Color of Money Live

Need advice about how to handle your personal finances? Whether the struggle is saving for retirement, organizing your bank files, or talking about money responsibility with your spouse or loved one, Post personal finance columnist Michelle Singletary was online to offer her advice and answer your questions on Thursday, September 10 at 12 p.m. ET.

A transcript follows.

Read Michelle's latest columns, check out her Color of Money Book Club selection archive or sign up for her weekly e-mail newsletter.

____________________

Michelle Singletary: Welcome. Glad you are here. Let's get started.

_______________________

Washington, D.C.: Hi Michelle - no real question. Just wanted to say thanks for your column and all your advice. Next Saturday is my birthday, but from now on I am also going to celebrate it as my Freedom From Credit Card debt day. I am so happy to be finally finished paying off a credit card debt of about 25K. It took me about 5 years unfortunately, but it feels great to be done. And yes, I only kept one card for things like plane tickets, to be paid off each month. You are so right when you tell people that paying off a debt is like peeling off a layer of worry and guilt. And yet, temptation is still out there. My 11 year-old car is definitely a hoopty. Michelle, I only drive about twice a week thanks to Metro, but those new vehicles tempt. I have to remind myself that having a new car will not feel better than not having a car loan! I could easily qualify for a car loan, but I promise you, I won't do it. I will either fix that car, or buy a modest used one for cash.

Thanks again for all you do.

Michelle Singletary: Oh what a lovely note to start of this chat.

Thank you and you should be very proud that on your next birthday (And HAPPY BIRTHDAY) you can celebrate by having freed yourself from a great bondage!

_______________________

New Jersey: I am a single woman, early 30s, contemplating buying a home. I have no debt, save regularly, and make a decent salary in the 60's range. Generally, I live frugally. I've set my price range $300-350k. Do you think this is within my means?

Michelle Singletary: I can't really say what's in your means without looking at the rest of your budget.

But I know who can help you figure out what you can afford based on your individual finances -- a HUD approved housing agency. Seriously, contact one and they can sit down with you, have you go thru classes and really determine what's affordable for you and where you live or want to live.

Here's the link to find one in your area.HUD Approved Housing Counseling Agencies

If the link doesn't work go to www.hud.gov and look for "HUD Approved Housing Counseling Agencies"

_______________________

Charlottesville, Va.: If you were to consider getting an MBA in your mid-30's, what would you ask yourself?

Michelle Singletary: I would ask the following:

1. How will this help me in my career?

2. Why do I want to do this, really?

3. Is there any chance my employer will help with the cost?

4. Do I have the money to pay out of pocket?

5. Have I done any research to see if getting an MBA will really pay off in the long run? (In the sense of higher pay, better position, career advancement in another field).

_______________________

Dumfries, Va.: Hi Michelle! I really need advice for how to pay down credit card debt to improve my credit score. My credit score (currently 610) has taken a hit for short selling my townhouse. My husband purchased a SFH for less than what I was paying for my townhouse. Living arrangements are great, but we'd like to have another child in the next two years and reduce my credit card debt which now consists of 10k. Fortunately, I do still have a good paying job, but I think perhaps a part-time job will help my family pay down debt even more. I have increased my exemptions from 2 to 7 for Federal in hopes that this extra money will help in paying down the debt. Do you think that is a good idea? Any advice would be greatly appreciated. Thanks!

Michelle Singletary: If you have the time and you can work extra to pay down your debt, go for it.

I would also save as much as you can (emergency fund, life happens fund, etc.) PLUS extra for baby time.

For example, you or your husband may want to stay at home longer than the normal leave. I stayed home with all my kids for six months each. That meant between kids we had to make sure we had enough money saved up for the missed paychecks.

_______________________

McLean, Va.: Michelle, I love your advice and I know this may not be your realm, but my husband and I have been searching for a home and haven't found anything that we liked/been able to get a contract accepted. We were trying to get in under the December 1 deadline for the $8,000 credit. At this point we probably won't, but is there any chance of it being extended? Have you heard anything?

Michelle Singletary: That $8,000 credit is a sweet one and definitely better than the $7,500 available for homes bought last year and which has to be paid back.

So far I haven't heard anything about the credit being extended. As you know, Congress and President Obama are rather busy with duking it out over health care.

_______________________

Kensington, Md.: I have so many questions it's hard to focus. I follow your column and try to follow "Big Mama's" ideas and teach them to my adult children. My partner and I are in a good position with "manageable" debt that I am trying to eliminate before I retire in 12 years. We have retirement savings and a house whose mortgage will be paid within those 12 years, but none of the recommended 6 months backup. Instead we have savings that meets the budget for anticipated expenses that happen a few times a year. We have disability and long term care insurance. We rarely if ever feel the need to dip into a credit card for anything other than getting "points" and paying it off in 30 days. Our adult children are not so lucky. So here's the question. We want to help them financially but believe that may not be a good financial idea for our long term future, putting our retirement on hold - and it might continue to enable their not so careful spending habits. Who can we get to help us crunch numbers? Should we even think of helping them get out from under a mortgage that is more than the value of their home? We see them making efforts in the right direction but we rarely agree with choices they are making on expenses they have (example - a favorite drink at Starbucks never given up). Yet we also make choices others might disagree with - for, example we travel every year somewhere new - paid for usually in cash but we have slipped in the past. Is this the market for us to buy another home FOR THEM, getting them out of their tiny house either at a loss or making it a rental and find some way to make it work financially for all of us? Or is that just a mom trying to rescue her chicks and a long-term bad idea?

Michelle Singletary: Whew!

You do have a lot on you mind. I had to take a breathe.

So I have a rather short answer for you.

You can't make your adult children be better money managers by bailing them out.

So don't.

Have them go to www.debtadvice.org. Suggest they make an appointment to talk to a counselor who can help them create a budget and write down their financial goals and how to achieve them.

As for your own situation, we all slip sometimes -- yes, even me -- just be sure the slip doesn't slide you down the wrong financial path.

_______________________

Will Schtuff make you happy?: Congrats to the first poster. I love how she describes her car situation/tempatation.

We are taught to be such consumers! We can re-program ourselves to see that possessions are a responsibility. Too much clutter weighs us down and will not fill the void we hope.

Michelle Singletary: True that!

_______________________

Maryland: Today I have a job that includes health insurance. If I am laid off, my health insurance (COBRA) for my family will cost us over $1,000 a month. So six months of emergency money has to now include $7,000 for health insurance!!!

We live within our means but now I believe we could easily cross the line into bankruptcy, if we lost our jobs and thus our health insurance and then got sick.

We are upper middle class and it is scary that the only thing between us and bankruptcy is our health insurance and our health.

Save for college? Forget that, we have to save for health insurance ...what a sword to have over your head.

So for folks who have Medicare, folks who served in the military and have VA and others like federal employees and retirees who have secure health care insurance, congratulations!!! The rest of us are a stone's throw away from catastrophe.

Michelle Singletary: You should send this note -- exactly -- to the bum who yelled at the president during his speech last night!

I have no idea which plan or plans offered by democrats or Republicans are best, but I do agree with the nut of what you are saying -- we ALL are just a paycheck away from medical bankruptcy.

_______________________

Success and Excess: I love your column on Success and Excess. I swear I've been saying the same thing for years. Especially with the glorification of Paris Hilton and shows like MTV's "Cribs." All I ever wanted was a stable, secure living and enough money to take a vacation once in a while. My law professor used to warn us about golden handcuffs. Did you see the numbers on the amount of debt Americans paid off in July? It sounds like people are actually starting to feel liberated by paying down debt...there's hope yet.

washingtonpost.com: A Manifesto on Success and ExcessPersonal Finance E-Letter: Enough Is Enough

Michelle Singletary: There is definitely hope.

But unfortunately it took a hurricane, tornado and earthquake in our economy for people to see the folly of their financial ways.

_______________________

Germantown, Md.: I was absoultely appalled by the article in this morning's Post "Banks Ease Burden Of Credit Card Debt." What a sucker I have been - conscientiously living below my means, keeping my credit card balances as low as possible and usually at zero - when I could have bought new cars, taken vacations or otherwise enjoyed the finer things in life. Oh, by the way, Bank of America is paying me one tenth of one percent interest on the money in my savings and checking accounts at least in part because they are losing so much money on credit cards. I am disgusted. Yes, I am sure you can give me a number of stories about people who got in over their heads, but no one forced them to borrow the money. So, now I'm paying twice.

washingtonpost.com: Banks Ease Burden of Credit Card Debt

Michelle Singletary: Already?

This soon in the chat?

Somebody well off bemoaning that they did the right thing?

Surely you are joking?

Yes, you must be?

I'll LOL.

I won't point out that all those people you think are getting away with something are in financial turmoil. They probably paid hundreds of thousands of dollars in interest before they couldn't anymore. Or their marriages are suffering from all the financial bickering. Or their kids are growing up to be spendthrifts.

Or they've had countless sleepless nights worried about their debts.

But yes, they are better off than you.

_______________________

decent salary in the 60's range... [house] price range $300-350k: Whatever happened to the 2.5 X rule? Shouldn't her house price-range only be $150-$175K?

Michelle Singletary: I don't go by that rule. Never have. And besides in this country, where she lives, a house at that price would be in the river (riverboat).

I tell folks to base what they can afford house wise on their net income. Don't spend more than about 36 percent of your net income on housing. More than that and you will likely tank financially or live very, very hard.

_______________________

Cleveland, Ohio: "But unfortunately it took a hurricane, tornado and earthquake in our economy for people to see the folly of their financial ways."

Wonder when the government will realize we cannot spend ourselves out of this mess.

Michelle Singletary: Don't know. The powers to be are too busy shouting at each other.

_______________________

Alexandria, Va.: Hello. I am getting married next month, and my fiance and I have been meeting with a financial planner. He has recommended life insurance and disability insurance. We don't have any assets at this point, but we will buy a house in the next year. Are these insurances necessary? I feel like everything needs insurance! House, car, body, title of house, etc. Now 2 more? Thanks.

Michelle Singletary: I hope you are also getting premarital counseling too.

But as to your question, if you feel that if your new spouse can't make it without your income, get life insurance.

And definitely get disability insurance. You are more likely to become disabled and need it than life insurance.

_______________________

Cocoa Beach, Fla.: The Federal Government violates the public trust every day by refusing to balance the budget. Are there any legal ways to put pressure on the government and force them to balance the budget?

Regards,

Jay Hammett

Michelle Singletary: Vote in better representatives.

_______________________

Falls Church, Va.: My husband and I have such different styles about money. We are not in debt and we both work full time and make pretty good money, but between the mortgage and daycare for our two kids, the budget is kind of tight.

I call him Chicken Little because he is always saying we can't spend any money until after the 5th, etc. It stresses me out when he says something is expensive or that we have no money, but I do not buy frivolous thing (clothes, entertainment, etc.)and I don't know what to do with that information other than worry. My friends think it's funny that I am the spender in our relationship, because they know I'm cheap.

How can we be more on the same page? I've tried telling him to give me specific examples of where we can cut costs, but really he just likes to fret, and make me fret, it seems.

Signed, 2 Worrywarts in VA

Michelle Singletary: Do you guys have a really good budget that you both look at?

It doesn't really sound like it.

And if the issue is you just want a little more "blow" money, sit down go thru the budget and see if he will agree on a kind of allowance for both of you so you won't feel so restricted.

That way you can spend your fun money without the fret.

_______________________

Vienna, Va.: Do you have any idea what the hit might be for refusing to pay one bill? My insurance fully covered a hospital visit but since the allowed amount was greater than than what the hospital wants to collect the difference, i.e, 10% more than their actual cost of service. My current credit score is good, about 750.

Michelle Singletary: Rather than refusing to pay the bill, try to work this out.

In this case a 30 day late, 60 day late, 90 day late (if you don't pay the bill) can hurt your score big time the longer it goes unpaid and reported as such.

Talk to the hospital. Negotiate. Talk to the insurance company and let them know the hospital is trying to get more from you. Call the state's insurance commission to see if you have any recourse.

But for heaven's sake don't just "refuse" to pay and do nothing else.

_______________________

For Dumfries : If you're not taking out any credit in the near term your credit score shouldn't really matter to anyone, right?

Michelle Singletary: Unless you don't need car insurance, homeowners insurance, a job, security clearance, etc.

_______________________

Another "hoopty" owner, VA: Yay to the first poster for keeping her car. Our car is nearly 10 years old, and we are not remotely tempted to replace it. It's a 2000 Maxima GLE, bought new with all the bells and whistles (sunroof and airbags) at the time. Now has 125,000 miles on it. If you buy new or nearly-new, get what you want, and maintain it well with regular oil and other fluid changes, and whatever else it needs, no reason most modern cars can't get 200,000 miles on them before replacing. Budget for maintenance and you won't have to budget for replacement nearly as often.

Michelle Singletary: Good point.

As I like to say, I keep my cars until I'm on a first-name basis with the local tow truck drivers.

_______________________

Md.: don't forget to insure a "non-working" spouse also. I know many couples who have life insurance on the working spouse (usually the husband) but not the stay-at-home parent (usually the wife). They tend to forget that if something happens to her, there will be huge childcare costs that will have to be addressed.

Michelle Singletary: Good point.

Thanks.

_______________________

Washington, D.C.: Strange question. I only have about $25K left on my mortgage. No other debt at all. I have enough to pay it off early but I have heard that having no debt negatively effects your credit score. Is this true? If so, how badly?

Michelle Singletary: And who did you hear this from?

A fool?

Pay the mortgage off.

No debt is good debt.

_______________________

Washington, D.C.: Hi Michelle! Saw you last night on the PBS show- you were great!

Two questions- 1. How much of my TAKE HOME pay should be put towards rent? 2. I have paid off my credit cards (yay!) but still have student loan debt. I don't have an emergency fund or saving at all (was paying credit cards). Assuming I tackle the emergency fund first, where should money go after that- student loans (3-5%) or savings (1.5%)?

Thanks!

washingtonpost.com: Personal Finance E-Letter

Michelle Singletary: Thanks so much.

If you click on the link for my eletter (which I hope you all get and OPEN!!!!) you will see information about the PBS show this person is talking about. It's a really, really good show aimed at young folks.

So I wouldn't pay more than about 36 percent (38 tops) in rent or a mortgage payment based on your net income.

Save for an emergency fund AND a life happens fund (which is for the things in life that happen such as car repairs. This way you won't deplete your emergency fund). And while you are doing that, pay down your debts with the lowest balance first. When that is paid off tackle the next debt with the lowest balance (while of course making the minimum payment on the other debts).

_______________________

Centreville, Va.: I have been saving money every pay check and sending to a credit union. This ensures that I have the cash to pay for car repair etc., rather than use my one credit card (Current total debt is $3,000 and I'm paying on it). I also have savings in a brokerage account- not a huge amount, but enough for one year to live on. I saw that my brokerage account was creeping upward. Do I now send savings to brokerage account which is showing some modest gains or keep sending to credit union to build " life happens" account and not charge anything?

Michelle Singletary: Put any extra money on the credit card debt.

_______________________

Alexandria again: Thank you, for the answer about insurance. I do believe, however, that commentary about premarital counseling belongs in another chat and is out of the realm of what this chat is supposed to provide - financial advice. We are also getting premarital counseling, but I do not believe that that is relevant to the question at hand. Thank you for all you do.

Michelle Singletary: Oh my dear you are SO, SO, So wrong.

First, my chat, my rules. I'm a financial columnist and the realm I choose is to discuss, comment on and give my opinion on every and all things financial.

Don't you know that one of the number one causes of fights for couples, especially new couples is money?

I have a dear friend who is a divorce attorney. She has been conducting her own little survey and has found that 97 percent of the couples getting a divorce did not seek premarital counseling.

Divorce is expensive. It hurts the family. It can financially bust the family.

So every chance I get, I try to encourage couples getting married to get premarital counseling so they can talk about how they plan on handling "their" money and "their" debts.

If you are already married and having trouble in this area, I encourage you to seek help.

So it is what I do. It is what I will continue to do.

It is within my realm.

_______________________

mortgage payment: Just a question about what you include in a "mortgage payment." My monthly payment includes mortgage, condo fees, PMI, and taxes. Should should that entire payment less than 36% of my income (which I honestly don't think is possible in DC!) or just the portion I'm actually paying for the mortgage loan should be less than 36%?

Michelle Singletary: It includes all -- condo fee, taxes, insurance,etc.

And yup, you will find people many are spending 40, 50, 60 even 70 percent of their net pay on housing.

This is why we are in the mortgage mess that we are in.

_______________________

Detroit, Mich.: I'm currently putting 15% of my salary in my company's 401k plan. My company does not offer any match on 401k contributions. I'm not completely happy with the investment choices in the 401k plan, and I've been thinking of scaling back my 401k contribution and putting the money in a Roth IRA instead. What do you think of this plan, and do you know of any website that I could check to see how this move would affect my taxes?

Michelle Singletary: Good plan if you aren't happy with the investment choices.

And not sure of a website to help with the tax question, but a tax professional could help.

_______________________

hospital bill: as long as you are dealing with an in-network institution, they are prohibited by their contract with your insurance company from collecting more than the agreed upon rate. if needed, get a customer service rep supervisor and a hospital AP supervisor on a three way call. make sure the hospital knows you know the score, and they'll stop.

Michelle Singletary: Thanks.

_______________________

Alexandria, Va.: For the young couple looking at disability insurance: remember to look into what sick leave policy you have at work. Get as long a waiting period on the disability policy as practical (six months, maybe). The longer the waiting period, the less the insurance costs. The Fed. gov't and other work places have good sick leave so you might be covered for short-term needs anyway.

Michelle Singletary: I would only suggest the long period if the person is really, truly, honestly going to save the money to take care of expenses until the policy kicks in.

Many people don't.

_______________________

To Vienna: I don't quite understand exactly what the person is saying as far as what the hospital is trying to collect. But if this is the usual thing where the hospital bills the insurance company $X and the insurance company only pays $Y because that is the contracted amount, the hospital cannot bill the patient for the difference. The patient is only responsible for copays and deductibles.

It sounds like the hospital is running the scam where they double bill. Don't ignore, simply provide copies of your insurance statements to the hospital billing office showing you don't owe the money. I've had it happen to me - one time the hospital turned it over to collections, and the collector even backed off when I sent them the statements.

So show them the proof that you don't owe it and if they hospital persists, report them to the state attorney general's office.

Michelle Singletary: Covered this, but doesn't hurt to cover it again.

_______________________

Re: Frugal Husband: If the writer is not managing the books, she needs to listen to her husband about whether they can spend $$ "before the 5th." Every budget has peaks and valleys, timed to when the mortgage or car payment is due, who gets paid when, etc. If the "5th" is when there is money available to spend, that's the way the budget goes.

Signed, The One Who Keeps The Accounts Straight at My House

Michelle Singletary: Good point.

Which why it would be good to include in the budget when she and he can get their fun money. May have to wait til the 15th.

_______________________

Net Income Calcuation Question: Regarding spending no more than 36% of net income on housing: can you please define net income? My husband and I fully fund our 401(k)s and put another $1K in a retirement fund to meet our goals. Is that included in the "net income" number? Also, what about health benefits that are taken out of our paychecks?

I've always wondered this.

Michelle Singletary: For me net is after taxes and tithes.

For you it might just mean after taxes.

_______________________

Virginia: I'm getting married in two months. My fiance's mother is pushing him to get a prenup - saying it's better for both of us that way, and that it will give us one more reason not to prematurely pull the trigger on a divorce, if we get to that point.

I don't understand that logic- and I am horrified by the notion that she thinks I'll decide to get divorced as a way to up my financial status, because that makes less than zero sense to me.

My earning potential is much higher than his, we both own homes, and he has a sizable inheritance that is entirely in trust for his future children. We are both 30, and we have been together for 6 years.

What is your opinion of prenup agreements?

Michelle Singletary: I've never liked them.

But I've changed my mind a bit...a tiny bit.

If you agreed and he agreed and you want to make sure some things are left to children (from a previous relationship) or relatives, I guess it's okay.

I'm more bothered that your future mother-in-law is pushing this. Not a good sign.

Not a good sign that she's all up in your business.

I wouldn't do it. Sounds like you are both bringing in assets. Share it all.

_______________________

Laurel, Md.: Hi Michelle. Thanks for providing excellent, to the point financial advice. Question - Should my husband and I use my gross pay or net pay to determine the correct % of my income devoted to a mortgage/property taxes/insurance? Should we base it on one salary or combined salary? Thanks!

Michelle Singletary: Unless you plan on living off one salary and banking the other for savings, etc. I would base the mortgage on the net of both your incomes.

Remember you are one now.

_______________________

Laurel, Md.: When calculating 36% of net for mortgage payments, you do need to figure how much your taxes will drop due to the interest deduction, right?

Michelle Singletary: I suppose you could, but you should have figured that out when you filled out your W-4.

So hopefully you are not getting more money in your paycheck so you get a big fat refund every year.

If not, your net pay on your paycheck is the net figure you use.

_______________________

Counseling: You said that "Don't you know that one of the number one causes of fights for couples, especially new couples is money."

Based on that fact, it sounds like having a FINANCIAL planner (which the couple has), is much more important than a marriage counselor.

While I respect your position on morality, I believe you should get another chat for topics along those lines. Ask Hax to move over.

Michelle Singletary: Are you too trying to tell me what to talk about on my own chat, my show?

Wrong again.

This is ALL the same. And my friend (and I'm saying that cuz I'm trying hard not to let such nonsense piss me off), money problems often, rarely, hardly EVER have to do with money.

So AGAIN it's my job to get people to look at a lot of things around finances -- especially the emotional stuff which can come out in counseling.

Geesh people.

Do you really think all the people who ask me questions about their debts or marriage stuff only have to do with then not having enough money?

NO.

People have ISSUES.

I try to help them with their issues so they can better manage their money.

I know my job.

Been doing this for years. Been helping people for years.

_______________________

Life happens and Emergency funds: Do you know if it is customary for banks to allow you to open separate accounts for their customers? I have my paycheck directly deposited, and it would be so much easier to deposit money into a Life Happens account and an Emergency Fund account.

Thanks for the great advice.

Michelle Singletary: I have my paycheck going to a lot of different accounts.

You can too. They might not call it an emergency or life happens account, but you can direct your pay to different accounts...at least at my institution.

_______________________

Alexandria, Va.: Michelle, I just wanted to say that thanks in large part to your advice, my husband and I sat down and created a monthly budget and are actually SAVING large amounts of money now! You have no idea how good it feels to save! And the best part is, if I want to buy a pair of shoes, I just think "is there enough money in my fun budget for this?" rather than buying them and worrying "what will my husband say?!" Yay, budgets!

Michelle Singletary: I totally have an idea of it feels. Have for years, since I was a tiny tot.

And now you do too. That's just wonderful.

_______________________

Md.: I am trying to understand the logic of someone who has a year's worth of living expenses in a brokerage account but doesn't outright pay off a $3k credit card bill.

That said, PLEASE don't depend on a brokerage account for those living expenses, because they can evaporate quickly and not be convenient to get to when you really really need it. Good thing to have, just not really the best place to keep your short-term emergency money.

Michelle Singletary: You know thanks.

I did miss that.

Yes, yes. Please don't have your emergency fund and life happens fund invested. Put it in the highest yeilding FDIC insured account you can find.

Thanks for pointing that out.

And I am with you as well...I would take a bit from my year's worth and definitely get rid of the $3,000.

Was reading and typing too fast.

Thanks for the catch.

_______________________

One Salary or Two: No! I would strongly encourage couples to base the amount of house they can afford on one salary, not two, if this is at all possible (yes, houses are expensive). Who knows when one will lose a job or stay home with a baby or something? My husband lost his job 2 weeks after we closed on our house, and we were fine because we could afford it on our income. Stressed, but not like we would have been with a job loss and too much mortgage.

Michelle Singletary: Totally the ideal situation.

Realistically, for many families, it's not possible.

Which is why keeping the percentage you pay for your mortgage or rent as low as possible will be the next best thing.

_______________________

dividing financial and couple counseling in a marriage: Just a note of support. It's silly to separate out the issues. They are entwined.

So you have a financial planner and you feel he's controlling with money. This issue comes out when meeting with the financial planner - like that's a helpful venue!

Michelle Singletary: Thank you.

Somebody with some sense.

_______________________

Success and Excess: "And besides in this country, where she lives a house at that price would be in the river (riverboat)." LOL, thanks Michelle for making me laugh. I needed it.

Speaking of success and excess, I really truly appreciate what you say there too. I hear all the time, from my parent no less, about how I should buy or spend beyond my means because I deserve it. I don't buy into the idea that because I have a brand name item I am somehow so much better off. It's a real battle trying to live within my means and save when I hear the opposite from my family and everywhere in the media. All I want is a stable life with a vacation here and there and no debt. Why is that wrong?

Michelle Singletary: Nothing wrong at all. Good way to run your life.

_______________________

Monthly ups & downs: I -know- we don't advocate credit cards on this chat, but the monthly ups and downs in the bank balance (car insurance this day, mortgage this day) is exactly why my husband and I charge almost everything and pay it off monthly. Then I can (obviously) ensure there's enough money to pay the full bill on the right day, and neither of us has to worry if this isn't the best day to go grocery shopping. But that's ONLY because we have no debt other than mortgage, emergency fund, additional savings, retirement, etc. And it's on ONE credit card so it's easy to pay the bill. Wouldn't recommend it for everyone.

Michelle Singletary: Actually I do see how this can work. And you are so right-- it's so not right for everyone because many don't have your means or discipline.

_______________________

Michelle Singletary: Ugh!

I have to go. So sorry.

I hate to leave your questions unanswered.

But I may tackle your issue in my print column or in my e-letter. Sign up if you haven't already. You can find the link for it on the biz section.

Thanks for joining me today.

Always a pleasure. Always spirited.

Always a help I'm sure to many.

Take care and keep saving.

_______________________

Amen: Money is never just about money.

Counseling is the right way to go. Just ignore them, Michelle.

Michelle Singletary: Had to get this in as final shot.

Thanks.

_______________________

Editor's Note: washingtonpost.com moderators retain editorial control over Discussions and choose the most relevant questions for guests and hosts; guests and hosts can decline to answer questions. washingtonpost.com is not responsible for any content posted by third parties.