January 2009 Archives

Do Your Children Hustle?

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By Vincent Scordo on January 31, 2009 | 7 Comments | 1 TrackBack

Continuing on the theme of offering parents practical tips, I ask the all important question: do you encourage your children to hustle?

Teaching your kids to hustle or instilling a solid work ethic is critical to raising children. Too many of today's young children are spoiled and posses a sense of self entitlement, partly because of parenting style and cultural norms. I'm afraid that the old school mentality of not babying children may indeed be correct. I'm not advocating that parents create a "sweat shop" atmosphere at home, but parents must create an environment that consists of love, compassion, safety, and the idea that working hard is important.

Here are a few tips that may instill the "hustling" mentality in your young children:

1. Be a role model. Do you work hard around the house? Children are like little scientists who observe and thereafter run tests (specifically, they're observing their parents and then mimicking what they see).

2. Talk about the value of work. Tell your children about what hard work means and what it can provide in the way of security and rewards.

3. Allow your child to fail, yet don't allow them to not finish a given task or chore around the house. One of the most critical life lessons my parents taught me early on is that it's ok to make mistakes, fail, not do something well, but it's never ok to be lazy or not complete a given project. In turn, I think they instilled stubbornness in me (for better or worse!).

4. Teach your kids the value of money and that working hard can lead to acquiring money for savings.

5. Point out examples of laziness or behavior that is not acceptable. It's tough for young kids to understand theory, but they easily digest examples of behavior in the real world.

6. Try and instill patience and the idea that work will not be enjoyable or fun all the time.

7. Reward your child if they show positive behavior - including a small allowance, day at the park, a new book from the bookstore, etc.

How to Avoid Bill Creep

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By Vincent Scordo on January 29, 2009 | 0 Comments | 0 TrackBacks

The Wall Street Journal's Karen Blumenthal has a highly relevant article on "Bill Creep" that is a must read. Bill Creep is associated with auto renewing services that are purchased ala carte, such as adding cell phones to a plan, moving to a data plan for a Smartphone, premium channel upgrade to a cable subscription, increasing your Netflix subscription from 3 movies to 4 movies out at once, and moving from a basic gym membership to personal trainer and dietary services.

The dangerous thing about Bill Creep, as Blumenthal argues, is that it happens over time yet delivers a financial hit every month due to the use of a credit card. How do you keep Bill Creep under control? Try the following three bits of advice:

1. Evaluate whether you truly need the service or product and side with simplicity when it comes to the latest gadgets and services.

2. Just get the basics. Do you really need a Smartphone, Netflix subscription, and a gym membership? Pick a few basics and stick with them.

3. Say no to pressure from the service provider to upgrade.

Childhood Obesity and Food: 10 Tips for Parents

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By Vincent Scordo on January 27, 2009 | 3 Comments | 2 TrackBacks

Do you remember the food they served in your high school cafeteria? Well, let me remind you: pepperoni pizza, French fries, cheeseburgers, hot dogs, etc. The food served in American schools might as well be poison because it is killing children in the long run. Here are some fun facts on children and obesity in the US:

- 16.3% of children ages 2 to 19 are obese and an additional 15.6% are overweight.

- Type 2 diabetes, previously considered an adult disease, has increased dramatically in children and adolescents. Overweight and obesity are closely linked to type 2 diabetes.

- Risk factors for heart disease, such as high cholesterol and high blood pressure, occur with increased frequency in overweight children and adolescents compared to children with a healthy weight.

While there are other factors that lead to children become obese (like genetics as well as the mother's dietary habits during pregnancy), the main culprit seems to be food choice. And more specifically the food choices parents make. So, for example, many parents buy processed or already prepared foods as opposed to cooking from scratch or fresh fruits and vegetables. There is also a heavy reliance on red meat and pork products, including hamburgers, bacon, hot dogs, etc.

So, how can you change what your kids eat? Start with these 10 quick tips:

1. Don't allow your child to purchase lunch or breakfast from the school cafeteria.

2. Prepare lunch for your kids each and every day (including a fresh fruit, yogurt, nuts, and lean proteins).

3. Prepare breakfast for your kids each and every day (including oatmeal, eggs, toast and peanut butter, fruit, yogurt, etc.)

4. Try and eat together as a family at least once a day (the ritual of eating together can reinforce the importance of food)

5. Cook dinner from scratch and involve the whole family (show everyone how a meal is put together)

6. Experiment with foods at the market. Most Americans eat poorly because they do not consider the abundance of food choices available. Dinner doesn't have to consist of pasta, red meat, and iceberg lettuce every week. Most good markets carry wonderful fresh fish, beans that make wonderful soups, exotic greens that can be sautéed with garlic, lean cuts of meat like pork chops, chicken breast, and ground turkey.

7. Try and cut the time your kids spend with the TV, web, video games, cell phone (including messaging), etc. and encourage them to go outside and walk/hang out/play sports/etc.

8. According to experts, it takes multiple exposures to new foods before kids actually accept and enjoy the food or dish. So, keep at it with your kids in terms of introducing new fruits, vegetables, and dishes.

9. Experiment with true ethnic foods as they tend to contain less salt and meat than your typical Italian-American, Chinese-American, and Mexican-American foods.

10. Bring your kids food shopping with you (and not just to your local Stop and Shop). Bring your child to the butcher, fish monger, fruit and vegetable shop and they will slowly appreciate how important food is to the family.

Back to Basics: Classic Drink Recipes for the Recession

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By Vincent Scordo on January 26, 2009 | 1 Comment | 0 TrackBacks

60 Minutes ran a segment on Sunday night on DHL (formerly Airborne Express) and how they will be shutting down their entire US hub in Wilmington, Ohio. The job cuts in Wilmington alone will result in the lose of 10,000 area jobs. Moreover, NPR ran a similar story on Microsoft, Pfizer, Home Dept, Caterpillar all announcing job cuts (totaling some 67,000 jobs in a single day!).

Needless to say, the US is suffering through a very difficult time period (and in my humble opinion, it will, indeed, get worse). The current national jobless rate is at just over 7% (7.2% to be exact), consumer confidence is low, and consumer and business spending has crawled to a stop.

For many of us in our late twenties / early thirties, we've never seen a downturn in the national economy like we're experiencing today, yet many of my Gen X/Y peers seem to be handeling the situation well. Personally, I've turned to enjoying our home and the simple pleasures of being with my family and friends. I've been spending more weekends at home planning simple meals, watching old movies, reading forgotten books, and finishing projects in the basement. I've also learned to mix a few new drinks, which in moderation does help one forget about the high unemployment rates (and how low the thermostat is set to save a few bucks)!! So, here are a few drink recipes to try on a cold, and recession filled, night:

The Simple Daiquiri

- 2 ounces of white rum

- Juice of 2 limes

- 1 tablespoon of confectionary sugar

Combine the ingredients above in a stainless steel mixer with plenty of fresh ice. Give the mixture a good shake and pour into a traditional tumber glass. I love the tartness from the lime juice and mellow alcohol from the rum.

Red Martini Sweet Vermouth, Bombay Saphire Gin, and Soda

- 2 ounces of red, Martini, sweet vermouth

- 1.5 ounces of Bombay Sapphire Gin

- 2-3 ounces of club soda.

Combine the ingredients in a tumbler and add a handful of ice. This drink is nice before dinner and you could substitute the red vermouth with Campari for a classic Negroni.

Classic Gin Martini

- 2 ounces of Tanqueray Gin

- 1 ounce of dry, Martini, vermouth

- 2-3 green olives

Combine the ingredients (minus the olives) in a stainless steel mixer with plenty of fresh ice. Give the mixture a good shake and strain into a martini glass. Add the olives (preferably on a toothpick so you enjoy them while you drink). You can add less vermouth if you prefer your martinis dry. You can of course substitute Gin with vodka, but Gin is entirely more appropriate and the classic ingredient.

The above ingredient proportions are hardly exact, so please experiment with the appropriate amounts that suit your palette. Cheers!

I'm From New Jersey

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By Vincent Scordo on January 24, 2009 | 3 Comments | 0 TrackBacks

Like the popular folk song states, "I'm from New Jersey." Yes, that State next to New York defined by the "Turnpike", Tony Soprano, and Bruce Springsteen. However, and as Lee Siegel point out in an excellent Wall Street Journal article, "The Hidden State of Culture", New Jersey often gets a bum wrap.

New Jersey has produced countless artists, academics, musicians, intellectuals, actors, and its geography goes from gritty to picturesque in a matter of miles. New Jersey is also packed full of cultural diversity from eastern European immigrants from Italy and Croatia to Asian imports from Korea and Vietnam.

New Jersey is, indeed, awesome and Mr. Gorka we are good enough and do expect much!

Financial Stress and the Psychology of Money

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By Vincent Scordo on January 22, 2009 | 0 Comments | 1 TrackBack

Kiplinger's magazine ran an excellent piece in their February issue on how to cope with financial stress. The article highlighted six key tactics to deal with a shrinking portfolio:

1. Everything passes. Financial goings-on are cyclical, like most life events, so just wait out the negative cycles.

2. Exercise. Working out can help with any type of stress.

3. Know why type of investor you are and try to work through questions you have with financial advisor.

4. Don't watch the news. This is a no-brainer; if the news is negative not watching will help with anxiety about market conditions.

5. Stress is all about control so focus on your household budget and try to reduce spending.

6. Connect with friends, eat good food, and get back to basics. Going back to core activities can ground some people, so make sure you socialize and enjoy the simple things in life.

I agree with all six Kiplinger tips and, moreover, would advise folks to utilize the same tactics during good times as well. Conventional wisdom says that making money work for you is all about the numbers, stock market performance, and frugal living and while these factors are important, controlling money and leading a good life is mostly about getting the psychological aspects right.

How To: StoveTop Espresso

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By Vincent Scordo on January 20, 2009 | 0 Comments | 1 TrackBack

In my view, espresso is the greatest representation of coffee on the planet. I do enjoy a cup of French Press coffee each and every day but when I crave pure coffee taste, I brew up a batch of stovetop espresso. True espresso aficionados head for a coffee bar or own their own equipment, but I can't justify both the cost of a high end espresso machine and grinder nor the daily expense of buying from a bar or café. In turn, I've been using a 4 cup Bialetti stovetop espresso maker since my college days. The stovetop machine is inexpensive (about $25.00) and produces a good cup of espresso (it's not a true representation of espresso but it's just fine given time to brew, cost, and clean up time). Here's a quick description of how to use your Bialetti stovetop espresso maker:

- Unscrew the top portion of the espresso maker from the bottom portion and remove the metal filter/coffee ground holder.

- Fill the bottom of the unit with fresh, filtered, water (to the top of the bolt on the inside of the base).

- Fill the metal filter with ground espresso, making sure not to pack the grinds but simply filling the filter with enough ground coffee where a small mound is produced.

- Insert the metal filter into the base and tightly screw the top unit to the bottom portion of the maker.

- Place the maker on your stovetop and set on a low burn (it's important not to use a high flame).

You'll begin to hear the espresso come up in about 8-12 minutes depending on the size of the Bialetti unit you've purchased. And you'll know that the espresso is done when no more espresso is coming out of the top unit (simply open the hatch and have a look inside). I like to stir the espresso in the maker before serving.

A note on espresso beans: like any type of coffee preparation the fresher the bean the better tasting your coffee will be. So, you can buy beans and grind them per use, but it can be a labor intensive and messy affair (espresso beans need to be ground very fine). If you're going to go the "grind every day method", you'll need a high end burr grinder.

My preference is to buy pre-ground espresso from Illy or Kimbo. After all, espresso is meant to be a "quick" cup of coffee and not a labor intensive process.

Recipe: Poached Egg with Crumbled Toast

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By Vincent Scordo on January 19, 2009 | 1 Comment | 1 TrackBack

Beyond a perfectly roasted chicken and a plate of linguine with extral virgin olive oil and grated Parmigiano Reggiano there are few dishes that can come close to the texture and flavor of a gently poached egg with crumbled toast.

Here's what you'll need:

- 1 large egg

- Kosher salt and freshly cracked pepper

- Olive Oil

- 1 piece of toasted bread (this can be whatever bread you have around the house)

- 1 tablespoon of red wine vinegar

Bring about two cups of water to a boil and add 1 tablespoon of red wine vinegar (the vinegar will help keep the egg white from dispersing). Place your heat on simmer and gently crack 1 egg into the simmering liquid (some folks use a ladle to lower the egg into the water). Cook the egg for 3.5 - 4 minutes depending on the size of the egg. Next, gently scoop the egg from the simmering water with a slotted spoon; making sure to get rid of as much water from the egg as possible.

In a large bowl, crumble your toast into bite size pieces and drizzle with olive oil and add salt and pepper to taste. Give the mixture a quick toss and place your poached egg on top of the bread (drizzle some more olive oil over the egg and add a bit more salt and pepper).The egg should be runny and your toast should absorb the egg and olive oil. If you happen to have some prosciutto di parma in your fridge, hand shred some pieces over the mixture. Enjoy with a cup of steaming coffee or a glass of orange juice

The Myth of the One-Family Home: Income and Security For Young Familes and Retirees

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By Vincent Scordo on January 15, 2009 | 4 Comments | 0 TrackBacks

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Most Americans aspire to owning a one-family home with a nice backyard and a white picket fence. They imagine their kids riding their big wheel up and down the driveway and family barbecues on their back deck. At face value, there is nothing wrong with owning a one family home, afterall, a home without tenants or extra maintenance comes without worry and strange people living in the same space.

However, what most people don't realize is that a 2 or 3 family home can provide tremendous peace of mind when it comes to income sources outside the traditional 9-5 job and later on in life via your 401K payouts. A multi-family home is, in my view, a more secure retirement vehicle then stocks, bonds, mutual funds, index funds, etc. given that individuals and families will always need a place to live and you, as the owner, can always collect monthly rent from tenants. An index fund, for example, tracking the S&P 500 goes up and down with the market, so for example if you've slowly built up a few index funds over a 20-30 year period and are now (in the current economy) looking to cash out the investments to fund your retirement you'll most likely have less real cash to live on each month. Investing in multi-family real estate can provide a steady income stream for retirees providing they've paid down a good portion of the outstanding mortgage. The income stream is also not tied, as closely, to the stock market or general economic conditions, so, for example, if you're charging a $1,000 per month for a 1 bedroom apartment you're pretty much guaranteed to see that cash every 30 days.

The above scenario is something that I saw first hand, as our family owned a two family home (living on one level and renting out the 2nd floor to tenants). The two family home continues to provide steady income for my parents and will continue to do so well into their retirement years. The other added benefit is that a two family home can provide a space to live for the owner as well, so you can both collect income on the property and enjoy your own space.

For a young couple, a multi-family home can help pay down the mortgage and taxes and eventually generate pure income, as noted above. However, there are some negatives, including renting the apartment every couple of years (as tenants come and go) and doing general maintenance, but in my view the positives outweigh the negatives and I'd recommend both young familes and couples nearing retirement consider buying and owning a multi-family property (over the traditional one family home). There are sacrifices with this type of living arrangement, but in the long term it's a very secure vehicle for monthly income/cash.

Cheap Eats: 4 Recession Proof Ingredients for Cooking at Home

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By Vincent Scordo on January 13, 2009 | 7 Comments | 0 TrackBacks

As I've said in the past, eating out/ordering in is a colossal waste of money and beyond the occasional breakdown or special night out I tend not to reach for the Chinese take out menu or make reservations at our local restaurant very often. My other rationale for not eating out is that I simply will not get the same quality food at 95 percent of the restaurants in our immediate area (including New York City). I'm not a trained Chef, but outside some extraordinary restaurants in New York, I'll take a simple meal prepared at home, with high quality ingredients, over a mediocre restaurant experience. Eating well at home is not rocket science and moreover you don't always need to purchase exotic ingredients to make tasty dishes (the ingredients need to be high quality, but they shouldn't break the bank).

Here are 4 ingredients that can help you eat cheap and well for as long as our recession lasts:

1. Eggs

Eggs are a terrific source of protein and can be prepared in a variety of ways. My two "go to" recipes for eggs include the basic onion and potato frittata and the cheese omelet. I often have eggs for dinner, but aim to keep my egg consumption to 1-2X per week. Also, I've gone back and forth on using organic/free range vs your typical Omega 3 fortified, Eggland, eggs and to be perfectly blunt there isn't much difference taste wise (eggs taste best fresh so only buy what you're going to consume).

2. Tuna in Olive Oil

I always keep between 3-4 cans of Italian tuna in olive oil stocked in my kitchen. My ideal tuna sandwich consists of one can of tuna (do not discard the oil!) with salt and pepper on toasted whole wheat bread. You can also add some fresh parsley and a few slices of tomatoes if they're in season (try it without the mayonnaise, I swear you'll like it).

3. Pasta and Rice

My pasta and rice arsenal includes: thin linguine, angel hair or capellini, linguine, rigatoni, penne rigate, pastine, soba noodles, arborio rice for risotto, Carolina rice, brown rice, jasmine rice, and whole wheat couscous. Having the aforementioned pasta and rice on hand at all times gives you limitless possibilities, including: linguine with olive oil, parsley, and garlic, baked rigatoni with tomato sauce, mozzarella, and Parmigiano-Reggiano, soba noodles stir fried with green peppers, chicken breast, and onion, brown rice with ginger, cilantro, and cracked black pepper, couscous with feta, red onion, cucumber, and olive oil, etc.

4. Whole Chicken

Buying a whole, free range, chicken is the equivalent to getting the deal of a lifetime. A whole chicken gets you two types of meat (dark and white) as well various parts which translate into various types of dishes. I purchase a whole, free range, chicken every other week and butcher the chicken according to my preferences. If I'm interested in making a whole roasted chicken, I'll simply leave the bird as is and make a rub mixture with lemon zest, salt and pepper, rosemary, and olive oil. If I have a little more time on my hands I'll butcher the bird into nine pieces and freeze the parts for various dishes throughout the week, including: braised chicken thighs with fresh mint, breaded and baked drumsticks and wings, thinly pounded chicken breast with shitake mushrooms and sherry wine, etc.

Scordo's Link Round Up: January 12, 2009

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By Vincent Scordo on January 12, 2009 | 0 Comments | 0 TrackBacks

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- Wise Bread has an interesting article on the pros and cons of pre-paying your mortage - I can tell you that I've been giving this one lots of thought and I still haven't come to an easy answer @ WiseBread.

- Dough Roller posted a "festival of frugality" that contains some great information on frugal living, finances, debt, etc. @ Doughroller.com

- The MSN SmartMoney Blog has an article by Trent Hamm of the Simple Dollar on whether it's frugal to pay others to perform a service. @ MSN Smart Money Blog

- MSN SmartMoney blogger Karen Datko posted on the importance of knowing what food costs @ MSN Smart Money Blog

- Clever Dude posts on Suzie Orman and her recent media blitz via Oprah (she's promoting a free book on getting your finances in order). @ Cleverdude.

- Blue Print for Financial Prosperity talks about maximizing your Netflix subscription. @ BargainEngineering.com

- Cooking up a story talks about how high fructose corn syrup was found to not increase obesity rates more so than sugar. @ Cookingupastory.com

- The Art of Manliness gives advice on how to become a better man in 2009. @ Artofmanliness.com

- No Credit Needed talks about 20 things that rock about being debt free @ NCNblog.com

- The Digertalife.com notes how you can watch free TV online. @ TheDigeratilife.com

- J.D. at Get Rich Slowly summarizes the best of 2009. @ Getrichslowy.org

Everyone Needs to Feel Wealthy or How to Live a Good Life Via Food

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By Vincent Scordo on January 9, 2009 | 5 Comments | 1 TrackBack

Most people live beyond their means because they want to feel and be perceived as being wealthy. A Coach handbag or Mercedes-Benz sedan screams, "hey, look at me I can spend money and feel good about it!" Feeling good about buying stuff or a particular type of high-end lifestyle is not inherently a bad thing, afterall we all want to live well and be exposed to nice things (even your most extreme cheapskate feels this way - it's not a Western thing or a by-product of materialism, but rather just human nature). However, there is a trick to feeling "wealthy" but not hopping on the luxury purchase bandwagon; that is, concentrate on items and things that don't have a high premium or cost of entry. So, for example, purchasing a luxury car or watch requires a large sum of money yet purchasing high end foods, although still a bit expensive, does not have the same high cost of entry. My parents, for example, have never driven a luxury car, worn designer clothing, or lived in a highbrow neighborhood, though they spend a considerable amount of money on quality food each week. Eating well provides my parents with their own "luxury lifestyle" at a fraction of the price of most "luxury goods."

I've adopted the same mentality in terms of food and I often splurge on organic meats, vegetables, and fruit. I also aim to buy fresh fish each week and enjoy quality cheeses, breads, and wine. Spending a bit more on food and wine each week makes me (and my family) feel as though I am living a good, high quality, life. And the bonus is that I'm not overextending my weekly budget or taking on any debt to buy my free range whole chicken or bottle of Southern Italian red.

So, try cutting back on obvious luxury buys like jewelry, cars, clothing, shoes, electronics, products that require a monthly fee, etc. and go high end on items that do not have a high price of entry. For our family, as I've said, that luxury item is food/wine. Specifically, here are some things that we buy each week that provide us with a luxurious lifestyle:

1. Organic fruits and vegetables (whatever is in season)
2. Freshly baked bread
3. Free range eggs (they taste better, really!)
4. Fresh, wild, fish
5. Free range, whole, chicken (which we have our butcher cut into parts for us)
6. Whole bean coffee (which we grind, per use, at home)
7. Organic grains
8. Pasta imported from Italy (so much better than stuff made in the US)
9. Italian tuna in olive oil (you'll never buy Starkist again!)
10. Freshly cured olives
11. Various cheeses from around the world
12. Italian Olive Oil
13. Wine (including the homemade variety)
14. Fresh herbs
15. Dark chocolate

In sum, don't be afraid to spend money on things that make you feel special (if you can truly afford the item) because life can quickly become bland and pointless without true, day to day, happiness. I do have a couple of caveats, however, before you treat yourself to some practical luxuries: 1., you should have no debt outside your mortgage, 2., you should have a 6-9 month emergency cash fund, 3., you should be fully invested in your company retirement plan (401K, 403b, etc.) and 4., you should have a few outside investments in your retirement portfolio (index funds, mutual funds, bonds, exchange traded notes, etc.)

Car Buying Tips: Should You Buy a New Car or Hold On To Your Current Model

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By Vincent Scordo on January 7, 2009 | 0 Comments | 0 TrackBacks

I've been giving lots of thought to replacing one of the two family vehicles in our fleet, namely, my wife's 1998 Ford Contour SE. The Contour has only 63,000 miles on it and is in good mechanical shape; however the vehicle does not have any of the necessary modern safety features (including electronic stability control, anti lock brakes, side impact front airbags, rear side impact airbags, etc.). In turn, I'm in a bit of a dilemma because I'd like to keep the vehicle given that it runs well, but there are two huge negatives with the car: 1., the already mentioned safety issues and 2., given that our family will be expanding soon it would be nice to have a vehicle with more interior and cargo space. My frugal side is telling me to drive the vehicle until it dies and put safety and space issues to the side, while my analytical side is telling me to purchase a 2-3 year old, high quality/spacious/fuel efficient, used vehicle with cash.

What the process above has taught me is that it's pretty easy to make a car buying decision when you really need a new car, but it's tough to make the same decision when you have a vehicle that runs well but does not meet safety and everyday practical needs (like cargo room, rear seat space, etc.).

When I'm presented with a tough consumer product purchase I like to lay out all of my options, including whether I will be financing or paying cash for the product and truly get down to whether I need the item or not. In our family's case, I think we will be opting for a slightly used vehicle that has the following attributes:

1. Good reliability, safety, and cost of vehicle ownership.

2. Good interior space (including rear seat and cargo capacity).

3. Good fuel efficiency (gas prices WILL go up again!).

4. Nice, yet classic, interior and exterior styling (even us practical types like a good looking vehicle that will not age!).

5. Good performance (a car should have nice acceleration, with low end torque for merging and moving well from a full stop, as well as good braking and handling). All wheel drive is not a requirement, even though we live in the snowy northeast (front wheel drive with good tires will work just fine).

6. Good value (I don't believe in car payments and like to keep cars as long as possible given that they meet most of the requirements I mentioned above, including safety).

At the end of the day it's my recommendation that you opt for a slightly used, "new", vehicle only if your current vehicle DOES NOT:

1. Meet your current needs in terms of space and utility.

2. Meet current safety standards

3. Run well mechanically (are you constantly taking your vehicle in for service?)

Have you gone through a similar car purchase experience? if so, comment below and let me know how things went!

Guide to Olive Oil

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By Vincent Scordo on January 4, 2009 | 3 Comments | 1 TrackBack

Italians consume olive oil like it's water. My grandparents used olive oil for cooking, shining shoes, preserving food, lubricating machinery (including various shotguns), curing various ailments (including stomach ulcers), etc. I wouldn't recommend you use olive oil to lubricate your shotgun given other alternatives on the market, but if you produced your own olive oil (as my grandparents once did) you'd probably find alternative uses for the golden liquid as well!

If you're going to stick to olive oil for preparing and eating food, then you have plenty of good choices on the US market. First, let's start with some basics about olive oil (including extra virgin olive oil):

1. Olive oil DOES NOT get better with age. In fact, olive is meant to be consumed as quickly as possible (fresh=good).

2. Olive oil DOES NOT like light or warm temperatures. In turn, it should be stored in a cool, dry, and dark environment.

3. Olive oil is a type of fat (like butter and lard) and has a good amount of calories.

4. Unlike butter, for example, olive oil has wonderful health benefits due to its high content of monounsaturated fatty acids as well as high content of antioxidative substances.

5. Olive oil helps lower bad cholesterol and helps with good cholesterol.

6. Extra virgin olive oil is produced without using heat or chemicals (extra virgin olive oil also must have an acidity level of less than one percent).

7. Olive oil is extracted from crushed olives.

Both my grandparents and parents have told me wonderful stories about harvesting olives on the family farm in southern Italy and the process involved to produce both first press olive oil (that is, the first batch of olive oil produced via an old fashioned press. Nowadays, most olive oil is produced via continuous centrifugal presses) and extra virgin olive oil. I've tasted much of the olive oil produced by my family in Italy and to be perfectly honest the olive oil is extremely intense and almost too flavorful and viscous for everyday use (at least for my American palette).

In terms of everyday olive oil that can be purchased in most supermarkets in the US, I have a couple of favorites:

- Filippio Berio Olive Oil for everyday use- I find this olive great for both cooking (frying, sautéing, etc.) and using raw in salads and for finishing dishes (like bruschetta, any type of sauce for meat, etc.). There is a definite olive taste to Berio and it's not overly oily like many mediocre olive oils on the market today.

- Colovita Exta Virgin Olive Oil for items that don't require cooking - I use Colovita Extra Virgin Olive Oil (EVOO as Rachel Ray like to say) for pasta sauces, tomato salads, and for dunging soft crusty bread from my favorite bakery (Sullivan Street!). Unlike celebrity chefs such as Mario Batali, I don't believe in using extra virgin olive oil exclusively in my kitchen (that is to say, for cooking, finishing, raw, etc.).

- Bertolli Olive Oil - Bertolli is very similar to Berio in terms of quality, taste, and use. In fact, I have a hard time discerning between the two, however I do have a preference for Berio if I'm faced with a choice at my local supermarket.

In terms of high end olive oils from small producers, it's really a hit or miss type of thing. I can't recommend a specific brand because of location and distribution. For example, here on the East coast I often buy my extra virgin olive oil from Bartolomeo's Italian Food Emporium (click here for a review of the shop from Jason Perlow at Off the Broiler) that imports the oil from the owner's olive orchards in Puglia (the olive oil is fresh and has a nice balance of flavor and viscosity without being too overpowering or thick). My recommendation on finding specialty olive oil is to try different producers and stick with a brand once you find something you like (also be sure to buy in small quantities unless you plan on using the oil every day). Also, price doesn't equal quality. In fact, I would opt for a fresh, recently produced bottle over an expensive extra virgin, first pressed, olive oil that has been sitting on the shelf for months.

Finally, as I've said about wine, you should only buy and use what you like (don't listen to critics unless you've tried the product yourself).

What Money Can Buy

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By Vincent Scordo on January 2, 2009 | 2 Comments | 2 TrackBacks

They say that money can't buy happiness and I certainly agree. However, did you ever stop to think about what money can, indeed, buy?

Here is a list of ten things that money can help you buy:

1. Money can buy peace of mind. Do you have trouble sleeping at night because you are worried about bills or your current job status? Well having enough money in the bank to not worry about your job for a year or two will let you sleep like a baby.

2. Money can buy you comfort. Do you live in a small cramped apartment with two kids and neighbors above you constantly screaming? Money can allow you to put a 20 percent down payment on a comfortable, quiet, home in a safe neighborhood.

3. Money can buy you a reliable and safe car. Do you drive a late model vehicle that is constantly breaking down or in need of monthly maintenance? Is your vehicle equipped with anti-lock brakes, stability control, and at the least 4-6 airbags? Money can allow you to buy a quality used (or new) vehicle from a reliable manufacturer.

4. Money can buy you a future. Would you like to not work and live well at some future point? If the answer is yes, then money will let you prepare for a future without a boss and making income without working. In short, you can use money to buy stock, mutual funds, index funds, CDs, etc.

5. Money can buy you confidence. Do you swallow your pride and work for an organization or boss that you do not respect or just plain hate? Well, if you have money in a bank account money can give you the courage to walk away from a bad situation and start fresh.

6. Money can buy you the ability to give. Do you wish you could help a not so well off sister or brother or contribute to your local Red Cross? Well, money can help you be more charitable and giving.

7. Money can buy you time. Do you often find yourself wishing you could spend more time exercising, reading, learning to cook, traveling, spending time with family, et. al. ? Retiring early by way of making the right financial moves in life can give you the time to do the above.

8. Money can buy you nice food. Do you clip coupons to the point that you will not buy something you are craving? Do you buy sub par ingredients and generic store brands even when you know quality is poor? Money can help enjoy great meals (including wine).

9. Money can buy you experiences. Do you not travel because you're worried about airline fares and hotel prices? Do you decide often against a trip into the city to enjoy the opera and a glass of champagne? Money can help you expand your mind and bring you places beyond the town you were born in.

10. Money can buy you opportunity. Do you wish you could buy a home in today's economic environment because interest rates are low and home prices have been dramatically reduced? Do you wish you could buy GE stock because it's under $20 and inevitably will rebound to record highs in the near future? Money can help you leverage opportunities that would normally not be able available in ordinary times

How Much Money Is Enough For Your Emergency Cash Fund

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By Vincent Scordo on January 2, 2009 | 0 Comments | 1 TrackBack

Now more than ever the idea of an emergency cash fund is critical. Many personal finance gurus recommend that individuals and/or families put aside at least 3 months of living expenses in a conservative vehicle (such as a CD, money market fund, or traditional savings account). Living expenses include: mortgage, taxes, utilities, food, gas, and car payments.

An emergency cash fund is a must in any economic environment (including good times) as you never know when you may lose your job, need to make an emergency home repair, etc. I also believe that establishing an emergency cash fund should be done early (that is, within the first six months of your first job) and ahead of any other money matter (even before funding your 401K). Having cash at the ready provides a sense of security and freedom and also builds discipline in terms of saving for the cash fund.

I like to have well over 3 months of emergency cash on hand and I would recommend an amount closer to 6-9 months of living expenses. Look for an online money market fund via ING or Vanguard and connect it with your checking account (this way transferring money to your emergency fund is easy and convenient).

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Scordo.com is a weblog about living a practical life, including tips and thoughts on "how-to" and saving money. Scordo.com is run by Vince, a regular guy who, raised by immigrant (Italian) parents in the US, saw first hand how to live a frugal life, save money, and not live like everyone else. You can read more about me here.

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