[This post is adapted from David Gallico’s Money Smart Week presentation about saving for both retirement and college]

A savings conundrum

What better investment can we make than to provide our children with a good education? According to the US Bureau of labor Statistics, the earnings for a 25 year old with a bachelor’s degree working full time are about 65 percent greater than those with a high school diploma. Those with a master’s degree earn about double.

On the other hand, saving for retirement is more challenging than ever. For previous generations, retirement was a short period of rest and relaxation after about 40 to 45 years of hard work. What’s changed? Well for one, life expectancies. Living longer means a longer retirement. And that means you need more money.

When you couple the fear of outliving your savings together with inflation, the decline of employer pension plans and the potential for changes in Social Security, the need for retirement planning has never been greater.

My savings journey

With proper planning, your decision doesn’t have to be all or nothing. Ideally you can do both. Unfortunately, many parents ask me about saving for college when their children are sophomores or juniors in high school. For most, that’s too late for serious savings.

As a father of twins, I wish I would’ve started saving earlier. I began a college savings plan for my children, but like many, later in life. Although a small amount, I contributed something each month to that plan. At the same time, I didn’t neglect my 401(k). If your employer offers a 401(k) with a match, even while saving for college, contribute at least up to the match.

So, how did I reach my goals?

• For starters, we chose an in-state public school. The tuition savings over an out-of-state school can be substantial.
• My wife went back to work to further boost our savings.
• We used the available financial aid to pick up the difference.

How do you eat an elephant? One bite at a time

If you’re staring down seemingly insurmountable college costs, here are a few tips to chip away at them.

• Start saving early. In fact, if you plan on having children one day, consider saving for college now and give yourself 20-25 years to plan.
• Live within your means and choose an affordable college. There are cheaper education choices, such as attending a community college, choosing an in-state, public school or even commuting from home if you live nearby.
• Apply for financial aid early because the funds go quickly. Use any loans wisely to help prevent post-college financial burdens.
• Don’t just look at the sticker price when choosing a college. Many of the more expensive schools offer competitive financial aid packages.
• Don’t neglect your retirement. At a minimum, keep contributing a base amount to your 401(k). After all, you can borrow money for college, not retirement.

The greatest tip, however, is to develop a plan, and start this plan early on. Stick to your plan and review it periodically. When you look back and it’s all said and done you’ll be glad you did.

[David Gallico is a Senior Financial Security Consultant at COUNTRY Financial]

[Laurie Adams (CFP, CLU, LUTCF) is a COUNTRY Financial representative in Peoria, IL.]

The latest COUNTRY Financial survey shows Americans are feeling better about the possibility of a secure retirement for middle income earners. Also, 57 percent of people are holding steady on or increasing their retirement savings. Good news, right?

However, this may seem in sharp contrast to the doom and gloom messages filling the airwaves and Internet which proclaim “your 401(k) has become a 101(k).”

So what gives? As a financial representative at COUNTRY Financial, I work with middle Americans every day. When facing proclamations of financial ruin, people are beginning to compare their reality with the difficulty of those in tough situations, which leads to some unanswered questions. Here are the ones I’m hearing:

How do I know what to believe?

• For starters, ask yourself why someone is telling you something. Are they trying to sell you a product or a subscription to their newsletter?
• Most people spouting financial advice in the media did not study finance or economics. The fact is the economy is improving, just not as robustly as we’d all prefer. Treat pundits skeptically who only focus on the negative.
• There are emotional components to financial decisions, which are being documented by behavioral economists. Marketers use this information, so you need to develop a strategy to guard against your natural tendencies to react impulsively!

How do I start saving for my future?

It’s simple. Define your savings goals, develop a plan to reach them and stick to it.

Alright, I have a retirement savings plan. How can I make sure I actually follow it?

• It’s very important to monitor your plan, not only to rebalance it but also to see if you are on track. Do this annually or more frequently in the event of a major life change (new job, new home, new family, etc.).
• The more connected your plan is to your life the more likely you are to follow it. Your portfolio is a living document, not something chiseled in stone. We evolve over the years, so should our goals. Don’t be afraid to change course!

Obviously these questions deserve more detailed attention. For now, remember you can’t get where you want to go if you don’t know where you’re at. So, do some soul searching or work with someone to help you create your financial plan and begin your journey to financial security!

[Jessica Gieson is a Corporate Internal Auditor for COUNTRY Financial]

I know my heart rate during sleep, rest, cycling and running. I know how long it takes me to swim 100 meters (way too long). I know the number of calories I need every hour to cycle 100 miles without losing pace, ~150. Ninety-six is the number of miles on my current pair of running shoes.

My cholesterol? Hmmmm. My glucose, blood sugar level? Ummmm. I’m 30 and haven’t been to the doctor for non-sports related injuries since who knows when. Do I need to know my cholesterol, blood sugar level, etc.?  Yes, we all do. Watch what I learned as I completed a free health screening at work.

Reducing your risk for heart disease, high blood pressure and diabetes is often manageable, but first you need to know your numbers. Without the health screenings COUNTRY offered, I would not have gained the awareness I need to maintain good health. Even more, a co-worker and friend would not have decided it’s time to find a doctor and go.

I like to think numbers never lie and can serve as great motivation to make changes to your lifestyle. You’ve seen how my health screening made a difference. I encourage you to share your stories as we all try to lead a healthier life.

This is the first post in a year-long series where our employees will spotlight how they live well and work well so hopefully you can too. At COUNTRY Financial, we’re not just about helping you achieve financial security. We want you to live a happy, healthy life.

Eric V.

Usually we don’t reserve it for anything specific. It kind of just gets dumped into our savings. However, this year, we are taking a trip to Hawaii! So, we will use our return to help pay for the vacation.

Carrie W.

Although my husband and I know it’s not ideal to let the government hold onto our money all year, we look at it like a savings plan. Each year we use the money to complete a project around the house. This year, we are remodeling our kitchen! We purchased our fixer-upper house six years ago. With our tax refund, we remodel parts of the house with cash, and don’t have to worry about going into debt to pay for it.

Steve S.

I am expecting a tax refund this year. Unfortunately, most of it will be going to my health savings account to cover some unexpected medical expenses. Not much fun, but it’s better than making payments!

Josh H.

I will be getting a tax refund this year, and I plan to contribute the money to long-term investment funds for both my wife and me. I went up to the limit of allowed contributions for 2011. My refund is a nice start on 2012 contributions. For us, our refund is a great way to save some “extra” money without dipping into the monthly budget.

Danielle L.

I used to use my tax return on more frivolous items. This year, I plan on using it to offset my educational costs. I’m currently paying for my graduate classes, while also paying off undergraduate student loans. So, it’s nice to get some money in the middle of the year to help out with those costs.

From household renovations to retirement savings and vacations, we’re putting our tax refunds to work. If you’re expecting a refund, how are you planning to use it?

[Landon McDougald is a PC liaison at COUNTRY Financial]

As a PC liaison, I get a lot of questions about people’s computers. One area of concern is the password. With almost every part of our lives moving online, whether it’s social or fiscal, keeping our accounts secure is important.

Just think, if you use the same password for several accounts, once one is compromised, they all are! From my experience, here are some suggestions for creating a secure password.

Passwords to avoid

• Using the current season or month. Some passwords expire after a few months. When this happens, don’t “stamp” your new password with the date, year or season, which is easy for outsiders to guess.
• A child’s name and/or birth year, and your spouse’s name or your anniversary. A search on the Internet, a chatty stranger or an item on your desk could give any of these logins away.

What makes a good password? My computer-geek brain is geared to collect useless information. It can be annoying, but it comes in handy when making passwords.

A firewall of words

• Get personal. Think about what you like to do in your spare time, especially things the average person wouldn’t know. Books, movies, cars, sports teams, TV shows ­­– anything you enjoy and has a unique terminology is a great source for passwords.
• Longer is stronger. Research shows it’s not a password’s complexity but its length that makes it more secure. Every additional character is another one to guess. For the most important passwords, consider using a whole sentence. A quote or a favorite line from a book, movie or song is a great start.
• Punctuate. Not all passwords require punctuation, but they’re good characters for security. Use punctuation most people wouldn’t think of. Capitalization is also useful if allowed.

Creating and remembering secure passwords may be a pain, but getting your accounts broken into, especially your online banking profile, is going to hurt a lot more.

[Elissa Tuttle is a financial planner at COUNTRY Financial]

Anyone who knows me would say I’m a “numbers person.” But, even I get bogged down in the specifics of creating a plan. How much should I save? What rate of return can I get? If you’re drowning in details, here are a few tips to help you take those first steps towards realizing your financial goals.

Bring your future into focus

The first step in the process is deciding what you want to achieve and then breaking down your goals into specific buckets, like short- and long-term. Don’t worry about the numbers yet. You can add them later. For now, focus on defining what your “future state” looks like. For example:

• Short-term: pay off your car loan, or save for the annual family vacation.
• Long-term: travel during retirement, or leave a legacy to your favorite charity.

Giving shape to your plan

Let financial “rules of thumb” be your springboard. If you’re wondering what your end savings goal should be, start with rules like “have a three to six month emergency fund” and “expect to need 75 percent of your pre-retirement income in retirement.” At a bare minimum use guidelines like these to put something in place. In terms of monthly savings, the rule of “saving 10 percent of your income” is a good starting point.

This is great general advice, but as you work on your plan, it must get more specific. For example, think about how your standard of living would change if you experienced the untimely death of a family member or had to tap into your emergency fund to repair a leaky roof.

Making your contribution

You have a plan and savings goals, but if you don’t think you have enough “extra income” to set aside, think again! Shaving a few bucks off your monthly budget can really add up. If you save $50 per month, in 5 years you’ll have $3,000 (not including interest or growth) or $12,000 if you can save $200 per month.

How’s the state of your plan? Are you meeting your financial goals so far this year?

Pat Harris

“[I] saved lots of money by packing my breakfast, snacks and lunch everyday. This amount of money adds up over [weeks], months, and years to enough to [help] save for retirement.”

Doug Magee

“My wife and I save about 70 bucks a month using http://www.couponmom.com/ for our groceries. We also have a cash back credit card [and] will be getting around $250 in February. For lunch, I use MyFavEats app on my phone to find 50% off restaurants within 5 miles of the office.”

“My parents always taught me that you do not get rich by spending your money. Budget each month and save for your future.”

Linda Karney

“We bought ‘Magic Jack Plus’ for $69.95. The cost includes one year of phone service. It works like a regular land line. Just plug it into a power outlet, your computer modem or router, and your phone. An additional year of service is $19.95.”

“We also dumped our cable service and now get TV via an antenna. We actually have more and better channels to watch than we did with basic cable, and it’s free!”

Sean

“Shop your bank…what better place to start than where you keep and get your money. Check out the fees you’re paying, [the] interest you’re making on deposits, and how much you’re paying on loans. You can refinance an auto loan…and save a significant amount. Take advantage of the low rate environment.”

JR

“Cut those [daily] 32oz sodas. My plea: leave a big bottle of [homemade] juice or pitcher of green tea everywhere you consume beverages. [You’ll] save enough money annually to feed 8,000 people one dish of rice!”

Thanks to our readers for all their insightful comments! To read them in full, visit Tom’s post about hard-to-disagree-with savings tips.

[Kristi Zimmerman was an agency recruiter at COUNTRY Financial]

Sound familiar…or your stream of conscious doesn’t correlate to mine? Regardless, this question is deceivingly simple. Being unprepared for the “tell me about yourself” question can make for a bad first impression. So, how do you prepare? Here are a few dos and don’ts to consider.

DO NOT:

1. Summarize your résumé . In an interview, you’re telling the employer what they already know (doh!). At a networking event, this approach is long and will put new acquaintances to sleep. Keep your response to 30 seconds!
2. Include personal information. In a professional setting, your response should be strictly professional. It’s nice you have an adorable cat that acts ironically like a dog or a vast Star Wars collection. But unless the job requires it, don’t mention it.

DO:

1. Prepare. It’s important to prepare for the expected questions first. This question is one of them. With a little rehearsing, you’ll make a great first impression at any interview or networking event.
2. Identify your tag line. This is a one-sentence summary of you. It includes your professional interests / passions and career objectives.
3. Identify your highlights. Make a list of skills and accomplishments that support your tag line or personal brand.

For example, if I wrote mine, it’d be something like this:

Tag Line: I’m an Internet marketing consultant who focuses on employment branding for talent acquisition and specifically interested in utilizing social networks for employee recruitment and retention.

Highlights: I’ve worked at COUNTRY Financial for over six years and have experience in project planning, recruitment and Internet advertising. Recently I’ve focused on employment branding for the attraction and retention of financial representatives who sell our insurance and financial products. I assess the qualities of candidates and find ways to draw them to a career opportunity, whether through social networking, pay-per-click advertising, SEO/SEM or various referral programs.

So there you have it – a crash course in flaunting your professional-self!

The words from that classic carol echo our feelings as we mark the 25^th anniversary of COUNTRY Financial in the Western Region. This is truly a special day as we celebrate our growth not only as a business but also as part of the Salem, Ore. community where our regional office calls home.   

[John Jolliff is the regional vice president of Operations for COUNTRY in Salem, Ore.]

A company’s success is about more than numbers—it’s about bringing “smile after smile” by making a difference in the communities where we live and work. Over these past 25 years, our employees have had fun raising hundreds of thousands of dollars and volunteering to help dozens of local organizations and programs that support families and make life better for so many people.

One of our longtime community partners has been the Boys & Girls Club. Each year, our employees purchase presents for its kids as part of our holiday gift drive. To help make the holidays a little happier and fuller for these kids’ families this year, we also donated $25 gift cards to a local grocery store as part of our 25th anniversary celebration.

You can help us spread even more holiday cheer by leaving a comment below on this post. It’s simple. Tell us how you’ve helped make your community better. For each comment we receive through Dec. 25, COUNTRY will donate $5 to the Boys & Girls Club of Salem, Marion and Polk Counties (up to $1,500) to benefit even more families in our community.  

We are so thankful for the wonderful friendships we’ve formed over these past 25 years. We plan to continue and grow our commitment to the community and families by helping them become more financially secure as we ring in the next 25 years and beyond.

Please leave a comment and share this post with your friends and family so we can make it the happiest of holidays.

[Frank Forsythe is a financial representative with COUNTRY Financial]

The Christmas tree in the living room is ablaze, melting the presents below. There goes the garland and the holiday figurines. Before you know it, the entire house lights up the neighborhood, and it’s not from the icicle lights you spent hours draping from the roof.

Sounds like a scene from a movie? Well, I’ve seen it happen. Every year, 240 Christmas tree fires cause 13 deaths and 27 injuries – not to mention over $15 billion in property damage. The losses leave families shocked and devastated.

As a COUNTRY Financial representative and Manhattan Fire and Ambulance District firefighter and EMT, I have a unique perspective of assisting my clients and community members after a fire. I know what they’re going through because I’ve experienced the destructive power of fires first hand.

It maybe cold outside, but fire safety issues don’t take a break during the holiday season. Here are some tips to consider when setting up holiday décor.

• Keep tree stands filled with water.
  • Make sure real trees are fresh and kept away from heat. Needles shouldn’t fall off easily. If they do, the tree is dried out and is a fire hazard.
• Don’t overload outlets
• Check light strands frequently
• Don’t link more than a few light strands.
• There should be no frayed wires. The wires should not be warm to the touch.
• All decorations should be flame-retardant and placed away from heat vents.
• Avoid using lit candles
• If you do use them, use stable holders and place them where they won’t easily fall over. Never leave candles unattended.

***

Financial Representative Frank Forsythe provided $1,000 to support the Smoke Alarm Hand-Out program in which the Manhattan Fire Protection District hands out smoke alarms to all first grade students.

Frank received an award for his outstanding support of the IFIA to improve public fire safety education.

The Manhattan COUNTRY Agency office received the Corporate Award from the Illinois Fire Inspectors Association (IFIA)for Forsythe’s efforts with the Smoke Alarm Hand-Out program.