Farnoosh Torabi's Blog, page 46

Debunking Car Mileage Myths

[image error]What do you really know about your car’s fuel economy?

The price of gasoline continues to rise, according to the Energy Information Administration, with regular gas costing an average $3.75 per gallon. That’s  up 16 cents from this time last year and up 14 cents from just last week.

As the summer nears, many drivers are more and more concerned about prices at the pump. In fact, according to a May survey by Consumer Reports, 37 % of respondents said their leading consideration when shopping for their next car will be fuel economy.

But according to car buying site Edmunds.com, lots of Americans get caught up on mileage myths, unfounded beliefs that wind up costing you more at the pump.

Here are the top three mileage myths.

Myth #1 – Fuel Economy Is Everything

Fuel economy gauges, how many miles cars get to the gallon, come standard and typically run high so it’s not the best indicator. In fact, Edmunds testing revealed some gauges claiming fuel economy 19% higher than their actual result. Experts say calculating gas mileage manually is the most accurate way to monitor your car’s fuel economy and when buying a car, check with a source besides the dealership such as Fuelly.com for a more accurate reading.

Myth #2 – Cheap Gas Will Wreck Your Car

In a blind test of both major and independent gas stations, experts found no difference in the car’s performance. Modern engines are able to adjust for variations in fuel, so most drivers won’t notice a drop off in performance between different brands of fuel, says Edmunds.

Myth #3 – Lower Octane Gas Will Wreck Your Premium Car

The average national retail price of premium self-serve gasoline is currently $4.16, $0.41 more per gallen than the regular stuff. Wondering if your car can run on regular gas, despite the manufacturer’s recommendation? Again, engine technology has come a long way. If your owner’s manual simply recommends premium gasoline, the car will typically run on regular without knocking. But note: Its performance will suffer slightly, about half a second slower when going from zero to 60 mph (A big deal if you’re drag racing to work every morning.) Edmunds has useful lists of cars that require premium gas and others where it’s just recommended.

Photo Courtesy, futureatlas.com.

9 Tips for Better Email Ettiquette

The average worker spends 28% of her work week managing email. And now that electronic mail has replaced most forms of business communication, surpassing the phone and even in-person meetings, it pays to pay attention to your form.

Are you addressing your boss or co-workers in a manner that fits your message?  Are you clogging up your client’s inbox with unnecessary attachments? Are you being perfectly professional… or too stuffy?

Here’s what your email says about you — and some tips on how to be a more effective communicator:

Stop the Urgency

Labeling your email as “urgent” can come across as presumptuous and ineffective, as many people don’t pay attention to the urgency level of an email, anyway – and, of course, everyone views priorities differently. Instead, experts recommend putting a signifier in the subject line like “IMPORTANT: Mailers Sent Late” or “Urgently Seeking Candidates” instead of a vague subject line coupled with a “red flag,”  as such things can easily be overlooked. Speaking of which, make sure to…

Use an Effective Subject Line

Nothing’s more frustrating than searching through emails you can’t find because important information got buried in an unrelated email chain, or a single email chain has gone on so long it’s 20 pages and difficult to scroll through. Start off using a short, but descriptive subject line that summarizes your question or comment, like “Available for an Interview?” or “Lunch on Wednesday.” Try sticking to one subject per message, and re-title the email chain if you get off topic.

Use Proper Grammar, Capitalization and Spelling

IF YOU HAVEN’T NOTICED, USING ALL CAPS LOOKS LIKE YOU’RE SHOUTING (and using all lower-case can be viewed as unprofessional or lazy). An informal approach to language and style is typical for email, but being sloppy is not — so when writing to a client err on the side of traditional grammar, formatting and spelling (even when your colleagues are not being so careful).

Sign Off Smart

How you sign your name to an email can say something about the tone of the letter, and even something about your personality. Not every sign-off is appropriate for business and the same goes for your personal email, too.  You’d never sign “Love, Sarah” (not seriously, at least) to a colleague, nor does signing with “Sincerely” or “Best Regards” seem appropriate for friends or colleagues you work with everyday. When in doubt, go with a simple, “Best,” or, simply put your name or  initial.

Avoid Long Signature Stamps

Company logos and boiler plates are great for making introductions, but adding inspirational quotes or images to your signature can be tedious and a total waste of space. Images often get sent as attachments, and don’t render properly on the other end so it’s safe to assume your signature never appears properly for the receiver; and on top of that, it can confuse an email client’s search function when you’re trying to find legitimate attachments like photos or documents.  Traditional email etiquette dictates a signature of no more than four lines — and text only.

Not Too Short, Not Too Long

Avoid one-letter or word emails like “K,” “ok” or “Fine.” They can come across as lazy or terse, or can send the wrong message.

At the same time, long-winded emails that are twice as long as they need to be to explain a situation or a screw-up at work, for example, can come across as overly defensive or belaboring a point. If there’s more to say to your boss than a simple, “I’m running late for today’s meeting, hopefully no more than 5 minutes. My apologies” — save it for in-person.  Then again, if you make a habit of being late and it’s an important meeting, you may need to say more.

Be Nicer Than Usual

Emails, texts and chat platforms are convenient, but words often get distorted. Something like, “Yeah, sure” could be interpreted as “uh huh. buzz off.”  Without a facial expression and tone of voice to go with it, words can be taken out of context and “jokes” — particularly sarcasm — should be treated with extra special care. If there are two ways to read your message, more often than not you can bet the person will take it the wrong way!  Similarly, for feedback, people often take constructive criticism in a more negative light than it was intended… and so while still being direct, try to sandwich your comments with a few positive statements to soften any blows.

Know When to Tell the Truth… and When to Stretch It

Though honesty is the best policy in most areas of life, business professor Alison Fragale at the University of North Carolina says it’s not always the best practice when dealing with clients or investors.

Take for example this email:  “Our preparations went long this morning, it seems we’re running behind. We’ll be at your offices 5 minutes later than expected. Apologies”

Though this may seem like a positive spin on the fact you’re running late to a meeting (perhaps, you think, the client will see how enthusiastic and invested you are in their project), it might send the message that you can’t handle time management. “The mechanism we find in our research is that when you lie [to a business associate] they don’t like the fact that you lied, but they can usually appreciate the reason that you lied. And the reason that you lied is that you probably care what they think about you.” In that case, she says, just keep it simple.  “You might just say you’re held up in traffic,” says Fragale.

Know When NOT to Email

Don’t avoid uncomfortable situations or cover up mistakes by using email as a crutch. There are just some things better said or explained in person, and you can save yourself a lot of time by recognizing when a situation calls for a walk over to someone’s desk or a quick phone call instead. When explaining something confusing or emotional, it’s always best discussed face-to-face, (e.g., if you’ll be taking responsibility for an error, making an apology, or discussing anything that involves personal or sensitive information.) Particularly skip email when it’s a time-sensitive matter, such as when you need to solve a problem or find an answer quickly.  “I never heard back from them” or “I was waiting for an email response” is rarely an excuse for letting something fall through the cracks.

Photo courtesy of: Flicker/ farm5.staticflickr.com/4116

5 Cheap Foods That Are Healthy For You

Locally-grown… Farm Fresh… Artisanal…. You hear these retail food “buzz” words all the time but with their hefty price tags, you have to wonder if it’s all just hype. Bottom line: healthy-eating doesn’t have to mean expensive eating. Here are five foods that you can buy cheaply – guilt free. Read more here.

We want to hear from you. Have any opinions on “fancy” food trends that just aren’t worth it? Connect with me on Twitter @Farnoosh, and use the #FinFit.

Smart Ways to Spend Your Refund at Home

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This year, it may be wise to invest your tax refund into what is most likely your top asset: your home.

Last year, the average IRS tax refund was about $3,000. You could use that money to pay bills or make overdue purchases, but also consider investing your refund in your home. The housing market ended 2012 on a good note. Home values were up 5.9%, according to research by real estate site Zillow.com, and  they’re forecasted to appreciate 3.3% in 2013. At the same time, total home sales are at the highest they’ve been in five years.

Also See: Where’s My Tax Refund

Whether you’re looking to sell your home soon for top dollar or just add some value, small inexpensive repairs can go a long way. I tapped real estate experts Kathy Braddock and Paul Purcell for easy repairs and upgrades that will add the most value to your home.

Stage to Sell  

If you’re house is currently on the market, Braddock suggests using your refund to stage it. Plant flowers, rent furniture and make other small fixes to a few key areas of the home to help it sell faster. She says the cost to hire a professional to stage a midsize family home can be around $3,000 – just within your budget.  What’s more – a Duke University study found that a house on the market is better off furnished, rather than bare. It’s more welcoming and lets potential buyers to imagine really being at home in the space.

Go For a Facelift

If you’re not selling immediately, Braddock suggests small fixes. “If you do a full renovation now and sell in five years, your renovation could become be outdated,” she says. Instead, use your $3,000 for new appliances for the kitchen, a new paint job or flooring. Also consider re-staining or painting tired cabinets and replacing dated hardware. You’ll get the biggest bang from the kitchen and bathroom, areas that comprise much of a home’s value. According to estimates, you can expect to recoup between 70% to 80% of kitchen remodel.

Find the Right Contractor

Bigger jobs will mean a bigger return on your investment. Improvements like updating counters, installing a new bathroom vanity and glazing your tub will add real value to your home, according to Braddock. You may be tempted to do these jobs yourself, if you’re not handy splurging on professional help can be money well spent. Installing a custom closet is a great example. It a big job that will add to the value of your space. A DIY system costs between $150 and $600, but spend $1,200 to $3,000 for a professional contractor and you’ll have more assurance that there will be no costly mistakes down the line. For most renovations, one way to save on hiring a contractor is reaching out to your real estate broker. Realty professions are great resources for home-related referrals and often have relationships that can earn you a discount.

Splurge on Spring Cleaning 

This is an area where you can certainly DIY with few mistakes. “Do what you can yourself,” says Purcell. “It’s free and sometimes the best thing you can do for your home.” But if you lack the time or need assistance consider hiring a cleaning service for an average $150 that will give your home a one-time, top-down cleaning. A smart move may be to have hardwood floors stripped and waxed for  $0.35 -$0.55 per square foot. Or rent a carpet cleaner for as little as $25.

Photo Courtesy: 401(k) 2012

7 Kitchen Items You Should Toss Now

It’s easy to tell when some things have been around for too long. But figuring out the freshness of other items in your kitchen is not always so obvious. Here are seven things you may need to toss out right now. Read more here.

What are some other kitchen items you recommend tossing? Connect with me on Twitter @Farnooshand use the hashtag #finfit.

Where’s My Tax Refund?

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News from the IRS suggests that taxpayers are eager to receive refunds…but how long will they have to wait?

The Internal Revenue Service didn’t start accepting individual tax returns until January 30. but many taxpayers, expecting a refund from Uncle Sam, have already flooded the agency’s phone lines and website, inquiring about the status of their checks and deposits.

A statement on the IRS’ site says it’s currently experiencing “high traffic” on its “Where’s My Refund?” page. “The heavy volume of refund inquiries means that the IRS anticipates both ‘Where’s My Refund?’ on IRS.gov and the refund feature on the IRS2go phone app will have limited availability during busier periods,” the statement read.

Many Americans rely on their tax refunds. According to data from the Tax Foundation, nearly half of the 143 million tax returns filed in 2010 were from taxpayers earning less than $30,000 a year. And in 2012, the average IRS tax refund was about $3,000 – money most often used to pay bills and make overdue purchases.

Last year, the IRS issued 9 out of 10 refunds to taxpayers in less than 21 days and expects a similar rate this season. However, as of February 3, the agency had only sent out an estimated $4.3 billion in refunds –  nowhere near the $26.9 billion in refunds that were issued by the same period in 2012.

If you’re expecting a tax refund, you no longer have to check the mailbox. The IRS has harnessed technology to make the wait more bearable with its “Where’s My Refund” tool. Directly from IRS.gov, you can receive an estimate of the date your refund will be issued. All you have to do is enter your Social Security number, filing status and the exact refund amount you’re expecting. Due to the overwhelming traffic to the site, the IRS is strongly urging taxpayers to only check on their refunds only once a day, as their systems are updated usually overnight.

If your wait time goes beyond the 21-day average, the agency suggests you review your return for common errors that could delay the refund. Confirm that the return is signed and dated, that its been sent to the correct IRS processing center and that your name and Social Security number are listed correctly.

Photo Courtesy, Tax Credits.

2013 Presidents’ Day Shopping Deals

[image error]Presidents’ Day was created to honor this country’s great leaders. But with the holiday coming at the tail end of the winter season (and the gift-giving season,) it’s also a great time to score a deal on something you’ve perhaps had your eye on.

Established in 1885, the holiday was originally created to honor George Washington and held on his birthday, Feb. 22. It became known as a day to celebrate all U.S. presidents after it was moved to the third Monday of every February, in order to create a three-day weekend for workers. Today, that extended weekend comes in handy as retailers take the opportunity to create a shopping bonanza second only to Black Friday.

As we reported earlier, a survey by retail site Shop It To Me found that overall February is the month of the year with the best sales -a distinction driven by Presidents’ Day deals. The survey found that average online sales reached 47% during February 2012, significantly higher than during the rest of the year. “Retailers are eager to clear out winter merchandise, so they can start selling spring items,” said Shop It To Me CEO Charlie Graham. “That’s why there are so many clearance events during February and why Presidents’ Day ushers in a host of great sales.”

Don’t miss out on the deals. Here’s a quick guide on where to shop and a few savings tips.

Skirt Shipping Fees

A great way to save when shopping online is by forgoing shipping fees. Many stores will have additional deals on free shipping if you spend over a designated amount. It could be worth it to spend an extra $25 if it could save you even more in shipping, especially for large items like appliances and furniture. Another way to avoid shipping costs: in-store pick up. If the item you want is available in store as well as online, take advantage of the online price and have it held to be picked up at your convenience.

There are a few select deals at retailers below. Also check out this roundup of online Presidents’ Day sales from our friends at FatWallet.com

Kmart - TVs up to 20% off and extra 5% off tablets, portable electronics and printers & monitors.

American Eagle - 25% Off + Free Shipping

Old Navy - Up to 40% off all styles of children’s and baby clothing.

Target - Save 50% on clearance items.

Seek Department Store Apparel

The best tip for shopping in department stores during this time of year is to stock up on apparel for next winter. Odds are the best deals will be on items still on shelves as retailer make way for spring inventory. If you’re in the market for a new winter coat or winter accessories, this will be an opportune weekend. Check out:

Macy’s  - Extra 25% off of clearance, 20%-50% off of home furnishings and free shipping.

JC Penny – 30%-50% off clearance items.

Kohl’s  - 30%-50% off watches, 70% off fine jewelry and 50%-60% off bedding.

Sears - Up to 30% off appliances, 50% off of spring fashions and 10% off home goods.

Save Using Online Tricks

Finally, to ensure you get the best deals, purchase with a plan. Download weekly circular/local ads online. BeFrugal.com is a great resource for countless weekly ads. There  you can find local Presidents’ Day sales and additional coupons. Also, check the Twitter and Facebook account of your favorite store for exclusive deal announcements. Bloomingdales, for example, is currently advertising 40% during their #BigBrownBag sale via Twitter. One last tip: compare prices to be sure you’re getting the best bargain. Price comparison apps like RedLaser and ShopSavvy will help you save time and money. To use them, scan an item’s bar code and find out if a competing store offers a better price. You may even be able to convince a manager to match it by showing him or her the difference.

Photo Courtesy,  Alan Cleaver.

Tips for a Cheaper Date Night

The cost of a typical date night can sometimes be enough to totally kill the romance. When you add up dinner, a movie and babysitter, the average date can easily top over a hundred dollars. So whether you’re just playing the field, dating or married, here are several ways to enjoy a lovely evening out without breaking the bank. Read more here.

In what ways are you saving on date night? Connect with me on Twitter @Farnoosh, and use #Finfit.

The True Cost of Child Care

For many families, the cost of child care can create financial complexities.  New parents accustomed to a two-income lifestyle may resolve to having one parent quit to become a stay-at-home mom or dad, which may mean losing momentum in the workforce.  Others pay through the nose to send their children to day care while they work, which, for some paretns, carries with it a sense of guilt.

“I’ve often asked myself, ‘are [the daycare workers] closer to my own daughter than I am?” says Jessica Ashford, a single mom living in New Jersey. “I’m away from her for 8-9 hours…But the reality is that there’s really no other choice.”

According to JVA Consulting, over 65% of surveyed employees with children reported difficulties finding or keeping child care, but the biggest challenge they faced was cost.  In Colorado, daycare will run you  $800-$1,400.  In Brooklyn, New York it’s more like $1,600-2K, and a nanny in the same neighborhood gets an average $15 per hour, or $2,400 per month.

Ashford says it’s relatively economical for her in New Jersey, but that’s because she chose a neighborhood where she knew the childcare rates were more affordable.  She pays just $175 per week, or $700 per month. “Though, at our daycare they make you provide the diapers and the wipes. They do have formula, but they weren’t using a brand [my daughter’s digestive system] could handle so I had to take on that cost myself,” says Ashford.

Parents don’t always calculate how much all these “extras” add up to – they build their budget around one number, but then later find out it’s all costing more… and more.  Here are some additional childcare costs to help you better estimate and plan for your childcare budget:

Overtime

Additional late fees or extended hour fees can occur when you’re late to pick up your child or if they need to stay beyond the provider’s usual hours.  At prices that rival late bank or credit card fees, at $25 dollars a pop, Ashford says she soon learned her lesson about being late!

Don’t forget, too, that personal sitters and nannies are protected under the Fair Labor Standards Act, and have the right to be paid overtime for anything over 40 hours per week – it’s the law.

Child Care Activities

As one Manhattan mom put it, “you can’t expect a nanny to sit in a small apartment with a child day after day with nothing to do.”  Assuming you want your kid to interact with the world – and ideally, other children – expect for all that “interaction” to cost money: entertainment, museums, beach parking, library fees, sports camps, etc.  At daycare activities such as “interest stations” and group lessons may be provided, often for free, but are occasionally accompanied by a small classroom supply fee.

Additional Transportation Costs

Whether it’s over to your neighbor’s house a few streets away or to a private nursery on the other side of town, if you drive your child to daycare and it’s not on your normal route, fuel is not an insignificant factor to consider.  Make sure to map out how you’re getting to and from and what it costs you — including any purchases made with child care in mind, like a second vehicle or a bicycle safety seat.  If your sitter uses your vehicle for transporting your kids — don’t forget to add the driver to your insurance plan (which may or may not incur a slight bump in rate).

Extra Food & Supplies

Sure, feeding your children is not exactly a hidden cost – you do this every day of their lives.  But perhaps you’re not factoring in the cost of feeding another entire adult (in the case of a hungry teenager, maybe even more than one adult!) when a nanny or family member is watching your children in your home. More food means a higher grocery bill, not to mention higher overall utilities if you’re housing your help.

For daycares, though it’s different at each facility, many do not supply the necessary diapers, wipes, formula, or even snacks and meals needed to get through the day – parents are expected to bring these supplies and drop them off with their kid, or, pay additional fees. This may not cost you more than it would at home, but don’t assume your child’s stay will be “all inclusive.”

Day Care Add-ons

Some daycare centers offer live internet streaming from a secure website and observe their child’s activities – often for an additional charge.  Or you can choose to enroll you child in extra language classes, or enrichment activities like karate, gymnastics and art.

“Extras” & “Thank Yous”

Expenses at some facilities aren’t dissimilar to what you’d find at a school: donations to fund drives, special parties, and charges for field trips. Plus, anyone your child has a relationship with is a person worth thanking—so year-end “teacher” or “babysitter” gifts, especially if your child is handled by a team of teachers, can add up.

Loss of Income 

What happens when your child is sick, your car breaks down, or the daycare is closed due to holidays or weather?  While some employers are fine with “Take your Kid to Work Day” – it’s not exactly encouraged.  Losing a day of work can mean lost income, disgruntled employers, or perhaps you can’t work overtime because you need to pick up your kid by a certain time.

But, perhaps it’s best not to let all these numbers scare you. Sasha Koren from Manhattan says the best part about day care that she didn’t anticipate, was how good the educational program turned out to be:

“I expected that they’d help her with potty training and having good manners…but I didn’t realize they’d be teaching her to read and write, know the days of the week and months, learn about planets and transportation and to do math.”

Sally Smith in Brooklyn New York, went a different route: her husband stayed home with their newborn, while Smith went back to her job in urban planning.

“We knew that [my husband] wasn’t making much if anything more than what a daycare or nanny would cost, and so he really led the charge on preferring to spend his time with H rather than working just to pay for her childcare.”

Photo courtesy of: farnoosh.tv/career-2/boost-your-income-4-simple-side-gigs

Valentine’s Diamond Buying Guide

[image error]A diamond may be a girl’s best friend, but some friends are better than others.

This Valentine’s Day, diamonds are likely to be as hot a gift choice, as always. The weeks leading up to February 14 represent a peak time in the jewelry business, with many couples even becoming engaged on the holiday. A study by the estimates that consumers will spend  $18.6 billion this year, with$4.4 billion to be spent on diamonds, gold and silver. In addition, the survey found that more than  a quarter of those celebrating this year plan to give gifts purchased online, up from 19.3% last year.

If you’re buying your significant other diamonds this year (and shopping online), here are four tips to getting the best deal and quality.

 

 

 

Look For the Four C’s

The most important factors in the quality and price of your diamond are the carat, color, clarity and cut. All diamonds are graded based on these characteristics and knowing your diamonds grade is the first step to securing a good deal. When shopping for a diamond, only deal with retailers that can provide you with an unbiased grade from Gemological Institute of America and/or the American Gem Society in the form of a certificate.

Shop Around

Now that you know what a determines a quality diamond, and probably what you can afford, the best way to get a good deal is to shop around. Many consumers are planning to shop online and that’s not a bad idea. Online shopping is a great way to score a good price because sites avoid the traditional cost of brick-and-mortar operations and pass the savings on to customers. According to personal finance magazine Kiplinger, some of the best sites to buy jewelry are BlueNile.com, Diamonds.com and Ice.com. It’s also a good idea to skip some of the deals at large jewelry retailers and shop instead with an independent seller where you can negotiate a better price.

Get It Appraised

It’s important to know that the certification you receive when buying your diamond is not the same as an appraisal. The certification is merely used to list the characteristics and grade of your stone. To get the monetary value, and later insure it, you’ll have to get it appraised. Consult a credentialed appraiser in the buying process. The American Gem Society provides a list of certified jewelry appraisers that will help you find an expert in your area. You can also contact the National Association of Jewelry Appraisers or the American Society of Appraisers.

Get Technical

Finally, to make your shopping trip a bit easier, harness the power of technology. For examining a stone’s quality on the go, the Gemological Institute of America has a handy app available for the iPhone and iPad. Consumers can consult it for a quick primer on the four C’s and also verify the contents of a GIA report by simply entering the report number and carat weight. And for a retail price comparison, there’s always the PriceGrabber app. It’s available for both iPhone and Android and will allow you to compare prices for items, including jewelry, online as well as in stores.

Photo Courtesy,  Kim-bodia.