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 Preshow #1 BudgetReturn to index of stories... |
Now on New Hampshire Outlook. our continuing series Outlook on Money looks at life on a spending plan. We'll look at getting started and keeping to the plan. |
| Intro Budgeting Return to index of stories... |
Hello everyone. I'm Beth Carroll. Welcome to New Hampshire Outlook. According to the Consumer Credit Counseling service, Americans pay more than 50-billion dollars a year in finance charges on their credit cards. So, why use credit when cash costs so much less in the long run? Many financial planners say it's because we don't live within our means. As we learn in our continuing series Outlook on Money, we can live within our means. if we have a budget. |
| Budgeting Return to index of stories... |
Budgeting Script N1 - Joyce Block's days are busy. She takes care of five children in her family daycare, while home-schooling her youngest daughter. Joyce 3155 - "I have two children, a 19 year old and a 9 year old. I am self employed and I've run a daycare for the past 9 years." N2 - But, while Joyce focused on the children, it seems she neglected her finances. Joyce 3236 - "I had to rely a lot on my parents helping me out financially on purchasing cars, to pay bills, on friends, on working a lot of long hours and also getting financial assistance through the state as well." N3 - It's not how she wanted to live. Joyce realized she needed a budget. Joyce 33:45ish - "Just so I could learn to make it on my own as a single parent and wouldn't have to rely so much on asking my parents for financial assistance." 00:00:18 - "HOW GOOD ARE PEOPLE IN BUDGETING THEIR MONEY? Faye: They're pretty bad at it. Most people would like to have a budget but are not very realistic about their budgets." N4 - Faye Doria helps her clients create a budget they can live with. She's a financial planner in Dover. Faye 300ish - "You can go on a starvation diet for a month, maybe six weeks, but after that time your not going to stay on it, because it's too restrictive, and it's the same way with spending, you can't go on a complete spending diet for very long, what you need to do is change the way you eat, change the way you spend." On camera - Faye asks her clients to first think about the way they spend - to do some accounting. She helps them compare their incomes with how much they spend. Carefully, they'll list where their money is going, from mortgage payments to grocery bills. Faye 50ish - "Then I look at their take home pay, at their paycheck, calculate their take home pay and tell them they are 10,000 dollars off, they have 10,000 dollars more take home pay then they can account for. And I say where did it go?" Joyce 3810 - "We were shopping way too much, at the store two or three times a week stopping at the convenience store to buy milk and soda and things we didn't need, chips, we were doing a lot of wrong things." N5 - So Joyce enrolled in classes. She learned how to budget the money she earned. Joyce 3500ish - "It's very strict, I came up with four courses, and after combining all the courses I came up with something that works for me, decided against eating out and stopping at stores. Credit cards were bad things because I couldn't afford to pay the interest rates on them any more, so I got rid of all of them" Faye 214 - "WHAT DOES A BUDGET DO FOR YOU? Faye: A budget lets you prioritize and be able to have money to spend on the things you really want to spend money on, so if you really want to spend for retirement, or for your kids to go to college, or saving for a down payment on a house, or that dream vacation, this lets you know that you are going to be able to meet that goal." Joyce 3618 - "I have completely cut out renting movies, we use the Rochester public library for books and movies. We only buy clothing that's on sale, or buy all second hand." Faye 731 - "WHO NEEDS TO LIVE ON A BUDGET? Faye: Everybody that isn't saving at least 10% of their income, I say to people if you are saving at least 20% of your income you don't need to have a budget because you've already solved that problem, but surprisingly those are the people that have budgets. " Joyce 3600 - "I try not to go outside of my budget at all, I also have an emergency back- up savings account so if I have an emergency I have that and I don't have to ask family, so I am able to have some flexibility there." Suzann 1:13:20ish "I compare not budgeting to a person who is going on road trip without a map. They are going to end up someplace, are they going to end up where they wanted to end up, maybe, maybe not, it's the luck of the draw." N6 - Suzann Knight is a Family Resource Management Specialist for the University of New Hampshire's Cooperative Extension Program. 1:13:45ish "Without a spending plan a person is without a map, they are going through life earning income, however their 'wants' want them to spend the money. And when they get to their destination, whatever that destination may be, college, education for children, retirement, a house, whatever that destination, will they achieve it? It's a 50/50 chance. It's the same thing as a person driving a car trying to go two towns over without a map." Faye 915ish - "ARE THERE SOME BASIC STEPS TO FOLLOW OR SOMETHING YOU COACH ALMOST ALL YOUR CLIENTS ON WHEN THEY COME IN? Faye: What we look at are little incremental things, and the easiest way to save is before you get that money. So, in raising their 401 k contribution amounts, even if its by 1 percent of pay, trying to have things automatically deducted from their checking account or pay check so that the important things are paid and taken care of before they have to put the money in the check book and spend it." On camera - Faye suggests limited use of these. Avoid frequent trips to the ATM. Faye 1440 - "I think if people are really having spending issues, going to cash is one of the things I suggest and so I say to people 'figure out what your cash allowance should be for a week.' You go to the ATM once a week and you take out that amount of money and then you have to live on that amount of money for the week, you can't go and get 50 dollars every time you want it." Joyce 3950 - "We've been on it for over four years, I don't find any thing difficult about it, I find it easy and less stressful. The bills are on time every month, you're not stressing oh my god I spent too much and now I can't pay the light bill, it seems less stressful living on a budget, and knowing where every penny of our money is going every month." N6 - Joyce has cut her debt by six thousand dollars. She's now saving for a home. For NH Outlook, I'm Beth Carroll. |
| Intro Bielagus Return to index of stories... |
Joining us now to talk more about creating a spending plan is New Hampshire author Peter Bielagus. Peter is the author of the young professionals' personal finance guide, "Getting Loaded." We've certainly learned this week that young people are carrying their share of the burgeoning debt in the nation. But, they're --by no means -- the only ones who need a spending plan. Q Peter: What's the first step in establishing a SPENDING PLAN? |
| Peter Bielagus Return to index of stories... |
Q Peter: Much of what you do is MOTIVATIONAL. You speak to young people a lot. What are some of the MAIN MESSAGES you try to communicate? Q How do you get people motivated to start a spending plan? Q How did YOU get Started -- talking about money? Q Do you live on a budget? Q PETER: Let's take an example: If I'm a SINGLE Mother, mid-30's, earning about $45,000 a year with 2 children -- What advice would you have for me? How should I approach my budget? Q Living on a budget is NOT just for those having financial hardships, is it? Q We hear a lot about INSTANT GRATIFICATION and entitlement. How do you change the way people think about their MONEY. Q How do you think YOUNG people's view of money and some of the problems they encounter is DIFFERENT than say, someone my age. Biggest BUDGET busters?? Q Here's an interesting statistic: According to A 2000 survey by Northwest Mutual --60% of people would rather turn to FAMILY members for MONEY ADVICE rather than a Professional. Is that a good or bad thing? Why or why not? Q How would you rate most people's FINANCIAL LITERACY level? Q Why do you think so many people have TROUBLE TALKING about MONEY? Q What 's the most IMPORTANT thing people need to know about Money? Q Your first book, "Getting Loaded" has tips for young people. You are currently working on another book. Tell me about it? PETER BIELAGUS |
| Intro Fannie Clac Return to index of stories... |
Finally, if you travel to work by car, imagine one day waking up to find it's gone. Could you walk, ride a bike, take a taxi? Well, there might just be an all together different solution. Allison McNair revisits a story she first brought to us in 2003. She profiles Fannie Clac, the New Hampshire organization that is putting people in-need of transportation into new cars. |
| Tag Fannie Clac Return to index of stories... |
Since we first brought you that story, Fannie Clac has helped 451 people buy cars. Robyn Harris is still driving hers and saving for a new home. And, Fannie Clac is in the process of changing its name to Bonnie Clac so as not to be confused with the home load organization Fannie Mae. But the services remain the same. While Bonnie Clac helps people purchase new cars, it also has a transitional program for people who have to clean up their credit before their loans are guaranteed by the agency. Used car donations are always welcome. |
| Web Pointer Return to index of stories... |
To connect with Bonnie Clac --or to find out more about getting your financial house in order, visit our website at nhptv.org/outlook. You'll also find streaming video of ALL our broadcasts -- on-line, and on-demand. |
| Tomorrow Return to index of stories... |
On the next New Hampshire Outlook: Now that you've been motivated to set up a spending plan, it's time to take a look at saving and investing. We'll have some expert advice and examples in our continuing series "Outlook on Money." |
| Goodnight Return to index of stories... |
That concludes our program. Thanks for watching. I'm Beth Carroll. We'll see you next time. |
| key:Economy/business Return to index of stories... |
NEW HAMPSHIRE OUTLOOK Air Date/Time: 08/2/05 HOST: Beth Carroll Length: 08:00 minutes Now on New Hampshire Outlook our continuing series Outlook on Money looks at life on a spending plan. We'll look at getting started and keeping to the plan. Hello everyone. I'm Beth Carroll. Welcome to New Hampshire Outlook. According to the Consumer Credit Counseling service, Americans pay more than 50-billion dollars a year in finance charges on their credit cards. So, why use credit when cash costs so much less in the long run? Many financial planners say it's because we don't live within our means. As we learn in our continuing series Outlook on Money, we can live within our means if we have a budget. PRODUCER/REPORTER: NAME OF PARTICIPANTS: Joyce Block\Living on a Budget, Faye Doria\Financial Planner, Beth Carroll\NH Outlook, Suzann Knight\UNH Cooperative Extension |
| key:Consumer Return to index of stories... |
NEW HAMPSHIRE OUTLOOK Air Date/Time: 08/2/05 HOST: Beth Carroll Length: 08:00 minutes Now on New Hampshire Outlook our continuing series Outlook on Money looks at life on a spending plan. We'll look at getting started and keeping to the plan. Hello everyone. I'm Beth Carroll. Welcome to New Hampshire Outlook. According to the Consumer Credit Counseling service, Americans pay more than 50-billion dollars a year in finance charges on their credit cards. So, why use credit when cash costs so much less in the long run? Many financial planners say it's because we don't live within our means. As we learn in our continuing series Outlook on Money, we can live within our means if we have a budget. PRODUCER/REPORTER: NAME OF PARTICIPANTS: Joyce Block\Living on a Budget, Faye Doria\Financial Planner, Beth Carroll\NH Outlook, Suzann Knight\UNH Cooperative Extension |
| key:economy/business Return to index of stories... |
NEW HAMPSHIRE OUTLOOK Air Date/Time: 08/2/05 HOST: Beth Carroll Length: 10:30 minutes Now on New Hampshire Outlook our continuing series Outlook on Money looks at life on a spending plan. We'll look at getting started and keeping to the plan. Joining us now to talk more about creating a spending plan is New Hampshire author Peter Bielagus. Peter is the author of the young professionals' personal finance guide, "Getting Loaded." We've certainly learned this week that young people are carrying their share of the burgeoning debt in the nation. But, they're by no means the only ones who need a spending plan. PRODUCER/REPORTER: NAME OF PARTICIPANTS: Peter Bielagus\Author, Getting Loaded |
| key:transportation Return to index of stories... |
NEW HAMPSHIRE OUTLOOK Air Date/Time: 08/2/05 HOST: Beth Carroll Length: 05:30 minutes Now on New Hampshire Outlook our continuing series Outlook on Money looks at life on a spending plan. We'll look at getting started and keeping to the plan. Finally, if you travel to work by car, imagine one day waking up to find it's gone. Could you walk, ride a bike, take a taxi? Well, there might just be an all together different solution. Allison McNair revisits a story she first brought to us in 2003. She profiles Fannie Clac, the New Hampshire organization that is putting people in-need of transportation into new cars. PRODUCER/REPORTER: NAME OF PARTICIPANTS:Robin Harris\Fannie Clac Client |
| key: UNH Return to index of stories... |
no unh stories |
| Tonight 10:00 Return to index of stories... |
Tonight on New Hampshire Outlook: Join us tonight at 10:00 only on New Hampshire Public Television. |
| WEB PROMO Return to index of stories... |
Tonight on New Hampshire Outlook. . Tonight at 10pm on New Hampshire Public Television. |