Laura Rowley Money & Happiness

I recognize that this year's holiday cheer may be dampened for families hard hit by the economic crisis. So I thought the best approach for my last column of 2008 would be to highlight some resources where consumers can find help, for free, with career and personal-finance issues. And I'll end with a story I've always loved about the meaning of money.

Help with Your Career

According to Challenger, Gray & Christmas, a Chicago-based outsourcing firm, layoffs in financial services could surpass 1 million in 2008. To help laid-off workers, Challenger is offering free phone consultations for job seekers on Dec. 29 and 30 from 9 a.m. to 5 p.m. CST. For free advice, call (312) 332-5790.

Challenger expects heavy downsizing to continue through the first half of 2009, as measures to solve the financial crisis take time to work their way through the economy.

Meanwhile, job seekers have seen their searches lengthen by nearly a month, according to the Challenger Job Market Index. The median job search among those winning positions in the third quarter lasted nearly 4.4 months. That's one reason why boosting your emergency fund makes sense in a recession. Click here for other ideas to help recession-proof your finances.

Help with Your Retirement Planning

Financial markets have delivered a crushing blow to the 401(k) plans of millions of American investors, especially those in or near retirement. If you're concerned about building and protecting your nest egg, the National Association of Personal Financial Advisors (NAPFA) and Kiplinger's Personal Finance magazine are offering two "Jump-Start Your Retirement Plan" days to help.

On Tuesday, Jan. 13, and Friday, Jan. 30, fee-only financial advisers who are members of NAPFA will take your personal-finance questions by phone and online and provide free advice.

These planners, well versed in investments, taxes, insurance, estate planning, and saving for college and retirement, typically charge clients $150 to $300 an hour. To participate in a discussion with an advisor, call (888) 919-2345 toll-free or go to Kiplinger's website on Jan. 13 or Jan. 30 anytime from 9 a.m. to 6 p.m. EST. (Go to the NAPFA website to see the qualifications of these planners.)

Help with Foreclosure

The economic crisis has also taken its toll on home values, which have fallen 17 percent nationwide this year, the sharpest drop in 50 years according to Standard & Poor's Case-Shiller Home Price Index. An estimated 1 in 10 homeowners are either delinquent on their mortgage or in foreclosure.

If your home is at risk, contact a certified housing counselor affiliated with the National Foundation for Credit Counseling by calling its toll-free number, (866) 845-2227. Its Homeowner Crisis Resource Center also offers a free educational DVD called "Avoiding Foreclosure," which shows homeowners how to avoid getting taken in a "rescue" scam. For more, visit their website.

Easing Your Own Credit Crunch

On Dec. 18, the Federal Reserve Board voted to adopt sweeping regulatory reforms on the credit card industry, the most important set of changes in decades. Credit card companies have a year to comply with the new rules, which include limiting interest-rate hikes and over-limit fees; making credit terms more clear; and eliminating double-cycle billing and universal default (the practice of raising your rate when you're late with another bill), among other measures.

While the action will provide better consumer protection going forward, millions of Americans are being squeezed right now and are still struggling to pay down their debt. Americans' credit card debt is approaching $1 trillion, and earlier this year late payments on consumer loans rose to a 16-year high.

Be wary of debt consolidators, especially for-profit ones, who may exacerbate your credit problems. Instead, check out DebtAdvice, and find a local counselor who will offer free budget counseling and debt-management services.

A Money Story

Finally, I want to share a story told by Sister Maria Jose Hobday, a Franciscan nun and author who has written and lectured internationally for 30 years on Native American spirituality, prayer, and simplicity. In the 1930s, her family was living on the edge of poverty:

"One Saturday evening I was working late on my homework. I was in the living room, my brothers were outside with their friends, and my parents were in the kitchen, discussing our financial situation. It was very quiet, and I found myself more and more following the kitchen conversation rather than attending to my homework. Mama and Daddy were talking about what had to be paid for during the week, and there was very little money -- a few dollars.

"As I listened, I became more and more anxious, realizing there was not enough to go around. They spoke of school needs, of fuel bills, of food. Suddenly the conversation stopped, and my mother came into the room where I was studying. She put the money -- a couple of bills and a handful of change -- on the desk. ‘Here,' she said, ‘go find two or three of your brothers and run to the drugstore before it closes. Use this money to buy strawberry ice cream.' I was astonished! I was a smart little girl, I knew we needed this money for essentials. So I objected. ‘What? We have to use this to pay bills, Mama, to buy school things. We can't spend this on ice cream!' Then I added, ‘I'm going to ask Daddy.' So I went to my father, telling him what Mother had asked me to do. Daddy looked at me for a moment, then threw back his head and laughed. ‘You mother is right, honey,' he said. ‘When we get this worried and upset about a few dollars, we are better off having nothing at all. We can't solve all the problems, so maybe we should celebrate instead. Do as your mother says.'

"So I collected my brothers and went to the drugstore. In those days, you could get a lot of ice cream for a few dollars, and we came home with our arms full of packages. My mother had set the table, made fresh coffee, put out what cookies we had and invited the neighbors. It was a great party! I do not remember what happened concerning other needs, but I remember the freedom and fun of that evening. I thought about that evening many times, and came to realize that spending a little money for pleasure was not irresponsible. It was a matter of survival of the spirit. The bills must have been paid; we made it through the weeks and months that followed. I learned my parents were not going to allow money to dominate them. I learned something of the value of money, of its use. I saw that of itself it was not important but that my attitude toward it affected my own spirit, could reduce me to powerlessness or give me power of soul."

Wishing you power of soul in abundance in the New Year.