Just about everyone knows that if you’re not careful credit card debt can grow to beastly proportions. But how did credit cards get that way? Will it ever change? What are your rights?

James, our awesome Network Ninja, pointed us to a series on credit cards you will enjoy if you’ve asked yourself some of these questions. It’s called “Secret History of the Credit Card”.

The Frontline/PBS investigative report aired a few years ago and won several awards. Now, you can watch the whole show in five, what-else-are-you-doing-this-afternoon-to-educate-yourself episodes. Seriously: it’s well worth your time.

And did we mention it’s free?

The “Secret History of the Credit Card” also features an interview with one of my favorite people, Harvard Law Professor Elizabeth Warren. You’ll recognize her from the documentary Maxed Out. If you haven’t seen Maxed Out, it’s also well worth your time. Here’s a clip.

Pass the popcorn.

“I’m also a big fan of the iRobot Vacuum cleaners.”

Does managing money take a lot of effort? Well, that depends on you. Some are satisfied with cranking things on auto-pilot. Others manage every detail down to the color of their accountant’s tie. (Note to Sam: yes, blue really is your color!)

But the largest vote is this: being lazy with your money.

That sounds negative, but it doesn’t have to be that way. Being “lazy” can actually mean that you maximize your time and resources. And in a world where time is money, that’s good. I spoke with the man behind the blog “Lazy Man and Money” to see how he does it.

Lazy Man, how did you come to start a finance blog?

Like many good things, it all happened by chance. I was at the
dentist’s office and I picked up a Business Week magazine. I found an
article featuring personal finance blogs… and one in particular
caught my eye. Since I lived in Boston, Boston Gal’s Open
Wallet caught my attention. When I got back home, I started
reading her blog. I got hooked on it and some other blogs she linked
to. A few months later, I decided that I had some unique views that
couldn’t be expressed commenting on blogs, so I decided to write about
my experiences with money.

You say that you are “lazy” but I’m guessing not in the strict sense. You seem to emphasize working smarter for the largest potential payback of time/resources/energy.

What’s a good example of this laziness in action? (Wait… lazy but in action… that’s an oxymoron, right?)

You are right about the “lazy” part. I’m really only lazy when it
comes to repetitive household chores. The shower cleaning post is a
good one. I’m also a big fan of the iRobot Vacuum cleaners.

[Editor's Note: Me, too. We bought an iRobot for our grandmother. Works perfectly, but, she thinks it sends spy messages to the KGB...]

I’ve always believed in trying to work smarter before settling on working
harder as a last resort. It’s helped me in every aspect of life.

What aspects of your financial life have you automated to make it as
simple as possible?

Sadly, not as many as I would like. I work on several side businesses
now, but when I had a full-time job, I’d max out my 401K plan. I’d
have direct deposit of my paycheck into my main bank account. I have
my cable, land line, and cell phone bills charge a credit card. I pay
my mortgage each month through online banking. I write a check and
use snail mail every month to pay off the credit card in full. I
should do it electronically (and occasionally I do), but I haven’t
done it with the consistency that I should.

In your opinion, what are some of the ways people complicate their
financial lives?

I think most people complicate their financial lives by being afraid.
Some people feel that they don’t know how to invest and stay away out
of fear. People hate losing money and when the stock market goes
down, they sell instead of buying more at a discount. There are other
circumstances where a couple simply won’t have the same financial
philosophies. That leads to some complicated compromises.

Some people think being frugal is a waste of time if time equals money. What do you think?

For example, is it worth a lazy person’s efforts to check Craigslist for weeks to find a second-hand washing machine?

I think there’s often a smarter way to do things. I don’t check
Craigslist for cheap items… Craigslist tells me as soon as my item
is available at a price that I’m willing to pay. Explaining how I do
it is a little long for this interview, but you can read how to save
money with Craigslist on my blog.

Final thoughts as you see it from the intersection of Lazy Avenue and Money Way?

I see too many people work extremely hard for their money and then not
think about how they spend and invest it. I would encourage people to
think of money as a key to freedom. Having money opens up a lot of
doors that are closed to people that don’t have money. You might want
to think how much you are pushing back your retirement the next time
you think about buying the next ultra-cool iGadget or your 30th pair of shoes.

Yes, I agree. So many people work hard… but then drop the ball when it comes to really maximizing their hard-won money with budgeting and investing. What a shame! That’s why everyone on our small team here at Geezeo works so hard to build out easy-to-use budgeting and investing tools. We’re not lazy but we like using our time and resources wisely, too.

Awesome idea about using the RSS feeds on Craigslist! I never noticed the RSS feature before and that’s a great time/money management idea. I’ll set one today to find my very own iRobot…!

Feeling not-so-lazy? Then mosey over to Lazy Man’s blog, Lazy Man and Money and discover more lazy-man-money-behavior in action. Thanks for participating, Lazy Man!

60 Seconds & You’re Hired! by Robin Ryan is a lifesaving book! This book offers you help to get through those really tough interviews and land that job that you have always been searching for. My mum told me she was sending me this book in the mail and the whole time I just kept thinking, “I don’t get it mum, you don’t think I can get hired without reading a book!?” Even when I received the book in the mail, I was so stubborn that I didn’t even look at it…instead I just placed it on my bookshelf and went on with my life. It wasn’t until I received an e-mail that I was put through to interviews that I started to get nervous and though, “Hey! I can’t really hurt me to check out that book!”

Personally, I think the interviews are the scariest part of getting a job. I get so nervous that I can’t even remember what I’m doing in that little interview room anymore! You really never know what the employer is really looking for in your answers…you can get so caught up in nerves that the answer you want doesn’t really come to you…and you never know if the answer you actually give is good or bad as they employer rights notes on your resume in front of you! This book REALLY helped me out to calm my nerves before my interview. It gives really great advice and it a true lifesaver! It is so easy to read and follow, not like some of the other books that offer advice on getting jobs!

The description on the back of 60 Seconds & You’re Hired! reads:

Whether you’re just starting out, moving onward, and upward, or reentering the job market, 60 Seconds & You’re Hired! explains the most effective strategies for getting the jobs you want at the salary you deserve. By following these tips from America’s top career coach Robin Ryan, you can land the perfect job by excelling at the crucial job interview. Brief, compact and packed with useful tips, 60 Seconds & You’re Hired! provides the essential inside information job-seekers must have.

60 Seconds & You’re Hired! offers the following help:
1. A “5 Point Agenda” to Stick To
2. Your Personal “60 Second Sell”
3. Hiring Trends
4. Interview Etiquette
5. 60 Second Answers to Tough and Tricky Interview Questions
6. Salary Questions that You Should Ask
7. Other Questions You Should Definately Ask the Employer
8. How to Negotiate the Best Deal
9. 15 Different Types of Interviews
10. Pitfalls to Avoid

…and much, much more to help you with your interview process! Believe me, when I tell you this book really helped me I’m telling the truth! And I think it can help many other people too! It calmed my nerves, it gave me great tips and advice, and provided me with information that before I hadn’t even thought about. The interview tough questions section and suggest ways to go about answering the question was the biggest help. Also, although I already knew this…sending a hand-written thank you letter to the employer can really help you move forward instead of being dropped from the interview process…it is a way to show you really care about the job position and that the interviewer took the time to help you out! Don’t forget the little things, an e-mail will be forgotten, but a thank you note they actually have to open and read (and it only takes about 5 minutes out of your day)!

If anyone else has any other great books that they have read, I would love to know! I love to read…I made the mistake of starting a book for leisure during my Midterm period and I just can’t seem to put it down (BIG mistake)! haha, for all you romantic novel lovers out there…(and this is totally off my topic) but the book is called P.S. I Love You by Cecelia Ahearn. The movie just came out but my friend told me to read the book first. So, check out these two great books on COMPLETELY different topics…but both amazing! )

This week I close on the purchase of my first home! Hooray!

It’s a little stone cabin with a sordid past: in the 1800’s it served as a “house of ill-repute”. With colorful history like that, what better place to kick up the feet (ahem – onto a coffee table!) and call my own? Now I just need to learn how to play the banjo…

There was a lot to learn as a first-time homeowner. For starters, who knew all the unexpected expenses in the final hour? Now I know why it takes a few weeks to close on a property!

Here are just some of the people you have to pay. Not all will apply to your situation but keep in mind these are all in addition to your down payment expenses:

Realtors – Some say you can save the fees doing it yourself. But, as a first timer I think my realtors were well worth their fees. No one knows the market better and they’ve been immensely helpful in other areas, too.

Inspectors – Yep, lots of people come into play here. First, the bank requires that you show what your buying is worth it, and safe. Some inspectors my house required: appraisal, structural, pest, radon-gas and lead-based paint inspectors (because it’s an old home).

Homeowner’s Insurance – You have to prove to the bank that your house is covered for disaster. You can’t close on property without it.

Title Clearance and Insurance – This makes sure that the owner can legally sell the property, and ensures that no one can later claim the property is in fact, theirs, not yours.

New utilities – This is a critical but sometimes overlooked part of the process. Certainly, you want to be able to flip on the switch for water, electricity, or gas the moment you arrive.

Legal fees – Some states require lawyers for one or both parties (mine does).

Miscellaneous fees – These include items like fees for pulling your credit report, processing your loan, recording fees, city/county/state/stamp fees, courier or wiring fees, loan underwriting fees, flood insurance, taxes.

Long list, huh? No wonder people say this is stressful. It is! There is that momentary cashflow crunch moving money between savings and checking, for example. The last thing you want to do is bounce a check.

(Which is why I ran to the bank in a panic to deposit $4!)

The good news is that despite the long list everyone involved in the chain is a professional. Some of the fees are negotiable or aren’t very expensive.

My advice? Make sure you clearly communicate your budget with all the many people involved in the process. I told them how much I had budgeted for down payment and closing costs and structured my financing accordingly. I did my homework and kept good records so this helped, too.

If you’ve got your eye on your first home, make sure to start with the basics. Save as much as you can. Earmark some for your down payment and some for closing costs. Keep your credit report clean in the process. It’s a buyer’s market!

Want to discuss buying your first home or home ownership? Check out these great Geezeo groups: Home Improvement Projects, Pay Down That Mortgage, First Time Homebuyers, Active Rainers on Geezeo, and CASHFLOW the game.

“The biggest misconception about the stock market is that self directed investing is too risky for the novice investor.�

Ever seen those ads online for Investools? What is Investools? Could it help make me a better investor? I decided to check it out.

I discovered Investools is both simple and complex. Simple, in that almost anyone motivated and dedicated could learn to use the tools. Complex, because these tools offer a chance to dive deep into a new education. For starters, who ever heard of a strangle-hold-strangle? (I’m pretty sure it’s a fancy option trade term, not a wrestling move…)

So, if you’re already tracking your investments using Geezeo and are interested in learning more about investing, this interview is for you. I sat down with Jeff at Investools about fears a lot of novice investors face.

Jeff, can you tell us a bit about what Investools offers for novice investors?

Investools offers novice investors many things, but none more important than empowerment. We have shown hundreds of thousands of individuals that they are more than capable to take their financial future into their own hands.

I came from the financial services industry 5 years ago because I saw the powerful trend taking place among self directed investors. I wanted to be a part of this change. More and more people are starting to realize that nobody cares as much about their money as they do. They want to protect their money and want to make it work for them. Having watched these same people graduate through our educational programs, you can see a sense of newly found confidence that they have the tools and the mindset to change their quality of life. That’s the empowerment I am talking about.

What are some ways that a novice investor can learn more about the stock market? Do you suggest any preparations before starting your program?

I look at it this way…the newer you are to the stock market, the better. In fact, I have sat down with market professionals and individuals with twice the market experience that I have. When it came time to teach them how to use our program, I spent a lot of time helping them unlearn a lot of things that they thought they knew about the stock market. For the most part, anyone with market experience has probably picked up some bad habits along the way, or has a biased opinion about how to do things. These things that have acted as an obstacle for many individuals in the past will become building blocks and strengths for future results.

If there were anything I would encourage someone to prepare for, it would be to prepare to learn. There will be an initial learning curve, but I can assure you it is much easier than any class you’ve ever taken. No late night cramming sessions, piles of homework, or final exams to take. You will have access to online tutorials, live presentations with market professionals, and a vast amount of resources available at your finger tips to take your education as fast or as steady as you want. You will need to commit some time up front while you are learning the ropes, but in no time at all you can turn your education into a quick and easy daily routine.

What are some common misconceptions about the stock market, or investing in stocks?

The biggest misconception about the stock market is that self directed investing is too risky for the novice investor. Everyone seems to think that investing in stocks is something that only the professionals can do. Risk is what you make of it. The truth is you don’t need a college degree in finance to analyze a stock. You don’t have to be an economist to look at a price chart and determine whether it is a bull or bear market. All you need is a little education.

I have been investing since I was 17 years old and as a self taught investor, I believe that anyone can accomplish their financial goals through educated investing.

Why do you think some people fear taking a more active role in trading?

In my opinion, I think the biggest reason is that people don’t want to put forth the effort. Based on what most individuals have heard about the market and how risky it is, they don’t think they are capable, or can do any better than a “professional� could do. I think if more people took the plunge, and started to learn more about the market, they would find out that it is not as intimidating as they thought. Investing is quite easy, actually.

Investools teaches you how to avoid the mistakes that have plagued the retail investor’s attempts at being successful in the market. With a little education, Investools provides the tools you will need to outperform the market, and the “professionals� that are incapable of beating it.

How does community involvement help an individual’s investing success?

Having a community of like minded individuals that you know are working towards the same goals that you are is an incredible tool to have when going through the learning process. Communities keep you motivated, keep you involved and keep you accountable. I can recall at a young age how difficult it was to learn about the market and how to invest, and I think how different and easier life would have been if I had a group of people to turn to. Now days I keep an online trading blog to try and make myself a part of an online community. In my opinion, it is more fun to be a part of a group than to face the challenges and success all by yourself.

The Investools community is growing at a rapid pace. There are hundreds of user groups all over the country, and our students are starting to realize that engaging themselves in a community is a lot of fun! Our online discussion boards are as active as they have ever been and a lot of people I have talked to attribute many of their successes to this resource.

Thanks, Jeff. We see similar empowerment and excitement in people here at Geezeo. Often, our users are getting excited about their finances for the first time in their life.

I will agree that Investools is pretty easy to use if you commit to taking the time to learn. I’m reminded of a quote that says, “Either you make reasons why you will do something, or you make reasons why you won’t; your choice.” With investing, you have to make reasons why you’ll stick with it in order to learn. Right now I’m in the “practice” mode, making trades using “paper money”. I would add that there is a learning curve but that with patience anyone can learn. I keep reminding myself that I don’t have to learn it all in one day.

The correlation with personal finance is two-fold. First, don’t be afraid to learn something new simply because it appears too complex at first. Personal finance and investing often seem intimidating. Yet, broken down most people are capable of learning and making positive changes.

Second, it’s never too late to find like-minded people as you learn. At Investools this means using the discussion boards. Here at Geezeo this means participating in Groups or Goals. Sure, it’s cliche, but: life really is richer if you expand your mind and help others do the same.

I am currently a senior at Boston University and I feel like my money just keeps walking out the door! Not only am I in a little bit of a “senior slump” so to speak (finding it hard to do any type of school work), but I am also spending more money than I have in previous years!

With Spring Break just around 2 weeks away here at BU, I’m finding it necessary to buy a new wardrobe. Now, I’m telling you that if you saw my closet as it currently is…you would agree with everyone else in my life that I don’t need any new clothes! But, I believe in “seasonal depression” and when I walk into all the stores that have all the bright colored spring clothing lines in and with the snow still falling outside…I can’t help but spend my money! I mean everyone needs a little pick me up right?

So, with a new closet and still being in my little “senior slump” I am also finding it hard to say “NO!”…and instead everytime I might even think about saying “No” a “Yes” comes out of my mouth instead. So when my friends are going out and I really don’t feel like spending the money, I go against my gut and go out anyways! I mean nobody wants to be left out…especially not their senior year of college! Don’t get me wrong…I love going out — but at the same time all my money lately has gone towards take-out, going to restaurants, drinks at bars, and cab rides! That being said, my weekends are filled with a lot of great memories to take with me!

Even as I complain about spending this money, I realize now that I just can’t stop (ok, so thats an exaggeration…I could stop if I REALLY tried, but I’m not sure I want to). I mean this is what I saved some of my money for right? The Spring Break trips, the going out on the weekends. And I am one out of two of all of my group of friends that has a job!…and I’m special because I hold two jobs! So, although I may be spending just as much as everyone else, I am also bringing in some money which is keeping my bank account from disappearing completely.

Don’t go around and say that this “Hannah girl” said it was okay to spend all my money! Because thats not what I’m saying at all. Just don’t let money control your life. I think that I have come to the realization that this is probably one of the last times that I will get to spend my money like this…and have so much free time to do so. So before I reach the real world and get a full-time job, I want to say that I remember having a lot of fun (although I’m hoping that some of this fun will continue on…)!

Also, I am open to any advice that anyone might have for me (from either those that are currently in their own “senior slump”…or those who have been there before…or those that just have any old opinion whatsoever!) )

Have you ever thought this? Or wondered why every time you go out to eat with you-know-who the bill, plus tip, comes up short? Or maybe you’ve got another awkward social money moment? This is the book for you.

“Isn’t It Their Turn to Pick Up the Check: Dealing with All of the Trickiest Money Problems Between Family and Friends — from Serial Borrowers to Serious Cheapskates” by Jeanne Fleming and Leonard Schwarz takes a humorous yet helpful turn on what to do about all sorts of problems.

For example (page 90):

We can’t afford to return a favor.
When you need to reciprocate a rich friend’s generous hospitality.

Advises Fleming and Schwarz:

“Stop thinking you can’t reciprocate, because you can. Your obligation is not to treat your friend to something of equal value, but to treat him to something thoughtful that he’ll enjoy…[The] point here is not to that you need to match [his] hospitality dollar for dollar. Rather, it’s the disparity in your resources doesn’t free you from your obligation to entertain [him] as thoughtfully as he’s been entertaining you.”

For me, this book brought up some sticky situations I hadn’t even considered. For example, what do you do if your neighbors intentionally annex part of your property to make theirs look more valuable? Or other neighbors keep their homes such a mess it draws down the value of your own?

More comforting was the realization of how common it is to have great financial disparity between relatives. Turns out it’s pretty common to have rich aunts or poor cousins (or vice-versa) all in the same family. What kind of tension can that bring? How do you handle it? And even if no one likes to talk about it, what happens when one adult sibling makes considerably more or less than the other?

What are your money problems? Confess them publicly or privately in Geezeo’s Money Confessions. Or, write D. Expert, our resident expert on all manner of monetary b.o. His advice stinks but he usually finds the right person to answer your question. Finally, don’t overlook the Geezeo groups — there are a lot of patient ears just waiting to hear your perspective on most things social or financial.

Can you give yourself a complete financial makeover in less than a week? I wanted to know. So here’s what happened when I read a book called “The Six-Day Financial Makeover” by Robert Pagliarini.

The beginning chapters went along smoothly. I admit, I cheated here. The book urges you to actually do the checklist. I did not. I told myself that first of all, it was a library book and no checking in the book allowed. And second of all, I felt that I’d already done the emotional evaluation. Critical stuff — but I wanted to learn and do something new. Turns out the stuff was still well-worth reading if not actually “doing”.

But next came where the book really triumphs. For me the “makeover” came charging in at Day 5, starting with the ominous word “SURVIVE…”

Oh yes. Survive. Sounds tough. And mentally I was prepped for it, since recently experiencing an irregular and unexpected trip to the doctor.

Pagliarini’s book does something here very well. It takes you down the path of how many of us think we’re “saving” money and how this can spell certain disaster with the smallest, unexpected turn-of-events. For me, these “real-world” stories were enough to scare me straight into the arms of several insurance brokers.

Starting on page 153 he explains what those numbers mean on your car insurance. For example, 30/50/20. Never pay attention to those before? Me neither.

The first number represents maximum bodily injury liability, stated in thousands. In this example, you’d have $30,000 coverage for bodily injury.

The second number represents maximum bodily injury liability, also stated in thousands, for everyone injured in one accident. In this example, $50,000. That covers everyone in your clown car.

The last number represents maximum property liability. In this example, you’d have $20,000 coverage for one accident. Okay, ready for a drive? Let’s get to the example in the book.

…On his way home from a long day at work, George runs a red light and hits an SUV with two passengers. One of the passengers wasn’t wearing a seatbelt and suffered serious but not life-threatening injuries. Luckily, George had some auto insurance: (15/30/20). The total financial impact of the accident was as follows:

Passenger A—$15,000 medical costs

Passenger B—$35,000 medical costs

Totaled SUV—$56,000 property damage

Here’s what George’s insurance would cover and what George would have to pay out of his own pocket:

Passenger A: Insurance pays: $15,000. George pays $0.

Passenger B: Insurance pays: $30,000 limit per person, per accident. George pays $5,000.

Totaled SUV: Insurance pays: $20,000 maximum property limit per accident. George pays: $36,000.

Now… would you be able to pay $41,000 out of pocket if the same thing happened to you TODAY?

And what if you hit a more expensive car? Caused more serious physical injury or death? One instance can totally wipe you out and keep you chained in servitude of debt for years. This book is great because it takes all your basic insurance needs and spells out in not-so-exotic situations exactly how you can ruin yourself financially — often unintentionally.

And so, in my opinion is this book is worth reading if ONLY to read the scary chapters starting with “Survive….”. But the rest of it is good, too.

For these and other book discussions, check out the Geezeo “book club”: Bookworms Unite.

In my opinion, time management and money management are highly related to one another! The less in control I am of my time and life during the day…the more money I seem to end up spending without even realizing that its gone! Another reason I think they relate to one another is because time management is necessary in order to keep your money organized and on track. Not only will managing your time possibly open up new opportunities for a job, but with that job comes MORE MONEY (hopefully)! I also think when you aren’t running around all over the place and have your time organized well…you are more likely to not spend on the things you really don’t need (such as spending your money on eating out because you forgot to eat while you were actually home).

I found a website that provided with me 12 Money Management Tips for College Students (now, I know not all of you that use Geezeo are college students BUT, many of these can be applied to others as well).

1.) Track where your money is going – Geezeo is a great tool for this! It allows you to change the tabs on your purchases/spending so that you are able to track where all of your money is going…and where you really need to cut back your spending habits. It even sorts your top 6 expenses by tag so that you can quickly determine what may need to be cut out (for me…excessive shopping is in my top 6 for sure!)

2.) Plan by setting your goals – Make sure you set goals for yourself that you know you want to achieve. Some of them may be a reach, but by using Geezeo and seeing these goals everyday…it motivates you to keep pushing towards that goal and possibly stop spending on the things you don’t need.

3.) “Going Out” money – Lets be realistic, as a college student (or any other social individual for that matter) we need relaxing and having a good time money! You need to unwind after a busy week of classes/exams or a long week of work otherwise we would all go crazy! Just make sure you place some money into your budget so that you don’t overspend too much!

4.) Don’t spend it all at once – This one is hard. When you are all back for the first day of the semester and have no work to do yet, spending gets a little bit crazy! But if you spend all your money at once…at the end of the semester when you want to celebrate after finals, the opportunity may be lost due to the lack of funds in your accounts!

5.) Don’t overuse your credit cards – This is extremely hard, it really feels like “free money”…of course, we all know that it’s not once your bill shows up. As you may have read in my Ease of Shopping with a Credit Card blog, it is really easy to spend without even realizing it.

These are the top 5 tips that I found but you can check out the last seven here! It really offers some great advice that everyone should follow. Many of the tips they offer can be fufilled through using Geezeo as your guide and make sure you check out the other Geezeo groups that offer great advice from people just like you and me who all struggle with things such as shopping, keeping track of their money, and overusing credit cards!!

I swore I would not get caught up. And yet there I was filling out applications, taking tours, interviewing and writing essays (!) in order to apply for preschools for my 10 month old baby – which was a late start by the way.

So, how could I have let myself get so suckered in? First of all, every parent wants the best for their child and putting in the effort was far better than the guilt. Second, Kindergarten is no longer the ‘maybe learn to write your name while hoping you don’t pee your pants’ carefree class that I once knew. Nowadays, children are expected to know how to obey the rules, be accustomed to them and be ready to get to work. There’s homework now, too, I might exasperatingly add! Personally, I condone the days of yore where choosing between blue and red paint was the most pressure put on a kid, but it’s just not the reality. If a child has had no formal practice of listening to teachers and following some sort of order, they will not be ready. My fear from there is the overriding threat to my child’s self esteem when they’re not as up to speed as their peers or being put in the less than stellar group forever labeling them as “behind� and needing special assistance all because I didn’t put in the effort to find the best match to properly prepare them. Neurotic? Absolutely! But thousands and thousands of waiting lists prove I’m not alone.

All of which leads to the outrageous costs of a “good� school. Ten (yes, ten! But in my defense five in Los Angeles and five in San Diego after we relocated) preschool tours later, I can tell you there is a remarkable difference in a good school and one with a less worthy reputation. And, remember, I myself was originally a skeptic! There’s the drop your kid off neglect school versus the 5 students to 1 teacher ratio nurturing and developmental schools. In other words, you get what you pay for. Costs can get astronomical, but average $500 a month for three, half days a week. If both parents work full time and depend on other means for childcare, you generally still have another 31 hours to pay for!

To add to it, there’s a reason why a school became so fabulously recommended: they had the money to provide for their amazing program and child development educated staff. Believe it or not, these costs go beyond the higher than you’d expect to pay for finger painting tuition, but depend on additional donations. In fact, you just might find yourself bidding on your own child’s artwork! To top it off, you might be asked to help raise funds outside of your own donations which involves your time. As a freelance writer, time really is money.

The knock on my bank account door has been loud and clear (and answered) and I have to admit, we’ve gotten what my husband and I have paid for. Our son is enrolled in an amazing toddler program that includes weekly parent education and our daughter attends the preschool program, which also includes guest speaker educational nights for parents. Both kids can’t wait to get to their school and they’ve brought the values I admired when touring this particular one home with them. In other words, it’s been a tug to the purse strings, but I’m actually not complaining.

Check out some Geezeo groups that focus on kids and family finances: Financially Frugal Families and Wanting to Adopt.