Here is a pep talk about managing your money in the new year. If you are looking to save money, spend less or get closer to being debt-free this year, it IS possible. The first step? Pay attention to your money.

Manage your money and it will go further. To do this, focus on a few simple guidelines and be amazed at your results:

1. Find out where all your money goes.

To figure out where you can save money and shave expenses, first you must know what you spend your money on.

Track your spending for 30 days. Write down how much you spent and on what. Do this for every transaction, every penny leaving your hand, every check written and piece of plastic swiped.

Categorize your spending at the end of the 30 days. Be as specific as you can. How much did you spend on groceries, restaurants, cappuccinos? How about cable, gas, electricity and other bills?

Now you can change a few things. Small changes here and there add up to big savings...

2. Stop living paycheck to paycheck, now.

Check out the spending record you've created. Look for expenses you can eliminate. Cut out subscriptions you don't read, memberships you don't use, cable or maybe a cell phone you don't need.

It's your decision on what you know you can live without.

Make some adjustments to your spending.

• Shop with cash.
• Never pay full price.
• Get supermarket savvy.

3. Use coupons to save you hundreds every month.

It is no longer taboo. Saving money is cool. Coupons are like cash. Learn to use them with that mindset.

If you don't already, subscribe to your local Sunday paper to begin clipping. Visit websites for coupons and pay attention to sales ads in your store.

4. Stick to your list and save money.

Before you hit the store, make a list. Only buy what's on the list and reduce impulse purchases that add up.

The fewer trips to the store, the better. Shop 1-2 times per week only.

Now put the extra money you save to good use:

• Pay off your debt.
• Make extra house payments (or put money away for a new home).
• Build a 3-6 month emergency fund for expenses.

Pay attention to where your hard earned money goes. Make some changes to your spending habits. Toss unnecessary expenses and see how much further that pay check stretches.

Get a handle on your spending and save money in 2011. Good luck!

1. Become a generalist. While there is a drive toward specialization in every area of our lives, the person who commands armies is called a General. Being a generalist allows you to have a lot of flexibility as a business owner. It means you have to know the fundamentals of how business works, as well as how all the independent parts work together to create success.
   
   
2. Know the numbers--yours and everyone else's. Numbers are a great and can be a great motivational force in your business and your life. Numbers are also the language of business, so you'll need to become fluent in them and familiarize yourself with a number of different formulas and key benchmarks if you want your business to be successful. What are some key numbers you need to know and learn?

You should start by knowing the size of your targeted market, the number of companies currently competing in that space, the types of revenues they are generating and the kind of profit margins they are currently running.

Also remember in any startup, expenses are usually 30-35 percent more than expected and revenues are always less than planned. Adjust accordingly and be prepared to alter your plans if the numbers don't add up.

1. Treat your day job like an apprenticeship to being an entrepreneur. Your best ally in your current position is time. Use it to leverage your knowledge of what works (and what doesn't), and learn as much as you can about what drives sales and profits, because those are lessons you can use at some point in the future.What can you learn in your current position that will help you down the road? What don't you know about your current company's operations that you could learn in terms of sales, marketing or accounting that could broaden your understanding of business generally?
   
   
2. Work more jobs. Would you open a restaurant for the first time without ever working in a restaurant? Maybe you wouldn't, but I've had clients who did. And the results weren't pretty. To avoid this fate is find ways to work in the type of business you are thinking of starting. Besides, who do you think would bring more experience to their particular enterprise: The person who only worked one job in one industry, or the person who worked in 20? Business, at its core, is a numbers game. The more you can make the numbers work in your favor, the better your chances of success.
   
   
3. Learn the value of systems. Systems are the key to creating better and more profitable businesses. Until you can learn to systemize fundamental processes, you'll forever be reinventing the wheel--be it in your current job or in your business.
   This can take the form anything from a script for answering phones to your overall sales and marketing processes. While these are vital to understand and key to success, it's also important to get familiar with hard systems and technical systems like phone systems and IT and internet configurations.
   
   
4. Get good at sales. In business, nothing happens until a sale is made. If you are the owner of the company, you will be expected to generate sales. Sure, you can hire out this function but my experience has shown me that at least initially, your customers are going to want to first buy from you.
   
   
5. Learn the rules. You can't play a good game if you don't know the rules or the objective of your game. So get some grounding in the legal aspects of business, forming your own business, local tax codes and licensing requirements and jurisdictions.

This is especially important for of home-based businesses and professional services firms. Some states and municipalities have rules against operating companies out of a home, or have special requirements and tests to sell accounting, legal or financial services.

While there are a number of other things you need to learn and adopt to succeed in business, these seven are a good place to start.

There are few truly new things under the sun. So build on the intellectual capital of those who have gone before you.

And it's more valuable now than ever before.

10 Great Year-End Tax Tips

The holiday season is a great time to take some last-minute tax deductions before the year is over. Here are some of our favorites:

1. Ask for a New Year's bonus instead of a Christmas bonus.
By delaying your bonus by only a week, you can push the payment of taxes on the income 15 months into the future -- a year from next April.

2. Clean out your closets and donate to charity the old clothes, sporting goods, books, and other household goods that you no longer use. You will welcome the New Year with new space in your life, and get a quick tax deduction to boot. Document these donations by making a list of the items at the time you donate them. A good rule of thumb is to value donated items at 20 percent of original cost.

3. Pay donations by credit card. Payments made by credit card are deductible in the year they are charged, not the year they are paid, so you can donate to your favorite charity by year-end and not pay the bill until next year.

4. Contribute the maximum to your 401(k) or 403(b) retirement plans. Some employers will allow you to catch up on contributions by increasing your deduction on your last paychecks of the year.If you are 50 or over, don't forget that you can contribute an additional $4,000 "catch-up" contribution in addition to the regular 401(k) or 403(b) $14,000 limit for 2005.

5. Check the balance in your flexible spending account. A wonderful fringe benefit, these helpful plans allow you to set aside a portion of your salary before taxes for certain purposes, such as child care or health care expenses. Unfortunately, these plans work on the "use it or lose it" concept: any amount unused at the end of the year is lost. So make sure to spend all of the money in the plan by the end of year.

6. Bunch your medical bills. Medical expenses are only deductible when they exceed 7.5% of your adjusted gross income. If your income is low this year or your other medical expenses are high, speed up your deductions accordingly. If you want to take the deductions this year, pay any outstanding medical bills before year-end, stock up on prescriptions, get new glasses, and pay your health insurance premiums before the end of the year.

7. Do a rough calculation of your taxes for this year now. Use last year's tax preparation software to estimate this year's taxes, or note your new numbers in the margin of last year's tax return and use last year's tax rates as a rough approximation. The IRS treats income taxes withheld from your paycheck as if they were paid in equal amounts throughout the year. So if your calculations show you'll owe money, you can increase the withholding on your last paychecks of the year to make up the difference.

8. Don't forget to take miscellaneous deductions. You can deduct union dues, legal and professional fees relating to tax and investment advice, and unreimbursed employee business expenses of mileage, equipment, education, and supplies, among other things. If you pay a lot of expenses for your job or your investments, gather up the receipts and cancelled checks. Your combined miscellaneous expenses can be deducted if they exceed 2 percent of your adjusted gross income.

9. For educators only: elementary or secondary schoolteachers (in both public or private schools) can deduct up to $250 paid for classroom supplies. A new rule makes its debut this year, allowing you to write off up to $250 of such out-of-pocket costs, even if you don't itemize deductions.

10. Consider converting your regular IRA to a Roth. If your modified adjusted gross income is less than $100,000, you can convert your IRA to a Roth. You will have to pay tax on the amount converted (less any nondeductible contributions in the IRA), but all future growth will be totally tax-free.

Don’t go to the grocery story hungry! Always go with a list, to avoid buying unnecessary items.

Take advantage of seasonal produce. When berries are on sale, stock up, and freeze them.

Limit buying perishables. Make sure you’re only buying what you’re going to consume right away, so you do not waste any.

Stock up on non-perishables, such as canned and dry goods to carry you through when you are short on cash.

Buy non-name brands. They are often times just as good, and less expensive.

Use Coupons. Sunday Newspapers are cheap and have loads of Coupons and Sales. Or use online coupon sites.

“You can find cheap ways to Exercise to Stay Fit.” You don’t have to pay for a membership to the gym!

Some ways to save on Exercise for Your Health:

• Walking. It doesn’t cost a dime and you can do it anywhere.
• Jump-Rope. It’s a inexpensive device that can really get your heart rate up. It produces a similar workout to what you would get at a gym.
• Use your own body weight, or cheap alternatives, as resistance. Doing push-ups, sit-ups and body weight squats.  You can use bottles filled with water or sand or inexpensive elastic bands to provide weight resistance.
• Gardening. No I’m not kidding on this one.  Picking weeds, trimming trees, raking and shoveling all provide great exercise for your abs, arms, legs, and your heart.

Miscellaneous Savings for your home:

Check out Garage Sales, Second Hand Stores, Flea Markets and Swap Meets. You can find great treasures at great prices.

But make sure you don’t take too much cash with you so you don’t get carried away!

Also check out Craigslist or other local Classifieds and Ebay for some great deals.

Find Fun Things to do at Home.   Have a Family Fun Night!

Turn off the TV(s) and the Computer(s), and instead of spending a fortune taking the family out for fast food and a movie, try barbecuing at home, and playing a Board Game together (yes they still make them) or play a Game of Cards.

You’ll have allot more fun spending quality time interacting and enjoying each others company.

If you can stay on a Budget through both Good and Bad Times your life won’t be like riding a roller coaster, it will be a smooth ride all the way!