Monday, September 26, 2016

Advice for the Thugs

While my job offers a really good insurance policy  a conversation with my financial planner landed on  the need for more life insurance. He suggested that I get an additional policy to provide for my future family in the event of my untimely death. As with most financial planners he gave me every worst case scenario one could think of in an effort to make me see it from his point of view.   While he was talking (ranting) about the importance of securing my family's future, I couldn't help but think about other people who should get life insurance and the number one group that came to my mind was THUGS.... By the traditional meaning of the word, thugs aren't supposed to care about anyone or anything. BUT my dear thugs I think you should hear me out…... You're out here living fast doing what makes your little thug heart happy, unfortunately all that robbing, stealing and killing is gonna catch up to you one day. When karma does catch up to you, you want to leave enough money so that your family can have more than just RIP t-shirts. So I suggest you get a life insurance policy. I know you may say "hey that's not gangsta", but what's more gangsta than making money off your own death?! You'll be right up there with Tupac! For an amount as small as $50 you could provide your family with money to change the entire family tree, they’d be able to avoid the path of crime you have chosen and could be functioning members of society. Most of you thugs claim you want a better life for your thug-love offspring, well this is a way to ensure your crime filled life isn't cut short in vain. Do something for the hood and do something for yourself.....get a life insurance policy. Because we  all know how this is gonna end, death or in jail. That's the only way this will end. (No you can't rap like jay-z, so stop passing out mix tapes in between your criminal activities). So get a life insurance policy and accept that a life of crime can only be good when it ends and there's a life insurance policy to look forward to.

@jonMcKinney87 for the @theNewCheap

Monday, September 19, 2016

Credit Coach Jeanne Kelly Interview With The Breakfast Club

The Breakfast Club - Credit Coach Jeanne Kelly

I respect what the Breakfast Club has done over the years. It's the perfect mixture of rachetness and righteousness. One day they could have someone from Love and Hip (If you watch that then we cant be friends) and the next week they can have someone to educate or provoke thought. The discussion with Jeanne Kelly is on the righteousness side. My thoughts on credit are evolving due to my growing knowledge of the Dave Ramsey's teachings. Like it or not you will need a good credit score because no matter how much you're able to save I doubt you could come up with $250K in cash to purchase a house.  Jeanne Kelly answers questions from the Breakfast Club allowing the listener to be a fly on the wall. Check out the below link on how to improve or fix your credit.

Sunday, September 18, 2016

Don’t watch pockets, watch moves

Don’t watch another mans pockets, was something that was echoed through my childhood and adult life. "Don’t count that man’s pockets", I’d hear that even if it was a discussion about pro players signing million dollar contracts. It sounds silly and may not make sense, but I understand it.
 Don’t be concerned with what the next person is doing financially. Run your own race and be concerned with that and that alone. You’ll spend too much time on linkedin trying to figure out what moves your peers are making when you should be gaining skills to increase your own net worth! I say all of that to say this… you need to stop watching pockets and watch moves…….

I once had a  top level supervisor, who undoubtedly made double what I was bringing home. I’m not counting his pockets but just stating the obvious (LOL). I mean the man had a reserved parking spot at the building! In my rush into the office one day I stopped and noticed his car was parked in his spot as it normally is but for the first time ever I NOTICED what type of car it was….. a 2012 Honda Accord. Now this isn’t a dig at Honda Accords as I think they’re one of the most dependable cars on the market. I can't lie though, I wasn’t expecting that to be the car of choice for our company's CEO. I def wasn't counting his pockets but I undoubtedly took notice of his MOVE. Could this man  easily afforded a Bentley? Of course, I'm out here making USED mercedes benz money I think its safe to say he was easily making Bentley money (Still not counting pockets LOL). There's a reason why CEOs are CEOs. They may not always be smarter than their employees but they have enough knowledge to know how to get to the top and stay there. You need to watch those moves that the top tier leaders make and see how you can apply that to your life. If someone asked me if I wanted 10 million dollars or a chance to shadow Warren Buffett for awhile, that is an easy answer. I would love to watch and learn why he does the things the way he does, his thought process behind each and every business transaction he has his hand in. Those lessons learned can be applied to everyday life and assist with not only saving money but making it!
The fact he wasn't driving a foreign car means nothing . It also means nothing as far as the respect we had for him. I recognized the smart move and starting watching other moves he was making. All of his smart MOVES put him in a position to retire by the young age of 50. Last time I heard about him, he was in Miami living the life, getting his kids through college and paid for two weddings within this last year alone. I am not in this man's pockets so I do not know his net worth but I do know that he drove a economy level car to work every day and retired early.
Remember, watch moves not pockets

- @JonMcKinney87 for @thenewcheap

Wednesday, September 7, 2016

Chill with the iphones fam...

Chill with the iPhones fam...

First allow me to disclose the fact that I’m typing this blog from an iphone. I’ve been an Apple user since my blackberry died a few years back and had it not been for it’s untimely death….I’d still be using it. I don’t care what you consider "uncool". Because guess what? Your “cool” ass isn’t paying my cell phone bill (side note: blackberry messenger was the greatest curve tool in the world….. "Naw you cant have my number but here is my BBM").  The older I get the more I realize the validity in my mother’s rants about  the desires of my youthful days (except for my boxed Chevy Caprice, I needed that car...outkast albums didn't sound the same in my Mitsubishi). Apple gets us every other year, millions run out to buy the new iPhones ditching their "old" devices just to sign up for a new contract they have to spend the next couple years paying off  ( or most of your parents have to pay). Listen to me when I say this, knock that shit off man. Lets be honest here, do you need a new phone? Like seriously? The new iPhone may have one or two upgrades but you can surely  get  by with updated software. And guess what? Your phone will continue to be just as dry as your old iPhone. Having the latest phone does not increase the amount of times your crush calls you.  It does nothing new for you except give a few IG likes when you post a picture of the box following the purchase.  At this point in your life you should be concerning yourself with buying Apple stock or designing something an app you can benefit from iPhone purchasing craze. I don’t know what that product is but I’m sure with enough time you could come up with something. There are things in life that we will unfortunately have to be consumers on and there’s no way around it. But what we can control is how often we buy those things.  As I mentioned previously I have an iphone and if I didn't need to be connected to the web for my job, I’d chuck this thing for a cricket phone . I don’t need face time, they have computers for that and at this stage of life I don’t want anyone interrupting my Netflix binge marathons or dinner so a cricket phone would be perfect. My point is it’s time for you to stop chasing apple products causing you to faulter in other areas. Focus on getting your student loans paid off or add to your emergency savings account. Because it doesn’t matter how new and cool that phone is, it’s not going to benefit you one bit if you don't have an apartment to plug it into to charge. And fellas the ladies will love you and your cool iPhone until they realize you're texting them from the comfort of your parents basement....

Do better folks. I love you

Sunday, June 26, 2016

Keep Money Smelling Mothy?

                                  Keep money smelling mothy?

While I know he's currently being hated by the entire world right now (#Lemonade) , I'm not afraid to say Jay-Z's music raised me. While I've never met the man, his music was the soundtrack to my teenage years. I rap entire albums by heart!  I remember where I heard songs for the first time! I even was willing to lie and say that Nas’s diss song “Ether” was trash (Honest moment: greatest diss song ever)!  Now that you understand the level of a jay-z stan I am. Imagine being a young man and hearing "keep money smelling mothy" on a Jay-Z record. One interpretation is that HOV was telling his audience to save their money and seeing as his “alleged” drug dealing audience couldn’t take their drug profits to the bank, Jay-z suggested that they put the money in their closet. The mothy scent comes from the moth balls that old people line their houses with to ensure that moths don’t eat their treasured garments.  It was the game plan for what I needed to hear for what to do with my money. I knew just what I was gonna do with my money, hide it in my closet. (To the would be jack boys, I have since gave up this practice) Now if you have any financial brain you understand why this isn't a good idea. First Jay-z was talking about putting his “alleged” drug earnings into his closet for safe keeping because let's be honest a young black man with no job would be a little suspicious walking into a bank depositing over a $100k. And since I was a 15 year old kid depositing his lose change from his part time job it  wouldn’t cause any red flags, I should’ve input this money into the bank.  Based off what I’ve learned from watching crime shows, the life of a drug dealer can be an unpredictable one. One minute you can be in the club popping bottles of Ace of Spades and the next you’re sitting in that cold cell. While we non drug dealers don’t have those type of lows, we can understand why Jay-Z would advised his community to save for that rainy day. Life is a long marathon and there will undoubtedly be lows. It’s important to always be saving money because just like drug dealers can’t forecast police raids, you can’t forecast loss of job or medical emergencies.

Most banks give you at least 1 % to keep your money in their banks. But if you know you’re not going to need the money lock it away in certificates which offer a higher rate of return. Certificates are no-risk and moderate reward savings account. But it allows you to gain higher interest for money that would be just sitting there in a lower interest rate savings accounts. By this point you should have an emergency fund saved up (at least 6 months, but now start working for 12!) so now if you're saving to buy a house save that money away in a certificate allowing you to gain compound interest on money you know you won't need for a couple years. It’s also saves you from losing what you put in. The only drawback is having that money locked away for the length of the certificate. Certificates can be ended sooner but there are penalties for early withdraw.

I take all of my dollars and change to the bank, I don't allow this money to sit long in jars because I'll miss the potential interest. So instead of having a huge coin bucket, I empty the change out and take it to the bank periodically. While coin jars are great mindless savings accounts, they don’t provide the compound interest that a bank would. Am I talking about making thousands of dollars off of the change that’s usually left in your car? HELL NO. I’m talking about making the most you can off the money you have. This can be a lot or it can also be a little bit depending on the funding you have in the account.  But what I can tell you is that you won’t be making any money off of the money just sitting in your closet. You don't deal drugs, (if so, stop polluting your community)..... So don't be scared to take your crinkled dollar bills to the bank each week/month. Don't account for that money in your normal savings, but create a certificate to immediately   toss the funds into for savings.  By locking the change away you force yourself to forget about the money and continue working for more savings. Of course you’re not saving for event lose your re-up or lawyer fews like the old jay-z was but you need to have a similar mindset.

 Thanks for the life lessons Jay-Z!

Thursday, February 4, 2016

What to do when you get promoted

I was blessed to be raised the way I was. While my parents did an amazing job with instilling values that have allowed me literally to see the world, they weren’t the only people I looked to for guidance. Per usual, children and parents bump heads as they grow up and the child thinks they know everything and parents don’t know a thing. In those times of being a prodigal son, my older cousins were my role models. Each of them very different but ironically all the same. As an adult I realized my cousins were raised with the same morals and values that were instilled in me due to the fact our parents grew up in the same household. Most of the time when I speak to my mentors I just listen after I ask an initial question. One of my cousin, who we will call Crazy Panther Fan (CPF), I do most of the talking. This cousin isn’t much of a talker, he’s a thinking man. And I’ve realized that if I say something off course, he’ll give me a look followed by a Jesus like rhetorical question to make me rethink my previous stance.  So rewind to five years ago, I was just starting my career and spending a lot of time around CPF. I mentioned how I was expecting a raise and how it was going to make things a lot easier for me move around with the additional money. What CPF said to me is one of the reasons I started this blog for my quest for financial knowledge. Looking me dead in my eyes he said “You made it through last year on your current salary, so do you really need the extra money?”, “Save your raise. Treat it as if you’re still working off your old salary”. As I drove home once again I realized he was right. I didn’t really need the money sure it’s nice receiving that raise but I didn’t really need it to survive. What I needed to do was figure out how I could improve my life style on the prior year’s salary. And ladies and gentlemen that’s what I’ve done. I created an auto debit for every pay increase that goes right to my savings. I don’t even let the money take a pit stop in my checking account. My savings account is with a different banking system, which I don’t see regularly so I don’t get tempted to spend it. Am I hurting for anything?? Nope. I go on more vacations than 1 human being should be allowed to take. I say that to say this, just because you have the money doesn’t mean you have to spend it. Just because you aren’t spending your raises doesn’t mean you’re not living life. You just have to get creative with your spending and explore where you can cut corners.
 -@JonMcKinney87 for @theNewCheap

Ladies let’s have a discussion.....

Your man loves you and the whole world knows it! He’s checked every box you and those bitter single friends could come up with and smiled while doing it.  So with Valentine's Day coming up there's something we need to discuss... But first let me ask you a question, if I told you I'd give you $30 today but if you waited till tomorrow I'd give you $100…. What would you do? No brainer here, you would wait that one additional day for the extra $70. 

So ladies if you're willing to wait that one day, you could get 70% more stuff for Valentine's Day. We have to admit folks you know Valentine's Day is a joke. From the ladies sending themselves stuff to front likes they have a "bae" to the single girls posting love hate post on Instagram. Why buy into that?? Now this isn't a "Valentine's day doesn't make our relationship” speech that side chicks across the globe will hear, because you're actually gonna get something ladies.  But by waiting one day, you can get 3 times as much for your money. Stores mark down all of the Valentine's Day stuff the minute the clocks hits 12:01. And the smart Casanovas know this is the time to rack up on the manufactured love. Why does this matter for you ladies?? Because you get MORE and what lady doesn't like MORE?? So tell your man to skip the Valentine's Day purchase, and do it the day after when things are marked down at 70% off. Fellas use that money you saved to take her to dinner. If she's able to see past the BS of the floral and chocolate industry’s created holiday, then she deserves a nice dinner when places aren't crowded and menus are back to regular price. It’s important to remember that at the end of day your woman will want to spend some quality time on Valentine’s Day. Give her that time fellas because I’m pretty sure she’s doing everything in her power to make sure Super Bowl Sunday is a great one for your.

-@JonMcKinney87 for @theNewCheap