You’ve decided this is the year you’re going to get out of debt once and for all. You’re committed, you’re determined, now the only thing you need is a plan. There are many plans for debt reduction, but they all generally include the same elements. Debt accumulates over time for a variety of reasons. So, it is expected that time will be required to reduce that debt as well.

Be patient and take it one step at a time…you’ll see results.

Get a clear picture

You have to understand the reality of your indebtedness. It’s impossible to make a plan to reduce debt if you don’t know the extent of it. Be honest. It does no good to deceive yourself about the amount of accrued debt.

Stop digging the hole

Don’t accumulate more debt. It’s a never-ending cycle with no way out. Spending habits must change for any plan to be successful. It’s crucial to live within your means, (below your means preferably,) in order to apply that money to debt repayment.

Build an emergency fund

Plan for emergencies first. A savings cushion is imperative for several reasons; it will allow some small modicum of security, you will be prepared for a crisis, and you will have liquid reserves for those instances when only cash will do.

Figure out where the money will come from

Track your spending for a while if necessary. Create a budget or if you prefer, call it a spending plan. Make cuts where possible, but be sure to make it livable. A budget does no good if it’s not possible to stick to it.

Increase your income if possible. Take on extra work where available, volunteer for overtime, or find a second job. Most people don’t want to hear that, but if you seriously want to eliminate debt, sacrifice is necessary. The extra effort will pay off, literally.

Liquidate other assets

Consider liquidating other assets. Experts don’t recommend taking money out of a retirement funds, because that will have serious repercussions in the long term. Taking out a second mortgage is the most common tactic, but be careful before you do that. Only resort to borrowing further against your home if you can firmly commit to stopping the cycle of overspending, otherwise you will just accumulate more debt. You are putting your home at risk, so make sure it’s worth it.

Do you have any investments or possessions you can sell? While you may be earning interest on your investments, if it’s less than the interest rate on your debt, they may be worth liquidating Consider selling unnecessary equipment, (boats, extra cars, etc.) or valuable jewelry if it doesn’t have extreme sentimental value.

Decide on a debt reduction plan

There are many methods to reduce debt. None is better or worse than the other. It’s a matter of choosing what’s the most comfortable for you. Money is a very emotional thing, and so debt reduction is partly mental. Find a plan that you can commit to.

One option is to pay off the credit card or loan with the smallest balance. Be sure to make the minimum payments on other debts, but concentrate on paying off one debt at a time. Once the smallest debt is retired, move on to the next smallest. The advantage of this method is mostly mental. It allows you to gain momentum and the sense that you’re making progress.

Another option is to pay off the debt with the highest interest rate. This is generally the most financially advantageous. By eliminating the higher rate credit cards, you’ll reduce the amount of interest that is paid overall. Once again, move to the next debt item with the highest rate.

A third option is to eliminate the oldest debt first. Old debts have been hanging around for a long time. These debts have most likely taken an emotional toll. If you finished college 15 years ago and you’re still paying off your student loans, go ahead and pay those first. You’ll feel a tremendous sense of relief.

No matter the extent of your debt, it’s not hopeless. However, commitment and persistence are vital. Whatever method you choose, if you’re consistent, you will be successful.

(Photo credit:Get Out of Debt Key via Shutterstock)

Royale Scuderi is a writer, life and business coach who empowers individuals and businesses to achieve higher productivity, growth, business success and work - life balance. She offers wisdom, insight and ideas to help you get the most out of your life at Productive Life Concepts.

Talking about money and the economy can sure be depressing for most, especially since we haven’t seemed to shake the “Great Recession” and many areas of the world are under financial pressure. But, as some think we are starting to “come out of” the worst of it, we all can afford to look forward and try to reach our financial goals. And, since we are doing that, it may be cool to be rewarded for it.

In a nutshell

SaveUp is a new service that rewards you for saving money, paying down your debt, and learning about finances. By adding your bank accounts, loan providers, and credit card accounts to your profile, you collect “credits” that you can use to play against certain giveaways. These giveaways aren’t like little dinky $10 Amazon cards or anything; we’re talking Home Gaming Set Up’s worth $5,000, or Round-Trip Tickets worth $400. As of today there is even a SaveUp Super Jackpot worth $2 million.

Talk about motivation for learning about money and saving.

The process

Prizes at SaveUp are pretty crazy.

After signing up for a SaveUp you are directed to your Home area where you can view some of the prizes as well as start to put some of your credits towards them.

When I first signed up I started with 30 credits and 3 plays. When playing a prize it will tell you how many credits you are going to use. After you have played you are down one of your “plays” for the day.

Watch videos about money to get credits.

You can get new credits in all kinds of ways. You can add new checking and savings accounts, add debt or loan accounts, watch videos related to learning about money and finance, accepting and completing challenges, and the big one, by paying down your debt and saving money. At first, it’s pretty easy to rack up some tickets, but you have to remember that you can only play 3 times per day.

Thoughts

There is a lot that SaveUp has going for it. The idea that you can win incredible prizes for adding accounts, learning about money, and saving and paying down your debt is extremely compelling.

If you are worried about the security of your accounts, that isn’t a bad thing. The good news is that SaveUp uses the same type of encryption that Mint and other financial instituions use (256-bit SSL), making it just as secure. Of course, you should always be careful with your online accounts, but if you practice the same safe password practices that you do with your other accounts, you shouldn’t have any issues.

Winning more credits.

Another awesome touch that SaveUp offers is that even if you obtain a ton of credits, you can only use 3 plays per day, making people that pay more in debt and save more not have an unfair advantage. That means us Joe Shmoes have the same chances as Mr. Money Baggs on the hill. Not bad.

The prizes that you can win are serious. Like I said earlier these prizes are in the thousands and even millions. That’s pretty crazy if you think about it.

Pools are a new feature that SaveUp added that allow you to add friends and family to your profile and then use them to play different prizes. This helps increase your chances of winning as well as encourage all of your groups to save and pay down debt with you.

On another note, the design and interface of SaveUp is appealing and intuitive. You aren’t bogged down by too many settings or confusing options making the user experience really good.

Conclusion

I think that SaveUp is great. If you can get around the idea of using your saving and debt paying as a way to play games and potentially win prizes then SaveUp is probably one of the best ways that I have seen to motivate you to do what is right with your money.

Oh, and by the way, because we at Lifehack like you so much and the people at SaveUp are so darn cool, we are partnering up with them to offer Lifehack readers (US only) a chance to win $500! You can use the $500 any way you want, but we suggest using it to pay down debt, to start a savings account or 401K, or maybe even use it to by some of those shiny productivity tools you have been eying up.

All you need to do is signup for The Lifehack Letter, Lifehack’s new, monthly newsletter that will bring you exclusive content and special offers. After signing up and verifying your email address, you will be sent a special link that you can use to create a new SaveUp account and have access to the $500 giveaway!

The Fine Print

Employees of SaveUp.com and of Stepcase (including current independent contractors of both) are not eligible for this contest. The winner of the $500 will be announced by SaveUp on 3/6/2012 via email. This prize will only be accessible to readers that use the special link that is sent in The Lifehack Letter welcome email. Any questions about rules and terms visit SaveUp’s rules and terms pages.

Good luck!

At the end of the first week of every month, we’re going present the best of what Lifehack had to offer in the previous month. We know our readers are busy — not just with other aspects of their lives, but also reading articles elsewhere — so if you’ve missed out on some of what we brought to you last month, now’s your chance to catch up.

So, without further adieu, here is The Best of Lifehack from January 2012.

Searching for the Perfect Productivity Tool

One of the newest contributors to Lifehack, Jan Makulec, discusses why it’s not necessarily wrong (or right) to have found your perfect productivity tool…and searching for it isn’t necessarily the time suck that many say that it can be.

How I Use GoodReader

GoodReader is an incredibly versatile app, and Lifehack editor Chris Smith dives right in and suggests how you can get the most out of what for most is a very under-used app on their iPad or iPhone.

How to Become Clutter-Free for Greater Happiness and Productivity

Ciara Conlon is timely with this post on how to get rid of clutter so that you can improve your productivity and be happier as a result. January isn’t just a month for resolutions; it’s a month of “clearing the decks” too.

5 Management Practices That Kill Employee Productivity

Yet another new addition to the Lifehack contributor ranks, Marissa Brassfield writes about a few management practices that will do more harm than good to your team’s productivity.

How to Develop Mental Toughness

Mike Martel serves up a great piece that has a greater impact on your productivity (and confidence) than we’d all like to admit: mental toughness. He explains how mental toughness can be developed — and why it’s important to do so.

Productivity Made Simple: The Series

Karol Krol puts together a stellar series — especially appropriate for the beginning of the year — on how you can get into the GTD system with a simpler approach. The series is broken down into several parts:

1. Productivity Made Simple: Where to Start with GTD
2. Productivity Made Simple: Selecting What to Do Next with GTD
3. Productivity Made Simple: The 7 Main Elements of GTD
4. Productivity Made Simple: The Key to GTD – Your Daily Graph of Activity
5. Productivity Made Simple: How to Keep Your Projects from Killing You

If you’re still looking to become more productive this year, you can’t go wrong with this series — or with any of the articles in The Best of Lifehack: January 2012 edition.

(Photo credit: Golden leader of business team via Shutterstock)

Mike Vardy is a writer, speaker, and "productivityist". Read more of his writing and learn more about him at MikeVardy.com, and you can also follow him on Twitter.

Do you crave a life without financial constraints?

Too often our ability to make progress towards our passions has been limited by the “rat race.” In the rat race, we work for our employers, the government by paying taxes, and the lenders (ie, of our mortgages, credit cards, car loans, and student loans).

Usually, our own passions are dead last, relegated to when we can find free time — if they get focused on at all.

Fortunately, you can have a very different plan. Here are five reasons to pursue financial independence…even if you love your job.

Financial Independence is Important Because Job Security is an Illusion

Financial vulnerability often motivates entrepreneurs. Many entrepreneurs work ridiculous hours, risk their entire life savings, and neglect important relationships for a dream with no promise of success. What sane person would take such risks?

Well, one thing to note is that regardless of whether you are self-employed, a traditional employee, or a business owner, you are in business for yourself. The primary distinction is who are your customers? For a typical employee, your “customer” is your boss. He or she is the one who is purchasing your services. However, if you own a business, you have many customers (or bosses).

Accordingly, many entrepreneurs feel it is inherently more risky to have a single boss than having many “bosses.” For example, if you own a thriving business where you can control costs, growth, and marketing, then a whole bunch of customers would have to effectively “fire” you before you were forced out of a “job.” A business owner’s sustenance is no longer determined by single person’s opinion or by shareholders who may not even know his or her name. This is why financial independence is so important to traditional employees: no amount of education or experience can guarantee that even the most talented and faithful workers won’t be unemployed by the end of business tomorrow. If you are an employee, the reality is that you are constantly interviewing for your job.

Financial Independence is Important Because it Means You Are No Longer Trapped in the “Rat Race”

Sometimes there is an outright disdain for work nowadays. We marvel at those who retire early. However, I have come to the conclusion that the idea of leaving the “rat race” excites me infinitely more than the idea of retirement. For example, there’s an internal yearning to make a difference that would be very hard to achieve if your idea of retirement is sitting on the couch everyday watching The Bold and the Beautiful. Stephen Covey said that we all want to “live, to love, to learn, and to leave a legacy.” The right work can help us fulfill such aspirations.

Rather than eliminating work, I suspect that many people crave eliminating their need of provision clouding every decision that they make, stopping them from chasing their dreams, and robbing them from spending time with the people who matter most. A financially free person possesses insights and goals untainted by concern for sustenance, can pursue opportunities that are generally perceived as risky but high reward, and can control his or her time in ways those stuck working nine-to-five jobs can only dream of.

Financial Independence is Important Because It Means You Are in an Even Better Position to Help Others

It was Margaret Thatcher — The Iron Lady — who said that “no one would have remembered the Good Samaritan if he only had good intentions.” Some people piously say that they just want enough for their families. It’s as if they have outright indignation for anyone who craves more. Ironically, they completely miss how ridiculously selfish they sound.

If we want to live extraordinarily, then we often have to look beyond our own four walls to see who we can serve. Just because charity starts at the home doesn’t mean it should stop there. One reason it is so important to expand your vision is that it will often be the stimulus prompting others to get involved in your dream. For example, part of the reason Oprah, Rachael Ray, and Dr. Oz are so successful is because they “major” in helping others. It is the problems that you solve for others that serve as the doors to your next promotion. One of the benefits of being financially free is that you are also free to tackle some really complex problems!

Financial Independence is Important Because it Means Fun is Amplified

While happiness can’t be bought, fun can. I personally have no problem if someone wants to walk into his dream home or drive his dream vehicle, as long as he has been financially responsible. Recently, billionaire heiress Petra Eclestone purchased the old Aaron Spelling 57,000 square foot mansion for a staggering $85,000,000. In an interview, one reporter asked her response to the many detractors arguing that there were so many better uses for her family’s money. She replied she was extremely active and generous to her chosen charities and felt no responsibility to stop living her life based on what others have to say. One takeaway point was that just because you can have fun with less doesn’t mean you have too. Money is merely a tool. It only amplifies what’s already there, so if you have fun and give with your existing income and assets, just imagine what fun you can have and charitable deeds you can perform if all your financial resources were amplified.

Financial Independence is Important Because it Increases Your Ability to Structure Work to Suit You

Of course, choosing or creating the right kind of work is not limited to those who are financially independent. However, the two do appear to be linked. In the Millionaire’s Mind, Thomas Stanley argued that millionaires are more likely to have chosen work that uniquely suits them; the right work serves as a competitive advantage. Being financially independent means that you have more time and resources to explore your skills and abilities, your personality, and your passions and dreams and decide how best to incorporate that into your work; you have all the more opportunity to make sure that you get it right.

Recently, there has been an explosive increase in people exploring alternative work models, such as freelance work, independent contractors, consulting, distributorships, licensing, etc. Just because one may not be a good fit doesn’t mean that you can’t find or create an authentic fit with another model. Be mindful regarding your work. Not only may your financial independence be determined by this decision but also your sanity!

Closing Thoughts

Not only are financial independence and building phenomenal wealth laudable goals, they are also achievable. Consider that when you are inundated with opportunities to forsake your budget for purchases misaligned with your values. Consider that additionally when market volatility and doom pundits make you want to duck and hide rather than invest. Most millionaires consistently invest at least 15% of their incomes, despite alluring sales and tumultuous economic climates. Follow that example when you face difficult financial decisions; choose freedom today.

(Photo credit: Growing Money via Shutterstock)

Roshawn Watson writes at Watson Inc on eliminating debt, investing money, entrepreneurship, and building wealth. Get his free eBook Your Foundation to Wealth by signing up for his email updates. You can also get his RSS feed and connect with him as @roshawnwatson on Twitter.

Paying for school sucks.

You end up getting a decent education (maybe), but come to quickly find out that most of what you learned is not exactly everything you need in the real world. In fact, you may find that you learn more in the first six months at your new job than you did during your entire time at school!

What hurts worse is that most people, at least in the US, are paying more every year for school. This means larger and larger amounts of education debt as well as consumer debt. Think of all that pizza!

But, the size of your debt doesn’t have to scare you. Trust me; it scared the hell out of me for a while. This is how I dealt and continue to deal with it.

Budget

A debt snowball doesn’t work without a good budget in place. I know that this may be the last thing that you want to hear about getting rid of your debt, but seriously, it won’t work without a budget. I didn’t realize the strength of budgeting until I got on the You Need a Budget bandwagon and followed that “system.” This helped me see my life in the form of item buckets and a “Buffer” so I could get close to being a month ahead on all my bills.

Having this leeway in your money is the first step to trying to find the little extra each month to pay down your debt fast. When you have the month buffer sitting in front of you, you can more realistically and with less fear, approach paying down your debts.

Make the list

Next, you need to know the exact amount of each of your debts as well as their interest rates and minimum payments. After you get this information you can make the list in either two forms:

1. In order from lowest to highest amount.
2. In order from highest to lowest interest rate.

To be honest, most people will tell you to pay the highest interest rate debts first. That makes sense for the most part, especially if you want to save money with some debts with ridiculously high interest rates. But, I chose to pick my lowest amount first.

Why?

Because I could get satisfaction of paying off one of my debts and see the effects of the debt snowball faster. That’s all.

You should take it by a case to case basis though. Try to weigh how much you owe against the interest rate to see which method is better. You may even need to approach it a different way, like if you have a very low debt amount with a super high interest rate and a huge debt amount with a mediocre interest rate. You have to see which way you are paying more money in the long run, then avoid that way.

The law of three

After you know your minimums and add them and everything else you need in your life to your budget, you should have some shillings left. If you don’t, this isn’t the post to tell you how to make more money. Instead, try to stick to the absolute essentials in your budget. If you have entertainment money; cut it. We will create some of that shortly.

Now that you have some extra money un-budgeted for the month, you have to split it into three equal pieces for:

1. Savings
2. Debt
3. Fun money

Some debt gurus will say that you shouldn’t have any fun money, you should strictly concentrate on paying down debt and saving. I say, “screw that,” that is unless you are in dire straights and need out of debt in a hurry.

This extra money you have for debt, that is the money that you will put on top of your minimum payment to your first debt in the list you made above. Once that first debt is payed off then you will move the minimum plus the extra money for debt to the next debt payment and so one.

See it? A snowball!

Here is what is awesome. None of this accounts for you making more money during the month. As soon as you start pulling in any more money, you can throw it towards you debt, or use it as more play money, or buy some pizza. It doesn’t necessarily matter.

Now calculate

You can do this on paper, if you are like a crazy mathematics ninja, but I prefer the digital way because it is easier to keep track of and idiot proof. One of the best ways that I have found that works on Mac and PC is with the trusty ol’ Vertex42 Debt Reduction Calculator Spreadsheet. I first saw this thing mentioned on Get Rich Slowly in 2006, but it still holds true today. Since then I have migrated to an iPhone app called DebtPayoff Pro that is great. There are many more out there, but these are the ones that have worked well for me in the past and present.

Now that you have a tool you can enter all your debt information, how much money you are going to throw extra toward your debt, and the starting balance date. Then you can get an idea of when certain debts will be paid off as well as when the total debt will be paid off. If you are putting away a decent amount of money extra toward debt, you are going to be very surprised at just how fast your debt diminishes.

Now party

Paying down your debt fast can feel like the biggest burden in your life, especially if you have a lot of it. The truth of the matter is, if you can cover your minimum payments right now and have a little money extra every month, you can put a serious hurtin’ on your debt.

In recent times many individuals, especially US citizens, are knee-deep in credit card debt. People can incur credit card debt due to many reasons, like medical expenses, extravagant vacations, renovating houses and paying bills due to low income. No matter how you get into debt, you must try to come out of it as soon as possible. You may pursue either credit card debt consolidation, debt settlement, debt management, or even file bankruptcy to wipe off the credit card debt. But remember, debt consolidation has certain advantages over other methods of debt elimination. Before you proceed with the process of credit card debt consolidation, you must know how it works.

What is credit card debt consolidation?

Credit card debt consolidation is a program that allows you to consolidate all your multiple debts into one monthly payment. With debt consolidation, you can lower the interest rate and therefore reduce monthly payments. Thus, credit card debt consolidation helps you pay off your debt as soon as possible. This is the best way to wipeout debt without injuring your credit.

Ways to consolidate credit card debt

• A primary way of consolidating credit card debt is to take out a loan at lower interest rate and merge all the debts into the loan. If you own a home, you may put it up as collateral in order to get a lower interest rate loan. This loan is also known as a home equity loan.

• Another way of consolidating credit card debt is a balance transfer. Transfer the balance on your credit card to a new form of credit that offers zero or low-interest rate.

• You may also apply for a personal loan or unsecured line of credit to consolidate and pay off the credit card debt.

Define your goals

1. Amend the inflow of cash. Try to reduce the size of your monthly payments over time so that the amount lowers gradually and eventually increases the inflow of your cash.
2. Rid your debt sooner. Try to erase your debts as fast as possible. This will enable you to save some money and prevent your credit report from getting damaged.
3. Do not miss payments. Never miss monthly payments and bills. That would certainly add up to the total debt amount — and create stress as well.

A few important tips before considering debt consolidation

1. Before you choose the method of consolidating your credit card debt, you must contact creditors in order to find out the outstanding balance on each of your accounts. Then, obtain a personal loan or unsecured loan to pay each creditor in full.
2. If you are planning to transfer your balance you will have to provide your creditor with billing information, an account number and the balance on the account you are transferring. After you have paid off each account in full, you then have to decide whether you want to close the accounts or want to leave them open.

The difference between debt consolidation and debt management

There are many people who think that debt consolidation is the same as debt management and credit counseling. The fact is debt management and credit counseling involves debt consolidation through a company. When you hire the services of a credit counselor or a debt management company, they negotiate with creditors and reduce the interest rate on each account. Then they collect a fixed monthly payment from you and disburse it to creditors in order to pay off your existing credit card debt.

Conclusion

Debt consolidation is the most viable method to pay off the credit card debt. But before going for this option, you must consider some factors associated with it. If you take out a consolidation loan while putting up collateral, you must remember that you cannot afford to miss a monthly payment. If you default on loan repayment, you may lose your asset. So make sure to choose the debt consolidation option through giving it careful thought and analyzing your fiscal situation.

(Photo credit: Colorful stack of credit cards via Shutterstock)

Every person or organization engaging in business activities has the goal of earning income or profit. They provide products and/or services in exchange for a price that will gain them some sort of profit.

The existence and continuity of every business relies heavily on how well a person or company sells their products and/or services — and also how good they manage and minimize business expenses. These two factors cause the business either to earn profit or incur losses.

It’s a common mistake to think that the business is earning money if there is a sale. However, the real test of good business performance lies on business income.

To determine if the business is profiting or losing money, you need to learn how to compute your business income.

Most businesses leave the job of computing their business income to their accountants. It is a practical move because accountants are technically competent to do the job. However, it is crucial that a businessperson understand the factors in computing business income so that they can better interpret and manage the financial result of the business operation. Furthermore, it can help the business determine which product or service is earning or incurring losses. As such, they can decide which product or service they should continue to sell and which to stop selling.

In this article, I hope to share with you my knowledge in accounting to help you better manage your own business finances. You will discover tools that will help you to compute your business income and learn the factors which can help you interpret the numbers shown in an income report.

Business Income Computation

Generally, business income is computed as follows:

Business Income = Revenue – Expense

Business income is the amount of gain (in monetary value or in kind) earned from a sale of a service and/or product after deducting all incidental expenses incurred by the business.

Revenue is the amount of money received (or to be received) in exchange for the product and/or services provided and sold. Revenue includes gross receipts on sale of service — or gross sales on sale of product. For each sale of a product or service, the amount of revenue increases. Meanwhile, sales discounts and allowances given to buyers or customers for bulk orders or special promos decrease the amount of revenue. Sample sales of products includes the sale of grocery items, bags, shoes, clothes, software, electronic gadgets, books, etc. On the other hand, the sale of a service includes service fees earned from transportation, communication and sale of professional skills like freelance writing, virtual assisting, accounting, legal advice, doctor, etc.

Expense is the amount of money paid (or to be paid) in exchange for product and/or service received and purchased. Sample expenses include inventory purchases, salary and wages, transportation, advertising, electric and water bills, communication, professional fees, etc.

3 Easy Steps in Computing Business Income

1. Identify all the products and/or services sold in a given period and then total the amount. The total represents your revenue.
2. Identify all the costs you pay in order to operate your business in the same given period. The total represents your total expenses.
3. To compute your business income, subtract your total expenses against your total revenue.

Sample Illustration and Computation

John Doe is a software developer who owns a Software Company which focuses on developing and selling online software. Additionally, he has a number of blogs that promotes other people’s products and in return, he earns commission income. (Note that the period we want to compute is for the whole year of 2011.)

Step 1 – During 2011, Joe’s revenue was as follows:

Sale of Software                                                                            $200,000
Commission on sales of other people’s product                         40,000
Total Revenue                                                                               $240,000

Step 2 – The cost in operating Joe’s Software Company during 2011 includes the following:

Web Hosting Expenses                                                                       $2,400
Domain Fees                                                                                                 10
Salaries Paid                                                                                         60,000
Rental and Utilities Expenses                                                           10,000
Total Expenses                                                                                   $72,410

Step 3 – Joe’s business income in 2011 is $167590, computed as follows:

Business Income = Total Revenue – Total Expenses
= $240,000 – $72,410
= $167,590

Based on computed business income for 2011, Joe’s Software Company is showing a good performance since the total revenue is greater than the total expenses.

Conclusion – Interpreting Business Income

1. If Revenue > Expense = Income/Profit.

When the amount of revenue earned is greater than the expenses incurred, it can mean the business operation is doing well because there is enough amount of money to pay all the business expenses. Also, it is an indicator of good business management.

2. If Revenue < Expense = Loss.

When the amount of expenses spent is greater than the revenue earned, it signals poor business performance since the amount received in selling products and/or services is not enough to pay all the expenses necessary to operate the business. Furthermore, this may indicate poor business management.

3. If Revenue = Expense, we call it “Break-Even Point”.

When the business revenue is equal to the expense, we call it break-even point. This indicates that the business is neither earning nor incurring loses. The earning is just exactly enough to pay the business operating expenses. It can still show poor business performance and management since the objective of a business is to earn profit.

(Photo credit: Accounting via Shutterstock)

Lou is a professional accountant, personal development coach, public speaker and entrepreneur. She writes and coach on positive attitude, productivity, stress management, success, personal finance and balanced life. Find out more about her works at Live Life to Fullest

As 2011 draws to a close, we reflect on the year gone by and look forward to the year ahead. So to help you make 2012 the best year yet, check out our recently-wrapped New Tools for the New Year series to get you started:

New Tools for the New Year: Communication
New Tools for the New Year: Lifestyle
New Tools for the New Year: Management
New Tools for the New Year: Money
New Tools for the New Year: Technology

On behalf of the editors and contributors at Lifehack — and its parent company Stepcase — I’d like to wish a safe, happy, prosperous and productive new year to all of our readers.

(Photo credit: Happy New Year via Shutterstock)

Mike Vardy is a writer, speaker, and "productivityist". Read more of his writing and learn more about him at MikeVardy.com, and you can also follow him on Twitter.

Money can be a tricky issue for many people, especially in the last few years when we have had record high unemployment rates and difficulty making ends meet. As you get ready for the new year, you can prepare yourself with some new tools that can make 2012 one of the best years for managing your money.

YNAB

I started to get serious about my money situation about halfway through 2011 when I stumbled on one of the single best money management / budgeting apps around: You Need a Budget. We have actually had the founder and creator of YNAB featured here at Lifehack in the past.

YNAB is a piece of software (that works on Mac or Windows) where you setup your accounts and start to budget the money that you have during the month. It’s sort of like making buckets for things that you have to pay during the month and then sticking to them.

The whole idea though with YNAB, rather than just following a simple budget, is to build up your “YNAB Buffer” where you will use it to eventually pay next month’s bills with this month’s money. This “Buffer” allows you to not get into the “not-enough-money-at-the-end-of-the-month” phenomena and helps relieve a bunch of tension in your life, especially if you have been struggling with keeping track of your money. It took me about 4 months to get my “YNAB Buffer” setup, and I will tell you, the stress and pain of worrying about where my money for this month’s bills is going to be is gone because they were payed with last month’s money.

YNAB also has apps for iOS and Android to track what you have spent on the go.

Credit Cards with rewards

I wouldn’t say that I am a credit card connoisseur by any means, as I do believe that credit cards can get you into some serious trouble if you are not responsible with them, but they can be appealing if you pay them off every month and use them appropriately. The three cards that I can recommend from personal experience are:

• Chase Freedom Card
• Capital One Cash
• Chase Sapphire (if you travel a lot, especially good for business)

The APR on these cards are pretty darn high, but as long as you pay off your balance before you get hit with the rates at the end of your month cycle, you can get some great cash back rewards when purchasing a good amount of gas or even ordering things on Amazon during certain times. Keep a look out for other cards that offer some sort of reward that is applicable to you to help you save a little bit of money here and there on things you already purchase.

Envelope System

If YNAB is a little too technical for you, there is also a tried-and-true-system that is a lot like it. I have seen this technique in many different places, and I’m not exactly sure who to credit it too, but the-get-out-of-debt guru Dave Ramsey has surely made it popular on his radio broadcast: The Envelope System.

At it’s core, The Envelope System requires you to take your paycheck, figure out how much money need to goes to what category (to food, clothing, rent, cable, etc.), create a separate envelope for each category, put the cash in the envelope, and only spend that cash. Sounds simple, hmm? Think again.

The Envelope System is truly powerful, but only if you can stick to it which is tough to do because budgeting is tough to do. I much prefer the YNAB system to this one, but if you can only live paycheck to paycheck until you get out of debt or make more money, then The Envelope System is probably your best bet.

Common sense

Ahh, yes. A little common sense can go a long way when it comes to money. Here are some things to follow. Some of them were new to me this year while some are things that I need to be aware this coming year:

• Don’t spend more than you make
• Create a budget and stick to it
• Try to find a way to make more money rather than cut out every last expense that you have
• Try giving money away to charity or a cause every month
• Start saving money for the future today
• Read a good money book like I Will Teach You to Be Rich
• Don’t use a credit cards unless you can pay off the entire balance by the end of the month

Conclusion

Like I said above, managing your money comes down to making smart decisions (saving for the future) and avoiding bad ones (like not paying off your credit cards). If this year you budget your money correctly, save, and make smart decisions with how you spend, hopefully your money will be controlled by you rather than you controlled by it.

(Photo credit: 3D illustration of dollar from Shutterstock

Another year is coming to a close this weekend, and it’s been a banner one here at Lifehack.

As you’ll see below, one of our most popular posts of 2011 was our 100 Best Lifehacks of 2010 article, which flows nicely into this post which will outline the 100 Best Lifehack of 2011. Unlike last year’s list, there’s a few changes we put into place before delivering this list to our readers.

First off, the overall top 10 posts are determined by overall traffic during the past year, as well as engagement on social networks. The articles come from a wide variety of our website’s categories, whereas the remaining 90 articles are divided up into the primary categories that we write about at Lifehack: Communication, Lifestyle, Management, Money, Productivity and Technology.

Those 90 posts were decided on based on visits to each article, social media interaction, comments and then were finally curated by the Lifehack editorial team. Each category has 15 articles that made the cut for this year’s list as well.

You’ve got a lot of reading to do here, os let’s get started…

Top 10 Most Popular Posts in 2011

1. 60 Small Ways to Improve Your Life in the Next 100 Days
2. 7 Not So Obvious Habits To Maximize Your Productivity
3. The 100 Best Lifehacks of 2010: The Year in Review
4. The Best Productivity Apps For Your Shiny, New iPad
5. 10 Things To Stop Doing in Your Relationships
6. Five Reasons to Choose an Android Tablet Over an iPad
7. 7 Epic Strategies for Introverts (by Introverts) to Ignite Your Social Skills
8. 7 Reasons You Should Eat Eggs for Breakfast
9. 8 Ways To Get Smarter Every Week
10. Everything You Know About Weight Loss is Wrong

Communication

1. Why You & Your Business Need to be Involved in Social Media
2. How to Work Through Blog Burn Out
3. How to Deal with Criticism in One Single Step
4. 7 Ways to Build Your Network Without Using People
5. 5 Simple And Obvious Tips For Better Communication
6. Simplify Family Life With A Communication Station
7. How to Write Better and Faster
8. Start a Conversation with a Stranger without Sounding Desperate
9. Do You Unnecessarily Point Out Flaws?
10. Getting NaNoWriMo Done: How to Write a Novel in 30 Days
11. How to Hack Language Learning
12. How to Get a Book Contract in 6 Months (with a Blog)
13. Mind Hack: The Philosophy of One
14. 3 Ruthless Email Responses to Achieve Inbox Zero
15. Starting A Blog in 2012? Avoid These 7 New Blogger Blunders

Lifestyle

1. What a Karate Weapon Taught Me About Achieving Big Goals
2. 6 Easy Tips for Living with 100 Items or Less
3. 10 Ways Improve Your Memory & Boost Brainpower
4. Instant De-stress Tips: 7 Foods You Should be Eating Right Now
5. Why Fear is Your Friend
6. 10 Insanely Awesome Inspirational Manifestos
7. 7 Benefits of Exercise (and Why Weight Loss Isn’t One of Them)
8. Breaking Bad Habits in 28 Days
9. Eating Ancestrally: How To Start Eating and Living Like A Human
10. From Nag To Shag – The Ultimate Marriage Hack For Men
11. The Best Decision You Can Make for Your Business — That Has Nothing to do With Money
12. Enrich Your Life By Making it a Story to Tell
13. How to Get Your Husband (or Wife) to Help Out More
14. 7 Morning Hacks to Jumpstart Your Day
15. 10 Wise Lessons: What I Wish I Knew When I Was Younger

Management

1. Virtual Assistants: Worth It?
2. Today’s Career Challenge: Start Networking Like a Pro
3. 4 Famous Workaholics (And The Secrets of Their Success)
4. Improve Your Professional Credibility – Write a Book
5. How to Make a Plan That Will Help Your Business Thrive
6. How Logging Your Day Can Lead To Higher Effectiveness
7. 7 Simple Steps to Resolve Any Problem
8. The Art of Stress-Free Work
9. How to Get a Do-It-Yourself MBA
10. Beating the Meeting Monster
11. Sensors and Intuitives: How to Bridge the Communication Gap
12. 35 Reasons You Should Work With a Coach
13. Living With Your Deadlines
14. Ten Questions To Ask Yourself Before You Start Your Own Business
15. The Absolute WORST Day to Take a Vacation (It’s Not When You Think!)

Money

1. 7 Tips for Reducing Your Overhead Costs
2. Real Ways to Make Money Working from Home
3. 26 Personal Finance Tips from Famous People
4. Why I’ll NEVER Cut Up My Credit Cards
5. Take Control of Meal Times With A Meal Planner
6. 6 Luxurious Timesaving Services That Are Cheaper Than You Think
7. Unexpected Ways The Library Can Save You Money
8. Five Cost-Cutting Features of the Future Small Business You Can Embrace Today
9. How to Use Credit Cards While Staying Out of Debt
10. 8 Tips for Raising Moneysmart Kids
11. 100 Questions to Help You Write, Publish, and Sell Your Ebook
12. The Black Friday Bucket List: 25 Things to Do on Black Friday (Shopping Not Included)
13. Helping Japan: How to Make Sure Your Money Goes to the Right Place
14. How to Negotiate with Car Salesmen and Get the Best Deal
15. 3 Things You Can Do Now to Improve Your Finances in the New Year

Productivity

1. The Pomodoro Technique: Is It Right For You?
2. Productivity with Tablets: Paradox or Reality?
3. How to Stay Productive When You’re Sick
4. 7 Ways You Shouldn’t Be Using Your Calendar
5. The 5 Fundamental Rules Of Working From Home
6. 5 Things You Didn’t Know About Gen Y
7. How Steve Jobs Changed My Productivity
8. Manage Your Energy so You Can Manage Your Time
9. Get the Most Out of Your Week by Starting it on Sunday
10. How I Learned 5 Habits in 30 Days
11. How to Slow Down
12. How to Practice the Art of Detached Focus to Achieve Your Goals
13. 6 Effective Ways to Become Persistent
14. Simplify Your Productivity Tools To Get More Done
15. What Yoga Can Teach Us About Productivity

Technology

1. 5 Tips for Effective Digital Note Taking
2. 10 Android Apps to Help Save You Time & Money
3. 7 Tools to Help Keep Track of Habits and Goals
4. Kindle, Nook or iPad? How to Choose the Right eBook Reader for You
5. Stop Wasting Time – How to Search Like a Pro
6. Protecting Your Online Life With Secure Passwords
7. 5 Things You May Learn From Google+ Launch
8. 7 Tools For Writing On Your iPhone
9. Focus on Art, Not on Features: Simple Online Tools for Writers
10. To Automate or not to Automate Your Personal Productivity System
11. How to Stop Fiddling With Productivity Tools To Get More Done
12. Goodbye Google Reader! (Or the Best RSS Reader Alternatives)
13. Get Over Your Smartphone Addiction
14. Lifehack’s iOS 5 Tips and Tricks Guide
15. The Perfect Productivity Tool

Thanks to all of the Lifehack contributors, without whom this list would not have been possible. And thanks to you, our Lifehack readers. We hope that the articles that we offered up in 2011 — both those that made this list and those that did not — have helped you make waves in 2011. We’ve got more in store for you in the coming year, and we hope you’ll stick with us for the ride.

(Photo credit: 2011 on the beach of sunrise via Shutterstock)

Mike Vardy is a writer, speaker, and "productivityist". Read more of his writing and learn more about him at MikeVardy.com, and you can also follow him on Twitter.

Who wants to end 2012 even better financially? You need more than just a “that sounds like a good idea” attitude to make that happen.

So let’s not waste anymore time, shall we?

Here are three actions you can take now — before we even hit 2012 — to end next year with a better balance than this year.

1. Know Your End Game

What kind of financial standing do you want to end up with in December 2012? Take some time now to plan your financial goals.

I recommend figuring out how things went this year. What were you happy about? What could have gone better financially? Were there any bad choices made? Be completely honest with yourself.

Now think, if you were looking back on 2012 and reveling in how amazing it was for you financially, what would it look like? No, this isn’t “pie in the sky” or “winning the lottery” type of imagining. Figure out logically what you should shoot for.

If you make your goal too big your brain will start to stress over not yet achieving it.

Just thinking about what you want isn’t enough though. Try to set your goal in stone.

After interviewing 50 millionaires, I’ve learned that they do a lot after the goal is set. They use vision boards, goals written on whiteboards, or put goals on post-it notes on their laptops. Then they break down the goal to figure out what they need to do to achieve it.

“When I have a goal I’ve written it down and then I know I need to make this happen to achieve the goal. What my action steps are for today, tomorrow, this week, next week, for this whole month, etc.” – Vonda White, CEO of Collegiate Risk Management

Millionaires don’t do anything crazy or different than the typical advice you have heard about setting goals. Their success lies in that they actually take action to write them down, see them every day and commit to working on them each week.

Action: Create your End Game in visual form that you will see it every day. Break it down into weekly goals and commit to them.

2. Get Accountability

Finances are still a taboo subject. It may mean fighting over money with your significant other, or being hush-hush on how much money you make in the workplace. We tend to complain about money in public. It seems socially acceptable to talk about being broke, or getting good deals on stuff but not about giving advice and helping each other out.

If you want to win in 2012 with money you can’t be silent. I know this from experience. I was $70,000 in debt and didn’t even realize it. Only when I was able to start talking about it — and doing something about it — did things change. I paid off all $70,000 in 16 months.

So find someone that you can talk to and keep you accountable. Find a friend that wants to work on their finances in 2012 too. If you are married, your first choice should be your husband or wife so you can create a strong bond around your finances (but if money is a sore subject though you may need to find a friend you trust instead).

Set up a weekly or bi-weekly chat with each other. Talk about great choices you’ve made, and what you want to do better in the weeks to come. You can also help each other brainstorm about ways to hit your goals. Commit to that meeting. It will give your finances the attention they need to achieve your goal.

Action: Email your trusted friend or significant other asking them to help you be accountable in 2012.

3. Be Thankful

We all want things to improve next year. I know from working with many clients, we tend to focus on what we don’t want, or how much better things will be when we achieve our goals in the future.

It’s not about that at all.

It’s about appreciating your financial situation now. Even if it’s not what you want. Most likely you have a computer and are reading this on your Internet connection, or maybe even at work. That means you have much more than most people on this planet.

Make sure your 2012 includes ways to show your gratitude for all that you have. We have so much to be thankful for and sometimes it’s hard to remember that.

Create a thankful routine. A thankful routine is just something you decide to do when you are feeling down about your money situation, or you aren’t making as much progress as you want to. It might involve writing down a few things you are thankful for, giving a small amount of money or time to someone who needs it more, or even calling family or a friend to remind them how much you love them.

Money isn’t everything.

Action: Create your thankful routine. Just pick one thing you want to do when you attitude about your fiances shift negatively.

Enjoy your 2012. What are your plans to make it the best year yet?

(Photo credit: Calculator and Money via Shutterstock)

After paying off $70,000 and quitting her corporate job, Jaime started her own business. Four years later she has been on CNN, MSNMoney, Success Magazine, Fortune, Yahoo's homepage twice and more. She is a business coach and speaker plus she interviews self made millionaires weekly for their tips, advice and stories. An Eventual Millionaire is a person with a goal to become a millionaire, eventually, but they are dedicated to an enjoyable life and an enjoyable business now. Download the Eventual Millionaire Manifesto.

Photo credit: Alpha (CC BY-SA 2.0)

Today is the beginning of the holiday shopping season in the United States (although thanks to online sales it is creeping into other parts of the world as well), and if you’ve been out and about you’ve likely seen stores that are more crowded than they have been all year. With incredible (re: crazy) discounts and every merchant trying to get their hands on the consumer dollar, it seems odd that this day is the one that marks the onset of shopping season, After all, it is the day after Americans give thanks for all that they have – and all Black Friday seems to offer is the chance to go out and get more stuff to be thankful for (or not) next Thanksgiving.

Don’t get me wrong – I’m not against shopping. Although I seem to do more online shopping these days, I do my share of spending. But I’m not one for days that the collective population should head out and hit the stores – whether it be Black Friday, Veteran’s Day or the like. The same goes with Boxing Day here in Canada. I don’t get caught up in the hoopla of it all.

But do you?

If you’re trying to avoid the stores today and are having trobule thinking of alternatives to keep you occupied during the rest of the day, I’ve got The Black Friday Bucket List here — 25 things here that you can do on Black Friday — or during Black Friday weekend — that don’t include shopping. You don’t have to do all 25 (in fact, it’d be hard to do that — you can save some for subsequent years) – and rather than do them at a discount I suggest you pay full price for each.

The full price of your attention, that is.

The Black Friday Bucket List

1. Read a book that you bought — but havent read yet.
2. Go through the books you have read and donate the ones you no longer need to charity.
3. Start a journal – either analog or digital.
4. Perform a full Weekly Review.
5. Assemble your wish list for yourself for the holidays.
6. Assemble a list you plan to give to others for the holidays.
7. Write holiday letters to close friends and family to mail out on Monday.
8. Exercise.
9. Spend time with your family outdoors.
10. Catch up on phone calls with those you’ve been meaning to call. (Note: You’ll probably have to leave a lot of messages unless those you’re calling have decided to take a break from Black Friday too.)
11. Prepare a digital photo album for printing for holiday gift-giving.
12. Volunteer your time to a cause.
13. Clean up your computer’s files.
14. Empty your inboxes – electronic and analog.
15. Bake.
16. Make art in some form or another. Paint, draw, write, whatever.
17. Do those odd jobs around the house you’ve been putting off.
18. Plan your fitness regimen for the next year.
19. Put together your New Year’s Resolutions.
20. Start writing a blog.
21. Declutter your closet, purging it of any clothes you’ve not worn in ages.
22. Put up your holiday decorations.
23. Come up with a plan to reduce your debt and start saving more.
24. Foster your newest hobby. Roasting coffee, brewing beer, scrapbooking, whatever.
25. Dwell in quiet.

This Friday doesn’t have to black at all if you don’t want it to be. In fact, it can be the day where you wipe the slate clean and reconnect yourself with what really matters.

Mike Vardy is a writer, speaker, and "productivityist". Read more of his writing and learn more about him at MikeVardy.com, and you can also follow him on Twitter.

Photo credit: nuestraherenciaco (CC BY-SA 2.0)

Just a few years ago, if you wanted to be a published author you had to jump through a series of hoops involving literary agents and publishers. Then you faced a seemingly endless wait before your book finally hit the shelves.

Boy, how times have changed.

Now, if you have access to a computer you can write and publish an ebook and become a published author in a few short weeks.

However, a lot of people have set the goal of writing an ebook and yet they can’t seem to get started.

If you’re one of these people, it may very well be that all you need is to answer a series of important questions to help get your creative juices flowing. Doing this can also motivate you to take action.

Below you’ll find 100 questions that will help you write, publish, and sell your ebook. I suggest that you take the time to sit down and answer each one.

The 100 Questions

1. Why do you want to write an ebook?
2. What are some of the ways in which writing and publishing an ebook might help your business?
3. How will you judge the success of your eBook?
4. Will you write your ebook alone, or will you collaborate with someone else?
5. Have you tried to write an ebook in the past, but failed? If so, why do you think you failed? What lessons did you learn from that failure?
6. Have you chosen a topic that you’re passionate about?
7. What is your deadline for publishing your ebook?
8. How much time do you plan to devote to writing your eBook each day?
9. How will you make the time to write your ebook?
10. Do you have a strategy in place for dealing with procrastination?
11. How long will your ebook be?
12. Who are your ideal readers?
13. What are some of your ideal readers’ characteristics?
14. What is the specific problem that your ebook will solve for your ideal reader?
15. What are some of the obstacles and/or challenges that your ideal reader has been confronting in relation to the subject matter of your ebook?
16. Can you come up with ten questions your readers might be asking themselves about your topic (each question could correspond to a chapter in your ebook)?
17. In what ways will your readers benefit when they implement the ideas in your ebook?
18. Will you be offering any measurable results (such as lose five pounds in ten weeks, double your sales, or write an eBook in 30 days)?
19. Do you have any special expertise in the area that you’re writing about? Is there any reason why you’re particularly credible (for example, you’re a nutritionist and you’re writing an ebook on how to lose weight)?
20. What have you done to make sure that there’s a market for your ebook?
21. Are you sure that there are people out there who are willing to pay for the information that you’re planning to include in your ebook?
22. Are you giving people what they want, or what you think they want?
23. Have you researched how much competition there is out there on your topic?
24. Based on the law of supply and demand, is it worth the time and effort that it will take you to write the ebook?
25. Of all the possible topics that you could be writing an ebook about, are you sure that you’ve chosen the best one?
26. What keywords will you be targeting (for your ebook’s title, the domain name for your sales page, and your sales copy)? What are the keywords or keyword phrases that your target audience is likely to use when looking for information online on your topic?
27. What keyword phrases are your competitors targeting?
28. Have you broken down the process of writing an ebook into small chunks that you can knock down one at a time?
29. Have you set interim deadlines to help you make sure that you’re going to meet your final deadline?
30. Have you set a reward that you’re going to give yourself each time that you meet one of your interim deadlines?
31. How will you keep yourself motivated as you write your ebook?
32. Is there someone who can hold you accountable (someone who will make sure that you’re meeting all of your interim deadlines)?
33. How do you intend to get ideas on what to write for your ebook?
34. Have you already written ezine articles, blog posts, and so on that you can incorporate into the ebook?
35. How do you plan to take notes as you conduct research for your ebook?
36. Are you going to include anecdotes (examples from your own life or the life of others)?
37. Can you explain concepts in a catchy way that will make people remember them (so that they’re more likely to apply them)?
38. Will you include images and quotes?
39. What are some examples out there of the type of ebook that you would like to write?
40.  What are some of the ideas, strategies, tools, and tips that you intend to share in your eBook?
41.  What are the titles of the leading books in your field?
42. Have you read or at least skimmed the top five books in your field?
43. What are some of the things in the leading books in your field that you agree with?
44. What are some of the things in the leading books in your field that you disagree with?
45. Do the books available cover your subject matter well? Is there a gap in these books?
46. Do you have a Unique Selling Proposition that would make your ebook standout from the books that are already available on your topic?
47. Why would a book buyer prefer your ebook over what’s already out there?
48. How do you plan to organize your ebook? (For example, if you’re going to explain a series of steps, it makes sense if each step is explained in a separate chapter. As another example, you could answer the 100 most commonly asked questions in your field, and you could devote a page to each question and answer. As a last example, you could expose and debunk the top ten myths in your field, or offer ten tips to solve a particular problem. Again, each myth or tip could be a separate chapter.)
49. Does each chapter in your ebook open with a hook that grabs your readers’ attention?
50. Does each chapter in your ebook solve a particular problem related to your topic?
51. Does each chapter clearly convey the information that your readers need? Is the information incomplete? Do any ideas need to be fleshed out further? Would an example make the ideas in the chapter easier to understand?
52. Have you made sure that every chapter in your ebook serves a purpose and provides value?
53. Have you expressed your ideas clearly?
54. Are you making the reading experience enjoyable for your readers?
55. Are you giving others credit when you use their ideas?
56. Does each chapter have a title that’s clear, concise, and compelling?
57. Is your subject too broad? Do you need to narrow it down?
58. As you read each chapter, think of someone who has just had a meal. Are your readers still hungry; meaning that you didn’t answer their most important questions or you didn’t explain things clearly? Are your readers satisfied; meaning that you did a good job and your readers are happy with the amount of information that you provided? Are your readers uncomfortably full; meaning that the chapter is too long and complex?
59. Do you have a title and subtitle in mind for your ebook?
60. Have you put together a focus group to test your ebook’s title and subtitle?
61.  Are you going to conduct interviews (for example, interview a successful internet marketer on how to conduct keyword research)?
62. Are you going to conduct experiments (for example, teach your brother how to set up a blog and start making money in 60 days)?
63. How do you plan to format your eBook?
64. Are you going to include bonuses with your ebook?
65. Will you include audio or video?
66. Can you include spreadsheets or templates?
67. Can you include checklists?
68. Are you going to have exercises at the end of each chapter so that people apply what they learned in each chapter?
69. Can you include worksheets?
70. Have you put your first draft aside for a few days so that you can look at it again with fresh eyes?
71. Do you have someone who can help you proofread your ebook to make sure that it doesn’t have any spelling or grammatical mistakes?
72. How do you plan to compile your eBook (for example, .EXE or .PDF)?
73. What file-formats will your ebook be available in? Which devices will your readers be able to use to read your eBook
74. Are you going to create a cover yourself, or are you going to hire someone to do it for you?
75. Are you going to send an advance copy of your ebook to a few people in order to get testimonials?
76. Where will you sell your ebook?
77. Do you currently have a platform (such as a blog) from which you can sell your ebook?
78. Do you have a social media presence (such as Twitter, LinkedIn, and Facebook)? If so, how do you plan to use social media in order to promote your ebook?
79. Do you plan to build a Squidoo lens about your ebook?
80. Do you plan to write ezine articles to promote your ebook? If so, which ezines will you be sending articles to?
81. Will you be writing guest posts to promote your ebook (if so, what blogs will you be targeting)?
82. Do you plan to participate in forums and leave comments on popular blogs about your topic in order to promote your ebook?
83. Have you set any email alerts in order to track your topic?
84. Are you going to offer free chapters of your ebook in order to entice people to buy your ebook?
85. Are you going to offer a free mini-ecourse so that people are exposed to your message at least 7 times (marketers argue that people need to be exposed to your message 7 times before they’ll buy your product)?
86. Can you begin to grow interest in your ebook while you’re writing it (publish excerpts or write blog posts that are related to your topic)?
87. Will you be offering an affiliate program so that others sell your ebook for you?
88. Are you going to set up a separate website to sell your ebook?
89. Are you planning to buy the domain for your ebook’s title?
90. Do you have a template for your sales page?
91. Are you going to offer free coaching to those who buy your ebook (or free email support)?
92. Are you going to offer a time-limited offer (such as offering your ebook at half price for a few days as soon as you launch it)?
93. What’s your pricing strategy? Are you going to sell your ebook at the same price as your competition?
94. Have you conducted a survey in order to determine what people would be willing to pay for your ebook?
95. Are you going to have any back-end products?
96. How will you deliver the ebook to those who purchase it?
97. How will you be paid? What forms of payment will you accept?
98. Will you get an ISBN?
99. Are you going to offer a money-back guarantee?
100. Are you planning to publish a hard copy version of your ebook?

Now that you’ve answered these questions, you just might end up with the first draft of your ebook, along with a strategy detailing how you’re going to publish it — and then sell it.

Photo credit: qas (CC BY-NC-SA 2.0)

Before I begin, I need to give full credit of this post to Rob Lawrence, a great friend of mine and the co-author of a book we wrote together called Get Noticed. Rob is also a creativity coach who has inspired me on numerous occasions with his advice. One particular instance was when he was telling me about measuring values.

I can’t quite remember how it came up, but Rob and I were having a conversation about how personal values can change over short periods of time and how you can measure them. Rob suggested to me that my personal values are largely defined by two things; how I spend my money, and how I spend my time.

It’s a simple concept, but when you think about it we all have two main commodities which we can spend as we choose; time and money. Therefore, how we decide to allocate those two commodities should indicate which things we value more than others.

In June 2011 I decided to open up my bank statement to see where I was spending my money. I was shocked to see that I was spending almost a fifth of my income on rent (something I don’t feel I valued highly) and also how little I was spending on eating out (something I thought I valued much more).

Four months down the line I revisited this task and was shocked by how much my spending has changed in such a small amount of time. A lot of things have changed over the past four months, but my rent now represents nearer to 10% of my income, which is good, but my car is now costing me 22% of my income, which is not something I’m too pleased about.

It’s important to note when doing this, that it’s more to do with what each category represents rather than the category itself. For example, despite 22% of my income being spent on driving, that doesn’t mean I love driving, it means that I value seeing new places and getting to work on time. The 19.3% that I spend eating out is more to do with spending time with colleagues, friends, and my girlfriend, than it is about a love for eating in restaurants.

How you spend your day is who you are

Last month I realised that I’m as much a writer as I am a social media guy. When people asked me “what do you do?” my immediate reaction is to say “I work in social media at a digital marketing agency”, but in reality I probably spend more time writing books and blog posts than I do working at the agency, therefore, it’s probably fair to say that I’m predominantly a writer.

Analyzing how you spend your time can be a very insightful activity to do from various angles, but looking from the perspective of “what are my values” can show you how much value you place on different friends, family, work, side projects, sleeping, keeping fit and other things that you spend your days doing.

How knowing your values can improve your lifestyle

All of this information is great, but unless you do something with it it’s worthless.

I recommend analyzing how your money and time is spent for one month, and then writing down five things you want to decrease your spend on, and five things you’d like to increase your spend on. Then several months down the line revisit this exercise and see how you’re getting on.

Use your card wisely.

Many people will suggest that the best thing to do with your credit cards during these tough economic times is to cut them up with a pair of scissors. Indeed, if you are already in huge debt, you probably should stop using them and begin a payback strategy immediately. However, if you are not currently in trouble with your credit cards, there are wise ways to use them.

I happen to really love my credit cards so I will share with you my approach to how I use mine without getting into deep financial trouble.

Ever since about 1983 when I got my first Visa card, I continue to charge as many of my purchases as possible on credit. Everything from gas, groceries and monthly payments for services like my cable and home security monitoring are charged on credit. Despite my heavy usage, I have maintained the joy of never paying any interest fees at all on any of my credit cards.

Here are some tips on how best to use your credit cards without falling into the trap of paying those nasty double-digit interest fees.

Do Not Treat Credit Cards as Your Funding Sources

Too many people treat their credit cards as funding sources for major purchases. Do not do this if you want to stay out of trouble. I use my credit cards as convenient financial instruments so I do not have to carry around much cash. In fact, I hate carrying cash, especially coins. When you buy things on credit, the purchases are clean and you will not get annoying coins back as change.

I do not rely on my Visa, MasterCard or American Express to fund any of my purchases, large or small. This brings me to my golden rule when it comes to whether I will pull out any of my credit cards either at a retail or online store.

I never purchase anything with my credit cards if I do not have the actual cash on hand in my bank account.

If I really cannot pay for the item or service with cash that I already have at the bank, then I simply will not make the purchase. Remember, my credit cards are not used as funding sources. They are just convenient alternatives to actual cash in my pocket.

Make Sure to Always Pay Off Balances in Full Each Month

The next very important part of my overall strategy is to make absolutely sure that I pay the balances in full each and every month no matter how large they are. This should never be a problem if the cash has been budgeted for my purchases and secured in the bank. I have always paid my full balances each month ever since my very first credit card and this is why I never pay interest charges.

Using Credit Cards with Rewards

Most of my credit cards are of the “no annual fees” type, including one MasterCard on a separate account I keep at home as a spare in case I lose my wallet or incur any fraudulent charges. However, I do use a main Visa card which does have an annual fee because all purchases on that card reward me with airline frequent flyer points. For me, the annual fee is worth it since I do travel and I get enough points to redeem many free flights.

You have to decide for yourself if you will charge enough purchases on credit each year without paying interest charges to warrant a credit card that rewards you with airline points (or other rewards). In my case, the answer is “yes” but that might not be the case for you.

I occasionally use a MasterCard or American Express card on small purchases just to keep those accounts active. Also, I have been to the odd retailer that accepted only a certain type of credit card, so I find that having one from each major company is quite handy. Aside from my main Visa card which earns the airline points, the rest of my cards are of the “no annual fees” variety.

So this is how I use my credit cards without getting into any financial trouble with them. This strategy is recommended only if you are not in debt, of course. In fact, it is worth keeping in mind once you’re out of debt so that you can keep your credit cards active and treat them responsibly.

What are your credit card usage strategies? Let me know in the comments — I’d love to hear what methods you use.

Clint Cora is a motivational speaker, author & Karate World Champion based near Toronto, Canada. Get his FREE 3-part Personal Development Video Series on how to expand your comfort zone and finally conquer even your most daunting goals in life.

School loans can seem like a good idea on the surface – they allow you to go to school without working a job, focus on your studies, and usually have a low interest rate which often doesn’t kick in till after you’ve graduated. But frequently the math just doesn’t add up.

Sometimes, students take out loans without thinking about the fact that they will, eventually, have to pay them back! College loans are bad in the same way living on credit is bad: it may seem like a good idea at the time, but it’s impossible to know what the future holds and if you’ll be in a better position to repay the loans in a few years than you are now.

Calculated Risk

That’s not to say there aren’t any scenarios in which using loans to finance your education is an ok option. When seriously considering taking out school loans, it’s crucial that you objectively weigh the potential outcomes of the decision. For example, what will your earning power be with your desired degree? There’s no way of knowing for sure what job you’ll get – or that you’ll get a job right out of college – but some industries will automatically pay better than others. Getting loans for an education that won’t pay well once you’re done with school is not usually a wise choice.

Another scenario is to consider the school you’ll be attending. Some schools – like Ivy Leagues or some private schools – carry a high price tag but also provide their graduates with high job placement rates, high earning potential, and a network of people to help them through their career. In these situations the benefits of such an education may outweigh the risks or detriments of taking out loans.

Put Yourself Through School

If you won’t be getting any help from your family, and it’s up to you to foot the bill for college be sure to exhaust all your options before looking to loans. There are a plethora of scholarships out there – check with governmental and local organizations to see what you can qualify for. Also look at Fastweb.com for a list of smaller and sometimes obscure scholarships that are worth entering. Your high school and college should also be a good resource for finding scholarships.

Working to put yourself though school isn’t fun, but it can be done. There are the “typical” college jobs like bartender or barista but also check into jobs that provide a higher return both money-wise and career-wise. It’s possible to get a jump start on building your resume while still in college – jobs in professional fields typically pay more plus they can give you the experience you need to get a leg up when job hunting after college. Looking for jobs within your school is a good place to start to ensure that they’ll be able to accommodate your school schedule. Positions like marketing assistant, research assistant, lab assistants and so forth may be available on your campus.

And there’s also the option to work as a self-employed contractor. If you want to beef up your writing portfolio, look for freelance writing gigs. Fields like web development, graphic design, fact checking and research are also other areas that can be a good fit for a student. Craigslist is a valuable source for this type of work, but again use all the resources that your school provides.

Getting through school debt-free may require a bit of creativity but it’s a very viable option and you’ll have much more to look forward to once you’re done besides paying down school loans!

Brynn is a social media evangelist for her clients, covering all things real estate and personal finance forMortgageSum.com. She's passionate about using real estate to move toward financial independence, and as both a home owner and renter, brings a unique variety of perspectives to the site. A journalist in her "former life," Brynn brings her professional training to the industry.

Ask your children to list down all the things they could do if they get a $50 or $100 bill for a day. You will be amazed by the answers. Even though you might have never talked to your kids about smart spending, kids figure out a way to set their priorities when it comes to spending their money.

But while kids know their priorities (candies! Toys! Computer games!) as consumers that doesn’t mean that they’re wise spenders. So, if you have been postponing the money management talk with your kids all this while, this is the right moment to teach them about personal finance.

There are many ways to break the ice and discuss money without causing your child to lose interest or perceive the topic as boring. Here are eight pointers on how to instill good spending habits in your child that would last for a lifetime:

1. Listen to your child
   Refrain from criticizing or chiding your kid for overspending or making the wrong buying decisions. Instead of scolding or arguing, you can make your point in an interesting way such as giving examples of a better deal or a better quality product that you have heard about from a friend or an advertisement. Ask your child’s opinion on such information and take the flow of the conversation towards proving your point with patience.
2. Let your child “earn” it
   Instead of handing over the allowance as a dutiful parent, make your child earn it. The tasks don’t necessarily have to be boring. You can hand over a combination of interesting and slightly uninteresting chores. For instance, you can ask your kid to prepare a list of her favorite songs for the weekend party, cleaning the garage and pepping it up with her very own ideas.
3. Give a modest allowance and stick to it
   Regardless of your financial status, the allowance for your kid should always be at par with the average allowance of the other kids at school. This would avoid rash spending habits and showoff or inferiority complexes in your child.
4. Go interactive
   There are many applications designed specifically for school age kids that can help them manage their personal finance. Some of them are quite educational and interactive. You can either buy these applications or even download some of them for free.
5. Be a role model
   Parents are the kids’ first teachers. To teach good spending habits and money discipline in your child, you need to introduce those habits to yourself. By working on your own money management and personal finance skills, you can set a great example for your kid to watch and learn on a daily basis.
6. Shop smart
   Go shopping with your kids. Get them to prepare the shopping list and make sure they understand that you will stick to it unless you have to buy something absolutely essential. Such discipline would help your kid avoid the habit of spending on unnecessary items just because they ‘feel like it’.
7. Teach about social responsibility
   Teach your kids about the importance of money, social responsibility and setting their priorities. For example, your child must understand that donating a dollar to the homeless charity is more important than spending it on unhealthy sugar candy.
8. Buy a piggy bank
   Keep a cute piggy bank or a fake fancy vault in your kids’ room which would encourage them to save a portion of their allowance and gift money on a regular basis. Discuss the target amount to be saved for the ‘grand spending spree’ by the end of a certain period of time. For example, your kid can buy that new Barbie set or a shiny soccer ball by saving a portion of her allowance for a couple of months.

Teaching your children about financial responsibility is a way to ensure their future. It’s one skill that they will treasure and give them a better life.

About the author: Prime Sarmiento is a long time journalist and content marketing strategist for online tutorial company Ahead Interactive - provider of live, real-time, video-powered tutorials. You can follow her writing tips in twitter.

Respect your money -- inspect app bundles before buying

In a time of economic downturn, people are not only looking for ways to save their hard-earned dollars but how to best spend them as well. Not to mention keep their levels of productivity high enough to withstand the pitfalls of a recession so that it’s easier to climb out of it – or stay afloat during it. Along with daily deal sites like Groupon, “app bundles” are becoming increasingly popular for both users and third party developers alike.

App bundles generally consist of a number of apps that can be bought as a packaged deal. They are usually theme-based, where the purchaser gets software that can be used to enhance a specific area of their computing life. Freelance bundles, productivity bundles and even web app bundles are commonplace on the Internet these days. But just like daily deal sites, this category is becoming very saturated – very quickly.

App Bundle Fatigue

One of the biggest problem with over-saturation of anything is how fatigue can set in, which hurts the category on multiple levels. First, the app developers view a bundled approach as a less than ideal business move and users begin to have so many options to choose from that they either overspend or avoid spending altogether. While the savings on the bundles is often the greatest draw, it’s also the apps that are part of the bundle that appeal to customers, which is also part of the problem. We’re starting to see the same apps appear in different bundles, and if a user has already bought a bundle containing the one or two apps they really wanted, they’re not likely to buy a bundle containing those apps again – even if there are other apps in there that they’d like. The value of the bundle is diminished by this, and if you’re not saving as much money then you’re less likely to pony up the cash for an app bundle.

Those who are selling app bundles are starting to combat this fatigue by offering unique ways of promoting their bundles. MacHeist was one of the first to do this, essentially creating a quest to get the apps at an increased savings. This unique approach has served them well as pioneers in the category, but it takes a lot of work to put these “heists” together and the time between bundle offerings is greater as a result.

StackSocial has taken a different approach. As one of the newer players in the game, they’re developing a community around their bundles, offering reviews of apps they’ve offered on their blog and partnering up with well-known and trusted sites like Cult of Mac in order to gain traction in the space.

“We had a number of Apple bloggers and publishers telling us they were struggling to find ways to maximize revenues yet keep their site’s user experience high,” explains Josh Payne, co-founder of StackSocial. “We believe we’ve solved that challenge by building a unique, social shopping experience that is purely focused on the needs of Mac enthusiasts which enables sites, such as Cult of Mac, the ability to offer a very select group of products and services that their audience is already interested in and appreciates.”

Other bundle offerings, which seemingly apply most often to those using Apple devices, are plentiful and that makes it hard for users to hone in on which bundles to buy.

How to Shop for App Bundles

The savings offered on these bundles are compelling – and tempting – but before you open up your wallet and spend your money on any of them, make sure you’re well-informed and prepared. Here are some suggestions on how to avoid buyer’s remorse when buying app bundles:

Look at what you need, not what you want. Apps like Keyboard Maestro and TextExpander can be huge time-savers, but if you’re not willing and able to put in the time to make them work for you then they shouldn’t be a primary factor in your purchasing decision. Not everyone will need to speed up their workflow to the levels that those apps can allow, but an app like 1Password is something that all users could use because of its overall utility. You already have a text editor on your computer, so do you really need another like WriteRoom? Maybe you do, but make sure you look at your “needs” versus your “wants” and you’ll find that the app bundles don’t become app blunders.

Explore smaller bundles. Some app bundles aren’t really bundles at all – htey’re merely apps on sale. Isolate your needs and then look for apps that meet them. If one or two of them happen to be in a bundle on their own, buying that smaller bundle would be wiser than buying a larger bundle that include apps among those that you’ll never even open. Less is more, and having less on your machine so that you can find things easier, learn new apps that you’ll actually use without having clutter in your way and being more productive as a result is always better than saving more money.

Find out what your mentors are using and stick with those apps. If you’re aspiring to achieve levels of productivity and workflow that those you admire and mentor you, find out what apps they use and where they looked to find them. For example. I’m a big fan of Patrick Rhone’s work and “what he believes in”, so I’m always on the lookout for apps that he has in his arsenal. If I find one of them in a bundle or at a savings, I grab it (after reviewing my first suggestion above, of course). It’s almost as if I’ve let him put the app through its paces before I give it a shot, because he’s usually written about his use cases on his website or his podcast. Take a good look at what those people are using and it’ll help you save time and money when hunting down app bundles for your own usage.

A Final Word on App Bundles

Shopping for apps is essentially the same as shopping for anything else: you go where the best options for your particular set of circumstances is. When you buy groceries, you have a set of criteria in place such as price, quality, location of the store and customer service, among others. When you buy clothing, a similar set of standards that you have set applies as well. You should adopt a set of standards when you go shopping for apps, even if it is new to you. Do it from the onset and you’ll be setting yourself for a pleasant shopping experience time and time again.

Pick the right apps, the right vendor and the right timing and you’ll find that every minute you spend shopping is both a penny saved and a penny earned.

Mike Vardy is a writer, speaker, and "productivityist". Read more of his writing and learn more about him at MikeVardy.com, and you can also follow him on Twitter.

CC Image courtesy of Samuraijohnny on Flickr

I don’t think too much about the clothes I wear (and don’t wear) until I have to move. And then it’s just embarrassing to see the number of boxes that my stuffed closet and dresser translates into.

If you have a similar affliction, the good news is you’ll probably be able to put together a fresh fall wardrobe with very little expenditure. If you don’t have an extensive clothing collection, there are also a few things you can do to stay up-to-date without succumbing to designer prices.

Shop Your Closet

If you fall into the first category and your closet houses more items than you care to count, you’ll likely be able to put together new looks from what you already have. A great way to get fashion inspiration is to look at runway trends and fashion blogs and pick out pieces that are similar to items you already own. You may have a sweater or blouse stashed in a dresser but never thought about pairing it with a certain pair of pants.

Checking out the latest trends with an eye for what you already own can help you save big bucks! For example, floral skirts paired with boots, skinny belts and crisp blouses are a very hip look right now. You may have a flowered skirt from seasons past, but paired with a white blouse (tucked in!) and cinched with a skinny belt, you’ll have a look that you might not have otherwise put together. When you find yourself needing a certain item to complete a look, see if you can get it second-hand, or do a clothing swap with a few friends to get items that are new, fresh – and free!

Thrift vs. Second-hand

Buying used items is a great way to augment your wardrobe or pick up a few new pieces if your closet doesn’t look like a small department store! I don’t know if there’s a technical distinction between thrift stores and higher-end designer second-hand stores but I use the two for different purposes.

Shopping thrift stores (think Goodwill and ARC) will offer you an extremely affordable way to put together some of the latest trends. True, you probably won’t find off-the-rack seasonal items in thrift stores (although you may luck out!) but if you have an idea of a look you’d like to create, you can usually find the means by which to assemble it. I use thrifting as a way to dress in some of the trendier, more-likely-to-go-out-of-fashion looks. Then, I spend less money on something I might not wear in another year, and it’s a much more eco-friendly option for “disposable” fashion.

Higher-end second-hand stores are perfect for name brand and designer clothes that will have more staying power. I recently purchased a black Banana Republic sheath dress and a white blouse from one such store. I paid more than I would at a thrift store, but not near as much as I would’ve paid for new items. These are pieces that have stood the test of time so I feel comfortable investing a bit more into them knowing that I won’t be taking them back to the thrift store next season.

Looking at what you already have (or what your friends have) and perusing thrift or second-hand stores are perfect ways to update your wardrobe for fall and still have enough money to actually go somewhere in your fabulous new clothes.

Brynn is a social media evangelist for her clients, covering all things real estate and personal finance forMortgageSum.com. She's passionate about using real estate to move toward financial independence, and as both a home owner and renter, brings a unique variety of perspectives to the site. A journalist in her "former life," Brynn brings her professional training to the industry.