Business-Comfortable in Coach

First, your private jet — or dreams of private jet — got downsized. Then, your company’s corporate travel budget was slashed and you’ve suddenly found yourself sitting in coach. Look on the bright side: you’re hardly alone. The International Air Transport Association is predicting that airlines will see a 20 percent drop in first- and business-class passengers through 2009, due in large part to corporate travelers whose companies are reacting to the recession by refusing to foot the bill for tickets costing upwards of $10,000 a flight.

Many business travelers are now being forced to fly in coach—or “premium economy” if you’re lucky—where the seats don’t recline into beds and the cocktails aren’t complimentary. In essence, these business travelers are learning to fly all over again…

Saving on Spa Days

Whether you’ve lost your job or you’re struggling to keep the one you still have, there’s no denying it’s a stressful time out there. But even as women cut back on expensive gyms, luxury vacations, and “It” bags, one thing we’re not forsaking is the spa.

According to statistics from the International SPA Association, overall revenues at spas across the country were up last year, even as the total time spent per visit went down. How could that be? It turns out more stressed out women—and men, let’s be honest—are visiting day spas for treatments that take less time, usually 30 minutes or less, than in years past…

Discounts for Students, Past and Present

Maybe it’s been years since the last time you sat in the back row of Econ 101. But if you’ve still got that old student ID card tucked away in a drawer somewhere, then today’s your lucky day.

That’s because college co-eds aren’t the only ones taking advantage of student discounts anymore. With money getting tight in households across the country, an increasing number of budget-conscious parents are unabashedly asking for student discounts on purchases made for their children, while more and more recent grads are holding on tight to college ID cards that haven’t expired and using them to score freebies and discounts well into their twenties and beyond…

Six Splurge-Worthy Buys

At this point, we’ve all heard about bargain shopping in the recession—the budget buys, the sample sales, and the deals we can’t wait to see pop up. But what about the things that never make it to the sale rack? Are we just supposed to do without?

In short answer: No. At least not according to “experts” like personal shopper and stylist Jill Markiewicz, who tells Forbes that “buying a few expensive pieces that you truly want” can actually save you more money in the long run than picking up “a bunch of discounted items” at sample sales all over town.

Of course, Markiewicz’s ideas of necessary buys included Hermès bags and $115,000 Porsche Panameras, which don’t really fly for those of us living on Planet Earth.

So what types of purchases are worth splurging on and paying full price, even during a tight economy? As they say, you get what you pay for, and some areas can’t be scrimped on, no matter what kind of economy we’re living in. Here are a few…

The Recession Will End… in Six Months (End of 2009)

Says who: Wachovia

“In a clear sign that the economic winds have shifted, our recession model puts the latest probability of recession two quarters from now at 37 percent—down significantly from the 80 percent readings earlier this year…the results suggest economic recovery is likely in six months…our outlook is that the recovery will begin in the third quarter of this year.” Wachovia Economics Group

Why it might be false: Who are they to say? Wachovia itself won’t be around much longer as it’s absorbed bit by bit into Wells Fargo. But back to the data: The Wachovia prediction relies on an increase in consumer spending to support economic recovery…

Easy Etiquette, Recession Approved

You may have lost your job recently, but that’s no excuse to lose your manners, too. Of course, with so many friends and family members struggling with unemployment and financial woes, you may not be sure exactly what proper etiquette even entails anymore.

After all, who’s supposed to pick up the check at dinner now that all of your i-banker friends aren’t feeling so flush? And when is the right time to start networking at a party? Today’s recession is quickly changing all the rules, and bringing up questions that no Miss Manners book in the library is ready to answer.

Luckily, a bevy of “etiquette experts” have been doling out recession-friendly advice over the past few weeks and putting together some general guidelines…

Recession Briefing 6.26

What you need to know today to survive and thrive in the recession.

U.S. limousine companies are laying off workers and closing offices as the recession cuts into demand for the shiny black symbols of wealth and power. (Reuters)

The income of Americans soared in May because of the government’s economic stimulus, leading them to increase spending modestly and boost the saving rate to the highest in 15 years. (Wall Street Journal)

Over the next three months, more than 3,200 post offices and retail outlets — out of 34,000 — will be reviewed for possible closure or consolidation. (The Big Money)

According to a study, the economic downturn is making Britons mean, with people ignoring friends’ birthdays and refusing to buy rounds of drinks in the pub. (WalesOnline)

Initial claims for jobless benefits clicked higher once again this week, but amidst that grim news there are hopeful signs that the employment picture may soon improve. (TIME)…

I Want My IRA

In 2001, I made my first contribution to a Roth IRA. I felt very proud of myself at the time. Look at me! I’m responsible. I deserve a gold star. Everybody was raving about the Roth as a great way to save for a home, or your kids’ college tuition, or retirement. A Roth is different from a traditional IRA because the money you contribute (up to a maximum of $2,000 a year per person if you meet certain income qualifications) isn’t tax deferred. People like the Roth because you can withdraw both your money and earnings tax free. You can take out your own money (your original contribution) any time you want, for any purpose, without paying taxes or a penalty, because it’s already been taxed. Plus, your total (contributions + earnings), can be withdrawn without any penalty regardless of your age if you use it for certain approved purposes, like college or $10,000 towards your first home.

All of this sounded fine and dandy to me, so I dutifully made my contributions, be them ever so humble. As time went on, I took the advice of my accountant to distribute Roth money to various “growth” funds, such as Calamos…