This Month in Social Media

Here's a round-up of my social media news and analysis from the last few weeks (from Examiner.com):

Can you judge a person by her Facebook cover?: A Canadian woman loses her benefits for depression because of her Facebook photos, and we wonder: Is Facebook a good judge of character? One study suggests it might actually be.

Listening to music online gets easier: TubeRadio.fm is a fun new way to turn YouTube videos into an iTunes-like playlist.

Sorry Oxford, it's 'defriend': The Oxford American Dictionary made "unfriend" it's word of the year. Bravo for recognizing social media lingo! ... but isn't the word totally "defriend?"

Frugalista: How to Budget Big Purchases

FAQ: So now that I have a budget, what do I do when I have a big purchase that surpasses my budget?

Let's face it, week to week you might be over and under the ol' budget. For instance, you might have to buy two bridesmaid dresses when two of your best friends decide to get married in the same week (you know who you are!). Occasionally you might need to use your credit card or tap your emergency savings. But before you do those things, consider the no-interest loan you can tap (and it’s not your parents): “Borrow” from yourself.

It's great to save ahead for big things, but believe me, I know that doesn't always work. So you might have to "save in reverse," meaning that if you make a big purchase, you can deduct from future budgets. For instance, let's say you have to buy a $250 dress; you can buy the dress and take $50 off your budgets for the next five weeks.

If your budget doesn't allow enough leeway to pay that much upfron, just don’t save any money that month. Write your savings an I.O.U. and when your budget is all caught up, you can contribute double.

Retirement and Generation Y

Those two concepts don't really go together for a lot of us. That's why some financial experts suggest we stop talking about helping Generation Y save for retirement and rather talk about saving for a "future." For me, "retirement" kind of conjures up golfing and Florida and cynical views about Social Security, and "future" sounds more like a European vacation. "Future" broadens the scope of what we are saving for to include whatever we want to do; maybe we won't stop working, but we still are likely going to need some savings.


As part of a series in PLANADVISER about how different demographics (and how financial advisers can help them), I wrote about how Generation Y is saving (or not saving) for the future. I found out some interesting stuff during the process of reporting. On one hand, Generation Y is really interested in saving, but, like all Americans, we are behind at actually doing it. Remember, we never learned financial literacy in school. As Good Morning America's Mellody Hobson says, it continues to boggle her mind why “you can take an elective in woodshop or auto, but take nothing about investing.”

Despite those sub-par American savings habits bestowed on us at birth, many financial firms and experts I interviewed have some optimistic things to say about the future wealth of America. To generalize, Generation Y is interested in investing, and doesn't want to make the same mistakes as our parents. We are particularly interested in responsible investing. Our reputation for being socially conscious translates into the desire to invest for good (e.g. investing in "green" companies, not taking on more risk than we can chew, etc.).

The bad news is, many members of Generation Y aren't actually putting money away. Survey after survey shows that many young people do not participate in their workplace savings plan, such as a 401(k). I won't say that contributing to a 401(k) makes sense for every situation, but many young people miss out on free money and tax benefits.

It will be interesting to see how the financial crisis affects the financial mindset of young Americans going forward, including how we save for our future. I'd like to say it might have made us ask the right questions (can we afford this house? do I need to diversify my portfolio? am I teaching my kids personal finance skills?), but old American habits die hard.

Why Ladies Don't Use the F-Word

Revolutions are supposed to devour their young; in the case of feminism, it has been the other way around.

I just noticed that in my last post about being thankful for shattered glass ceilings I didn't mention feminism at all. It turns out that I was acting very typically of my generation by being thankful for women's equality without thanking the movement that spawned it.

Then today I read the above line in an article about the divisive nature of feminism in the November 16 issue of The New Yorker. Ariel Levy writes: "...why has feminism, which managed to win so many battles — the notion of a woman with a career has become perfectly unexceptionable — remained anathema to millions of women who are the beneficiaries of success?"

It's true; I don't often hear women my age call themselves "feminists," though they believe in the equality of the sexes. It has become somewhat of a toxic term. Some of the labels attached to the word seem unwarranted (bra-burning and baby-killing). Other criticisms might be warranted. Like any movement, it veered in directions people were not comfortable with. As Levy explains, "a politics of liberation was largely supplanted by a politics of liberation."

And so, here in 2010 a working woman writes about women's equality and doesn't even say the f-word. I wasn't avoiding it deliberately, but it's interesting and slightly embarrassing to me that I did it naturally.

Thankful for Shattered Glass Ceilings

Who says Generation Y is ungrateful? Sharalyn Hartwell, who writes about Generation Y for Examiner.com, has produced an uplifting series called Gen Y Gives Thanks, consisting of stories from GenYers about what we're thankful for. I contributed my story about being thankful for shattered glass ceilings, and here is an excerpt:

Being a woman and having a career is still challenging; it is naive to think we have completely figured out what it means to be working women, and we may never do so fully. But, I also know this privilege is something some women in the globe do not enjoy, and so I should feel grateful. I am. I feel lucky that I am allowed to go for my dreams, that I am allowed to have a family if I choose to and that I am allowed to travel the world alone if I please. Most of all, I feel lucky that so many women in my family have cheered me on. [Read the whole post here.]

Well, it's true; it's rather easy to complain about the workplace when you're young and starting out. However, it was refreshing for me to give thanks for it. So, I hope all of you Gen Yers out there will stop and be thankful this week. Sure, jobs and opportunity feel scarce -- but many of us should be thankful for the opportunities we've received.

Women Say They're 'Beginner Investors'

Women still feel kind of on the sidelines when it comes to investing -- but they don't necessarily want to be. The fact is, many women grew up in households where men did most of the financial stuff. Furthermore, financial literacy isn't taught in most schools, so home might have been the only place to learn about handling finances.

Last week on PLANADVISER.com, we wrote about two interesting surveys looking at women and investing. One survey finds that women place a lot of importance on their kids going to college, and yet they are not taking the lead when it comes to saving for it. The survey by investment management firm OppenheimerFunds found that almost three-fourths (74%) of women say it’s very important for their children to obtain a college degree (compared to 66% of men). Clearly college is important to both sexes, but women -- who perhaps know the difference college made to propel their careers -- especially advocate for it.

However, women don't necessarily play a role in planning for college financially. While many women are knowledgeable about their family's financial plan for saving for college, they still trail men: Women are less likely than men to know how much their household has saved for college (56% versus 65% of men) and also less likely to have a goal for college savings (40% versus 46%).

That shouldn't come as a surprise; men, in general, seem to take the lead in investing. Another survey last week by online brokerage firm Scottrade finds that women report having less investment knowledge than men. More than half of men describe themselves as "intermediate investors," while more than half of women consider themselves "beginner investors." Self-assessment of investing skills can be deceiving, but it's worth noting that so many women give themselves a low score.

On a positive note, women don't seem satisfied with their lack of financial knowledge, and the financial crisis has been an impetus to learn more. Almost a third of polled women say they gained a new understanding of their financial picture in the last year (compared to 24% of men).

The subtle differences of the sexes when it comes to investing continue to be fascinating. Some studies suggest that women are more conservative investors than men, with the most recent research linking the difference back to testosterone levels. Women might still be less confident about investing than men, but they are increasingly thrust into the driver's seat when it comes to their finances, particularly as more than half of women live without a spouse. So, ready or not, it's time to pay attention.

Generation DIY

Last weekend I had the opportunity to be on the PDX Gen-Y radio show way over yonder in Portland, Oregon (click on the November 8 show to listen). The show is hosted by Bret Bernhoft, GenYer extraordinaire, and the crew at InsYght Consulting. (I interviewed Bret on this blog recently.)

The show featured two big names in Portland's DIY community, Christina "Blue" Crow and Katie Ash, editors of Stumptown Underground, a zine collective, which publishes printable anthologies (such as comics, illustrations, writing, etc.). It was fascinating to hear about how thriving the DIY and zine culture is, and how artists and writers are self-publishing their work (on paper, no less!).

We ended up discussing zines versus blogs. In some ways it's like comparing apples to oranges (or digital music to vinyl records -- an excellent comparison made on the show). Of course, blogging is often seen as a little more mainstream and entrepreneur-oriented, rather than a characteristically DIY activity (artistic, underground, anti-consumerist, etc.), but both mediums of self-publishing can have some overlapping qualities. Like zines, blogs can represent a community that is more about building connections and sharing in culture than about having a direct return on investment.

Starting your own blog is like saying, "I am going to get the message out myself, rather than waiting to filter it through an established medium." Like zinesters and underground rockers, bloggers often operate without a "label." Aided by free Internet resources (which are admittedly very corporate), many "DIY bloggers" create and market their own content without monetary gain. While blogs might not be part of the indy aesthetic, I learned this week that aspects of blogging definitely come from the spirit of "doing it yourself."

This Month in Social Media

Here's a round-up of my social media news and analysis from the last few weeks (from Examiner.com).

How to optimize results in Google News: For publishers both big and small, it's increasingly important to get noticed in Google, which serves as a giant news aggregator where news-hungry visitors often go first, rather than directly to a news site. Check out my tips (straight from Google) about how to get better play in Google News in order to capture Google searchers.

Companies are watching what you Tweet: Have you had a bad customer experience lately? Send a tweet and your problem might be resolved.

Think before you tweet: ...If you are planning on complaining via Twitter, you might want to take a few deep breaths first. The quick, brief style of Twitter makes it all the more easier to get in trouble with what you say.

Frugalista: How to Make a Budget

Y-rd is starting a new feature about saving money. This will range from small things (change jars) to bigger things (401(k)s). It came to my attention that I love being frugal, so why not share some tips?

Let’s begin by mentioning just how goshdarn easy it is to get control of your money. Have you ever even made a budget? There are many ways to do this; here’s one simple way. (Don’t get too crazy about this...You can round numbers. The point is to get a general idea of how much money you have to spend every month on the fun stuff.)

1. List all your fixed expenses (college loans, rent, rent insurance, credit card, utility bills, transportation, any regular medications). You will have to guestimate on how much you spend on some utilities like electricity. Your transportation costs probably also vary month to month, especially if you drive a car. Allot more than enough to each category.

2. List all of your "sorta fixed" expenses (stuff you don’t need but stays relatively the same every month). On my list, that means Netflix and a gym membership.

3. Subtract the above from your after-tax paycheck. Now some of these things might be already factored into your paycheck pre-tax (e.g. if your work has a transportation program); if so, you don’t have to subtract them again. Ideally you are already contributing money to your 401(k) and have health insurance, and we are looking at your paycheck after those things have been taken out.

4. Voila! Now you have your “expendable income.” That’s how much you have to spend each paycheck. Not so fast, though. That includes food and visits to the doctor (unless you factored those in before, but I didn't because these are too variable).

5. Decide what to save of this amount. Ideally you should be able to take about 1/4 to 1/3 of your expendable income and put it either to pay off high-interest debt (credit cards!) or into a savings account for emergencies or something special. Many people can’t save that much, especially if you live in a place with higher living expenses (I feel ya). Try to save something. Once you do that, now the rest is really expendable.

6. Break down your budget further. If you want, you can figure out how much budget you have in a week or a month. Yes, it might not be enough to support your lifestyle, and you might have to adjust your purchases accordingly. Being aware of how much you have to spend works wonders. You might go over and under some weeks, and that’s OK. To help remember how much you're spending, you can always try writing down each purchase on a scrap of paper, or if you want to be tech-savvy about it, you can try those fancy programs like Mint or Quicken.