Our unemployment tips are a guide that could help you get back on track in these uncertain economic times. It has been quite a year! Across the board regardless of industry, it seems like this time around no one is immune.

     Over one million people have lost their jobs this year and the year is not yet over. We know that many companies are still looking to drop the axe before the year is over.

     Now that it has happened to you don’t despair, stay angry or worried. You have to switch gears rapidly and prepare for the next step in your journey.

     Let’s be real things are tough now BUT trouble don’t last always. At some point this economy has to turn around and you need to polished and ready. Here is what you need to be doing now.

     1. Sign up for unemployment ASAP - This one is a no brainer, if you are eligible for unemployment look into getting your benefits immediately. Your human resources officer should have given you this information

     2. Register At A Job Agency - If you are not eligible for unemployment, get to a job agency immediately and register. Let them know that you will take anything because right now you need money. This is not time to pick and choose – it’s a temporary job!

     3. Update your resume - Remember to include the high profile projects you worked on, and any additional training/skills you learned on the job.

     4. Get an email account dedicated to you job search - You can get free email accounts from gmail, aol, or any other server. Keep it classy –forget sexygal@...or juicy..@...

     5. Network. Network. Network. - This is one of our key unemployment tips Call everyone you know and let them know that you are looking. Don’t overlook anyone – former colleagues, church members, neighbors, your alumni organizations, you fraternal organizations, book club, investment club.

     Whatever group you are a part of, ask them to be on the look out for you. Also ask your former boss and be on the lookout. He or She probably knows others in the industry and may know who is hiring. Stay in touch with your former boss. Get their contact information (besides the office email and phone number because if they too get terminated you still want to be in touch)

     If a person in your network has lost his/her job ask what unemployment tips that they have to dispense. Sometimes two heads are better than one. Tag team brainstorming may lead to ideas that you haven't thought about

     6. Update your skills - Technology is king today. If you are not computer savvy your chances will be diminished. In most cities, there are community organizations that offer computer classes either low cost or free so ask around and get registered for a class.

     7. Stop spending - You don’t have the luxury of spending money except on the necessities right now. Cut back on anything that is not a necessity.

     8. Contact Your Creditors - If you were barely making ends meet before you were laid-off. Get in touch with your creditors and negotiate terms that will allow you to keep paying so you can avert any damage to your credit. Definitely call your mortgage company.

     9. Use this time to reassess what your life’s goals - This may be a wonderful opportunity for you to either explore starting your own business, a career change, or doing both. Think about the activities/hobbies you enjoy doing and how it can make money for you. Start planning multiple ways to earn income.

     When I was laid off eight years ago from my job in the television industry I used it as an opportunity to start a wonderful career in teaching and explore other steams of income as well. Remember this economy will turn around and you want to be poised to deliver and capitalize on what it has to offer when it turns around. Take a look at my 40 Days To the New Year plan that is sure to help you in this area.

     10. Keep a positive attitude - This is one of our foundation unemployment tips. In the face of adversity You MUST stay positive. By thinking positive your thoughts will manifest themselves into positive actions that could lead to a new job opportunity.

     Now that you have some extra time on your hands start exercising daily and reading motivational books to keep your mind flowing with positive thoughts. Also think about volunteering at a local nursing home, shelter , hospital or school. Enjoy the sense of gratification you feel from helping someone in need. Who knows, you may meet some valuable contacts there.

WASHINGTON — Taxpayers wishing to claim their Haiti relief donations on the tax return they are filling out this season must make those donations by the end of this month.

     Individuals and corporations have until midnight on Sunday, Feb. 28, to make cash contributions to charities providing earthquake relief in Haiti. These contributions can be claimed on either a 2009 or 2010 return, but not both. Contributions made after that date but before the end of the year can only be claimed on a 2010 return.

     Contributions made by text message, check, credit card or debit card qualify for this special option. Donations charged to a credit card before the end of February count for 2009. This is true even if the credit card bill isn’t paid until after Feb. 28. Also, checks count for 2009 as long as they are mailed by the end of this month and clear your financial institution shortly thereafter.

     Taxpayers can benefit from their donations most quickly by filing their 2009 returns early, filing electronically and choosing direct deposit. Refunds take as few as ten days and can be directly deposited into a savings, checking or brokerage account, or used to purchase Series I U.S. savings bonds.

     This special provision, enacted Jan. 22, does not apply to contributions of property. Eligible contributions must be made specifically for the relief of victims in areas affected by the Jan. 12 earthquake in Haiti. Gifts made directly to individual victims are not deductible.

     To get a tax benefit, individuals must itemize their deductions on Schedule A. Those who claim the standard deduction, including all short-form filers, are not eligible.

     Taxpayers should be sure their contributions go to qualified charities. Most organizations eligible to receive tax-deductible donations are listed in a searchable online database available on this Web site under Search for Charities. Some organizations, such as churches or governments, may be qualified even though they are not listed on IRS.gov. Donors can find out more about organizations helping Haitian earthquake victims from agencies such as USAID.

     The IRS reminds donors that contributions to foreign organizations generally are not deductible. IRS Publication 526, Charitable Contributions, provides information on making contributions to charities.

     Federal law requires that taxpayers keep a record of any deductible donations they make. For donations by text message, a telephone bill will meet the recordkeeping requirement if it shows the name of the donee organization, the date of the contribution and the amount of the contribution. In addition, for text message donations of $250 or more, taxpayers must obtain a written acknowledgement from the charity. For cash contributions made by other means, be sure to keep a bank record, such as a cancelled check, or a receipt from the charity showing the name of the charity and the date and amount of the contribution. Publication 526 has further details on the recordkeeping rules for cash contributions.

     A diverse economy, growing work force and friendly business climate attract more businesses to the Lone Star state every day. Texas Comptroller Susan Combs’ office regularly presents free taxpayer seminars throughout the state to help new and existing business owners understand their state tax responsibilities.

     Nine seminars will take place throughout March at various locations across the state. A complete list of locations, dates and times is available at www.window.state.tx.us/taxinfo/seminars.html.

     At the seminars, taxpayers can learn about sales tax forms, filing and paying taxes electronically, taxable goods and services, e-services to help taxpayers manage their accounts online, the Comptroller’s e-mail subscription service that alerts taxpayers when new tax information is posted online, and the array of other services and information available from the Comptroller’s office to assist taxpayers. Comptroller representatives will answer questions and provide assistance to attendees.

     “A strong and diverse business community is the key to Texas’ economic strength,” Combs said.  “We are committed to assisting Texas businesses by making taxes simpler, smarter, faster and, above all, transparent.  We owe it to our taxpayers to provide the best customer service possible.”

For more information about the seminar in your area, call the Comptroller's field office in your area.

     Those who are unable to attend the seminars can call the Comptroller’s tax assistance line at (800) 252-5555.  Tax forms and tax information can also be found on the Comptroller’s Web site, www.window.state.tx.us.

Recently President Barack Obama was quoted as saying " We do not have a minute to waste". He was speaking in response to the current financial crisis of epic proportions.

     While there now seems to be a huge void – actually now it more like a massive black hole in Washington D.C. President Obama has methodically and quickly assembled most of his Economic team whose brutal task it will be to rebuild this economy.

     The Republicans, the ones who got us into this mess keep flapping their mouths and are seemingly out of ideas themselves. But let's not beat a dead horse.

     President Obama’s aggressive policies seemed to have brought somewhat of a lull in the tremors that Wall Street has been feeling for the past several weeks.

     His team consists of the Heavy Hitters of the Economic world past and present. All of them seem to be well respected and knowledgeable in finance and economics. My only concern is will they all be able to get along! We know what can happen when great minds converge and egos have not been checked at the door. But enough of the cynicism.  We do not have a minute to waste!

     What does this mean for you and me. Well, obviously we are not out of the woods yet. So we must have a plan for our family finances. Here are our we do not have a minute to waste priorities:

     1. Save money - Even if it is $1 or $5 a week. Start saving. If you are already doing that, GREAT keep it up.

     2. Pay off debt - Make more than the minimum payment each month and make larger payments to the cards with the highest interest rate.

     3. Live Simply and Sufficiently - Especially that we are in the holiday season. Retailers are desperate to increase their bottom line so they will try all the gimmicks to lure us into the stores. RESIST THE TEMPTATION to buy what you don’t need unless of course, you can afford to.

     4. Don’t panic or be fearful - And having a plan will help in this regard. Whatever is in your control to do make sure you do it. So take a deep breath and plan your work and work your plan then let God do the rest.

     5. Find ways to earn more money -  If you got a tax refund last year you are paying Uncle Sam too much. Increase your deductions so you can take home more. Also think of ways you can use your talents and skills to earn more money - develop multiple lakes of income.

     6. If you have not yet done this year's taxes make sure you take advantage of every possible tax deduction you can take.

     These are not novel ideas but many people consistently fail to take the steps that will get their family finances back in order. in the recession on the 1980's the national savings rate was 13% so this enabled people to weather the storm. Now the savings rate is a dismal 0.3%, thus it is very difficult to stay above water.

By Mellody Hobson

     I am preparing my taxes by myself for the first time and want to get them done right.  What are the most common mistakes people make on their returns?  Tina, Milwaukee, WI

     The timing of this question is great and will hopefully prompt other people to start getting organized. Let’s start with some common mistakes that are fairly easy to avoid.

     Every year, a significant number of taxpayers fail to include their Social Security number on their return or provide an incorrect number. Believe it or not, many people also forget to sign and date their returns. Just remember, in the IRS’s mind, if you do not sign your return, you did not file it. You should also be sure to double-check all of your math.  Lastly, when mailing your return, there are a few obvious, but important, things to remember: Use your best penmanship to address the envelope; always include your return address; double-check your postage to make sure you have enough, and make sure your envelope is sealed tightly. Ultimately, you would hate for your return end up at the wrong destination or get there without all of its contents. 

     What is the easiest way to avoid these types of mistakes?

     If you’re preparing your own returns, like Tina, I definitely recommend e-filing with the help of tax preparation software, such as Turbo Tax. In the case of potential mathematical errors, e-filing reduces your chances of making a mistake, as the computer software is designed to automatically check your math. E-filing also utilizes digital signature capabilities through an assigned pin number, so you do not have to worry about forgetting to sign and date your tax return.  In addition to reducing the chances of silly mistakes, e-filing offers other important benefits. For example, on average, it takes about two hours to prepare your return with e-filing, versus 10 hours to complete it using pen and paper. And, if you are owed a refund, you will get your money twice as fast. In fact, by e-filing, you can receive your tax refund up to three weeks earlier than traditional paper filers. The IRS also offers resources to help you e-file for free by visiting their Web site: www.irs.gov. 

     Are there other common mistakes that do not fall within the “silly” category?

     Yes. One of the most challenging areas for people is itemizing deductions. Whether to take the standard deduction or itemize your deductions depends on the type and amount of deductions you plan to claim, as well as your tax situation. Tax preparers are a good resource for determining how to handle your deductions, but if you are preparing your taxes on your own, tax preparation software, such as Turbo Tax, often offer good information and tools for those who itemize their deductions. Unfortunately, every year, millions of dollars are left behind by tax filers who are unaware of available deductions and credits.  This includes everything from tax deductions for first time homeowners to home improvement products that encourage homeowners to convert to energy efficient products. This is particularly important since there are even more tax deductions available for 2009 as a result of the stimulus package.

     Anything else that Tina should be thinking about when preparing her taxes?

     Another common issue is not having all of your paperwork in order to support the information presented on your return. If the IRS is unable to verify the information, they will make adjustments impacting your refund amount or taxes owed. That said, make sure you have every receipt for itemized deductions, including charitable donations. If a charitable donation is over $250, you must have a letter from the charity evidencing the donation amount.  And, if you received something in return for the donation, you are only allowed to deduct the amount over the value of the item. For example, if you donated $150, and you received a $100 gift item in return, you are only allowed to deduct $50. 

     Lastly, when submitting your tax return, make sure you attach your W-2, including other tax forms that evidence taxes withheld during the year along with all applicable schedules. And don’t forget to report all of your income — whether it be from investments, alimony or self-employment. Just because you do not receive a 1099 does not mean you are exempt from reporting it on your taxes. The penalty for not reporting additional income can be quite high. Not only will you have to pay taxes on that amount; the interest will be about 6 percent per year and you could incur penalties up to 20 percent. 

     Does making a mistake on your taxes automatically result in an audit?

     While making a mistake typically does not automatically send the IRS knocking at your door, it does raise red flags about your filing. That said, the IRS increased their staff in 2009 by 5,000 to 7,000 and plan to do more hiring in 2010. This increase in staff allows more capacity to review filings and conduct audits. So, while everyone should always be diligent about preparing their returns, this year, you really want to make sure you have dotted all your i’s and crossed all of your t’s.

     The unemployment gap between white Americans and the minorities has dramatically increased during the recent recession, according to a new report by the Economic Policy Institute (EPI).

     According to official figures 9.7% of American adults were unemployed at the end of 2009. But the percentage of whites who were unemployed at year's end — 8.1% — was well below the national average, while African-Americans and Hispanics saw rates of 15.5% and 12.4%, respectively, the report said.

     Though the national unemployment rate for each group roughly doubled between the end of 2007, when the recession kicked off, and the end of 2009, there was noticeable rate disparity along racial lines in certain states, according to EPI analyst Kai Filion.

     In five US states among the worst-affected by the recession — Alabama, Illinois, Michigan, Ohio and South Carolina — the unemployment rate for black workers is forecast to exceed 20 percent.

     The study predicts that the unemployment rate for white workers will have grown by 5.0 percentage points from the beginning of the US recession in December 2007 to the third quarter of 2010.

With the popularity of cells phones constantly on the rise, sometimes it almost seems as if they are a necessity,  and some people have even ditched their land lines in favor of cell phones.

     With the confusing contracts, costly extras to you in, and ridiculous roaming charges the price for communication can be through the roof. Like any other expense, the key to keeping the bill down is to learn about the fees you are paying and be strategic. Check out our list of 15 tips on saving money on cell phone bills.          

     Get rid of services you don't use- Call your provider and remove any service you don't use very often like unlimited 411 or roadside assistance.

     Go pre-paid- Great for people that don't use cell phones a lot.

     Family plans- If you are responsible for a number of plans, getting a family plan can help you cut back on phone bills. Just be sure to educate everybody on your plan about the cost of extra services like text messaging and ringtones.

     Watch your texting habits- With rates around $0.10 per text, the price of constant text messaging sure adds up. Restrict "texting" to times when it wouldn't be appropriate to make a call like work meetings, or during a speech.

     Or get unlimited text messaging- If you are a textoholic, consider paying an extra monthly fee for unlimited text messaging services. Those that are constantly texting away will save money paying for unlimited service, rather than each individual text message.

     Don't get caught up in the extras- Ringtones and graphics cost around $2.50 each, and sure do add up. Some phones have a "record" function, simply record a song you already have and use that as your ringtone.

     Skip 411- Directory assistance can cost you $50-60 annually. Use the phone book, yellowpages.com or free 411.

     Flat-rate plans- If your constantly on the phone, you may benefit from a flat-rate plan. You never sign a contract, and simply pay a flat rate each month for unlimited service.

     Beware of roaming charges- Always keep track of when roaming charges apply to avoid paying through-the-roof fees.

     Don't call toll-free numbers- Save calling 1-800 numbers, and other toll-free lines for your home phone. Although it is a toll-free line, your still paying for the minutes.

     Employee discounts- Ask your employer if you can get a discount with any sort of provider. Some employers have deals with cell phone companies, and allow employees to save 10% and up. Hey, its worth asking.

     Evaluate your existing plan- You may need to downgrade if you are paying for a ton of minutes you don't use.

     Get an evaluation- For a $5.00 fee, you can upload your phone bill at fixmycellbill.com. They evaluate your plan, and give you personalized tips to save money.

     Get rid of your insurance- Unless you have a brand new, high dollar phone save money by dropping this extra. With rates around $5.00 per month, the annual cost is about enough to buy a new phone.

     Check voicemail from a land line- Did you know you don't have to use your own phone to check voicemail? Slash minutes by calling from a land line.

By Texas Attorney General Greg Abbott

According to the Federal Trade Commission, Texas ranks second in the nation for identity theft complaints. In 2008, nearly 32,000 Texans were identity theft
victims and, as a result, lost thousands of dollars and hours of time attempting to correct their credit ratings and personal financial history.
Identity theft occurs when a criminal illegally uses someone else’s personal information – a name, address, driver’s license number, credit or debit card account number or Social Security number – to commit fraud or other crimes.
Fortunately, increased identity theft awareness has made Texans much more cautious about freely providing their personal information. One particularly sensitive part of a person’s identity is his or her Social Security number (SSN). Many Texans call the Office of the Attorney General (OAG) to ask when and where they are required to give out their SSN.
One of our most commonly received questions on this subject is, “Can a private business ask for my Social Security number?” Generally, the answer is yes. The
law does not prohibit a business from asking for a person’s SSN; however, the customer has options and does not have to provide that information.
Texans are not legally required to provide their SSN to private businesses unless the transaction is one which triggers mandatory Internal Revenue Service notification. Texans should be aware, though, that businesses can refuse to provide products or services to customers who fail to provide their SSN.
If a business insists that customers provide their SSN and customers feel this is not justified, customers may want to ask for a supervisor or manager to discuss the situation. If the company is unwilling to budge, Texans may want to consider taking their business elsewhere.
Be aware that while federal law does not forbid a business from asking for a person’s SSN, it does mandate that the business protect any numbers it collects.
People who provide their SSN to a private business should familiarize themselves with the company’s privacy policy.
Texas law also requires that businesses safeguard their clients’ sensitive personal information, including names, addresses, financial information and SSN.
The OAG has charged several commercial vendors with unlawfully failing to protect such information.
Many Texans also inquire about government agencies and whether they have the right to ask for a person’s SSN. Federal law does compel government agencies to ask for a SSN in certain instances.
For example, certain government agencies, including taxing authorities, human resource offices and departments of motor vehicles, can require a SSN as mandated by federal law.
Federal law does provide protections when citizens are required to divulge their SSN. The Privacy Act of 1974 requires that all government agencies that request Social Security numbers provide a disclosure statement on the form. The statement explains whether citizens are required to provide their SSN or if it is optional. Additionally, the document details how a person’s SSN will be used.
The Office of Information and Regulatory Affairs in the U. S. Office of Management and Budget provides guidance and oversight regarding the Privacy Act of 1974. Interested Texans may read the Act on the U.S. Department of Justice
Web site at www.usdoj.gov.
The Privacy Act also provides that citizens cannot be denied government benefits or services if they refuse to disclose their SSN – if the disclosure is not required by federal law or if the disclosure is to an agency which has been using Social Security numbers prior to January 1975.
Texans who are asked to give their SSN to a government agency but do not receive a disclosure statement may want to cite the Privacy Act and contact their U.S. congressmen or senators.

WASHINGTON — Individuals and businesses making contributions to charity should keep in mind several important tax law provisions that have taken effect in recent years.

     Some of these changes include the following:    

     Special Charitable Contributions for Certain IRA Owners

     This provision, currently scheduled to expire at the end of 2009, offers older owners of individual retirement accounts (IRAs) a different way to give to charity. An IRA owner, age 70½ or over, can directly transfer tax-free up to $100,000 per year to an eligible charity. This option, created in 2006, is available for distributions from IRAs, regardless of whether the owners itemize their deductions. Distributions from employer-sponsored retirement plans, including SIMPLE IRAs and simplified employee pension (SEP) plans, are not eligible.

     To qualify, the funds must be contributed directly by the IRA trustee to the eligible charity. Amounts so transferred are not taxable and no deduction is available for the transfer.

     Not all charities are eligible. For example, donor-advised funds and supporting organizations are not eligible recipients.

     Amounts transferred to a charity from an IRA are counted in determining whether the owner has met the IRA’s required minimum distribution. Where individuals have made nondeductible contributions to their traditional IRAs, a special rule treats transferred amounts as coming first from taxable funds, instead of proportionately from taxable and nontaxable funds, as would be the case with regular distributions.   See Publication 590, Individual Retirement Arrangements (IRAs), for more information on qualified charitable distributions.

     Rules for Clothing and Household Items

     To be deductible, clothing and household items donated to charity generally must be in good used condition or better. A clothing or household item for which a taxpayer claims a deduction of over $500 does not have to meet this standard if the taxpayer includes a qualified appraisal of the item with the return. Household items include furniture, furnishings, electronics, appliances and linens.

     Guidelines for Monetary Donations

     To deduct any charitable donation of money, regardless of amount, a taxpayer must have a bank record or a written communication from the charity showing the name of the charity and the date and amount of the contribution. Bank records include canceled checks, bank or credit union statements, and credit card statements. Bank or credit union statements should show the name of the charity, the date, and the amount paid. Credit card statements should show the name of the charity, the date, and the transaction posting date.

     Donations of money include those made in cash or by check, electronic funds transfer, credit card and payroll deduction. For payroll deductions, the taxpayer should retain a pay stub, a Form W-2 wage statement or other document furnished by the employer showing the total amount withheld for charity, along with the pledge card showing the name of the charity.

     These requirements for the deduction of monetary donations do not change the long-standing requirement that a taxpayer obtain an acknowledgment from a charity for each deductible donation (either money or property) of $250 or more. However, one statement containing all of the required information may meet both requirements.

Reminders

     To help taxpayers plan their holiday-season and year-end giving, the IRS offers the following additional reminders:

     Contributions are deductible in the year made. Thus, donations charged to a credit card before the end of 2009 count for 2009. This is true even if the credit card bill isn’t paid until 2010. Also, checks count for 2009 as long as they are mailed in 2009 and clear, shortly thereafter.

     Check that the organization is qualified. Only donations to qualified organizations are tax-deductible. IRS Publication 78, available online and at many public libraries, lists most organizations that are qualified to receive deductible contributions. The searchable online version can be found at IRS.gov under Search for Charities. In addition, churches, synagogues, temples, mosques and government agencies are eligible to receive deductible donations, even if they are not listed in Publication 78.

     For individuals, only taxpayers who itemize their deductions on Form 1040 Schedule A can claim deductions for charitable contributions. This deduction is not available to individuals who choose the standard deduction, including anyone who files a short form (Form 1040A or 1040EZ). A taxpayer will have a tax savings only if the total itemized deductions (mortgage interest, charitable contributions, state and local taxes, etc.) exceed the standard deduction. Use the 2009 Form 1040 Schedule A to determine whether itemizing is better than claiming the standard deduction.

     For all donations of property, including clothing and household items, get from the charity, if possible, a receipt that includes the name of the charity, date of the contribution, and a reasonably-detailed description of the donated property. If a donation is left at a charity’s unattended drop site, keep a written record of the donation that includes this information, as well as the fair market value of the property at the time of the donation and the method used to determine that value. Additional rules apply for a contribution of $250 or more.

     The deduction for a motor vehicle, boat or airplane donated to charity is usually limited to the gross proceeds from its sale. This rule applies if the claimed value is more than $500. Form 1098-C, or a similar statement, must be provided to the donor by the organization and attached to the donor’s tax return.

     If the amount of a taxpayer’s deduction for all noncash contributions is over $500, a properly-completed Form 8283 must be submitted with the tax return.

Information from the Texas Comptroller indicates that City of Tyler sales tax revenues have decreased 15.2 percent as compared to this period in 2008.  This translates into $445,114 less funding than in the same month last year.

     Year-to-date revenues have declined 12.61 percent which is an improvement of .27 percent over last month. December revenues are still nearly $200,000 less than collections in 2007 and $8,000 less than the same period in 2006.

     The reported revenue of $ 2,483,311.76 is comprised of $ 1,655,541.17 general sales tax revenue and $ 827,770.59 half-cent sales tax revenue.  The figures represent receipts from October collections, as there is a two month period before revenue is reported.

     Other East Texas cities experienced similar monthly declines in sales tax revenue, including Lufkin with a 20.31 percent decrease; Lindale with a 20.20 percent drop; and Longview with a 23.99 percent decrease.

     “We are watching our sales tax revenues closely as well as our expenditures,” said City Manager Mark McDaniel.  “We will begin our budget process in January – which is several months early – to ensure we are prepared to respond if revenues continue to drop.  When preparing for our current year budget, we anticipated that it would take some time for the local economy to rally and are prepared should it  take longer than expected.”