Category Archives: Budget

Who’s Managing Who? Lassoing The Runaways

Sooo, how do you keep your finances organized? Shall I expect your reply to include a sour look and an attempt to change the subject real fast? Many would rather be stuck in a huge traffic jam or go sit in the dentist’s chair rather than think about organizing their finances. But the truth is, if your costs, both business and personal, are running amok… then perhaps you might be throwing money to the wild, or down the drain.

Have you ever been surprised by that pesky late fee, then again, and again in rapid succession? Have you ever complained to the credit card companies that you never received the bill, only to find months later it had fallen behind the desk?

The cost of disorganization is not only financial, it can waste time and take a toll on our mood (and the unknowing around us). Consider how much replacing lost tools, recreating lost files, or time putting out fires costs your business. And there’s more… consider the losses involved with forgetting to send invoices to customers, paying for overtime labor and dealing with employee turnover. Disorganization costs money and could lead to measurable losses in profitability. It is time to stop the stampede, break in and bridle!

The good news is that it only takes 5 simple steps to help lasso in your business costs. You probably already have heard of that nasty “B” word, budgeting?

  1. Figure out your monthly net income (if it fluctuates, take the previous 12 months divided by 12 for the estimated monthly)
  2. Figure your monthly fixed expenses (rent, utilities, lease, insurance etc.)
  3. Figure variable expenses – commodities that don’t have a fixed price tag each month (office supplies, groceries, repairs and maintenance, meals and entertainment etc.)
  4. Figure a monthly contingency or reserve expense for the unexpected (trust me the unexpected is inevitable)
  5. Review the budget versus actuals monthly and fine tune your numbers

Your budget is a very useful tool to help plan for near and far range, and be able to go the distance. You might think you lack the time to organize your expenses, however, a few hours of organization with a professional accountant/bookkeeper, could spur you on towards being knee deep in clover sooner than later.

Make today be the day for changing horses. Decide to run free and keep up with the finances monthly yourself, contract a professional to saddle up on a regular basis, and/or occassionally opt for a bookkeeping/accounting audit to know that you are on the right track. The important thing is to corral the dark days.

Run for the roses.  Unwrap your Daily Double by Contacting Us Here and sending a message.

Does Math Really Count?

Guest Blog by Barbara J. Waite, Your Chief Priority Officer – Projects, Your Way

How many of you have had that experience in high school where you were wondering, “Now how in the world will math be useful to me in real life?” Well it wasn’t until I was asked to tutor a high school student on the fundamentals of algebra did I develop a real appreciation for the language of numbers. The real cool thing about this language is that it ties all humanity together… math is a universal phenomenon whether it is represented by the dollar, euro, yen or peso. As I began to ponder over this implication, I could clearly see how math is so immersed in our daily routine that our life would be chaotic without it! Here are a few examples of what I mean:

  • MATH HELPS US BUILD THINGS: Creating something that will last and add value to our home requires creativity, the right set of tools, and a broad range of mathematics. Having the ability to do minor home improvements will save a lot of money and headache. Armed with math, we will also have the ability to check the work and project estimates, ensuring we’re getting the best value.
  • MATH HELPS US BECOME GREAT CHEFS: More math can be found in the kitchen than anywhere else in the house. After all, recipes are really just mathematical problems or self-contained step-by-step sets of processes to be performed.
  • MATH HELPS US MANAGE OUR TIME: With only 1,440 minutes in a day, we really need help in prioritizing what we need to accomplish and thankfully, with the help of math, we can! By assigning each task a number and the higher the number, the more priority it receives. This mathematical to-do list allows us to dedicate yourself to the most important and time-sensitive tasks first.

And most importantly,

  • MATH HELPS US MANAGE OUR FINANCES: Experts agree that without strong math skills, people tend to invest, save, or spend money based on their emotions. Someone who thoroughly grasps the concepts of exponential growth and compound interest will be more inclined to better manage their finances.

These are but a few ways in which math helps us to make better daily decisions… not only in our personal lives but also our business, where the accounting system is the heart of the operation and the state of its health can mean success or failure. Simply put, math is about solving problems and it plays such an integral part in our daily activities both personally and professionally, it’s no wonder why our high school math teachers were so intent on teaching us this very valuable language skill.

If math makes you squirm or you just want a second opinion, consider an external Bookkeeper/Accountant Doctor for your finances.

Declare your Independence – From being the “Everything to All” for Your Business

Consider an outside bookkeeper/accountant in the same way as you would a longtime friend, as a source of reliable information and advice, but in relation to your business finances, they have specialized experience and focus.

The business scope of an accountant does not end with tax preparation; they can and should be a business partner throughout the year bringing their knowledge and perspective into your industry to help improve your bottom line and navigate through an uncertain economy.

Here are many reasons why all entrepreneurs should work with an outside bookkeeper/accountant:

  1.  Focus on the reason why you started your business. Entrepreneurs are very passionate, so why get bogged down with tasks that do not help to achieve their passions? On the other hand, a bookkeeper/accountant is inspired to take on the heavy lifting of the tedious money details of your business.
  2. Achieve work/life balance. You might be asking “What is that?” Many business owners might ask. In spite of how new or well established a business is, owners across the board are struggling to find the right balance between work and life. And this goes back to point 1; performing functions that you are less enthusiastic about handling, which allows you to sell, market and grow during the day and take your child to soccer practice at night.
  3. Represent your business professionally. Your bookkeeper/accountant and you represent your company in the best possible way. Companies that use such an external resource report that the service is vital to their success. In a recent study conducted by accounting experts among U.S. business owners, 89% of respondents stated that this is an essential element of their success.
  4. An Outside Accountant can introduce a new perspective. Most times entrepreneurs are so buried in the daily operations of their business that they might not be able to see the complete picture. Relying on your bookkeeper/accountant in this way allows you to take a step back, look at the wider picture and thus a fresh perspective. Who knows, you may come up with the next big idea the world has been waiting to hear.

Continuing the Pursuit of Independence
Today, July 4th, many entrepreneurs will be going to the celebrations of fireworks and barbecue with their families to celebrate Independence Day. Others might sneak some pieces of work between the parties, but mostly three-quarters of them (72 percent) agree on one thing: having their own business gives them greater freedom and independence than to work for someone else, which makes each day independence for them.

Being a business owner is not an easy role. Once a challenge is successfully resolved another takes its place. In working with small independent business owners, I have learned that would not give it up. The desire for continued independence is as strong in them as in the early settlers who declared their intent by the Declaration of Independence.

Could your business survive without the assistance of an external professional? Perhaps, but the insight, guidance, and expertise shared could be just the catalyst for making your business thrive.  Pursue Your Independence with MJB’s Bookkeeping Solutions and receive the gifts of time, business accountability, perspective, with less stress.  Contact Us.

Wishing all my readers a Safe, and Happy 4th of July Independence Day Celebration.

Small Business Accounting Pitfalls

There are so many things to keep in mind when you own a small business. Details ranging from inventory to order fulfillment are just the baseline concerns. If you’re a brick and mortar business, your overhead includes a lease, utilities, and maybe additional employees. If you run an online business, your overhead includes the cost of parking your domain somewhere, maybe an email management system. Regardless of whatever kind of business you own, though, you will have to make sure your books are in order.

Keep it separated.

It’s true that you will spend money out-of-pocket to start your business. You’ll also most likely spend out-of-pocket to bolster up your business in the first few years. Until you start turning a profit, pretty much everything you have will go into the business.

In spite of what seems like an endless flow of your personal cash into supporting your business, though, you should still keep your personal finances and your business finances separate. Creating a separate business checking account is a good way to compartmentalize and organize your business. Not only is good accounting policy, it’s also a way to help you mentally compartmentalize and look at your business in a critical and objective way.

Anyone who starts a business has to have passion and drive. Without it, there’s little point to making all the necessary sacrifices. But the truth is, it’s just not enough to be passionate about your business idea. You have to be able to look at the business and make decisions as objectively as possible.

Keeping it as separate from your personal finances as possible is a solid first step towards helping yourself do this.

Pay attention to the kind of business credit you get.

Depending on the kind of business you started, you might need seed money to build inventory, or to float your overhead for the first few months — or longer. There are all kinds of options and all kinds of institutions that might be able to help you., from banks to credit unions to even crowd sourcing. Be sure you pick the one that’s right for you; and, if you can, at all costs, try to avoid seeding your business using a credit card. If you find yourself unable to pay it back, it could seriously hurt your chances to access other kinds of funding.

Keep it organized.

Disorganized record keeping is the death knell of small business. If you’re forward thinking enough, you already set how to organize and store your important records. But even if you didn’t think about that in the beginning, it’s not too late to start now. Take the time to go back through your records and organize them. Yes, it’s a pain. Yes, it takes time, which is a commodity that’s already in short supply. Yes, it means some headaches, depending on how long you’ve put off going through and organizing your records.

But it will be worth it. And, it’s also a good lesson for you that will have more good returns than bad.

Update your books on a regular basis… more than just monthly.

You are the heart and soul of your business. But your books are the blood and bones. Keeping your books up-to-date isn’t the sexiest way to spend an evening; but it will give you the confidence you need to make objective decisions.

It may seem like updating your books monthly would be enough, and it may well be enough for a well-established business. If you’re just starting out, however, the ebb and flow of your business isn’t all that stable. The more you put your eyes on your books, the better chances you have to succeed later. It’s not enough to keep your receipts. Add them in weekly, or even bi-weekly. Keep an eye on your receivables and sales. If your business has heavy overhead, it’s even more important that you update your books regularly.

Don’t confuse sales with profits.

You’ve made a few sales, satisfied a few clients, and gotten a few more. Good for you! But if you’re just starting out, be sure to remember that sales aren’t profits. You don’t get to call it profit until after you take out business expenses – if for no other reason than to take pressure off your personal pocketbook – and quarterly or annual taxes.

It’s good to be passionate and important to be excited about your business. But don’t start trying to roll around in profits before they actually start rolling in.

Don’t be afraid to consult a professional.

It’s okay to admit you’re over your head in certain aspects of your business. That doesn’t mean you have to throw in the towel. A smart business owner knows it’s important to sometimes find someone who knows a little more about some aspect of the business. Because in the end, owning a successful business is as much about learning and evolving as it is relying on common sense.

Timely Tax Tips for Freelance Workers

There is a cost to the freedom you get being a freelance worker. While you can probably fudge on office-appropriate attire and set your own start time (Sleeping late can be a viable option!), there is one thing you can’t avoid if you hope to be successful.

Taxes.

When able to, a lot of freelancers prefer to hire an accountant. There are a lot of things to keep track of; and while tax law for freelancers really is a lot of common sense if you think about it, the problem is that there is really a lot to keep in mind. As a freelancer, you are your own employer. In addition to the usual responsibilities of a working adult — the electric bill, the water bill, the gas bill, and your rent or mortgage – you are also responsible for your obligations as your own employer. This means paying into Social Security and Medicare, and perhaps setting up a retirement account.

We’ve already talked about the self-employment tax . It’s important to keep in mind that because you are both and employer and an employee, that you are responsible for the Employer and Employee portions of Social Security and Medicare, 15.3% of earnings. It’s true that you can offset earnings with deductions; but you need to be as careful about what you pay as you are about what you don’t pay.

Here are a few things to keep in mind that will help you stay organized.

  1. Don’t trust your 1099.

If you earn $600 or more from a client, that client should send you a 1099-MISC. It’s very important that you compare. Look at Box 7 on your 1099-MISC and compare that number to the number you have in your records. If your client claims they paid you more than your records state, go through the steps to verify and get a new 1099.  Remember: the tax burden is on you, not your clients. The IRS won’t annoy them with phone calls and letters. They will annoy you.

  1. Get a separate bank account.

Yes, you work for yourself. It’s your money and if you’re making less than $600 total, you may not need a separate business account. If freelancing is your primary source of income, however, you really should consider getting a separate account. This will save you headaches when looking up transactions. If you use accounting software like QuickBooks, having a separate account will make it easier to download information to plug into your books. It also makes it easier to track business expenses for deductions.

  1. Pay attention to Estimated Tax.

As a freelancer, you will probably have to pay taxes quarterly instead of just once a year. You’re also an employer, remember?

If you’ve been freelancing for more than a year, you can get a good idea of what you should plan on paying by using one of several easy to use calculators on line such as:

http://www.bankrate.com/calculators/tax-planning/self-employed-business-tax-calculator.aspx

or

http://quickbooks.intuit.com/r/free-self-employment-tax-calculator-quickbooks/

It’s not always easy being your own boss. But it’s not impossible. And if you are the kind of person who enjoys the autonomy, then the additional responsibility is part and parcel. The trick is to be as careful with your books as you are with the work you do, and to be smart about it.

To LLC or not to LLC: that is the question

Being an artist or working in a creative industry as a freelancer isn’t always easy. Unless you’re fortunate enough to find steady clients and gigs, you feel like your professional life is forever going in a circle of feast and famine.  And, if you have worked as an artist of a creative freelancer, you know that being talented at what you do isn’t enough. That myth of the carefree artist with his head in the clouds and no notion of how the business world works is simply that – a myth. Being a great artist goes hand-in-hand with being a savvy businessperson, because as much as you love your art, you need to eat and keep the lights on, too.

One thing every entrepreneur thinks about eventually is whether to operate as a Sole Proprietorship or to form a Limited Liability Corporation (LLC).

In most cases, you’re probably going to start with and stay with a Sole Proprietorship. This is the easiest business to start because there isn’t much set up required. Although you may be required to get a business license, there isn’t any paperwork you need file unless you choose to “Do Business As” (DBA) a name besides your own. You may also want to consider going ahead and applying for an EIN (Employer Identification Number. While it’s not necessary for a Sole Proprietorship, it will help protect your social security number. It also legitimizes that what you are doing is more than a hobby. You report your earnings annually and you are responsible for paying self-employment taxes as well as covering contributions to Social Security and Medicare.

If you’re fine with all of that, and you’re careful with your accounting practices, then you will probably want to form a Sole Proprietorship.

Keep in mind though, that if your business should ever be sued, then you are personally liable for everything. And if you should lose, your house, your property, and other assets will be at risk.

Forming an LLC takes some legwork, preparation, and money. After you chose a name and make sure it’s not already being used, it’s time to file articles of corporation. Depending on the state you live in, expect to pay between $100 and $800. In Kentucky if you forgo the ease of having someone else do the heavy lifting for you, it will only cost you a $49 fee paid to the State Treasurer to file your articles of corporation.

Some states also require an operating agreement that outlines how your business is run; Kentucky, however, does not. You’ll then need to get an EIN (Employer Identification Number), which is free and can be obtained online at the IRS website. Keep in mind though, that you can only register for one EIN at a time. At this point, you can separate your personal and business assets. This is the main advantage for forming an LLC as an artist or freelancer.

Finally, you’ll need to register for state tax and unemployment insurance. Even if you happen to be your only “employee” you will still need to do these things in order to be in compliance of state law.

Depending on the nature of your work, forming an LLC might be overkill. Many artists and members in what is termed the “creative class” keep it simple. And, unless the kind of work you do expands to the point that you need to bring in extra help, you will want to seriously consider keeping your work life as least complicated as possible.

If you’re reading this and your business or business concept doesn’t fall under the umbrella of the “gig economy” or you don’t identify as part of “the creative class,” keep in mind that every entrepreneur has to make the decision at some point whether to operate as a Sole Proprietorship or as an LLC.

Marbles and monkeys: tracking your hours and expenses

Even though Richard Florida’s 2004 brain child, “the creative class”,  has come under fire in the last few years, many cities trying to redefine themselves in the wake of an increasingly dominant technological economy have still spent considerable time and capital trying to accommodate young urban creatives – freelance writers, graphic designers, computer programmers, artists, and media workers, as well as people working in healthcare, business and finance, the legal sector, and education.  As a matter of fact, a 2010 report predicted 40% of American workers will be earning their living as part of the “gig economy” by 2020.

 The next few blog posts will be focusing on accounting issues and challenges that face entrepreneurs whose work falls under the category of “the creative class” in a “gig economy.”

So either you’ve been sucked in by allure of being your own boss or you’re unable to find a single, stable job in your chosen career field. Now here you are. You are part of the gig economy. You have several clients with rotating deadlines, or you have a slew of single-project clients.  You get to work from home. You get to work in your pajamas. Sometimes you can grab your laptop and go to your favorite coffee shop and work. You might even be able to work from the beach! You have more control over your schedule than your parents did. And it’s awesome being your own boss.

But unlike the days of The Organization Man, you also have to shoulder the responsibility for tracking your hours and being more aware of your expenses. Even though sources like Forbes Magazine and Investopedia praise the gig economy and the idea of a mobile creative class, you know there’s a large part of your job that isn’t creative even if it is mobile.

Depending on the client, you will charge for your time differently: by the hour, by the project, or even by the word if you are a copy editor/copy writer. There are a lot of marbles to keep track of when you work for yourself. Different hours worked on different projects on any given day. Different hourly rates for different clients. Record keeping is essential. If you’re good with spreadsheets, that’s helpful. If not, consider finding some accounting software, cloud accounting, or — if you have a large enough client base – find an accountant to take the guess work out.

Not only do you want to keep a precise record of your work hours so you can bill your clients correctly, you also want to keep track of any taxes you will be required to pay. Why? Because now you’re now your own boss, without anyone in human resources or payroll to arrange for deductions. You are responsible for making sure Uncle Sam gets his cut. With all the joys and challenges of being your own boss in the “gig economy,” you don’t want that big angry monkey on your back weighing down your success.

GrinchtoGlee

From Grinch to Glee – Make year end easier with these bookkeeping tips

It’s not that your heart is two-sizes too small like the Grinch, but rather that your head might explode from all the year-end bookkeeping tasks on your list. While these to-dos could certainly put your holiday spirit in short supply, we know how and Who can help.

It’s essential that your data is accurate, complete and organized for tax time and the year ahead. But where do you begin?

Like the Whos in Whoville helped Grinch, we offer tips to keep you and your books on the nice list.

  • Evaluate your financial standing

Review profit and loss, your balance sheet and general ledger. Make sure they aren’t mangled up in tangled up knots by checking that all transactions have been recorded and posted to the proper income, expense, asset or liabiity accounts. Also check the accuracy of your accounts receivable and accounts payable, and write off uncollectible debt so as not to overstate your income (especially if accrual based), and overpay the You-Know-Whos.

  • Complete bank reconciliations

Make sure your checking, savings and credit card accounts have been reconciled. Loan interest should be separated from the principal and accurately logged. And a decidedly, non-grinchy trick: reconciling monthly makes it easier to catch errors.

  • Review Personal Expenses

You shouldn’t, wouldn’t, oughtn’t, mustn’t mix your personal and business expenses (although for the Sole Proprietor it’s often a necessity), so look at your expenses closely and if that’s the case find receipts and/or cancelled checks and log the expenses in your books. Then watch your heart grow because you avoided paying extra taxes.

  • Review Subcontractor Services

If you’ve hired any Whos who are Sole Proprietor’s or LLC’s, for contract services totaling more than $600 during the year, you’ll be required to send them a 1099 Misc form. It’s a best practice to send each new subcontractor or vendor a W9 at the time of hire to ensure you have complete address information and either their Social Security Number or Federal ID Number information on file.

  • Take Inventory

Review your inventory during the last month of the tax year and make necessary adjustments to align the inventory account of floofloovers and whowonkas to match the items in stock.  Your inventory value should show the cost price or price paid rather that the selling price for your items.

  • Create a Filing System

It may sound overly simple and antiquated, but we know an organized system for easily accessing the documents you need, when you need them come tax time will make you happy as a Who.

As you celebrate the close of 2016, it’s also time to look to the year ahead. If one of your goals is to have more flexibility and time to achieve your personal and business goals, consider the advantages of having a Bookkeeper. Not only an excellent resource to simplify your financials and ensure accuracy, a Bookkeeper can also be a personal advocate, a partner as loyal as Max, and someone to help you make your Holidays mean a little bit more for years to come.

Make The Holidays Count!

My favorite time of the year is upon us… the season of thanksgiving and bestowing gifts upon others. It all starts with reflecting how grateful we are for our many blessings and successes over the past year. Whether these accomplishments were made through businesses endeavors or simply through our personal sweat-equity, we are grateful for those opportunities. We can profit from the many benefits that come from having a grateful heart such as improving our physical and psychological health. Gratitude also enhances empathy and reduces aggression and it can help people sleep better too. These are just a few good reasons how feeling grateful can improve our bottom line which allows for the next step.

Being grateful is only half of what stands out during the holiday season. As soon as the dishes have been cleared from the Thanksgiving feast, we are reminded that, “Hey, “Black Friday” is only a few hours away!!” In an instant, our thoughts go from being “grateful” to thinking about gifting and sharing with others. We can all understand how giving to others is good for our community and the world, but giving can also reap huge benefits in our own lives as well. Did you know that giving to others lowers our blood pressure and stress levels? This, alone, will help each one of us live longer and happier lives.

So, in honor of the season, I have put together a few examples where you can reach out to the community and show your gratitude by giving back.

For Businesses:

  • Choose a local Charity Event that is relevant to you and your business and donate money, be a sponsor or volunteer your time.
  • Encourage your business team to get involved in a fundraising event such as Toys-For-Tots.
  • If your company has a budget for donations, provide a Turkey Give Away program for families in need.

For Individuals:

  • Have a garage sale in your neighborhood and donate the profits to charity.
  • The local homeless shelter or soup kitchen could always use a helping hand.
  • Provide care-packages for people in need; For example… the troops, seniors, kids and teens in group homes, the homeless
  • Let us help our planet by recycling! The proceeds can once again go to a charity.

With all of the wonderful benefits that go along with being thankful and giving back, let’s make a difference in our communities through our valued time and efforts this holiday season.

Budgetary Moves That Will Move You Cross-Country

Planning a cross-country move can become your worst nightmare! For starters, organizing a move like this will feel impossible… I mean, where do you even start? It can also take a toll on your well-being (i.e. your mood and your health) and it can drain your bank account too!

The good news is, there are some simple steps you can take to alleviate the pain and put you back on the road to success… and it’s called having a strategy. Once you sit down to map out your move then it’s almost guaranteed to minimize your stress and maximize your financial savings.

To help you get started, here are a few steps:

  • Start an “Action Plan” – Be sure to write down your plan… better yet, find an app that will enable you to create a checklist of your moving to-dos. By staying organized and “on task” you will save money because you’re not having to buy things at the last minute.
  • Seek Relocation Assistance – Are you relocating due to your job? Many companies offer relocation assistance, to cover some of the costs for the move, so you may want to check with your new supervisor to see if this is available.
  • Collect Packing Materials – Companies like U-Haul charge premium costs like boxes, tape and rope so once you know that a move is going to happen, visit your local grocery or convenience stores and ask for any boxes they still have after restocking their shelves. Ask friends and neighbors to save their newspapers and any other packing materials such as old blankets.
  • Organize your Packing Priorities –
    • Have a “GO TO” Box: Priority 1
      Have one large box to the side where you will keep all of your must-have items such as packing tape, pens, markers, scissors, paper, important documents, medicines, toiletries, and anything you’ll need until you leave home. This will prevent having to buy new stuff every time you pack away or lose things you need. Keep this box with you at all times so you can get access to these important items when you reach your destination.
    • Have an “FIRST THINGS FIRST” Box: Priority 2
      This is like the “GO TO” box, but  will be the box of your priority items you may need when you arrive to the new location. In this box will hold what should be considered your 2nd on the list priority items.  Give some thought to what items you’ll need (or want) to have right when you get to your new home. Maybe you’ll want to include things like the coffee maker, coffee cups, toilet paper, towels, and toys to keep the kids busy.
  • Label Your Boxes – It can be really easy to skip this step or to just do it sloppily. Some people would actually rather go out and buy new items instead of searching through yet another box for something they need. Nip unnecessary spending in the bud by marking each box with a permanent marker noting what room it belongs in with a brief list of what’s inside. Try to avoid my technique that usually comes out at the end of the packing experience where I throw stuff into the boxes and just label them all MISCELLANEOUS…;)
  • Clean as You Go – When you pack up an area, give it a good cleaning immediately after the space has been cleared. This will keep things efficient and prevent you from having to hire cleaners to do your entire residence when you are sick of the moving process. Cleaning will also be beneficial if you rent and are counting on a security deposit refund.
  • Ditch the Junk – Keep a JUNK and GARAGE SALE box close by. While you’re boxing up your keepers, you’ll easily be able to toss your junk and garage sale items into their proper boxes. Moving is a great chance to clear out the stuff that finds a way to accumulate over the years. Plus, you’ll spend more money if you have to move boxes of stuff you don’t even want anymore. Sell anything that is still in good shape by having a moving sale when you near the end of your packing process. When you make your donation to the thrift store be sure to get a donation receipt because that will come in handy when tax time rolls around.
  • Check out Storage Options – For any family heirlooms or pieces you may want back at some point, consider renting a low-cost storage unit to house your items until you can have them set to your new place of residence and cheaper option is to consider asking trusted friends or family to house your treasures in their homes until you can arrange for transportation. If you do decide to go with the storage unit be sure that you don’t forget about it and continue to rack up $50 + a month in fees.
  • Get Moving Company Quotes – If you decide to have a moving company move your stuff be sure you get multiple estimates and quotes before making a decision. You want affordability, of course, but you also want reliability. Some will even store your belongings for FREE, up to 3 months!
  • DIY Packing – You may choose to have a moving company pack you up… but it will cost you! Use a company that will provide you with a truck and a driver. All you have to do is pack up the truck yourself and they’ll drive it across the country.
  • Be Truck Smart – If you plan to rent your own moving truck and haul your stuff across country on your own, make sure to only reserve the truck size you need. It will cost you a lot of extra money (in gas and truck rental fees) if you book a truck that is too large.
  • Overnight Stays – If you have friends and family along the travel route, ask them if you can borrow their couch for a night rather than spending your money on hotel lodging. If that’s not an option, you’ll need to consider where you will be stopping to rest. You can find valuable coupons in the books available for free at state welcome centers. Look for coupons for hotel deals and restaurants along the way and online before you leave. If you have fur kids, there are options that accept your pets… do your homework!
  • Utilize a Cooler – Depending on the room available in your vehicle you can save a good amount of cash if you pack your own snacks and drinks for the morning and afternoon. Then, only stop for dinner.
  • Finally… Don’t Buy until You’re Settled – Don’t rush out to the store to buy what you think you need… Give yourself time to sort through your stuff and get set up, keeping a list of ideas along the way. If you rush off to the store the 1st week you’re in town it will most likely lead to overspending, especially on things that you don’t really need. The only store you need to hit in the first few weeks is the grocery store.

By using some or all of these steps, your worst nightmare can be transformed into some wonderful memories that will allow you to embrace the next chapter in your life with some extra cash to boot.  See you on the road!