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Cash back credit cards can help consumers practice responsible spending while earning a little extra for their efforts when used properly. It wasn’t long ago that the best cash back credit cards were offering rewards as high as 5% for all purchases, but that is unfortunately no longer the case.

Today’s cash back credit cards are all similar in nature, generally offering 1% cash back on all purchases. However, if you look hard enough, you’ll find a number of credit cards with higher cash rebates than just 1%. This article lists the best cash back credit cards you can find today, and I update the article when there is new information to share. Along with a brief description of each of these best cards, I have included the cash back percentages and any tiers or restrictions, so there are no surprises if your cash back credit card isn’t earning as much as you first thought. Keep in mind that in order to make credit card with rewards program worthwhile, you must avoid interest charges and late fees by paying your bill on time and in full every single month.

Editor’s choice

Chase Freedom® Visa - $200 Bonus Cash BackChase Freedom® Visa – $200 Bonus Cash Back. The Chase Freedom Visa – $200 Bonus Cash Back offers a standard 1% cash back on all purchases, as well as the opportunity to earn 5% cash back on select purchases throughout the year, subject to a maximum. Every three months, the categories in which you can earn 5% cash back change, so for example January through March could be gas stations and Amazon.com, April through June might be grocery stores and movie theaters, July through September could be gas stations and restaurants while October through December could be hotels, airlines, Best Buy and Kohl’s. In order to qualify for the 5% cash back, you must have an account in good standing and follow the terms and conditions set forth by Chase. Categories will be announced to cardholders before they happen, so look out for updates from Chase.

The Chase Freedom® Visa – $200 Bonus Cash Back also offers up to an additional 10% cash back (up to 11% total cash back) on purchases made at select merchants when you shop online through the Chase website. The card also carries no annual fee. To qualify for the $200 cash back, you must spend only $500 during the first three months, making it the easy choice for best cash back credit card.

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Free Shipping Day

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Today is Free Shipping Day, and thousands of online merchants are participating in this movement, offering free or reduced price shipping so customers have an opportunity to receive last-minute orders in time for the holidays. Free Shipping Day was founded by an entrepreneur-couple in December 2007 as a location for finding shipping discounts offered by major brands. Since its launch, the service expanded to Canada and the United Kingdom.

While shopping online is convenient, consumers often pay for that convenience through shipping costs and the delay between ordering an item and receiving the delivery. A benefit of ordering online is that you never need to leave your house, unless you prefer to see an item in person before making your purchasing decision.

Package DeliveryLast night, I ventured outside with the goal of upgrading my cell phone. Verizon Wireless released the new Samsung Galaxy Nexus, and I figured this would be a good opportunity to replace my current, sluggish phone. Due to a car accident, traveling to the store took three times longer than it should have, and the store had no phones in stock by the time I arrived. I did have a chance to try the phone in the store, though. The sales representative offered me an opportunity to order the phone from the store, with no guarantee of when the order would arrive, but the price in the store was higher than the price on the Verizon Wireless website.

I realize that the price of this device would likely go down in just a few weeks, but I’ve been looking to get rid of my current phone for about a year. At least I didn’t need to pay a delivery fee. Verizon Wireless is not a merchant on the list of those participating in Free Shipping Day; this retailer offers free shipping in its normal course of business.

Here are the retailers participating in free shipping day.

Photo: kalleboo

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From a branding perspective, each credit card issuer looks to group similar offers with a catchy name, helping consumers to immediately identify a type of credit card with the associated benefits. Chase offers quite a few slightly different cards under the Chase Freedom banner, and while the core features are the same, the offers differ in several details.

All Chase Freedom configurations include one percent cash back on all purchases, beginning immediately. This cash back is earned in the form of points. For example, if you spend one dollar, you earn one point. If you buy two CDs from Amazon.com for $10 each and return one, you earn ten points, not twenty, because the points are based on the net spending. You can cash in the points you earn to receive a check at the rate of one dollar per hundred points. With 2,000 points accrued in your account, a result of spending $2,000, you could request a check or statement credit for $20.

Chase FreedomIn addition to the guaranteed one percent cash back, there are several ways to earn more points.

  • 5% opportunity. If you enroll once a quarter in Chase’s five percent cash back program, you will earn an extra four points per dollar (five points total) in certain spending categories, like gas or restaurants on up to $1,500 spend each quarter. Keep in mind that each merchant must classify the retail establishment correctly in order for Chase to trigger the five percent bonus.
  • 10% opportunity. If you shop online through Chase’s portal, you can receive up to ten percent cash back in addition to the cash back above.

In its television commercials, Chase compares the Freedom card with “the largest cash back card,” a thinly-veiled reference to the Discover More card. One of the points for comparison in the commercial is the fact that the Discover More card offers the five percent cash back tier on up to only $300 in spending. The most you can earn in one year from this benefit is $15, although Discover is increasing this limit. Chase, on the other hand, allows you to earn five percent cash back on up to $1,500 in spending, resulting in a maximum benefit of $75. There was a time when the best cash back cards offered unlimited five percent back on all purchases, but that isn’t the case today.

The points you earn in the Chase Freedom program can be redeemed at Chase’s Ultimate Rewards center. You can trade points in for a check or statement credit as mentioned above and get the typical exchange rate ($1 for 100 points), or you can cash in your points for other benefits like gift cards, sometimes at a better exchange rate.

Chase Freedom comes with some important fees to consider: Read the full article →

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In my old corporate job, upper-level management stressed the importance of work/life balance and flexible working arrangements. The idea of work/life balance stems from the idea that most corporate employees recognize that working in a cubicle is not all there is to life, and despite pressure from supervisors and bosses, family life is important, too. Ignoring unemployment, most households are two-income families, and in order for a family to survive, there must be some consideration for a family’s needs during the day. Often, the message of work/life balance doesn’t survive as it is passed down the ranks from the upper-level executives to the mid-level managers, whose job is to put business needs ahead of just about everything else.

That was the case in my old company when I was there. Upper management saw the benefit of allowing people to work from home occasionally. This flexibility increases productivity and morale, and there’s a new study that proves this assumption, as I’ll describe below. Nevertheless, some responsibilities in that environment could not be done from a location other than the office. That’s an understandable reason for limiting the availability of telecommuting options, but many managers do not trust either the studies or their employees.

Home office deskI’ve had managers who believe that without a line of sight, employees would simply not work. They follow corporate guidelines and allow employees to occasionally work from home, but they’re grumpy about it, and those who do opt to take advantage of flexible working arrangements like telecommuting or alternate hours are viewed as less dedicated to the company and more likely to miss out on rewards like raises and bonuses regardless of performance.

Researchers at Stanford University developed a method of testing theories about working from home to determine, in a controlled environment rather than through anecdotal evidence or less-rigorous testing, whether telecommuting and other working arrangements such as flexible hours are beneficial to a company. The researchers, in a presentation labeled “very preliminary,” note that although work/life balance is used in recruiting, prior to the study there has been no evidence showing a cause and effect relationship between flexible policies and employees or employers. Most of what we “know” about work/life balance today relies on case studies (anecdotal evidence) and human resource surveys. This Stanford experiment set out to change that.

In this experiment, the researchers used a Chinese travel agency with 12,000 employees and a corporate culture modeled after American companies. The sample included call center workers, some who would be allowed to work four out of five shifts from home and others who were not. From a statistical perspective, those who worked from home were significantly more productive. Both quantitatively (number of calls) and qualitatively (judged by call quality assessments), working from home benefited the company. The quieter environment of the home increased concentration and the healthier environment resulted in fewer missed workdays.

From the employee’s perspective, they are more satisfied with their working experience at the company. The firm involved with the test has been so impressed with the results of the study that they are rolling out the plan to the rest of the company.

The next time you have the opportunity to discuss working from home with your manager, be sure to share the positive data.

Do you work from home? If so, are you more productive than you would be in an office?

Photo: C G-K
Stanford University [pdf]

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