Quick Hits: Poverty is different than being broke. Pixar’s rules for stories. Insert pee joke here. Barbie’s anatomy.

• I drive through one of the most run-down parts of Tucson almost every day. The obvious poverty is staggering. I pray for churches and the Christians who attend them to stand up and show grace and love to those in our city who desperately need it. It’s part of the reason why I donate to MAN Tucson. There’s a delicate balance to maintain there though, because there are a lot of people who, choice by choice, day after day, have decided that living broke is all they have. Showing them too much grace is enabling them. No one should be comfortable with poverty, especially those who have the ability to pull themselves free.

• Pixar Studios. Just for The Incredibles alone, I would name them one of the top movie-makers of all time. So, when some of the best story-tellers make a list of their rules for writing stories? You sit up and listen. All of them are great, but I’m especially inspired by numbers 2, 7, 11 and 15. Which ones are your favorites?

• Look, I’m all for exploring and developing alternative and cleaner forms of energy. Really, I am. Still, doesn’t this take the whole idea just a touch too far? Would you want to carry that battery around in your pocket? Brings a whole new meaning to the words “Energy Drink.”

• Psht. And they called her anatomically incorrect.

Break the Chains! Free Yourself From Debt

B is for Bondage. Nothing ties up your income and locks up your dreams more than the bondage of debt. If you want to turn your finances around, escaping those chains must be a priority.

Truths about debt:

• Debt is a product being sold. Credit is the most aggressively marketed product in the country. Remember that “Life takes VISA” is an ad slogan, not a fact.

• Debt limits options. Lenders must be paid. Any job that covers all of those bills is a requirement, no matter what. And an underwater mortgage can turn a home into a prison.

• Debt increases risk. Being able to pay today doesn’t guarantee tomorrow. Failure to repay leads to threats and legal action, and can result in losses of property and wages.

How to escape:

• Get intense. You can’t passively drift out of debt. Escaping requires passion. It’s time to get angry. It’s time to get focused.

• Get intentional. You have to drive every dollar you bring in towards a purpose. Make a plan for your income. Write it down.

• Stop borrowing. No more new debt. Draw the line here, and get ready to fight.

What do you think? Are you living without debt? How did you escape? What should be my word for Q? Let me know in the comments below!

[image from publicdomainpictures.net]

Quick Hits: No credit score isn’t such a risk. Online predators not so common. The hammock bathtub.

• If you decide to get financially fit, and pay off your debts, it’s going to affect your credit score. That’s because your credit score is comprised entirely of the relationship you have with debt. The less debt you’re interacting with, the more negatively it will affect your score. So, what happens if you never borrow money at all? Well, most credit agencies can’t calculate a score for you, and it makes it difficult for you to do things that require a score. Like rent an apartment. Or get a mortgage for a new home. I didn’t say it was impossible, mind you, and those of us committed to staying debt free the rest of our lives are willing to jump through a few hoops to get stuff done. Besides, as more and more of us stop relying on credit, things will start to change. Already, Experian estimates that there are 64 million unscorable consumers in the country, and there are new companies are trying to find new ways to judge their financial viability. Who knows? In a couple more decades maybe the credit score will be as useful as it was in 1945.

• If you have children, then the ever-present fear of sexual predators might be a problem for you. We want to protect our children from the pedophile hiding under the bed, or on the street corner, or behind the computer screen. It’s likely, though, that that fear is just a touch exaggerated. For example, a few years ago, a study showed that despite social networks online being populated more and more with kids, most of them still resembled your everyday real world community – “comprised mostly of good people who are there for the right reasons.” Child predators were actually few and far between. Bullying was more of an actual concern. Facts put fears into perspective, which is a good thing, because our fears about our kids are starting to hurt them. Fact: Sex Offender Registries are listing more and more teenage children (and even some pre-pubescent kids) who are haunted for the rest of their lives due to a moment of foolish sexual indiscretion.

• I’m not sure if you could actually get clean in this tub, but it looks really cool.

Don’t Be Lazy! Get Up and Make Your Money Work

I’m starting a new series of posts today. I’m calling it the “ABCs of Personal Finance.” The word for the letter A is Action, because succeeding with money in your home requires action. Your financial situation isn’t going to get any better while you sit idly by and ignore it. So, it’s time to get moving and make some changes. Ready?

• INCOME – GET TO WORK. Everything worth doing is going to be hard and take a lot of effort. If you want a career that gives you a sense of purpose and pays you well, you’re going to have to take action.

• Truth: Any job that you can get with a 10 minute interview in a booth at a fast food restaurant is unlikely to pay a lot, and will never be a great career. If you want a bigger paycheck, you have to make yourself more appealing to better employers, and that takes work.

• First Step: Start Reading. Read books written by the best in the business you want to be in. Read classic business books. Read books about how to get a better job.

• BUDGET – MAKE A PLAN. Having any income is great, but paychecks have a nasty tendency of looking bigger than they actually are, and spending more than we make has become a national crisis. Planning is an essential part of winning. Even if this month’s budget fails, you learn and fix what failed next month. If you’re not budgeting, you’ve robbed yourself of that opportunity to improve. Take action and give every dollar you make a purpose.

• First Step: Write out your necessities. Know the difference between “need to pay” and “nice to have.”

• GROW – SET GOALS. Once the income is coming in and the bills are all covered, it’s tempting to breathe easy and relax. That might work, if all you ever want to do is just cover the bills. If you have bigger dreams, if you ever want something more than what you have right now, you have to make conscious decisions about how to get there and set some goals. You have to take action.

• First Step: Answer this question: What would you do if someone handed you a million dollars?

• FIGHT – DON’T GIVE UP. Remember, everything worth doing will be hard and take a lot of effort. It’s going to be tough, but as long as you’re breathing, there is always hope.

• That job may be all you can get right now, but it’s not forever.

• That budget may be so tight it scares you, but it’s a start.

•  That goal may seem so out of reach, but you’re still growing.

What do you think? What parts of your finances could use a little less conversation and a little more action? Did I cover it all or miss something important? And what should be my word for X? Let me know in the comments below!

[image from publicdomainpictures.net]