The John Tesh Blog

Things you can't afford to skimp on

The recession has millions of consumers spending less, saving more and paying off debt. Jean Chatzky and Arielle McGowen have the full scoop for us from Oprah.com- there are essentials, my bargain hunter friend, which we should never skimp on.  There are items in any budget that can be scaled back easily, and the fact that we're adjusting to the reality of this economy is definitely good news; do your best, though, to draw a line in the sand, about where your spending shouldn't budge. 

Retirement Planning
The Pension Rights Center counted about 20 corporations in December that announced changes to their 401(k) plans. Many others have discontinued or downsized their traditional pension plans. If your company is still offering matching dollars, keep kicking in money to grab them.

"To get that free money from your employer is so important for the long-term growth of your retirement nest egg. Especially now, with the down market, when you're dollar-cost averaging in at lower prices, that free money has more value in the long run," said Derek Kennedy, a financial planner in Cincinnati.

If your company has cut back, it still pays to contribute. Also consider an Individual Retirement Account. You can get your money out any time and, after five years, use it without penalty for a first-time home purchase.

Insurance
Don't cut your homeowners insurance thinking that because home values have dropped you don't need as much coverage. What you're paying for is the amount it would cost to rebuild your home and replace your belongings. If you need to save, boost your policy's deductible. Raising it to $1,000 from $500 could shave 25 percent off the cost.  

Exercise
Blue Cross Blue Shield of Minnesota just completed a study that found that people who go to the gym at least eight times a month have significantly lower health costs than those who don't. Make a decision to drop your gym membership?  This, you can do.  Drop the exercise, since you aren't going to a gym?  Don't.  You can get those same benefits by going for a brisk walk, running or riding a bike or by spending less than the cost of a monthly gym membership on a pair of dumbbells.

Health care
Some cuts are fine—generic drugs instead of name brand, for instance. But skipping doctor visits is a bad idea, and so is canceling your insurance.  According to a recent Harvard University study (which was done before our current recession, by the way), medical problems caused 62% of all personal bankruptcies filed in the U.S. in 2007.  Another shocker:  78% of those filers had medical insurance at the start of their illnesses, including 60.3% who had private coverage, not Medicare or Medicaid.

"I've seen so many people go through horrendous financial nightmares and even bankruptcy because they don't have health insurance. This is just not one you want to mess with," said Jonni McCoy, author of Miserly Moms: Living Well on Less in a Tough Economy.

Charity
Giving to others can make you feel better about yourself and your situation. If money is tight, donate items you no longer use, give canned goods, shop at thrift stores that benefit a charity or share some of your time. The big point here is not how much you can give, how many items you donate, but the fact that you continue to do so.

John

Email John:  johnsblog@teshmedia.com

Check out the new John Tesh Social Network. You can connect with new friends, post your own blog, visit various forums, upload your favorite John Tesh music and share your photos.  To learn more about how to join, click here.

You may think you don't have a lot to give, but you do, and it could be much more than you know to someone else.

Psychology experts say that our direct path to inner happiness is most often found when we move outside ourselves, and our own problems.  But do you sometimes find yourself doubting the gifts you have to offer to someone else?  Don't!  Each of us has so much we can share with others- talents we perhaps haven't thought about for a long time.  A little soul searching right now could be the source of incredible charitable inspiration- shine your light out to the world!  Let's get started with a few ideas from P&G Everyday Solutions - use these, or use them to craft your own ideas.

• Visit the Elderly
  Find a retirement community in your local phone book and give them a call. Ask the activities coordinator to identify a resident who would most appreciate a visit. You may meet the senior in his or her room, or perhaps in a dining area or lobby. Extend your hand, introduce yourself and then — follow your intuition. You may not get a word in edgewise, as your new friend might talk about anything from Joe DiMaggio's 56-game hitting streak in 1941 to the last episode of their favorite TV show. Or maybe you will do most of the talking. The important thing is to feel comfortable and make a connection.
• Read a Book to the Blind
  Whatever your literary tastes, if you enjoy reading aloud, you can share the pleasure of a good story by volunteering to record an audio book for the blind, since many of these groups offer audio books to their patients, clients or members. For the inner storyteller in you, this could be a match made in heaven.
• Teach
  All of us have talents and interests, and there is perhaps no better way to give of ourselves than to share what matters most to us with others. Perhaps yours is an artistic talent, such as painting, knitting or playing a musical instrument. Or maybe your hobby is more practical; you may, for example, know a thing or two about fixing a car. Whatever your interest, there is most likely someone close by — in your neighborhood, at a nearby elementary school or junior high school, in a nursing home, or at a homeless shelter (the list goes on and on) — who would appreciate your mentoring. 

Need more direction?  SO glad you asked!  My wife, Connie, and I happily invite you to join the Intelligent Kindness Network.  On this site, we're connecting people from all over the world to share their passion, their enthusiasm, and their inspiring ideas.  You'll find links to many organizations world wide as well as in your own community, and easy to use tools to locate a specific volunteer opportunity nearest you. I believe in this, because-

The power of one is never to be doubted.  And the power of many coming together is truly an awesome thing.  If you're already working in a volunteer network, or out on your own quest to bring kindness to the world around you- you know how true this is.  Please share your stories, and your ideas with us, and become part of the Intelligent Kindness Network.

John

Email John:  johnsblog@teshmedia.com

Check out the new John Tesh Social Network. You can connect with new friends, post your own blog, visit various forums, upload your favorite John Tesh music and share your photos.  To learn more about how to join, click here.