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Putting Your Best Foot Forward for Job Interviews

Guest — Tue, 15 May 2012 09:00:00 +0000

This is the third post in a series of guest blogs throughout the month of May, with each writer trying out for a staff writer spot (or two) on Canadian Finance Blog. Once all the posts are online, I’ll publish a wrapup highlighting all the writers and their guest post. There are a lot of talented writers here, so it’s not going to be an easy choice! – Tom

When Tom first announced he was looking for a new staff writer for Canadian Finance Blog, we exchanged emails and he asked me to write a guest post. As I sat down to do so, I realized I was very nervous – I really wanted to write something that would impress him and you, his readers. It struck me that this was very similar to the way I felt as I prepared for a job interview, and really, that’s what this guest post is.

As I was working up ideas for this guest post, I kept coming back to the idea of job interviews. I’m currently looking for a new position, and I do a lot of hiring in my current position, and over time I’ve learned a lot about how to present well in an interview. Since an interview can make or break your chances of getting an offer, here is what I’ve learned about putting your best foot forward when preparing for an interview.

Be prepared. Especially for professional positions, many jobs require more than an interview these days. You may have to put together a presentation, have your portfolio ready, or be prepared to provide references. Having this information at your fingertips makes you look organized and professional. On top of this, interviews make many people nervous. Being prepared helps settle those nerves as you will walk in knowing you are ready to answer their questions.
Know your audience. By this, I mean research your company to learn a little about the corporate culture. Is this a conservative office job? Visible tattoos and piercings may not be acceptable. Trendy, multicoloured hair might get you moved to the bottom of the ranks. The flip side is, if this is a casual or creative position that values individuality, those same qualities might actually be helpful!
Dress appropriately. What does that mean? Well, if you’re applying for a professional position, wear a clean, well fitting suit. It doesn’t have to be designer, but it should be the right size, and flatter both your figure and colouring. Women should avoid going overboard on jewellery and make-up; both genders should go easy on cologne. Visual first impressions matter, so choose your clothes wisely. If you’re applying for an entry level service position, or a more casual environment, then a suit isn’t your best choice, but ensure your clothes are still clean and in good repair.
Be punctual. There is nothing that sends a bigger signal to me as a hiring manager that you don’t want the job than you being late for your interview. If you’re not going to value my time now, why should I expect you to value it after I hire you?
Research the position and company. Yes, I know this is “common sense”, but it is worth repeating. I have learned the hard way that a quick skim of a company’s website is not enough research. I had an interview years ago where I wound up looking silly because I didn’t take the time to learn the basics about the company, and I mixed them up with one of their biggest competitors. (Not surprising, I didn’t get the job). As well, learn some of the basics about the position. I have turned away people from entry level customer service jobs because they didn’t take the time to learn even a little bit about what our business and the job is about. If you want to be a barista at Starbucks, you should be able to tell the hiring manager why you’d be a good one!

So there you have it – five key points to preparing for any job interview. If you follow all five of these points, you’ll already be doing more than at least 50% of the rest of the candidates, which improves your odds of impressing the hiring managers – and you getting the offer you want.

Author Bio: I’m Kris of Balancing Money and Life. I’m a Canadian customer service manager, wife, mother and triathlete who is trying to find ways to pay down her debt while still balancing all the other aspects of her life! I blog at both my finance site and at my fitness site where I chronicle my passion for all things triathlon. Although I trained as an accountant, I’ve been writing since I could hold a pencil, and through finance writing can combine both.

Putting Your Best Foot Forward for Job Interviews originally appeared on Canadian Finance Blog on May 15, 2012.

Marrying For Money and Earning Potential

Teacherman — Mon, 14 May 2012 09:00:43 +0000

I sometimes find it interesting how many people automatically jump on the idea of marrying for money, or the earning potential of a partner. Of course, if that is the ONLY reason that you are marrying someone you’re probably going to run into problems, but to pretend that the ability to contribute to an increased style of living has no bearing on relationship choices is ridiculous. This is especially true when you consider how many relationships run into trouble specifically because of financial decisions.

Evolution or Devolution?

It has been fairly well established at this point that women have been biologically predisposed to wanting a partner that will provide for them. This is a leftover from our old hunter and gatherer days when the physical strength of men, as well as a certain type of intelligence was highly prized as one of the only means of providing food. Naturally chicks used to dig a caveman that could feed them, and their future children. Eventually it became instinctual (or so those science types tell me). So who can blame a gal then if she is attracted to a dude that will continue to put food on the table for the family… and a nice car… and a sweet yearly trip… and a mansion etc. It’s in the DNA for crying out loud! To pretend it isn’t there, and to try and look down on others is a bit much. All other things being equal between two potential partners, I don’t think there are too many people that would choose one with lower earning potential. There are reasons why people continue to write bestselling books about how to meet wealthy guys after all (hint: shop in the grocery store in the ritzy part of town).

Are Women The New Alphas?

One of the really interesting things to me is to watch this dynamic become sort of reciprocal as we go through this paradigm shift that is currently place within the workforce. If women’s instincts have honed over years to zero in on the dude that will let them live in style (whether that means eating meat twice a month in 10,000 BCE, or driving a BMW on Desperate Housewives in 2012), what have men’s instincts become? There is little doubt at this point that women will begin to supplant more and more of their husbands as the breadwinners in the relationship (especially in North America). Many more women are going on to post-secondary education than men are, and the traditional idea of “man’s work” doesn’t match up well with the current information-based economy. Will men begin to adapt and look for women that can provide for the family, as well as produce offspring? I know that I encourage my male high school students to pay attention in class so that they can attend university. When many of them ask why that is important, I merely reply that there are now 3 girls for every 2 guys at most North American universities. If they can’t do that math, they don’t deserve a girlfriend. Never underestimate the power of 16-year old male hormones!

Ah… High School, Some Things Never Change

In the high school world that I inhabit on a daily basis the traditional shallow values still hold sway. Alpha males are still the jocks that pick on the “nerds” and the ability to provide is still determined by who has a decent after school job. Whichever girl has the usual eye-catching attributes generally continues to rule the roost. While many adults (or at least those in the staff room) tend to look down on these relationship criteria, is it possible that the ones that govern adult relationships are just as shallow, albeit better camouflaged?

Marrying For Money and Earning Potential originally appeared on Canadian Finance Blog on May 14, 2012.

Best Inexpensive Commuting Bike Options

Alan Schram — Wed, 25 Apr 2012 09:00:37 +0000

Last week I wrote about a couple of different commuting options – including bicycling to work. The potential savings can be quite impressive, but the cost of biking can get quite high as well, especially if you haven’t got any equipment at all. For example, in order to save a lot of money by biking to work, you’ll want to minimize all other transportation costs. That might mean that you’ll take the insurance off your car for a few summer months, or sell your car altogether. If you do so, you can potentially save thousands of dollars as well as get into better shape as you force yourself to commute to work. In order for that to happen though, you’ll still need to acquire a lot of equipment that can cost a lot – and that’s not even including the bike itself.

The Bike

What’s the best, yet most inexpensive bike for commuting? To be honest, you don’t need a specific bike type for commuting. Some people use road bikes, a lot of people use mountain bikes, some people even ride BMX bikes. As long as it has two pedals, two wheels, and rolls forward, you can get to work on your bike. Now, you might be a lot more comfortable on one bike type rather than another, so you do have a couple of options to consider. If you live a long ways from work, and if you like to go fast, then you’ll want to get a road bike. They’re a little less comfortable to ride, especially if you’re not use to them, but they offer you the best chance of going the fastest, the farthest, and will the least energy spent doing so. They’re designed for riding on the road, and they do it well. Your other major option is to buy a commuting bike. These offer a more upright riding position, which is more comfortable, but doesn’t deal as well with long distance rides or maximizing pedal efficiency. They often come with options like panniers, lights, or baskets pre-installed. If you need to carry a bunch of things with you to work or from the grocery store, this is the better option. If you live a long ways and can store stuff at work, then go with the road bike.

If you’re unsure, and you want to prioritize saving money, then go with the most general purpose bike of all – a mountain bike. A few simple adjustments can make any mountain bike into a great commuter. Put on some skinny slick tires, remove unnecessary attachments, and add some fenders or a bag and you’ve got yourself a commuting bike. Find a good brand used, either from a used bike dealer or off of your local craigslist, and you’ll save hundreds of dollars purchasing your bike. I just bought a mountain bike for 1/3 of its retail cost off of craigslist, used lightly for two seasons, and after spending ~ $30 on tires, tubes, and a pump, I had a great little commuter that I’ve been riding around.

If you want to buy something new, you’ll be looking at a minimum of $500, and anywhere up to $2000.

Examples

Giant Revel 3
Trek District

Equipment

What else does your bike need to make it into a legitimate commuter? If you’ll be riding at night, or near dawn or dusk, you’ll need lights. Do not rely on reflectors, they’re simply not good enough. Invest in some quality lights with rechargeable batteries, and you’ll be set for commuting. Everything else can be optional. If you need to carry things back and forth to work, see if you bike can handle mounts for some panniers. It takes the weight off of you and puts it onto the bike. Make sure the bags are waterproof, and try to store them somewhere dry when not in use. If that’s not an option, get a backpack that’s comfortable to wear, waterproof, and designed to be used while on a bike. There’s a bunch of options at your local sporting goods store, ask them for their suggestions. You don’t want to skimp here, especially, as being uncomfortable while riding a bike is a horrible experience, and may prevent you from commuting on a bike entirely.

Some people will try to argue that you’ll need to take extra tubes, a bike pump, tool kit, etc, when you’re commuting. It depends on your situation, but if you live close enough to your work that you can get your significant other to come get you just in case you got a flat, or if you have a co-worker you can call to come grab you, then I wouldn’t bother with all the extra weight for such a slim chance of something happening.

Examples

Rear Pannier Rack
19L Pannier
Deuter Compact Urban Pack

Clothing

You’ll want to invest a little bit in some commuting clothing. If you stick to only biking on days when the weather is nice, and if you take your time while riding to work, you can definitely just ride there in your business clothes. Lots of people swear by it, and I have a couple of co-workers who happen to do just that. If you’re like me, however, and have a really hard time just “taking it slow” when you’re on a bike, you might want to get some clothes to commute in, and then bring or store some other clothes to change into once you’re at work. At the very least, you’ll want some cycling shorts to wear under whatever else you’re wearing. The more you’re biking, the more you’ll want to be wearing some of these.

The gnarlier the weather you ride through, the more expensive your clothing options are going to be. A good lightweight, weatherproof but breathable jacket is going to start at about $150 and up, and pants will most likely be the same. Then there’s the option of getting lightweight or heavyweight layers, gloves, headwear, the list goes on.

Examples

MEC Jacket
Showers Pants

If you add it all up, or if you decide you need to purchase it all at once, you’ll find that cycling can definitely be an expensive way to get to work. If you compare it to going by vehicle, it definitely is a lot cheaper, however. How much you’ll save will depend on how committed you are to switching from driving to cycling. Savings can be had, but it will take a fair bit of an investment first, as well as the willingness to park your car for awhile.

All is not lost, however. Even if you decide to just bike to work some of the time, in the end, you will be saving money, as well as getting into better shape. After you spend the initial investment, the only “upkeep” costs you’ll have for biking to work is annual bike maintenance ($70-150) and perhaps replacing a few small parts (tubes, tires) on an irregular basis.

Best Inexpensive Commuting Bike Options originally appeared on Canadian Finance Blog on April 25, 2012.

Teaching Is A Great Job If You Want To Start A Side Gig

Teacherman — Tue, 13 Mar 2012 09:00:35 +0000

I am often astounded by the hours that other bloggers out there keep on a consistent basis. Many of these authors are trying to get ahead of the game, and are aggressive in their day jobs and/or have young families. This results in them often coping with six hours of sleep or less. This is definitely one of my weaknesses as a human being. I never sleep past 8 AM, but I do need my rest to be at anywhere near full capacity. I function best if I’m in bed by 11 PM, then up again in 7-8 hours. If I get below 7 hours of sleep my productivity drops dramatically. All this to say, my job gives me several advantages as a blogger that I am happy to exploit.

Canada – The Land of Milk and Honey… and Happy Teachers

Before I go in-depth about why teaching is such a great job if you want to start a side gig, I should mention that all of my statistics are specific to Canada. There are slight differences across provinces, but overall, we are pretty equal. This is not so for the USA and other places. Many of my friends that teach in the States make much less than I do, and this would obviously make the job slightly less appealing (most teachers don’t do for it for the money, but I wouldn’t do it for free either).

There is considerable debate about how much teachers should get paid. I know that my union is absolutely relentless in pushing our agenda. Some believe that our job is extraordinarily important and that we should be paid more than we currently do, while others believe that we are merely babysitters who get 3 months a year off. The truth is probably somewhere in the middle. I honestly believe I get paid very well for what I do, and there are probably not many people that can say that about their job. In order to pursue a side gig, like starting an online business, it is very nice to have a stable safety net. My job is the definition of that. In my permanent teaching position, my job security (thanks to the aforementioned ultra-strong union) is unparalleled. I started at around 50K last year, and my raises are locked in over a 10 year period. In Manitoba, most teachers “max out” at around 80K a year, and we ensure that we stay very close to inflationary numbers in terms of raises (if not higher) whenever our contract comes up.

The financial-related benefits in teaching are worth mentioning as well. Sure there is the pension, but as I’ve mentioned before, that isn’t as great as some believe it to be. Most investors could easily replicate the process if they merely had the discipline. The real savings come in the form of large group life insurance, health care plans, dental insurance, and other negotiated benefits that are often subsidized heavily by the provincial government and/or administered by our union. This keeps costs low, benefits high, and most of all, it saves copious amounts of time in terms of comparing rates. I realize that I am very fortunate to have this low maintenance security and stability. It allows me to not only focus more on my teaching career, but also on a side gig without those distractions.

So How Hard Do Teachers Really Work?

There are not many more controversial questions out there than asking how hard teachers work. It is worth considering when you look at the careers that other side gig operators have. Here is the answer I usually give to people when the question is posed to me: Good teachers are probably worth well over 100K a year. They inspire people, make a huge difference in lives, and generally improve society in all kinds of ways that would be shocking if you could quantify them into dollar signs. Bad teachers probably deserve close to minimum wage. Many do literally no prep work, give out high grades to prevent parent complaints, and generally just fly under the radar. Most teachers are somewhere between those two extremes, but since we seem hell-bent on fighting any form of merit pay, this is the reality of the situation.

The typical teacher’s schedule is very cyclical. There are a few days a month where I do get out of the building before 4 o’clock. There are several weeks during the year when report cards are due and/or I’m coaching sports teams, that I easily put in 70 hours. I personally prefer to get into class early, and I’m almost always at school an hour before my students, but then again, I know many teachers that aren’t. The bottom line is that teaching allows me to have huge chunks of time off. A two month summer vacation, a week-long spring break, over two weeks at Christmas, and several long weekends a year, are invaluable to someone starting their own business, especially an online one. Right now for example I am blogging to save my life and don’t have many reserve posts, but with spring break coming up I hope to be able to stockpile enough posts to get me to summer. The teacher’s summer vacation is an entrepreneur’s dream. Two months of funded freedom to pursue your own ambitions. Can’t beat that.

Flexible Time

If a teacher has a permanent contract within a school division, they can usually be easily accommodated if they want to scale back their hours. It is a little more difficult if you want to take on more working time, but if you’re patient and willing to be flexible in the courses you want to teach, this is usually able to be accommodated as well. If I ever get to the point where my side gig makes me a ton of money, I would definitely consider going half-time. The other neat thing that most school divisions now have, is an administrated year off (sabbatical). If you choose, the school division will automatically deduct a pre-determined amount of your wage from your paycheck and then pay it back to you as you take one year off to “re-charge your batteries” or start a side gig! This is actually interesting from a tax-savings perspective as well.

Work Hard, Play Hard… Then Do Your Side Gig

I know many teachers out there are going to jump all over me for saying that educators aren’t the most hard done by bunch around, but we have it pretty sweet (in Canada anyway). Even those of us that put in extra hours are amply rewarded for it, and the flexibility we have on both a daily, and a career basis enables us to build a schedule largely around our side gigs. When I compare it to the schedules many of my blogging friends keep, there really is no comparison.

Teaching Is A Great Job If You Want To Start A Side Gig originally appeared on Canadian Finance Blog on March 13, 2012.

Does Where You Live Matter?

Nelson Smith — Thu, 23 Feb 2012 10:00:12 +0000

You’ll probably all make fun of me for this, but that’s okay. I live exactly 3 blocks from the house I grew up in.

Hmm… no Momma’s boy jokes yet? I’m sure there will be some by the end of the post. Or, at least in the comment section.

Anyway, you can probably imagine the reasons why I live so close to my parents. My family is important to me, so I wanted to be close to them. I think the neighbourhood I live in is wonderful – there are all sorts of mature trees, it’s quiet, it’s flanked by all sorts of nature and the yards are ample, which isn’t a priority for developers these days. We live in a small town, which means housing costs are reasonable. And although now place will ever be entirely crime free, it sure does seem like my small town is.

Meanwhile, I can see the appeal of a larger centre. Opportunities are definitely more plentiful, especially if you’re in a more specialized field. There’s always something to do in the evenings, and seemingly countless single members of the opposite sex – assuming you’re looking. Everything from medical facilities to libraries are generally better in larger centres than smaller ones. There are all sorts of advantages to living in a big city.

But, is it all worth it? Does it matter where you live? In many instances, I’d argue you’re better off living in a small town. Here’s why:

Cost of Living

The 2 large centres closest to me are Calgary and Edmonton. The house I live in, would be worth approximately $150-200k more than the house I live in here.

Assuming I take out a 25 year mortgage at 4%, I’m looking at $800-$1000 more each month just in the costs of my mortgage alone. Add to that higher property taxes (since the property is worth more) and we’re looking at some serious extra cash going out the door each month from the increased cost of living.

Yes, there are admittedly jobs that you can only find in big cities. If your job is the starting goaltender for the Calgary Flames, I’m pretty sure you’re stuck in Calgary. (You’re probably not too worried about the cost of living though) But what about if you’re a nurse, or a teacher, or any other job that pays pretty much the same across your province? Is the increased housing costs really worth the extra benefits of living in the city?

Transportation

Here’s something you probably don’t know about small towns: they attract all sorts of people on fixed budgets. Why exactly?

Well, it’s simple. One, you have lower housing costs, and lots of smaller, older houses that rent cheaply. Two, small towns tend to not be so spread out, meaning you can easily find a place to live that’s central enough you don’t need a car. When you’re on a limited budget, those two things are very appealing. Sure, there’s little in public transportation, but the occasional cab trip solves that.

Even if you’re one of those people who likes bicycling everywhere, small towns have less traffic to deal with, making your commute both faster and safer.

Most of us in small towns do own cars. Imagine how nice it is to be able to get anywhere in town in less than 5 minutes. We barely know what rush hour is. Whenever I’m late for something, I always joke it’s because of traffic. You see? If you live in a small town, traffic jams are just a punchline.

Less Competition

In many of the professional fields in my town, there’s very little competition. There’s a shortage of doctors, mostly because doctors aren’t usually too interested in going to small towns. It’s the same thing with lawyers, accountants, dentists, and probably another half dozen professions I can’t think of.

Even if you’re just some guy who works in the oil field, less competition means more opportunity for you. If many of your co-workers are just itching to leave for a more exciting place, that increases your chances of succeeding in the place you already are.

One Horse Towns

One caveat about living in a small town. You have to make sure they town is big and diversified enough to not be dependent on one industry or one company.

My Dad grew up in a small town in Saskatchewan. In the mid 1980s, the lumber mill which employed a quarter of the town closed down. Not surprisingly, real estate values sunk close to 50% over the next few years. Unemployment was everywhere, and you had a workforce that was good at working at a lumber mill. Over the past few years, the town has finally begun to boom again, thanks to the natural resource boom. In the meantime, it was a bad time to live in that town.

Be careful when picking a small town to settle down in. If you find a good one though, there’s all sorts of advantages over a big city. Hey, you can even move into my neighbourhood. Just be quiet after dark.

Does Where You Live Matter? originally appeared on Canadian Finance Blog on February 23, 2012.

5 Best Ways to Invest in Yourself

Guest — Tue, 21 Feb 2012 10:00:00 +0000

There has never been a better time to invest in yourself than right now. I say that with absolute certainty because it is always a great time to invest in yourself. And since life isn’t a dress rehearsal, I say it’s always smart to expand your horizons. You never know what you might discover.

But having said that, it’s also true that you have to be clever about how you invest your time and money. You don’t want to squander precious time and treasure needlessly. Here are the 5 best ways to invest in yourself in order to get the most bang for the smallest amount of bucks possible.

1. Interview Successful People

No, I’m not asking you to get thick glasses and try to be a Geraldo Rivera wannbe. But I do suggest that you tap in to the talent and knowledge pool you have all around you. Talk to the people who have what you want and ask them to share their secrets with you. This won’t cost much and it’s an invaluable resource. And don’t worry, people love talking about themselves to others. You’ll get plenty of takers.

Make a list of your most successful friends, family and acquaintances and ask them if they would agree to have lunch with you. During lunch, try to get inside their heads by asking questions such as:

What was the single most important thing you did to become successful?
What mistakes do you wish you would have aided?
What advice would you give to someone just starting out right now?
What would you do differently if you were starting over?

One question will lead to another. Let it flow. Try to really understand the foundation of the success the people you interview built their lives on. Look for common traits and decisions among the successful group of people.

At the end of the meeting explain that you really want to be successful and want to talk to as many successful people as you can. Ask the person you’ve just interviewed for names of other people she thinks you should talk to.

2. Side Business

There is no better way to learn about success than putting your own money on the line. And the smartest way to do that is to start a small business. It doesn’t matter so much what the business is. It matters that you go for it.

Don’t be intimidated. You’ll learn as you go. Start very small. It’s far better to risk your time than your money – or the money of your friends and family. If you simply must invest money, don’t lean on your credit cards. If you have limited resources and are convinced the business is strong, consider using a company like Lending Club rather than more expensive sources.

But remember, there are plenty of great small business ideas you can find by simply looking around and some of the very best won’t cost you a cent to launch.

3. Read Right Not Wrong

There are plenty of great resources on the web. A site like Canadian Finance Blog is a perfect example. And if you are looking for a great book on success, read every Dale Carnegie book you can find. But don’t overload yourself. You only need a handful of ideas but you need to stick to them. Don’t waste your time reading every book on success you can find. Success is about action. Go out and do it.

4. Start Investing Now

No matter how much money you have, you can start investing right now. Don’t think you have to have it all figured out. I have been investing for over 30 years and I’m still learning. Don’t put too much money on the line when you are unsure of what your are doing. If you are just starting out, take advantage of websites like Betterment. This site is perfect for beginners. For a very small fee, they educate you on how to invest and they actually do the investing for you once you get set up. The sweet part is that they do this for you without any transaction fees. Me Likey.

5. Low Salary

Many people think the they must get the highest paying gig they can find but it’s not true. During your career, you’ll find that it might make sense to take a low paying job if the experience and exposure warrant it. When I graduated from college I took the highest paying job I could find and it was a huge mistake. Within 8 months I quit because I just couldn’t stand it. I would have been far better off had I simply considered the best career move rather than focusing on getting the fattest pay check.

Author Bio: Neal Frankle is a Certified Financial Planner and owner of Wealth Pilgrim, one of my favourite personal finance blogs. His most recent post was his Prosper Review.

5 Best Ways to Invest in Yourself originally appeared on Canadian Finance Blog on February 21, 2012.

Perks or Pay? What Makes a Job Worth It?

Tom Drake — Mon, 06 Feb 2012 10:00:00 +0000

When times are tough, many people express gratitude just to have a job. However, when you have time to think about your job, and when times are a little less tense, you have a little more leeway in terms of your ability to do the job you want. And, as a result, you can decide what is more important to you: Perks or pay.

Pay vs. Perks

For some workers, money isn’t everything. You might have, in the past, done a job that, no matter how much you were paid, it didn’t seem worth it to do the job. Additionally, there are times when non-salary perks are better than having extra pay. Some of the perks that can really make a company good to work for include:

Inexpensive on-site childcare
Gym membership, or on-site gym or fitness room
Excellent health beneftis
Flexible personal time off (paid or unpaid)
Flexible work hours
Coupons and promotions
Food and snacks available
Pleasant work environment
Ability to telecommute at least a couple days a week

A company might offer any number of perks in addition to regular pay. In some cases, the perks offered by one employer might outweigh better offers of payment from another potential employer.

There are some instances in which an employee might even be willing to forgo some payment for flexibility in a schedule, or for extra days of unpaid leave. Perks like good food in the cafeteria and on-site childcare might also be desirable. There are a number of reasons that you might be willing to accept a little less pay — especially if it benefits your life in some other way.

Money Isn’t Everything

While it’s true that money is necessary to buy the necessities — and some of the comforts — of life, it isn’t everything. You might value more time with your family, or you might want better benefits. The flexibility to choose certain hours, or telecommute on some days, can be worth more than extra money. Indeed, there are those who won’t work overtime, even though it means more pay, because they would rather spend the time in other pursuits.

Consider your situation, and whether or not you might be happier with better perks. There are companies that offer good work environments, as well as opportunities for you to gain recognition for your hard work, without paying huge salaries. You can earn enough money for your needs, and some of your wants, and enjoy the perks that come with your job. In many cases, that can mean an improved quality of life.

Earning a lot of money can provide you with luxuries. However, if you spend a lot of time working, and you don’t have time to do what you enjoy, it affects your quality of life. Additionally, you might not be happy with your job. If you don’t enjoy where you work, what you do and your co-workers, it becomes tedious to go to work. If you can choose a job with perks that increase your quality of life, pay may not be as important. Consider your options, and evaluate your priorities and preferences. Decide what works for you, and whether a job with more perks might be right for you.

Perks or Pay? What Makes a Job Worth It? originally appeared on Canadian Finance Blog on February 6, 2012.

Is College In A Bubble?

Nelson Smith — Thu, 12 Jan 2012 10:00:55 +0000

This is the third and final instalment of our Thursday bubble series. The first part looked at Canadian housing, while the second looked at gold. This one is a little more, shall we say, contrarian in nature.

These days, I don’t know anyone who will discourage a young person from going to college. (Except me. Plug alert!) Haven’t you heard the studies? You know, the ones that say that college graduates make more than their lesser educated brethren? Or the ones that argue the difference can be as much as a million dollars over a lifetime? If you’re not going off to get some sort of higher education, you’re missing out.

I won’t discourage anyone from attending post secondary if they want to. Higher education is a noble goal, and often one that will directly result in higher wages, since we live in an increasingly specialized world. Often, companies won’t even look at a prospective employee if that person doesn’t have the relevant university degree. A college degree is becoming the minimum barrier to entry in a lot of fields.

Keep in mind though, there are alternatives, especially for those poor students out there. Trade school generally takes a fraction of the time a full university degree does. You can start at the bottom rung of a big company with the assurance that you’ll eventually move up the ladder. You can even take a few years off to hone your ability to study. The possibilities are endless.

But we’re not here to talk about the pros and cons about getting a degree. We’re here to talk about the crippling debt levels.

Massive Debt

The percentage of high school graduates who go on to take college courses is at a record high. And, partially as a result of all this demand, debt has also reached record highs. It’s not uncommon for 22 year old kids to finish their university programs with $30,000 to $50,000 in debt, and that’s just from (comparatively) cheap Canadian schools. Students from ultra-expensive private schools often graduate with 6 figures in debt.

And then, we have the for-profit schools in the United States. (Also in Canada. But there’s not nearly as many of them.) These money making institutions often push strictly online courses, since housing students in virtual classrooms is considerably cheaper than real ones. These schools allow you to study at your own pace, a great solution for someone who wants to work and get a degree at the same time.

There’s just a couple problems. Firstly, they’re expensive. To counter that, students do what they’ve done for decades – take out loans. These schools make it easy, often holding the student’s hand throughout the whole loan application process and encouraging them to take out as much as they can. Hey, it’s good business to make sure your customer doesn’t run out of money halfway through purchasing your product.

There’s just one problem. Dropout rates at these types of colleges are huge. There are many reasons for this. It’s tough to work and go to school at the same time. If you’ve ever seen the ads promoting these schools, they’re often directed at people who don’t have a whole lot of education to begin with, or people who have been out of school for years. These people aren’t typically the best students. These people often end up with nothing more than a shattered dream and high student loans.

College debt is getting to the point where people can’t afford to take on the level of debt required to get the education.

Worthless Degrees

And then we have people who are taking on all this debt to get a degree that has very little potential to be leveraged into anything more than pouring coffee. Usually these degrees are in the arts, but there are exceptions. Or, so many people are getting into a field that they’re creating an oversupply of workers, kind of like the tech industry circa about 2003.

Which brings me to an interesting theory. As economic conditions worsen, young people can’t find jobs. So instead of joining the workforce, they go to school. Some will enrol in an undergrad program, while others will continue their education and take their masters. At some point, all these people will enter the workforce. And, since education is an investment of time as well as money, often these graduates will enter a decent job market. But, the job market improves for everyone, not just college graduates.

With college participation rates sitting at record highs, is this the peak for education? Or, will society continue to specialize to the point where everyone has to get some sort of degree? The comment section is all yours.

Is College In A Bubble? originally appeared on Canadian Finance Blog on January 12, 2012.

Should You Work For A Small Business Or Large Corporation?

Nelson Smith — Thu, 08 Dec 2011 10:00:50 +0000

Like everyone reading, I’ve had a few jobs in my life. When I was a wee teenager, I worked at the local Dairy Queen, where I attempted to eat my weight in Blizzards on a weekly basis. From there I went to work at a supermarket, followed that up with a brief (unsuccessful) forage into being a mortgage broker, before ending up as a sales rep with a snack food company, where I’m currently employed. I’ve worked for a few dozen different supervisors, along with spending some time supervising people. I’ve worked independently and as part of a team. I’ve started as an entry level employee and risen up the ranks. A lot of you have also probably experienced similar career paths as mine.

Without naming the company specifically, (hey, Tom might get sued… for some reason) let me tell you about the supermarket I worked for. It’s a small chain, entirely based in one province. The founder of the store has since passed on the day to day operations to his kids. It’s the kind of company where, even after being gone for a few years, I could still get most any member of management to return my phone call. Even though this chain has grown into a respectable operation, it is still ran like a locally owned family business in a lot of ways. I enjoyed working for them. Without a doubt, that was the hardest job I’ve quit.

Meanwhile, let’s compare that to the large corporation I work for these days. (Remember, no names. So no begging in the comment section) Whenever I want to talk to anyone besides my direct supervisor, I’m asked for my employee number. I’ve literally only met about 15 people who work for the company. Often, getting even the simplest tasks accomplished means talking to at least 2 different people. There seems like there are more middle managers that employees. Those of you who experience this on a daily basis, raise you hand.

I hope you really did raise you hand. That would delight me.

So, which is better? Working for a small business, or a large corporation? Let’s look at the positives and negatives of each.

Working For A Small Business

I’ve noticed that, just about always, small businesses are more efficient than their larger counterparts. This is a necessity for small business, since often they only exist because they serve some small niche large business can’t be bothered with. As the business increases in size, so does waste, since inefficiencies tend to go hand in hand with growth.

As an employee, this can be both good and bad. You can get the satisfaction you’re building something real, along with the camaraderie that comes from working on a small team. You actually know the owner of the company, and can go into his office whenever you want. There’s no dealing with a seemingly endless line of middle management. Having the boss’s ear can also mean your ideas will actually be implemented, providing they, you know, don’t suck.

Meanwhile, as a negative, it’s just about universal that a small business owner is more demanding on their staff than a manager is in a large company. Your productivity will actually make an impact on the bottom line of a small business. Decisions at this crucial growing point, such as whether or not to get small business insurance, hire additional resources, or expand product/service offering, can have a drastic effect on the success of the business. Depending on your personality, this can either be a great motivational tool or a constant source of resentment.

Working For A Faceless Corporation

Let’s face it: a middle manager in a large corporation doesn’t care about your performance nearly as much as the owner of a small business. Even if part of your manager’s pay is a bonus based on performance, your individual performance usually doesn’t have a very big impact on that bonus. The result is, at least most of the time, a boss that’s a little easier to work for. It’s a whole lot easier to care when you have actual money invested in your own company.

Another perk of working for a large corporation, at least depending on your perspective, is the ability to just blend into the crowd. You can easily just do enough to justify your existence, without having to bust your hump too hard. Middle management will most likely be too busy doing some sort of pointless paperwork to even notice anyway.

This brings us to the main negative part about working for a large company, something I touched on earlier. Which is, the amount of red tape that’s needed to do stuff. It takes about 8 weeks for my company to reimburse expenses. Hiring someone often takes weeks as well, including interviews with about 3 different middle management types. Even trivial things have to be approved by someone in the right department, who is usually swamped because she’s too busy approving trivial things. It’s like a perpetual motion machine of uselessness.

Which Should You Work For?

This is kind of a big moment. We’re about to decide the rest of your working life here. Can we get a drum roll?

You should work for… the government.

Think about it. There’s job security. They have terrific employee benefits, including the best pension plan you’re going to get outside of being the president of Zimbabwe. If you go into something like medicine or teaching, there’s always going to be demand. Whenever the government lays people off, they usually do so by attrition, meaning they just simply don’t replace people who quit or retire. The unions are strong, meaning there are plenty of sick and personal days.

Or, you could be an entrepreneur. Those people seem to like it.

Should You Work For A Small Business Or Large Corporation? originally appeared on Canadian Finance Blog on December 8, 2011.

3 Ways to Get a Raise

Alan Schram — Wed, 02 Nov 2011 09:00:04 +0000

There’s a lot to be said about frugality. The more you can do with the money you have, the richer you will feel. A lot of frugality is easy to do, feels rewarding, and gives you great benefits. But frugality can only take you so far. Eventually, there is just not enough hard cash to go around. Maybe the needs of your family have changed, or maybe you’re just sick of pinching every single penny. Sometimes, you just need to make more money.

The easiest way to make more money is to simply work more. Get more shifts at work, do some overtime, or get a second job. This way is easy because you’re simply exchanging more of your time for some more money. However, this is not always advisable. Working more means you’ll be more tired, more worn out, and have less time with loved ones. What’s the point of making more money if you are unable to enjoy it? So while getting a raise at your current job is definitely harder, it is far superior. It’s better to get more money for the same amount of work. So here are three techniques you can try to use to get a raise.

Make Your Boss Look Good

Bosses are just like you. They want to do well at their job, and the less they have to do in order to get good results, the better. So if you do the leg work for them, they may just be willing to remember you when it comes time for salary reviews. For example, at my last job there was some a project that needed to be done, and no one was doing it. It wasn’t my responsibility, it was the responsibility of the pay group above me. However, the task needed to be done and it wasn’t getting done. So one day when I approached my boss and asked him why it wasn’t being done, he simply said that no one wanted to do it, and so it kept getting pushed off. I instantly volunteered to do it for him, and he agreed. This way, he gets the credit for getting the project done, and I get to look good for my boss. In response, he ended up giving me a performance bonus at the end of the month.

Ask

About 6 months before your next performance review, request some time with your supervisor. At that meeting, ask what you need to do in order to get a raise in 6 months. Set two or three goals with your supervisor, and get them in writing. Then, meet or exceed those expectations. These can be any goals, from improving sales by 10%, or bringing in 3 new clients each month, or simply arriving on time for work each day for those 6 months. These goals will completely depend on your role and job. When it comes time for your performance review, bring the written agreement you had, as well as documentation that you met or exceeded each of those goals.

Compare Salaries

Do you want to get a raise because you feel you are underpaid? Perhaps you are. Start looking for a new job doing the same role you currently do. See what type of salary they are offering. Is it significantly more than you are getting paid? Document this information, and wait for the right moment to ask your employer for a raise. Shortly after they’ve praised your work, for example. Simply state that you enjoy working the company, and that you’d like to continue to bring value to the company, but that there are plenty of companies that are offering better compensation for the same work. Ask that your employer attempt to match the salary. If you do this, however, make sure you are willing to actually leave the company to work for a different employer should they decide not to give you a raise.

When was the last time you were able to get a raise?

3 Ways to Get a Raise originally appeared on Canadian Finance Blog on November 2, 2011.