Every once and a while we receive some amount of money we didn’t really expect. Maybe when you get married a distant relative writes you a large check. Perhaps you’ve received what we’ve come to call “birthday money”. If you’d like, you can lump your tax return in with this category. I’m talking about any amount of money that you weren’t expecting to have.

Now for the question… What do you do with this money? I would guess that most people see it as an opportunity to splurge.

“There’s this great new steak house that I’ve been wanting to try.”
“Now I can finally get that outfit I’ve had my eye on.”
“I’ve always wanted to go to Florida, and now I can.”

These are the types of things I hear people say all the time. Perhaps you see yourself in some of these statements. What I hardly ever hear are things like these:

“I think I’ll buy some stock in Company X; I’ve had my eye on them for a while now.”
“I’m going to pay off my credit card once and for all.”
“There’s this person I know who could use a little help. I think I’ll make their day.”

Obviously whatever you decide to do with your money is solely your business. I submit though, that some of these attitudes and decisions have a lot more to say about you than just your money management skills. Next time you are on the receiving end of a little extra cash, give some serious thought to what you’d “really” like to do with it.

I want to apologize for the sparse content recently. I’ve been relatively busy recently with various commitments, but I will continue to still provide updates on a regular basis. Also, if you’d like your blog to be featured here on Fiscal Musings, you may provide me with a brief guest post. It’s a great way to get some exposure (along with a free link), and give others a preview of what you have to offer. So what do you have to say?

Today I took the GMAT. For those of you unfamiliar with what this is, it’s the Graduate Management Admission Test that’s required to get into graduate business school. I registered for the GMAT about two and a half weeks ago and have been studying off and on since then.

My appointment was at 5:30 this evening and pretty much just wanted it to be over with more than anything. I was surprised at the security they have at the testing facility. They take your picture to make sure that it’s really you when you leave and enter the room for a break and whatnot. They also have fingerprint scanners to ID you as well. I didn’t really utilize the break times since I wanted to be in and out as fast as possible.

As far as the test goes, it was pretty much as I expected. It was really long though, and when all was said and done I was pleased with the score I received. I was actually quite surprised because I got a 750. It’s made me rethink some of my former plans and I’ll be exploring other possibilities. Mostly though, I glad it’s over.

We often tell ourselves that we need to do something about our finances without knowing exactly what we should do. Having the goal to improve your financial situation is great, but it doesn’t do you any good if you don’t have any idea what steps will get you there. Here are some ideas that should get you started:

1. Open up an online savings account. There are a couple different benefits to having such an account. The interest earned on these accounts is almost always greater than what you can expect at your local bank. Another reason for an online account is that it’s at a different institution that where you normally bank. There will be less temptation to frequently raid this fund since a transfer isn’t instantaneous. Give ING Direct a try since they’re also FDIC insured.

2. Take the credit cards out of your wallet or purse. This step is for those of you that can’t seem to figure out why you’re never able to pay off entire credit card bill when it comes (you know who you are). It doesn’t make you any less of a person, but it is good to recognize in yourself. Hide them, cut them up, put them in water and freeze them, do whatever you need to do to keep you from using them. You’re an intelligent person, you can figure this out.

3. Determine a percentage of your take home pay that you can save, and commit to actually saving it. Once you’ve determined the percentage, make sure you transfer this amount into your savings every time you get paid. In my opinion, this is far more effective than trying to put away a specific dollar amount every month. Every time you get paid, the first thing you do is transfer 10 or 20 percent to savings. You don’t have to think about it; you just do it. What’s left over you then use for your living expenses.

4. Don’t ever go out to eat without a coupon. This might seem like an odd one, but coupons are so available these days. If you plan ahead, you can get great deals through Restaurant.com, or you can just use what comes in your “junk mail”. I would say just stop going out to eat, but since you’re going to anyway, just make sure to use a coupon.

5. Set aside a specific amount of cash each month for Christmas. Get an envelope and write Christmas on it. Each month, put some amount of money into this envelope. At the end of the year, don’t spend any more money on Christmas than what’s in the envelope. People who do this have actually found that they don’t spend everything in the envelope which isn’t really a bad thing.

There is a great opportunity available for those of you interested is supporting a great cause. The Alzheimer’s Association is putting on a Memory Walk to raise awareness and funds to help fight Alzheimer’s disease. They’re looking for volunteers and people to help raise money for the cause. You can sign up to be aTeam Captain, a team walker or an independent walker.

By signing up to be a Team Captain you will have the greatest opportunity to benefit the lives of those around you. Invite three people to join you and have them invite three others. Soon enough you’ll have quite a team going. You may also want to form a team with your co-workers or perhaps your entire company. You can also offer them the opportunity to donate to the cause.

The Memory Walk has a special meaning for me since I have a grandmother that has been diagnosed with Alzheimer’s. If you have a relative or friend that is struggling with Alzheimer’s you’ll know what I’m talking about. It’s not only a very tough disease to live with, but it’s also tough taking care of someone who has it. By supporting this cause, you’ll help to improve the lives of many of those around you. There isn’t a better feeling.

A 59-year old is playing college football: Mike Flynt is returning to Sul Ross State to play college football. At 59 years old, he’s made the Division III roster and could be playing as early as September 1. It makes you realize it’s truly never too late and you really can do anything.

Rangers score 30 in one game: Being from the Dallas area, I keep an eye on the Texas Rangers, although not as much as I’d like (it’s tough with no cable TV). However, this is just too big to pass up. A 30-3 victory over the Orioles, something you definitely wouldn’t expect from a last place team.

Riding Harry Potter: Barnes & Noble sees its second quarter profit rise due in large part to the success of Harry Potter. Same store sales rose 1% without the latest book and 4.4% with sales of Harry Potter included. It’s amazing the power of one product. And remember, it all started with an idea.

Welcome to the new look of Fiscal Musings. I’ve been thinking about making this change for quite a while now, and it’s finally here. There will probably still be minor changes made as I tweak it exactly how I’d like it. I’m also open to any suggestions, positive or negative. Let me know what you like or don’t like about the new look. While you’re at it…