Money Talks Expert - Stacy Johnson

Stacy Johnson is the author of two books written specifically to dispel the myth that making and saving money is mysterious and out of reach... unless, of course, you pay someone to do it for you.

"It just isn't that difficult. Who wants to read 1,000 pages on saving and making money?" is how he started the whole process of writing Life or Debt (Ballantine, 2001 Hardcover). And quite honestly, as far as Stacy is concerned, managing your money and investing it for financial freedom is as easy as pie.

I've worked closely with debt counseling organizations for the better part of two decades and have read a lot of the most popular educational books and brochures out there. While most of these works are excellent educational pieces, few are motivational in nature and even fewer are enjoyable reads.

The mechanics of dealing with debt are simple. The challenging part is in the execution, because changing the way we behave requires changing the way we think. And changing the way we think takes a great deal of motivation.

Life or Debt takes an entertaining, motivational approach that engages readers and brings about a new way of thinking. But don't take my word for it...look at what people have said who have actually read the book. That's the only way to know if the book does what it promises. - Stacy Johnson

Stacy received his degree in accounting in 1977 from the University of Arizona, and his CPA certificate in 1981. In 1981 he began a career as an investment adviser and over the next 11 years worked for three of Wall Street's largest firms: EF Hutton, Shearson-Lehman, and Prudential Securities. Along the way, he added to his CPA with licenses in life insurance, commodities, mutual funds, and real estate.

His career in television news started during the stock market crash in 1987. The local ABC affiliate in Tucson put him on the air as an expert interview on the topic. A few days later the station hired him as a regular for daily stock market reports and analysis.

His book writing career started in 2000 when paging through ridiculously thick, verbose books on debt reduction and "simple" money management.

THE THINGS WE OWN REALLY OWN US by Humberto Cruz, Corpus Christi Caller-Times

For years I've had the reputation of being "frugal," although "not wasteful" would be far more accurate. Yet I can go around our house and point to waste.

For example, the more than two dozen music CDs in my collection that I never liked much and never listen to anymore. Two polo shirts, each worn once, have hung in my closet for years.

For all the wasteful items on my list, I realize now I've traded five months of my life.

That's how long it would take me today, after taxes and work-related expenses, to earn the extra money I'd already have if I hadn't spent it on things I don't use, and had invested it instead.

That's the main lesson I took from the "Life or Debt: A One-Week Plan for a Lifetime of Financial Freedom" (Ballantine Books, 194 pages, hardback, $22.95). The author, South Florida resident Stacy Johnson, created and hosts the syndicated "Money Talks" segments that air on about 80 TV stations nationwide.

For those struggling to get out of debt, I highly recommend Johnson's book. But even if you have no debt, you can benefit. Johnson devotes 45 pages to "205 Ways to Save," such as buying Christmas decorations in January when prices are cheaper, and avoiding expensive extended warranties on appliances.

Still, the main thrust remains how to control expenses, get out of debt and stay out.

"My experience is that for every person who has money to invest there are 20 who first need to pay off their credit cards," said Johnson, a former stockbroker.

As the book says, "Becoming wealthy has almost nothing to do with income or investment know-how. Accumulating wealth comes from avoiding debt, living below your means, and investing sensibly and consistently."

Johnson's debt-busting strategy is also what I've advocated for years. Keep track of all your expenditures, so you can decide which ones are worth it. Eliminate what you don't need or is not a priority, and pay down your debt. Finally, invest the money you're no longer wasting in interest payments.

"Our willingness to trade our lives for things we don't really want or need comes as a result of moneylenders and other advertisers pandering to basic human nature," Johnson wrote. "But you may find that what brings you the greatest joy involves very little money, maybe none at all."