The Finance Castle

I’ve heard a surprising amount of concern by friends and associates wondering if the most recent government seizure means that the money they have in their respective banks is in trouble. I’m here to tell you that in the vast majority of cases, it isn’t. Most banks may be sucking wind from the credit crisis fallout, but that doesn’t mean they’re going to start keeling over en masse. Don’t believe me? Here are some things to keep in mind:

• The FDIC has you covered: Just about all banks are insured by the Government agency, so don’t fret. If disaster hits and your bank goes under, your deposit insurance amount is $100,000 per depositor per insured bank.
• Your Bank Probably Isn’t in Trouble: The FDIC keeps a list of banks that are running into financial difficulty and while their failure is still unlikely, it wouldn’t be out of the realm of possibility. Banks on the list? 90. Total Banks in the United States? 8,500. I think you can do the math on what your odds are.

I can understand that in the sea of bad news about home sales and the economy, people tend to get inundated with negative thinking. Take a deep breath, relax, and be prepped to ride out this recession.

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Over the weekend my brother and I discussed some additional business ideas that we could get into on a part time basis. Ideally I’d prefer something seasonal (unlike a bar or restaurant, though if you’re looking to fund such a venture, I would check out restaurant equipment and supply information here. A lot of good information is available there along with funding options for those with not-so-good credit) or at least something I can do on and off easily once I hit the road to travel.

One idea we had was a chair rental service. For events like weddings, parties, etc. people often rent out a large number of folding chairs and the like. Unfortunately this would take some significant investment. We’d need all the chairs, a van to transport them, and we may have to get into other areas to stay competitive (most services offer chairs, tents, and other needs).

So ultimately that idea fell flat, but its important to keep your eyes open for opportunity. In the interim we’ve been continuing to build our niche site portfolio, with 2 sites that have broken out of our traditional content. I’ve also landed more freelance writing work, and at this rate I may not even have to seek a part time job to make ends meet (well I’m making ends meet now, but not at the comfort level I want to be at income wise).

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I recently came across a very interesting post over at Get Rich Slowly and figured I’d talk a little bit about it. Given my recent transition from a traditional 9-5 to a more unusual part time work and freelance hybrid, I’ve gone through a variety of stages in defining my career and my own identity.

I always thought that people joked when they said that one of the first things people ask in a conversation when meeting new people is what you do for a living. Having been introduced to a number of new people in recent weeks, I’ve definitely found this to be true. I’ve also noticed that when people speak in passing conversation, much of it is work related. How their particular industry is fairing through the recession, what position they’d like to move on to, etc. Having a variety of professions, from online marketing, to being a writer, to being a Financial Planning Assistant (If I get that particular job), I almost feel like I’m at an advantage because my career eggs are in different basket. I like being able to wear different hats.

But that also inspires some fear. If I don’t focus my career, how will I build my resume. Will new potential employers like the fact that I run my own site portfolio, write about a wide variety of topics for online publications, and also work in Financial Services? I’m not sure, but I also wonder if I should even care. I don’t want or need to go back to a 9-5 job to climb the corporate ladder. If I continue to build up more income sources on my own, with additional stability from part time work, its not a likely scenario, but I’d like to believe I’m still building valuable career experience just in case I ever need to go back to the corporate life. We’ll see.

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There are an innumerable number of sites out there regarding debt consolidation, but sometimes its best (and easiest!) to go to a reputable site with a good amount of information and tools at your disposal.

Heading over to debtconsolidation.com, there’s a good amount of information and a few handy calculators., separated into different “wizards.” There’s a debt forgiveness wizard, lower monthly payment wizard, etc. What these allow you to do is enter your current debt information and it’ll show you what (if anything) you’ll save by consolidating.

As always, be sure to do your own due diligence and research before signing up for any service!

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As I continue to build up more freelance projects, I worry about the impact of taxes. While in most matters of Finance I’m at the very least intermediate, I’ve never really had a complex enough situation that I had to itemize or anything like that. I just told the IRS “hey, I earned this, you already taxed it, refund please.” Now that much of my income is being derived through freelance work,the responsibility to give Uncle Sam his due falls on to me.

I don’t like it.

Now I’m going to have to wade into unknown territory to figure out exactly how this process works. Does anyone have any good tax software and/or books to recommend?

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