Millions of Americans can still fatten their checks from Uncle Sam.

Look for free money to arrive in your mailbox (or bank account) soon. And, no, this is not a scam. Compliments of this year’s Economic Stimulus Act, most single filers will get a $600 rebate and married couples $1,200. Parents will get an extra $300 for every dependent child under age 17.

The first checks go out in May; if your tax refund is deposited electronically, your rebate will arrive that way, too. In fact, the money may show up in your account even before you’re notified that it is on its way.

Most likely, you don’t need to do anything extra to get your rebate; it will come automatically after you file your 2007 tax return. But even if the filing deadline has passed, there are plenty of things you can do to ensure you’re getting as big a check as possible and to make the money stretch further.

IRS Timetable for Rebate Payments

Here’s the government’s plan for making the economic stimulus payments for taxpayers whose 2007 returns are filed and processed by April 15:

DIRECT DEPOSIT PAYMENTS
If the last two digits of your Social Security number are:	Your rebate should be sent to your bank account by:
00 - 20	May 2
21 - 75	May 9
76 - 99	May 16
PAPER CHECK
If the last two digits of your Social Security number are:	Your check should be in the mail by:
00 - 09	May 16
10 - 18	May 23
19 - 25	May 30
26 - 38	June 6
39 - 51	June 13
52 - 63	June 20
64 - 75	June 27
76 - 87	July 4
88 - 99	July 11

How Much Will You Get?

The rebate amount starts to phase out for single filers whose 2007 adjusted gross income is more than $75,000 and for married couples filing jointly whose 2007 AGI is more than $150,000. The rebate is reduced by $50 for every $1,000 you earn above the income limit.

For a single filer without children, that means the credit phases out entirely at $87,000; for joint filers without children, $174,000. The upper limits of the phaseout zones rise depending on the number of children you have. Children who are claimed as dependents on their parents’ returns won’t get a rebate, even if they work, file a return and pay taxes.

In general, the rebate amount can’t be more than your net tax liability, which is your tax liability before subtracting refundable credits and child credits. But even if you have no net tax liability, you can still qualify for a rebate of $300 as a single filer or $600 as a joint filer if you have at least $3,000 in income from a job or self-employment, or from Social Security or veterans’ benefits.

What to Do

To get a rebate, most people need only to file their 2007 tax return. (If you request an extension, you won’t get your check until after you file.)

But about 20 million people will have to take an extra step to get their money. Low-income seniors and disabled veterans (and their widows) who have more than $3,000 in income and don’t generally file a tax return need to file to qualify for the partial rebate.

If you (or your elderly parents or relatives) are among those affected, filing the 1040 won’t affect your tax bill. It’s just the mechanism by which you prove that you qualify for the rebate (it doesn’t even matter if the April 15 filing deadline has passed).

But note that you can’t use the simplest tax form — the 1040EZ — because you can’t report Social Security or veterans’ benefits on it.

To figure out which numbers to include on the tax return, you should have already received Form 1099-SSA reporting your Social Security benefits. If you receive Railroad Retirement benefits, consult Form 1099-RRB. And if you received disability compensation, a pension or survivors’ benefits from the Department of Veterans Affairs, you can estimate your 2007 benefits by adding up your monthly benefits for the year.

Enter your 2007 total on line 20a of Form 1040 or line 14a of Form 1040A. (It doesn’t matter that the line is designated for Social Security benefits.)

If you have already filed a 1040 but did not report some of these qualifying benefits, you can file a Form 1040X to amend your return. Listing the additional benefits will not increase your tax liability but could help you qualify for a rebate.

A Second Chance

If you don’t qualify for the maximum rebate based on 2007 income, you get another shot for 2008. The law provides a one-time tax credit for 2008; but because it was intended to get money into people’s hands as quickly as possible, Congress ordered the IRS to distribute the money in 2008 rather than wait for people to file their 2008 tax returns. As a result, the IRS used 2007 tax returns as a guide.

It’s possible, however, that your 2008 income will drop below the cutoff. Or if you otherwise qualify for the rebate, you could get an extra $300 if you have a child in 2008. (Don’t worry: If you qualify for a lower rebate based on your 2008 return, you don’t have to give money back.)

Plus, you still have plenty of time to reduce your 2008 taxable income. For example, contributing to a 401(k) plan or a flexible spending account, making a tax-deductible contribution to your IRA, and selling stocks or mutual funds for a loss in a taxable account can all lower your adjusted gross income and boost your rebate.

If you had no income-tax liability for 2007 and don’t meet the $3,000-minimum-income threshold to qualify for the partial rebate, you can take several steps to increase your gross income in 2008 and your tax liability. For instance, you may be able to sell stocks, bonds or mutual funds for a profit, convert funds from a traditional IRA to a Roth IRA if you’re eligible, or take a dis-tribution from a traditional IRA, says Bob Scharin, senior tax analyst with Thomson Tax & Accounting. If you are retired and work part-time, you could boost your hours.

Keep in mind that the rebate itself is not taxable and will not affect the refund you might otherwise receive for 2008. But if you get the maximum rebate this summer, you won’t get it again when you file your 2008 tax return.

Stretch Your Check

A few smart moves can make your check even more valuable. The purpose of the rebate is to help stimulate the economy, so Uncle Sam would like you to spend the cash. But it wouldn’t be totally unpatriotic to use the money to rev up your own finances.

For instance, if you haven’t been able to max out your 401(k) contributions, now may be the time to do it — especially if you can get free money from an employer match. If you get the full $1,200 rebate, you can actually afford to increase your 401(k) contribution by $1,600 if you’re in the 25% tax bracket. That’s because your contributions lower your taxable income, so investing $1,600 lowers your take-home pay by only $1,200.

Invest that $1,600 now and you’ll have an extra $16,000 in your account in 30 years if your investment earns an annual return of 8%. And if your employer matches 50% of your contributions, you’ll be investing a total of $2,400, which could grow to $24,000 in 30 years.

If you qualify for a Roth IRA and contribute $1,200 to your account, you’ll end up with an additional $12,000 in 30 years, assuming that same 8% annual return. And you’ll be able to withdraw the money tax-free when you’re 59 or older and have had a Roth for at least five years.

by: Kiplinger Magazine

 

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In the world of brick-and-mortar retailing, finding the best price is simply a matter of driving to a discount chain store like Costco or Wal- Mart. But in the Web marketplace, hundreds of retailers and mom-and-pop stores are fighting one another and user reviews can offer the best intelligence.

So before you plunk down hard-earned cash on anything, see which stores are offering the best deals, say Money Magazine writers Joe Light, Ismat Mangla and Pat Regnier, who offer three strategies for finding the best price.

1. When you’re on a bargain hunt, hit the “Hot deals” forums at FatWallet.com and Slick- Deals.net. Though both sites have a particular emphasis on pricey electronics, users regularly uncover and post discounts that run past 50 percent of the retail price on all sorts of items.

The catch: The better the deal, the quicker forum users will wipe out a Web site’s inventory.

2. When you’re researching a product, check out the reviews at Amazon.com. Pay particular attention to posts written by users who have a badge under their names designating them a “top reviewer.” You can be more confident that their reviews are legitimate and not written by a seller. You want a critical mass of reviews — at least 25 or so. Another good source of customer reviews is Epinions.com.

3. Once you know what you want, start at comparison shopper PriceGrabber.com. Search for your item and you’ll get back quotes from major retailers and small outfits. Make sure you disclose your ZIP code, so the site can factor in tax and shipping. Note the two or three lowest listed prices, then go to SlickDeals’ coupons section and check to see whether any discounts are available that would cut your price further.

And if you’re truly industrious, you can even earn a small rebate on your purchase by buying through the Cash Back section of Ebates.com or FatWallet.com. Merchants pay those sites a commission, which they share with you. Expect to save another 1 percent to 5 percent, depending on the store.

 By Marshall Loeb - MARKETWATCH

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The happiest people surround themselves with family and friends, don’t care about keeping up with the Joneses next door, lose themselves in daily activities and, most important, forgive easily.

The once-fuzzy picture of what makes people happy is coming into focus as psychologists no longer shun the study of happiness. In the mid-’90s, scientific journals published about 100 studies on sadness for every one study on happiness.

Now a burgeoning “positive psychology” movement that emphasizes people’s strengths and talents instead of their weaknesses is rapidly closing the gap, says University of Pennsylvania psychologist Martin E. P. Seligman, author of the new book, Authentic Happiness. The work of Seligman and other experts in the field is in the early stages, but they are already starting to see why some people are happy while others are not:

The happiest people spend the least time alone. They pursue personal growth and intimacy; they judge themselves by their own yardsticks, never against what others do or have.

“Materialism is toxic for happiness,” says University of Illinois psychologist Ed Diener. Even rich materialists aren’t as happy as those who care less about getting and spending.

Because the December holidays are friend- and family-oriented, they painfully reveal the intimacy missing in some lives, Diener says. Add in the commercial emphasis — keeping up with the Joneses and the Christmas enjoyed by the Joneses’ kids — “and it’s a setup for disappointment,” he says.

And yet some people manage to look on the bright side, even if they lose their jobs in December. Others live in darkness all year for no apparent reason. A person’s cheer level is about half genetic, scientists say.

Everyone has a “set point” for happiness, just as they do for weight, Seligman says. People can improve or hinder their well-being, but they aren’t likely to take long leaps in either direction from their set point.

Even physical health, assumed by many to be key to happiness, only has an impact if people are very ill. Objective health measures don’t relate to life satisfaction, but subjective feelings do. Plenty of healthy people take their health for granted and are none the happier for it, Diener points out. Meanwhile, the sickly often bear up well, and hypochondriacs cling to misery despite their robust health.

Good feelings aren’t “all in the head,” though. Actions matter, just not in the way often believed.

Life satisfaction occurs most often when people are engaged in absorbing activities that cause them to forget themselves, lose track of time and stop worrying. “Flow” is the term Claremont Graduate University psychologist Mihaly Csikszentmihalyi (pronounced cheeks-sent-mee-hi) coined to describe this phenomenon.

People in flow may be sewing up a storm, doing brain surgery, playing a musical instrument or working a hard puzzle with their child. The impact is the same: A life of many activities in flow is likely to be a life of great satisfaction, Csikszentmihalyi says. And you don’t have to be a hotshot to get there.

“One of the happiest men I ever met was a 64-year-old Chicago welder with a fourth-grade education,” he says. The man took immense pride in his work, refusing a promotion to foreman that would have kept him from what he loved to do. He spent evenings looking at the rock garden he built, with sprinklers and floodlights set up to create rainbows.

Teenagers experience flow, too, and are the happiest if they consider many activities “both work and play,” Csikszentmihalyi says. Flow stretches someone but pleasurably so, not beyond his capacity. “People feel best when doing what they do best,” he says.

Everyone has “signature strengths,” Seligman adds, and the happiest use them. Doing so can lead to choices that astound others but yield lasting satisfaction.

Signature strengths

That’s what happened to Greg and Tierney Fairchild. He was a Ph.D. candidate at Columbia, and she’d already earned a Ph.D., when they learned that the child she was carrying had Down syndrome, along with a serious heart defect requiring surgery.

In the Fairchilds’ intellectual circle of friends, some viewed having a retarded child as unthinkable — and let them know it. Lots of people, including some family members, assumed they’d opt for abortion. After thoroughly exploring all the angles — medical, practical and emotional — they decided to keep their daughter, Naia.

“We’re pro-choice, so it’s not that we wouldn’t get an abortion under some circumstances, or think that others could make a different choice here,” Greg says.

They were leading with their strength. An interracial couple, they both had long histories of taking bold, less traveled paths rather than following the parade.

Greg was the first black on his high school track team at a Southern, mostly white school; he became student body president. Tierney was the only MBA student at her university also getting a Ph.D. in education because she wanted to train executives.

And they chose each other, despite all the stares of bigots they knew they’d face forever.

“We haven’t shied away from tough choices,” Greg says, “and we’ve been able to persevere through some difficulties other people might not have been able to.”

Tierney says, “We thought having Naia would be a challenge, but we really wanted her, and just because something’s a challenge, I’m not the type to turn away.”

Their struggles are depicted in the new book, Choosing Naia by Mitchell Zuckoff.

That was a few years ago. Now Naia is a 4-year-old people magnet with a great sense of humor, the first Down syndrome child to be “mainstreamed” at the preschool for University of Virginia staff. (Greg teaches in the business school.) She walked late, talked late and is potty-training late—just as her parents expected. “And so what?” Tierney asks. “She’s brought us a huge amount of joy because she’s such a happy child.”

Tierney, who is manager of executive education at United Technologies Corp., feared she’d have to quit work to care for Naia, but that wasn’t necessary. Tierney and Greg gave Naia a baby brother, Cole, 22 months ago. “We’re so grateful for these kids,” Greg says.

Gratitude helps

Gratitude has a lot to do with life satisfaction, psychologists say. Talking and writing about what they’re grateful for amplifies adults’ happiness, new studies show. Other researchers have found that learning to savor even small pleasures has the same effect. And forgiveness is the trait most strongly linked to happiness, says University of Michigan psychologist Christopher Peterson.

“It’s the queen of all virtues, and probably the hardest to come by,” he adds.

‘More fun, less stuff’

There’s also evidence that altruistic acts boost happiness in the giver. That doesn’t surprise Betsy Taylor, president of the Center for a New American Dream, a Takoma Park, Md., non-profit that favors simple living and opposes commercialism. “The altruism part is worth keeping in mind over the holidays,” Taylor says. “Our mantra is ‘more fun, less stuff.’ Do for others, we say.”

Karen Madsen, 51, of Everett, Wash., is a believer. For several years, she’s organized local families to buy holiday gifts for needy foster children. Madsen sinks in about $1,000 herself, often trimming her own kids’ Christmas haul to do it. “You’d see these notes from foster kids, ‘I don’t really need anything, but my little sister needs a coat because she’s cold.’ ”

Her son, William Shepherd, a high school senior, doesn’t mind. “It’s a lot of fun to go shopping for their toys,” he says. “I have enough, and it feels good to make sure other people can enjoy the holidays, too.”

Many parents would be amazed that a kid could be happy to get less, but surprise is the name of the game with happiness. People aren’t very good at predicting what will make them happy, cutting-edge research shows.

Even Seligman, the happiness maven, tells how he wanted no more children — he already had two grown ones — and his current wife wanted four, “so we compromised at four,” he says. His book reveals he’s besotted with these kids and marvels at them daily. “I just didn’t know,” he says.

None of us knows, says Harvard University psychologist Daniel Gilbert. “There’s a reason why Euripides said, ‘It would not be better if men got what they wanted.’ ” People expect that events will have a larger and more enduring impact on them — for good or ill — than they really do, Gilbert’s studies find.

People tend to rationalize bad things, quickly adapting to new realities. They also visualize future events in isolation, but real life teems with many experiences that dilute the impact of any one. This means winning the lottery doesn’t make people’s lives stellar, but they recover from romantic breakups much quicker than expected.

“If you knew exactly what the future held, you still wouldn’t know how much you would like it when you got there,” Gilbert says. In pursuing happiness, he suggests “we should have more trust in our own resilience and less confidence in our predictions about how we’ll feel. We should be a bit more humble and a bit more brave.”

By Marilyn Elias, USA TODAY

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Randy Pausch - Last Lecture
from Oprah’s Show 9 minutes 58 seconds
(the full-version 76:26 is included at the end of this post)

*** Update: Randy Pausch passed away 7/25/2008 - You
touched millions of lives in such a short time. Our thoughts and
prayers to you and your family …

Watch Randy Pausch’s Last Lecture

At many colleges, professors are asked to give a “last lecture.” In this talk, they ruminate on what matters most to them. As they speak, audiences mull the same question: What wisdom would you impart to the world if you knew it was your last chance?

Last year, I agreed to give a last lecture at Carnegie Mellon University, where I’m a professor in the computer science department. A few weeks later, I learned that I had only months to live—I was dying of pancreatic cancer.

I knew I could cancel. I have three young children, I’m married to Jai, the woman of my dreams, and there were so many things to be done. But by speaking, I knew I could put myself in a bottle that would one day wash up on the beach for my children, Dylan, Logan and Chloe. Here’s what I want to share.

Before I spoke, Carnegie Mellon’s president, Jared Cohon, said to me, “Please tell them about having fun, because that’s what I’ll remember you for.”

I came to an early realization. Each of us must make a decision, best captured in A.A. Milne’s Winnie-the-Pooh characters. Am I a fun-loving Tigger or a sad-sack Eeyore? It’s clear where I stand.

For my last Halloween, Jai, our kids and I dressed up as the Incredibles. I put a photo of us on my website and explained that chemo had not affected my superpowers. I got smiling e-mails in response.

I won’t let go of the Tigger in me. Someone asked what I want on my tombstone. I said: “Randy Pausch: He Lived 30 Years After a Terminal Diagnosis.” I could pack a lot of fun into 30 years. If that’s not to be, I’ll pack fun into the time I have.

I was 8 in the summer of 1969, when men first walked on the moon. I was at camp, and we campers were brought to the main house to watch the moment on TV. But the astronauts were taking a while, and it was late. The counselors sent us to our tents to sleep, and we missed the first walk.

I was peeved. I thought: “My species has gotten off our planet and is in a new world for the first time, and you people think bedtime matters?”

When I got home, my dad gave me a photo that he’d taken of our TV set the second Neil Armstrong set foot on the moon. We still have that photo.

Give yourself permission to dream. Fuel your kids’ dreams too. Once in a while, that might even mean letting them stay up past their bedtimes.

On a trip to Disney World, my dad and I were at the monorail with my son Dylan, then 4. Dylan wanted to sit in the nose-cone with the driver, and my father thought it would be a kick too.

“Too bad they don’t let regular people sit there,” Dad said.

 “Actually, I’ve learned there’s a trick to getting to sit up front,” I said. “Do you want to see it?”

I walked over to the attendant and said: “Excuse me. Could we please sit in the front car?”

“Certainly,” the attendant said. He led us to the nose-cone. It was one of the only times I ever saw my dad flabbergasted. “I said there was a trick,” I told him. “I didn’t say it was a hard trick.”

Now I’ve gotten even better at “just asking.” As we all know, it can take days to get medical results. Waiting is not how I want to spend my time, so I ask: “What’s the fastest I can get these results?”

“Oh,” they often respond, “we might be able to have them for you within an hour.”

Ask. More often than you’d suspect, the answer you’ll get is, “Sure.”

In a virtual-reality course I taught, I encouraged students to attempt hard things and not worry about failing. At the end of the semester, I presented a stuffed penguin—“The First Penguin Award”—to the team that took the biggest gamble while not meeting its goals. The award came from the idea that when penguins jump in water that might have predators, well, one of them’s got to be the first penguin. In essence, it was a prize for “glorious failure.”

Experience is what you get when you don’t get what you wanted. And it can be the most valuable thing you have to offer.

I got this advice from Jon Snoddy, my hero at Disney Imagineering. “If you wait long enough,” he said, “people will surprise and impress you.” When you’re frustrated with people, when you’re angry, it may be because you haven’t given them enough time. Jon warned that this took great patience, even years. “In the end,” he said, “people will show you their good side. Just keep waiting. It will come out.”

When Jai and I went on our honeymoon, we wanted to be left alone. Since my boss demanded a way for people to reach me, I recorded this greeting:

“Hi, this is Randy. I waited until I was 39 to get married, so my wife and I are going away for a month. I hope you don’t have a problem with that, but my boss does. Apparently, I have to be reachable.” I then gave the names of Jai’s parents and the city where they lived. “If you call directory assistance, you can get their phone number. And then, if you can convince my in-laws that your emergency merits interrupting their only daughter’s honeymoon, they have our number.” We didn’t get any calls.

Time is all you have. And you may find one day that you have less than you think.

Because I’ve been so vocal about my childhood dreams, people have asked me about the dreams I have for my own kids. As a professor, I’ve seen how disruptive it can be for parents to have specific dreams for their children. My job is to help my kids foster a joy for life and develop the tools to fulfill their own wishes. My wishes for them are very exact and, given that I won’t be there, I want to be clear: Kids, don’t try to figure out what I wanted you to become. I want you to become what you want to become. And I want you to feel as if I am there with you, whatever path you choose.

Adapted from the book The Last Lecture, by Randy Pausch and Wall Street Journal reporter Jeffrey Zaslow. Copyright © 2008 Randy Pausch. To be published by Hyperion. All rights reserved.

AFTER THE LECTURE
After I gave my lecture in September, I expected to go home and quietly spend time with my family. I never imagined that my talk would be viewed online by millions worldwide. The response has overwhelmed and moved me. Thousands of people have written to me about their life lessons. I’ve also been buoyed by former students who’ve told me how my teaching made a difference to them. There’s no greater gift for a teacher.

I’ve used my unexpected fame to advocate for pancreatic cancer research. Last month, I testified before Congress to seek funding for my disease, which is considered the deadliest of cancers.

I’ve had great fun too. In my lecture, I told of two childhood dreams: playing in the NFL and being Captain Kirk on Star Trek. Strangers fulfilled those wishes. I was invited to scrimmage with the Pittsburgh Steelers and got to say a line in a new Star Trek film. Both experiences were thrilling.

I’m lucky to be living longer than I expected, allowing me more time with my kids. I’ve tried to do unforgettable things with them—such as swimming with dolphins—so they’ll have concrete memories of us and of my love for them.

I am honored that my lecture will live on and that people have found it beneficial. Honestly, though, the talk was for my kids, and it gives me comfort to know that they will one day watch it.

Randy Pausch’s Last Lecture - Carnegie Mellon

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Saving money is an ongoing challenge for most people. Paychecks, dividends, and an occasional bonus go only so far. Therefore, it’s worthwhile to develop some money-saving strategies, such as the 10 listed below.

1. Track spending and evaluate results. By tracking your spending habits, you’ll get an idea of where you spend your money. By evaluating the results, you can see if you’re using money for things that aren’t really necessary. For example, do your monthly membership fees go to a gym you never have time to visit? Do you buy coffee every morning when it’s available in your office for free? Look at all the places where you can save money; even small outlays can add up.

2. Pay yourself first. This idea is certainly not new, but it’s a strategy that starts a consistent savings program. Unless your entire paycheck is earmarked for monthly bills and necessities, you should be able to put money into savings every month. If you get a raise, add that money to what you’re putting aside.

3. Company savings plans. Many companies offer 401(k) plans. Take advantage of them. If one isn’t available, open an IRA. Use direct deposit for these retirement savings accounts so you’re not tempted to spend the money elsewhere.

4. Forget the plastic. Limit yourself to one or two credit cards with the best rates, and use them for only major purchases or emergencies. Also, pay off your credit card balances monthly.

5. Learn how to shop. The Internet provides a very easy way to compare prices. Look for lower prices, discounts, sales, and coupons. Check out price comparison Web sites, such as AllBusiness.com, Shopping.com, and BizRate.com. Avoid paying surcharges, late fees, and other fees for convenience. Shop from lists rather than browsing the aisles, and establish a firm “no impulse buy” policy.

6. Look to save on your home. Look for lower mortgage rates and refinance. Also, while paying off your home mortgage each month, round up. You can pay off the loan a little faster, and save a surprisingly high amount of the interest over time.

7. Save on utilities. Review the offers from competing phone and electric companies. Look for energy-saving appliances, and save some money by opening windows when it’s warm, and using a second blanket when it’s cold.

8. Be car smart. Find a mechanic you can trust before paying big bucks for unnecessary repairs. Don’t buy a second or third car that will hardly be used or will sit at the train station. Look for lower gas prices in your neighborhood, and keep your engine tuned, trunk uncluttered, and tires properly inflated to save on gas.

9. Get everyone onboard. Discuss ways of saving money and establishing good spending habits with everyone in your household.

10. Read the fine print. Review your bills carefully, including your credit card statements. Errors in billing cost customers millions of dollars each year. Also, in this new age of warranties included with every major purchase, read the fine print carefully, and buy only what will be valuable for those products most likely to need service.

By AllBusiness.com

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