Farnoosh Torabi's Blog, page 50

Tricks Identity Thieves Use

Did you know that 2012 was a banner year for tax refund ID theft? Read more about the new tricks identity thieves are using to steal your information. And as always, we want to hear from you. What are some strange but true ID theft crimes? Connect with me on Twitter @Farnoosh, using the #finfit hashtag.

Three Steps to Earning More In 2013

[image error]New data reveals that salaries are up nationally, shining a glimmer of hope for recent grads, those working in major metro areas and some in popular professions.

Trends in compensation have been pretty volatile since the economy took a hit in 2008 but salaries steady increases in 2012. Last year alone wages grew on average by 3.5%, according to PayScale. That may not sound like much but for an average salary of $43,000, that increase means about $1,500 more annually – plenty to put toward debt, investments or retirement savings.

Another recent survey from the National Association of Colleges and Employers also found that recent college graduates are one group benefiting from increased wages with starting salaries jumping 3.4% last year.

Other key findings: Some fields are making a comeback in the pay department. Jobs in media and publishing, information technology, construction, marketing and advertising led the pack with gains above 4%. Finally, cities that took huge hits when the housing market crashed: Houston, Seattle, Boston, Riverside and Dallas, are all leading in wage gains as the market recovers.

With this good news, you don’t want to get left behind. Whether you’re looking for a job now or already have one, here are three steps towards earning more in 2013.

Know Your Worth

The most critical time in getting the salary you want is before you have the job. Do your research on your industry: where it’s going, what people in your position make and how much you stand to earn over the course of your career. With that in mind, you can find jobs that pay what you’re worth. Sites Glassdoor and PayScale are just two that offer free salary reports on specific positions. You can adjust your search by city and years of experience. Knowing what you should make is a great starting point for negotiating a higher salary, perhaps for finding a new job.

Also See: Jobs That Require No College Degree

Time It Right

Now that you know what’s average for your postion, it’s time to have the conversation with a potential, or current employer. We’ve reported on negations before and the experts agree that the best times to have the tough talk about pay are afteryou’ve recieved an offer for a new job and when you’re up for review. Take those opportunities to express to an employer your value to their business. Maybe you can monetize it in terms of clients, deals and the bottom line. You can also justify more pay based on money saved from efficiency, productivity and added skills that prevent the need for other expenses (e.g. other hires.)

Learn More To Earn More

Finally, a possible way to boost earnings is to continue your education. The 2008 economic recession led to increased enrollment among nontraditional students looking to sharpen their skills to remain competitive in the workplace. Studies show it’s a good strategy, especially as it pertains to raising your income. The National Center for Higher Education Management Systems released a report in December showing, ”that almost without exception, despite variation across states and disciplines, each successive level of higher educational attainment yields additional economic benefit.” And you don’t have to disrupt your life and go back to school to further your education. One option is a certificate program through a major college or university.  Schools like Ohio State University, for example, offer these programs to mid-career professional seeking additional knowledge and training in their field. At OSU, a programs costs about $2,000 and lasts only a semester.

Photo Courtesty,  401(K) 2013.

Embracing the Fine Print, Local Bookstore Beats the Odds

[image error]We’re starting a new weekly tradition at Farnoosh.TV and paying a little homage to the country’s economic backbone – our 23 million small business owners. Guest writer Dustin Newcombe will be sharing inspiring stories with us and we hope that you’ll send us your feedback and nominate some favorite small businesses that you’d like to see featured here.  This Friday, we kick things off with a neighborhood bookstore that’s proving resilient in an ever-changing market.

Years ago this shop’s name would have been seen as a sad nod to the shrinking market of mom and pop bookstores, a mere scene out of You’ve Got Mail. The Last Bookstore opened in 2005 at a time when competition from Borders, Barnes & Noble, Costco and Amazon.com was too great for most independent retailers to bear.

But when owner Joshua Spencer built his store, he had simple intentions seemingly unmatched by his big-box rivals, intentions that would ultimately prove triumphant. He explains, his store was and is a labor of love. And in today’s fast-paced retail world, attention to fine details and your customers’ needs is proving to be the secret ingredient many shoppers forgot they craved but are now ready to once again embrace. It’s a fact that the mega bookstore is losing its appeal. Borders filed for bankruptcy in 2011 and  fewer shoppers are ringing up sales at B&N.

A little too ironic…don’t you think?

“The bookstore is not dead, it is evolving,” says Spencer. “The customer’s mindset has shifted.” And so has traffic at The Last Bookstore. In eight years, it’s managed to grow out of its small loft space into a 10,000 square foot store to accommodate growing demand from a loyal base of customers, everyone from “the hipsters to the homeless, young and old.” It is one of the few bookstores in Los Angeles that continues to buy used books.

[image error]It’s easy to get lost in The Last Bookstore’s two levels of books and vinyl. The first level contains a selective inventory of new and used books ranging from a four-volume box set of Charles Darwin’s On the Origin of Species ($80) to a like-new hard copy of John Grisham’s Skipping Christmas ($5).  The store recently opened up the Labyrinth Above the Last Bookstore on the mezzanine level, with over 100,000 books all priced at one dollar each. It also lures in passersby with a record shop and coffee bar.

The bookstore also boasts a calendar of events as varied as its book selection.  Monday night’s Speakeasy Open Mic has an anything goes attitude, so long as anything can be accomplished in three minutes. The rest of the week plays host to launches, parties talks, performances, and readings that run the gamut of topics. “Our books are about everything, and so are our events,” says Spencer.

Along the way Spencer has worked hard to build the store’s online business, which admittedly, has helped feed the success and growth of the physical store.  Timing and patience has also come in to play.  Spencer managed to receive a bank loan in 2007, just before the economy crashed, for the purpose of relocating his store to a bigger space.  With that loan he was able to take advantage of a glut of inventory and lower rent deals. He finally decided to take over a historic building in the budding arts district of downtown Los Angeles, ideal for foot traffic.

As for the future, Josh wants to continue to refine his inventory and keep the focus on books.  He also hopes to host more events and attract bigger names and national acts.  Despite these large ambitions, Josh’s formula for success remains simple: “Create an experience that delights your customer.” And they will come.

We Save 5k by Being Green

It’s not a typical sight for an urban backyard, but pet chickens are just one eco-friendly way the Tetreault family is saving money – to the tune of $5,000 a year. Read more here.

And, as always, we want to hear from you. In what ways are you saving green? Connect with me on Twitter @Farnoosh, and use the hashtag #FinFit.

4 Steps to Getting Better at Anything

You probably believe that the world’s most talented sports stars, rock stars and scientists were born with “that certain something”, but success might have very little to do with natural gifts or even luck, says writer Malcom Gladwell.  He says that it’s a dedication to your chosen craft — along with  roughly 10,000 hours of practice — that makes up more of the story than pure genes.

And Daniel Coyle, author of The Little Book of Talent Improving: 52 tips for improving your skills introduces his book like so:

“We are often taught that talent begins with genetic gifts…This is false. Talent begins with brief, powerful encounters that spark motivation by linking your identity to a high-performing person or group….A tiny, world-shifting thought lighting up your unconscious mind.”

Meaning, someone had to suggest to you, or show you, that “you could be like them.”  And then a genuine interest engaged you and pushed you to practice powerfully at the top of your abilities day in, and day out, and soon, you become proficient.  Good, in fact. Even if you don’t ever reach “expert” status, according to Coyle there are many proven methods for getting better at any skill.  Here are four of them:

1. Get Fast Feedback

To improve faster, it’s best to get immediate feedback on how well you’re doing — whether it’s from peers, a review of video of your performance, or by checking your scores. When studying for an exam for example, it’s better to take the practice test in chunks and flip back for your results right away. With immediate feedback you’ll make stronger, deeper connections to the “right” answers or behavior. Waiting even a day creates a mental distance, and a lack of engagement.  And it turns out that “engagement” is an important  part of the equation.

2. Make it Engaging

You need to care deeply about the outcome of each practice, or you’ll never push yourself to improve. Running through your presentation 10 times in a row is a bit tedious–and might even stop being useful at some point. Coyle suggests trying to perfect it in just three run-throughs instead, turning the exercise into a game of sorts–one with stakes. Or, try positive reinforcement at the end of each practice session, making the reward something you truly desire. You’ll try harder, have an emotional attachment to the results, and therefore improve more rapidly.

3. “Reach” For Your Goals

Similarly: you don’t want to log long practice hours just by “phoning it in.” Practice does make perfect, but only if you’re reaching for your absolute best each time, and then repeating what worked. Ever notice that teachers, rather than calling on one person and asking a question, pose the question to the entire group and then randomly select someone to answer? This is no accident — this is a called a “Reach and Return” method, requiring everyone in the room to be be paying attention, “reaching” for the answer even if they don’t know it. The same goes for practicing on your own: make sure you’re challenged each time you’re training — practice that’s designed to be too easy will sabotage your results.

4. Make it Powerful 

Now that you care, and are trying hard each time — make sure your practices are as realistic as possible, preparing for the unexpected. If your soccer games are bound to see a little weather this season, don’t cancel practice just because it’s raining. Rehearsing a speech before you go on stage certainly helps, but the only way to perform well under the pressure is to actually practice talking to people in an audience (start by speaking in front of small groups until you get more comfortable). No amount of solo practice will prepare you for the nerves you’ll feel when all eyes are on you.

Don’t have 10,000 hours to spare? Even just a little practice can improve test-taking, job interviews, even a break-up — and so for whatever you strive to get better at — learning how to “learn” is a skill that never fails to serve.

Photo Courtesy of: bestandworstever.blogspot.com

6 Ways To Negotiate Anything

 

As the saying goes, “everything is negotiable.” Yet, few of us actually put that notion to practice because we either feel intimidated or awkward. But with the right mindset, and a few tricks under your belt, you’ll find it’s easy to finagle your way to deals and discounts anywhere, anytime. Here are some expert negotiating tips to put more money back in your pocket. Read more here.

And, as always, we want to hear from you. What are some of your best negotiating tips? Connect with me on Twitter @Farnoosh and use the hashtag #finfit.

5 Easy Ways to Get More Organized In 2013

Is your 2013 mail already starting to pile up? How about your junk drawer?

Getting organized is often a top New Year’s resolution. This year it ranked in second place, according to the Journal of Clinical Psychology, and for good reason. Research estimates that disorganization accounts for $89 billion worth of wasted business expenses every year.

Consider this: If you spend 30 minutes every day looking for items and fumbling through materials, over the course of a year, that adds up to nearly 183 hours – or nearly eight days wasted.

Getting organized is a resolution that many of us can’t afford to break but, unfortunately, only 8% of us will keep it. I spoke recently with Jill Glist, president of Lambent Services, a New York City-based personal assistant agency for her most basic organization tips to help you clear your clutter, develop better habits start your year off right.

Make the Time/Get Help

Whether it’s one weekend or a few hours every day, Glist says the first step to getting organized is making the time. It’s the reason she says many people use the services offered by personal assistants at Lambert and the like. “When you schedule time with an assistant, you’re making a commitment. So when that person comes to your door, you know what you have to do.”

The cost of professional help ranges between $20-$75 per hour, based on the work you need done. To get the most out of the service, it’s best to be clear and realistic about your goals: what you need done and the time you have to do it. Another, free option is to draft a friend in the process. Lambent says it could be hard to convince someone to help your sort your mess but having company can take the drudgery out of the task.

Start Small

Glist says, at Lambent, an overarching goal is to do what works best for the client and in organizing your own life, you should do what works best for you. “There are tons of those self-help books out there that will give you advice that you know you won’t follow, at least not long term.”

She says instead of setting unrealistic goals for a pristine space, take small sustainable action that will have noticeable impact. For example, you may not have time to label and archive everything in your inbox so narrow your approach. Pick one category that you’ll use a lot, say, “Payment Confirmations” and work from there. Who knows? Before long, you could work your way through the whole lot. Glist says the same can go for a disorganized home. “Start one room at a time. Trying to get it organized all at once will defeat one immediately before really beginning.”

Master the Art of Editing

It’s not just a writing skill. Editing can go a long way in helping you get organized. It means picking, choosing and prioritizing tasks and items. One of the basics of editing is setting limits. Where a newspaper has word limits, place limits on how many pieces of mail you can have on the counter or how many sweaters to keep in your closet. Having limits will push you to prioritize what’s important and get rid of the rest. “Many people keep everything because they think they’re being responsible,” says Glist. “In fact what they’re doing is creating piles that are impossible to get through.”

When In Doubt, Keep For 3 Years

Whether they’re electronic or physical records, it can be hard to know what to keep and what to trash. Farnoosh recently answered this question for her column with Yahoo! Finance and it varies based on the type of record: banks, taxes, bills, etc. A good rule of thumb is three years unless you expect a dispute. With taxes, for example, the IRS has three years from the due date of your tax return to assess and collect additional taxes. Utility bills, however, you don’t need to keep for more than one year. In general, the same goes for bank statements.

Create A Place For Everything

“Give everything in your home, office, computer a place,” suggests Glist. “Once you’ve done that, returning it to it’s place and finding it later won’t be so hard.” Often this means investing in inexpensive tools for storage and organization. Glist says one of her favorite items is a label maker. “Not only is it helpful for identifying the rightful place for things in a space but it also makes you feel like a pro and really commits you to the process,” she says.

When organizing your office, she suggests getting new folders, a label maker or marker and starting with a pile. “Set aside two containers, one for trash and one for paper recycling.” The items you wan to keep should be put in a file immediately and set aside. “Keep at this until every piece of paper is taken care of and then file the folders alphabetically,” she says.

Get in the Habit and Go Electronic

Finally, staying organized is easily achieved when done on an ongoing basis, instead of in huge monthly or yearly efforts. Glists advises not to let tasks, papers and household items pile up. Address them as you go.

Another tip: If something can be emailed instead of mailed or faxed, insist on email to cut down on actual physical copies that can pile up in your home or office. The most obvious culprits for this are bills on bank statements. As more and more people pay their bills electronically, it’s more convenient but also more secure to maintain password-protected electronic copies of these records on a thumb drive or in your email.

Photo Courtesy,  khrawlings.

What Your Email Address Says About You

First impressions are key and, when it comes to your digital presence, your email address is front and center. Like your home address, your email address implies certain things about you to the rest of the world. Hopefully it’s all complimentary…

Digital culture site The Oatmeal has a clever graphic for email archetypes, those judgments we make about someone based on their email address. A Hotmail user “still thinks that MySpace is hip,” according to the graphic. It also assumes that those using Gmail probably know their way around a computer, while AOL users still think it’s okay to say they’re computer illiterate.

These preconceptions may seem arbitrary but they’re common and possibly supported by fact. In a survey of thousands of email users, it was found that those with Gmail accounts and email accounts with custom domains were on the cutting edge. They were distinguished as being early adopters of new technology, more educated,  entrepreneurial and well-traveled than their counterparts.

If you’re using a dated email domain and want to make an upgrade, here’s how to make a move today with three easy steps.

Simplify Your Username

Before anything else, you want to make sure your unique username, the part before the “@,” is simple, professional and represents you well. What better than your actual name? Get rid of “sportyguy123@gmail.com” and move to “john@gmail.com.” Now, for those of us with common names, that’s easier said than done. And although most email hosts give helpful username suggestions when setting up a new account, don’t just go for “john123@gmail.com” without some thought. Avoid numbers, dates and other add-ons that people aren’t likely to remember. Instead try for derivations of your name. John Smith’s username could be “john.smith, john_smith, johnsmith, j.smith, etc.”

Invest in a Custom Domain

Purchasing a domain from sites like Go Daddy, , and 1&1 will take your professional image to the next next level – and for as little as $5-$12/year. If you’re an entrepreneur, it makes a statement to the world that you’ve committed to your business and it’s not some extension of your personal life (i.e. a hobby.) It’s also a great way to snag your dream username because you won’t have to fight it out with other users like you do with a free host. And if you don’t want the expense of a custom domain, there’s another option. Mail.com is a free email host that allows you  to pick from more than 200 domains, with options including: usa.com, dr.com, writeme.com and more.

Forward Your Mail

Finally, the number one reason that people stick with antiquated email accounts is because of familiarity. Good news: you don’t have to move on entirely. No matter which option you choose: a new username, a more attractive free service or custom domain, you can always keep your old address and have the mail forwarded there. Almost all hosts will allow you to transfer contacts and emails between accounts and, once that’s done, the last thing to do is forward all incoming messages from your, new and fancier account to the one you’re used to.

Photo Courtesy, The Integer Club.

Avoid Higher Prices in 2013

There’s more than a tax hike in your immediate financial future. In 2013, you can expect several everyday items to increase in price, adding more strain on your wallet.

Recently, consumer site DealNews put together their list of items that will be more expensive this year, from cars to milk. Using that list, we’ve focused on where you can save or offset the hike.

Fuel Efficiency Ratchets Up the Cost of Cars

Cars are getting more expensive, according to Deal News. When the Obama administration issued new standards requiring automakers to improve fuel efficiency, the price of engines went up and, on the whole, so did the price of cars. The 2013 Toyota Camry, for example, is about $175 more expensive this year than the 2012.

Offset the Hike: The rule of thumb is to spend no more than 15%-20% of your take-home for a car and, despite changes in the market, stay in that range. When it comes to fuel economy, eco-friendly cars like the Ford Fusion hybrid get 47 miles per gallon – 50% better than most vehicles in their class. They’re slightly more expensive,  but the small upfront expense can go a long way, saving you nearly half the cost of gas at the pump. Now is also a good time to be in the market for a inexpensive automobile. With new models rolling onto lots, 2012 models will be available at a steep discount. Shop carefully by getting the best terms to finance a vehicle and with an eye on resale vale.

Grocery Prices to Increase by as Much as 4%

With anticipated droughts in 2013, expect an increase in everyday grocery items including cereal, baked goods and milk. The USDA expects food prices -specifically for meat, poultry, grain and dairy- to rise 3.5% to 4% in 2013.

Offset the Hike: One thing we can all do is set weekly food budgets to get a handle on what we spend on meals. Some less obvious options: As the price of meat is expected to go up, consider having a “vegetarian night” at least once a week.  Another tried-and-true tip is to buy meat in bulk. A whole chicken, for example, is 30% cheaper than buying it in pieces.

Also See: 2013 Financial Predictions

New Computing Features Raise Prices

Whether you’re redoing your home office, sending a kid off to school, or if yours just crashed – you’ll find yourself back in the market for a computer sooner or later. And according to Deal News, as tablets gain momentum, computers are returning to their original function as work machines and becoming more expensive. Faster processors, more space on average and other features are sending the price of personal computers higher than before.

Offset the Hike:  Shop around. The best thing about our saturated electronic space is that there are tons of makes and models and you can pretty much get the features you want a la carte. Sites dedicated to comparing electronics for consumers include: PC Mag, PC World and PriceGrabber.com. Search by price but keep an eye on the handy ratings offered by the sites’ reviewers. PC Mag, for example, has machines listed by Toshiba, Dell and Microsoft – all under $750 and with above-average ratings for performance.

Shipping Costs on the Rise

Finally, with most Americans doing significant shopping online, hikes in the cost of shipping come as bad news.  This year will see a 4.5% to 4.9% hike in shipping costs from both UPS and FedEx. Online retailers offering free shipping could pass the expense off to consumers but where you’ll see the biggest impact, according to Deal News, is with “independent” sellers on sites like eBay and Etsy,

Offset the Hike:  When shipping something yourself or shopping online, always shop around for the cheapest option. A lot of factors go into the cost of shipping an item, most notably, speed. Allow yourself some lead time, avoiding costly next-day shipping when you can. For everything else, ShippingSidekick.com has a useful tool to compare costs with different carriers based on distance, weight and time. You can also find daily deals on shipping at www.FreeShipping.org.

Photo Courtesy,  bradleygee.

The Art to Starting a Conversation

Networking events can be excruciating. There you are, huddled uncomfortably in a room, expected to chat someone up over the cheese platter in the hopes they have something or know someone who can further your career.  What’s worse, the inexperienced — who so often need connections in their field — “network” like it’s their job, approaching with predictable one-liners and oozing a kind of desperation that only makes the experience more awkward for everyone.

Sigh.

But, then again, we all know someone who’s exceptionally great at connecting with strangers. Networking, as it turns out, is a total art form and if you master it, you’ll never be struggling for an opening line.

The truth is, most people are happy to engage, and appreciate someone else taking the lead.  As long as your interest is sincere, you keep confident and relaxed, and let the banter flow, “networking” on any platform stops being unbearable, and starts becoming a natural way to interact with others.  Opportunity knocks on all kinds of doors and so if you’re open to amazing possibilities in the New Year, allow yourself to start conversations with five new people this week.

Here’s how among various platforms:

Twitter

While Facebook is a touch too personal for networking, Twitter is an ideal space to connect with the public and folks from all over the globe.  As Farnoosh has written in the past, it’s best to narrow your scope and make a short list of companies or keywords to locate those with whom you’d like to network. Then use Twellow.com – similar to a Twitter Yellow Pages — to help you find them based on keywords in their bios.  Create and name this list (though, remember that the person will be able to see what list they’re on, so keep this list name neutral).  Now, it’s time to start posting.  If you feel uncomfortable reaching out to others blindly, re-tweeting is a great way to begin — it’s like walking up to a group of people having an interesting confab and asking, “Hi there, can I buy a ticket to this conversation?” (not such a bad line for real life, too!).  However, you have a better shot at getting a response at a re-tweet if you add a personal comment.  Better yet, start a dialogue. Compliment someone on a great post, link or update, and then ask them an open-ended question.  After a few weeks of correspondance, it’s okay to send them a direct Tweet or even ask if you can take the conversation to email or even Skype, where a more personal connection can be made.

LinkedIn

One of the best ways to meet people here is to offer your assistance via your list of contacts.  You may not realize how truly valuable your network can be to someone you’ve never met.  

Of course, LinkedIn was made for networking, but it only really works if you know how to use the specific tools of this platform.  For example, try posting — and answering — questions for the community at large.  Go to the “Answers” home page and type in a topic you’re interested in.  The more you interact with others on a subject of common interest, the easier it will be to keep that dialogue open and see how you might benefit from knowing one another.  If you have a premium account ($39.95 / month with an annual subscription) you get 10 “InMails” a month, which means you can view full profiles and send direct messages to anyone on LinkedIn, not just people in your network.  In fact, the site even guarantees you’ll get a response. If the person doesn’t write you back within 7 days, LinkedIn will credit your account.

LinkedIn also has a feature called “Signal” which can be used to connect with your 2nd and 3rd level connections and beyond — it can actually open your reach to millions. On your home page, see “All Updates” — on the right there’s a magnifying glass. By clicking on it and doing a search you can use a series of filters to choose what updates to see–what level of connection you want to view, in what location, etc. Start conversations with anyone by commenting on their updates.  It’s as easy as “Hi Joe, I notice you worked for XYZ Company in your past. I’m considering applying for a job there, and I”m wondering if you can offer me any advice…” 

Networking Event

In person, addressing some common ground – like how funny the speaker was or the fact you had to wait 20 minutes to get a drink at the bar — can always help crack the ice.  When in doubt consider opening with:  ”I suppose name-tags are useful in this context but man, I feel a little silly.  I’d rather just introduce myself….”  Or, “Is it quieter on this side of the room?  It’s getting a little noisy over there.  I’m Sarah, by the way.”

Large conferences can often be logistically overwhelming, so if you’re a first-time attendee ask people for assistance. It can be an easy way to start a conversation.  And don’t forget a smooth closing statement for when you’re ready to move on, like “It’s been great talking to you, Cindy, would love to connect with you in the future. Here’s my card.”

And then DO follow up. Gathering business cards at events is great, but what’s better is getting one with an appointment or follow-up call written on the back.  When people attend networking events they often distribute and collect piles of business cards.  Ensure yours doesn’t end up faceless or forgotten. Immediately follow-up with an email thanking them for the conversation and suggesting an opportunity to speak further.  Many folks stop at gathering cards and never “get the meeting,” simply because they don’t follow up.

Dinner Party with Strangers

“Do you know what’s good on the menu in here?”  or, “How do you know Jack and Anna?” can ease a group into conversation.  And, while some advise steering clear of personal topics as you’re getting to know strangers, I disagree — personal tidbits about your life, the funny things your kids did or said, or details about your hobbies are a great window into your personality.  Of course, don’t say anything you wouldn’t say in front of your boss (until you get to know someone better), but still — letting down your guard can encourage others to do the same, too.  To get the conversation going in both directions, questions like, “So what did you do today?” or “Where did you grow up?” are great invitations for someone to share.

Remember, networking is all about being game for whatever the relationship has to offer, whether it’s friendship or business.

Stay open and start a new conversation today!

Photo courtesy of: pixabay.com/hand-36777_640.png