As I look back on 2005 I cannot help but be struck by the irony of how poorly the richest nation in the world handles its money.

While the strained social security system moved into its seventieth year of existence, many corporate giants yanked the security of pensions from their employees, and the personal savings rate of Americans was paltry at best.

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The holidays can be a tough time for many people, especially those who tend to over compensate for what they lack by spending more of what they don't have. Inevitably the New Year rolls around and you're left holding the empty bag.

The first few months of the year tend to be the toughest for those who have spent too much, but 2006 will be particularly challenging for many as the minimum payments due on credit cards balances will be increasing upwards of four to five percent.

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According to a Federal Trade Commission Consumer Alert, "Employers often use a credit report when they hire and evaluate employees for promotion, reassignment or retention." To some that might seem like "big brother" is watching just a little to close but in the wake of Enron, numerous other corporate scandals and post-911 employers are learning that they can tell a lot about a job candidate and their probability to be a quality employee by their credit report and credit score.

Speaking of candidates, a local Toledo, Ohio newspaper challenged both Republican and Democrat candidates running for office to "show their cards," by giving up their credit reports and credit scores for the voting public to see.

Was this a privacy violation or the publics right to know? Either way you see it, most of the candidates complied, only time will tell how their ability to handle money, credit and debt will effect the publics perception of how well they handle the city budget.

Do you know what your credit report would say about you if your current or future boss asked?

Here's a quick and easy way to tell.

As a former debt strapped college student who contemplated filing bankruptcy - I was doing it for all the wrong reasons, and had I been able to scrape up the money to do it I would have but the lessons I needed to learn about being financially responsbile would not have been learned or lasting. Many years later, I'm grateful that I didn't do it and I now understand how companies have to absorb bad and irresponsible debt which inevitably cause interest rate and price increases; in my case the new bankruptcy laws would have been fair.

As a parent it can be a bittersweet experience to watch your child grow up knowing inevitability that they'll leave the nest and be out on their own. Right? Well not so fast; because without the right financial foundation they may be back on your couch and asking, "what's for dinner?" before you know it.

Preparing your child for the realities of life on their own should start early and be discussed often to ensure they (and you) have the resources necessary to sustain themselves as healthy, happy and financially fit adults.

Learning to manage money, handle credit and understand debt is a process. Here are a few steps to follow that will help you put your child on the path to financial freedom.

There is a reason for the old adage, "Oh what a tangled web we weave when first we practice to deceive." The messes we can get ourselves into when trying to get out of something are often the stuff good jokes are made of.

It almost never fails, after one of my financial literacy workshops an audience member who has made many of the mistakes I suggest they avoid will say to me, "I heard that if I just... then I could avoid..." Whenever I hear the famous last words, "someone told me" or "I heard that if I..." I know a whopper is coming my way.

Most of us aren't strangers to urban myths, and usually they're so funny, strange or just plain outrageous that we wouldn't believe them anyway, but every now and again I'll come across someone who has not only believed one, but acted on some not-so-sage advice and gotten themselves in big money mess because of it.

When it comes to money matters, it's best to separate myth from fact before you separate with your hard earned cash, here are a few financially false urban legends that need to squashed.

Establishing a credit good credit history and solid credit score can be challenging on its own, but what happens when you've had some rough patches that seem to bring your credit score down and keep it there?

Finally there is an alternative for individuals who have proven to be consistent when paying for basic bills not often reported to credit agencies. So, if you've made regular rent, electricity, phone bill, cable, alimony or even child support payments according to the terms of agreements, that information can be used to help you get access to better interest rates and mortgage approvals.

Set to go into effect this month, consumers will now have the ability to request that potential lenders give consideration to their payment practices on other recurring obligations typically not factored into the equation.

Get the facts on how to get credit where credit is due do it at www.prbc.com

It's estimated that the average American has about a three percent "cushion" in their budget for things to go wrong. That sure doesn't leave much wiggle room for real emergencies like a busted transmission or extended time off from work.

But who knew that skyrocketing gas prices would be the cause of such pain to the American consumer? Sure gas prices in other countries are higher (and have always been) then we're used to paying - which is no consolation to us right now; but now more than ever lack of financial planning and saving is hitting hard.

Feeling the pinch at the pump is causing many to dramatically change their buying habits, and spending habits as well. More and more consumers are pulling out the plastic at the pump in an effort to cover the costs.

Unfortunately what's really happening is a prolonging of the pain as the average credit card interest rate is 17 percent and most consumers are already carrying a balance for non-consumable items.

Who taught you about money? How to spend it, keep it, manage it? Do you have a clear answer? If you're like most of us you didn't have a formal introduction to money. You came to know about it through trial and error you just sort of figured it out along the way.

Whether applying for a credit card, completing a rental application, pulling your FICO score, balancing your checkbook or planning for retirement most of us are functioning at an elementary level although based on our age and income we should be mastering more than the basics of personal finance.

A new initiative aimed at adults earning $35,000 to $100,000 per year is helping bridge the financial literacy education gap so that you can get answers to all the questions you need to ask but have been afraid to because somewhere along the way you figured you were just supposed to know the answer and wouldn’t want anyone to know that you didn't.

Take the guesswork out of your financial future. It's time to get smart about your money.

"We've got to do better by our students," this is the thought that comes to my mind as I flip through the newspaper and land on an article I've been quoted in about yet another college student who has gotten good grades but a failing credit score.

I know first hand the struggles that come when you're book smart, but credit stupid and the reality is that far too many of our 20-something, soon to be college grads aren't prepared to pass the test of handling money, credit and debt responsibly.

When more students are filing personal bankruptcy than graduating from college we all need to acknowledge that the consequences of being financially ignorant will be more devastating than just having Jr. come back home to sleep on the couch after college – our children's future and quality of life is at stake.

As parents who are paying pretty hefty price tags for a quality education, you might want to insist that the college of your choice make "Money 101" a required course before graduation.