October 6, 2008

• a little scrimping goes a long way … qween’s challenge.

  in a world full of debt and foreclosures, pinching pennies is a novel concept.

  many young people have an air of entitlement surrounding them, believing that their meager salaries are meant to be spent on things they “want” or “deserve.”

  i am sad to say that i am very guilty of this.

  i was very fortunate when i graduated college (with no school loans, mind you) — i found a fabulous job that paid a fair amount straight away.

  even though i was paying to drive back and forth to see alex every weekend (he lived an hour away, but i had to drive to pick him up, bring him home for the weekend, then drive him back at the end of the weekend), and we were eating out more than usual, i was able to save a small amount.

  then we got married.

  he was working more hours than ever before, but not getting paid much. our salaries combined would comfortably cover one person, but couldn’t EASILY take care of both of us (plus a dog and cat!). it would be a struggle, we realized, but we could make it work.

  our work hours were just about opposite from each other. when we did have a mealtime together, we would go out to eat (you know, because it was a special occasion and all).

  we indulged in our favorite hobby: movie collecting. not only were we buying movies, but TV seasons, too. (don’t think we were totally dumb; we traded in movies at movie trading co., and found most of our collection on sale for under $10 … geesh)
  
  we would buy our breakfasts and lunches on the run, i’d go pay for an overly-priced haircut occasionally, he’d buy video games, concerts, plays … the list goes on and on.

  in a sense, life was bliss. we never said “no” to doing anything.

  our next step was to buy our first home.

                          we’re still waiting for that step to present itself.

  over the year-plus we’ve been married, i’m ashamed to say we’ve been able to save very VERY little.

  every time we’d get ahead, we’d hit a roadblock.

  gas prices shot up.

  electricity bills doubled for no reason.

  we got a dog. she required thousands in surgeries and other care.

  we’d get sick and have to pay for the expensive non-generic meds (not because we wanted to, believe me!).
  

  
  it got to the point that i was DREADING bank statements or opening bills, because of the money we didn’t or wouldn’t have.

  a few months ago, we finally hit our breaking point.

  see, we didn’t want to turn into the irresponsible adults that we’ve read so many news stories on. i mean, i may be scared to buy a house because of the foreclosure epidemic, but i’m even more terrified i won’t be in a financial position to have the opportunity to even GET one.
  
  so, we came up with a plan. we have to be willing to sacrifice now for our futures.

  how?

  well, here are some small things that are already making a difference in our bank accounts:
  

  • pack meals for work. it’s an extremely monotonous chore to put together the night before, but we’ve figured out it’s saving us about $15-20 a DAY in food. (i’d buy breakfast and lunch, and he’d normally go buy a meal from a fast food joint)

  • use one computer. we’re computer nerds and know it. but by having only one computer on at a time (when we can manage) saves us a few $$ each month on our electricity bill.

  • showers instead of baths. i LOVE a good bath. it’s relaxing to just sit in the suds and chill … but i found that i’d shower in the morning, and take a bath most evenings as a mini-escape. it’s good to do that occasionally, but the amount of water i was wasting to sit in for 15 minutes was just not worth it.

  • do laundry in a TIMELY manner. you’d think this wouldn’t be a problem, right? well, a few months ago we were traveling quite a bit, then i got sick, and the laundry piled up. we didn’t do a load for almost a month. (no worries, we had enough clean clothes to get us through) when it came time to hunker down and do 15 loads, it KILLED our electricity bill. it went from under $150 to $260. in one month. crazy!

  • don’t carry credit cards on you. it prevents impulse buys.

  • pay credit cards on time. if you do incur balances on your cards, be SURE to pay them off ON TIME. fortunately i’ve never had this issue, but many of my friends have. you miss one payment, your interest rate will go through the roof (we’re talk 29-35% minimum, plus fees). you pay on time, you get a better credit score, a higher credit amount bestowed on you and a smiley sticker on your file (one can dream, right?!).

  • invest in a reusable water bottle. we are water whores. every week, we’d buy at least one 24-pack of bottled water. not only is that contributing to the issues with the environment (i’m sure our empty water bottles alone could fill a small landfill) but it’s costly. instead, we bought a few rubbermaid 32-oz. water bottles ($2 at big lots), a couple 3-liter jugs of water at $1 each (texas water is nasty, fyi) and we’re good to go. so instead of spending $30 a month on bottled water, we’re spending about $8 for the jugs. 

  • cut out the overage. we were paying for all kinds of “extra” services on our cell phone. CANCELLED. (in fact, we cut those extras out, doubled our minutes, and still saved $5 a month) we had two cable boxes, one of which we never used. we now save $8 a month after turning the unused box back in. 

  • go generic. last night, for example, i bought bagged cereal (non-name brand) that was twice the size of boxed cereal, and HALF THE PRICE. the best part? it tastes the same.

  • bargain shop. it takes a bit more time and finesse, but actually look at the prices of things you buy, and compare. this is especially handy in the grocery store … you shouldn’t worry about sacrificing quality (in most cases) with these products, because they have to go through the same “quality-control” system that your name brands go through. (note: i still don’t sacrifice name brands on mayo, ketchup or toothpaste, but just about everything else if fair game.)

  • don’t eat out. we were eating out three times a week (average of $30 each time. how we’re not living on the street astounds me). now, we’re going to be lucky if it’s three times a month. plan your meals at home, and come up with ways to make it special (pop in a movie, dress up the table … whatever)

  • don’t buy stupid shiz. this is a big one. we’d go out and buy a new movie when we got bored. we’d buy magazine that’d we’d blaze through in 10 minutes and never pick up again. create a running “wish list” and treat each other to something sparingly. it’s not that we’re not worth it, but you have to look at the bigger picture.

  • pay yourself first. take that “extra” money you would have spent, and put it in a savings account. every time we reach for that new video game or pair of shoes, we’re going to put a comparable amount in our house fund.

  • get a different checking/savings account. we haven’t done this one YET, but it’s definitely on our to do list. some banks have this AWESOME program: spend and odd amount of change, get the rest of the change (rounded to the next dollar) put in your savings account. they even do money matching up to $250 a year. our bank doesn’t offer this service, and i suppose we could do it manually, but i don’t think we’d be as efficient as the bank could be.

  • dream out loud. talk about what your goals for saving are. husband and i talk about the house we’re going to buy, and all the things we want to fill it with. it keeps your goal tangible.

  
  these aren’t quick fixes, and we know we’re not going to have thousands in the bank tomorrow, but in time, we should be able to save a reasonable amount for our future.
  
  (and yes, budgeting sucks. hard core. but it’ll be worth it!)

  the following has been written per a decree from lady qween … be sure to check her out!

  • 7:18 pm
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