

You’ve likely heard plenty about switching to more energy efficient light bulbs, but maybe you’re not sure if it really makes a difference. Consider this: homes that use Energy Star-qualified light bulbs use about 75 percent less energy than traditional incandescent bulbs and they last at least six times longer.

Additionally, an incandescent lamp is really more of a heater than a light, with nearly 90 percent of the input energy being converted and lost in waste heat rather than light, according to the Environmental Protection Agency. All those little heaters warm up your home fast and you have to turn on fans and your air conditioner to regulate the temperature. Switch your light bulbs and the savings will follow.

Keeping energy bills low is a challenge, but with the right strategies you can reduce your bill and help the environment, a win-win for everyone.

One area of disaster planning too often minimized or overlooked is financial data. “Saving and protecting your financial information can take some time,” says Jessi Dolmage, spokesperson for TaxACT. “But that information can impact how quickly and extensively you recover from a natural disaster.”

Dolmage recommends starting with a room-by-room inventory of personal and business belongings. Document, photograph or video record belongings – especially those of higher value – for proof of value for insurance, tax and casualty loss purposes. Visit www.irs.gov for Internal Revenue Service (IRS) workbooks and Publication 584 for inventory resources.

Next, save electronic copies of inventory and other documents on an external drive, CD or secure website. Documents should include home closing statements, homeowner and other insurance records, tax returns and W-2s. Consider keeping copies in multiple locations.

The IRS often grants extended tax return filing and payment deadlines, as well as lesser or waived penalties, to individuals and businesses in federally declared disaster areas. You don’t typically need to contact the IRS for tax relief, as the agency automatically identifies the areas. However, you should call the IRS disaster hotline if you have property in the designated area but reside or have a business outside the designated area. If you move outside the declared area, be sure to notify the IRS of your new address.

Casualty losses related to your home or business, household items and vehicles not covered by insurance or other reimbursements may be deductible on your federal tax return. Depending on when the federally declared disaster happens, you may have the option of claiming related losses on the previous or current year’s return.

Casualty losses for federally declared disasters can be claimed as a miscellaneous deduction. If you claimed the standard deduction last year and your casualty loss plus other itemized deductions total more than the standard deduction, you may benefit more by amending last year’s return.

Amending last year’s return can mean faster cash for repairs, rebuilding and replacing personal property. However, depending on your income the year of the disaster, you may increase your tax savings by waiting to claim losses on the current year return.

To determine an item’s deductible amount, subtract any insurance reimbursement from the value of the item (accounting for normal wear and tear or progressive deterioration) and then subtract $100. After totaling all losses, reduce the amount by 10 percent of your adjusted gross income.

“As with all deductions,” Dolmage reminds, “be sure to keep detailed documentation and receipts for each casualty item you claim.”

More disaster preparation tips and resources can be found at www.irs.gov. For step-by-step guidance for claiming losses on current and previous year returns using TaxACT, visit taxact.com.

By doing the little things to maintain your car on a day-to-day basis, you can do everything in your power to make your car last long past the day you make your final payment on that car loan.

“Time and miles are the two forces fighting to destroy every car,” says Tom Taylor, engineer and vice president of RockAuto.com. “Giving the car an occasional wash and wax is nice but really not as important as regular maintenance. Driving and maintaining your car as if it needs to last for at least 200,000 miles or 20 years is a smart way to preserve the value of an expensive asset.”

Storage

If you have a garage, make it your car’s permanent home. Reserving a garage space for your car instead of household items that could be stored elsewhere will help you avoid the accelerated wear and tear caused by prolonged exposure to the elements.

If you store your car in a partially protected carport or use a car cover, regularly inspect underneath your hood for signs of vermin. “I recently needed to replace a fuel injector connector that a rat gnawed off our 20-year-old family van after it was left unattended in a carport for just a few days,” says Taylor. “Rats and mice like a nice warm engine bay and they chew constantly to wear down their ever-growing teeth.”

Scheduled maintenance

Your car’s maintenance, engine oil, radiator antifreeze and other components might differ significantly from your last car. Following the maintenance schedule laid out in your owner’s manual is important to protect your vehicle. The photos in the RockAuto.com online auto parts catalog can help you become familiar with the maintenance parts for your specific car. Making sure items like filters, struts and brake pads are replaced when needed will help protect other components, saving you money and unnecessary wear.

Drive smart

Occasionally kicking up your heels is fine, but consistently accelerating too fast can put unnecessary strain on your engine and other moving parts. Stopping or cornering too quickly can prematurely wear out your brakes and suspension. If you’re starting your car in the cold, take it easy at first – letting your car idle won’t help protect your car, but driving a little more methodically than usual while your car warms up will.

Drive less

You don’t need to cut out the annual family road trip – highway miles are among the easiest miles you can put on your car. But eliminating unnecessary trips in everyday life can have noticeable results since the starting and stopping associated with short trips can be tough on your car. Take care of all your errands in one trip, walk with your kids to school if it’s close to home or ride the bus to and from work. If you can cut down on driving by 5 miles per day for 10 years, you’ll save 18,000 miles of driving. Taylor estimates that those miles are worth $4,000 in parts, depreciation and gas. Not only will you save money, but you’ll also put less stress on your vehicle, which should extend its lifespan.

When shopping for a new car, you might be able to save hundreds of dollars by comparison shopping and finding the best price. But good maintenance and driving practices can save you thousands if it means you won’t have to buy another car for 20 years.