Ask Tani

Happy New Years.....12 New Chapters....

Happy new year, Billionaire! 

2018 is going to be an exceptional year! Full of massive results.

12 New chapters that we get to rewrite our money story. 

I am taking one month at a time. 

It's all math: 

Check this out... 

$1 Million Dollars a year. 

$83,333 a month. 
$19,230 a week. 
$2739 a day. (Oh, this is not my goal yet but I have it on my vision board). 

Do you have a goal set? Share them with me! What's your goal? 

God has given each of us a calling, As every man hath received the gift.

Think about the Proverbs 31 woman.

She was eager to work, yes.

She even had employees (her servants) help her work smarter.

She used wisdom to stay in the “ready” position so she can work AND enjoy her family.

What are you using?

To a Successful 2018, with Love! 

Tanisha Layne

 

Discover how to Expect the Unexpected....

I did a poll of my #AskTani followers. I wanted insight on what they were most worried about. I wanted to learn what they didn’t worry about at all. How confident or unconfident they were in their personal finances. What I discovered was that nearly half of those surveyed had a common fear:

They worried about what they would do if the unexpected happened. If they suddenly lost their job, car broke down, or fell behind on their bills for an unforeseen reason. And this was a worry that showed no matter what they made. Yes, people who make enough money to pay their bills or “get by” and people who just simply worry about how to plan for the unexpected no matter what they make had the same worry.

Was I surprised about my findings? No.

We don’t expect the “unexpected” to happen. But the “unexpected” doesn’t have to be so “unexpected” if you prepare for it. Imagine thinking to yourself, yes – I’m on top of my bills – and you know what, if I were to lose my job, I’d be good for 6 months – or a year – or even two years!

So, just where can you begin to even plan for the unexpected? After all, it’s called that for a reason, right? Think about your current bills. What do you have that will need to be paid no matter what? Maybe it’s your car loan, mortgage, or medical bills. These are recurring expenses that if you were to take a loss in income, you would have enough stashed away to cover these bills until you got back up on your feet.

Or check this out – what about your uncontrolled expenses, things like gas, food, or insurance premiums that you can’t always predict what there exact price will be? Plan for these too. You know on average how much they cost. Create a spending plan of how much you’ll set aside plus a little more in case prices go up. But keep track of your spending plan, so you’re not spending too much on food or gas.

What else? Replenish. In the case you go through your emergency fund on a rainy day, make sure you immediately start setting aside money to build it back it up. Don’t let a rainy day be an excuse for why you still aren’t prepared for the unforeseen. Pick back up. Even if you’re putting away as much as $500 or $25. It’s still progress.

And when you put it in your savings – keep it there. Live by the hashtag #DontTransferSavingstoCheckings2017! Don’t do it! I know it’s tempting when you see $500 just sitting in your bank account – and you think, this watch would look nice on me – I can add back to my savings or I’ll just eat out today and put it back next week when I get paid, it’s no big deal. Man!!! I am so guilty about this and many others. Say NO to “tempting money spending” #DontTransferSavingstoCheckings2017!

Well, I love to break it to you, but this is a big deal. That money you take out today and tell yourself you’re going to replaced next week, will not be replaced. Think of it like this, let’s say you had $200 in your account and you took out $50 one week. Next week, you place $250 in your bank account and consider it no lost, right?

Wrong, you still lost $50. Instead of having $450 in your account, you could’ve had $500 if you’ve kept that $50 in there. And if you keep taking out $50 every other week? That’s $1,300 you’ve lost in a year.

And the most important way to “know” the unexpected? Look at your past “unexpected” occurrences. Did you car break down? How much did it cost? Did you have medical bills? How much did you pay out of pocket? Did you have to repair your home? How much was that? Use these past unforeseen events to make the future expenses more foreseen. The unexpected doesn’t have to be unexpected on your finances if you know what to do.

Weigh in with me, using #AskTani, what’s something unforeseen on your finances you’ve encountered? How would you handle it today? #Share.

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Are you past due on your savings account?

Did you know you can gain more money (possibly an extra $200 or more) just by changing some of your financial habits? No, it does not involve taking out a loan or opening a new credit card to gain more money. What it does involve is simply saving. If you cut costs in different areas, you’ll end up with more money in your bank.

With more money in your bank, you will sleep better at night knowing you have the ability to create an emergency savings account for unexpected life events. Your financial worries will start to diminish because you’ll be prepared for anything that could go wrong. Your thoughts will start to turn into all of the things your savings will allow you to do. Maybe you want to invest more in your retirement (the sooner you start saving for retirement, the less you will have to save in future!) Or maybe you’re planning to go back to school or start your education. It all begins with taking the initiative to cut costs, gain more money in your account, and put it in your savings.

Savings allows you to live abundantly and open up all of the financial possibilities in your life. Remember, you direct your money and only YOU can tell it where to go.

Not sure how to start saving?

Don’t worry, that’s what I’m here for. This week, for the next couple of days, I will be sharing tips and strategies of how to save more. You can follow the hashtag #AskTaniSavingsTips to stay updated and join in on the conversation. Follow the tips on FacebookTwitter, and LinkedIn and then join the discussion with fellow #MoneyMakers.

Are you ready to see more money in your bank? I know I am.

Are you losing money through DEBT?

Photo by Wavebreakmedia/iStock / Getty Images
Photo by Wavebreakmedia/iStock / Getty Images

I must tell you about a discovery call session I had with a client. Let's call him  “Mike.”

While evaluating options for his situation, we considered three possible solutions. Here is a quick overview.

The challenge:

  • He has over $51,000 in credit card debt.
  • He has other unsecured loans totaling $15,000.
  • Even though he hasn’t been late on his bills yet, he is having a difficult time getting caught up and doesn’t think he will ever dig himself out of this enormous amount of debt.
  • When he put his debt into a debt reduction calculator, it gave him 22 years as an approximate amount of time to pay everything off at his current pace.

(Wow. At this point, Mike is overwhelmed, and I could hear it in his voice.)

During our chat, I explained his three options:

Option #1 – Continue to pay the bills for 22 years. (Sad Face).

Option #2 – File for Bankruptcy (Ouch).

Option #3 – Negotiate ALL his debt with each creditor.

Let’s check it out:

Option #1 – Continue to pay. I must tell you that Mike did communicate with each credit card company and was successful at reducing his rates. The obstacle is that, by executing their plan, he will be paying for approximately 22 years.

That is like being held hostage by your credit card company for 22 years. I say “held hostage” because I believe that. Plus, this amount of debt will hurt your credit scores.

Yes, I know he took out the debt, but to pay $51,000 in credit card debt for 22 years is a little crazy, and I thought it was important to look at other options.

Option #2 –The big "B," Bankruptcy. If he qualifies for a Chapter 7 bankruptcy, he will have no more debt (YES). However, the bankruptcy will stay on his credit report for ten years.

He can quickly repair his credit (to 700+) after the bankruptcy, which can be done in 1 ½ to 2 years.

There are two crucial downsides to this option:

The bankruptcy blemishes his credit report. That will impact his ability to borrow MONEY for the next 2-3 years.

Does he even qualify for a Chapter 7 Bankruptcy? Believe it or not, many people cannot qualify for bankruptcy because their income is too high.

If this is the case, he will have to file Chapter 13 Bankruptcy. That means he will have to repay all his debt plus have a bankruptcy on his credit report. (Sad Face).

Let’s move on to Option #3.

Option #3 – Renegotiate all his credit card debt with each credit card company.

Here is what I know without a shadow of doubt:

  1. Your credit card company will not negotiate with you unless you stop paying your bills.  They may tell you differently, but this is what I know to be true.
  2. Your credit card company will lie to you, so you continue to pay.  I’m sure this is not their “policy”; however, when you combine eager employees looking to get their bonus with vulnerable debtors, this happens.
  3. Once they have deemed your account to be delinquent, they will put your phone number into an autodialer system, which means that you will get up to eight calls per day trying to collect payment. Ouch!
  4. If you understand how to negotiate with your credit card company (and I don’t), you may gain a settlement.  I have heard from numerous clients that companies will offer a settlement of somewhere between 15% and 40%.

This means, if this gentleman did it right, he would pay off his credit card debt for a sum of between $7,950 and $21,200.

You read that correctly; he would pay off $51,000 in debt for between $7,950 and $21,200.

After you pay off your debt, your credit score increases; our clients are getting back to a 700+ credit score in approximately 18-24 months. (Yes, Baby!)

The biggest problem with Option #3 is having the stomach to handle the negotiations… because it is very stressful, overwhelming and daunting.  Also, if you don’t know the proper way to negotiate, you will pay even MORE than you should.

If this sounds like your situation, LET'S talk about it and evaluate your options.

Remember this: Every problem has a solution! #AskTani.

Dear Tani: How Can a Financial Team Help Me?

Dear Tani: How Can a Financial Team Help Me?

I know how easy it can to feel to be overwhelmed with trying to balance your finances and determining what’s best for your financial future.  However, you don’t have to go through this alone. This is why it is key to have someone to work with you, to determine and plan your long-term financial goals. You can allow yourself to feel at ease and have a peace of mind by knowing that there is someone on your side who will work with you and plan your long term financial goals. Just how can you do this? By having a financial team!