Wednesday, February 11, 2009
CNBC On The Money appearances
Catch me on CNBC's On The Money with Carmen Wong Ulrich tonight, tomorrow and Friday at 10pm EST.
Love and money - romance on a dime
My post for today is published on the CNBC website. Please check out this link: http://www.cnbc.com/id/29106021
Monday, February 9, 2009
Surviving as a freelancer
Reader question:
Something that I've been struggling with is how to save and budget as a freelancer (I'm not technically an employee, I bill for my time). With a steady pay cheque, it is a lot easier to track what is coming in and out and predict how my finances will look in the future. As a freelancer it is hard enough to remain afloat with all of the financial peaks and troughs—how can one expect to ever get ahead?
Kelley's response:
Great question! With the economic crisis still mounting, I might suspect more and more employees are facing the fact of working as a freelancer or consultant for several companies as opposed to just one.
The opportunities for advancement, increased income potential and of course, flexibility make this career option an advantage to many. However, you're right that budgeting and income fluctuations can be frustrating.
I generally don't recommend using credit personally to "get by", however, as a freelancer, you need to think like a business. You likely need some corporate basics as well to market your services to your community such as a website, hosting costs, business cards, etc. Keeping good track of the use of this credit might be a prudent option as well as a tax advantage (the interest on a loan is tax deductible if used for business purposes.)
If you are currently employed (thinking about making the move), now is the time to seek that line of credit with your lender. Once you're truly in a "freelance" position, lending becomes more difficult (because of the lack of a steady pay cheque), although, not impossible. Before you start seeking credit, take a look at your credit report (see http://www.equifax.ca/ or http://www.transunion.ca/). Ensure that you have a conversation with your banker before she also pulls your score and give her the details of your situation in advance. If you're likely to be approved, she will still have to pull your report. But if you're not likely to be approved, then the extra "hit" on your report can further pull your score down.
If you need to build your corporate credit, sometimes the only option is a cash secured loan. In this case, an individual puts up say $1,000 for a $1,000 loan. It might sound absurd, but it will build your credit and relationship with that bank should you require further lending in the future.
The most prudent, but often difficult option is to build an emergency fund (over time) that can cover at least 3 - 6 months of your living expenses. As most Canadians, even those with steady incomes don't follow this advice, I have listed using credit as an option. But ensure to start with some savings each month into a contingency fund.
Some other things to think about as a self employed individual are:
Something that I've been struggling with is how to save and budget as a freelancer (I'm not technically an employee, I bill for my time). With a steady pay cheque, it is a lot easier to track what is coming in and out and predict how my finances will look in the future. As a freelancer it is hard enough to remain afloat with all of the financial peaks and troughs—how can one expect to ever get ahead?
Kelley's response:
Great question! With the economic crisis still mounting, I might suspect more and more employees are facing the fact of working as a freelancer or consultant for several companies as opposed to just one.
The opportunities for advancement, increased income potential and of course, flexibility make this career option an advantage to many. However, you're right that budgeting and income fluctuations can be frustrating.
I generally don't recommend using credit personally to "get by", however, as a freelancer, you need to think like a business. You likely need some corporate basics as well to market your services to your community such as a website, hosting costs, business cards, etc. Keeping good track of the use of this credit might be a prudent option as well as a tax advantage (the interest on a loan is tax deductible if used for business purposes.)
If you are currently employed (thinking about making the move), now is the time to seek that line of credit with your lender. Once you're truly in a "freelance" position, lending becomes more difficult (because of the lack of a steady pay cheque), although, not impossible. Before you start seeking credit, take a look at your credit report (see http://www.equifax.ca/ or http://www.transunion.ca/). Ensure that you have a conversation with your banker before she also pulls your score and give her the details of your situation in advance. If you're likely to be approved, she will still have to pull your report. But if you're not likely to be approved, then the extra "hit" on your report can further pull your score down.
If you need to build your corporate credit, sometimes the only option is a cash secured loan. In this case, an individual puts up say $1,000 for a $1,000 loan. It might sound absurd, but it will build your credit and relationship with that bank should you require further lending in the future.
The most prudent, but often difficult option is to build an emergency fund (over time) that can cover at least 3 - 6 months of your living expenses. As most Canadians, even those with steady incomes don't follow this advice, I have listed using credit as an option. But ensure to start with some savings each month into a contingency fund.
Some other things to think about as a self employed individual are:
- Disability and life insurance. As you don't have a company to fall back on for sick days or disability, you must protect yourself even with a minimal insurance policies. Call an insurance broker for rates as they vary vastly and consider carefully a personal policy as opposed to say the insurance that your lenders offer (i.e. you can purchase life and often disability insurance on your credit card balances, loans, mortgages, etc. but often times, these are much more costly than if you purchased an individual policy. Depending on your health and age, you might be paying far less with a personal policy).
- Start to build good corporate credit and check your report at least once every 6 months. Having a strong overdraft and line of credit can get you through the income ebbs and flows.
- Build a professional team. Bankers, accountants and other professionals can save you time and money. Know when to bring in the pros and remember, to always shop around.
- Lastly, you're now running a corporation even if you're a solo-preneur (a one person business). The only way to ensure that your company will survive is to either A. cut expenses or B. increase income (and of course, a combination of both). How can you address both creatively? Grab a copy at your library or bookstore of my newest book, She Inc. which details both strategies for maximum success.
Friday, February 6, 2009
Customer service excellence in the name of keeping your job
In these troubling economic times, more so than ever, employees need to stand out from the crowd. I might liken one's job and avoiding the dreaded pink slip to a ship on the sea that's facing rough waters. Any good captain will throw overboard what isn't absolutely necessary for the integrity of saving that ship. Are you absolutely "necessary" cargo? Are you the type of employee that is essential to the survival of your employer?
I'm heading to New York next week on business and asked my office to confirm a few details with the hotel. Since I'm staying there for an entire week, I'm hoping this hotel will be a comfortable home away from home. Unlike travelling for pleasure, business ventures usually require one to stay chained to their hotel desk like they would their office.
In addition to the usual business needs (high speed Internet, the ability to print documents, etc.), I prefer hotel rooms with fresh air and windows that open. Oddly enough, this request isn't always easy to find.
My staff called the hotel and the conversation went something like this:
"Can you tell me if your rooms have windows that open?"
"Hmm...I think so."
"Do you know if the windows open?"
"Hmmm...I think so."
Since the website is promoting this small, boutique hotel as a quaint and personalized sanctuary, logic would dictate that the front staff has actually taken the time to go into one of the rooms and see what's actually available to callers and guests.
I think this is how the conversation should have gone:
"Can you tell me if you have windows that open in your rooms?"
"Hmmm...that's a good question and I'm really not sure. Is that important to you?"
"Yes, actually it is."
"Well, if you can give me a few minutes, I'll see if I can check out one of the rooms and will call you back or have my manager do so."
I'm always taken back at the "that's not my department" mentality of service (or lack there of) in today's society. Should this front staff person have put himself in the shoes of the caller, they'd know that a week's stay in the hotel is a lengthy one and weary business travellers need every comfort possible. Should that person's manager have over heard this conversation, they may or may not have rewarded this initiative, but life will. What if the front staff person still received a pink slip even while treating that hotel and it's guests as if it where their own? The hotel is frequented by those in the media and Fortune 500 executives. That type of initiative wouldn't go unnoticed for long. Each caller or guest the front clerk faces could be their dream employer of the future.
What can you do today to learn more about the many facets and departments of your company that true, may not be "your department" today but could be in the future? Be the valuable cargo that your employer can't live without and you'll have a better chance of navigating this economic storm.
I'm heading to New York next week on business and asked my office to confirm a few details with the hotel. Since I'm staying there for an entire week, I'm hoping this hotel will be a comfortable home away from home. Unlike travelling for pleasure, business ventures usually require one to stay chained to their hotel desk like they would their office.
In addition to the usual business needs (high speed Internet, the ability to print documents, etc.), I prefer hotel rooms with fresh air and windows that open. Oddly enough, this request isn't always easy to find.
My staff called the hotel and the conversation went something like this:
"Can you tell me if your rooms have windows that open?"
"Hmm...I think so."
"Do you know if the windows open?"
"Hmmm...I think so."
Since the website is promoting this small, boutique hotel as a quaint and personalized sanctuary, logic would dictate that the front staff has actually taken the time to go into one of the rooms and see what's actually available to callers and guests.
I think this is how the conversation should have gone:
"Can you tell me if you have windows that open in your rooms?"
"Hmmm...that's a good question and I'm really not sure. Is that important to you?"
"Yes, actually it is."
"Well, if you can give me a few minutes, I'll see if I can check out one of the rooms and will call you back or have my manager do so."
I'm always taken back at the "that's not my department" mentality of service (or lack there of) in today's society. Should this front staff person have put himself in the shoes of the caller, they'd know that a week's stay in the hotel is a lengthy one and weary business travellers need every comfort possible. Should that person's manager have over heard this conversation, they may or may not have rewarded this initiative, but life will. What if the front staff person still received a pink slip even while treating that hotel and it's guests as if it where their own? The hotel is frequented by those in the media and Fortune 500 executives. That type of initiative wouldn't go unnoticed for long. Each caller or guest the front clerk faces could be their dream employer of the future.
What can you do today to learn more about the many facets and departments of your company that true, may not be "your department" today but could be in the future? Be the valuable cargo that your employer can't live without and you'll have a better chance of navigating this economic storm.
Wednesday, February 4, 2009
Saving money and finding deals in a tough economy
I hit the streets of Edmonton today with CTV's Valerie Oczkowski to see what deals we could scrounge up on products and services that most individuals wouldn't think are negotiable.
I must admit that even I was surprised at some of the discounts we were able to secure with little time and effort (most by just asking and some arm twisting took all of about 60 seconds).
The piece will run next Thursday on CTV's evening news and on their website (the segment will likely be posted on the site after it airs on TV - http://edmonton.ctv.ca/). I'll post my deal making strategies and tips next Friday morning, so tune in!
And please comment your local deals, tips on negotiating and getting more for less. I'd love to hear from you!
I must admit that even I was surprised at some of the discounts we were able to secure with little time and effort (most by just asking and some arm twisting took all of about 60 seconds).
The piece will run next Thursday on CTV's evening news and on their website (the segment will likely be posted on the site after it airs on TV - http://edmonton.ctv.ca/). I'll post my deal making strategies and tips next Friday morning, so tune in!
And please comment your local deals, tips on negotiating and getting more for less. I'd love to hear from you!
Monday, February 2, 2009
Women and money - radio appearance
Catch me live on CFRB radio today at 2:00pm EST - 2:40pm. It's a call in show and you can listen live at http://www.cfrb.com/. We'll be discussing the topic of women & money.
Couples and money - radio appearance
Catch me live on CBC radioactive today at 4:40 MST. We'll be discussing the PayPal Can't Buy Me Love survey results and the topic of couples & money.
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