- 1 income at 40 hours per week
- calculate all expenses on a weekly basis (excel spreadsheet)
- save 10% of income
- log all expenses (notebook for me...I'm not a techy)
- envelop system - cash based
- action plan for expenses (how to keep prices low through brainstorming i.e. gifts, entertainment, childcare)
Keep More Money-
1) I changed witholdings with the employer to take out less money. I can use this money during the year and not have to wait for the big refund.
2) www.jillcataldo.com took both classes 1 and 2. The first class is primary on couponing and saving groceries and personal products. Class 2 focuses on saving everything else. For example, notification on Old Navy's twice a year sale 50% off clearance prices. And www.retailmenot.com.
3)organization - I need to know what I have and what I need so I'm not just buying. For example, I keep my kids' next year clothes in banker boxes. I made a list of what I have and what I need and taped it to the front of the box for each kid. I have a copy of the list inside my glove compartment so that I have it for garage sales and clearance sales. Meijers has crazy deals on underwear and socks. I shop Penniwise and other resale stores for clothes.
4)sharing information - http://debtproofliv.meetup.com/111/ We had our first meeting of the year and wow! It is nice to find out ways other people save money. I didn't know that many of the Chicagoland libraries have discounts for 72 museums http://www.museumadventure.org/museums.php Summer activities and entertainment at much lower costs without paying membership fees. One of the members said to join http://www.mycokerewards.com/home.do. Another mentioned, cell phone service through AT&T uses company FAN codes for discounts. www.restaurant.com has many gift certificates with promo codes for 80-90% off. I have been using these restaurant certificates for personal use. One of the members has been giving them as gifts. Summer camp or activities for kids - a suggestion vacation bible school. Lower energy prices through Nicor switch gas provider to http://www.ambitenergy.com/. Mulch through Steve Piper Landscaping in Aurora...Wow 1/2 the price from Sids. Have insurance auto and home repriced.
5)Use the services that are being paid for..i.e. We have a YMCA membership. It didn't get much use last year and I wanted to cancel it. We decided to keep a log of the number of times that it is used. If it is less than $5/visit, we will keep it. So far this month $6.81/visit, projected to be $3.26/visit.
What do I do with earnings over 40 hours:
note -husband is hourly not salary and does not receive vacation pay so priorities:
- make sure all overages go to expenses/envelopes to meet budget
- have funds available to cover expenses due to weekend getaways, vacation, and sick days
- set aside savings for deductibles: auto, homeowners, medical
- replacement costs - if necessary cost to replace vehicle, furnace, water heater, air conditioner
- net worth diversification - liquidity, investments, and real estate, and liability reduction
HAPPY NEW YEAR!