Lay Away is back

It's no longer unfashionable to be thrifty- we are all trying to save money and cut back. With the holiday season right around the corner and holiday sales predicted to be sluggish, stores are getting back to using LAY AWAY- Kmart is already running commercials for the holiday season. I think this is a great way to start your christmas shopping- most of us don't have the discipline to save for a christmas fund and end up using our credit cards- which ends up costing a lot of money through the high interest we pay. Lay away allows you to set up a payment plan in the weeks leading up to christmas. You receive your items when you make your last payment- usually just in time for Christmas. If you like this idea, consider looking into it soon. Here are the terms of the Kmart Layaway program.

Oh and PS Use your cash flow to make these payments, not your credit cards ( unless you DO pay off your credit card each month)

Open Enrollment

The season is upon us for open enrollment. Time to make sure all of your benefits are up to date and to make any changes.
One of the biggest missed areas is short and long term disability. Remember, your income is your biggest asset- if your ability to wake up and go to work to earn your paycheck is compromised, that can be HUGE financial problems. Did you know that 48% of foreclosures result in disability? Only 2% result from death, but more people life insurance than disability insurance.
Make sure you are enrolled for both- if STD is expensive and you have at least 6 months of expenses in a cash reserve, you can consider skipping, but never skip the LTD- it is almost impossible to insure yourself against a permanent disability.
Most LTD lasts until you are age 65 and can pay anywhere between 50-66% of your income- make sure to opt for the max!
If 66% is not enough, you can also purchase private disability policies to cover more of your income. Another big advantage of private vs. your group disability policies is occupation protection.
Also, if you are pregnant, short term disability can be very valuable if you encounter any pregnancy complications or need time to recover from childbirth!