How to Be Charitable Without Spending a Dollar Out of Pocket

When it comes to charitable donations cash may be king, especially ahead of the fiscal cliff. Yet, there are many ways to be charitable without spending a dollar. Here are some non cash contribution ideas and IRS guidelines.

Read more @ Yahoofinance: First Person: Being Charitable Without Spending a Dollar Out of Pocket

More charitable contribution articles:

My Investment Approach Toward Charitable Giving
First Person: Working for Free Worked for Me
First Person: Charity or Scam?




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Winter is the Time to Spring Clean

While fixing up the house can wait until spring, winter is a great time to clean my closets and pantry. I am giving away coats, clothes, shoes, canned goods, travel toiletries, even Tupperware.

It makes room in the house for new items during the Christmas season, makes friends and family happy, and even gets me a tax deduction. Read more on Yahoo Finance:

First Person: I Spring Clean Before Spring

Economics 101 and my Christmas Tree

According to American Research Group, the average American wil spend $854 on Christmas gifts in 2012. How much should they spend on a Christmas tree?
When it came to buying my tree, I asked myself...

Real or fake? Big or small? Pine or fir? Pre-lit or not? Local nursery or big box retailer? Buying my Christmas tree was an easy decision once I applied what I had learned in Economics 101. These lessons guide all my purchases and keep me from overspending.

Read more on Yahoo Finance: First Person: The Economics of My Christmas Tree Purchase

Fiscal Cliff? I Am Worried About Stealth Healthcare Tax Increases

While the debate about the fiscal cliff rages on, not many people are talking about the stealth tax increases in healthcare expenses. I have witnessed them since 2011, when under ObamaCare provisions, OTC medications started requiring a doctor's prescription for FSA reimbursement and a 20% penalty for the use of a health spending account to pay for non-qualified expenses was introduced. They are getting much worse in 2013.

Read more on Yahoo Finance: First Person: Fiscal Cliff? I Am Worried About Stealth Healthcare Tax Increases


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Is Money Hiding Around You?

All over America, times are tough, and finances are tight. Of course, my family could cut back our expenses and save a little more. But before that, I am looking for easy savings and am finding some hidden money that will add to our bottom line.

Read more on Yahoo Finance: First Person: 6 Ways of Finding Hidden Money

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Beware of Toys with Hidden Costs

So your daughter wants an American Girl doll for Christmas. And your son wants an iPad? You want to keep them happy so your stretch your budget for the perfect toy for the holidays.

Its just the beginning of what will be a spending cycle. Beware of toys with hidden costs that will bust your budget down the road. Read more of my Yahoo Finance article:
First Person: Toys That Come With Hidden Costs

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Do I Need Five Emergency Funds?

Hurricane Sandy has taught people from New York and New Jersey that not only is it crucial to have an emergency fund, but it is also important to save money in a few liquid, and often tax advantaged, emergency funds for different purposes. Being an avid saver, here are some savings accounts I am considering using for 2013. Surprisingly, some of these accounts are usually not thought as emergency accounts, but they are!

Read more of my Yahoo Finance article: First Person: Trying to Save in Five Emergency Funds

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Getting the Maximum Benefit Out of Employee Benefits

For 2013, our family's employee benefits bring less benefits and more paperwork. However, I am planning carefully during our annual open enrollment period and making changes to 401(k) contributions, medical, dental and vision insurance, FSA withholding, and commuter expenses for 2013 so we can get the maximum benefit out of employee benefits, whilst saving on income taxes. Read the Yahoo Finance article on way you can get the maximum benefit out of your employee benefits.


First Person: Getting the Maximum Benefit Out of Employee Benefits


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Financing Post Hurricane Sandy Reconstruction

As Treasurer of our condominium association, given the 4-5 month expected turnaround for getting any flood losses reimbursed from NFIP insurance, I had the misfortune of researching financing options for repairing and rebuilding any damage from Hurricane Sandy. It is important to note that there are rules stated in the by-laws that require a certain majority for either an assessment or a loan, with the latter being more stringent.

First and foremost, request an advance from your insurance adjuster (this requires signing a form). You can read about the claim filing process by clicking "How to File a FEMA Flood Loss Insurance Claim." You can expect to receive an advance of no more than 10% of what the adjuster thinks is going to be your damage. Yet, I have seen advances of $5000-10000 being made on the spot during the loss scoping. Unfortunately, those who are filing repeat flood loss  claims cannot get an advance,  as noted in "Getting Paid for a Repeat FEMA Flood Loss Insurance Claim Is Going to be Tougher".

Besides this, there are the three choices of financing post hurricane construction.

Special Assessment to supplement General Reserve funds

Most condominium associations have a general reserve fund that can take on small repairs or unexpected costs. Of course, Hurricane Sandy's losses exceeded most reserves. A special assessment generally requires a majority vote, as explained in each condominium association's by-laws. A special assessment is the path of the lowest resistance, although it is most onerous to owners.

A bridge loan for construction from a bank

For Hoboken residents, a bridge loan can be a viable alternative since banks in town can help. Other than Hudson City Savings bank, which declined to provide a business loan for reconstruction, many local banks do provide loans to condominium associations, with monthly or quarterly maintenance as collateral. Loans are given for a period of six months to 5 years, plenty of time to recoup losses from flood insurance. A friend has had success with First RepublicNational Bank. BCB Community Bank's Bayonne office also underwrites these types of loans. Rates are a few basis points over prime, and collateral requirements vary, so contact the banks directly.

A SBA Disaster Loan for HOAs

If all else fails, you can contact the Small Business Administration for a disaster loan. Rates are much higher if you do qualify for other loans, so understand that this federally backed agency is the lender of last resort. You need all estimates for repairs, as well as some sort of documentation from your adjuster. You can read more here: http://www.sba.gov/content/fact-sheet-associations

According to their website:

Before SBA will disburse any loan funds, we must have confirmation that all the money necessary to complete the repairs is available. Therefore, we must have documentation supporting the total project cost of the repairs and the amount of anticipated insurance recoveries. The damages to the common areas must be clearly separated from the damage to the individual units to establish eligibility.

For additional information, please contact our Customer Service Center. Call 1-800-659-2955 (TTY: 1-800-877-8339) or e-maildisastercustomerservice@sba.gov

For additional tips please read: "5 Money Saving Tips for Hurricane Sandy Victims"

Getting Paid for a Repeat FEMA Flood Loss Insurance Claim Is Going to be Tougher

Devastated by Hurricane Sandy after being hit by Irene? Filing a repeat FEMA flood loss insurance claim? Do your homework!

The process of filing a flood loss claim is explained in my article, “How to File a FEMA Flood Loss Insurance Claim.” Owners file the claim over the phone, providing their date of loss, flood insurance, property and contact information. The case is assigned a claim number, and an adjustment company. The adjuster sends a field agent, who scopes the damage, with input from the owners. In a few days, he prepares and estimated proof of loss (POL), with allowances for damages room by room, including cost of clean up, drying, and repairing.

There is however one major difference for insured people filing a repeat flood loss claim on the same property. Homeowners and businesses must demonstrate that any allowance they received from a prior flood loss claim was indeed spent doing the necessary repairs. This calls for meticulous documentation of the prior loss' expenses, while owners are struggling with current repairs while being displaced from their homes.

Photo copyright: Dalia

Let's assume that an owner did in fact make all necessary repairs. However, the owner lost the contractor's receipt in the second flood. The insurance adjuster would be less than sympathetic if the claim is not substantiated, solely because of the existance of a prior flood loss claim.

The owner would also not get the benefit of the doubt from the insurance adjuster if he made all necessary repairs, but the contractor did not break down every repair in as detailed a manner as the proof of loss from the insurance company. For example, if the insurance reimbursement was for a door, a frame and a threshold, but the invoice just shows the door installation, the other parts not being broken out, the homeowner may not get reimbursement from the insurance for the other parts

It could also take longer to process the claim, as the adjuster needs to investigate that all the repairs the previous claim paid for were indeed made, essentially meaning twice the paperwork for him as well.

So filing a repeat FEMA flood loss insurance claim? Gather all the Irene receipts and match them against the insurance proof of loss. Check off what was repaired, and add up what was not. Even if the latter items were badly damaged from Hurricane Sandy, FEMA will not pay for them again and you must budget for out of pocket repairs.