Also, be wary of internet sites that offer salary reports, especially for a fee. Such sites often rely on self-reported information that tends to be over-inflated. It pleases the client but sets up the wrong expectation.

The absolute best and unbiased source of salary information is Unites States Bureau of Labor Statistics (BLS) (http://www.bls.gov/bls/blswage.htm). The BLS tracks hundreds of jobs in all major metropolitan cities and its data is used by all serious salary survey companies. The data is public and available free of charge and includes detail job information and pay by skill level. Unless your job is very unique, you will find that you occupation will more or less fit into one of the 800 BLS categories.

The purpose of consulting a salary survey is to find out if your pay is in the ballpark. If you feel deeply unappreciated in your job, it is time to look elsewhere. Otherwise, examine your reason for staying. An extra $2 per hour might not be enough to compensate the loss of a fantastic crew of co-workers or a long commute to a new job.

Compensation is not an exact science; neither is happiness.

- Marie

• Identify the environmental conditions that bring forth success and joy
• Determining desired and authentic future paths
• Overcoming challenges and negative self-talk
• Setting dreams into reality with concrete action steps

There was an exercise that had us think back to when we were younger. What made us happy? What did we want to do with our lives? Through this self-reflection, I learned quite a bit about myself.

My favorite exercise was the success page. I wrote out a ‘headline’ of my success and fame, which included a picture and multiple successes in my life.

Jill spoke of having an “authentic path” and that having goals was the way to stay on that path. In the past two years, goals have shaped and rearranged my life and I’ve realized that I am back on my path.

At the end of the workshop, we each wrote a letter to ourselves. As we are our own best friend and cheerleader, who better to write an encouraging note to be delivered at a later date?

My letter read something like this:

Dear Jenni,

You’re doing a great job putting your life back together. Now that you have some more insight into who you are and where you want to go in life, these should be your next steps.

1. Enroll in classes at HCC
2. Apply to be the Houston Delegate for this year’s Success Summit
3. Take control of your health

My letter arrived in the mail about six months later. As I read it, I realized I had accomplished everything I had written. At that point, I couldn’t help but smile.

A year after the workshop, I met up with Jill again. She recognized me but didn’t recognize me. I had become so much more confident and sure of myself that I was a different person from the one she had met.

I used Jill’s technique and sent myself another letter. I am well on my way to turning my possibilities into realities.

Next week: How I Overcame Shyness to Become the Unofficial Spokeswoman for Dress for Success Houston

Your particular circumstances will determine how much money you should save for retirement. Maybe you have a pension plan, or your Social Security benefits will be large enough to tide you over. If so, you may not need to save as much as other people. But other personal factors will enter the picture, too. If you plan to retire early (e.g., age 50 or 55), you'll have even more retirement years to fund and will need larger assets than someone who plans to work until age 65 or 70. Conversely, you may require fewer assets if you plan on working part-time during retirement.

Your projected expenses during retirement will also help determine how much money you'll need and how much you need to save to get there. Certain costs (e.g., food, utilities, insurance) will be shared by almost all retirees. But you may still be saddled with retirement expenses that many retirees no longer have (e.g., mortgage payments or a child's tuition). Expenses will also depend on the type of retirement lifestyle you want. How many nights a week will you dine out? How much traveling will you do? These kinds of questions will give you a better idea of how much money you'll be spending once you retire. In general, the greater your anticipated retirement expenses, the more you need to save each year to meet those expenses.

Consider hiring a financial professional to help you determine how much you should be saving for retirement.

Hal

The information contained in this document and the results of a financial calculator are provided for your convenience and are designed to be an approximation using information you provide. The accuracy of this calculator and its applicability to your circumstances is not guaranteed and actual results may vary. The calculator results and product information contained in this document do not reflect actual investment results and are not guarantees of future results. They are for illustrative and discussion purposes only and not intended as an advertisement, a disclosure under any consumer law, or an offer of any advice.

Morgan Keegan does not provide legal or tax advice. You need to contact your legal and tax advisors for additional information and advice before making any investment decisions.

This service is provided as part of the brokerage services offered by Morgan Keegan and is not to be considered a financial plan within the meaning of the Investment Advisers Act.

Prepared by Broadridge Investor Communication Solutions, Inc. Copyright 2012.

Here are four tips to help you answer a behavioral question:

• Be very specific. Try and recall a specific situation that closely resembles the one the interviewer just gave you, describe what happened and what you did or said at the time.
• Tell a story. Instead of: “I always try my hardest”, say: “Every time a shipment was late to arrive, I re-arranged the schedules so I would be the one to stay behind and make sure we got what we ordered. I stayed late on Christmas Eve last year.”
• Be yourself. There is no point trying to guess which characteristics the interviewer is hunting for. Why would you anyway? You can try and be someone else for one-hour interview, but you wouldn’t want to sustain that kind of pretense for months on end. If you’re not the right fit, let it go. It was all for the best.
• Turn negatives into lessons learned. The interviewer is likely to ask you a question about a difficult situation or a failure: “tell me a time when you failed” or “tell me a time when you were in conflict with someone”.

This is no time for a deep heartfelt confession of your shortcomings. Instead, describe the situation, own your part, and tell the interviewer what you learned from it and what changed. “Once, I lost my cool with Bob in Accounting. I was very angry about how he handled the Acme account. I got some advice from someone I trust, let a week go by and requested a meeting with Bob. It was hard, but he and I eventually worked out a way to bill the client fairly,” sounds a lot better than “I am working with my therapist on anger management.”

Best of luck with your interview!

- Marie

Andrea Steadman, Accounting manager here at The Greensheet, uses the 30/70 rule when interviewing potential candidates. 30% of her questions gauge skills (traditional questions), while the other 70% (behavioral questions) assess personality and past/potential workplace performance. According to Andrea, “You can teach a person a skill, but personality makes it happen. To be truly effective, you have to own your role.”

By asking behavioral questions, the interviewer can assess:

• How you manage conflict
• How willing you are to step out of your comfort zone
• What makes you different from other candidates

When asked a behavioral question, take a moment to think before you answer. Your response will tell the interviewer a lot about who you are and your work ethic.

When answering behavioral interview questions, think STAR:

Make sure to describe your accomplishments and the situations in detail. This is the time to brag about your successes.

When I interviewed with Andrea, she asked me a few behavioral questions, one of which I remember well:

“If you were working on five equally important projects that were all due on the same day, what would you do to ensure that all five were completed by the due date?”

This question looks at how well you:

• Prioritize
• Delegate
• Work under pressure

So, you could answer: I would make sure to complete each project in a timely, efficient manner. I’d also:

• Start with a to-do list
• Know the current state and priority level of each project
• Plan to complete each project before the deadline
• Request assistance from team members (co-worker/manager) if necessary

An organization’s success depends on groups and how well they work together. Your responses to behavioral questions will give an employer insight as to how you would fit it with the organization’s people, groups and environment.

There are no “right” or “wrong” answers to behavioral questions (each candidate’s answer will reflect their experiences and values). Below are a few additional examples of behavioral questions:

1. Give an example of an important goal that you set in the past and how you achieved it.
2. Everyone has made mistakes or done something that just did not turn out right. Has this happened to you? Explain.
3. Give me an example of a time when you had to go above and beyond the call of duty in order to get a job done.

How would you answer?

Check back next week for an overview of “Possibilities for Women,” a seminar which helped me focus both my goals and future.

However, you may want to file a gift tax return in certain circumstances even if the rules do not require it. For example, you should consider filing whenever you sell hard-to-value assets, such as real estate or stock in a family business, to a relative. This is because the IRS can claim that transactions between family members were actually gifts in disguise. Disclosing such transactions on a gift tax return means that the IRS has only three years to challenge the value.

If you file a federal gift tax return, you must use Form 709 and file by April 15 of the year following the year in which the gift was made.

The federal gift tax rules are complex. If you believe you have made gifts that might be subject to gift tax, you should consult an experienced tax specialist. Check with your state about its own rules regarding gifts, too.

This information is for illustrative and discussion purposes only. Morgan Keegan does not provide legal or tax advice. You need to contact your legal and tax advisors for additional information and advice before making any investment decisions. Morgan Keegan & Company, Inc. Member FINRA, SIPC. Securities and insurance products are not FDIC insured, not a deposit, not an obligation of or guaranteed by Regions Bank, its affiliates, or any government agency and may lose value. This advertisement was prepared for Hal Lynde using material prepared by Broadridge Investor Communication Solutions, Inc. Copyright 2011.

To submit your question, you may contact Hal Lynde at hal.lynde@morgankeegan.com or at 713-840-3640.
For more financial information, go to Hal.lynde@mkadvisor.com.

Employers are less interested in your past personal life than you might think. Newspapers made a lot of noise over a handful of Facebook employment cases, but the reality is that employers rarely investigate applicants’ online past (almost never for entry-level positions).

Chances are that you didn’t post your deepest, darkest secrets on the internet. And if you did, you should be forgiven for making such a youthful mistake.

Your blog, on the other hand, may be of interest to employers. Blogs are a great way to showcase your skills and knowledge, especially if you have little work experience. They can set you apart from other applicants, establish your expertise and demonstrate your creativity.

• When actively interviewing, blog often
• Include a link to your blog on your resume
• Consider including a QR code (which links to your blog) on your resume (it’ll make you look cool and tech-savvy)

As for those home brewing experiments:

• Try to “bury” the posts by removing them from your categories list and archive
• Write and post more blogs. Doing so will push the old articles further down the list
• If confronted, explain your past mistake and assure your interviewer that you are done with that part of your life

Happy blogging to you, my friend and a happy new working life!

- Marie

To make a good first impression, you need more than a suit and great resume. Make sure you prepare (and memorize) a short and professional speech about yourself. Nothing screams I’m lazy like responding to a “tell me about yourself” question with a blank stare. The best way to make sure that this never happens is take to some time to draft and perfect your elevator speech.

An elevator pitch (or speech) is a brief (30-60 seconds) summary of yourself, your skills and what you can bring to the table. It’s a must-have for networking events as well as interviews and usually serves as a conversation starter.

So, what should you say in an elevator pitch?

First:Introduce yourself. I know it sounds simple, but first impressions are key.
Hi, my name is Jenni Zoufalik

Next:A little about your background. Don’t be afraid to brag; they want to hear about your accomplishments.
I was an Office Manager at a pallet company for nine years. I handled everything from supplier/customer orders and invoices as well as warehouse inventory control to driving the forklift and loading/unloading trucks. I am very detail-oriented. While working at the pallet company, I restructured customer and supplier files, something which saved time by making files much easier to locate. I also designed a call sheet to track any comments as well as customer ideas for new pallet sizes or designs.

Then:What interests you? I’m looking for a challenging position that offers many learning opportunities as well as growth and advancement.

Once you’ve outlined what you want to say, be sure to practice and memorize it. You can reuse your speech any number of times; just customize it to the company or group. Once you’ve given your speech a few times, it should become second nature and you’ll start to sound organized and knowledgeable.

And don’t forget the old saying, “Silence is Golden” —

• Pay attention to the person you are speaking with
• Make sure that they are engaged. Once you finish your speech, wait and remain silent
• Give them time to respond and ask further questions.

Oh, and one last thing. Don’t forget to breathe; it’ll help you remain calm, cool and collected.

Have a great interview!

Check back next week for behavioral interview tips

1. How does the salary offer stack up?

What if the salary you've been offered is less than you expected? First, find out how frequently you can expect performance reviews and/or pay increases. Expect the company to increase your salary at least annually. To fully evaluate the salary being offered, compare it with the average pay of other professionals working in the same field. You can do this by talking to others who hold similar jobs, calling a recruiter, or doing research at your local library or on the Internet. The Bureau of Labor Statistics is also a good source for this information.

2. What are the bonuses and other benefits?

Next, ask about bonuses, commissions, and profit-sharing plans that can increase your total income. Find out what benefits the company offers and how much of the cost you'll bear as an employee. Don't overlook the value of good employee benefits. They can add the equivalent of thousands of dollars to your base pay.

3. Are there any personal and professional consequences

Will you be better off financially if you take the job? Will you work a lot of overtime, and is the scheduling somewhat flexible? Must you travel extensively? Consider the related costs of taking the job, including the cost of transportation, new clothes, a cell phone, increased day-care expenses, and the cost of your spouse leaving his or her job if you are required to relocate. Also, take a look at the company's work environment. You may be getting a good salary and great benefits, but you may still be unhappy if the work environment doesn't suit you.

4. What else to consider about whether to accept the job offer

You've spent a lot of time and energy researching and evaluating a potential job, but the hardest part is yet to come: Now that you have received a job offer, you must decide whether to accept it. Review the information you've gathered. Think back to the interview, paying close attention to your feelings and intuition about the company, the position, and the people you came in contact with. Consider not only the salary and benefits you've been offered, but also the future opportunities you might expect with the company.

5. Negotiating a better offer

Sometimes you really want the job you've been offered, but you find the salary, benefits, or hours unfavorable. In this case, it's time to negotiate. You may be reluctant to negotiate because you fear that the company will rescind the offer or respond negatively. However, if you truly want the job but find the offer unacceptable, you may as well negotiate for a better offer rather than walk away from a great opportunity without trying. The first step in negotiating is to tell your potential employer specifically what it is that you want. State the amount of money you want or the exact hours you wish to work. Make it clear that if the company accepts your terms, you are willing and able to accept its offer immediately.

What happens next?
It's possible that the company will accept your counteroffer. Or, the company may reject it, because either company policy does not allow negotiation or the company is unwilling to move from its original offer. The company may make you a second offer, typically a compromise between its first offer and your counteroffer. In either case, the ball is back in your court. If you still can't decide whether to take the job, ask for a day or two to think about it.

Take your time. Accepting a new job is a big step.

The information contained in this document and the results of a financial calculator are provided for your convenience and are designed to be an approximation using information you provide. The accuracy of this calculator and its applicability to your circumstances is not guaranteed and actual results may vary. The calculator results and product information contained in this document do not reflect actual investment results and are not guarantees of future results. They are for illustrative and discussion purposes only and not intended as an advertisement, a disclosure under any consumer law, or an offer of any advice.

Morgan Keegan does not provide legal or tax advice. You need to contact your legal and tax advisors for additional information and advice before making any investment decisions.

• How many people work in the _______ department?
• What happened to the person who previously held this position? And the person before that?
• Has the organization recently laid off employees, reorganized, or been involved in a merger?
• Who owns the company?
• Does the company have a formal compensation plan? How often do people get raises?
• Does the company have a formal performance appraisal plan?
• How will my work be evaluated? How often?
• What is the company’s turnover rate? The department’s?
• Does the company often send people to training?
• How would you describe the company culture?
• What do you like most about the company? Least?

Save all questions about work hours, benefits and salary for later conversations. Remember, a job interview is like dating: you need to fall in love with each other before you can start talking about how to split the bill.

Specific

Measurable

Achievable

Relevant

Time

To live a well-balanced life, you need to set goals in all areas of your life (i.e. family, financial, career, etc.). This week, we’ll focus on professional goals.

Most of us spend eight hours of the day at the office, typically performing the same daily routines and tasks. To stay motivated and goal-oriented, we must look for and learn how to successfully complete new tasks/projects.

One of my professional goals is to continually learn and move forward in my career. To be more specific, I often take on special projects that will benefit both the company and my department. I meet with my employer every month to discuss these projects and any issues related to them.

My current project is to (S) update our vendor W9 forms. This is typically done on a yearly basis and confirms tax reporting information. (M) I started this project in November (when I sent request letters to all of our vendors). (A) We sent our vendors a second request notice last week, so the project is now about 70% complete. (T) All Vendors must return the form by the end of January. (R) We will hold out taxes on any vendor that fails to return the form before the deadline.

Another one of my professional goals (that has now become somewhat personal) is to (S) start and develop a blog for Dress for Success Houston. (M) (A) The program’s director and I have discussed the idea and both believe that it would (R) help DFSH spread its message and reach. (T) We hope to have a plan in place by the end of the month.

Next week: Interview Tips - The Importance of the Elevator Speech…

It's important for you to understand how your particular plan's vesting schedule works, because you'll forfeit any employer contributions that haven't vested by the time you leave your job. Your summary plan description (SPD) will spell out how the vesting schedule for your particular plan works. If you don't have one, ask your plan administrator for it.

Don't spend it, roll it!

While this pool of dollars may look attractive, don't spend it unless you absolutely need to. If you take a distribution you'll be taxed, at ordinary income tax rates, on the entire value of your account except for any after-tax or Roth 401(k) contributions you've made. And, if you're not yet age 55, an additional 10% penalty may apply to the taxable portion of your payout (Special rules may apply if you receive a lump -sum distribution and you were born before 1936, or if the lump-sum includes employer stock).

If your vested balance is more than $5,000, you can leave your money in your employer's plan until you reach normal retirement age. But your employer must also allow you to make a direct rollover to an IRA or to another employer's 401(k) plan. As the name suggests, in a direct rollover the money passes directly from your 401(k) plan account to the IRA or other plan. This is preferable to a "60-day rollover," where you get the check and then roll the money over yourself, because your employer has to withhold 20% of the taxable portion of a 60-day rollover.

Should I roll over to my new employer's 401(k) plan or to an IRA?

Reasons to roll over to an IRA:

• You generally have more investment choices with an IRA than with an employer's 401(k) plan. You typically may freely move your money around to the various investments offered by your IRA trustee, and you may divide up your balance among as many of those investments as you want. By contrast, employer-sponsored plans typically give you a limited menu of investments (usually mutual funds) from which to choose.
• You can freely allocate your IRA dollars among different IRA trustees/custodians. There's no limit on how many direct, trustee-to-trustee IRA transfers you can do in a year. This gives you flexibility to change trustees often if you are dissatisfied with investment performance or customer service. It can also allow you to have IRA accounts with more than one institution for added diversification. With an employer's plan, you can't move the funds to a different trustee unless you leave your job and roll over the funds.
• An IRA may give you more flexibility with distributions. Your distribution options in a 401(k) plan depend on the terms of that particular plan, and your options may be limited. However, with an IRA, the timing and amount of distributions is generally at your discretion (until you reach age 70½ and must start taking required minimum distributions in the case of a traditional IRA).
• You can roll over (essentially "convert") your 401(k) plan distribution to a Roth IRA. You'll have to pay taxes on the amount you roll over (minus any after-tax contributions you've made), but any qualified distributions from the Roth IRA in the future will be tax free.

Reasons to roll over to your new employer's 401(k) plan:

• Many employer-sponsored plans have loan provisions. If you roll over your retirement funds to a new employer's plan that permits loans, you may be able to borrow up to 50% of the amount you roll over if you need the money.
• A rollover to your new employer's 401(k) plan may provide greater creditor protection than a rollover to an IRA. Most 401(k) plans receive unlimited protection from your creditors under federal law. Your creditors (with certain exceptions) cannot attach your plan funds to satisfy any of your debts and obligations, regardless of whether you've declared bankruptcy. In contrast, any amounts you roll over to a traditional or Roth IRA are generally protected under federal law only if you declare bankruptcy. If you are concerned about asset protection, be sure to seek the assistance of a qualified professional.
• You may be able to postpone required minimum distributions. For traditional IRAs, these distributions must begin by April 1 following the year you reach age 70½. However, if you work past that age and are still participating in your employer's 401(k) plan, you can delay your first distribution from that plan until April 1 following the year of your retirement (you also must own no more than 5% of the company).
• If your distribution includes Roth 401(k) contributions and earnings, you can roll those amounts over to either a Roth IRA or your new employer's Roth 401(k) plan (if it accepts rollovers). If you roll the funds over to a Roth IRA, the Roth IRA holding period will determine when you can begin receiving tax-free qualified distributions from the IRA. So if you're establishing a Roth IRA for the first time, your Roth 401(k) dollars will be subject to a brand new 5-year holding period. On the other hand, if you roll the dollars over to your new employer's Roth 401 (k) plan, your existing 5-year holding period will carry over to the new plan. This may enable you to receive tax-free qualified distributions sooner.

When evaluating whether to initiate a rollover always be sure to (1) ask about possible surrender charges that may be imposed by your employer plan, or new surrender charges that your IRA may impose, (2) compare investment fees and expenses charged by your IRA (and investment funds) with those charged by your employer plan (if any), and (3) understand any accumulated rights or guarantees that you may be giving up by transferring funds out of your employer plan.

• Treat volunteer work as “real” job assignments. Describe the projects, your role within them and how you accomplished your goals.
• Experiment with different fonts and looks. Reading template-based resumes over and over again makes recruiters’ eyes bleed. Use a bigger font size, move your name and address to the left of the page, separate your contact information from your work experience with a tasteful red line. Do anything you can to make your resume stand out.
• End your resume with a couple of quotes from references. “Jennifer is a terrific volunteer who can be called upon on short notice” goes a long way toward telling a recruiter about how reliable you are.
• Write your own tag line. Marketers use tag lines to tell a very short story about their product. Position your tag line under your name and contact information. It could list three important personality traits (“Reliable, organized, sensible”) or it could be a short description of your professional expertise (“Reliable office manager with a knack for organizing the disorganized.”)
• Have a sense of humor. Resumes are dreary; a speck of humor will set you apart. Which description would you remember most: “Stay at home mother with an uncanny ability to juggle three children, an elderly dog, a volunteer job and a home office with a million bills” or “stay at home mom?”
• Be professional. Humor and creativity will set you apart, but a resume is not an art project. Avoid collages, photos and colored backgrounds and never, ever send the first draft of your 200-page biography. A light touch is all you need.

Have fun! This is a process. Enjoy, experiment, and take your time.

Good luck,

Marie

In my opinion, the best way to make sure you accomplish a task or goal is to write it down using the SMART method (outlined below).

Specific & Significant – Your goal needs to be clear, specific and positive.

Measurable- Can you easily measure your progress? Are you moving in the right direction?

Achievable- Is your goal easy or difficult? Whether your goal takes few weeks or a few years to complete, you can achieve it.

Relevant- How does the goal affect your life?

Time – Establish a time frame for your goal.

“A goal is a dream set to paper, don’t just think it – ink it!”
- unknown

To help me keep track of my goals, I bought a notebook. I recommend that you do the same. I dedicate each page to a specific goal that I have accomplished, am working towards or am considering (just to serve as a reminder). They are in no particular order, but will be in my next notebook.

Before you set your goals, take a good hard look at yourself and decide who you want to be.

To help you get started, I’d like to share a few of my personal goals.

1. I recently registered for classes at Houston Community College and am working towards my Associate of Arts degree in Accounting (I completed my first two semesters with a GPA of 3.5). I expect to graduate within the next two to three years.



Specific & Significant - Go back to college to pursue both an Associate of Arts and a Bachelor of Business Administration degree.

Measurable – Aim to earn a 3.5 GPA.

Achievable – This goal is rather challenging because I’m a mature, part-time student (thanks to a DFSH scholarship). However, I can achieve this.

Relevant – Absolutely; I currently work in Accounting. A degree should help me get a promotion.

Time – Have a degree plan in place.

2. To train for and participate in a 5K this year. Around this time last year, I had trouble walking around the block.



Specific & Significant - Train for and participate in a 5K marathon.

Measurable – Every time I work out, I will be one step closer to success.

Achievable – Where there is a will, there is a way. Recently, a friend asked me if I would like to participate in a 5K in mid-January. I went jogging and quickly realized that training for a marathon will take longer than a couple of weeks. Since then, I’ve created a workout plan.

Relevant – Exercise and healthy eating habits have enhanced my life.

Time – Houston hosts many 5Ks, so I should have little trouble finding the right race for me within the next 11 months.

Next week: Professional Goal Setting Tips — Using SMART Goals to Help You Achieve Success in the Workplace

In determining your investment goals, there are several questions that can help you and your financial advisor develop an appropriate financial plan.

1. What is your time horizon?
2. What is your investment risk tolerance?
3. What are your liquidity needs?

Once you've answered those questions, you can begin to weigh the three primary investment goals

1. growth,
2. income, and
3. stability or protection of principal-

This will determine how to select specific investments that are appropriate for your financial plan.

Time horizon, risk tolerance, and liquidity needs

There are three key areas you'll need to consider in setting investment goals. You'll need to think about each one not only in terms of an individual goal, but in terms of your overall finances.

Time horizon

Probably the first question you should ask in setting your investment goals is, "What is my time horizon?" In other words, when will you need the money? Are you investing for your young child's college education, or for your retirement 30 years in the future? Or do you hope to achieve your goal in a shorter time frame?

The general rule is: The longer your time horizon, the more risky (and potentially more lucrative) investments you can make. Many financial advisors believe that with a longer time horizon, you have more opportunity to ride out fluctuations in your investments. On the other hand, if your time horizon is very short, you may want to concentrate your investments that may offer a lower return but also greater reassurance about whether the money will be there when you need it. Because a shorter time frame may not give you enough time to try to recoup any losses.

Risk tolerance

Another factor to consider is your individual risk tolerance. How comfortable are you with the possibility of investment loss, or seeing the value of your investment fluctuate? Many investors would forgo the possibility of a large gain if they knew there was also the possibility of a large loss (these investors are known as risk averse). Other investors, so-called risk seekers, are more willing to take the chance of a large loss if there were also the possibility of a large gain.

Keep in mind that, as noted above, your time horizon can affect your risk tolerance. For example, if you're investing for retirement 30 years from now, you may be more willing to face greater risk in exchange for the potential for a higher return than if you're saving to send your child to college in 4 years.

Liquidity needs

Another question you should ask when setting your investment goals is, "What are my liquidity needs?" Liquidity refers to how quickly an investment can be converted into cash (or the equivalent of cash). Real estate, for example, tends not to be very liquid; it can take a very long time to sell either residential or commercial real estate. Publicly traded stock, on the other hand, tends to be relatively liquid, though you might suffer a loss if you need to sell when the market is down. Cash and cash alternatives such as money market accounts are extremely liquid (though even here, some types of cash alternatives may be more liquid than others).

When considering your liquidity needs, don't forget to think not just about your liquidity needs for a given financial goal, but your overall liquidity needs. If you have a stable income, excellent job prospects, an emergency cash reserve, and no pressing financial obligations, you may have fewer concerns about liquidity than someone with a family and no emergency fund who works in an industry that's experiencing layoffs.

Investment goals: growth, income, stability

Once you've determined your financial goals and how your time horizon, risk tolerance, and liquidity needs affect them, it's time to think about how your investments might help you achieve those goals. When considering any investment, you'll need to think about what it offers in terms of three key investment goals:

• Growth: In investing terms, growth (also known as capital appreciation) is an increase in the value of an investment; in other words, you can sell it for more than you paid for it. Your capital is the money you put into an investment initially. If you buy a stock that costs $10 a share and eventually sell the stock for $12 a share, that extra $2 represents capital appreciation, or growth.
• Income: Some investments make periodic payments of interest or dividends. Those payments represent investment income, which can be spent or reinvested. For retirees, income obviously is a key investment goal, but it can be important for other reasons as well. For example, income payments can help offset the impact of the ups and downs of a growth-oriented investment.
• Stability: This is sometimes known as capital preservation or protection of principal. An investment that focuses on stability concentrates less on increasing the value of that investment and more on trying to ensure that it doesn't lose value. If you plan to spend a certain amount of money soon and want to make sure the money is there when you need it, stability might be your primary investment goal.

With each individual investment, there is a relationship between growth, income, and stability. The more an investment offers in one of those areas, the more you may have to trade off in terms of the other two. The key to setting investment goals is to tailor each investment to what you want it to do for you.

You may choose to have a single investment goal for a given financial goal, as in the example of making stability a priority for short-term money. Or you may prefer to combine several investments to achieve a balance among stability, income, and growth so that you maximize your overall returns at a level of risk that you're comfortable with and that suits your financial goal or goals.

Once you have identified appropriate financial and investment goals, you can then begin to select individual investments, and think about how to combine all your various goals and investments into an overall portfolio.

The information contained in this document and the results of a financial calculator are provided for your convenience and are designed to be an approximation using information you provide. The accuracy of this calculator and its applicability to your circumstances is not guaranteed and actual results may vary. The calculator results and product information contained in this document do not reflect actual investment results and are not guarantees of future results. They are for illustrative and discussion purposes only and not intended as an advertisement, a disclosure under any consumer law, or an offer of any advice.

Morgan Keegan does not provide legal or tax advice. You need to contact your legal and tax advisors for additional information and advice before making any investment decisions.

This service is provided as part of the brokerage services offered by Morgan Keegan and is not to be considered a financial plan within the meaning of the Investment Advisers Act.

Prepared by Broadridge Investor Communication Solutions, Inc. Copyright 2012.

• Develop a standard paragraph that you can include in all future cover letters
• State the job you are applying for, at least one reason why you are interested in the job and your main qualifications
• If appropriate, state that (upon request) you are willing to provide samples of your work and/or references
• In your conclusion, make a statement about how much you would love to be contacted for an interview
• Have a couple of friends or a professional resume writer review and critique your letter. Tweak it until you are confident in its quality
• Make sure to proof your paragraph before you hit the “send” button. Spell check and make sure the information contained within it is correct. Nothing annoys a recruiter more than receiving a cover letter either addressed to another company or that lists a disconnected phone number

A business-like cover e-mail shows that you are both serious and interested enough to take the time to write a note. That can be enough to give you an edge over a candidate who simply sends his/her resume. Whatever you do, remember: short and professional is always a safe bet.

The program taught me that the first step towards financial responsibility is to develop a budget and keep accurate records of your spending habits.

I began writing down every penny that I spent, something which turned out to be harder than I originally thought. I was amazed at how much I spent on ‘little’ items that I would not normally think twice about buying.

I also took note of my emotions while shopping.

Was I happy, sad, or somewhere in between? The patterns were very telling. I spent more money when I was happy - I like to shop for accessories (mostly ‘little’ household items and clothing).

About the same time that I was accepted into DFS’ program, I hit my 90 day mark at The Greensheet, typically the point when a human resources representative meets with a new employee to discuss their 401K and benefits. Thanks to the Financial Literacy Program, I was able to ask our HR team knowledgeable questions and make informed decisions.

• How much I can contribute to my 401K?
• Will my 401K transfer from my previous employer?
• What pre-tax benefits do you offer?

The program also teaches that a large part of being financially responsible is making sure your credit report is accurate.

You can get a free copy of your credit report from www.freecreditreport.com once per year. Just remember that the site will only provide you with your credit report (not your credit score).

Once you obtain your credit report, inspect it to make sure that:

• You are the only person listed on the report
• The addresses listed are correct/current
• The companies on your report are companies you do business with

If you notice any discrepancies, notify the company listed and the reporting agency.

Here are a few mistakes that I found on my credit report:

• Someone else’s name was listed on my report: Jennifer E. Seaver (wasn’t that the sister on Growing Pains? -- No, it wasn’t… lol)
• Two social security numbers
• Several companies that I have never requested credit from were listed

I am still working to resolve a few of these issues; it’s a time consuming, back and forth (but necessary) process.

You can also ‘repair’ your report by taking care of any outstanding balances and contacting companies; they are happy to speak with you.

The information on your credit report can affect several different areas of your life, from potential jobs to homes. The more aware you are of what’s on your report, the better off you will be.

Whether you are employed or prospecting, having a clear grasp of your finances will assist you in making the best decisions.

Check back next week for tips on setting personal goals.

Building your cash reserve

If you haven't established a cash reserve, or if the one you have is inadequate, you can take several steps to eliminate the shortfall:

• Save aggressively: If available, use payroll deduction at work; budget your savings as part of regular household expenses
• Reduce your discretionary spending (e.g., eating out, movies, lottery tickets)
• Use current or liquid assets (those that are cash or are convertible to cash within a year, such as a short-term certificate of deposit)
• Use earnings from other investments (e.g.,stocks, bonds, or mutual funds)
• Check out other resources (e.g., do you have a cash value insurance policy that you can borrow from?)

A final note: Your credit line can be a secondary source of funds in a time of crisis. Borrowed money, however, has to be paid back (often at high interest rates). As a result, you shouldn't consider lenders as a primary source for your cash reserve.

Review your cash reserve periodically

Your personal and financial circumstances change often--a new child comes along, an aging parent becomes more dependent, or a larger home brings increased expenses. Because your cash reserve is the first line of protection against financial devastation, you should review it annually to make sure that it fits your current needs.

This information is for illustrative and discussion purposes only. Morgan Keegan does not provide legal or tax advice. You need to contact your legal and tax advisors for additional information and advice before making any investment decisions. Morgan Keegan & Company, Inc. Member FINRA, SIPC. Securities and insurance products are not FDIC insured, not a deposit, not an obligation of or guaranteed by Regions Bank, its affiliates, or any government agency and may lose value. This advertisement was prepared for Hal Lynde using material prepared by Broadridge Investor Communication Solutions, Inc. Copyright 2011.

To submit your question, you may contact Hal Lynde at hal.lynde@morgankeegan.com or at 713-840-3640. For more financial information, go to Hal.lynde@mkadvisor.com.

• Keep building your skills - You’ve started by helping your neighbor. What else can you do? Volunteer for projects at work, church and/or your children’s school. Sign up for a college course. Buy a few books. Find and attend free webinars and online classes that pertain to your new field. Research membership in a professional organization. Converse with experts in your new field to find how they do their job.
• Prepare your story - You will need to convince a new employer that you are capable of doing the job of your dreams. What story will you tell on your cover letter and during the interview? Be prepared to answer questions about your new abilities and anticipate objections. Practice your answers with a trusted friend or family member.
• Network - Tell everyone you know about your career change. Enthusiasm is contagious and word of mouth is a very powerful tool.
• Rewrite your resume - List your new project at the top of your resume. Most recruiters will only spend a few seconds looking at a resume. Listing your new project at the top increases should increase your chances of being picked for an interview. Consider hiring a professional resume writer to help you with the task.
• Market yourself - Think of yourself as a small business. You have 40 hours per week to sell to a prospective employer. How should you market yourself? There are plenty of free tools available to you. Sign up for a Linkedin account (www.linkedin.com). Post your resume on www.monster.com. Use Facebook to let the world know what a talented person you are. Advertise your services with The Greensheet.

Good luck with your new job.

Over the next two months, I plan to use this blog to share lessons I’ve learned in the DFS program and hopefully, help you reinvent/advance your career.

Job seekers, here’s your first tip:

Contact your local Texas Workforce Commission office – such offices offer classes focused on resume writing, thank-you notes, and interview techniques as well as other employment-related topics.

Also, set up a meeting with a career counselor to request a DFS referral (DFS membership is by referral only).

For those of you looking for a more advanced lesson, take a look at the tips listed below.

Networking is Key

• Join job groups - They’re there to assist you
• Make it known that you’re actively seeking employment - You never know where your next lead might come from

Don’t Get Discouraged

• Maintain a positive outlook under all circumstances - In time, you’ll find the right job
• First impressions matter – Try to look and feel your best at all times

Be Prepared

• Adapt your resume to each position for which you apply
• Research the company before you interview
• Always carry business cards that include your name, phone and e-mail address
• Perfect your elevator speech - Three minutes on who you are and what you can bring to the table (skills, personality, etc.)
• Deliver a handwritten thank-you card to each company at which you interview

Check back next week to learn how to keep your personal finances in order.

*The thoughts and opinions expressed in this blog are those of the author and may not reflect the views of Dress for Success.

Secured credit cards are also a good way to get started. Your credit line is secured by your deposit in the bank, minimizing the creditor's risk. For example, if you deposit $500 in the bank, you get a credit card with a maximum limit of $500. As you use the card and make payments, you establish a credit history. These cards have high interest rates, but your goal is only to charge what you can afford to repay. As you repay the debt, you establish a repayment pattern seen by other creditors.

You may qualify for a department store charge card or gas card. Because these cards have lower credit limits and may be used only with the companies that issue them, the lending guidelines may be more liberal than those for major credit cards.

If you still have difficulty obtaining credit in your own name, consider a collateralized or cosigned loan. With a collateralized loan, the item you pledge as collateral (such as a car) minimizes the risk to the credit grantor. With a cosigned loan, your cosigner is equally liable for the balance. Spreading the responsibility for repayment in this fashion minimizes the lender's risk. Successful repayment of these types of loans can then be used to establish your own credit history.

This information is for illustrative and discussion purposes only. Morgan Keegan does not provide legal or tax advice. You need to contact your legal and tax advisors for additional information and advice before making any investment decisions. Morgan Keegan & Company, Inc. Member FINRA, SIPC. Securities and insurance products are not FDIC insured, not a deposit, not an obligation of or guaranteed by Regions Bank, its affiliates, or any government agency and may lose value. This advertisement was prepared for Hal Lynde using material prepared by Broadridge Investor Communication Solutions, Inc. Copyright 2011.

To submit your question, you may contact Hal Lynde at hal.lynde@morgankeegan.com or at 713-840-3640. For more financial information, go to Hal.lynde@mkadvisor.com.