Suze Orman Fan Club Blog Community

It is a tough call. Will I watch the Suze Orman Show Halloween Special or Game 3 of the Yankees vs. the Phillies World Series? I might have to save the Suze Orman show to the DVR and catch her later, but I don’t want to miss her Halloween Special.

Thankfully my debt isn’t that scary, I hope, Suze might think otherwise. I wouldn’t want to miss her reply to the woman who wants to spend $4,000 on the Elf School. Really? Can you afford it isn’t as much the question as is should you go just because you can afford it?

There will be a masked mystery guest to answer questions as well.

Tune in Saturday night to the Suze Orman Show on CNBC at 9:00 PM ET or during one of her repeats for all the fun or financial fear, whatever your poison. Don’t stay up too late and eat too much candy, but if you do, DON’T FORGET TO TURN YOUR CLOCKS BACK.

Happy Halloween!

Suze Orman’s Valentine’s Wish from February 2009 includes her thoughts on gay marriage and the disappointment of legislation in Florida and California against gay marriage.

Or visit YouTube link.

Suze Orman has a great post on how you can save money on your taxes, and help the environment at the same time. In her post on Going Green, Suze talks about IRS tax credits that you can claim when you upgrade your home and make it more energy efficient. Tax credits are better than tax deductions. A tax credit will reduce your taxes, dollar for dollar. A tax deduction reduces the amount of income you have subject to tax. So a $100 tax credit will save you $100 in taxes. A $100 tax deduction will save you $0-$39, depending on your tax bracket.

Energy tax credits are a win-win-win situation. You save money on your taxes, you save money on your energy bill, and you get to live in a more comfortable home!

You can claim up to $500 in tax credits for energy efficient improvements you make on your home. Here are some examples of the credit amounts you can claim. You can mix and match up to $500.

You can get a $300 tax credit for upgrading your heating and air conditioning system.
You can get a tax credit for 10% of the cost of new windows and doors. How about $300 for installing a new water heater?

To claim the residential energy tax credits file form 5695 with your 1040.

Look for my next post on what Suze Orman would want you to do with your tax refund!

Visit Kat’s Money, Debt and Taxes for more information on how to get out of debt and save money on your taxes. 

Suze Orman has given advice on almost every financial situation that you could imagine. One thing recently that I was particularly interested in is what Suze Orman calls her Action Pledge for 2009. In a given month Suze Orman wants everyone to take her pledge that says: “Do not spend money for one day. Do not use your credit card for one week. Do not eat out at a restaurant for one month.”

Obviously this had a huge impact on chef’s all across America especially in these days of recession. Suze Orman’s pledge doesn’t take into account the effect it would have on the food industry if everyone chose to eat at home for one whole month.

Restaurants, and the many people and businesses that supply them with their food, are already under threat and financial crises. Many restaurants are being forced to close due to bankruptcy. Although Suze Orman believes that her pledge will lead many to financial freedom chef’s across America are outraged.

I believe that Suze Orman has a valid point although instead of choosing to not eat in a restaurant for one whole month, spend according to your budget. If that means you can only afford to eat out once a month then so be it, but if you can afford to safely eat out more than once a month then enjoy. Maybe you could consider only eating out in less expensive diner’s that belong to struggling communities. That way you’d be saving money and helping out at the same time.

There are a large number of restaurants that do not serve wholesome food instead of using these types of restaurants use one that serves high quality food. Think healthy and purchase what’s good for our bodies, our taste buds, and our money.

Visit Mickie at either of her Today.com blogs, The Osbourne’s or her blog about the Performing Arts.

Sorry that I missed last week.  I got busy and missed the entire episode!  Here is the Valentine’s Day play-by-play:

Opening Remarks:
Suze will talk about why money and marriage go together.   She is talking about the benefits of being marriage.  Basically there are many financial advantages to being married; thereby leading to a discussion about how Prop 8 is ridiculous.

Guest:
The couple is about to get married.  They are having a disagreement over money: Gordon wants to pay about 50% of Chastity’s student loans, but Chastity thinks she would feel guilty taking money from him when it is not his debt.  Suze basically tells them they should do this because it makes financial sense.  It makes sense to get rid of the school loan immediately.  Suze says that Chastity can always sign a promisary note for Gordon which states that she would pay back whatever would be owed (so that she feels less guilty).

Phone Calls:
Caller #1
I don’t remember her  name, but the issue is that her father passed and the mother is obligated to pay her late-husband’s death.  Suze says: YES!

Emily
Emily and her husband are in lots of debt ($38,000) and are arguing.  Suze advises to find a new job, pay down the credit card debt and never forget this lesson!

Mary
Is worried because her partner and her are not able to get married and worry about what will happen when one passes away.  Suze mentions that she has resources available on her website .  I believe these are located in the “Will and Trust ” section.

Can I Afford it:

*Maltese puppy for $900 - DENIED!
*Trip to 2010 Winter Olympics for $10,000 - APPROVED!
*Josh Agle Print for $6,500 - DENIED!
*Sculpting Course for $750 - APPROVED!
*King Cobra Golf Clubs for $800 - DENIED! (she didn’t even let him speak)

Can I Afford it, Callback!:
Lisa’s $6,300 ticket for Bette Midler’s Gala for Environment Performance

Lisa was denied.  She did not go to the event.  Instead, she donated to the cause and feels great about saving money while still donating something to this cause.  SURPRISE SURPRISE!  Suze tells Lisa that she went to the event this past year and had a great time.  Suze was glad that Lisa turned her on to this event and in return, Suze (or maybe it was the Bette Midler entourage) is giving Lisa two tickets (worth $5,000 each) to the next performance.  Lisa was thrilled!

Phone calls:
Jennifer
Bought about nine investment properties and she is feeling guilty about not being financially responsible.  Also, the burden is taxing on her marriage.  Suze advises that they sell all of these properties.  Suze also warns that Jennifer’s credit is going to be ruined.

Nicole
Her partner and her get along, but are not on the same page when it comes to finances.  Suze tells her that she needs to open up the communication and be more honest with each other.  Otherwise, they are doomed for problems in the long run.

Email:
What a classic case of a typical Suze guest.  The guest has $40,000 in credit card debt.  She wants to cash out her husbands 401K which is valued at $25K.  Emailer also contemplates bankruptcy.  Suze tells the emailer that she is absolutely not allowed to cash out the 401K because it would be stupid.  Cashing out 401K’s before age 59.5 results in a 10% penalty PLUS it would be taxable income.  In the end, it is not worth it.  Only contemplate bankruptcy if it is an absolute last resort.

Closing Remarks:
Suze is wacky again.  She shows us that she has found her perfect match this Valentine’s Day… the desk lights up red and she says: “The desk matches my shirt.”  Then, she blows a kiss.

Visit Kevin’s Go Cubs Go for all the latest on the Chicago Cubs

While running around the Suze related videos, I came across a meeting between Suze and the crew for Fast Money.  What an interesting mix of body language going on between Orman and the people behind the Fast Money desk!

This encounter was broadcast on January 12, 2009, and the Fast Money crew was polite, but obviously on a different playing field.  They looked seriously uncomfortable, as though they had welcomed her on the show under duress.  No amount of noodling about Taco Bell could break the obvious freeze between those behind the desk and Suze up front.  Suze admitted that she had disagreements with them in the past, but emphasized that dollar cost averaging is the way to go.  She even pointed out that many times brokers themselves could not pay their own mortgages, and gestured to the man seated on the left, as if he were the example such a broker.

So who is right?  Fast Money, which obviously advocates specific, targeted investments that turn over after they are profitable?  Or is it the dollar cost averaging?

Consider it from Warren Buffet’s point of view.  He doesn’t dollar cost average, but he does buy and hold, and hold, and hold.  Orman knows that not everyone has Buffet’s pocketbook, so that leaves putting money into a retirement account as it is possible.  Therefore dollar cost averaging is appropriate.

For people who like to follow the market, invest in stocks, and then take profits,  Orman’s comment about the stock broker who can’t pay the bills is not fair any more. For one thing, she was brokering at a time before trading online swept away the world. That’s not to say there aren’t brokers and a place for good brokers. But brokers today are no longer the same as they were when Orman began.

Likewise, the folks on Fast Money should know that sometimes slow and steady gets to the gate first.  Repeated infusions of cash into a portfolio will build a portfolio substantially.  It would be curious to see how many portfolios of the Fast Money team had the kind of returns last year that all of us would envy.  And obviously Orman doesn’t even have to worry about money at all.

Visit Beth Rose’s Wear Many Hats for a different perspective for the informed investor.

Suze Orman is a financial expert, if you have problems with finances then Suze Orman is definitely the person to seek advice from. Suze Orman would be a great friend to have espescially in financial crises.

Suze Orman has written seven New York Times Bestsellers in a row:

Suze Orman’s 2009 Action Plan
Women & Money
The 9 Steps to Financial Freedom
The Courage to Be Rich
The Road to Wealth
The Laws of Money, the Lessons of Life
The Money Book for the Young, Fabulous and Broke

It is definitely worth investing in Suze Orman’s books as you will learn how to save money rather than spend it. If you want to watch Suze Orman on television she hosts “The Suze Orman Show” on Saturdays on CNBC. As well as writing many wonderful books and appearing on several television shows, Suze Orman is a two-time Emmy Award winner.

She won two Daytime Emmy Awards in 2004 and 2006 for her PBS pledge drive specials, The Laws of Money, The Lessons of Life and The Money Show for the Young, Fabulous, & Broke, she is the winner of more Gracie awards than any other recipient, 2007 top female motivational speaker by Business Week, 2008 100 most influential people in the world by Time Magazine and contributing editor to O, The Oprah Magazine and The Costco Connection.All in all Suze Orman is miles ahead of the rest when it comes to financial advise and in this day and age we need more Suze Orman’s. I’d advise anyone to take a leaf out of Suze Orman’s book.

Visit Mickie at either of her Today.com blogs, The Osbourne’s or her blog about the Performing Arts.

Like most financial advisors, Suze Orman always advises folks under the age of 40 to invest for the long term, and to do it aggressively to avoid the detrimental effects of inflation.  Her book, The Road to Wealth teaches all about retirement planning, especially using the principles of dollar cost averaging.

Consider, however, the current market situation where the market has been dropping in a most hair-raising fashion.  Some individuals have lost over 50% or more of their equity, holding on all the while in the name of “It Will Come Back.” Most people over 55 are wondering how many years now it will be before they can retire, and some retirees are going back to work.

Is it any wonder then that some might question the sanity of a financial adviser who tells someone to invest aggressively if they are under 40?  After all, portfolios simply may not have the kind of growth that they have had in the past fifty years.  Perhaps we are entering the same phase as the Japanese, where it was so lackluster that very little growth happened at all.

Suze Orman’s buy and hold, and dollar cost averaging is not unlike many financial advisors.  This strategy is often not advocated by other market gurus who feel that better returns are available to folks who identify the sectors that will be on the rise, and then invest in them.  They scorn the investments for the average.

Whoever is right, the Orman type investment advisers or those who ride sector stocks, doesn’t really matter.  We may be entering a whole new phase of financial advising.  The market numbers may never be the same after last year’s market drop.  And if this country does steer into a depression, redefining retirement strategies will be critical for all advisers.

Visit Beth Rose’s Wear Many Hats for a different perspective for the informed investor.

Suze’s SuperBowl Special… (aka: Suze’s Money Bowl)

Opening Remarks
Suze compares the Super Bowl to balancing your finances.  While a football team has all members working towards the same goal (the Lombardi trophy), families must all work together to create their own financial goal (no debt, budget, etc.).  Suze goes on to create different financial goals: don’t use the credit card for a week, don’t eat out for a month… you keep working up and you will see that you can reach your own financial goal.

Guest
Heath plays for the Minnesota Vikings, but he was out last season with a torn ACL.  Heath and his wife, Julie, talk about how they have a large sum of money saved up and they want to know how to invest their money.  Interesting statistic: the average “life expectancy” of an NFL player’s career is 3.5 years.  Suze asks if any of Heath’s financial advisors ever took that fact into account and Heath says that they did not.  Suze goes on a mini-rant about financial advisors who do not know what they are doing.  Suze goes back to their finances.  The major announcement: FDIC will decrease their insurance at the end of 2009 to $100,000.  Suze’s advice, do not keep more than $500,000 with one bank.  Suze also advises that it really isn’t such a big deal to make interest through assets; instead, it’s a better idea to save because as stated earlier: being an NFL player does not last for a long time.  Suze also mentions: “Non-deductible IRAs” because it is a good way to keep the money diversified.  Basically, Suze goes all over the place with what to do and it is a bit much.  Suze ends the segment by telling Heath to promise to spread the financial responsibility karma off to the rest of his teammates. 

PS– I kind of love the New York Jets cheerleaders being in the Suze studio tonight.

Phone Calls
James
James plays for the Atlanta Braves.  James and his wife make too much to qualify for a Roth IRA.  What to do?  Suze gives a table on Roth IRA qualifications… it’s a bit much to put all in here.  Suze recommends a Non-Deductible IRA for James and then convert any money that he has into a Roth IRA. 

Beth
Went out and got a credit card on her 18^th birthday.  She maxed out the limit at $400 and spent this money on an Ipod.  Apparently, Beth didn’t realize that you had to pay the money back to the credit card company.  Suze is beside herself.  Beth received statements to pay back the $400 balance, but she feels like she doesn’t have to.  Beth wants to get another credit card to pay off this debt.  Suze tells Beth that she is grounded.  Beth makes $2000 per month and Suze says that Beth must save up $400 this next month and pay off that credit card in full.

Can I Afford It
Those New York Jets cheerleaders are going to say “Approved!” or “Denied” for each person.  This should be awesome.

*Ray wants to play in the World Series of Poker for $10,000 - APPROVED!
*Theresa wants an Autographed Def Leppard Photo for $300 - DENIED!
*Stewart wants a Segway Personal Transporter for $5,000 - DENIED!
*David wants a Snowboarding Season Pass for $479 - APPROVED!
*Karen wants to go to the World Cup for $5,000 -  SOOO DENIED!
*Kaylon wants a Beat Machine for $500 - APPROVED!

Phone Calls
Linda
She is a poker dealer and gets taxed on her tips.  She wants to find a way around being taxed on the tips.  Suze says she is absolutely not to do anything with the tip money because Linda mentioned that she has $3000 in credit card debt.

Kathy
Her son inherited a baseball card collection and wants to know what to do with it.  Suze encourages Kathy to find the value of the cards because the value is unknown.  After finding out if the cards are worth something, then Kathy should cash in now while she can.  You never know when the value on certain collections will go up or down.

Email
They were running late so they didn’t have time to read an email.  Instead, they talk about football and food.  Suze thanks the New York Jets cheerleaders for coming and then has them do a dance to close the show.  Wow.  Great show!

Visit Kevin’s Go Cubs Go for all the latest on the Chicago Cubs

During the “Make Your Life Better TODAY” series, Suze Orman shared good advice about hot to cope with five specific situations in your life that you could be facing. During this post I will summarise the advice that Suze Orman gave about saving for your child’s future.

If you are a parent saving for your child’s education you might find it a real worry or anxiety. Parent’s base their lives around children and saving for their education can be very important. You might have to make the decision whether or not you can afford to save for your child’s education.

With mortgages rising in price many parent’s are finding it difficult to contribute to their retirement savings and have no money for emergencies. Many families are finding that they have to put their own needs before their children’s.

September will soon be here and college education can run to as much as $35,000 a year. Although it is better to save sooner rather than later you need to take into consideration if you can afford to save. You can take out a 529 savings plan which is sometimes the solution for many parent’s. Your own state will probably run a 529 savings plan. With a 539 plan your money is invested either in a contract that promises to pay for at least part of the future tuition costs for your child (this is called a prepaid tuition plan) or in a combination of stock and bond mutual funds (this is called a college savings plan). Either way, the value of your investment grows tax-free until withdrawn. In the years when withdrawals are used to pay for college costs, the growth is taxed to the student, not to you.

Paying for your child’s education is an investment that you need to start saving for. If a family starts saving $100 a month and their child is in middle school by the time they are ready for college you could have $11,000. If you have continuously saved for your child’s education by the time they are ready for college you will find this money extremely helpful.

If you put your child’s education savings on autopilot the money will come out as an automatic deduction from your earnings. You might also like to look at financial aid options, but all the time you need to be realistic about what you can afford.

Visit Mickie at either of her Today.com blogs, The Osbourne’s or her blog about the Performing Arts.