Saving Money

Warning: LONG POST :)

Those who know me well know the top things very dear to my heart. Those things are: my family, my faith, advocating, programs, research and acceptance for people with special needs (particularly Down syndrome for reasons known), photography, couponing/saving money and helping people learn to coupon/save money. These are all things I have a strong passion for. A very strong passion.

Today I am blogging about saving money. Posting about couponing and saving money has been on my mind for a while now. It is not always easily accepted, as not everyone has the desire to coupon or the time. I respect that. So I’ve decided to broaden the post and generalize a bit about saving money in general. I feel strongly that it can’t hurt anybody to take a look at your finances and give them a tune up.

I want to point out that I take ZERO credit for anything I am about to say. I truly mean that. I believe we all have gifts, and they should be used to honor the Lord. I hope that you all know what your gifts are and that you are using them as we have been instructed to do- (“ As each has received a gift, use it to serve one another, as good stewards of God’s varied grace” 1 Peter 4:10). I also want to point out that any website I may reference, or any facts I share, are all based on my own research. I have never attended any coupon classes or financial classes (though I have read the Dave Ramsey book a few years ago). These are my own suggestions, not copied from any sites. Take them as you will and only if you truly care about saving money. :)

For beginners:

If you are not interested in couponing at this point in your life, but still want to save money these are some things I would suggest.

• Sit down with your spouse and write down your monthly bills. Include everything, even the fun stuff like going out to eat, movies etc. Truly analyze your spending and see where most of your money is going. Look at your monthly bills and see if there are any areas you can cut back in. Shop around for the best car insurance rates. Most offer discounts if you pay semi-annually or annually. Also consider your deductibles. Raising your deductible a little can make a big difference in the overall payment. If you have Time Warner Cable, I suggest calling them to see if they can help you with any offers that are better than what you currently have. Ask for the retention department to do this. I’ve done it numerous times. Bundle packages are usually cheaper. You may want to consider getting rid of your home phone if you have a cell phone. We did this about 4 months ago and haven’t missed it one bit. Also, if you have any credit cards with balances call the company and request an interest rate reduction. They can do it over the phone in seconds. When looking at your bills, ask yourself- Do I really need 3 DVR boxes and all the movie channels? Do I really need a housekeeper? Do I really need the most glorious cell phone plan offered? Do I really need all of those magazine subscriptions? Of course I am not saying give up everything; just make some minor adjustments to things you can truly live without. I think you will be surprised at yourself.
• We all get the Value-Pack or money mailer coupons in the mail. These are FREE coupons to you. Why not use them? They are full of some really good coupons to local restaurants, dry cleaners, car places for oil changes and repairs, etc. You won’t be labeled or inducted into the “couponing world” for using these, I promise!
• Kids eat free- If you have children, but realize how pricey it can be to go out to dinner, use these lists to find some places where kids will eat free or close to it. http://www.trianglemom2mom.com/free-eats and http://www.wral.com/lifestyles/goaskmom/asset_gallery/6817513/
• Date night- when going out with friends or your significant other, there are many free or close to free things to do in the Triangle. Here is a good website to check: http://www.raleighfree.com/index.html . Another suggestion, if you want to go to the movies, try going to a matinee which will save you lots of money, then have dinner afterwards! Pack a snack in your pocketbook for the movie to prevent you from spending money on concessions.
• Turn off the lights! This is something I continue to work on, but I promise you WILL see a difference in your light bill if you make an effort to turn off things you aren’t using. To help each family member participate, make the person who forgets put a quarter in a family jar each time. Use that money to pay towards the light bill each month.
• Plan your meals. I know this is so hard to do with how busy we all are, but it’s a big one. It is much more cost effective to go to the store once a week (planned) than having to run by there every night or two on the way home. When you run in last minute (usually unplanned), you tend to buy things you may not need or spend way more than you intended. If you sit down for 10 mins each weekend and plan your meals for the upcoming week, you may find you already have some items in your pantry you can use for meals. Make a list and STICK TO IT at the store. Plan for a meal out each week and use one of your coupons from the mail! If you have a Little Caesar’s near you, a large pizza is only $5.55. Grab some salad from the store (FYI, bagged salad is more expensive than the fresh lettuce so the benefit of buying fresh is two fold) and viola- dinner is served!
• Birthday Clubs- most restaurants now have “e-clubs” where you can sign up by email. They will usually ask when your birthday is and also email you special offers on occasion. It is quick and simple and you will be blessed with a flourishing amount of free meal coupons on your birthday. My husband just had a birthday and he received birthday coupons from: Moes, Red Robin, Milton’s, Mimi’s, Chili’s, Cold Stone Creamery and Baskin Robbins. We have enjoyed going out and paying ½ the price!
• Gardening- this is something I hope to dabble in when we move. It is a great way to have your own produce and herbs. We all know how expensive produce can be, so what a great way to save some money. Yes it involves some effort, but the reward is awesome.
• Price point when grocery shopping. Always know your “price point” (meaning what you think is a good deal) for items you typically buy. If you don’t want to coupon yet, at least take the time to look at grocery store sales flyers and see who has the best deals on items you want to buy. Be aware of the items you typically purchase and shop around to see if you can find those same items somewhere cheaper.
• I have to mention this. Refinance your house. Rates are insanely low right now. If you still have rates above 6%, you can do better and save money each month.
• If you enjoy reading and you tend to spend money on books, try utilizing your local library. How many of us go back and re-read books once we are done? Not unless it is a really good one usually. This is also fun for the kids. I enjoy taking Emma to pick out books; we keep them for a couple of weeks and when she is bored, we return them and get new ones. It creates good habits for making yourself read as well!
• Checking account fees and credit cards with points- there are so many free checking accounts offered out there. You should really never pay any fees. Read all the fine print. Some banks will charge you a monthly fee just to send you a statement since a lot of places are moving towards the “paperless” movement. There are also many credit cards that give your points back which you can redeem for many things. I know people who have flown, taken trips and bought many items free all from using credit card points. One *BIG* thing, always remember to pay off your balance each month if you choose to use a credit card for all your purchases. Don’t let yourself get caught up in balances, because then the interest rate kicks in and it can spiral out of control.
• Gift giving- try to shop all throughout the year for gifts. You will be amazed at how many awesome clearance items you will find that make perfect gifts! Just get a storage bin and toss gifts in it throughout the year. When Christmas rolls around, you will kiss yourself while you see all the $ signs from saved money. Always try to shop after certain holidays for good buys. (ie- the day after Christmas, Valentine’s, Easter, 4th of July etc)
• Taking your lunch to work. This one will sting you. Let’s say the average lunch is $7. If you (or your spouse or better yet, both) replace going out to eat at lunch one day a week by bringing your lunch, you will save approximately $364 a year. If you both do it, you will save approximately $728 a year- the estimated annual premium for family car insurance! Imagine that. Wow!
• Take advantage of employers 401K matching. It’s free money to you, why not take it?
• The 30 day rule. This is certainly not my idea but one I have heard many times. If you are thinking about making a big purchase, give yourself 30 days to think about it and make sure you really want to do it. Sometimes the urge will pass. Sometimes it will not :)
• Crock-pot and batch cooking. If you don’t have a crock-pot, buy one! Now is a great time with all the Christmas sales. I love my crock-pot. I use it quite often because it is an easy, painless, no mess way to get dinner going before I leave for work. There are tons of crock-pot recipe websites. Here is a good one: http://www.crock-pot-recipes.info/ . Batch cooking, if you are making a casserole, why not double it and freeze the other one for use at a later time. You will be so happy you did on that day where you just don’t feel like cooking.
• Buy a deep freezer. This was by far, one of my best purchases ever. I love my freezer. It stays full all the time. Yes you spend money upfront, but it is a wonderful investment. You can always look on craigslist for used freezers. You should really never have to pay more than $1.99/lb for boneless, skinless chicken breast. Kroger has Tyson chicken breast on sale almost every other week. That is a wonderful stock up price. Lowes will often have ground beef for $1.99/lb and sometimes Food Lion will have it even lower. I have also started buying split chicken breast. You can get it so cheap (as low as .59/lb sometimes). Split chicken breast is just as good and really good for some crockpot meals (pulled chicken recipes and chicken soups).
• Babysitting swaps- babysitters can be very expensive for a night out. Try to find a friend or two with kids and trade off babysitting to eliminate ever having to pay for a sitter.
• Donations. Make sure you clean out your closets each year and donate your unwanted items! Get a tax write off for your taxes. You will be happy at tax time to have the deduction.
• If you want a meal out, try takeout. You will save on paying for drinks and a tip. That could be as much as a $15 savings.


For the advanced:

Once you have mastered all the above suggestions and you are ready to take it one step further, here are some additional money saving ideas.

• Read the Total Money Makeover by Dave Ramsey. His website is: http://www.daveramsey.com/home/ . I have never attended a class, but know people who have and hear it is life changing. I have read the book and he has some wonderful suggestions for getting yourself on the right financial path. I believe there are budgeting tools and worksheets to help you get started. In my opinion, some of his suggestions are very generalized, meaning they may or may not apply to you. One huge thing I have learned and always like to share with others…it really does not matter how much or how little you make. It is truly about how you spend your money. I can not stress that enough.
• Create a hefty savings account with all the money you are saving from other avenues. With a good savings, you will no longer have to put those unexpected repair bills on a credit card. You will not have to charge a family vacation. Savings is exactly that- saving the money you have earned. Be careful not to carelessly spend into your savings. Use it wisely and SAVE all that you can.
• Work towards paying off your car(s) and any other loans. By paying off these bigger loans, you will free up quite a bit of monthly money, which can be put into savings. Obviously we all can’t just pay off huge loans without working at it, so start small. Pay an extra $100 on your payment to get that principal amount to start coming down.
• Start funds for college, braces, cars, weddings etc. All the big events that your kids will hopefully experience. (Well, braces may not be so fun) :)
• Couponing. There’s that word that scares so many people. And I am going to give you my blurb about it. Feel free to skip over this part if you really have no interest, but BEWARE: big savings can lie ahead. :) You can start small and grow as big as you want. I started about 3 years ago. It has forever changed my life. I spend an average of $50 a month on groceries, toiletries, cleaning products etc. Yes, $50. I save an average of $790/month right now. Last year, my yearly savings was about $17,000 (this is just with grocery and drug stores, not restaurants or clothing). You can do a lot with an extra $17,000. I have not bought shampoo, toothpaste, deodorant, cleaning supplies etc for over a year. The sky really is the limit. Yes it takes time. Yes it takes brain power. Yes I rarely have either of those two things. I work. I have a child with special needs in lots of therapies and tutoring who requires all of my attention 24/7. I’m tired all the time. I have a busy family life. I still make time to coupon somehow, because it benefits my family in so many ways. For those who want to start, I suggest buying newspapers each Sunday. Depending on how big your family is, you may want to buy 2-4 papers. There are many websites that are helpful to getting you started with couponing. There are also people who offer coupon classes, myself included (I know, a shameless plug!). After tweaking your bills and saving as much as you can in other ways, this is truly the kingpin of savings. You have to want it. You have to dedicate some time to it. You are the one in control of how much or little you do. I can promise you it will open up all kinds of doors.
• Work on paying off your house. Ouch. This is of course a HUGE one. I’ve heard that if you pay one extra payment a year, you cut down on the life of the loan significantly. I do know that you should make extra payments and designate they are for the principal. Since we pay so much in interest, these extra payments will go directly to principal, therefore bringing down the balance.
• Meet with a financial planner to make sure you are on the right track with maximizing your resources, savings and have the appropriate investment options. You have to trust your financial planner and know that *most* are looking out for you and your future. Beware when shopping for one, some give out info that is not accurate but I’d say most are knowledgeable and good at what they do. I know a really good one, and he’s cute too! (My husband of course, yep another shameless plug. Well not really, he just happens to be a financial planner).


For the experienced:

My only suggestion for the experienced savers is to make sure you SPREAD YOUR KNOWLEDGE. Use your gifts. Donate to families in need (whether monetarily or with couponing products). Donate to local food banks. Volunteer and do all you can to help others save money. Once you have hit this level, you should feel confident enough to share your ideas and strategies with others.

Thanks for sticking with me through this long post. As you can see, I feel very passionate about it. I want to help others. I want to make others realize they can actually achieve some of their dreams with proper planning and budgeting. Please let me know if you have any questions or need further detail about anything I have mentioned.

Merry Christmas!