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The No-Brainer Guide to Getting a Raise

9/17/2009 12:18:00 AM

Most people wouldn't put salary negotiation high on their list of desirable activities. It can definitely be a challenge, but it's necessary to ensure you get paid what you’re worth. Use these do’s and don'ts of salary negotiation to help you get the salary you deserve, whether you're entertaining a job offer or asking for a raise.

Research Salaries in Your Field

Before you ask for the raise, it's important to be informed about the going rate for your type of work. Talk to others working in your field or contact your trade or professional association to find out what other people are being paid for the same work. Visit Salary.com for free information on job salaries. Remember that salaries differ by geographic region.

Don't Compare Your Salary to Your Friends'

Don't look at how much money your friends in other fields are making. You may be envious of those who are earning more money than you are. If they aren't working in the same field with the same experience and education, you shouldn't make those comparisons.

Consider How Much Experience You Have

Those with more experience can earn more money. In your negotiation, remember to talk about the amount of experience you have under your belt. On the other hand, be realistic about he salary you're asking for if you don't have a lot of experience.

Don't Talk About How Much Money You Need

When you are going through salary negotiations, don't tell your boss or future boss that you need to make more money because your bills are high, your rent is expensive or your child is starting college. They simply won’t care and you will lose credibility.

Do Talk About The Salary You Deserve

When presenting your case during the negotiation, talk about how you will earn the salary you are requesting. Highlight what you have done, or will do, for the company. Also discuss the salaries in your field based on your research.

Be Flexible

When going through a salary negotiation, you aren't likely to get the exact amount of money you want. You will probably have to compromise. The trick is to figure out how much you are willing to compromise and what you will do if your boss doesn't offer a salary you find acceptable.

What have you done to get a raise? Share your wisdom below.

Purchasing Your Own Home

9/19/2009 11:50:00 AM

The American Dream: Purchasing A Home Of Your Own.

Buying a home is probably one of the biggest investments you’ll ever make. It should be a fun process, but it’s important that you cover all your bases.

Know What You Can Afford.

Before you even start looking at houses to buy figure out what you can afford. You should review your monthly income, expenses and total savings. Experts say that you shouldn’t exceed 47% of your monthly income to go towards a mortgage, taxes and insurance combined. Buying a home that is too much of a monthly expense can sacrifice your ability to save for retirement, your children’s education, and vacations.

The Down Payment.

The days of a 0% down payment are gone, so forget about it. Some lenders still have programs that are available with a 5% down payment but the standards are 10% and 20% down. The down payment can come in the form of a gift from a parent, grandparent, friend or other relative. The down payment can also come from equity in your current home if you were to own one. Otherwise, you’re probably going to need to tap into cash savings.

Get Pre-Approved.

Again, before you start looking for the house you want, find out how much a lender will give you. Shop around for loans that will best suit your situation and get pre-approved. It’s important to understand all the terms and lingo when buying a house. We’ll give you a primer, but there always more to learn and it is important to stay updated as the market and available products change.

Getting What You Want.

When you are looking to buy a home two things are important to consider: Finding a home you can afford and getting what you want. Both are achievable if you have a plan of attack.

Where Do You Want To Live?

More important than finding the perfect house is finding the right neighborhood. This would include things that are important to you like: proximity to work or school, proximity to family and friends, school district, crime rate, rising or sinking property values, and special taxes should all be considerations.

Start Looking.

Viewing homes can be fun, but beware of falling in love with a home beyond your price range. You want to like your house but you also need to be able to afford it. Find a real estate agent that you believe is a good personality fit. The best way to do this is ask friends and family who they have used. You can also visit open houses in the neighborhoods you like and you’re bound to meet up with an agent you like.

Once you have chosen an agent you like, tell him/her exactly what you are looking for in a house, the neighborhoods you want to look in, your price range, your desired timing, and your pre-approved amount for the loan. By having this all done the real estate agent will only show you properties that meet your specifications.

You Found Your Dream Home, Now What?

Negotiate. To be in the best negotiation position you need to know your facts. Make sure your agent knows how many similar houses have sold in the same neighborhood and at what cost. Find out what upgrades those houses had versus the one you are buying. Know how fast homes are selling. If homes are going fast you have less room to negotiate price.

Have the house inspected for everything from mold, water damage, and leaks to radon, lead paint, and window seals.

Look carefully at carpets, paint, and single-paned windows. These are things you can use to negotiate the price down.

When you submit your bid include a letter to the owner about how much you like the property and how you see yourself living there. It might sound cheesy, but it can work to your advantage if there is someone else trying to buy the same home.

The Vocabulary Of Home Buying.

It’s important to understand all the terms and lingo when buying a house. We’ll give you a primer, but there’s always more to learn and it is important to stay updated as the market and available products change.

Term:

The amount of time you have to repay the loan, usually 15 or 30 years.

APR or Annual Percentage Rate:

This is the term for the interest rate you’ll pay including all fees and charges.

Points:

One point is equal to 1% of the loan amount. One point on a $85,000 mortgage loan would be (.01 x $85,000) or $850. Two points would be $1,700. Higher points should mean a lower interest rate for the life of a fixed rate mortgage loan. If you have the cash to pay more points the lender should give you a lower on-going interest rate. Lower points usually mean a higher interest rate for the life of the loan. Beware of "no-point" loans. Zero points usually mean a higher overall interest rate.

Fixed Rate Mortgage:

A fixed rate mortgage is when the interest rate you start out with stays the same throughout the life of the term.

ARM or Adjustable Rate Mortgage:

An adjustable rate mortgage loan typically starts out with an interest rate lower than a fixed-rate mortgage loan for the same amount, but the interest rate can increase based on specified limits called caps. The annual cap sets a limit on how much the interest rate can increase in a single year. The life-time cap sets a maximum on how much the interest rate can increase over the life of the mortgage loan. Actual increases are based on changes in short term interest rates but cannot exceed the cap.

Have you bought a home? Tell the iGrad community what it was like and what to look for?

Insurance is a Must-Have for a Secure Future

9/22/2009 9:29:00 PM

Home Insurance - Money Well Spent

Have you ever heard the saying, “Penny wise. Pound foolish”. There is no truer statement when it comes to having the proper insurance to cover the place you live. Do your eyes glaze over just thinking about home insurance? It is certainly not be the most thrilling subject, but it's essential for new homeowners and renters to understand the nuts and bolts of insurance. Virtually all mortgage lenders require insurance coverage to protect their investment. If the house you live in is destroyed, the real owner - in most cases, that's the bank - would suffer a huge monetary loss if not for insurance.

You don't even have to "own" your home to need homeowners insurance; many landlords require their tenants to have coverage. But whether it's required or not, it's smart to have this kind of protection anyway. We'll take it step by step as we walk you through the basics of this type of policy.

Selecting an Insurance Company

Price is important, but it is not the only, or most important, factor. When it comes to insurance, you want to make sure you are going with a provider that is legitimate and creditworthy. Before you sign on the dotted line, first contact your state's insurance department to make sure the company is licensed, as all insurers are required to be. Second, ask relatives, friends and coworkers for referrals. It always makes sense to benefit from the experiences of others, so ask someone you know who has filed a claim about an insurer's customer service representatives, the speed with which a claim was appraised, processed and paid, in addition to your friend's general level of satisfaction with the insurer.

What Policies Provide.

The elements of a standard homeowners insurance policy provide that the insurer will cover costs related to:

Damage to the interior or exterior of your house - In the event of damage due to fire, hurricanes, lightning, vandalism or other covered disasters, your insurer will compensate you so that your house can be repaired or even completely rebuilt. Damage that is the result of floods, earthquakes and poor home maintenance is generally not covered and may require separate riders to provide that protection. Make sure to ask your insurance agent about the additional cost of these types of coverage.
Loss or damage to your personal belongings - Clothing, furniture, appliance, and most of the other contents of your home are covered if they're destroyed in an insured disaster. You can even get "off-premises" coverage, so you could file a claim for lost jewelry, for example - no matter where in the world you lost it. There may be a limit on the amount your insurer will reimburse you. Even if your Rolex or mink coat is damaged at home, there will be a limit on the coverage for that, too - unless you purchase a separate "floater" policy that insures the item for its full appraised value.
According to the Insurance Information Institute, most insurance companies will provide coverage for 50-70% of the amount of insurance you have on the structure of your home. If your house is insured for $200,000, there would be up to about $140,000 worth of coverage for your possessions - would this be enough for you? In order to answer this question, you would need to have a list of all your possessions and their value, also called a "home inventory". You can download free home inventory software at www.knowyourstuff.org that allows you to make a simple list of your belongings room by room; the software also provides lists of items that are typically found in certain rooms as a base of reference.
Personal liability for damage or injuries caused by you or your family - This clause even includes your pets! So, if frisky Fido bites your neighbor Doris, no matter where the bite happens to occur, your insurer will pay her medical bills. Or, if Junior breaks her Oriental vase, you can file a claim to reimburse her. And if Doris slips on the broken vase pieces and successfully sues for pain and suffering or lost wages? You'll be covered for that, too, same as if someone is injured on the premises of your home or property. While policies start in the range of $100,000 coverage, experts recommend having at least $300,000 worth of coverage according to the Insurance Information Institute. For extra protection, a few hundred dollars more in premium may buy you an extra $1 million or more through "umbrella coverage".
Hotel or house rental while your home is being rebuilt or repaired - It's unlikely you'll ever need this protection, but if you do find yourself in this situation, it will undoubtedly be the best coverage you ever purchased. If your house has been completely destroyed or is so damaged that it's uninhabitable, you may need to rent another house or live in a hotel until it's repaired or rebuilt. This portion of homeowners coverage would reimburse you for the cost of rent, hotel, restaurant meals and other incidental costs because you were unable to live in your house. Before you book a suite at the Ritz-Carlton and order caviar from room service, however, keep in mind that policies impose strict daily and total limits - but, of course, you can expand those daily limits if you're willing to pay more in coverage.

Different Types of Coverage

All insurance is definitely not created equal or, put another way, you get what you pay for. Typically, the least costly homeowners insurance will likely give you the least amount of coverage, and vice versa.

There are essentially three levels of coverage:

Actual cash value - This value covers the house plus the value of your belongings after deducting depreciation (i.e., how much the items are currently worth, not how much you paid for them).
Replacement cost - This is the actual cash value without the deduction for depreciation, so you would be able to repair or rebuild your home up to the original value.
Guaranteed (or extended) replacement cost - The most comprehensive, this inflation buffer pays for whatever it costs to repair or build your home - even if it's more than your policy limit! Certain insurers offer extended replacement, meaning it offers more coverage than you purchased, but there is a ceiling; typically, it is 20-25% higher than the limit.

How Much Should It Cost?

Premiums vary widely and depend on multiple factors. First, of course, price will be determined by how much coverage you buy, a decision you can only make after evaluating the market value of your house, completing a household inventory, and deciding how much liability protection you want.

Other variables that need to be considered include your zip code. If you live in a high-crime area, for example, insurance premiums will be higher. Companies also take into account the size of your house, how close it is to a fire hydrant, the condition of your plumbing, heating and electrical systems, how many claims were filed against the home you're seeking to insure, and even details like your credit score that reflect on how responsible a consumer - and, therefore, a homeowner or renter - you are

No matter what initial price you're quoted, you'll want to do a little comparison shopping. And don't forget there are many other ways to slash costs, such as raising deductible levels, buying multiple policies from the same insurer, getting all available discounts (e.g., security devices such as burglar alarms), checking for group coverage options through credit or trade unions, employers, or association memberships, and boosting your credit score.

Talk to us about your home insurance wins and woes. We’d love to learn from your experiences.

Auto Insurance- A Must Have For A Secure Future

9/22/2009 9:52:00 PM

Let’s face it, every time we get an insurance premium bill in the mail we think to our selves, “Do I really need this? Am I just wasting money every month?”

Think Again!

Insurance, whether it’s home, health, auto, or life, is essential to secure peace of mind and a secure financial future. The Insurance Information Institute provides a wide array of tips and tools so you know exactly what kind of coverage you should be looking for.

In talking about insurance let’s begin with one of the most common types. Auto insurance.

Auto Insurance - Step 1 In Avoiding Financial Ruin.

Accidents happen. In cars, they happen nearly 100,000 times a day, and insurance can be the only thing standing between you and financial catastrophe .If you drive, don’t question it, just get it. And don’t think you are covered under someone else’s policy.

Getting A Good Deal On Auto Insurance.

Auto-insurance premiums have long since reached big-ticket status, so it pays to look for opportunities that will keep your costs down without sacrificing protection. iGrad recommends you look at 21st Century Auto Insurance. Through iGrad, 21st Century Auto Insurance provides a free quote. As one of the largest auto insurers in America, we think they’ll give you a great deal for your situation. However you should take a look at all your options. Here are some things you can do:

Compare Premiums.

Survey after survey confirms that auto-insurance companies often charge greatly different premiums for the same coverage. In New York, Pennsylvania and elsewhere, premiums have been shown to vary sometimes by more than 100%. Rates may not vary as wildly in your area, but the odds are you will discover substantial differences if you take the time to get premium quotes from a number of companies. Begin with a market leader, such as Geico, 21st Century Auto Insurance, Farmers or Allstate. Then use that quote as a measure against to judge identical coverage at other companies.

Many state insurance offices distribute auto insurance pricing guides, but the categories they use may not match yours. Your best bet is to use such a guide to identify your state's most cost effective insurers. Then get price quotes from a handful and you'll have a truly comparative guide.

Drive Carefully

Discounts are common for safe-driving records: Some companies give 5% off for drivers with three years of a clear record, raising the discount to 10% for drivers with six or more accident and violation-free years.

Depending on which company insures you and where you live, you may even get a discount if you're a nonsmoker, a woman who is a household's only driver, a senior citizen, or a member of a certain profession (such as law or medicine) that is statistically less accident-prone. All ten of the leading insurers polled by the Insurance Information Institute offered a 15% to 20% discount to commuters sharing driving responsibilities in car pools, meaning they don't drive their cars to work every day.

When comparing policies, consider discounts but don't fixate on them. A discount may very well be offset by a higher premium to begin with.

Your Car Is Rated – Check it Out

Insurers charge more for cars with high claims rates, no matter how good the driving record of the owner. Some charge less for collision and comprehensive coverage on models that score well for safety and durability, but add surcharges for others. A surcharge or a discount isn't a judgment of a car's quality. The rate variations reflect repair costs, accident frequency, theft losses and other factors.

Before you buy your next car, it might pay to check on such differentials.The Insurance Services Office provides a rating service used by hundreds of insurance companies, and your agent should be able to tell you the new car's rating.

Raise Your Deductible

It might make sense to choose the highest deductible you can afford to pay without seriously disrupting your finances. The idea is to pay for affordable damage yourself and let insurance kick in for bigger losses.

Whatever your situation, you can save something by accepting a larger deductible and thus transferring part of the risk from the company to yourself. It's not an ideal solution, but it's one of the few cost-cutting opportunities that are readily available. By raising your collision deductible from $250 or $500 to $1,000, for instance, you might be able to lower your annual premium.

Reduce Coverage On Older Cars.

You could consider dropping comprehensive and collision coverage on an old car to reduce your insurance costs fast. That would expose you to additional risk, but remember that the insurance company won't pay more to fix a car than it's worth. Each year's depreciation therefore diminishes the maximum claim you can make against your collision coverage. If your car is five or more years old, depending on its value, you may be better off dropping both collision and comprehensive coverage and banking the savings. Estimate your car's value by studying the classified ads or by consulting used-car price guides, and consider how much protection you're really buying for your collision and comprehensive premium.

One-Stop Shopping Can Help You Save.

You will most likely get a break for the second and successive cars covered by the same policy, so it's usually more economical to put all your cars on one policy. Similarly, consider using the same company for other policies. Some insurers offer discounts of up to 10% if you cover both your car and your home with them.

The Lingo Of Auto Insurance.

Following are explanations of the major parts of a typical policy, starting with perhaps the most important component:

Liability Coverage:

In case you’re at fault. Liability coverage protects you if you (or another person driving your car with your permission) injure or kill someone or damage property. Assume an accident for which you are clearly responsible: You run a red light, strike another car and injure the driver. Your liability coverage obliges the company to defend you -- in court, if necessary -- and pay claims to the other driver for vehicle damage and bodily injuries, including medical and hospital costs, rehabilitation, nursing care, and possibly lost income and money for pain and suffering. (The liability section of your policy does not compensate you for damage to your own car or any injuries to you. They are covered by other parts of the policy.)

Now assume that you're involved in a collision at an intersection with no witnesses or evidence to pin the blame on either driver. Again, under your liability coverage, your insurer agrees to defend you against most proceedings the other driver may take against you. The company limits its liability payments to the policy limits, or the amount of coverage you select. You can be held personally accountable for any excess. Liability coverage is mandatory in nearly all states (the others have financial-responsibility laws that can be met by purchasing this coverage). But state requirements are modest -- typically $20,000 to $30,000 for bodily injury suffered by one person in an accident, $50,000 for all people hurt in the same accident, and up to $25,000 for property damage resulting from that accident.

How much liability coverage you need?

You should carry as much liability coverage as you can comfortably afford because damage claims today are sometimes settled for millions.

State minimums don't come close to covering the cost of a serious accident. You should carry bodily-injury coverage of at least $100,000 per person, and $300,000 per accident, and property damage coverage of $50,000, or a minimum of $300,000 on a single-limit policy. Raising your limits isn't expensive: $300,000 in coverage costs 20% more than $100,000, on average. The more coverage you buy, the less you have to pay per $1,000 of coverage. Ask your agent for precise figures. You may even want to investigate raising your liability coverage further through an umbrella policy.

No-Fault Insurance.

Liability insurance is your main financial defense against catastrophic damage you might cause to others or their property. But it's not always clear who's to blame for an accident, and proving fault, when it is possible, can entail delays and expensive legal action. Meanwhile, the victims may not get paid.

Enter no-fault insurance, an attempt to take the fault out of liability. The idea is to have accident victims' medical expenses paid by their own insurance companies, regardless of who is to blame for the accident, thereby eliminating the costs and delays of legal actions. No states currently function under a pure no-fault system. Instead, 13 "no-fault" states have adopted a modified no-fault system. Some of those states have adopted "add-on" plans that increase the benefits you can obtain from your own insurance company but do not restrict your right to pursue a liability claim. No-fault laws vary greatly, but they do tend to have some elements in common. Your insurance company pays you and others covered by your policy for medical bills, lost wages, the cost of hiring people to do household tasks you are unable to perform as a result of injuries, and funeral expenses up to specified limits. No-fault plans don't pay for property damage. This is covered by other parts of the policy. No-fault plans don't pay for pain and suffering. For that you have to be able to sue someone.

Collision Coverage: Don't Take Chances.

Collision insurance pays for damage to your car, not the other guy's, and it's optional. After all, you can sue someone you think is to blame for damages to your car. So why buy collision insurance, unless you have to (for instance, if you are financing a car)? For a number of reasons:

You may be the world's most careful driver, but it is still possible that you will cause an accident or be held responsible for one. In that case you can't collect for damage to your car from the other driver. Collision coverage will pay for the damage, even if an accident is your fault.
You may think an accident is the other driver's fault, but he may disagree, casting you both into lengthy legal proceedings. With collision coverage, your company can repair the car and take over your claim against the other driver (a procedure known as subrogation). Your company is ethically, but not legally, bound to fight for enough money to pay you back part or all of the deductible.
You could get into an accident in which the other driver is clearly at fault but has no liability insurance. Suing could be pointless. As you will see later, the auto policy's uninsured (or underinsured) motorist coverage does not necessarily pay for damage to your car in this situation. Collision does.
Suppose you smash your car into a tree or a telephone pole. There's no one to sue. Collision will pay for the damage to your car.

The amount of collision coverage your policy provides, and its cost, will depend on your car and its value. Premiums are much higher for vehicles that are expensive, accident-prone, easily damaged, frequently stolen or hard to repair. Those that score well for safety and durability often cost much less to insure. You should be aware of one special restriction: The insurance company is obligated to pay only up to the car's cash value. That means the market value of the car before the accident, minus the salvage value of the damaged vehicle.

Medical Payments: Coverage You May Want to Consider Not Getting.

If you have coverage for medical payments on your car policy, you and your family members are entitled to reimbursement of medical costs resulting from auto accidents while in your car or someone else's car, or if you're injured by a car while walking or bicycling, regardless of who is at fault. Medical-payments coverage is typically $1,000 to $10,000 for each person protected by your policy. It would cost you relatively little to raise the coverage to a higher amount.

Before you consider additional medical coverage, check to see if it would duplicate coverage you already have under other medical policies, especially comprehensive, high-limit health insurance.

Uninsured Drivers: Protect Yourself.

Despite laws requiring auto insurance in practically every state, a lot of people are driving without any -- or without enough -- liability insurance. The uninsured/underinsured motorist section of your policy protects you if you or family members who live with you are hurt by one of those drivers while you're in your car, walking or, in some policies, bicycling. Your guests also qualify if they are hurt while in your car.

This coverage also applies when you are struck and injured by a hit-and-run driver and, in some cases, by a driver insured by a company that becomes insolvent.

For this coverage to kick in, the other driver has to be declared at fault. This kind of insurance usually covers only costs arising from bodily injuries. In states in which property damages are included, claims may be reduced by a deductible. Generally, companies are obligated to pay claims up to the minimum amount fixed by your state for liability insurance. But often you can purchase higher limits for an additional premium. Most states require insurance companies to offer uninsured or underinsured coverage; some companies combine them. If your company offers them separately, buy both.

Comprehensive Insurance: A Wide Array Of Coverage.

A combination of liability, collision, medical payments and uninsured/underinsured motorist insurance would seem to take care of all conceivable risks. Yet none of that insurance would necessarily cover losses to your vehicle from hazards such as: theft of the car or some of its contents, collision with an animal, glass breakage, falling objects, fire, explosion, earthquake, windstorm, hail, water, flood, malicious mischief, vandalism or riots. Comprehensive insurance, which is optional, will cover those losses, usually up to the car's cash value and sometimes subject to a deductible. In some areas, if you keep your car in a garage or off-street parking area or if the car has a good anti-theft device you can get a reduction in your comprehensive-coverage premium.

Got a horror story about your auto insurance? What has happened to you when you you’ve gotten into an accident? Tell us about it!

Health Insurance – Everyone Needs It, But What is Right for You?

9/23/2009 7:03:00 AM

Everyone should have basic health insurance, but what do you need to be covered? If you’re employed full-time, many employers provide health insurance as a benefit and you should take advantage of everything they offer. If you don’t have health insurance that is covered by your employer, where should you turn. Well, iGrad has partnered with eHealthInsurance to offer you a free health quote. But there’s a lot more to know about health insurance than just getting a free quote.

HMO, PPO – What Does it All Mean?

Millions of people, smart people, are at a total loss when it comes to understanding the jargon of the health insurance industry. And without that understanding, choosing a good health plan is a shot in the dark.

Before you start shopping for health plans, you need to understand one thing: coverage. Although the same condition - emergency care, let's say - is included in many plans' coverage, it doesn't mean that a plan pays for 100% of the cost of emergency care. Some plans cover 80% of the expenses incurred, others 50%. When you shop for health plans, what you're really shopping for is the kind of coverage that's most beneficial to you.

Having said that, you now need to know that there are four basic types of health plans available to people who do not receive Medicare or state subsidized care. A basic understanding of each is essential to choosing one that works for you.

Indemnity Insurance: (also called Fee-For-Service)

This is the traditional insurance coverage you're probably familiar with. It pays for most of your health problems, but doesn't usually pay for preventive care like well-child visits and physical exams. Indemnity insurance doesn't cover the total cost. Coverage is usually limited to a percentage of the billed amount. Under an indemnity plan, you can see any doctor or hospital you want, but the monthly premium is usually higher than other types of health plan.

HMO: Health Maintenance Organization

An HMO covers most of your health care needs, including checkups, immunizations and hospitalization, for a small co-payment typically between $5 and $40. With an HMO there are no claim forms but you can only use doctors and hospitals affiliated with your plan. A list of affiliated physicians is provided by the HMO.

An EPO (Exclusive Provider Organization) is a similar type of plan which functions in much the same way as an HMO.

PPO: Preferred Provider Organization

A PPO covers many of your health care needs for a small per-visit fee if you choose from the list of "preferred providers." You can choose to see a doctor who's not on the list, but you'll foot a greater part of the bill and may have to pay a deductible. Some PPOs do require claim forms.

POS: Point of Service

A POS plan gives you two different choices each time you use health care services: One choice is to use the plan just like an HMO, and you will be responsible for a nominal co-payment, for choosing physicians who are on the list and for obtaining authorizations for certain services and referrals to specialists. Your other choice is to use your health plan just like an indemnity plan by choosing care from either a participating provider or a non-participating provider, without coordinating care through your primary care physician or health plan. When using your health plan like indemnity insurance, you are generally responsible for a deductible and a percentage of your bill.

The Best Time To Think About Health Insurance Is Before You Need It.

Don't wait until you're sick to look for a health plan. Not only does it take time to find a plan you like, many plans have pre-existing condition exclusions, which could leave you out in the cold. Think ahead. Are you planning a family? Will you need surgery soon? Will you be moving out of the area?

If you or your spouse is employed and want to change plans under your employer, ask about open enrollment. But don't wait until the last minute to start shopping around. Give yourself two months to do your homework for the best results.

If your employer doesn't provide health insurance, you'll need to focus on health plans that offer insurance to individuals. You might also investigate associations that offer members the opportunity to join a health plan.

Remember, your health plan is as good as the physicians in it.

A Good Health Plan starts with the Doctor.

The first step in choosing a health plan that's right for you is choosing a doctor who's right for you. If you have a doctor you like, find out the plans in which he/she participates. Next, consider your special medical needs. If you regularly see a particular cardiologist, allergist or any other specialist, you may want a plan that lets you continue doing so without a referral. (This is especially true when choosing an HMO, which may require an authorization to see certain specialists.)

Lastly, think of the hospitals and health facilities you like. Do certain facilities specialize in medical areas that are of particular importance to you? Is one facility more convenient than another? Find out which hospitals are affiliated with which plans.

Choosing the Right Coverage.

A few pointers to help you choose the right coverage for you.

You're single, you earn a good wage, and (lucky for you) you're the picture of perfect health.

Since you rarely see a doctor, your best bet is to choose a plan with a low monthly premium and a higher co-payment. But you should also look for a plan with good coverage in areas that are important to you, e.g., routine physicals, emergency care.

You're a family of four and your oldest is about to start kindergarten.

You'll soon be seeing your pediatrician more than you see some friends. You'll want a plan with low copayments because those visits will really add up. Immunizations, checkups and prescriptions should all be covered expenses. If you already have a pediatrician you like, choose a plan with which he/she is affiliated. You'll also want to make sure a covered urgent care center and hospital are nearby.

You're married and planning a family.

You need a health plan with good maternity and well-child care. Maternity care should include prenatal, delivery and nursery care that begins at the moment of birth. Ideally, you should also plan for unforeseen circumstances like emergency cesarean section and infertility problems. Well-child care will be important to monitor the progress of your healthy baby until 2 years of age. Routine checkups and immunizations should be part of the coverage. Look for a plan with low co-payment since you'll be seeing your doctor a lot.

Let's say you're a 40-50 year old with a modest monthly income.

You've just been diagnosed with a knee problem for which you'll have to undergo ongoing treatment. You'll need a health plan that lets you see the specialists you want as often as you want to. You'll be taking prescriptions, so you'll want to make sure those are covered expenses. Since your income is modest, low co-payments are important. You may pay a higher premium to get the coverage you want, but the advantages will be worth every cent.

Hey, got a question or comment about health insurance? Let us know, we’d love to help you find the answer.

A Life Lesson In Life Insurance

9/23/2009 11:32:00 AM

Do you need Life Insurance? How much life insurance do you need? What type is appropriate? You should review your life insurance needs each time you have a major life event like getting married, having a child or buying a home. Here is what you need to know to properly plan for your life insurance needs—to buy enough and to get the most for your money. Through iGrad you can get a free quote on life insurance through our partner USInsurance.

Do you Need Life Insurance?

The purpose of life insurance is to provide a source of income, in case of your death, for your children, dependents, or other beneficiaries. Whether should buy life insurance depends on whether anyone is depending on your income. If you have a spouse, child, parent, or some other individual who depends on your income, you probably should consider life insurance.

Look At These Situations To See If Life Insurance Is Right for You.

Families or single parents with young children or other dependents.

The younger your children, the more insurance you need. If both spouses earn income, then both spouses should be insured, with insurance amounts proportionate to salary amounts. If the family cannot afford to insure both wage earners, the primary wage earner should be insured first, and the secondary wage earner should be insured later on. A less expensive term policy might be used to fill an insurance gap. If one spouse does not work outside the home, insurance should be purchased to cover the absence of the services being provided by that spouse (child care, housekeeping, and bookkeeping). However, if funds are limited, insurance on the non-wage earner should be secondary to insurance on the life of the wage earner.

Adults with no children or other dependents.

If your spouse could live comfortably without your income, then you will need less insurance than the people in the first situation. However, you will still need some life insurance. At a minimum, you will want to provide for burial expenses, for paying off whatever debts you have incurred, and for providing an orderly transition for the surviving spouse. If your spouse would undergo financial hardship without your income, or if you do not have adequate savings, you may need to purchase more insurance. The amount will depend on your salary level and that of your spouse, on the amount of savings you have, and on the amount of debt you both have.

Single adults with no dependents.

You will need only enough insurance to cover burial expenses and debts, unless you want to use insurance for estate planning purposes.

Children.

Children generally need only enough life insurance to pay burial expenses and medical debts. In some cases, a life insurance policy might be used as a long-term savings vehicle.

Retirees.

There is less of a need for life insurance after retirement, unless it is to be used for other estate planning purposes. You may need to provide an income for the second spouse to die if your retirement assets are not large enough. Further, you will need some insurance to pay burial expenses, final medical costs, and debts.

So You’ve Decided Life Insurance Is Right For You!

After deciding on the amount of coverage you need, you can decide on the type of insurance product to best fill those needs. Although the array of insurance products may seem confusing, there are really just two types of insurance:

Term - whereby you pay for coverage for a specified amount of time, and if you die during that time the insurer pays your survivors the death benefit specified
Cash value - whole life or universal life — which, in addition to paying a death benefit, also provides you with some other redeemable value.

Term Insurance

For individuals age 40 or less, a term policy will almost always be less costly than a whole life policy. Although term policies do not build cash values, many are convertible to whole life policies without a physical exam. Thus, a term convertible policy may be a good option for someone who is under 40. There are four primary types of term life insurance:

Renewable. With the typical renewable term policy—the most common type—the policy renews automatically every year. You do not need to take a physical or verify the fact that you are employed. The premium goes up at the beginning of each new term to reflect the fact that you are older. Most renewable term policies can be renewable until you reach age 70 or so.
Re-entry. With this type of policy, you must undergo a physical exam after a certain period, or pay an extra premium.
Level. With level term policies, the premium is guaranteed to stay the same over a certain period. This period may be shorter than the term of the policy.
Decreasing. With a decreasing term policy—a good option for insuring mortgage payments—the face amount of the policy decreases over time while the premium payments remain the same.

Cash Value Insurance

There are four types of cash value life insurance: whole life, universal life, variable universal life and variable whole life. The first two types are the most common and have a guaranteed cash surrender value; in the last two types, the cash surrender value is not guaranteed.

Whole Life.

This is the traditional life insurance policy. It provides a death benefit, has a cash value build-up, and sometimes pays dividends. You do not need to renew a whole life policy. As long as you pay your premiums, you will have coverage, usually until your death. The premium for a whole life policy remains the same for the amount of time you own the policy. Part of each premium goes into the cash value of your policy. Your cash value, which is actually an investment, is guaranteed to grow at a fixed rate. You do not have to pay current income taxes on the growth in the cash value—it is tax-deferred and you can borrow against it or make partial withdrawals.

Universal Life.

Universal life, also known as "flexible premium adjustable life," is similar to whole life, but offers more flexibility in terms of payment of premiums and cash value growth. With a universal life policy, your monthly premium amount is first credited to your cash value. The company then deducts the cost of your death benefit and the expenses of the policy. These costs are about equal to what it would cost to buy term coverage. As with whole life, your cash value grows at a fixed minimum rate of interest. The growth of the cash value is tax-deferred, and you can borrow against it or make partial withdrawals.

Variable Universal Life.

Variable universal life allows you to choose the investment for your cash value. You have a potentially greater cash value growth, but you also have added risk, depending on the type of investment you choose.

Variable Whole Life.

With variable whole life, the death benefit and cash value will depend on the performance of an investment fund that you choose. Again, you have potentially greater reward, with its accompanying risks.

Shopping For Life Insurance.

In order to be able to shop for the best premiums, it’s a good idea to know how premiums are calculated by insurers. Bear in mind that premiums vary among insurance companies, and it is a good idea to ask several insurers for their rates. Insurance companies place individuals into four risk groups: preferred, standard, substandard, or uninsurable. The premiums charged will be commensurate with the category you are placed in. The good news is once an insurance company approves you for coverage, you cannot be dropped unless you stop paying your premium.

Here Are Some Questions To Ask About Policies Before You Buy:

How do cash values accumulate? An early, rapid build-up is generally preferable.
How has the policy’s cash value performed in the past? You can get this information from a publication called Best Review, Life and Health. Determine how the policy performed in comparison with the company’s projection and with other insurers.
Are any special features merely bells and whistles, or do they add value for you?
What is the company’s rating with Best, Standard & Poor’s, and Moody’s? You can find these publications in public libraries. The rankings should be in the top three to ensure that a company has financial stability.

Got a question about life Insurance? Ask the iGrad community and we’ll see if we can’t get you an answer.

I Just Graduated. Now What?

3/2/2010 12:58:00 PM

How to take control of your financial life after college.

Graduating from college is exhilarating... right?

It definitely is, until you have a moment to sit down and breathe in between the graduation ceremony, the gown fitting, and the week-long party. If your experience is anything like mine was, that's when the terror sets in. Because within the span of a few weeks' time, most ex-students face several of the scariest financial scenarios they've ever had to deal with, one right after another.

But most of us experience the same issues. Here's a rundown on the challenges I dealt with, and how I handled it - and in some cases, how I'm handling it now several years later.

First post-college-job jitters.

Once you toss that cap, the pressure is really on, like it's never been before when you were scrounging for pocket change with summer jobs. Your parents, friends, and professors all expect you to move up, on and out; even when the economy's in a downturn, it's tough to convince mom and dad that jobs are scarce.

In my case, dealing with that "first real job" pressure was really tough. I felt I had a lot to prove, and I was surprised by my early rejections. I had done so well in school! I had worked all my life! I'd had meaningful internships and study abroad experiences! Why was the interview process so daunting?

The short answer was that I was looking in the wrong places for work. Instead of continuing my fruitless search for higher-paying professional track jobs, I took a lower paying job in the non-profit industry.

As a liberal arts major, a writer and a bleeding heart, I not only got a great job with great co-workers, but I made up for the smaller salary by enjoying the non-profit world's wonderful fringe benefits. (Think $5 copay on doctor's visits, vacation time in the first year, and plenty of sick/personal days.)

Where'd my health insurance go?

If you were covered by your parent's health insurance during your college years, you probably qualified because, even though you were over 18, you attended school full time. Now that you're out, you're technically an independent. Meaning, most insurance companies are inclined to expect you to, well, pay for your own plan.

But fear not! I know this is a hot button issue in the political world, but sites like eHealthInsurance.com (which will provide iGrad readers a free quote), Esurance.com and Insureme.com actually make finding short-term coverage easier than ever. You also need to educate yourself about COBRA, and whether you qualify for it or not.

Although it can be expensive, if you're not as lucky as I was in nabbing a job with benefits straight out of school, set aside some money, do your homework, and you will have health insurance you can afford, if you do your due dilgence. I can't recommend enough the importance of researching a Plan B for health insurance as soon as you're in your last semester of school.

Grace period's over: student loan repayment plans.

If you weren't feeling the burn before, you definitely will experience the first tremors of what it's really like to be an adult once your student loan grace period ends and your repayment term begins!

For me, that was exactly six months after graduation. Even in the best of circumstances, six months isn't a very long time to figure out the rest of your life - or what you'll be able to afford to pay each month to a bank.

Although I vaguely knew I had accumulated about 15,000 dollars in debt (more money than I'd ever seen in one place), I had no idea how my monthly payments would look, having borrowed from two different lenders under very different terms.

When I finally did the math, my eyes nearly popped out of my head. I had to pay my own rent, my own car insurance, my own bills, my own health insurance and several hundred bucks a month for my loan repayments? I couldn't handle it.

But after I picked my jaw up off the floor, I made some phone calls to find out more about loan consolidation. Not only did that save me in total interest paid over the life of the loan, but it also simplified my life. And by paying on time every month with a qualified checking account (EFT), I knocked another point off of my interest rate.

Bottom line? It's not as tough as you think.

If I got through it, so can you. I didn't even have much help, other than my wits and an internet connection (which helped, a lot!).

How did you deal with the financial realities of post-college life? Did you get help from parents, personal loans, or other resources? What advice would you give students about to graduate and face the same issues?

Start Saving Strategy

3/8/2010 11:14:00 AM

Wouldn’t it be wonderful if money really did grow on trees? Unfortunately the money trees you buy at the garden store don’t produce dollar bills; in fact, it costs you to purchase them! Starting out after college can be a stressful time for finances.

The excitement of receiving a salaried wage often prompts new professionals to spend like a crazed teenager with an unlimited credit card in the mall. Too many new professionals find themselves with sparkling new big ticket items, but no money for groceries, and worse yet no “cushion” in case they become the latest victim of the revolving recession door.

These days, it’s imperative to save for a rainy day, because you never know when that day will come. Live according to your income by working with what you have, and not accumulating debt, and listen to your accountant - always put aside 10 percent of every paycheck, if you can!

Saving Tips for the Recent College Graduate

Set goals, make a budgetary plan, and stick to it. Look at your living expenses and decide what the bare minimum is that you can live on contently. For example, if you are single and living by yourself, you are probably paying over $200 in “extras” such as cable connection, and a gym membership, on top of your rent and utilities. Even though watching Food Network at 7 p.m. to whet your appetite is nice, it’s not necessary, especially when cable alone runs an average of $75 for a monthly bill.

While having internet might be necessary, the cable is not, and that may be money better spent in your savings account collecting a monthly 5% interest. If you can’t part with cable, and you’re paying monthly for a gym membership, cut your financial losses by working out at home to fitness channels such as Fit TV, or better yet, invest in a few DVDs and work out in the comfort of your home.

Planning is key to reaching your financial goal. There is more mental comfort to living off of your savings, versus credit cards, during unfortunate transitional periods. Years of savings will also pay off when you do want to make large future purchases such as a house, or even starting a family of your own.

Think “eco” with your planning.There is both an economical and ecological benefit to this strategy. For example, limiting the use of utilities is not only great for the environment but also increases significant savings on your utility bill. You can finally listen to your mother and start turning off lights, appliances and electronics when not in use. Save time and money by limiting your travel and correspond your errands with your daily work commute. And don’t be afraid to explore new travel arrangements including carpooling and public transportation to cut down on travel costs. When someone else is doing the driving, you save money and have time to read a book, relax, or catch up on work.

Limit your food expenses. It is so easy to grab fast food during the course of a busy week, but do your budget and belly a favor by planning ahead with a weekly menu plan. Set a reasonable average weekly budget, and include snacks, healthy options (whole grains, legumes and vegetables), and indulgences such as spirits and desert to avoid tempting weeknights out. Searching online for tasty recipes will help with planning.

You will be able to divide recipe items (such as chicken, fresh herbs, vegetables) up between meals. Preparing the meals ahead of time will also reduce the temptation of “grab and go,” especially for late nights at the office.

Once you are at the grocery store, you can also save money by using grocery coupons, buying the generic store brands, and signing up for a customer reward card for discounts. When eating out, be sure to look online for restaurant promotions such as “buy one entrée, get one free,” to help keep food costs down.

Limit the expense of possessions by living with less and buying only what you absolutely need. The simplistic rule of thumb is quality over quantity. Let’s face it, we are living in a very disposable culture nowadays, and with trends coming and going quickly your money almost lasts longer then the skinny jeans craze. Start by having a basic wardrobe of well-fitting, quality constructed clothing.

Trendy items are always a fun splurge, but make your wardrobe expenses part of your overall budget to keep clothing costs down. It is also a good idea to think of clothing as an investment rather than a necessity. And don’t be afraid to check out resale and consignment stores where you can also sell and trade your own used clothes. There are many upscale consignment stores where well-crafted designer clothing and accessories can be purchased for a fraction of the original retail price.

After all, it’s more about how you wear, than what you wear. If you absolutely need to purchase this season’s saucy gladiator sandals, first search online for low pricing, and then check out inexpensive stores such as H&M or Charlotte Russe to keep spending down on such items that might not see another season.

Treat yourself now and then.The worst thing you can do to your morale is deny yourself an occasional reward. You worked hard all week, stayed with the budgetary game plan – you deserve something! Consider this a “mini” goal, and add it in to your overall budget plan by keeping your rewards specific.

For example, it is easy to go down the slippery slope of rewards by treating yourself to dinner out with friends, buying a new pair of dark rinse jeans, and adding a few more selections to your wine collection all in one weekend. These rewards can easily pass the $200 mark within two days, and if this happens a few weekends in a row your savings suddenly takes a hit.

Use cautionary discipline and limit your “rewards,” or incorporate “fun money” into your budget and stick to it! This is a habit that will not only pay off down the road with savings and investments, but will also be a great lesson of discipline to teach future generations.

We should all benefit from lessons learned from the recession and remember that constraint is not a ten-letter word, but rather a front-forward way to live life. What’s your best recession lesson?

Banks vs. Credit Unions–Does it matter?

3/9/2010 9:09:00 AM

Unhappy with your current financial institution? Wondering if the grass is greener on the other financial side?

Banks have taken a huge public relations hit in the media since the TARP fiasco, but life has moved on, and many people are still with their banks. While credit unions have experienced a surge in membership, and are touted positively for their great customer service and low fees, it is still a good idea to give banks a fair viewing in this ongoing debate. Deciphering the banks versus credit union debate can be a bit daunting, but sometimes the best answer lies in the middle.

How Banks Work

Banks come in different shapes and sizes - some are big and nationwide while others are smaller, local institutions. Anyone, in any city or state, can open an account with a bank, and because of this membership factor banks are generally more accessible nationwide.

Banks are federally insured by the Federal Deposit Insurance Corporation (FDIC), and are run by a group of investors who have a large amount of capital that goes into funding for the bank. The Board of Directors is hired, and paid, to make all of the decisions for the bank. Customers hold no voting privileges or decision-making power within the institution.

Unlike credit unions, banks are for-profit, and have to pay taxes to the government. Because of these factors, a bank’s primary purpose is to make money for the investors and for the stock holders, as well as make enough to cover their taxes and in-house operations.

How Credit Unions Work

Credit unions are designed to serve a particular group or neighborhood. People who use credit unions for their financial services are members of the credit union, instead of being just customers. When you open an account with a credit union, you become a shareholder, and part owner of the credit union. Since credit unions are nonprofit organizations, the profits incurred by the credit union directly benefit the members after covering overhead costs. The more members depositing money into a credit union - the higher the benefits to existing members.

Credit unions are insured by the National Credit Union Administration (NCUA), and are democratically controlled by the members. Members elect their Board of Directors, who are chosen to fully represent the members in making decisions and upholding policies. This also means that members have more say in how the credit union is run, and hold decision-making power.

Pros

Banks offer a wider range of services, and are often more accessible to customers. For example, if you have an account with a branch of Wells Fargo in California, you can access that same account at branches and ATM’s in Wisconsin. Banks will often offer attractive rates on their checking or savings accounts in order to be competitive with other banks.

Since banks need a certain amount of deposits in order to meet their reserve requirements with the Fed, they will often bump up their rates to attract people since every financial institution is required to keep a certain amount of money on deposit with the Federal Reserve. Banks also tend to have larger variety of products and services that may allow you to centralize your banking needs versus having to keep track of accounts at several institutions.

Credit unions are often chosen over banks for their lower interest rates and low-cost services. Since credit unions are tax-exempt, they don’t charge the high fees and finance charges of traditional banks. Credit unions also use the income, from fees, to give back to the members in the form of lower rates on loans and higher dividends for savings and Certificates of Deposit.

A credit union’s primary goal is to keep all of their members happy because their success depends on membership. Recently, more credit unions have begun to expand their services to include checking accounts, IRAs and credit cards. Many credit unions worldwide have also begun to diversify in the types of loans they offer including student loans, small business loans and mortgages.

Another perk due to the fact that credit unions are non-profit is that they don’t have to compete with one another as do the bigger banks, and work in tandem by forming alliances that benefit their respective members.

Cons

A current trend among banks, that is sending more people to credit unions, lies in the charging of monthly fees. For example, if you have a checking account with Bank of America, you will be charged a monthly maintenance fee unless you have direct deposit from your employer or maintain a specified balance.

Customer service has also been a huge factor in customers heading through the credit union doors. Because credit union customers are partial owners, they tend to uniformly have a higher level of customer satisfaction, not to mention the strength of a CU depends on membership. Banks also often push their products, despite possibly better available options. Credit unions aren't focused on profits, since they are not-for-profit, and recommend what they think is best for the customer and not for the institution.

The biggest deterrent from joining a credit union is their relative inconvenience compared to banks, as they typically have fewer ATMs, and branches, and usually lack variety in investment products and services. Not all credit unions offer credit cards because it is fairly expensive to carry a portfolio. If they do offer the credit cards, it is rare that they are handled in house. Some credit unions also have restrictions on memberships, such as University CUs , or union-based CU’s.

The Winner?

There really is no winner or loser in this debate – well that is if you view the information unbiased. At the end of the day, both financial institutions have pros and cons. The best approach to have is to determine your needs and wants, then research rates and services for both local credit unions and banks.

Often using a combination of the two types of financial institutions is most beneficial. For example, if credit unions have higher interest rates on savings accounts, you might want to open a savings account with your credit union, while leaving your checking account with a traditional bank.

If you need a new checking or savings account, iGrad likes the following companies for their ease-of-use, great customer service and competitive interest rates:


No monthly fees $50 bonus for opening account No minimums	No monthly fees No minimum balance requirement	Savings rate in the top 5% of US Banks Free mobile banking

Do you use a credit union or a bank? Tell us about how you made your choice in the comments below.

Healthy Gourmet on a Budget

3/16/2010 5:30:00 PM

Everyone has tips on saving money these days when it comes to grocery shopping: clip coupons, buy store brands, buy in bulk, get a grocery store card, buy day old bread, et cetera. Tips that your mother probably told you as you went off to college that you forgot by first semester midterms. These are great tips, but you can do better!

Store Coupons and Cards: Background

It all boils down to marketing, marketing, marketing. When you sign up for a store card, you save money but you’re also helping pay for that store’s marketing efforts. They are using customers’ purchases for analytical information, as well as establishing customer loyalty through their “club.”

Coupons are promotional (marketing again), and they come straight out of the store’s marketing budget to fuel a surge in grocery spending. This exploitation of our grocery needs is not necessarily a bad thing; in fact, it’s a back scratch for both the customer and the store.

However, coupons are often for items you may not need (or want), and there are grocery stores that keep their prices low without their customers feeling awkward when asked, “Do you have your rewards card today?”

Planning is the word of action for preparing a healthy and affordable grocery budget. Give yourself four hours during a free day, to include shopping and prepping. The rest of the week will be taken care of, and you will save money and look great!

Plan for a Happier You

Before heading out to the grocery store, scan your cupboards and refrigerator for any meal components you may have. For example, start with that half bag of frozen veggies (carrots, snap peas, baby corn) sitting in your freezer from the week before, and the half a box of couscous in your cupboard. Add a couple chicken breasts, egg rolls and a bottle of Soy Vay to your list, and midway through the week you have a quick and easy stir fry. The entire meal will take less than 20 minutes to prepare. You just need to sauté the chicken and vegetables (15 minutes), and boil water for the couscous while the egg rolls cook in the oven (10 minutes). At the end, you have added the protein and nutrients needed in your daily diet, while saving money.

Back to the topic of planning: multi-task your shopping ingredients, especially if you’re cooking for >2. For example, add a pound of pork tenderloin to your list, but use half and freeze the rest for a future meal.

Buying in bulk is also a great option, but should almost always be frozen (you have less than a week to eat most fresh items). Add frozen items such as a bag of chicken breasts, berry medley, naan, and your favorite vegetable mix to your list. You will save money by purchasing these items in bulk, and these items will fit nicely into your menu pipeline.

Pantry Prep

To make the planning a little easier I usually start out with pantry items, and then throw in my fresh favorites (zucchini, mixed greens, red peppers, strawberries, bananas, etc.). Once the basics are on my grocery list, I jump to a second list - the menu plan.

There are so many delicious and nutritious meals that can be made very easily. The key is to keep it simple. That bag of frozen chicken breasts can easily turn into multiple quick and easy meals including chicken salad, chicken tacos, grilled chicken Caesar salad, or chicken and veggies with penne pasta and basil tomato sauce.

Before you know it, the two lists (and your creative mind) will have helped produce enough meal options for than just a week! Additional “fun” food items will also pop up as you create these lists, such as egg rolls, veggie chips, frozen sweet potato fries (tasty and full of vitamin A!).

Don’t forget to add in the naughty rewards too. Purchasing items such as spirits, desserts and snacks will help you reconsider nights out and impulsive buys at your company’s vending machine. The next time you feel like going out on a weeknight, that ten dollar bottle of Zinfandel may seduce you to a night in – adding more money to your date night on Saturday.

Schedule a Date for a Healthier You

Now you’re going to say, “But I don’t have the time to make even one meal.” That’s ok, we all suffer from time depletion. Remember the four hours I mentioned? One hour of that time frame goes to shopping, the other three will be spent in the kitchen.

Since you have to take the time to put away the groceries – might as well tack on a few hours in the kitchen. Prep and freeze meals for the week. This is a process that seems odd at first, but you only have to chop, cook and clean pots and pans one day a week! Preparing food ahead of time also enables you to reach for healthy snack options (carrots, red peppers, grapes, cheese), versus high caloric chips and doughnuts. Having multiple sized glass containers (very eco-friendly) on hand will also help with this process.

Follow these simple steps:

First, clean and chop all your fruits and vegetables, set out half of the bag of frozen chicken breasts out to thaw (pre-heat the oven to 375 degrees), and start boiling any pasta or potatoes needed for meals.
Store a portion of the fruits and vegetables in glass containers for snacking, and set aside the rest to assemble your meals.
Throw the thawed chicken breasts (about six) into a baking pan, squeeze the juice of a fresh lemon and sprinkle olive oil over both sides of the chicken, then let cook for 45-50 minutes (check at 40 mins. for pink in middle).
Once the chicken has cooled, the rest of the cooking items should be ready as well.
Assemble into baking pans, dishes, or containers, then freeze or fridge accordingly. No more eating tasteless microwave dinners or boxes of crackers. You have everything ready for those late nights home – just turn on the oven!

Once you get in the habit of buying healthy and preparing meals in advance, you’ll have more energy (minus the sugar spike), not to mention more time. Plus, eating habits can fuel existing stress to obnoxious proportions, so a balanced diet is important.

Besides, if you don’t have the time to prepare a meal, chances are you don’t have much time to exercise either! Try this stress-reducing method first and take care of yourself by creating these healthy options ahead of time. Cooking can actually be a very therapeutic art form with tasty results. Who knows, maybe after you conquer this feat, you’ll have time to consider jogging again!

How do you find time to prepare decent meals when you’re strapped for time (and cash)? What are your best pantry tricks and tips?