By Matt Bell

When you’re getting to know the person you’re thinking about marrying there’s so much to learn. Some of it comes about through questions as you ask each other about past experiences and future goals. Some of it also comes about through observation. Does he respect his parents? Is she usually on time?

But it isn’t always easy for couples to talk about money. Nor is it easy to understand the truth about the other person’s finances just through observation. You can see if they’re a generous tipper, but just because they drive a nice car doesn’t mean they’re doing okay financially. The car may have come hitched to a boatload of debt.

That’s why, if you’re seriously considering getting married, it’s important to talk about each other’s finances. When asking the following questions focus on listening and understanding, not judging or fixing.

Five Key Financial Questions

Here are my picks for the five most important pre-marriage money questions.

1) How much debt do you have? Research shows that having debt increases the likelihood that couples will fight about money, and couples that argue about money are more likely to divorce than any other topic of dispute. If one person has a lot of debt, find out what happened. Did it come about through some unusual circumstance or plain old overspending? The key here is to see if the cause of the debt has been addressed. If not, hold off on the wedding until it is addressed.

2) What’s your credit score? Scores range from 300 to 850. The higher the score, the better. If a person’s score is below 700, you’ll want to dig deeper. Do they tend to pay their bills late? Whether or not bills are paid on time is the most influential factor in determining your score, counting for 35%. A really low score may also indicate a prior bankruptcy or foreclosure.

It may sound boring or intrusive, but it’s an act of love to share your credit reports with each other. Just as with the first question, if there’s a problem, the key is to see if steps have been taken to fix the problem. If the person has a history of late payments is that still going on or was that in the past?

Get your free credit reports from each of the three national credit bureaus at AnnualCreditReport.com, and then buy one of your credit scores for $19.95 from MyFICO.com. You’ll have the option of buying scores from two of the bureaus, but you just need one for now. It doesn’t matter which one you choose.

3) Do you want to have children? This one isn’t directly a financial question, but the natural follow-up question has huge financial implications: will one of us stay home full-time if and when we do have kids? I encourage all couples to live primarily on one income, but this is especially important for couples that want to have children and want to have one parent step out of the paid workforce. The single most helpful financial move you can make to prepare is to live your pre-children days primarily on one income. Are you both on the same page on this?

4) Do you use a budget? National research I’ve conducted has found that couples that use a budget experience fewer financial disagreements than those that don’t. Do you both agree that you will operate your household with the use of a budget? Even better, put together a budget for your first year as husband and wife before you get married.

5) How much do you give away each year? If generosity is a priority for you you’ll want to make sure your spouse is like-minded.

There are plenty of other questions to ask as well.  In fact, early in my new book, “Money & Marriage: A Complete Guide for Engaged and Newly Married Couples,” I devote two chapters to questions and other exercises designed to help you get to know each other financially. But I believe these are five of the most important questions to discuss before getting married.

What about you?  Are there other questions you think should have made the top five?  Leave a comment below.

Matt Bell is a personal finance author, speaker, and blogger at MattAboutMoney.com.  He has written three books, including Money, Purpose, Joy.  Matt has been featured in USA TODAY, US News & World Report, and many other media outlets.

Views expressed are the personal views of the author and do not represent the views of the National Foundation for Credit Counseling, its employees, its members, or its clients.

By Gail Cunningham

Just three weeks into the new year many are finding that their financial resolutions have already fallen by the wayside. The following three steps are ones that anyone seeking to be in a better place financially should put in place.

The three A’s of financial wellness are as follows: 

Action – Many are paralyzed by their situation, frozen in a state of financial anxiety. Others feel that they are in such deep financial trouble that there is no real help available. Some may fear that they’ll reach out for help to the wrong organization, thus ending up worse off than when they began. Failure to act only makes matters worse, as the problem isn’t going to cure itself. Likewise, delaying action only makes the situation more difficult to resolve. Consumers owe it to themselves and their family to sit down with a certified credit counselor at a legitimate nonprofit agency. These counselors are trained to do a thorough review of the situation and provide concrete solutions, ones that can mean the difference between financial failure and financial success. 

Automate – Make technology your friend by signing up for direct deposit, automatic bill paying, and online banking.  You can avoid ever having a late fee by arranging credit card payments to be sent automatically before the statement due date each month, making sure the payment amount equals at least the minimum amount due. You can always circle back and pay the balance in full, but knowing the bill has been paid on time brings you peace of mind and avoids negative dings on your credit report and score. Direct deposit helps to avoid the long lines at the bank on payday, as well as providing a degree of safety since the paycheck can’t be stolen from an unattended mailbox. Further, the surest way to save is to have money automatically deposited into a savings account before you ever see it. 

Accountability – People are well-intentioned justifiers. Financial accountability starts with financial honesty. If you find that you have more excuses than money in the bank, enlist the support of an accountability partner. Make sure this person is someone you’re comfortable revealing your financial dirty laundry to is someone you respect enough to follow their advice, and is strong enough to speak the truth to you. It may be tempting to pick someone who is in the same financial shape as you, but that type of relationship often ends up being a two-person pity party. Instead, find someone who is a responsible money manager and is willing to share those skills with you.

Know that small steps can equal big rewards. The process starts with a person resolving to take charge of his or her financial future.  After that, it’s a matter of executing the plan.

Gail Cunningham is Vice President of Membership & Public Relations with the NFCC.

Views expressed are the personal views of the author and do not represent the views of the National Foundation for Credit Counseling, its employees, its members, or its clients.

By Stacy Johnson

I was recently asked to speak at a new event: the first annual Financial Blogger Conference. Held in Chicago, it was a gathering of hundreds of money writers from all over the country with one thing in common: the burning desire to make a living (or at least part of one) by helping people spend less, save more, and otherwise improve their financial lives.

Never able to resist the urge to put people on the spot and make them nervous, I stopped a few of the nation’s top bloggers, and gave them 15 seconds to answer this simple question: “What’s your single best tip to save money?” While I expected tried and true responses like “buy used” and “build a budget,” the answers I got were both interesting and unique.

 Here’s a roundup of 30 ideas that might help you save a buck or two. 

1. Stop buying things you can get free. From books (use the library) to long distance (try Skype) to checking accounts (credit unions) there are ways to find things free that you might otherwise pay for.
2. Do Christmas (and other gift-giving holidays) shopping year-round, so you can buy almost all your presents on sale or clearance. Just keep track of who’s getting what so you don’t mix things up or buy too many gifts.
3. Don’t buy things new when used will do. From cars to clothes to computers, help your budget and the planet by buying pre-owned.
4. Buy things out of season when they’re cheaper. For example, shop for decorations after the holiday is over, get back-to-school items in the winter, winter wear in the spring, and patio furniture in the fall.
5. Create a “want” waiting list before making purchases. After 30 days, you might find you changed your mind or the item’s price has dropped.
6. Don’t shop when you’re hungry or sad. In either case, you’re liable to bite off more than you can chew.
7. Use a list. You’ll save money by reducing impulse buys.
8. When you receive a windfall – a raise, a tax refund, or contest winnings – don’t go on a shopping spree. Get ahead by paying down debt, investing, or saving for a rainy day.
9. Always take advantage of the competition – get several price quotes (including fees and perks) and see who really wants your business.
10. You don’t get what you pay for, you get what you ask for. If something’s expensive, always haggle – and not just on cars and TVs, but on everything from your credit card interest to doctor visits.
11. Check for coupons online and in print before buying anything at all. But don’t let a coupon, Groupon or other deal convince you to buy something you weren’t going to buy anyway.
12. Before you buy something new, sell something old – it helps offset the cost and creates more space. (It can also lower storage costs.)
13. Get by with a little help from your friends: Swap movies, games, and books to keep entertainment costs down. You can also share more practical things – from tools to carpools.
14. Never lease or rent-to-own: These are just hidden ways to pay interest and increase costs.
15. Plan errands around your schedule and to minimize travel. This may mean doing everything all on one day (in one central area) or doing certain things when you’re headed in a certain direction.
16. Don’t be penny wise and pound foolish by skimping on maintenance – when it comes to your car, house, and body, small expenses now are better than giant ones later.
17. Bring food and drink from home. Whether it’s going to work or going on vacation, what you can bring with you isn’t just cheaper – it’s usually better.
18. When you do eat out, get a to-go box. Spreading a meal over two sittings will make both the price and your waistline more attractive.
19. Book a hotel room with a kitchen and spend less eating out. Better idea? Swap houses with someone else and don’t pay anything for vacation lodging.
20. Grow your own food or shop at a farmer’s market to save big on fruits and vegetables.
21. Try generic brands and ask for rainchecks on out-of-stock sale items.
22. Be energy efficient. Turn off lights and unplug devices you aren’t using. Make cheap efficiency improvements like sealing leaks and adding insulation.
23. Invest in a high-tech solar clothes dryer – also known as a clothesline. If you have to use appliances, use less detergent and rip fabric softener sheets in half.
24. Make your own cleaning supplies with cheap ingredients like vinegar and baking soda. 
25. Make your own everything else: Let imagination replace money by making greeting cards, decorations, Halloween costumes, gifts and just about anything you enjoy spending time on.
26. Don’t pay for a pro unless you need one. You can get free do-it-yourself lessons at some home improvement stores, and there’s tons of information online. And don’t forget other professional services. For example, you may not need a tax professional.
27. Get rid of services you don’t need, like cable or your landline phone service.
28. Learn how to find the best freebies for the least effort, because free stuff you have to work for isn’t really free.
29. Everyone recommends a budget, but keep track of your savings as well as your spending. Seeing the reward alongside the restraint can keep you motivated.
30. Don’t pay interest. Renting other people’s money is expensive. Keep it to a minimum, unless what you’re buying is increasing in value by more than what you’re paying in interest.

Stacy Johnson is a personal finance author, speaker, and television news personality. His Money Talks News series has aired for more than 20 years on dozens of network affiliates nationwide.

Views expressed are the personal views of the author and do not represent the views of the National Foundation for Credit Counseling, its employees, its members, or its clients.

By Sara Gilbert

Your credit report and credit score are a summary of your bill paying history that will affect your ability to purchase items on credit. Taking good care of your personal credit report and score could save you thousands of dollars in interest over your life time, and give you the buying power you may need to purchase a home or auto. Potential employers and insurance companies also may pull your credit report. Because your credit report determines the level of risk a creditor might experience when loaning you money or providing you services, the better your score, the lower their risk is with you. Here are ten things you can do now and in the future to take good care of your credit.  

1.  Pay your credit bills such as credit cards, car payments, mortgages, and installment loans on time. Your credit report keeps track of the number of late payments you have had over the past seven years. Recent late payments will hurt your credit report more than something that happened six years ago.  

2.  Get your free credit report once a year to verify its accuracy. Errors do sometimes occur so consumers need to be aware of what is on their report and check it regularly. Another reason to check credit reports annually is to watch for potential identity theft which is a growing concern.  The three credit bureaus are Transunion, Equifax, and Experian.  You can get your free reports at www.annualcreditreport.com or by calling 877-322-8228. 

3.  Avoid carrying credit card balances that are near the top of your credit line. If you carry a balance of $4,950 from month to month on a $5,000 maximum credit line, you are considered a higher risk and your credit may be negatively impacted. Don’t carry large credit card balances if possible. Make it a goal to pay off credit card balances every month. 

4.  Evaluate the number of credit cards you need to carry, but do not close all unused credit lines. It may be beneficial to your credit report to have some credit cards with zero balance to show you have self discipline and that you don’t carry a balance every month. If you have a significant number of open zero balance accounts, close some, but not all of those accounts.      

5.  The length of time you have responsibly managed credit is important. It may be wise to not close older credit cards even if you no longer use them. Keep all unused credit cards in a safe place.  

6.  Do apply for and take good care of two or three types of credit lines to show responsible repayment habits such as a credit card, car loan, and mortgage loan. Never take out more credit than you can comfortably afford to repay. It is probably wise to use only one or two credit cards.  

7.  Remove your name from direct marketing lists and call lists. This way you will have fewer temptations to spend money on credit. Also, with fewer solicitations coming your way, the identity thieves will have less opportunity to get your personal information.  The National Do Not Call List is at www.donotcall.gov or 888-382-1222.  To remove yourself (“opt out”) of national marketing lists from the three credit bureaus contact 888-567-8688. 

8.  Stay in touch with creditors such as medical bills, and try to make payment arrangements with them so that accounts do not go to collection agencies. If accounts do go to collection make payment arrangements promptly with the collection agency to avoid legal action to collect the debt. Avoid all legal actions to collect debts including bankruptcy. 

9.  Do not apply for credit you do not need. Many stores will run a promotion to get you to apply for their store credit card and give you a discount on your purchases that day.  If you already have many open credit lines this additional credit card could affect you negatively. Or if you use the card but forget that you charged something because it is a new account you may have negative repercussions from a late payment.  

10.  Don’t apply for several credit applications in a short amount of time. Each credit application reduces your credit score slightly. (An exception to this would be if you are shopping for credit for a car or a home, you may safely apply for several loans over a two week period when looking for the best terms without harming your credit report.) 

Keeping in control of your credit habits with responsible borrowing will help your long term credit choices.  

Sara Gilbert is Group Manager for the Colorado branch of GreenPath Debt Solutions; a member of the National Foundation for Credit Counseling.

Views expressed are the personal views of the author, and do not represent the views of the National Foundation for Credit Counseling, its employees, its members, or its clients.

By Drew Kessler

Believe it or not, the first person you should pay from every paycheck is yourself.  This is true even if you are self-employed.  Surprised?  To reach many of the goals you have set for yourself, you’ll need money.  If you want to take a nice vacation, buy a house, or enjoy a fairly comfortable retirement, you’ll need to save.

Of course, this rule only applies if your income exceeds your expenses each month and leaves you some money to save.  This may not be possible right now, but it should be one of your most important, immediate goals.  As soon as your income exceeds your expenses, you should begin putting some of the extra income into a separate, interest-bearing savings account designed for emergencies. Once you have saved an amount equal to 3-6 months of your take-home (net) income, you should start investing extra income in an investment account that has the potential to grow more rapidly than savings.

Your savings is the safety net that can help keep you from going into debt. Set up a savings account at your bank, or if one is available, join the credit union where you work and arrange to have the money automatically deducted from your paycheck. This way, the money goes straight into your savings before you are tempted to spend it. You don’t have to write a check or go to your bank. If you are self-employed you should place money into savings or an investment account monthly. Also, don’t defeat yourself by withdrawing money from this account before the next deposit.

You should have ready access to this account so that you can use it when emergencies arise, but it should be separate from the account you use to pay regular monthly expenses so that you don’t think about it often and are less likely to use it for routine expenses. If you are lucky and don’t need to touch it you will soon have a sizeable nest egg.  But, when an emergency arises you will be better prepared to pay for it. Think how good you will feel the first time you can pay for an unexpected expense without worrying about it or borrowing money.

Drew Kessler is Vice President of Marketing & Communications with the National Foundation for Credit Counseling.

Views expressed are the personal views of the author and do not represent the views of the National Foundation for Credit Counseling, its employees, its members, or its clients.

By Gail Cunningham

The NFCC is pleased to announce that American Financial Solutions (AFS) has joined the NFCC network of nonprofit credit counseling agencies. 

“The NFCC is proud to welcome American Financial Solutions as our newest member,” said Susan C. Keating, president and CEO of the NFCC. “By enhancing the national footprint of our credit counseling network, consumers now have even more opportunities to take advantage of quality counseling and find solutions to their financial concerns.”

AFS is a division of the North Seattle Community College Foundation, with home offices in Bremerton and Seattle, Washington, and holds an A+ rating by the Better Business Bureau.

Established in 1999, American Financial Solutions, a nonprofit 501(c) 3 financial education and credit counseling agency, has helped more than 750,000 people find solutions for managing their money and changing their financial lives for the better.

AFS is accredited by the Council on Accreditation, offering credit counseling services in 48 states and the District of Columbia. Additionally, AFS provides HUD-approved foreclosure intervention assistance, pre-purchase housing counseling, along with bankruptcy pre-filing counseling and pre-discharge debtor education.

“The NFCC is the nation’s longest-serving association of nonprofit credit counseling agencies, and has assisted its members to provide financial counseling and education to consumers for 60 years,” said Hank Keaton, president and CEO of American Financial Solutions. “We are proud to be joining the NFCC because we share its vision of promoting financially responsible behavior by providing the highest-quality financial education and counseling services available.”

Gail Cunningham is Vice President of Membership & Public Relations with the NFCC.

Views expressed are the personal views of the author and do not represent the views of the National Foundation for Credit Counseling, its employees, its members, or its clients.

By Jason Alderman

Couples who marry as young adults usually don’t bring a lot of financial baggage to the table, aside from student loans and car payments. But what if you’re getting married in your 40s, 50s or later – after divorce, children, and years of building assets have complicated your economic situation? Do you and your spouse-to-be have a game plan for how to comingle your finances?

The key is to have a frank, comprehensive conversation with your partner long before you walk down the aisle. That might well involve seeking legal and professional advice. But before you bring in the professionals to start drafting legal documents, there are a few steps you can take to better know where you stand.

First, catalog each person’s preexisting assets and debts. Include assets like income from paychecks, Social Security, investment accounts, bank account balances, retirement benefits (pensions, IRAs, 401[k] plans, whole life insurance), and equity in homes, cars, and other major purchases. Debts might include ongoing expenses such as child support, insurance premiums, rent or mortgage payments, credit card balances, outstanding car loans, and medical bills.

Use that financial information to launch discussions about important issues such as:

• How do you plan to share expenses and what will be your living arrangements? For example, will you maintain separate banking and investment accounts or open joint accounts? Will you move into one spouse’s home and sell the other?
• Whose medical insurance will you opt for – your own employer’s plan vs. spousal coverage?
• How long until each of you qualifies for Medicare, and how will you pay for coverage until then?
• How do you want your estates to be distributed? For example, how much of your pre-marriage assets should go to children from previous marriages?

Update legal documents. You’ll each probably want to amend your will, financial and medical powers of attorney, life insurance policies, retirement accounts, investment funds, and any other accounts where beneficiaries or people who control your health or finances are named. This could be particularly important if you want to remove a previous spouse or to reallocate who should inherit what. 

Prenuptial agreement. You also might want to have your lawyer draft a prenuptial agreement (prenup), which is a written contract that outlines terms and conditions for dividing a couple’s assets and financial responsibilities – basically who gets what if you divorce or one of you dies. It’s wise to settle these matters before getting married because state laws don’t always recognize postnuptial agreements.

Having a valid prenup might prevent your spouse from challenging terms of your will or preexisting trusts after you die – sad to say, that does happen on occasion. For example, under state law, unless your prenup says otherwise, your spouse could be entitled to a specific portion of your marital assets after divorce or death, no matter what your will specifies. Laws vary from state to state, but typically your spouse could be entitled to up to one-half of marital assets in a divorce and from one-third to one-half if you die.

Retirement accounts. There are several interesting twists when it comes to bequeathing retirement accounts:

• By federal law, you can bequeath an IRA to anyone you like, but spouses are entitled to inherit other non-IRA retirement benefits, such as 401(k) and pension plans, unless they sign away their rights.
• Amounts accumulated in 401(k) plans during a marriage typically are considered marital property, so if you were previously divorced, the court should have divided your accounts through a qualified domestic relations order as part of the divorce settlement.
• Division of pension benefits can be even more complicated, so make sure your attorney reviews prior divorce settlements very carefully when drafting your prenup.

A few other financial considerations to keep in mind:

• If you were widowed, or married at least 10 years before divorcing, you can draw Social Security benefits based on your dead or former spouse’s earnings if that’s more favorable than your own accumulated benefit. However, if you remarry before age 60 (50, if disabled), that option goes away. See Social Security’s Survivor Benefits for details.
• It’s important to note that prenups don’t supersede Medicaid rules. The government considers the combined income of both spouses when determining eligibility for receiving Medicaid benefits, including long-term nursing home care. To learn more about your own state’s Medicaid program, follow the links HERE.
• Alimony payments from ex-spouses will almost certainly end when you remarry, so factor that into your new budget.
• Widowed spouses of public employees (including military, police, firefighters and civil servants) often lose some or all of their survivor benefits upon remarriage, so research terms of any survivor annuity or health insurance policies carefully.
• When a widowed or divorced parent with primary custody remarries, income and assets of the new spouse may count toward the “expected family contribution” used to calculate federal student aid available through grants and subsidized loans for college.

Congratulations on finding love later in life. Don’t be put off by all the important financial decisions you’ll need to make together, but do be informed, so your marriage gets off on the right foot.

This article is intended to provide general information and should not be considered legal, tax or financial advice. It’s always a good idea to consult a legal, tax or financial advisor for specific information on how certain laws apply to you and about your individual financial situation.

Follow Jason Alderman on Twitter: http://twitter.com/PracticalMoney

Jason Alderman is Senior Director, Global Financial Education, with Visa, Inc.

Views expressed are the personal views of the author and do not represent the views of the National Foundation for Credit Counseling, its employees, its members, or its clients.

By Gary Silverman, CFP®

A few years ago I saw one of my favorite television commercials. In it, we see Bob. I think he’s riding a lawn mower. He has a large four bedroom home with a manicured lawn (thanks to the lawn mower), a nice new SUV (gas was cheaper back then), and a golfing membership at the country club (he really likes grass). After telling us how good things were he said, “How do I do it all? I’m in debt up to my eyeballs.” Then his tone became a plea, “Somebody help me.”

What makes the commercial funnier in retrospect is that it was an advertisement for home equity loans. In debt up to your eyeballs? Living beyond your means? No problem, after all, housing values always go up. All you need to do is borrow out all the equity you’ve built up in your house, and you can continue to live just like you have been.

The commercial gave people a sense that there was a way to have your cake and eat it too. However, the reality was very different than that purported by the commercial. Bob was in trouble, but borrowing to fix it wasn’t the answer. Bob needed to downsize his house, get a cheaper car, and cancel the club membership. Then he could put the savings that those actions gave him into reducing his debt.

But what’s the fun in that?

After all, everyone else at work lives in the [fill in the blank] neighborhood, and can take vacations to [fill in the blank] every year, and their kids can go and [fill in the blank], so we should be able to. We work just as hard.

We deserve it.

Isn’t envy one of the seven deadly sins? And I’m thinking that covetousness is mentioned prominently in a certain list of commandments. One problem is often that of perception. We see what we want to see. We see the neighbor’s new car, and forget about our new computer and patio roof. We see them taking a vacation, and forget about the $4000 we just sent in to the college coffers. We want everything that they have and forget that we have a lot that others don’t. It may not be that you aren’t doing as well…you might just be doing it differently.

The other problem is the reality of Bob’s situation. Bob had it all—and it was all bought on borrowed money. His house was probably worth $400,000, but came with a $300,000 mortgage. His country club dues were likely charged to his credit card. The SUV? My guess is a 5-year loan with only the trade-in as a down payment.

Bob had it all; he just didn’t actually own any of it.

Before you decide to keep up with the Jones’ (or the Bobs), realize that the lifestyle they live may come with debt up to their eyeballs and a pitiful plea for help. Is that really the life you want to live?

Is that success to you?

Gary Silverman holds the Certified Financial Planner (CFP®) license and is a member of the Financial Planning Association (FPA®). Gary is the founder of Personal Money Planning, a retirement planning and investment advisory firm, and is a Qualified Kingdom Advisor. Find out more about Personal Money Planning at the company website or follow on Facebook.

Views expressed are the personal views of the author and do not represent the views of the National Foundation for Credit Counseling, its employees, its members, or its clients.

By Gail Cunningham

Millions will watch the upcoming Golden Globe Awards. Some will be envious of the movie stars’ talent and lifestyle.  However, even though the stars’ lives may appear glamorous, it might not be financially smart to think like some of the characters that have been portrayed on the big screen throughout the years.

The NFCC reflects on the following famous movie lines and relates them to personal finance: 

• “Gone with the Wind” – “I can’t think about that right now” didn’t work out too well for Scarlett O’Hara, and it won’t work for today’s financially strapped heroine, either. Delaying reaching out for help with your financial situation will only make matters worse. 
• “Casablanca” – Wanting Sam to play the same song over and over is one thing, but repeating the same financial mistakes month after month is not music to anyone’s ears. If your financial hole is getting deeper, it’s time for a new tune.
• “Wizard of Oz” – Dorothy knew that “there’s no place like home,” and the millions of Americans who have been displaced from their homes would agree. A home is typically a person’s largest investment. Don’t risk losing yours. Reach out for help at the first signs of trouble so that you and Toto will always have a roof over your heads.
• “Dr. No” – James Bond was a convincing secret agent in dozens of films, identifying himself simply as “Bond, James Bond.”  Today, even James Bond could have trouble keeping his personal information secure as thieves have sophisticated methods of stealing identities. Unauthorized charges on existing accounts, new accounts opened in your name, and drained bank accounts are just some of the results of being a victim of identity theft.  To keep from needing your own secret agent, educate yourself with identity theft protection tips at www.ProtectYourIDNow.org.
•  “The Good, The Bad and The Ugly” – Many may think that this movie title describes their financial life. If so, do something about it by facing the financial facts. Take charge of your financial future by tracking spending, creating a payday cash-flow calendar, and knowing how much you owe.  It’s your money and your financial future.  No one cares more about it than you. 

If your finances are not award-winning reach out to a trained and certified counselor at an NFCC Member Agency. To locate the agency closest to you call 800.388.2227, or go online to www.DebtAdvice.org.  For assistance in Spanish call 800.682.9832. 

Gail Cunningham is Vice President of Membership & Public Relations with the NFCC.

Views expressed are the personal views of the author and do not represent the views of the National Foundation for Credit Counseling, its employees, its members, or its clients.

By Mark Foster

The new year is underway. Everyone should have some kind of goal for their money, and now is the perfect time to be thinking about goals for 2012. Many people wish for good things to happen to them financially, however many take little or no action to turn those wishes into becoming reality.

It is important to create a few financial goals. As hockey legend Wayne Gretzky said, “You miss 100 percent of the shots you don’t take.”

Here are a few quick helpful tips from Credit Counseling of Arkansas: 

• Create a few goals for the year – maybe three to six, or whatever you feel capable of but don’t overdo it. It’s easy to bite off more than you can chew by pursuing too many goals which can leave you feeling overwhelmed and discouraged. 
• Goals will vary from person to person, but some examples might be to start a retirement account; pay off a credit card debt; or to save $1,500 towards the down payment on a car. 
• Make your goals specific. A goal such as “better financial health” is too vague. Come up with something more specific so you will know exactly what to aim for, and know when you have achieved it. 
• Most importantly, write your goals down and post them where you can see them daily so they are a constant reminder. Statistics show that when goals are written down there is a much higher success rate for reaching those goals.

Don’t beat yourself up at the end of the year if you fall a little short of your goals. Rather than focusing on whatever fell short, focus on your successes instead. One year I made a list of eight goals. By the end of the year I had achieved five of my goals, with two other goals achieving some progress, and only one goal that I failed to even start. At first I started to kick myself for the one goal that never got underway, but I realized that I had a very productive year and needed to appreciate the success of what was achieved.

Mark Foster is Director of Education with Credit Counseling of Arkansas (CCOA). CCOA is a member of the National Foundation for Credit Counseling.

Views expressed are the personal views of the author, and do not represent the views of the National Foundation for Credit Counseling, its employees, its members, or its clients.