See Jane Get Rich

Yesterday, I got the chance to see the National Symphony Orchestra at the Kennedy Center in the Concert Hall from the Presidential Box.   It’s good to have friend’s interning at the White House!  The Presidential Box only had 12 seats and of that 10 were being used.  Everyone else seemed to be actual White House staff. We were super excited and had a great time.  We were the last to leave the box and I wanted to take a picture of the sign that said “Presidential Box” outside and my friend wanted to take a picture of her going into the Presidential Box.  By this time the Presidential Box attendant left so we were clicking away and that is when the less-than-ideal-moment of the night happened. 

Read the rest of this entry »

Jane the Way-Below-Average-Blogger:  There is so much going on in my life and I only get to share with you 5% or 10% of it. And sometimes I think, hey, I should like share way lot more stuff, ya know?  But, personal things aren’t “personal financy” enough and are just so super b-o-r-i-n-g!

Ideal the  See Jane Get Rich Blog Reader: I think a lot of bloggers share personal stuff like the daily growth of their chia pet, conversations with friends other people can’t see and hobbies like people watching.  I find these quite interesting.  You could join them, you know. 

Jane:  Ha, ha, ha haaaaa!  Oh, you were serious?  Um, ok.  I dunno ‘bout that.  Well, here is something “personal financy.”  I gave my first dinner party where I cooked and people actually liked what I made.  I was so insanely nervous about that dinner party. 

Ideal: You had a dinner party and you didn’t invite me! 

Jane:  Really, Ideal.  Let’s not get ahead of ourselves here.  You are really a figment of my imagination. 

Ideal:  I am as real as they come!  Anyway, what did you make?

Jane:  You should’ve been there.  I made Salmon with fresh dill, lime juice and olive oil with a side of asparagus wrapped in prosciutto.  I made a fantabulous spinach salad with crumbled goat cheese, dried cranberries, toasted slivered almonds and walnuts, dried cranberry and fresh grapes.  Served it with white wine and had assorted sweets for dessert. 

Ideal: That sounds like one tasty meal.   

Jane: Now, I am on this big cooking spree because I fancy myself a mini-Martha Stewart.  Um, without all the insider trading.  White collar crime is so 2002. 

Ideal: Well, this could be a really nice post about your first dinner party and how you did it the frugal way.  How much did you spend?

Jane:  I don’t want to share that!  And no, I am not going to post about this!  I overspent because I had no clue about the portions.  I over-shopped.  I got too much wine, too much goat cheese…well, too much of everything.  I am so not gonna tell them that I spent like $50 on a dinner for 4 people!  This is one post that is so not going to happen.  They’ll never know. 

Now, Ideal, it has been fun but I have more important things to do like measuring the hourly growth of my chia pet and watching unsuspecting people who walk by my window.

In my last post, I pointed out that I made a difficult yet strategic decision.  The difficult decision was between two externship choices.  Internship 1 was a regulatory externship where I would get to do legal work.  Internship #2 was also with a regulatory body but the internship would not be legal but it would be more related to my Master’s degree.   I was hoping to do both internships but I was told that I could do only one because to do both would be a conflict of interest. 

I had to make a decision about which internship to go with.  If I am only thinking about the short-term then the best choice would be internship #1 because it is a legal internship that would relate to the kind of courses I am taking right now.  Internship #1 is a highly desirable experience for a law student.   Internship #2 offeres regulatory work which isn’t strictly legal.  It also offered a smaller department to work in and a director who seemed eager to mentor incoming externs. 

I chose internship #2 and here’s why. 

 Mentoring – I felt that internship #2 had a director who was more focused on mentoring.  As a recipient of really good mentoring from many of my current and former mentors I strongly believe in it.  I need to have an ally or a “true fan” on my corner.   Having a mentor can smooth the road to attaining many goals.   I need to be very careful about that crucial “first job” of my career and I can see myself being part of this organization and growing within in it.    My director knows that I turned down a very sweet legal offer for the chance to work with her.  Coming in to an organization with a favorable impression is golden. 

I mentioned in my last post that I needed to get in the game.   By getting an externship I am on the sidelines watching the game closely.  My goal now is to make a move from the sidelines to the actual field and get in the game.  In other words, I need to land a job here. 

s

And I need to start acting like it. 

It’s time to dust myself off and launch a new career strategy. 

Not getting an offer from the firm that I worked for last summer was an absolute blow to my confidence and my skills.  If I ever have been depressed in my life then it would have been from August to November.  Going home for a month allowed me to take a mental break from the big muddle that is my soon-to-be-career.   I am feeling better emotionally and last week I launched a difficult yet strategic move that may help my career. 

 Revised Career Strategy – 2020

Goal: In ten years, become skilled at financial regulatory work and position myself to become a senior associate for a law firm or to obtain a senior position with a financial firm. 

First, get in the game. 

Get a job in the financial regulatory industry to obtain experience. 

 Second, find other good players to model myself after.

Find engaging and skilled mentors with a pay-it-forward attitude. 

 Third, become a really good player.

Build an expectation of excellence and continually deliver on that expectation.  Obtain skills by taking on challenging work.  Take advantage of all educational and training opportunities.  Build and strengthen the personal brand that is Jane. 

Fourth, get true fans. 

Build meaningful relationships not relationships simply for career advancement.  Obtain true fans also through personal branding, networking and mentoring others.  

Fifth,  switch leagues.

Jump ship to become a senior associate for a regional law firm or a senior position with a financial firm.

I got my credit card bill today that had my final law school tuition payment.  Ironically, after I wrote my nice big check I came across Who Should (And Shouldn’t) Go to Law School.  It is no surprise that the supply of lawyers have exceeded the number of legal jobs available and it has only gotten worse with the recession.  With the advent of the recession, law firms are fundamentally changing the way they do business.  It is safe to say that some, if not all, of the changes will stick around for the long haul.  There is a renewed conversation online about the perils of the legal profession since the main stream media (in the form of NY Times) has started writing about the troubles of the legal profession most recently in No Longer Their Golden Ticket.    Sarah Waldeck of Concurring Opinions in her post Who Should (And Shouldn’t) Go to Law School, advocates for students to be careful about their decision to pursue a law degree.  In fact, she advises current pre-law students to only pursue a degree if they meet three narrow circumstances.

Only go to law school next year if (1) you have always dreamed of being a lawyer; or (2) you are accepted by a very prestigious institution; or (3) you are offered a full scholarship.

Dream I don’t know about “always” dreaming about being a lawyer.  I wanted to be a lawyer towards the end of middle school.  I was never the argumentative kid everyone said should go to law school.  So, I wouldn’t meet #1. 

Prestige I go to a pretty good law school.  It is not an ivy league school, so, I would fail to meet #2 since I don’t attend a “very prestigious” law school. 

Full Scholarship No, full scholarship here.  I attend a private law school and that costs a lot of money.  They don’t just give out full scholarships to anyone.  I was able to bring the cost of attendance down with a school fellowship plus multiple outside scholarships.  The highest outside scholarship being $10,000 and the lowest scholarship amount being $500. 

Did I make a terrible mistake by going to law school? Read the rest of this entry »

Financial Goals for Spring 2010

1. Make my 2010 Roth IRA Contribution
2. Roll over 401(k) from my holiday job to a Roth or transfer it to my brokerage
3. Find more affordable car insurance before February 11
4. Obtain a credit report from one of the three agencies
5. Budget/Keep track of my expenses
6. Diversify my investments

 Come February, I will be covered by Geico.  The gecco offered me an unbeatable rate for liability insurance for my 1997 Honda Civic with 150k miles on it.  I never had full insurance coverage on a car.  This was a terrible decision for my first car since I wrecked it within 3 months of getting it but since I am a more experienced driver the libility-only mode of coverage has worked well for me.  Also, since I live in DC, I have alternative options for transportation.  I live near two bus stops and while the metro is not very close it is a doable 15-20 minute walk. 

Before 

Nationwide Insurance

• 6 Month Premium = $241.36
• Per month: $40.22

After

Geico  

• 6 Month Premium = $138.80
• Per month: $23.13

Total Savings:

• Per month: $17.09
• Per year: $205.12

I have been with Nationwide ever since I started driving.  We’ve been together for a long time but its now time to move onto greener pastures.  So, why the big savings?  It wasn’t all about Geico’s “15 minites or more could save you 15% on your auto insurance,” rather “Not having your paret paying for your car insurance can substantially lower your insurance premiums.”  The payment I made with Geico recently is the first time that I paid for car insurance because my parent has been paying my insurance all these years.  When someone else is paying for it you take it for granted and don’t compare shop as you would with your own money.  I didn’t notice the amount since I had no reason to.  I didn’t even find out what my actual insurance was until I called Nationwide to find out my monthly rate so I could do some comparison shopping.  I am glad that I took the time to compare my rate and make the switch.  I only wish I had done it sooner.   

How fabulous is my car insurance makeover?  Do you always compare shop?  What about when you were younger and you were using your parent’s money? 

Financial Goals for Spring 2010

1. Make my 2010 Roth IRA Contribution
2. Roll over 401(k) from my holiday job to a Roth or transfer it to my brokerage
3. Find more affordable car insurance before February 11
4. Obtain a credit report from one of the three agencies
5. Budget/Keep track of my expenses
6. Diversify my investments

Today I visited Scottrade and wrote them a big fat check for $5k for my 2010 Roth IRA contribution.  I like to make my contribution at the very beginning of the year so it can grow the entire year.   

Attempt at Minimizing Trading Fee Damages to Roth Contribution

When I first opened up a Roth IRA I was disheartened by the fees that I got charged everytime I bought something (usually $7).  This is not a huge figure but for my first contribution I made  6 trades so its $7 x 6 trades = $48.00.  That is a lot of money and if you do the math that $48 can grow to $483  in 3o years at 8% and that is a whole lot of money that is basically leaking out of my maximum $5k contribution.  Not cool at all.  I called up Scottrade one day and asked if there was any way the transaction fees could come out of another account so that my $5k contribution would really be a $5k contribution rather than $ 4952 contribution.  The answer was no.  I also wanted to buy some securities that I thought were good buys and I would want to eventually put them in a Roth IRA when I could contribute again next year. 

The employee suggested I open an individual investment account with Scottrade and then transfer the funds when it was time to make my Roth IRA contribution.  I opened an individual account and invested some money.  A few days ago I called Scottrade about how I could transfer my funds in the individual account to the Roth account.  I was told that there was no way I could just transfer those funds since the individual account is taxed and the Roth isn’t taxed.  To use the money in my individual investment account I would have to sell the securities, pay taxes when its time to do so, and transfer the cash to my Roth and then buy the funds again.  So, instead of me spending just $7 to buy a security in my Roth account now I would have to pay three transaction fees.  First $7 charge to buy the stocks for my individual account, $7 to sell them, then transfer the cash to Roth, then $7 to buy the stocks again.  Perfect, instead of $7 it suddenly becomes $21 for the transaction.  I wish I knew who the idiot at Scottrade who advised me to open an individual investment account.   I’ve had basically good experiences with Scottrade so I am not holding it against them.  And now that I think about it, it makes sense that I can’t transfer assets in a taxable account to a non-taxable accountable as simply as I envisioned.  So, I decided to leave my individual account alone to be dealt with another day and wrote the check.

 Tiny Problem with the Roth Contribution

You can only contribute money that you earn to the Roth.  So, in order to contribute $5k in 2010 I need to earn at least $5k in 2010.  There is a tiny problem in that I haven’t earned any money in 2010 and I will likely not earn any money anytime soon because I will be in school until May and then I will be doing bar stuff until the end of July.   So, instead of going on a trip to celebrate graduation I may need to get a job, any job, to get at least $5k in earnings so that I don’t have to withdraw the $5k contribution I just made. 

How do you keep transaction fees from whittling down your actual contribution?  Have you made your 2010 Roth Contribution? 

Alright, my bedroom set and my mattress has officially been posted for sale on Craigslist.  Now, if only those interested Craigslist buyers who are “really interested” would actually make it through!  I have moved almost everything to the living room and pulled out my air mattress to sleep on.   Now, its time for Craigslist to do its job so that I can turn the furniture to $.   It always helps to keep a few things in mind when selling things on Craigslist. 

Five Tips for a Sane Selling Experience on Craigslist

• A picture is worth a thousand words.

Always post a picture of the item that you are selling.  If you don’t have your own picture then use a manufacturer’s picture.  It is also helpful to provide a link to the item so that buyers.  This will save you a lot of questions about the item from people who are slightly interested. 

• But, that doesn’t mean you can skimp on the details.

It is important to include as much information as possible about a product.  If you are listing a coat then you may want to let the buyer know more than just the size and color such as what material the coat is, presence or absence of any stains, whether or not you or any of your close family member is a smoker, whether you live with pets etc…  If you are selling furniture then it is very important to list the dimensions and this information is easily obtained by looking up the product online. 

• Price your items competitively and with leeway for further negotiation.

You can sell your item quickly and competitively if you search for the item before listing to see the range that is commanded by other sellers.  If for some reason there is no one in your area selling them item then you can command a higher price as most people wouldn’t want to drive out of the way.   Be aware that with most of the transactions there will be negotiation between the buyer and the seller.  This may occur over email or while the buyer is looking the product over. 

• Adopt a no holding/first come first served policy.

Craigslist buyers are notorious for not following through with their expressed interest.  If you hold something for someone then know that there is a strong chance they will come back and say, “Oh, I changed my mind.  I don’t want it anymore.  Oops! Sorry!”

• Adopt a cash only exact change policy. 

To make sure that you get your money it is better to make it cash only so that you get your money right then and there and you can be done with the transaction at the point of sale. 

Now, onto my crazy Craigslist Story

Read the rest of this entry »

Financial Goals for Spring 2010

Yes, I think in semester’s.  Here is what I am contemplating for this semester: 

1. Make my 2010 Roth IRA Contribution
2. Roll over 401(k) from my holiday job to a Roth or transfer it to my brokerage
3. Find more affordable car insurance before February 11
4. Obtain a credit report from one of the three agencies
5. Budget/Keep track of my expenses
6. Diversify my investments

I have moved back to DC from my Home State and I have been very busy cleaning, donating things to Goodwill and listing some furniture on Craigslist.  The Big Move that I am referring to is the end of my lease in July.  Right now, I am living in a 1 bed room apartment and after I graduate I will likely end up sharing a house or apartment with other people.  So,  I need to get rid/sell things so I am able to downsize. 

• State #1 Bar Exam : July 27-28, 2010
• State #2 Bar Exam: July 28 and 29, 2010
• Apt. Lease Ends: July 31, 2010

I have a big decision to make about whether or not I want to extend my lease by one month so that I would move out at the end of August instead of July.  Do I really want to take the hardest exam of my life and then come back and move out of my apartment?  If I can avoid paying one extra month’s rent then I definitely do. 

It also depends on what exactly I will do in August.  Traditionally, law student’s do a post-bar trip after the bar exam.  I haven’t decided if I will and if so, where I will go.  If  I take a trip then I need to be out of the apartment so I can use the August rent for the trip.

There are things that take up space, you don’t use it but nevertheless it is hard to get rid of.  The perfect example is yearbooks.  I threw out my middle school yearbooks.  But the high school yearbooks were more difficult.  I ended up tearing out the pages from my high school year books that I wanted to keep and putting the rest in recycling.