New York Court Sends "Amazon Tax" Case Back for More Information

Earlier in the week a New York court handed down its decision in the state's case against Amazon.com. New York requires businesses without property in the state to collect taxes if they receive revenue from affiliates located in the state. Essentially the court is asking for more information and did not strike down the law or dismiss challenges against it.

The Tax Foundation reports

In Quill Corp. v. North Dakota and other cases, the U.S. Supreme Court has held that states can tax interstate commerce only if the target company has a "nexus" with the state - property or employees in the state. Otherwise, the Court has held, there is a serious threat to interstate commerce as states try to impose thousands of sales taxes, each with different rules.

The New York court's opinion was 13 months in coming, and it neither dismisses all challenges against the statute as the trial judge had, nor does it strike the statute down as unconstitutional. Indeed, the specific ruling by the majority is to send the case back to the trial court to further develop the record. The majority says the key unresolved question is how significant the affiliates are for Amazon's operations in New York and whether they actively solicit.

Amazon argued that affiliate referrals represent just 1.5% of their sales in the state. The court acknowledges this but says they need more information to determine significance. In a footnote, they suggest that a high dollar figure could be significant regardless of proportion. This is a mistake - significance to operations should be a judgment based on the proportion of the whole operation, not just a dollar threshold.

The Court rightly emphasizes that advertising does not create nexus. However, the opinion ominously notes that the challenged law would be valid if "a New York representative uses some form of proactive solicitation which results in a sale by Amazon, and a commission to the representative; and the representative has an in-state presence sufficient to satisfy the substantial nexus test." What they forget is the significance to operations test, which they emphasize elsewhere. Solicitation plus sales creates nexus for the affiliates, but it shouldn't create nexus for Amazon.

Read more here

Baseball's Best Playoff Players For The Buck

From Forbes.com:

High-performing bargain players like Joey Votto and Johnny Gomes are the reason the Reds are in the postseason.

A winning baseball roster isn't put together by money alone. Cash helps, but for most ball clubs, it's limited. And that requires a front office that's savvy enough to find bargains.

This year's eight-team playoff field includes payrolls from all over the spectrum: High (Yankees, Phillies), middle-high (Giants, Twins), middle-low (Braves, Reds, Rays) and low (Rangers). All but the Yankees and Phillies have one common ingredient: at least one player on our list of top performers for the buck among this year's playoff participants.

The most cost-efficient player in the postseason, Reds' first baseman Joey Votto, is a strong favorite for the National League Most Valuable Player Award after hitting .324 with 113 RBI, while leading the league in on-base percentage and slugging percentage. Votto's 2010 salary: $525,000.

To rate players' contributions on the field, we used a method popularized by Baseball Prospectus, Value Over Replacement Player (VORP), which calculates how many net runs a player is responsible for producing for his team relative to a hypothetical "replacement" player assumed to perform at an average rate for minimal cost. We then factored in salary to determine players' performance per dollar. Votto's VORP score of 78.2 was fourth-highest in the majors in 2010, and easily the best on a per-cost basis among postseason players.

Up to 75,000 Dollars, Money Buys Some Happiness

We have all heard the saying that “money can’t buy happiness”. However according to a new study from Princeton University, low-income levels are often associated with low emotional well-being and life evaluation, while higher incomes are associated with the opposite. They did find that the effect diminished drastically past annual incomes of $75,000.

AFP reports:

The latest study adds a new element to a long-running debate among academics and others on whether money can buy happiness -- the definition of which can be elusive.

"We conclude that high income buys life satisfaction but not happiness, and that low income is associated both with low life evaluation and low emotional well-being," the researchers write in the Proceedings of the National Academy of Sciences.

They said the effect of income on the emotional dimension of well being "satiate fully at an annual income of around 75,000 dollars."

"More money does not necessarily buy more happiness, but less money is associated with emotional pain. Perhaps 75,000 dollars is a threshold beyond which further increase in income no longer improve individuals' ability to do what matters most to their emotional well-being, such as spending time with people they like, avoiding pain and disease, and enjoying leisure."

The research was based on an analysis of responses to 450,000 responses to the Gallup-Healthways Well-Being Index, a daily survey of US residents conducted by the Gallup Organization in 2008 and 2009.

The level of 75,000 dollars was just above the median income of 71,500 dollars for US households in 2008.

Read more here

Celebrities with the Worst Money Problems

We have all heard it said, “Mo’ money, Mo’ problems”. Although most of us associate celebrity status with money and fame, a lot of the so-called “rich and famous” are actually facing serious financial problems. WalletPop.com put together a great piece on which celebrities have the largest money issues. You can find a section or their list below, but checkout the full article at WalletPop.com.

Tiger Woods: $100 million

The $100 million that Woods owes to his ex-wife in a divorce settlement may not be a money problem to Woods, who has a net worth of $900 million and makes $85 million a year, according to CelebrityNetWorth.com. But $100 million is still a lot of money and it has to hurt to write a check that large to an ex. And with his golf game falling short lately, that annual salary may also be on the decline.

Jay-Z: $50 million

The rapper must be thankful he signed that $150 million music deal with concert promoter Live Nation. That money should come in handy as he tries to cover his $50 million loss on two Manhattan hotel projects that he bought in 2007, but has been unable to turn into J Hotels. Some reports have him spending $65 million on the property. Whatever the amount, it's been a losing proposition for Jay-Z. The housing market crashed, something even Jay-Z, born Shawn Carter, couldn't fix with the Midas touch he has had on his other businesses.

O.J. Simpson: $33 million

After being acquitted of murdering Nicole Brown Simpson and Ronald Goldman, a civil court found Simpson liable for $33.5 million to the Goldman family in a wrongful death suit. But then things got even worse. Simpson is now in a Nevada prison serving up to 33 years for robbery and kidnapping. Simpson tried to make money by writing a book entitled If I Did It, Here's How It Happened, but that project was quickly shelved.

Retirement May Mean a Lifestyle Downgrade

With the baby boomers reaching retirement age, many of them are looking forward to settling into a nice, comfortable retirement. However, a new report from the Employee Benefit Research Institute suggests that more than half of these baby boomers are at risk of having insufficient funds to pay for the full extent of their retirement expenses.

Nearly half of older boomers -- those now aged 56 to 62 -- and some 44% of younger boomers -- aged 46 to 55 now -- are at risk of not having sufficient income to pay for basic retirement expenses and uninsured medical expenses, according to the study.

The study, which assumed that boomers would retire at age 65, also found that lower-income retirees are most likely to run out of money after 10 and certainly 20 years of retirement, while higher-income retirees are least likely to run out of money.

41% of those with the lowest income are likely to run short of money after 10 years of retirement, and 57% after 20 years. Meanwhile, just 5% of those in the highest income quartile will run out of money after 10 years, and 13% after 20 years.

So, what to make of this study?

Run out of lifestyle, not money

In reality, most Americans don't run out of money, they run out of lifestyle. As they age and spend down their assets, they typically reduce their living standard.

Continue reading at Market Watch.com…

Haiti Donations: $1.3 Billion

Relief organizations in the U.S. have raised an estimated $1.3 billion for Haiti relief, but experts are warning that more support will be needed to continue dislocated Haitians throughout hurricane season. Philanthropist Stacy Palmer says that while the money donated has provided food, water and shelter to many, the temporary homes most Haitians are living in are not suitable to withstand hurricane weather.

The donations have been enough to provide basic necessities such as food and water, according to Stacy Palmer, editor of the Chronicle of Philanthropy. But now homeless Haitians also need help fending off tropical storms.

"That's potentially worrisome with the hurricane season about to begin," she said. "The kind of shelters that people are in right now are tarps and things that would not necessarily be able to withstand a hurricane. The goal is to get sturdier kind of housing."

Palmer said that $1.3 billion is an impressive tally, coming close to the $1.6 billion that was raised in the wake of the 2004 tsunami in the South Pacific.

Continue reading at CNN.com…

Bonds: Avoid the next great bubble

“Fueled by a combination of fear and greed. ” That is how CNNMoney.com describes the bond market bubble. According to CNNMoney.com:

A projected $380 billion will pour into bond funds this year, more than went into domestic stock funds in the past decade. That's on top of a record $376 billion last year. All this money flowing in has made bonds very expensive.

It's true that bonds are less volatile than stocks. But in fact they lose money just as often as equities do. "I don't think the public understands they can lose money in bond funds," says James Swanson, chief investment strategist at MFS, an asset-management firm in Boston.

So that's the fear part. The greed part comes from an entirely different group of people: safety-loving folks who normally park their money in cash, such as bank savings accounts, CDs, or money-market funds. Fed up with the meager interest rates those accounts are paying these days -- the average taxable money-market fund yields 0.03% -- they're venturing into short-term bond funds to eke out a bit more yield.

Why the bubble could burst

One part of the bubble is already leaking air: long-term government bond funds. Because they invest in super-safe U.S. Treasuries and other forms of government-backed debt, they were a popular place to hide during the mortgage meltdown.

But when the economy began improving and rates on 10-year Treasuries began rising (from about 2% at the end of 2008 to as high as 4% in April before slipping to 3.3% today), these funds started suffering. In fact, the Vanguard long-term Treasury bond fund fell 12% in 2009 and, despite the recent run up in Treasury securities, is still down 5% since the end of 2008.

Experts say that's just the beginning. Read about the major factors that could harm bonds further here.

Talk Tax With Your Partner

Maybe you’ve already met the one for you and are either in or on your way to marital bliss. If so, congratulations on being so lucky-in-love! When you have decided to spend the rest of your life with someone, please find the time to have a discussion about finances—including taxes. You’ll be doing your love life a favor for years to come. And you’ll ultimately be doing yourself a favor knowing beforehand exactly what financial situation you are getting into.

Here are five tax topics to discuss with your partner:

1. Tax Debt. Have a candid discussion with your partner about whether they currently owe or will owe the IRS. Really, you and your partner should have a number of conversations concerning finances and debt, but just make sure that one is focused specifically on tax debt. This will also help you determine whether or not you will file jointly or separately.

2. Compliance. Has your partner filed all required tax returns? Failing to file a tax return can result in penalties and ultimately a hefty tax bill. It also is a good clue as to who should and shouldn’t be in charge of taxes moving forward.

3. Easy Money. Weddings can be expensive and the temptation to pull from a retirement account to assist with the cost can be difficult to resist. However, there are serious tax consequences for doing so. Another important question is whether or not your partner has already borrowed from a 401K or IRA account. They will likely have to pay taxes (or even a tax penalty) on this amount.

4. Other federal obligations. The IRS has the authority to collect back child support, alimony and federal student loan obligations. The IRS has the ability to withhold all refunds due and apply the funds to the back obligation; so if your partner owes other federal obligations you may want to file separately.

5. Filing status. Jointly or separate. Again, this is an important talking point. Although, the most advantageous filing status for married individuals is married filing jointly, there are instances in which spouses should opt to file separately. See the chart below:

File Married Filing Jointly if:

• All of your financial information is comingled and easy to access
• Neither spouse has a preexisting tax debt or other federal obligation
• You want to take advantage of every tax credit and deduction available

File Married Filing Separate if:

• One or both spouses have pre-existing tax debt or other federal obligation
• Both partners earn equitable income
• One partner has significant itemized deductions that are subject to the AGI floors (e.g. medical expenses, casualty losses, miscellaneous itemized deductions
• One partner has a tendency to use questions tax-filing decisions

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Our Money Survey Reveals What Matters

According to Kiplinger.com, 1000 Americans have participated in a money survey through Synovate eNation and the results regarding Americans and their money are very interesting. Knowing these answers could help you understand your customers or clients if you have a business or a product to sell. While over half of those surveyed said that recent economic challenges had caused them to better align their personal values with their financial decisions, on the flip side, the recession has taken its toll on their charitable activities. Asked if they give back either financially or through volunteer efforts, a whopping 34%said no. The survey reported some other information as well, take a look:

Americans seem to be "struggling," at least that’s how one-third of the 1,000 respondents replied when asked to describe their financial situation. Another 24% said that they were worried, versus 29% who described their financial situation as stable. What's more, 43% said their finances had gotten worse over the past two years.

Their concerns have shifted. "Not enough retirement savings" continues to top the charts, cited by about one-fifth of survey respondents. But Americans now worry more about losing their job than they did two years ago -- 18% versus 15% -- and are less concerned about credit-card debt -- 13% versus 18% two years ago.

They're less willing to take risks. A whopping three-fourths of those interviewed say recent market volatility has affected the way they handle money at least a little. And 55% are less willing to take risks with their money. "Ironically, by shunning stocks and thinking they are avoiding market-volatility risk, people are assuming the risk of simply not having enough growth in their retirement portfolio to reach their long-term goals," says Patrick Egan, director of asset management for Thrivent Financial.

To see more take a look at the article here.

Three American cities on the brink of broke

Jefferson County, Alabama, Harrisburg, Pennsylvania, and Detroit, Michigan are going broke. According to Fortune magazine, via CNNMoney.com, the leading causes of financial upheaval for these three American cities are rampant unemployment, timid consumer spending, and underfunded public pensions. These cities are facing financial ruin mostly brought on by problematic politics and poor financial decision making by city officials.

Municipal bonds that are issued to fund public projects such as roads and public buildings have a less than half percent rate of default within a 5 year average, and are historically the safest avenues to invest. However, municipal bond defaults are on the rise. If these cities default on their debt, then the other, already financially overburdened states, as well as American taxpayers will have to foot the bill.

Read more here. Tell me what you think about this topic:
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Get the most from your Social Security

The Social Security system has been on the minds of many people these days. It has been speculated, for many years now, that Social Security won’t last. With an estimated 77 million Baby Boomers on their way to retirement, something simply has to be done to ensure that those that have contributed to social security receive their share in full.

Social Security is a mandated supplemental retirement system in the Unites States that was established in 1934 as a part of Roosevelt’s New Deal. The intent of the program is to ensure a threshold sustenance level to senior citizens who previously faired way below poverty during the Great Depression. (http://www.wisegeek.com/what-is-social-security.htm).

See six tips from WalletPop.com that can help get you more from Social Security when you retire.

Spring Cleaning for your Finances

Tax season has come and gone and spring is here in full force. During these transitional weeks many people take on extra spring-cleaning duties. However, in addition to cleaning out your garage, or spending hours getting your yard ready for a huge pool party, I recommend taking a few minutes to clean up your finances.

Clean out your Filing Cabinet

The IRS recommends you keep copies of all tax returns, however additional tax related documents – such as W-2s, 1099s, and receipts – do not need to be kept more then a few years. You can clear up some room in your filing cabinet by shredding any documents that do not need to be kept. You should also think about getting rid of any documents that can be replaced such as credit card and bank statements you still have from previous years.

Review your Credit Report

All taxpayers are allowed one free credit report per year. While doing your spring cleaning it is a good idea to request a copy of your credit report to make sure there are no mistakes or unfamiliar activity. It is better to address these issues sooner then later and if you have not reviewed your credit report recently, I highly recommend doing so as soon as possible.

Create a Plan for your Debts

Debt is a serious problem for millions of Americans, but it does not have to be. By taking the time to establish a plan to deal with your debt, you will see that it does not have to ruin your life. Start paying off credit cards with the highest interest rates, and if your debt is seriously out of control you might want to consider a debt settlement program.

Consolidate Accounts

If you have more than one banking account then you might want to spend some time consolidating your accounts. Unless you have a banking account for your business you probably do not need multiple checking and savings accounts. It can be very difficult to manage your money, and plan a path to get out of debt when you have dozens of bank statements to review. However, by consolidating your accounts you can keep better track of your finances, and depending on where you do your banking you can take advantage of additional features such as online bill payments.

Track your Spending and Start a Money Calendar

If you find yourself scratching your head at the end of every month wondering where all of your money went then you might want to track your spending a little better. Keep a receipt from every purchase you make, and after a few weeks you should have a pretty good idea of where your money is going. It can also be helpful to create a money calendar listing days that you get paid, and due dates for important bills.

Automatic Savings

Most banks will allow you to setup automatic transfers to your savings account, and this can be a great way to help build up an emergency savings. Even if it is only a $10 or $20 reoccurring transfer it can still help you get in the habit of saving money for a rainy day. Just make sure that your savings account is not charging a high monthly fee.

Prepare for Next Tax Season

It is never too early to begin preparing for next tax season. By keeping a close eye on your tax liability, credits, and deductions, you can avoid having to owe the IRS next April. It is also a good idea to create a new folder in your filing cabinet so that you can keep all of your tax related documents in one safe place. Finally, you might want to adjust your withholdings if you substantially over or underpaid on your taxes last year.

Can Stores Really Ask You For That?

When it comes to our money, most of us are aware that we have rights as a taxpayer. However, what many of us do not know is that we also have rights as consumers. Unfortunately many of these rights are being ignored lately as retailers attempt to reduce shoplifting. MSN Money.com posted this great article earlier this week on how stores are walking all over consumer’s rights in the following ways:

• Stopping customers to check their receipts before they let them out the doors.
• Posting minimum-purchase requirements for credit cards.
• Insisting that customers present identification when using credit cards.
• Asking customers for personal information, such as phone numbers, addresses or (heaven forbid) Social Security numbers before starting transactions.

As MSN Money.com explains, these behaviors are so common place that you might not realize there's anything wrong with them.

But there is.

The receipt checkers

If you've signed a membership agreement with a warehouse club such as Costco or Sam's, you've agreed to present your receipt upon exiting one of their stores. Other retailers have no such agreement with you, but some station employees at their doors to ask for your receipts anyway.

Continue Reading at MSNMoney.com…

Banker Tax May Mean Less Money Available to Lend, Yingling Says

Americans everywhere cheered when Obama proposed a fee from the biggest banks who borrowed taxpayer money through the TARP program, but is the tax really such a good idea? Edward Yingling, CEO of the American Bankers Association has expressed concern that taxing the largest banks will stagnate their willingness to lend to customers, making economic recovery all the more difficult.

The $90 billion bank tax proposed by President Barack Obama may reduce the amount of money banks can lend by $63 billion a year, the president and chief executive officer of the American Bankers Association said.

The administration’s tax is expected to raise $9 billion a year over 10 years, said Edward Yingling, president and CEO of the ABA. Each dollar in bank capital supports $7 or more in lending, Yingling said in an interview. Some banks leverage money further, with each dollar supporting $9 or $10 in lending, he said.

“It’s a concern,” Yingling said. “Nine billion dollars could actually mean $63 billion less in lending.”

The administration is sending a “mixed message” about banks needing to lend while setting requirements that make lending harder to do, Yingling said.

Continue reading at Business Week…

Moving Your Money? Then Try a Credit Union

From The HuffingtonPost.com:

We applaud the call for folks to move their money to local financial institutions; we just think that call should also include credit unions.

Credit unions, not-for-profit, member-owned financial institutions, have been widely recognized for their prudent business practices and great service. A key reason for this is that "profits" are returned to members in the form of lower fees and competitive rates.

This investment has paid off: Today, credit unions serve approximately 92 million members.

Federal credit unions also offer great rates on all types of loans, including automobiles, cars, credit cards, and mortgages. Credit card interest rates and other loans cannot exceed 18 percent at federal credit unions and usually average much lower. You can go to www.nafcu.org/dailyrates and compare rates between credit unions and banks.

In addition, while banks were tightening their commercial lending, credit unions member business loans have increased nearly 17 percent since Sept. 2008. In fact, through the third quarter of 2009, credit unions provided over 139,000 loans for a total of nearly $28 billion to their members.

101 Ways to Save Money this December

The month of December comes with holiday expenses, a looming new tax year, and high heating bills. With all of the holiday cheer, it can be easy to spend more than you can afford. Fortunately, there are literally hundreds of ways you can save money this month. To help out my readers looking to keep costs down, I have compiled the following list of my favorite 101 tips to save money in December.

Send me a message on FaceBook, or an @ Reply on Twitter if you have a tip that you do not see on my list!

1. Make a winter budget that lists all of the expenses you anticipate this month. Then, stick to your budget and refer to it for all major purchases.

2. Before you buy any expensive presents for the holidays, make sure to look online to see if you can find a cheaper price than you would at a local store. Just be sure to order with enough time for shipping!

3. Instead of throwing away aluminum cans or plastic bottles, take them to a local recycling center to get a little spare cash.

4. Make a donation to your favorite charity and keep the receipt. You may be able to deduct this amount from your taxable income for the year, which may increase your income tax refund.

5. Avoid malls! In addition to their inflated prices, I find it almost impossible to go into a mall without buying dozens of items I did not intend to purchase. Instead, do your shopping online.

6. Make your own Christmas wreath. Instead of buying an expensive one, stop by your local craft store and you can easily put together a festive wreath for under $20.

7. Bundle up. By convincing everyone in the household to wear warmer attire, you can turn down the heat and save on your energy bill.

8. Love to read books by the fire during the winter? After finishing a book, take it to a used bookstore where you can put the credit towards a new book to read.

9. If you love to put up Christmas lights but always forget to turn them off, then consider investing in a light timer. It will reduce your energy bill this year, and can turn into a long-term investment if you put up lights every December.

10. Instead of buying expensive wrapping paper you could make your own from cheap shipping paper decorated with paint and stickers.

11. Although we usually think of buying loved ones presents, Kwanzaa traditionally encourages people to give gifts that are handmade and heartfelt. Get into the spirit of Kwanzaa and make a handful of presents this year to save extra cash!

12. Go with the generic option. Brand name household items, such as soap and shampoo, are often double the price of the generic brand and usually have the exact same main ingredients.

13. If you are a big soda drinker then be sure to shop the sales. Stores often have huge discounts on soda and by stocking up when it is on sale you can save quite a bit on your grocery bills. Or just give up the habit and start drinking water or low-cost tea.

14. Book all flights and hotel reservations for holiday travels in advance. If you buy a plane ticket later in the month then you are going to pay an inflated fare.

15. Everyone is busy in December. Instead of eating out more often, try setting up a crock-pot meal that can cook while you’re away. That way you will have a fresh and affordable—not to mention delicious—meal waiting for you when you return.

16. Save on your energy bill by placing a towel at the foot of any doors with a draft.

17. Drive the speed limit! It is always a good idea to drive more cautiously in winter weather, but going the speed limit can also help improve your gas mileage.

18. Know someone with a young child? Consider giving them a coupon for a free night of babysitting as a gift this holiday season.

19. Instead of just buying pricey chicken breasts, go for the whole bird. You can remove the breasts and use the rest of the meat as well. You could even use the extra meat and bones to brew your own chicken broth.

20. Visit Starbucks often? Well, quit the habit. Granted, their holiday cups are cute and their latte’s are addictive. However, by brewing your own coffee you can save quite a bit of money.

21. You can save even more on your energy bill by letting in natural light through the windows, and turning off lights whenever you do not absolutely need them.

22. Coupons are a great way to save, but the trick is to only use them for things that you were going to buy already.

23. Take advantage of free gift-wrapping if you purchase an item in a store that offers it. Remember, every little bit you save helps!

24. Create your own Christmas decorations. In addition to making your own wreath, you could also save by gathering pinecones and making your own festive decorations.

25. Buy batteries when you see them on a good sale. You never know when you are going to need batteries so it is a good idea to purchase them in advance.

26. If you are worried about buying gifts for all of your coworkers and friends, then you might want to suggest going the “Secret Santa” route. It is cheaper, and also adds an element of mystery to the season.

27. If you receive a lot of holiday cards in the mail, then you could save by reusing them the next year. Just cut off the message and use the picture as a post card. Though make sure that you do not send it to the same person who sent it to you last year!

28. If you have Christmas or Chanukah cards from last year, and do not want to reuse them as postcards, then you can use them for seasonal gift tags.

29. Re-gift a favorite book that is in good condition. This will save you cash, and free up some room on the bookshelf. You could even write a personalized message on the inside of the cover.

30. Empty boxes or picture frames wrapped to look like presents make for cute, low-cost holiday decorations.

31. While family members may require more thought, mass producing a standard gift—like a recipe jar—for a handful of coworkers or friends can save you lots.

32. If you are not a fan of “Secret Santa”, then try a white elephant gift exchange. In addition to saving on gifts, the game can also help you save on entertainment expenses.

33. Be sure to close the fireplace flue when leaving home for long periods of time. Otherwise, your warm indoor air will go right out the chimney and your heating bill will skyrocket.

34. Make a grocery list and stick to it. It is also a good idea to always go grocery shopping on a full stomach, that way you can avoid those impulse purchases.

35. Clean out your freezer and remove any items that you do not intend to use. It takes double the energy to keep a full freezer cold, so by cleaning it out you can save on your electric bill.

36. A subscription to your favorite magazine could make for an excellent gift. Additionally, publications usually offer screaming discounts during the holidays.

37. Spinning the Chanukah dreidel is an annual tradition, but to cut costs try using candy instead of cash while betting.

38. Use the Kwanzaa colors (black, green, and red) in your house to save big on decorations. Other traditional low cost decorations include corn and straw.

39. Weather-stripping doors and windows where needed may cost a little now, but will save you money on your energy bill for years to come.

40. To avoid expensive, last minute spending, start shopping for gifts early. Then you can avoid busy stores all together later in the month.

41. Get your children involved! If you have kids then you could set aside time to do some holiday crafts with them. You can make season gifts and also enjoy extra time with your family.

42. Do all of your shopping in one trip. Instead of driving to the mall dozens of times this month and wasting gas in traffic, brainstorm on a list and make only a few trips.

43. Lots of places offer free, or cheap ice-skating during the holidays. Instead of spending tons of money to see a movie this December, you could spend the evening ice-skating.

44. If you enjoy updating your winter wardrobe every year, then you might want to sell old ones to a consignment store for spare cash. Alternatively, you could donate them to a “coats for kids” charity drive.

45. When the weather is cold, remove window air conditioner units to save on your heating bill.

46. Any plain glass hurricane or candleholder can instantly be transformed into holiday decor with some simple holiday ribbon or candy.

47. Leave your credit cards at home! If you make a list and can estimate how much money you will need for your shopping trip, then just bring enough cash with you to cover your purchase. By leaving extra money and credit cards at home you can make sure you stick to your list.

48. Give to your talent. If you enjoy painting, or singing, etc., then try coming up with a gift that uses your talent. You could paint a picture for a friend, or even record a CD for a family member.

49. If you can, try to gather your own firewood instead of buying at a local home improvement store.

50. If you enjoy renting a cabin for the holidays, start checking prices now. Get several estimates, and make a list of attendees in advance to save.

51. Providing alcohol at a holiday party is always going to be expensive. First, consider having all attendees bring their own alcohol. However if you must host, then go to BevMo or a bulk store for prices lower than you would find at the local liquor store.

52. Instead of buying a new Christmas stocking you could modify your old one with some glitter and a few ribbons.

53. Another great way to save on your heating bill is to wash your clothes in cold water, unless you have a stained item you need to use hot water to treat.

54. If you are looking for ways to reduce your grocery bill then try cutting meat out of a few meals. A few garden salads, or cucumber sandwiches will help you save money while improving your health!

55. Instead of giving your kids money to buy gifts for their friends, you can schedule a family craft day when you can make dozens of presents to give out.

56. If you are lucky enough to live near an outlet mall then be sure that you stop by! Outlet stores sell high-end overstocked items for much less than a department store.

57. Save on hiring a landscaper to shovel snow or trim hedges by enlisting a friend or neighbor to help out. You could make an exchange and help them with their own yard work too.

58. Creating gift price limits with family and friends will help everyone save money this year.

59. If you have a lot of tile in your home, try putting down a few rugs to keep your feet warm instead of turning up the heat.

60. There has never been a better time to quit smoking than the present. Tobacco taxes are always on the rise, and by making the cut you can save hundreds of dollars per year. And thousands of dollars down the road in higher health insurance and medical bills.

61. Have your children help make baked goods for gifts or entertaining. This keeps them busy, and helps get the job done quickly.

62. Turn down the thermostat when you are baking. The oven will usually heat up the house on its own.

63. If you get cold during the nights, try investing in an electric blanket instead of cranking up the heat.

64. After opening holiday presents be sure to keep all boxes, paper, and bows for next year.

65. Instead of buying a gift for each of your children’s teachers, buy in bulk and make the same gift for each teacher.

66. Buy seasonal fruits and vegetables from your local grocery store. They are usually cheaper, and you can even plan meals around them.

67. Start a carpool! Find out if any of your coworkers live in your area and put together a carpool system to save on gas.

68. If you want to reduce your cable or satellite bill then you could try watching movies and shows online, or start a Netflix account.

69. Before you buy your son or daughter a new puppy for Christmas, make sure that you can really afford it. Remember, vet bills and other pet expenses add up very quickly and can become a massive expense.

70. Everyone loves a big hot meal on a cold winter night. After you have had enough, make sure to save the leftovers for the next day’s lunch.

71. Encourage the whole family to keep the thermostat low by putting soft blankets or throws over chairs and couches in social areas.

73. Check your withholdings one more time to see if adjusting them before 2010 begins will benefit you financially.

74. Cooking is low-cost fun for the whole family. Homemade chocolates and baked goods also make great gifts!

75. Knitting your own scarves is a fun, easy project that can keep your warm all December.

76. If you frequent certain stores a lot, see what sort of discounts they offer loyal shoppers. You might be able to sign up for a frequent shopper card, or possibly even open up a credit card for additional discounts.

77. A good quality fake Christmas tree looks very close to the real thing, and if you find a good sale you might even get a fake tree for cheaper than a real one. Additionally, you can reuse the fake tree for years to come.

78. While shopping for loved ones, it is easy to get distracted and buy yourself a little present as well. Just be sure you plan for this and put it into your December budget.

79. If your gas bill seems a little high, have the company who provides it for you come out and service your furnace. Having leaks fixed, filters checked, and burners adjusted could save you a lot of money.

80. If you are already engaged, consider getting married this December! Wedding experts say you can find the best deals in the winter months since most couples prefer to get married in the summer.

81. If you are hosting for many, but do not have all the accommodations then consider renting tables, chairs and other necessities instead of buying.

82. If you need to do some yard work but do not have a working lawn mower or proper hedge trimmers then ask a neighbor if you can borrow theirs before making an expensive purchase.

83. Never make the mistake of turning your heat all the way off in especially cold weather, or you could freeze and burst your pipes. Turning the thermostat down is a much more practical solution to lowering your heating bill.

84. Cranberries and popcorn strung on some thread make cheap decorations for your home and tree during the holidays.

85. Leave the kids behind! When you go shopping try to have someone watch your children instead of taking him or her with you. It will help you stick to your list since you will not have anyone asking you to buy them extra presents.

86. If you like to read then why not sign up for a card at your local library instead of purchasing new books to read.

87. Skiing and snowboarding are fun, but expensive hobbies. If you visit the slopes often then you might want to buy a season pass instead of paying for admittance every time you go.

88. Instead of giving individual gifts to your family or friends, try giving one gift that everyone can utilize such as a board game.

89. The holiday season is all about family, and if your family likes to talk on their cell phones frequently then you might save by switching to a family plan.

90. Stock up on candles! Not only will they give your home that warm holiday glow, but they will also help you save on heating and electricity bills.

91. Love to cook? Type up some of your best recipes and give out a cookbook as gifts for friends and family.

92. Making your own Chanukah candles can save you money, and will also give a more personal touch to the celebration.

93. Practice layering. By wearing tank tops under long-sleeved shirts you can keep warm without turning up the heat.

94. Instead of spending money on regular holiday cards, try going the e-card route. You will save on both materials and postage.

95. Use holiday lights made out of LEDs. They use less electricity and will also last much longer than regular lights.

96. Make your own snacks. Instead of buying expensive snacks for yourself, or your child’s lunch box, try making your own. All you need is a bag of granola, some raisins, and a couple different types of nuts and you have an instant trail mix.

97. For a great low cost holiday party, try hosting a seasonal movie night. You can easily rent a movie and buy a few frozen pizzas for only a few bucks.

98. Make your own Christmas ornaments by filling or painting clear glass bulbs, wood shapes, or pinecones.

99. Save your receipts! Odds are you will not use every single decoration and present that you purchase. By keeping your receipts somewhere safe you can make returns without any hassle.

100. On December 26^th stores will put everything related to Christmas on discount. Take advantage by purchasing supplies for next year in advance. You can also use some items, such as holiday colored zip lock bags throughout the year.

101. Visit your tax attorney before the years end and be sure you take advantage of every credit and deduction available to you before the New Year begins.

House Panel Votes to Give SEC More Money, Power

In the latest move to end corruption on Wall Street, the House of Representatives Financial Services Committee voted this morning to give more power and funding to Federal regulators. They hope the additional funds will help agents prevent future abuses, such as the high profile Bernie Madoff scandal. Check out the following coverage of the new legislation courtesy of the Associated Press.

The 41-28 vote was the panel's latest move to try to rein in abuses on Wall Street. It would give the Securities and Exchange Commission new enforcement powers, including the ability to offer bounty money to tipsters on fraud cases and the power to bar violators of the law from employment in any securities-related industry.

The bill also would double the SEC's budget in the next five years.

Rep. Paul Kanjorski sponsored the legislation after leading the panel's investigation into the government's failure to uncover Madoff's massive fraud scheme for nearly two decades. Madoff was sentenced in June to 150 years in prison.

"In the last five years, there's been a significant change and a greater sophistication in the financial service industry than has ever happened in the history of mankind," said Kanjorski, a Pennsylvania Democrat. "So we're going to have to change fast."

The proposal was part of a broader effort by the committee to tighten rules governing financial institutions after last year's market crisis. The full House was expected to vote on the bill and related proposals in early December.

Follow the Money: Feds Rule Bloggers Must Disclose Payments for Endorsements

From BizJournals.com:

The Federal Trade Commission has issued guidelines that require bloggers or other “word-of-mouth” marketers to disclose if they receive cash or an in-kind payment to review a product.

The notice incorporates changes to the FTC’s "Guides Concerning the Use of Endorsements and Testimonials in Advertising," which address endorsements by consumers, experts, organizations, and celebrities, as well as the disclosure of important connections between advertisers and endorsers. The Guides were last updated in 1980.

Among the changes is one to reflect commission case law that states that both advertisers and endorsers may be liable for false or unsubstantiated claims made in an endorsement, or for failure to disclose material connections between the advertiser and endorsers.

The guidelines, approved by the Federal Trade Commission in a 4-0 vote, will be published soon in the Federal Register.

Managing Debt: Get A Grip on Reality

From the Examiner.com:

Whether you spend more than you make or have borrowed too much along the way, it’s time to realize that you’re not the only person who has made this mistake or is faced with the payoff battle.

Whatever your case is, if you’re serious about getting out of debt, the bottom line in doing so is training yourself to live on what you earn versus living on what you want. To do that, you’re going to have to make a few modifications.

All the energy previously put into a lifestyle that’s virtually unaffordable, now needs to be put into paying down the debt. Below are several tips to get started.

The first thing you need to do is set up a budget. This way, you’ll know exactly where your money goes. Be sure to allow funding for an emergency fund.

If your situation permits, work overtime or get a part-time job. All additional money should be used to pay down debt.

Have a yard sale. This will cost you nothing and anything earned should be used to reduce current debt.

If you eat out three or four times a week, limit it to one or two.

Make changes to non-essential expenses in order to save money each month. Cable can be reduced to basic channels or cancelled. Contact your wireless telephone service provider and ask for a plan to reduce your monthly payment.

Stop using credit cards. Getting out of debt means no more debt. The sooner you stop using credit cards the better. Use a calendar to mark off each day without using a credit card as an incentive to continue this positive habit.