Is a "Staycation" in your future?

If so, you might want to take a few tips from Laura and Tom McKanna on how to do it right. I wrote about their vacation at home in this week's column. One of the things they found was that advance planning is really important. They got their chores done before the vacation even started. Feel free to add your own tips if you've had a successful home vacation.

Want a reasonably-priced vacation? Take a look at Elderhostel

This month I had a wonderful hiking adventure in the Grand Teton National Park that ranks among the best vacations my husband and I have ever taken. We had some great hikes and saw amazing wildlife--grizzly bears, moose, elk, bison, beaver, otters and lots more. It was reasonably priced because it was an Elderhostel program run by a non-profit organization, Teton Science Schools in Jackson, Wyoming. Elderhostel offers a tremendous range of programs all over the world. The prices tend to be more reasonable than other vacation adventures because many of them are in more basic accommodations (we helped with the dishes after meals and cleaned our rooms when it was time to check out), they often are held during the off season and many are run by nonprofit groups. Most offer an opportunity to learn something about local history, culture or wildife. There is an age requirement--you or your traveling companion have to be 55 or older. But many Elderhostel partners also offer programs for other age groups. For example, both the Teton Science School and the sponsor of an Elderhostel program I attended last fall, the Great Smoky Mountains Institute in Tremont, Tenn., offer a variety of programs for children, teens, adults and families.

For those interested in seeing more, here are my Jackon Hole/Grand Tetons photos and here are Yellowstone National Park photos (a side trip not part of Elderhostel.) Click on the first one to enlarge it, then click on "next" to see each photo.

Here's a great opportunity to learn about money

Could you use some help managing your money? If the answer is yes and you live in Tampa or have transportation to get there, you might want to look into classes being offered next month by Tampa Bay Saves. Dates and topics are: June 10,  Developing a Financial Plan; June 17- Evaluating Credit Offers & Credit Scores; and June 24- Using Financial Institutions & Achieving Financial Goals. The classes will be held from 5:45pm – 8:00pm. Cost is $7. Location is the Family Support & Resource Center, 7520 W. Waters Ave., Tampa. Childcare and refreshments are provided. For more information, call the Hillsborough County Extension Service at 813-744-5519 x 137. Here's the registration form.

We're saving energy with CFLs

My husband I recently received our smallest electric bill ever, a mere 512 kilowatt hours for the month of January. While I'm sure the mild weather was the biggest factor, I'm also giving credit to compact fluorescent light bulbs, or CFLs as they are known. A couple months ago we replaced about 80 percent of the bulbs in our home with CFLs. The only negative I've noticed is that lights are not instantly at full brightness. If you are interested in replacing yours, here are a few suggestions based on my experience:

You get the most bang for your buck by replacing those lights that you keep on the longest. That means you should install CFLs right now in your kitchen and family room or wherever you have lights on the most. Then use the bulbs you removed in other areas of the house. We went ahead and replaced lots of bulbs throughout our house, but it's probably more economical to replace the less frequently used bulbs more slowly as the old bulbs burn out. Keep in mind that CFLs can't be used with dimmer switches. Replacing bulbs in closets is pretty much a waste. My understanding is that turning the bulbs on and off shortens their lifespan, so if you're only burning them for one minute at a time, they won't last as many hours. We also left in place a row of flood lamps in our living room that we rarely turn on. We saved all the receipts and the guarantees that came with the bulbs so (theoretically), we can get some money back if they don't live up to their life manufacturers' guarantees.

In the interests of full disclosure, I should tell you that we have a gas water heater and stove top, which help keep our electric bill low. (Our gas bill runs $35-40 a month.) Although we keep our house (a three-story townhouse) closed, we do several things to minimize our air conditioning bill.  We have a zoned air conditioning system. When we're using an area, we set the thermostat to 79 (77 at night in the bedrooms), and when we're not using an area, we set it at 83. We rarely turn on the heat because we have big south facing windows and the house warms up very quickly during the day (which means we use AC more often in the winter).

Do you have any energy-saving tips to share?

How's your fiscal fitness?

I put together a little quiz offering an opportunity to rate yourself on 10 key points of financial well-being. If you're up to the challenge, click here.

Here are the least expensive cars to own over five years

If you want to save money on your next new car, you might consider a Chevy Aveo (shown here). That's the cheapest to both own and operate, costing $29,362 total for five years, according to editors of Edmunds.com, whose findings are reported in Bankrate.com.

Other top picks: Honda Fit, Honda Civic, Toyota Yaris, Hyundai Accent, Nissan Versa, Kia Rio, Toyota Corolla, Mazda 3 and Jeep Patriot. Three Mercedes-Benz models top the list of most expensive cars to own and operate.

[Times photo]

What happens to my FDIC insurance if my bank merges?

Question: I have a $100,000 CD with Crown Bank and another $100,000 CD with Fifth Third. I have since been informed that Fifth Third Bank has bought out Crown Bank. Will I still have FDIC coverage on my Crown CD even though it puts me over the limit?

Answer: Yes. Your Crown Bank CD will continue to be insured separately until it reaches maturity. That's how it works when two insured banks merge. For other types of accounts (such as checking, savings, money market), there is a six-month grace period during which separate FDIC insurance continues. You can even extend coverage if a CD comes due during the grace period and you renew it for the same term. For details, check page 29 of Your Insured Deposit.

If you have other questions about FDIC insurance, call 877-275-3342 toll-free.

Want to save money? Keep that car on the road

When my husband and I went car shopping recently, the salesman joked that our 1994 Camry was getting so old we'd soon be sending it off to college. In fact, it had already been to college and come back. When our daughter graduated, I gave her my newer Corolla, took back the Camry and drove it for two more years. It had 165,450 miles on it when we passed it on to our son this month. Consumer Reports says its useful life isn't anywhere near over. The magazine, in a feature in its October issue, says if you've got a reliable car and take care of it, it should last 200,000 miles or more, saving you many thousands of dollars compared to buying a new car every five years.

What kind of car should you get? Consumer Reports says these are the best bets, based on at least three years of model reliability data: Honda Civic, CR-V or Element; Lexus ES or LS; Toyota 4Runner,  Highlander, Land Cruiser, Prius or RAV4. These vehicles are rated as bad bets: BMW 7-Series; Infinit QX56; Jaguar S-Type or X-Type; Mercedes-Benz M-Class (V8) or SL; Nissan Armada or Titan; Volkswagen Touareg or Volvo XC90 (6-cyl).

The magazine's survey of readers found 6,769 who had vehicles with 200,000 or more miles on their odometers, including a 1994 Ford Ranger pickup driven 488,000 miles.

Have you driven a vehicle more than 200,000 miles? Tell about it in a comment to this post.

(Photo credit: Getty Images)   

Got any money coming to you?

Hard as it may be to believe, money that belongs to you or your neighbors could be languishing in the custody of Florida's Bureau of Unclaimed Property. They don't look very hard to find you. In fact, just a simple search turned up the fact that our esteemed Gov. Charlie (Charles J.) Crist is owed a premium refund on his car insurance.  Although I've never found my own name on the list, I've often found friends and relatives listed.

The state says it currently holds more than $1-billion in unclaimed property, mostly from dormant accounts in financial institutions, insurance and utility companies, securities and trust holdings. That includes $44.7-million from Hillsborough County and $39.2-million in Pinellas County. Here's the Web site  to check on whether you're on Florida's list. (or call 1-88-VALUABLE). I recommend bookmarking the site and checking  periodically.

Check here for links to sites in other states.

Are you tuned in to your employee benefits?

Most companies offer at least a few employee benefits and some have a whole array of options. However, many employees focus on health insurance and forget about everything else. If you're one of them, you could be leaving important benefits on the table, from retirement savings plans to disability and life insurance to flexible spending accounts. The key questions to ask are: What are my options? How much do they cost? Does my employer subsidize the cost? Are there tax benefits in it for me for participating? Is this something I need? If you are married, you and your spouse should go over this together, reviewing information from both your employers. Here are two benefits I especially recommend:

*Saving through payroll deduction. Saving is easiest when you don't get your hands on the money. Sign up for a retirement savings plan AND for direct deposit of part of your paycheck into a credit union or money market account where it can accumulate to help cover emergencies and major expenses.

* Flexible spending accounts for health care and child care expenses. Money is deducted from your paycheck and from your taxable income. You get it back tax-free when you submit receipts for covered expenses. If you've got  predictable expenses in either category, this is a very valuable benefit. It's great for paying for day care and orthodontics.

Is it safe to use an out-of-state bank?

Q. We usually get CDs from local banks. If an out-of-state bank gives a higher interest rate, are there any drawbacks to using them? My husband thinks it might cause problems if you die before the CD reaches maturity.  What are your thoughts on this?

A. It's perfectly fine to use an out-of-state bank as long as it is FDIC-insured. (Stay away from banks in foreign countries that you see advertised on the Internet.) You can check with the FDIC to find out if a bank is insured. Call and ask about the bank's procedures for handling an account when an account holder dies if this is a matter that is of concern to you.

How can I get my retirement money?

Q. I quit my job over two years ago and the boss has never mailed me a check for the money she was taking out each week for me to put into my retirement account at the end of each year. She was putting it in the account at first, but then she changed her account to another bank so at the end of the year she would give me a check for the full amount for the year. But she didn't do it for 2004. Did she have the right to keep it?

A. If this was your money, deducted from your pay, she has no right to keep it. I suggest that you start with the U.S. Department of Labor's Employee Benefits Security Administration toll-free number at 1-866-444-3272. They look into complaints of hanky panky with retirement funds.

There also are a few other avenues you might explore: How was this money reported on your W-2 form for 2004? If your employer showed the money as paid to you, but never actually paid it, you should contact the IRS (1-800-829-1040). If subtracting this money put you below the minimum wage, you should contact the U.S. Department of Labor at 1-866-4-USWAGE.
Of course you also should contact your former boss directly and ask for your money. If none of these ideas work, it might be necessary to hire a lawyer. Don't delay. You've already waited longer than you should have.    

Pinellas residents may be able to get help hurricane-proofing homes

Pinellas families with qualifying incomes (no more than $43,500 for a family of four) who own their homes may be eligible for help making their property better able to withstand a hurricane. Improvements such as roof bracing and garage door reinforcement will be offered, but the program is limited to 75 homeowners. To apply call Vickie Justice at (727) 538-7370, ext. 337. More information is available at My Safe Florida Home and the Florida Hurricane Fund.

(Photo credit: Getty Images)

Brother can you spare a dime?

Twenty-two percent of Americans say they have no spare cash after paying their basic living expenses. Are you one of them? ACNielsen, which studies consumer markets in 40 countries, reports that only the Portugese are more likely to say they spend every dime. On average around the globe, 13 percent have no money left over.

The big danger of not having any discretionary cash is that unexpected expenses lead to debt. Not surpisingly, the ACNielsen survey found Americans who do have extra money say their top priority is using it to pay down debt. Savings come in second. Americans are less likely than those in other countries to say they would use their extra cash for vacations, clothing or new technology.

"Perhaps because the idea of living from paycheck to paycheck is so prevalent, consumers who have a little extra cash would rather use it to shore up their finances than spend it right away," said John J. Lewis, president of ACNielsen U.S.

What's your top priority for your extra cash?

(Photo credit: Getty Images)

What's the rule of thumb on savings?

Q. I am 47 years old.  My annual income is a little over $44,000. I would like to know the rule of thumb for the percentage that should be saved per month. What type of savings would you recommend for retirement savings (at my age) that is safe?

A. The old rule of thumb is that if you start saving in your 20s and you consistently save 10% of your salary toward retirement for 40 years, you should be fine. The new rule of thumb is 15%, including employer contributions to your 401(k). But that's for people who start in their 20s or 30s and save consistently over a working lifetime.

People starting later need something more personalized. You could go to a financial planner for a plan, but a quick and easy way to get started is to run the numbers yourself on a Web site such as this one. It will show you how much you need to save annually to reach your retirement income goal. You also can change the numbers around to see how much difference it makes if you earn more or less on your investments. If it is not possible to save that much, you can either reduce your retirement income expectations or work more years.

I recommend saving for retirement using low-cost stock funds (I like stock index funds myself) and either bond funds or interest earning investments such as CDs or government bonds. No investment is completely safe. Those where the principal is guaranteed (such as CDs) have other risks, namely loss of purchasing power to inflation and reinvestment risk if rates go down.

(Photo credit: Getty Images)

Our nest egg is cracked

Apparently a lot of our nest eggs bear more than a little resemblance to Humpty Dumpty. Brokerage A.G. Edwards says we Floridians are well below average when it comes to saving and investing. The state ranked 33rd out of 50, while the Tampa Bay area ranked a dismal 379th out of 500 in this year's Nest Egg Index. More small communities were added to the list this year, which had the effect of pushing the Tampa Bay area lower. Savings rates, home ownership, employment and retirement plan penetration are among the factors considered in the rankings.

Here are the areas that topped the Nest Egg list:

States: New Jersey, Connecticut, Minnesota, Maryland and Massachusetts.

Communities: Los Alamos, N.M.; Bridgeport-Stamford, Conn.; San Jose, Calif.; Torrington, Conn; and Minneapolis-St. Paul, Minn.

We listed Florida metro areas rankings in the Times. You can see complete state-by-state results and the results for all 500 communities here. Calculate your personal savings score here.

(Photo credit: A.G. Edwards)

How much is in your 401(k)?

Saving consistently pays off. For workers who had 401(k) accounts throughout the six years ending in December, the average account grew 50 percent and had an ending balance of $102,014. As you might expect, there were some big differences by age:

20s: $24,169   / 30s: $50,90  / 40s: $91,848  / 50s: $127,766 / 60s: $140,957

The Employee Benefit Research Institute says the results show the merits of continuing to contribute even when stocks are in a funk.  About two thirds of plan assets are invested in stocks, although 15 percent had no stock exposure at all. Shockingly, that included 19 percent of the 20-somethings.

(Photo credit: Getty Images)

Which appliances are worth replacing?

Do you have an old refrigerator, washing machine that's an energy hog but still going strong? Would the savings on electricity be worth the cost of replacement?

Consumer Reports Money Adviser asked that question, comparing typical models of 20 years ago to an energy-efficent model of 2005. The answer: Only the refrigerator would recoup its cost in a reasonable amount of time (7-8 years ). A washing machine would take 14 years and a dishwasher 20 years. Of course if they're not working properly, that's another issue entirely.

By the way, the Money Adviser is a great little publication.

Where would you cut first? Would you give up your takeout?

Cutting down on takeout meals is the top choice of most Americans, according to an ACNielsen survey I wrote about in today's Times. (Read the story here or click here for the ACNielsen press release.)

However, restaurant owners I talked to for the story were doubtful that their time-pressed customers would switch to home cooking. What about you? How often do you get takeout for dinner? (In my house it's typically once a week.) If you found your expenses rising faster than your income, would you cook at home more often? Where else would you cut back?