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Category: Motivation

Revisiting 2011 Goals – Final Results

Posted Jan.05, 2012 under Motivation

Setting goals is extremely important for me. When I started this blog, I wanted to set some goals to keep my self accountable. Setting goals is one thing, however it’s even more important to evaluate your performance toward those goals so that you can understand where you can improve and where you excelled.

To fully understand your goals, it is key to understand the four W’s of goal setting:

What went right…
What went wrong…
Why? and…
Whats next?

I’m fairly satisfied with my 2011 goals. Even though I met a lot of my goals, some I did okay with and others I completely failed.

Here’s a recap of my goals from one year ago, what I learned and where I stand now.

Financial Goals

Eliminate $3,000 CC Debt:

Totally crushed this goal in exactly one year. Anytime you’re battling to get out of debt, it’s a total uphill battle. My credit-card debt battle was no different. However, I’m proud of my end result – eliminated my credit-card debt in 347 days. Eight days shy of a full year, which is the timeline I allotted to my self to eliminate my credit-card debt elimination goal.

Eliminate $5,000 LOC Debt:

I knew when I set this goal it was going to be tough to achieve. I would have to eliminate my credit-card debt and my LOC debt, for a total of $8,000 debt elimination. Sadly, I did not accomplish this goal. In fact, I failed miserably, as I did not even scratch the surface of the $5,000 debt. Definitely on top of my to do list for 2012. More on that in the future.

$5,000 Savings Fund:

Much like the $5K LOC debt, this was a tough one to achieve. Savings is one funny aspect, that at times you’re so into it and other times you’re coasting. Sadly, I coasted too many times. Last year I only saved $3K. Not bad I suppose, however I wish I fully accomplished this goal.

Earn extra $6K with business:

I’m proud to say that I crushed this goal. In 2011 I earned just over $18K on the side (outside of my full-time job). The earnings are spread between my two businesses – cleaning business and blogging. Even though I’m not huge on revealing my blogging income, business income or personal income, I do try to share small snippets throughout different articles.

Create a $2,000 emergency fund:

This goal I truly coasted through. I basically set aside $100/month and in the end saved a total of $1,000. At one point of time, I had just over $1,300 in the account, but ended up spending $300 on non-emergency stuff. Now that I look back, I’m not impressed that I dipped into the savings, however I reached my goal by exactly what I put into it – half assing it.

Personal Goals

Go on Vacation:

I crushed this one as well. I guess that’s why some of my financial goals lacked a little. In 2011 I ended up going to four trips in total, some were short in the backyard trips, while others were further away. I spent a week in Mexico, a weekend in Chicago, a weekend in NYC and a weekend in Montreal.

Read 7 Books:

As I write this post, I have read a total of 8 books this past year – which definitely surpasses my goal for 2011!

Woohoo!

I never took reading so seriously before and quite frankly I never enjoyed it as much. However, last year was a year of change. And I’m looking forward to reading even more in the New Year. I’m currently reading the autobiography of Steve Jobs.

Here’s a list of books I read in 2011:

I will teach you to be rich – Ramit Sethi
The 5 Love Languages – David Chapman
The 4 Hour Body – Timothy Ferriss
Living Large in Lean Times – Clark Howard
Driven – Robert Hervajec
The Wealthy Barber – David Chilton
The Wealthy Barber Returns – David Chilton
The Ultimate TFSA Guide – Gordon Pape

Purchase my first DSLR camera:

I achieved this goal with a pretty good deal – only paid $475 (tax in).I ended up purchasing a Canon Rebel T1i. A great camera and what a difference between the average digital camera and a DSLR camera. Sadly, I only ended up shooting four or five times I think. I just got too busy with the blog, business and life in general. Hopefully I’ll put it to greater use in 2012.

Purchase a Mac Book:

After months of researching Mac Books and as much admiration I have for Apple products, in the ended I decided not to purchase the laptop. I just couldn’t justify paying over $1,000 for a laptop which I mostly use for writing on the road. However, I did purchase a new laptop. Scored a pretty solid deal too – I think.

How about you be the judge!

Purchase Price: $475 (tax in)

Acer Aspire

Intel Core i3 2.2GHz

13″ screen – ultra thin laptop

4GB DDR 3 Ram

750 GB HD

6 cell Li-ion battery (over 8hrs on a single charge)

Weight: 4.5 lbs

Coach kids soccer:

I’ve been around the game of soccer since I was ten years old. I had the pleasure to play on some fairly competitive teams and fairly high leagues. Years ago (six to be exact), I got into coaching. I started with 9 year old boys. In my first year of coaching, we ended up winning it all. Talk about motivation.

I coached 11 year old boys this previous year.

The year was good, but we did not win the championship. However, many memories were made and more importantly for me, it was another goal to scratch off of my list.

Professional Goals:

Keep resume up to date:

This goal I squeezed in towards the end of the year. I got in touch with someone, who’s not only a solid contact, but who helped me get my resume up to date. In fact, she’s become a good friend as well.

There was a cost associated with my resume re-creation, but totally worth it. This new friend took my resume to new heights. And I’m happy and grateful for that.

As you may know, I firmly believe that knowledge should be shared. So, in the next few months I’ve arranged a mini two part interview with her. I promise it will be juicy, with the scoop from the insider. Plus, it will give you the opportunity to introduce your self and get your resume professionally fine tuned.

2011 Overall

So that sums up my evaluation for 2011, and as I mentioned before, many unplanned things happened, both good and bad, but that’s part of life. One thing I did realize, is that going forward I need to set less, but more solid goals. Despite achieving over 80% of my goals, at times I felt stretched. I knew when I set my goals, I had a lot to accomplish. However, I didn’t want to go back and change anything. I left it as-is.

So, the goals list for 2012 will be shorter, yet more intense.

Overall, I’m extremely happy with my results and I can’t wait to share my goals for 2012.

I wish you nothing but the very best, safe, happy, healthy and profitable New Year!

Cheer-O!

Eddie

Tags: Goals, New Year, new year 2012, Performance, Professional Goals, Savings

3 Comments

From Homeless To Successful – The Story Of One Entrepreneur

Posted Dec.26, 2011 under Motivation

Just like my self, Doina Oncel immigrated to Canada at the young age of 17 in search of a better life. Except, in my case I immigrated to Canada when I was 10. Never the less, we both share something in common – We came to Canada for a greater opportunities. Shortly after moving to Canada, Doina got married and had two wonderful kids. Alongside her husband, they both started a profitable renovations business. Life was good and business was booming. However, much like anything in life, nothing is perfect.

Doina was going through some tough times personally. Things looked good on the outside, however things were far from perfect.

I came across Doina’s story and I wanted to share it with the Finance Fox faithful. Not only is this story inspirational, but I can relate to it. And no, I’m not referring to marriage and kids, but rather being an immigrant and making something out my self and continuing to strive for more.

Tough Times

Despite a successful business and a wonderful family, Doina’s husband was an alcoholic. Eventually debt came along and the business was struggling. Finally the last straw came – abuse.

After sometime of abuse and depression, Doina knew something had to give. A change was in order. This is not how she wanted to live with and expose the kids to this type of life. In 2009, she decided to make a change for the better. She left her husband and with no true direction, money or anywhere to go, Doina reached out to close friends and family in hopes of temporary shelter until she got on her feet, however sadly everyone declined to offer any support or shelter.

Turn Around

Nowhere to go and with everyone turning their backs, Doina ended up in a women’s shelter. She knew there was more to life than being in a women’s shelter and another change was in order. Finally after three long months at the women’s shelter, Doina found a job and was able to move her self and the kids out of the shelter and into a place of their own.

Despite new found success and getting slowly back onto her feet, Doina wanted more and it was just the start of something great. Deep down inside, she knew that she wanted to set an example for the kids to have someone to look up to. So, Doina set out onto a life changing journey.

Despite starting a successful business with a soon to be ex-husband, Doina was determined to make more money and provide a better life. And with minimal cash and resources, she spent the last of her saved money on business seminars and books. She also started to learn from other business entrepreneurs on developing a successful business.

Eventually the vested money, hard work and learning paid off. Doina took on a new venture – Entrepreneurial Moms of Toronto. She took on the opportunity to help other mom entrepreneurs rise above their challenges through planning mastermind meetings.

And through helping others, networking and a lot of hard work, Doina ventured out on her own and started her own business. Doina successfully launched her own PR company, specializing in helping new tech start-ups – Doina’s Infinite Solutions.

Despite no previous PR experience, Doina has made her business a success. She uses her strong networking abilities, desire to help others and drive to make a name for self. Her business has given Doina the ability to earn five figures a year and the business is well en route to having six figure revenue. And despite her rise and newly found success, Doina has never forgotten her roots and where it all started from. Currently, Doina sits on the Board of Directors for Ernestine Women’s Shelter where she continues to help abused women, a position all too familiar to her.

Moral of the story

Despite tough obstacles we encounter in life, we must keep pushing forward. I’m not a religious person, but I can confidently say that we’re all here for a purpose on this plant. Resources exist to us for taking and making something out of our selves. Whatever your life goal or dream, remember, it’s never too late to get started.

Much like a game of poker, we never know the cards were going to be dealt. However, once the cards are dealt, it’s up to us to make the best with what cards we got.

Face reality head on. There will be some fans in your corner, probably your self and your family. More so, there will be more haters. People thrive on drama and seeing others fail, so expect others to be rooting for you to fail. However, you are better than that and stronger. Sticking to your guns, you will prevail, rise from the ashes and prove your critics wrong.

Persistence always pays off. The biggest key to persistence is to continue to trick your self to to be persistent.

What are your thoughts on persistence? This story?

Eddie

Tags: Entrepreneur, Motivation, Self Imporvement

3 Comments

Goodbye Credit-Card Debt – 347 Days Later!

Posted Oct.30, 2011 under Motivation

I started Finance Fox around the same time I had enough with my current debt situation. Being $9,000 in debt is not something to laugh about. Despite that a lot of people in today’s society consider that amount of debt to be the norm. I did too, for years. Then I wanted change. I wanted to take my life in a new direction. Live debt free and change my own psychology on money forever. Living in any debt is not good and for those who tell you that “it’s okay” or “that’s normal” or “others have it worst” are the same people who need help. Seriously. We all make mistakes though and fortunately debt is fixable. I am living proof of that again. In 11 months and 13 days I defeated my $3,500 credit-card debt. I am proud to say I owe my $0 on my Visa, effective October 28,2011.

The Process

Just like gaining weight, most people don’t get into serious credit card debt overnight. Its a process. Things go wrong bit by bit. Mistakes are made slowly. And next thing we realize that we’ve got a problem. Some more serious than others. We look at others and asses their situation. We suggest ideas, thoughts and processes for them to defeat their problem. Unfortunately when we have our own problems, the answers are much more complicated. The process does not seem easy. Fortunately though, credit card debt is manageable. All you need is a plan and a lot of discipline. I got into my credit card debt through time. Few bigger purchases, combined with some bad choices, equals me being in credit card debt.

You can read my post about how I got into $9,000 debt , which clearly illustrates poor decision making and most importantly living beyond my means. I am the only one to blame. We can sit here all day and talk about how credit card companies pull stunts and have the tactics, that get people into debt. Yet, we are the ones who decide where and when to swipe that piece of plastic.

By the Numbers

I always paid my credit card on time. Most of the time it was the minimum payment + $100 on top. Despite being a regular payee, I could never pay off more than a few hundred dollars in a few months. I almost always carried a full balance on my credit card. The limit was $3,500 and I would have maybe at best a few hundred dollars paid off. I carried my $3,500 credit card balance roughly for 2 years, 6 months or 912 days. In total I paid roughly $1,178 in interest over the course of 2 years, 6 months. That works out to $390 in interest per year. Per month that works out to $32.50 in interest.

My debt became revolving. I was a hamster spinning in its cage on the wheel. Going round and round with no true goal. Eventually I grew sick and tired of seeing that ugly $3,500 balance on my credit card every time I logged into my online banking. Change had to be made and change happened in 8,328 hours.

Psychology

After becoming finally disgusted with my credit card balance, it was time to make sacrifices to pay off my debt. And pay it off ASAP. It was costing me everyday for the balance I carried. I could not allow it continue to cost me anymore. I came to terms that there is no magic wand I can wave to make my credit card debt disappear. I set my priorities straight and paying off my credit card debt was high on my priority list. In fact I even included into my 2011 Goals.

The average interest rate on credit cards is a hefty 14 percent. I was paying 19.99 percent on my credit card. Atrociously high, I know. I knew wanted to aggressively pay of my $3,500 credit card debt for a few reasons other than the obvious of becoming credit card debt free.

When you take on revolving debt not only are you paying loads of high interest on the balance, but your credit score is suffering and that you become emotionally drained. You give in and become that hamster spinning on the wheel of nowhere.

In the end I defeated my credit card debt. It only took me 11 months, 13 days or 347 days or 8,328 hours of discipline, hard work and a lot of anger. Anger at my self on how stupid I was to take on get into this credit card debt. All the hard work, snowballing payments, anger and discipline paid off. Would I advise this grueling journey to anyone? Not particularly. Debt is avoidable. Unfortunately if you’ve gotten into credit card debt and are serious about defeating it, than what’s stopping you?

As for me; Next is the line of credit. Wish me luck?

Eddie

Tags: APR, Credit Card, Credit Card Debt, Debt Free, Freedom, Interest, Stupid

4 Comments

The Best & Worst of My Financial Decisions

Posted Oct.05, 2011 under Motivation

Over the course of our lives we make a lot of financial decisions. Most of them for the better hopefully and some others for the worst. Looking back at my financial decisions I’ve made, especially the ones within the last ten or so years, I can definitely attest to making some really poor decisions and some good ones as well. Overall I am happy with the decisions I’ve made, yet wish at times that I did not make some of those negative financial decisions. I suppose one can say, that’s part of life and the learning curve it comes with.

I can certainly say that I do not regret any negative decisions I’ve made. In fact I’m glad some of them did happen, because they taught me the value of the dollar. Even looking back a year or so ago and now, I’m in a pretty good place, primarily due to making the necessary changes in my life financially and learning to live within my means.

Looking back at the choices, some of my worst financial decisions have been:

1. Not Marrying a Millionaire

Should have, could have, would have are all just excuses. Fortunately enough though I am still young enough and in full hunt for Mrs. Millionaire. Seriously though, I am happy with my life through and through. At the end of the day it’s just money, it comes and goes, here today and gone tomorrow.

2. Financing a car at 29% interest rate

That’s right I purchased my second car, 1999 Saab 93 for $6,500 and financed it at a horrid rate of 29%. It all happened quickly though. My other car broke down, needed a car for work and asked my dad to borrow the money. After a tough argument with my father, I got fed up and decided to go on my own for financing. I walked in to CITI Financial, they gladly cut a check for me for the amount of $6,500 two hours later. I think I did it out of spite more than anything. I knew it was a bad rate, but my bank wouldn’t give me one and I needed a car. I wanted to show my father I could do without him.

To make a long story short I made my payments regularly for a few months. Finally my mother discovered my interest rate, nearly had a nervous break down (well not really) and gave lent me $6,000 to pay CITI off. I did as suggested and paid the loan back to her in 2 years at a much more impressive rate of 4.5%. I sure lived and learned and let me be a lesson to all of you to never make a financial decision out of spite. NEVER! :)

3. Getting into Credit Card Debt 1st Time

Yeah I got into credit card debt about 8 years ago. I was young and dumb essentially. I maxed my credit card out because I did not budget at all. I was living pay check to pay check. Long and behold I was $3,000 in credit card debt and a maxed out credit card. Eventually I got it paid off within three years.

4. Getting into Credit Card Debt # 2

Much like with my first credit card scenario I was irresponsible. This time around I simply could not pay back what I purchased. Made some fairly big purchases and the credit card debt snowballed into $3,500 worth of debt. I made my regular monthly payments, chipped away at it slowly, but I still was in debt. Then Finance Fox was born and ever since I’ve been snowballing monthly payments and eliminating the credit card debt.

5. Not paying my self first early on

I never bothered to pay my self first. Hang on! I did actually, but did it in the wrong way. I would pay all the bills and creditors and save some leftovers, which was nearly not enough. I had a few thousand dollars kicking around, but I felt it was never enough.

My Best Financial Decisions:

1. Borrowing $5K in RRSPs in 2007

I knew I needed to start saving and more importantly saving for the future. I borrowed $5K in RRSPs from my local bank in 2007 just prior to tax season. Just 6 months into my new and fairly secure job, I felt confident enough I could pay it back. Eventually I paid it back within two years. It was forced savings, but I’m glad I went through the experience.

2. Buying my First Home

From the money saved and the Canadian government introducing the “Home Buyers Plan” I decided to withdraw my saved RRSP money and used it as a down payment in my first home. I’m glad I did buy at the time I did. Housing market was on a down and still feeling the effects of a recession.

3. Paying for post-secondary Education in Cash

I paid my three years of college in Cash. Essentially it was a split between cash and grants. I got the opportunity to work full-time during the summer in my mother’s factory. All the money I earned would go towards school tuition.

I’m a huge supporter of eduction, even if it means borrowing to fund your eduction, the rewards are immense. So, whatever kind of degree you’re looking to get into, be it a science degree or finance degree, do what’s right and get your eduction first and worry about the financing later.

4. Getting my First Car & Learning Responsibility

I was fortunate enough, with the help of my parents to be able to purchase my first car at the ripe age of 16. There was a catch though. I would have to pay my own insurance. And indeed I did. It was tough being young and paying $225/month in insurance, while working a part-time job. That being said, it taught me on important lesson: Responsibility.

5. Finally Learning to Pay my Self First

I finally learned this art as I call it. I truly got serious about eliminating debt and saving money for the future, such as retirement and investing. I wish I learned this earlier on in life, but I suppose it’s better late than never. Today, I save roughly 7 % of my pay-check automatically. I setup an account with ING Direct and they do two monthly (bi-weekly)withdrawls which go directly into this savings only account.

6. On the verge of Eliminating Credit Card Debt AGAIN

That’s right! I am on the verge of eliminating my credit card debt, the whole $3,500. I started this journey less than a year ago, at the same time I started Finance Fox. Am I proud of my self? You better believe it. I’ll keep you guys posted on it, as I will write about it soon.