Money Monday

Christmas Cash ( Thank Sharron for putting this in my head.)

I know we just got done with that holiday, however there are less than 365 until it is here agian.  So...we must plan ahead.  A few ideas to help you do so are:

Make a per person budget.  List all those you buy for. Include Giving Trees, church Christmas events and other such carities you participate in.  Divide it out by month or by paycheck and start saving that cash now.

Make a gift wish list.  For example my one and only princess wants an American Girl doll.  Oh joy to my budget.  LOL!!  So we will see, those things are quite spendy, but my kids only get stocking from Santa and one awsome gift from Mom and Dad (this year we got a Wii plus a game per person and one family game).
So knowing this is what Girlie wants I can now keeps my eyes and ears open for any cool deals on these ouch spendy dolls.  Plus I can look at sales, clerance items, internet deals through out the year for all of those on my gift list.

Work towards a goal.  I mean literally work.  My family works at our local fair every year for our house hold that equals Christmas cash and ride money.  What can you do to earn that gift money during the year?

Gift swap. What do you make that you can swap with a friend for something they make?  I have a cousin-in-law who makes beaded jewlery.  Anouther is a scrap book wiz.  I like to make sewing crafts.  We haven't done a swap as of yet but maybe one day we would.  It is an idea.  Think about it.

DIY. Make it a home made Christmas.  Now don't fool yourself this takes planning.  Both time and money.  It can be very rewarding though.  It is also great it you have a great stash of craft supplies, fabric, canning jars and wood.  A great stash of leftovers from other projects can save tons of cash.

Well those are my ideas.  Do you have any you want to share?

Money Monday

Kid Speak

What I have talked about this far about what to expect under our tree Christmas morning.

Money is tighter this year for us. We are trying to get out off debt and be better prepared for what ever may come. As a result our Christmas gift budget is much smaller and *GASP* all cash.

So for this year (and those to come) I told my kids that Santa has been asked to only bring stalkings. I explained to them that we have been very blessed to have all of the wonderful things we do have. I told them that Santa would then be able to give more to those kids who really needed it. They agreed.

We are getting a pretty cool family present but that will be it. They will be happy enough I am sure.

As for presents between my kids...i think we will go for some semi-homemade gifts. My kids LOVE to be crafty so this will turn out great. I will post when we start working on them.

Money Monday

NO!!!

No, we are not going out to dinner.

No, you do not need more Lego's.

No, you are not having whoppers when we leave the store.

No, you do not need that really cute pair of red peep toe heels with the bow. NO! :)

"...when we were newly married and had very little money. I was in the air force, and we had missed Christmas together. I was on assignment overseas. When I got home, I saw a beautiful dress in a store window and suggested to my wife that if she liked it, we would buy it. Mary went into the dressing room of the store. After a moment the salesclerk came out, brushed by me, and returned the dress to its place in the store window. As we left the store, I asked, “What happened?” She replied, “It was a beautiful dress, but we can’t afford it!” Those words went straight to my heart. I have learned that the three most loving words are “I love you,” and the four most caring words for those we love are “We can’t afford it.”"

Becoming Provident Providers Temporally and Spiritually May '09 Ensign
Elder Robert D. Hales Of the Quorum of the Twelve Apostles

Money Monday

Credit Card Emergencies

We all claim our credit cards are just for emergencies. Yeah right! Dinner out is not an emergency. Awesome pair of boots...nope not an emergency. Ummm must have toy for the kiddos? Still not an emergency.

Emergency

e⋅mer⋅gen⋅cy 
 –noun 1.a sudden, urgent, usually unexpected occurrence or occasion requiring immediate action.
2.a state, esp. of need for help or relief, created by some unexpected event: a weather emergency; a financial emergency.

No were in there does it say a sale a Macy's. LOL!!

Emergency to me means blood and gore, massive flooding, or stranded on the side of the road.

Consider having an emergency fund in place so you do not even have to consider your credit cards.

Money Monday

Just a quick suggestion

Go get your wallet or purse right now. Hurry up...go get it....got it? Okay now open it up and take out all your credit cards. Done? Now get that "spare one" you hide in the back out. Done? Double check......Okay now close up your wallet or purse. Take a deep breath...STOP do NOT put any of those cards back in there. Yes that does mean the one for Sears too.

Carrying around a credit card makes it a whole lot harder to keep your spending in check. If you don't have the money don't spend it. Credit cards themselves are not evil but the should be used with cation and planning.

Get a small safe box to store them in or hey put them on ice (as in freeze them). Many credit cards offer nice sounding little perks. Often these perks do not compensate for that cards fees and interest rate. BE CAREFUL!!!

Money Monday

Cash Only Please

Last week we spontaneously went "cash only". We withdrew the amount of money we had to spend and used cash all week. It was fun to pay with cash. Remember how you felt when you were a kid and you got to buy your own stuff? The joy of being "grown up". LOL!! It was fun. We stuck to it and even had money left over!!!!

We did not do the envelope system but we might try that next after we get used to this whole cash thing.

Money Monday

Dave Ramsey is a financial guru and very well regarded in the financial realm. Here are is baby step to becoming debt free and in control of your finances.

Baby Steps

1. $1,000 to start an Emergency Fund

2. Pay off all debt using the Debt Snowball

3. 3 to 6 months of expenses in savings

4. Invest 15% of household income into Roth IRAs and pre-tax retirement

5. College funding for children

6. Pay off home early

7. Build wealth and give! Invest in mutual funds and real estate

Here is his printable. Want to know more about Dave? Click here to go to his site. Still need help with a budget (I do!!)? Want a free budget guide? Go here.

Where are you and where do you want to go? Have you done or tried Dave's plan? Did it work for you? Do you think this might work for you?

Money Monday

Over the last month or so we have done a brief overview of the church's All Is Safely Gathered In pamphlet. As we have done so, I hope that some of you have implemented or improved your money management practices.

I finally worked up the courage to do a budget. Not just my bills this time. I budgeted for everything I thought I would need to. I also set my budget under what we really bring home. I wanted to be able to set some aside in savings.

I have yet to get the courage up to add up all the numbers and see how well (BAD) we did. Thursday is the big day for me to get that done. So I am a little afraid. LOL!! I am going to do it though. One day we will get it figured out. As long as I am actively working on it I will make progress.

As you work on your budget remember that they do evolve. Debt go away (hopefully) and other expenses rear their ugly heads. So we need to review and revamp often.

Money Monday

Teaching our Family about Money

As we learn to manage our money better let us also teach our children those lessons.

LDS Living Magazine has a great article about how to teach your kids about money. Click here.

SmartPiggyBank is a site that helps your kids learn how to manage their money.

At my house my two older kids have divider banks. I t is basically a long box with three separate sections. First is tithing, then savings, and then FUN! We tithe 10% of our increase. Then we put 10% into savings. The rest is theirs to spend. They have learned to love the toy clearance isle. LOL!! Tyler has learned to save up for bigger Lego's and Elizabeth has learned it is sad to go broke over Whoppers. Kids will be kids.

Money Monday

Build a Reserve

We have been counseled to build our three-month food supply, get our water and then build a financial reserve. The church has not stated a specific amount. Most money gurus will advise anywhere from 3 to 6 months. Longer if you can. No matter what your end goal is it is better to take baby steps then kill your self trying to make huge leaps and bounds. Start with a week then a month and then start again.

You can start by setting up a separate savings account. My good friend Daphne writes our financial column for our wards Provident Living newsletter and this is what she said about savings accounts, " Saving money is a challenge, and what works for one may not work for another, but this is what has worked for us. We have several accounts set up in a high interest bearing account (ING). Typically it takes 2 business days for funds to transfer to your checking account, so you tend to think twice if you really need that thing you want to buy--as a side note, we also keep a savings account attached to our checking acct., in case we need to transfer some over quickly for emergencies. " She also suggest that you have your savings automatically withdrawn each month or paycheck what ever works for you. you can sometimes set this up through your employer if you have auto deposit or through your bank.

President Gordon B. Hinckley has taught: “Set your houses in order. If you have paid your debts, if you have a reserve, even though it be small, then should storms howl about your head, you will have shelter for your wives and children and peace in your hearts” ("To the Boys and to the Men," Ensign, Nov. 1998, 54).

Money Monday

Use A Budget

This weeks post is also based of the All Is Safely Gathered In: Family Finances pamphlet.

"Keep a record of your expenditures. Record and review monthly income and expenses. Determine how to reduce what you spend for nonessentials. "

This is the council we have been given. The LDS website also provides a budget worksheet to help you follow this council.

Need more ideas on how to create and use a budget? Here are some previous post. Here, here, and here.

“I have discovered that there is no way that you can ever earn more than you can spend. I am convinced that it is not the amount of money an individual earns that brings peace of mind as much as it is having control of his money. Money can be an obedient servant but a harsh taskmaster. Those who structure their standard of living to allow a little surplus, control their circumstances. Those who spend a little more than they earn are controlled by their circumstances. They are in bondage. President Heber J. Grant once said: ‘If there is any one thing that will bring peace and contentment into the human heart, and into the family, it is to live within our means. And if there is any one thing that is grinding and discouraging and disheartening, it is to have debts and obligations that one cannot meet’ (Gospel Standards, sel. G. Homer Durham [1941], 111).

“The key to spending less than we earn is simple—it is called discipline. Whether early in life or late, we must all eventually learn to discipline ourselves, our appetites, and our economic desires. How blessed is he who learns to spend less than he earns and puts something away for a rainy day” (see Conference Report, Oct. 1979, 119; or Ensign, Nov. 1979, 81).

Money Monday

Avoid Debt

Elder Joseph B. Wirthlin taught: “All too often a family's spending is governed more by their yearning than by their earning. They somehow believe that their life will be better if they surround themselves with an abundance of things. All too often all they are left with is avoidable anxiety and distress” ("Earthly Debts, Heavenly Debts," Ensign, May 2004, 42).

In the All Is Safely Gathered In: Family Finances pamphlet it says, "Spending less money than you make is essential to your financial security. Avoid debt, with the exception of buying a modest home or paying for education or other vital needs. If you are in debt, pay it off as quickly as possible."

On the LDS website you can also find debt reduction tools such as a debt-elimination calculator and a family budget worksheet. Both of these tools are beneficial to becoming and staying debt free. Here is a debt calculator that can help you understand the interest you pay and help you calculate how and when you can bee debt free.

"Look to the condition of your finances. Discipline yourself in your purchases, avoiding debt to the extent you can. In most cases, you can avoid debt by managing your resources wisely. If you do incur debt, such as a reasonable amount in order to purchase a modest home or complete your education, work to repay it as quickly as possible and free yourself from bondage. When you have paid your debts and accumulated some savings, you will be prepared for financial storms that may come your way. You will have shelter for your family and peace in your heart" (49).
—See True to the Faith (2004), 48–49

Money Monday

Pay Tithes and Offerings

Malachi 3:10 Bring ye all the tithes into the storehouse, that there may be meat in mine house, and prove me now herewith, saith the Lord of hosts, if I will not open you the windows of heaven, and pour you out a blessing, that there shall not be room enough to receive it.

Isaiah 58:6 Is not this the fast that I have chosen? to loose the bands of wickedness, to undo the heavy burdens, and to let the oppressed go free, and that ye break every yoke?

Matthew 17:14 ¶ And when they were come to the multitude, there came to him a certain man, kneeling down to him, and saying,

15 Lord, have mercy on my son: for he is lunatick, and sore vexed: for ofttimes he falleth into the fire, and oft into the water.

16 And I brought him to thy disciples, and they could not cure him.

17 Then Jesus answered and said, O faithless and perverse generation, how long shall I be with you? how long shall I suffer you? bring him hither to me.

18 And Jesus rebuked the devil; and he departed out of him: and the child was cured from that very hour.

19 Then came the disciples to Jesus apart, and said, Why could not we cast him out?

20 And Jesus said unto them, Because of your unbelief: for verily I say unto you, If ye have faith as a grain of mustard seed, ye shall say unto this mountain, Remove hence to yonder place; and it shall remove; and nothing shall be impossible unto you.

21 Howbeit this kind goeth not out but by prayer and fasting.

Money Monday

Betterbudgeting.com

This is great site that has a lot of advice and ideas to offer. From budget calculators to frugal decorating tips. They cover grocery shopping, debt reduction, and so much more. There are free down-loadable budget sheets and so much more. You can even sign up for their Ezine (email magazine). Go check it out.

Money Monday

Getting Those Bills Down

Let's take a look at those monthly bills. You know those ones we can't do anything about? Housing, Water, Electric/gas, Cable/Dish, Phone/Cell phone, Internet, Garbage, Car/house insurance, and those pesky evil Credit cards.

I am not going to go into all of those in this post (keep your eyes out for them though). I thought we could look at our water and electric bills today.

In my area our water provider is Firgrove Mutual Water. I pay around $30 to $40 every two months depending on the season (summer is higher). Not a biggy I know, but hey a penny saved is a penny earned! Here is a list of money saving tips. Also get your free water conservation kit. For budgeting I make a half payment ($15-$20) each month. It is automatically set up through my bank.

My electrical company is Puget Sound Energy. I pay around $141 a month for a 1300 sq. ft. home. I know what my payment will be each month because I am on a set payment plan. This plan gets reviewed every June. It is a great way to budget. No more dreading the winter months high bills. Every month is the same weather it is really $35 or $210. Here are 6 ways to slash your electric bill. Here are a few I have learned:

• unplug it. Phone chargers, microwaves, toaster ovens, and electronics. If they are not being used unplug them.
• turn the lights off. Open the curtains and let the sunshine in.
• turn it off. The TV and the computer. They do not need to be on if you are not using them.

Money Monday

Receipts and Budget Review

Here again is the original post

Okay so I am going to chicken out and not tell you my final totals for March. Mostly because I have sat down to add up the last week yet, but.... I do know what I want my target budgets to be so here we go.

Grocery : $100 a week ( wasn't too far off this for March)

Household/toiletries: $100 ( I was under but we are no low on diapers so...)

Dinner out /entertainment: $100 ( I am not telling how bad we did :o )

Clothing: $ 25 (really I could just put this in a savings account for when we need it)

James: $40 (he usually can pull that off)

Gas: $100 (That's more than we do but extra can go into savings or towards debts)

WOW!! That is $765 I am going to challenge my self to stay within if not under those numbers this month.

I will be checking in!

How did you do? Anyone want to share what they learned? Come on I need all the help I can get!

Money Monday

Receipt Check in #2

Okay so if you are new to this blog or just missed the last two Mondays here are links to the previous post in this series. Starting out & Check in #1.

So here is the update for this week:

Grocery: $183.62 + $138.47=$322.09 I hit some good stock ups for our food storage.

Household: $59.12+$20.53=$79.65 James needed a haircut and I needed some silly house stuff.

Dinner/Fun: $94.54+$58.28=$152.82 I told you this is our BAD area. :(

That is all we added this past week. We spent a total of $217.28. I am glad a majority of it was on groceries. The great thing is I saved an average of 50-60% on my groceries this week!!!

Money Monday

Receipt Check-in

Our first Money Monday of March I talked about saving our receipts to truck our spending. So I am here to post my update.

Clothing: $19.50

Household/toiletries: $59.12

Dinner out: $94.54

Hubbies work (meals and needs): $34.91

Grocery: $183.62

Gas: $32.50

Birthday: $20.84

Clothing. James did need some new jammer pants and Ty needed some jeans.

Household includes light bulbs, personal care, diapers, printer ink, and all that kind of stuff.

Dinner out is our bad one always. However we only eat out on the weekends and 30 of this was a dinner out for Elizabeth's birthday. We try to eat out cheaply (I see Thursdays post already!!).

Hubbies work. James is a truck driver. So he travels between here and Idaho. He eats lunch on the road maybe two nights a week. Then there are snacks, gloves and other little items he may need. About $10 of his spending was spent on his Pilot card. It is a rewards card. So really he only spent $25.32.

Gas. We have only filled up our car this month. the Tahoe needs it do that number will go up. :)

Grocery. Thanks to killer coupons and deals I have averaged about $90 a week and most of that was stocking up.

Birthday. Elizabeth turned 6 this month so a party was needed. Party favors were pretty cheep but SO cute. Her gift (ballet tutu and leotard, shoes came out last month) was $14.14.

So there it is. It has been interesting to see where the money goes. I did about three years ago and i remember our dinner out came to almost $400 and our grocery was like $150. Pretty sad!!! We have learned!!

Money Monday

Envelope System

I am sending you to another blog for this post.

http://learningthefrugallife.blogspot.com/2009/03/envelope-system.html

This a great site for those who want to live a little more frugally. Sara is sharing her journey with the whole wide Internet and doing a great job of it! Thank you Sara!!

Money Monday

Save that receipt!!!

In fact lets save all our receipts this month. Let's see what money we are spending and where.

So first get a shoebox, envelope, cute basket, or a zip lock baggie. Next go about spending as usual. Put your receipts in the designated container. At the end of the month lets add them up. We will need to have categories for this. Mine will include: groceries, eating out, gifts, clothing, hubbies lunches, household needs (cleaning supplies, TP, laundry soap, batteries), & food storage.

At the end of the month you will be able to see where that money is going. You may be pleasantly surprised. I have a feeling I will feel like I am watching a horror movie, but at least I will know where the money is and be able to set some reasonable goals for the next month.

Thanks Daphne for making this our theme for money this month!!! Great idea!

I will be checking in on this subject through out the month. If you have done this and have any tips or ideas please feel free top comment. If you have questions ask away!