budget savvy student

Life Is Good

2011-05-25T21:11:00.005-04:00

Seven months have passed, and what a crazy seven months they have been! I have finished the majority of my PhD coursework. This summer, I am finishing up a cognate in Investments and will take a teaching tutorial in the fall. That's right! I'll be a TA for Social Work Practice I for undergrad students for Fall 2011 and will teach this same course during Spring and Summer 2012. This was one of my FAVORITE courses as an undergraduate. I hope to be half the instructor that Debbie Simpler was at Belmont. In addition, my first paper was published in a top tier journal! It was an odd feeling to find myself on Google Scholar. I've contributed to two personal finance papers that have been submitted for publication. Two more are nearly ready to head out the door. In January, I was selected as an Education Research Fellow with the National Endowment for Financial Education. This has been an incredible opportunity for which I am so very thankful! Life is hectic, but Life Is Good!

Erik has been hard at work too! He presented at a music conference in April and has submitted his first article for publication. He has been conducting with a few ensembles including Summer Band. This band is unique as all performances are outside. I love going to his concerts and watching him conduct. When I watch him walk out on stage, I get butterflies in my stomach--same as I did 10 years ago!

Financially, we've had some ups and downs. We had a little more income in 2010 which made for a nice Christmas. It was such a wonderful feeling to be able to purchase Christmas gifts this year. The previous year was a tough Christmas! The promised income provided to me through my fellowship is still in the works due to some hang-ups on the university side, but I should FINALLY see a paycheck soon. As Erik doesn't have summer funding through the university, he's currently seeking part-time employment. You wouldn't believe how difficult it is to find a part-time job when you have 2 degrees and 10 years of work experience. Everyone is quick to label you as overqualified. I can try to understand the employer side but just want to scream, "We're not overqualified to work hard for the money too!" Somehow, we will make it through the summer. We're tough!

That said, I would give ANYTHING to go shopping right about now. It has been far too long since I've purchased clothes and/or shoes, and my wardrobe is starting to show it. I've also started training for another half-marathon and am in need of new running shoes ASAP. I'll have to find a way to work this into our budget pretty soon, but it may have to wait until the university FINALLY sends me a paycheck.

We've been working around the house--doing some painting and working on an exciting new project outside. I can't believe we'll be putting the house on the market in roughly 9 months. In a way, I feel like a military wife. Music Ed. jobs are few and far between at the college level, so you take what you are offered. I am 100% confidant that Mr. Richards will land an incredible job, but we have NO idea what part of the country this job will take us. We've both said that we're willing to go anywhere but Alaska or Hawaii. I'm sure we'll have our next "assignment" within the next 12 months. This is exciting and nerve-wracking at the same time!

The next 12 months are definitely going to be incredible and filled full of many changes. I hope to post some updates from time to time.

Property Taxes

2010-10-30T09:29:00.009-04:00

Nothing says FALL like property taxes. Last year, their arrival around Halloween seemed very appropriate. Opening up the mailbox to find a bill for $3,000+ felt like a horrible trick. One year later, I was almost giddy to open the mailbox and find my bill. This is because I was prepared.

When we purchased our home in 2009, we decided not to escrow. The idea of having a 3rd party hold on to OUR money, collect interest on OUR money, and pay our property taxes and insurance premiums with OUR money pained me. Why would I want Wells Fargo to profit from me more than they already do?! So, I said, "No, thank you!", and prepared to pay our property taxes and and home insurance premiums myself. I assumed we would utilize the money in our savings to cover the expense. The only problem was--I had NO IDEA how the large the expense was going to be. We received an estimate in August 2009, but I thought they HAD to be joking. How could our property taxes possibly be over $3,000. When the end of October 2009 rolled around, it finally sank in that they were NOT joking. Although it was painful to write the check, I am pleased to say that we had the funds available in our savings account to cover the cost. So, I mailed the check, shed a few tears, and moved on with life.

Early this spring, Mr. Richards and I were able to significantly reduce our property tax bill. How did we do it??? We filed for a homestead exemption. This is unique to Florida. The Florida Constitution provides for a $25,000 exemption in assessed home value for Florida homeowners. As the due date is March 1, we were not eligible to file 2009, but this year we were eligible!!! I am THRILLED to say that our tax bill was reduced by a little over $1,000. And believe me, when you are two broke PhD students, $1,000 is a BIG DEAL!

So, how did I prepare for our $2,000+ expense this year? Well, Mr. Richards took a job working for the U.S. Census this summer. He made good money (remember we are students so our definition of GOOD may be different from your definition). I also worked 26 hours a week in the accounting office at school. Any money we made beyond our budgeted $2,600 in monthly expenses went to a special savings account we have with ING Direct which has been labeled PROPERTY TAXES. Believe it or not, we were able to accumulate quite a sum of money over the summer. So, much so that I went CRAZY!!

Here is what I did: I transferred as much as we could into the PROPERTY TAXES account. Next, I summed the amount of our property taxes + HOA fees + insurance premiums through 2012. I subtracted the amount in savings from this total and divided by 28. (I chose 28 as this was the number of months until our property taxes would be due in November 2012.) By completing those steps, I arrived at the amount I would need to contribute each month for the next 28 months in order to have enough funds available to pay our property taxes + HOA fees, + insurance premiums through 2012. I then set up automatic savings so that this amount would be transferred from our checking account to our savings account on the 1st of every month--no further thought required.

*You could use a TVM calculator to factor in your interest rate, but your interest rate is NOT guaranteed. I suggest erring on the side of caution. I'm sure you'll find a use for any extra savings that may accrue.

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Side note: Why did I choose 2012? By the time November 2012 rolls around, it is likely that 1) Mr. Richards will have graduated from his PhD program, 2) Mr. Richards will be working full-time for a large university with an incredible music program (I hope!), 3) We will have sold our home and will be living in a new state.
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So, now you see why I was almost giddy when our tax bill arrived. I had sufficient funds to pay the bill. Those funds were already marked as PROPERTY TAXES, so they weren't painful to transfer from our regular savings account. Finally, I am confident that we will have funds sufficient to cover our property taxes, HOA fees, and insurance premiums throughout the time we own our home. Because of that, I can rest easy!

Did you choose to escrow your taxes and insurance premiums? If not, are you frightened to open the mailbox around property tax season? Are you currently taking advantage of automatic savings with your bank?

Financial Quiz

2010-10-23T12:30:00.005-04:00

As I've been thinking about my research agenda for my PhD, I've been exploring various financial websites. I stumbled upon this one a few days ago: Money Coaching Institute . If you click Money Type Quiz you'll be asked to select a variety of characteristics that apply to you. I decided to take this seriously and clicked on several--some I consider to be negative aspects and others quite positive. I found my results to be interesting. I was labeled as both a Warrior and Magician.

A Warrior takes charge and is goal oriented. This type of person is focused, decisive, and in control. They are powerful, driven, and financially self-actuated. I will agree that I am goal oriented as I ALWAYS have to have a goal. I have a strong desire to achieve. When I really set my sights on accomplishing something, I typically do just that. I have a strong need to be in control, as a result, I absolutely HATE surprises. This includes birthday and Christmas surprises.

A Magician is the ideal money type. They know how to transform their financial reality and live it out on a daily basis. They have reflected on their past financial history and have transformed their lives accordingly. Security coincides with this money type as this individual's financial needs will always be met. I can see how these two types relate to one another. Transformation requires persistence and intentionality. And because I often look for the ways my life is connected to my history and interaction with the world around me, it's not wonder that these connections have the ability to influence my financial health. While there's not promise of financial security, I have monthly and yearly financial goals that can help ensure the financial future of my family for the rest of our lives.

I'm currently studying financial compatibility in one of my PhD courses. As such, I was interested to see how my husband ranked. He too was listed as a Warrior and Magician. However, he also had a 3rd personality type listed. This type was Creator/Artist. Artists (which suits my husband as he is a musician, former band director, and conductor) find it difficult to engage in the material world. They have a detached relationship with money. This suits my honey very well. Although Mr. Richards understands that he needs money to live, he doesn't spend a great deal of time thinking about it or worrying about it. Status symbols don't matter to him. He doesn't need a brand new car or jeans to be happy. He finds it silly to spend much money on a hair cut. "A bad hair cut is just two weeks away from a better one," he says.

Anyway, I think it's important to reflect on our financial personality types. Do you know yourself financially? Have you considered how your parents/family interacted with money? Do you carry some of those same behaviors forward into your adult life? Are you intentional about the way you spend, or would you rather not consider such matters?

"Not Possible to Be DEBT FREE!"

2010-10-04T21:52:00.006-04:00

This blog has gone untouched for several months now. Admittedly, I bit off more than I could chew and just haven't kept up with it. These days, I'm working in the accounting department on campus to pay the mortgage, working as a graduate assistant at school to pay for everything else, and I'm also taking a full load of social work and finance courses. Today, however, a conversation with a friend prompted me to write. A friend and new mom mentioned to me that it's just not possible to live debt free...

This statement was made as I mentioned feeling a little nervous about beginning a family in a few years. We are so close to becoming debt free that I'm afraid we may allow a little one to rock our financial goal. We are so close to achieving that goal, that I'd hate to miss the mark! Here's how close we are: Our house will go on the market in April or May of 2012. Provided our house sells, we plan to use the equity in our home to become DEBT FREE! That's right, in 1.5 years we could be there!!! First, a few big checks will be written: 2 to American Education Services, 1 to ACS-Education, and 1 to whoever owns the very minimal student loans we took out this year to "buy down" an interest rate with AES. With $0.00 owed on a mortgage, $0.00 owed on our cars, and $0.00 in consumer debt, we will officially be DEBT FREE!!!

So, back to my friend's statement. I absolutely believe it is possible to live debt free!! However, it's not for the faint of heart. A debt free lifestyle is not something one can achieve willy-nilly. It takes hard work and discipline. It takes a sacrificing of wills and pride to delay gratification and a need for status symbols. It requires communication and commitment amongst partners who are like-minded in this goal. But this is our goal and I believe we can achieve it! The reward will be phenomenal! For the first time in our adult lives, we will owe NOTHING to ANYONE! We will be 100% in control of our finances and our spending. The psychological benefits that come alongside this freedom will serve as our prize!

So, in writing this post, I suppose I have the answer to my internal struggle regarding starting a family and achieving financial freedom. Our financial plans will not be shaken as a a little bundle of joy will be incorporated into our financial management system--a system that I actively work at every single day. When exactly will that little one be incorporated into the plan? Well, that's another question for another day!

Stink @ Budgets? Try Mint!

2010-02-03T10:55:00.005-05:00

I've toyed with purchasing a software program that will enable me to keep track of my finances for a few years now. The thought of keeping every receipt and entering every purchase into the computer seemed tedious, laborious, and a general pain in the booty. Needless to say, I didn't purchase a program. Recently, however, I stumbled across this awesome website: Mint.com. Have you heard of it?!?!

Mint.com allows me to keep track of all of our spending yet requires me to enter NOTHING! This website links directly to our savings accounts, checking account, and credit card bill. Each time I log in, my transactions refresh. Each purchase is categorized. I can even enter my monthly budget at the start of each month.

In addition, this program keeps track of my average spending. If there is a noticeable fluctuation from month to month, I'm alerted. The alerts aren't annoying like the buzzers in a Toyota Prius that ding relentlessly until you put your seat belt on... It's just a short message that says, "'Yo Kris, did you mean to spend $350 on books this month 'cuz you usually spend less than $10? Oh, it's the start of the spring semester?!?! Good luck!" (Alright, maybe not exactly like that, but you get the drift...)

Another cool feature is that Mint keeps track of your net worth (or lack thereof). You can enter in your retirement savings, car payments, home equity, student loans... It presents you with an easy-to-read list which is much more enjoyable than a complicated Excel spreadsheet. Finally, to satisfy the the nerd within me...I can view my transaction using a variety of charts. It's a colorful, visual way to see how my spending in various categories compares to others. Love it!

Oh, I haven't mentioned the BEST feature of all. This website is ABSOLUTELY FREE! No hassle, easy to use, and free, Free, FREE!!!

Don't take my word for it. Mint.com has been named a Times Top 50 Website, one of the Top 10 iPhone apps of 2009, won 4 Webby Awards, and received the best Personal Finance Tool from Money, Kiplingers, PC World and PC Magazine. Head on over and check it out for yourself!

Saving Change to Make Social Change

2010-02-02T17:20:00.009-05:00

A friend of mine asked me a while ago to write a blog post regarding the sub-header at the top of this page: Saving Change to Make Social Change. Partly, I'm busy, and partly, I'm lazy. As a result, I never got around to answering the question.

So what do I mean?!?! Well, the first part is easy. Saving Change. Four years ago, Mr. Richards bought a pair of Kenneth Cole shoes. They were at an outlet mall, so I suppose we "saved some change" there, but I saved even more change when he took the shoes out of the box. I turned the box into a piggy bank of sorts. Any random coins I found on the ground, on the counter, under the couch cushions, etc. were whisked right into the box. Two days after we got married, Mr. Richards and I went down to the bank to have our coins counted. Together, we had saved over $40 in coins. Still basking in marital bliss, we used that money to buy a yummy dinner in Old Town Alexandria, VA, one of our favorite spots on earth!

Although the box is long gone, the tradition continues in our new home in Florida. Any random coins get swept up into a large glass jug. One day, we'll be really, really broke PhD students with $0.00 left in the budget for a night out. When we can't stand it any longer, we'll take the jar to the bank, have the coins counted, and enjoy an evening out together. Lucky for us, it's much cheaper here in our new neck of the woods than it was in the DC area.

So, in sum...saving change is doing just that. Scrimping and saving, working our plan, in order to save, Save, SAVE!

The Social Change part is where it gets a little trickier. Tricky isn't even the right word, it's just that SOCIAL CHANGE seems like such a GINORMOUS concept to me, and more often than not, I still feel like a little girl. I know this isn't really the case. The problem is that I have a huge heart that sees a million gazillion problems/challenges/concerns in this world that just yank at my heart strings, yet I realize that I only have TWO hands.

Anyway, this concept is two-fold. One. You know the saying that you can't love others until you love yourself? Well, I fully believe that we won't be able to help others until we help ourselves. In other words, I won't have the financial resources to help others in the myriad of ways that I would like, until I dig myself out of debt. We have a substantial chunk of student loan debt (a result of 4 college degrees)which stands in the way. However, with continued hard work, determination, and sacrifice--we can do it! Of this, I am sure. So, when we are out of debt, I hope to give, Give, GIVE. Adoption and foster care are two areas which are near and dear to my heart. I can't wait until the day adoption is a fiscal possibility for us!!!

Two. The focus of my research as a PhD student is wealth development for low-income populations. Although people are often skeptical that poor individuals can save money, research indicates that they often do! And even when lack of income prevents the actual action of saving, individuals can still embody the psychological characteristics and behaviors necessary to resume saving once income permits. I want to help other low-income individuals along their road to asset development. In addition, I want to research and develop strategies which help these individuals maximize their savings in order to achieve financial stability for themselves and their families! I am so passionate about working in this area, and I am truly eager to learn, Learn, LEARN!

Anyway, in a nutshell, that's what Saving Change to Make Social Change is all about!

{Image from www.uis.edu}

Getting out of Debt is HARD!

2010-01-31T15:56:00.005-05:00

I turned in an assignment today for one of PhD courses. I'm nervous to hear back from the professor, but regardless of the resulting grade I've learned a few things regarding saving.

Several factors are necessary for successful saving which leads to the development of assets. These include both individual factors and institutional factors. Individual factors include such things as knowledge of financial concepts as well as psychological characteristics. I think we often lose sight of that second piece--at least I do.

Usually, when I set a goal, it's a result of much thought and research. I learn everything I need to know in order to achieve that goal, and I set out to accomplish it. Financially, that's how I've been ticking for the past two years. I knew that I wanted to get rid of these student loans and learn about saving for retirement. I fully realized that 1) debt sucks, 2) as long as I was in debt, it was going to continue to suck, 3) there was only one way to get rid of it--HARD WORK!

One of the initial steps in abolishing this debt, was to formulate a plan. Mr. Richards and I sat down and analyzed every area of our lives in which we spend money. And yes, I do mean EVERY area... The resulting plan was great! On paper, it made so much sense. After the bills were paid, it was possible to divert $4,000 a month into savings and/or debt reduction. However, the day to day execution of this plan was tough!

Gone were the days when we could run through a drive-thru when ever we were thirsty. $1.27 for a soda was not in our plan. We used to eat out a few times each weekend--not any more! Shopping for new clothes because we're tired of being at home--NOPE! Our entire lifestyle had to change. And that change was hard. Of course, we had a few slip ups, but we didn't allow a few mistakes to steer us off course. We forged ahead.

If you are working your financial plan and there are days when you think, "I don't want to do this anymore." Know that you are not alone. Working the plan is hard, hard work. So stop for a minute and allow yourself to dream. What is life going to look like when the debt is gone?! How are you going to feel then? Imagine the excitement you'll feel when you can walk onto a car lot and purchase a car with CASH! Consider how wonderful it will be when instead of paying off your own college experiences, you have a college savings fund set up for your child--ensuring that they will NEVER have to incur the debt that you incurred. For me, those will be amazing feelings. How 'bout you? Does doing a little day-dreaming help to renew your energy?!?!

Formulate a Financial Plan

2010-01-18T09:28:00.003-05:00

Do you know the old saying, "Old habits die hard?" Well, it's true. It's easy to get stuck in a rut--even a financial rut. You grab coffee at Starbucks on your way to work each morning, because that is just what you do. For lunch, you hit up one of the local fast-food joints nearby. After work, happy hour with friends is too hard to pass up. Dinners out are more convenient then standing in the grocery store confused about what to buy--let alone actually getting home and cooking... It's easier to maintain the status quo.

Today, I'm suggesting that you formulate a plan. Write it down. Even post it in a public forum, so that others can hold you accountable.

By nature, I am a planner. In fact, I remember a slip of paper that I wrote on while in Belarus that said in 2010, I'd be in graduate school working on my PhD. Well, here I am! A local missionary laughed at me and said, "What about a husband and children?" I laughed and thought he was crazy, but here I am a happily married woman. Children--well, that's not in the cards for at least 3-4 years... So, even though I stuck to my plan, there was a small deviation--okay--marrying Mr. Richards was a wonderful deviation from that plan!

Anyway, in August 2009, I began to develop a financial plan. It's a rough outline of the next several years, and what I would like to accomplish--financially speaking. My over-arching goal is to become DEBT FREE!

2009-2010 First year of PhD program - Pay interest on loans in deferment
2010-2011 Second year of PhD program - Pay interest on loans in deferment
2011-2012 Third year of PhD program - Pay interest on loans in deferment
2012-2013 Kristin's fourth year of PhD program - Continue to pay interest;
Determine dates in which loans will come out of deferment & develop plan
Summer 2013 Sell our home & move to location of new jobs
2013-2014 Rent for a year and pay off our student loans
CELEBRATE THAT WE ARE DEBT FREE!!!

If I could become debt free by the age of 31, that would be an absolute dream come true!!! I believe that it's more than a dream--it's a very real possibility. Although not ideal, we are adapting to life living on just $2600 a month. If we could carry this lifestyle out for just one more year while both being employed full-time. I think we'd stand a real chance of accomplishing our goal. I can think of a million things to do w/ an (est.) extra $600 in our pockets each month for the next 30 years...

{Image from Freestren.com}

Cheap and EASY Meals!!!

2010-01-15T11:20:00.003-05:00

I admit it. I'm a spoiled girl. Mr. Richards is a GREAT cook! Since I had relatively no experience cooking while growing up, he took over this task from the beginning of our relationship. Mr. Richards has this incredible ability to look into the pantry, throw a few ingredients together and BAM!... Dinner is served! (No recipe needed.)

When we both started our respective PhD programs, I realized that it wasn't fair for Erik to have to do all of the cooking around here. I just wasn't sure how to balance time finding recipes, with shopping sales at the grocery score, with putting together a great meal. Well, then I found e-Mealz. Dave Ramsey promotes e-Mealz on his website and radio show. Since I'm a big fan of Dave, I thought I'd give e-Mealz a try.

Each Wednesday, e-Mealz gives us five new dinner recipes with ingredients that match up with the weekly sales at Publix. This is perfect since weekly sales start on Thursday here in Tally. e-Mealz even allowed us to select a low-fat menu planning option!! The meals are yum-O and easy to prepare. We always have leftovers which feed us for a few days. This week we had catfish, chicken Florentine, and hashbrown casserole w/ blueberry muffins.

Search for an e-coupon before subscribing. It costs us about $12 for a three month subscription, but I think it's worth it. e-Mealz gives Erik a break from cooking, rounds out our diet w/ new recipes, and is simple, simple, simple to use!

e-Mealz SAVES time, relationship strain, frustration, and $$$ at the grocery store as the recipes are built around the sales!!!

Drive for FREE!!!

2010-01-11T15:32:00.003-05:00

Mr. Richards and I were lucky enough to take advantage of $13 dollar oil changes last week, courtesy of Firestone! While changing our oil, they assessed our cars. Mr. Richards' 2001 Honda Civic needs a lot of maintenance. This is due to the high (150,000) mileage on his ride and is fairly routine. That being said, the estimate rang in at over $900. OUCH!

Many have asked why we both don't trade in our cars and get some newer, fancier wheels. Well, the answer is simple. Why make car payments when you can DRIVE FOR FREE?!?! Mr. Richards' chariot has been paid off for the past 2 years. My grandma wheels (a '99 Chevy Lumina) was a gift when I turned 21. No car payments = extra cash in our pockets--possibly for YEARS to come!

So, when the estimate came back for $900 for work on Mr. Richards' car, we couldn't complain. We could easily spend that on only 2 months' worth of car payments for a new ride(s). Seems silly when we hope to get another 4 years out of the fading black Honda.

Now, we do understand the life expectancy of a car, but that's why we continue to SAVE, SAVE, SAVE! Two cars will likely need to be replaced in the next 5 years, and at least 1 will HAVE to be replaced to safely accommodate a future babino and hound dog. We do not plan to finance these purchases and waste $$$ in interest charges. Instead, we're planning ahead and intend to pay CASH!

Why waste money making car payments when you can drive for free?!?!

Additional Income

2010-01-08T10:03:00.003-05:00

To stay out of student loan debt, we've had to think of creative ways to bring in additional income. For the past 6 months, we've had roommates. These weren't just any roommates, however. My brother and sister-in-law lived with us. Oh, their little dog, Maggie, lived here too!

Admittedly, we didn't intend to get married and have roommates the following month, but my SIL found out that she had been accepted into law school 1 week before we moved to Florida. Rooming together for 6 months enabled all of us to financially manage this big transition in our lives. Bills such as the mortgage, utilities, cable, and internet were split 50/50. Although we bought separate groceries, my SIL and I helped each other stay on top of all the fabulous deals at Publix and other stores around town. We cared for each other's dogs when working/studying long hours or out of town.

Overall, it worked out pretty well! They moved out this week, but Mr. Richards and I are considering advertising for another roommate in the fall. If we do it again, we'll look for someone that is single and pet-free. Although having a roommate isn't possible for everyone, it was a wonderful way to get to know my brother and his wife a little better and to bring in some additional income.

Yikes! Where does the time go?!?!

2009-12-28T14:38:00.003-05:00

I haven't posted in a quite a while. Life as a student is much more hectic than I remembered! I must have been crazy when I thought that buying a house, quitting our jobs, getting married, moving 17 hrs away, and beginning a marriage as full-time students was going to be easy. Out. of. my. mind!

I haven't gone off of the deep end and stopped budgeting, I just haven't had much time to write about it. Mr. Richards and I have been committed to spending wisely over the last 5 months and have done a pretty good job--if I say so myself!

Two things that have kept us on track is a basic excel spreadsheet and "mostly cash" spending system. To keep track of our cash, we now subscribe to Dave Ramsey's "envelope system."

What does this mean? Well, we have 4 envelopes labeled the following: Restaurants, Groceries, Kristin's "Blow Money" and Erik's "Blow Money." At the first of each month, we allot $125 for eating out together, $350 for groceries, and $100 each for spending money. Any money that is left at the end of the month gets rolled over into the next month.

With $125 to spend at restaurants, we're able to enjoy about 3 good meals at decent restaurants a month. The rest of the time--we eat at home.

$350 has proved sufficient in terms of grocery money. This amount also include toiletry items, makeup for me, and cleaning products. We're even able to purchase a few cheap-O bottles of wine from time to time.

The term "blow money" is a little deceiving. This $100 a month includes the occasional meal with a friend, movies, clothes, haircuts, etc. I will brag and say that I am the one that usually has money left over each month, while Mr. Richards is left waiting for the first of the month... ;) But, that probably explains why he is always dressed cuter than I am; I won't complain about my handsome husband looking good!

By using this system, we've been able to avoid student loans for our PhDs AND pay the interest on our current student loans which are in deferment until graduation. We know exactly where our money is going at all times and remain in control. When urges to spend arise, it's harder to cave into the temptation with this system. When the money is gone, it's gone. This has proved a great way to keep us in check!

Do you know how much money you spend at restaurants, on groceries, and on items such as clothes, entertainment, personal care, etc? A great way to get started is to set a budget that you believe to be a realistic goal at the beginning of the month--say January 1, 2010, and see if you can live within that budget. It might take you a few months to get it right, but when you do, you might just find yourself able to SAVE or meet various other financial goals you have in mind!

Grocery Shopping from 1950

2009-10-12T10:00:00.000-04:00

"The American housewife! Who has a more important or more responsible occupation? Wife, mother, laundress, counselor, maid, chef, purchasing agent. All of these are her duties at one time or another."

The purpose of this video is to educate high school girls on how to be a good housewife.

The narrator is sexist and condescending in his approach. However, I think the film offers a pretty interesting glimpse into the past.

"If her income is limited — and most incomes are — it is her duty to be sure that what she has to spend buys the most in healthful, nutritious food for her family. Yes, she feels that she must buy wisely if she can. But what does this mean? What can she do to be sure that her money goes as far as possible?"

Here are some of the tips offered:

Shop from a Grocery List: This helps to prevent impulse buying. Isn't it funny how they compare the wise woman to the man who only shops with his ravenous hunger in mind?

Purchase the Most Economical Quantity for Your Family: Hello Stockpiling!!!

Which Form of Food is Most Economical for You? Brand names vs. Generic

Know What You’re Buying Before You Buy: “When you buy canned goods, be sure to read the label. The information on the label is much more reliable than the flowery language of advertisements.”

Purchase Fruits and Vegetables in Season Whenever Possible: The film notes that these items cost less and also encourages food preservation when the housewife's time is "not too highly valued."

Frozen Foods are a Good Choice: They’re nearest in quality to fresh produce. They cost a little more, but this cost is offset by the fact that there’s no waste.

The narrator also encourages to the housewife to:
Exercise your Skill and Ingenuity by preparing tasty and healthful dishes w/ less expensive meats.

Successful meals aren't just about smart shopping. Cooking skills are important too!

Many of these tips are relevant to 2009, but boy am I glad that I do most of the shopping and Mr. Richards does most of the cooking around here. Wonder what the narrator of this film would think of that?!?!

Grocery Savings!!!

2009-10-11T21:55:00.004-04:00

I did a lot of NEED BASED shopping today. I have several meals planned for the next few days, so my intent was to get a few supplemental items. I was able to take advantage of some GREAT deals too. Frosted Mini Wheats were $1.99 a box. If you bought 3 you received FREE MILK! Love that!!!
All in all, I spent $55.96 and SAVED $32.29 for a 37% savings.
Not my best work, but I'll take it.

Tonight, I made homemade apple dumplings for the family (husband, brother, sister-in-law). All of the ingredients were in my pantry and several I got for FREE last week at Publix. The dumplings smelled like something you'd get at Cinnabon but SOOO much better for you!!! YUMMY!

As always, I love to hear about your savings. Please post in the comments below!

Couponing 204: Rainchecks

2009-10-09T09:00:00.002-04:00

Another MONEY SAVING SECRET is RAIN CHECKS!!! I remember seeing signs for rain checks when I was a little girl at an amusement park. I literally thought that if it rained, my Mom would get her money back for our park admission. Understanding how wonderful it would be if we could ride all of the rides FOR FREE, I always wished that it would rain… Later I learned that the rain would just get me wet and sticky and cause the rides to shut down. NO FUN! However, rain checks at the grocery store are LOTS OF FUN!!!

What is a rain check? If your store is having a promotion or sale on an item that you intended to purchase, but they are out of stock, your store will usually issue you a rain check voucher. Essentially, these vouchers are an I.O.U. from the store which enables the customer to go back at a later date and time and get the same item for the same price that was advertised.

Here are some tips for getting the ROCK BOTTOM PRICE when using rain checks:

• Rain check are sales, not coupons. They can be combined with manufacturer coupons. New coupons may be issued during the rain check period, providing LOWER overall costs than the initial sale!

• Rain checks are not required to be redeemed. If your store runs another sale on the same item at a lower price—hold onto the rain check. If your store is out of the item once again, be sure to grab another rain check at the LOWER price!

• Your store might restock the item in a few days. If they are out today, grab a rain check. Then, check back tomorrow. If you can get the item at the sale price, well then, LUCKY YOU! You got the sale and still have a rain check to hold onto for when that item is needed and at a much higher price point. However, if that item is still out of stock, grab an additional rain check. You’ll be able to stock up later!

• Mr. Richards would KILL me for saying this but… I send him over to Customer Service to get the rain checks while I am in line to check out. It helps us to get out of the store FASTER!

So, the next time you see the perfect sale, there is no need to rush. Just remember to walk over to the customer service desk and ask for your RAIN CHECK!

Couponing 203: Printable Coupons

2009-10-07T21:40:00.000-04:00

Honestly, I'm new to the world of online printable coupons. I didn't start printing coupons until July 2009. Why? Well, I didn't know about them, AND I wasn't linked to the numerous blogs in the blogosphere. Now that I am, I have found that an excellent source of coupons are online.

The very best approach is to find a blog that you LOVE and check it everyday. Look for a blog that frequently posts about online coupons and corresponding sales at your local grocery store. Click the links that the blogger provides and print, Print, PRINT!!!

(That being said, remember to SAVE MONEY on your paper by recycling. I often print article after article for my PhD program. When, I'm through with that paper, I turn it over and print coupons on the other side!)

I'm finding that online coupon sites often reset their database of coupons at the beginning of the month. To make sure that the coupons that I really want are available, I go ahead and print them, even before my favorite blogs post them w/ a corresponding sale.

Here are THREE of my favorite online coupon sites:

Coupons.com

SmartSource

Red Plum

And here's a little known secret. If you hit the back button a few times immediately after printing, you can often print more than 1 coupon. Some coupons have print limits of 2-4 coupons. Also, I often grab my husband's computer as well to print again. If an item is FREE or nearly FREE you want as many coupons as possible in order to STOCK UP!!!

Print, Clip, File, Shop, RACK UP THE SAVINGS!!!

Q&A Session: Brand Names vs. Generic

2009-10-06T21:09:00.003-04:00

A reader writes:

"I am amazed by your blog. You inspired me to pick up a paper this weekend (and it was free -- yay!). But I still haven't clipped anything yet. :) I was into coupons for a while, but then I got discouraged. Maybe because I only clip the ones I know I'll use (and there never seem to be very many). Plus, often times the generic will be cheaper than the brand with the coupon (but from the looks of your blog, that's probably because I don't use coupons well!). And finally, I'm often pretty brand specific. Like, I always buy the same brand of toilet paper, laundry detergent, dish soap, even kleenex! I don't exactly know why, other than when you know it works, why deviate? Maybe you can address some of those issues on a future blog."

First of all, THANK YOU for taking the time to read the blog and ask GREAT questions!

Second, I am THRILLED that you picked up a paper and are giving couponing a try. When the coupons aren't very good on a particular Sunday, it's easy to become discouraged. However, please remember that it will take SEVERAL wks to build up your coupon base. So, you might not see a whole lot of savings right off the bat!

Now, to address Brand Names vs. Generic. If you aren't a couponer and have decided that couponing is just NOT for you. I would definitely recommend purchasing generic brands whenever you can. Many of these items are manufactured right alongside the brand names. True, the formulas might be different, but how different?!?! And, the generic is usually cheaper when DIRECTLY compared to a Brand name. HOWEVER..

If you've decided that you're willing to give couponing a SERIOUS try then in the upcoming weeks, you will find that the opposite is true. Generic brands ARE NOT cheaper when you hit a GREAT sale, have a manufacturer coupon, and sometimes a store coupon to stack on top of that sale.

For instance, I bought Scrubbing Bubbles this weekend at Publix. I could have easily purchased this same item at Walmart for about $1.00. However, I took advantage of a Buy One Get One sale, used 1 coupon for $1.00 off per item and was able to purchase these foaming bathroom cleaners for 65 CENTS a piece. To make the deal even sweeter, I found a REBATE at one of the websites posted on THIS VERY BLOG and will receive a $5.00 back. 4 Scrubbing Bubbles were FREE PLUS OVERAGE. Does the deal get any sweeter?!?!

Now to address BRAND LOYALTY:
I like to clip the majority of the coupons even if it's for a brand that I've never used before. What's wrong w/ a little FREE or CHEAP experimenting once in a while? Most times, I'm pleasantly surprised, love the new item, and will purchase more when there's another great sale and corresponding coupon! How do you know unless you try???
(Personal examples include Ponds facial cloths, Colgate toothpaste, ALL detergent, Dial body wash, etc. I usually purchase Neutrogena, Crest, Purex, and Softsoap respectively. I recently got GREAT deals on these other products and now LOVE them!)

Keep grabbing the newspaper each week and continue clipping and organizing!!!

Here are some additional things to know:
The first Sunday of the month generally has the MOST coupon inserts. There are generally NO inserts scheduled the Sunday following a holiday.
You can check out the coupon schedule right here at BeCentsable.

Sunday Shopping

2009-10-04T16:20:00.005-04:00

Here is my picture of the day. I spent $56.77 and SAVED $104.38.
That's a savings of 65%!!! I know that I could have hit that 70% mark but there were a few deals that were just good enough, so I went ahead and purchased them. Oh, well. Good enough! :)

Are you saving big money?!?! Please leave a comment. I want to hear all about it!!!

Coupon 202: A Magazine FULL of Coupons

2009-10-01T11:40:00.004-04:00

Have you ever heard of All You Magazine? To be honest, the only magazines I looked at over the past year of my life were wedding magazines. Once the honeymoon was over (it's never over in my heart), I found out about this sweet magazine.

What makes it so sweet? THE COUPONS!!! This magazine is ALWAYS loaded with very HIGH VALUE coupons in each issue. Plus, they have GREAT recipes too! You can pick up this magazine on the rack at Walmart, but check out the deals below to score each issue for way less!

Amazon All You Magazine Deals:

All You (1-year)
ONLY $19.95, BUT then you'll receive a $5 promotional certificate for use on a future Amazon.com purchase... so it's really like you're getting a 1 year subscription for just $14.95! That equals out to just $1 per issue!

after the $5 promotional discount taken at checkout!
That equals out to just $1.25 per issue!

Or

All You (2-year)
ONLY $34, BUT then you'll receive a $10 promotional certificate for use on a future Amazon.com purchase... so it's really like you're getting a 2 year subscription for just $24! That equals out to just $1 per issue!

**These Offers are good until 10/31/09.

Don't forget that Christmas is just around the corner too and this would make an excellent gift for any coupon clippers in your life!

Couponing 201: Give Your Coupon File a BOOST!

2009-09-27T22:42:00.007-04:00

My sister-in-law, Kelly, and I went to Publix to purchase our weekly newspapers. Boy, was I surprised when I found FOUR coupon inserts. I did a lot of clipping! While we were at the grocery store, we took some time to walk up and down the aisles in search of MORE COUPONS!

One of the easiest places to look to find coupons to supplement your newspaper inserts is at the grocery store! Many grocery stores publish weekly ads. Some insert coupons into those ads. Be sure to take a quick look each week. Also, be sure to check for coupon fliers at the front of your store, in the pharmacy section, or at the customer service desk. You never know what you might find!

Another place to snag some great coupons are at the BLINKIES that some grocery stores place randomly throughout the aisles. BLINKIES are the little black machines w/ the flashing red light that spits out coupons. I always grab TWO coupons from each of these BLINKIES.

Something else to keep your eyes peeled for are tear pads. I usually find these tear pads near the item that the coupon is for. When I do, you can be sure that I grab several. Tear pads always seem to go FAST!!

Finally, check for peelies which are stuck on various products. I only take peelies off an item if it is something that I really plan to purchase. But, I DO NOT feel the pressure to purchase that item right then and there. I always wait for a sale to combine with my peelie to GET THE BEST DEAL!!!

Grocery Savings!!!

2009-09-26T23:19:00.000-04:00

Hey there! I ran to the store tonight to take advantage of a sale on Cheerios. I was able to purchase 2 boxes of Cheerios plus 1 grocery store reusable bag for 98 CENTS total. :) While there, I decided to do my shopping for the week. I purchased the pictured items for $18.34 and SAVED $34.21. That's $52.55 worth of food for ONLY $18.34!!! That's a savings of 65%!!! :)

Our Stockpile

2009-09-25T10:46:00.003-04:00

I'm a little embarrased to show these pictures as I desperately need to organize my stockpile (a goal for another day!), but I thought that these pics might help to illustrate the point of stockpiling. In the pantry, we have pasta, rice, canned goods, granola bars, crackers, BBQ sauce, mustard, peanut butter, etc. to sustain us for months! In the bathroom, we have 6 bottles of body wash, 4 deodorants, 4 bottles of hairspray, 3 tubes of toothpaste, 4 toothbrushes, etc. All of these items were purchased at low, low prices, and many were even FREE! This saves us money by not purchasing these same items as needed, when they will likely be at much higher price points!

To illustrate the savings a bit further, here's a bit of math:

6 body washes purchased at $1.00 each. Original price: roughly $4.00 each.
SAVED $18.00
3 tubes of toothpaste purchased for FREE. Original price: roughly $3.00 each.
SAVED $9.00
4 Dove/Suave deodorants purcahsed for FREE. Original price: roughly $3.00 each.
Saved $12.00

Total Spent: $6.00. Total Savings: $39.00!!!

Couponing 104: Stockpiling

2009-09-25T07:00:00.000-04:00

Stockpile (n) - a large supply of food gathered and held in reserve for use during a shortage or during a period of higher prices

Stockpiling (v) - to accumulate for future use; to put or store in a stockpile

When it comes to grocery shopping WHY do we stockpile?
We stockpile to take advantage of periods of low, low prices. When we are able to purchase these items on the cheap or even FREE, we purchase as many as makes sense for our household. Grocery store sales go in cycles. An item that is on sale now, may not be on sale again for another 12 weeks. We need to have enough in our supply to get us through to the next sale so that we do not have to WASTE money by purchasing these items at full price.

WHAT should you keep in your stockpile?
Condiments (BBQ Sauce, steak sauce, mustard, ketchup, mayo, salad dressings)
Rice & Pasta
Snacks (crackers, salsa, popcorn, 100 calorie snack packs, granola bars)
Canned goods (tomatoes, tomato sauce, soups, vegetables)
Hot and Cold Cereals
Cleaning supplies and Paper Products (cleaners, garbage bags, laundry detergent, sponges)
Drinks (water, soda, tea, coffee, juice)
Dairy (butter, creamers)
Poultry, Meat, & Fish (keep frozen)
Breads (keep frozen)
Health & Beauty Products (shampoo, conditioner, body wash, deodorant, toothpaste, razors, lotion, hair spray etc.)

WHERE do I stockpile?
Anywhere you can! When I first started stockpiling, I had a pantry about the size of any empty kitchen cabinet. When it was full, I knew that I had to slow down for a little while. I also installed additional shelving in my laundry room to store paper products and cleaning supplies.

Don't expect to develop a stockpile during your first week of couponing. Look for and only purchase items that are cheap or listed at their ROCK BOTTOM PRICE via The Grocery Game. After a month or two of stockpiling, it was common for me to see $40 knocked off of the price of my groceries each week. Now, it's common for me to see $75 or even $100 knocked off of the price of my groceries.

Does this really work?!?!
Two weeks ago, I went to Publix and purchased 5 items for FREE + tax.
Last week, I spent $113 and SAVED $130.
My monthly budget is $350 for all groceries, cleaning items, and toiletry items (which include my make-up and hair products.) We generally are able to do better than $350 and roll money over to the next month for a few GOOD bottles of WINE!!!

Couponing 103: Get to Know Your Grocery Store's Coupon Policies

2009-09-24T07:00:00.005-04:00

To maximize your saving potential at your grocery store, you really need to understand your store's coupon policies. Recently, I moved to Florida and began shopping at Publix. Their coupon policies are far different from the store I used to frequent in Alexandria, VA.

1) They don't have a special card that must be swiped in order to take advantage of the sales.

2) They allow me to stack coupons. This means that I can use a maximum of THREE coupons per item: 1 manufacturer coupon + 1 Publix coupon + 1 competitor store coupon. (Ch-Ching! Ch-Ching!!)

3) They have a special UPromise card. What is UPromise? It's a rewards card that helps you to save money for college. If you have student loans through Sallie Mae, you can put this money towards your own loans. I paid dear 'ole Sallie in FULL this year, so I'm using UPromise to earn money for our future children's education. (Yes, I know that they won't actually exist in this universe for another 2-4 years, but I'm a planner!)

4) They DO NOT double coupons. (Oh, how I miss my double and triple coupons at Harris Teeter.)

5) I can use TWO manufacturer coupons when purchasing Buy One Get One (BOGO) items.

There are a few ways to find your grocery store's coupon policies. You can go their website and search for it. (Many are now posted on the web.) You can inquire at the customer service desk at your store. OR you can head over to the Grocery Gathering at BeCentsable.

I first stumbled upon the Grocery Gathering in January. The website linked me to FOUR incredible blogs to follow that contain weekly discussions about shopping at Publix. Besides coupon policies, some of these blogs post shopping lists w/ corresponding coupons. These lists are never as complete as the ones at The Grocery Game, but sometimes they snag one or two deals specific to my region that aren't found on The Grocery Game.

Alright, now to leave you with a story about my experience at Walmart yesterday:
I went to Walmart to return a towel hook that I had purchased. While there, I decided to pick up TWO items that I knew would be free with my coupons. The first one was REACH floss. It was priced at $1.00 and I had a $1.00 off coupon. (FREEBIE!!)The 2nd item was travel-size Tide that was priced at 96 cents. I had a $1.00 off coupon for ANY SIZE Tide. I tried to purchase both items, but the unfriendly cashier wouldn't "allow" me to. She stated that I had to purchase the bottle of Tide as it was what was shown on the coupon. YOU DO NOT HAVE TO PURCHASE WHAT THE PICTURE SHOWS, ONLY WHAT IS LISTED IN WRITING ON THE COUPON!!! I explained this to her, but she didn't understand. She proceeded to get the manager who was just about as clueless about coupon policy as the cashier.

In this situation, the cashier SHOULD have adjusted the coupon down to 96 CENTS and allowed me to go on my merry way. It just wasn't worth it to me to stand there and argue, so I told her I'd take the REACH floss, paid the 4 cents tax and went on with my life. There are lots of GREAT deals out there, but NONE are worth your mental sanity. Know your store policy, hope to choose a lane with a competent cashier (1st time that has EVER happened to me) and ENJOY SAVING MONEY!!!

Couponing 103: Get to Know Your (TRICKY) Grocery Store

2009-09-23T07:00:00.000-04:00

A few of you have signed up for your FREE TRIAL of THE GROCERY GAME! That means, you've made an initial commitment to couponing. I'm so proud of you for giving it a shot! I promise you that it will change the way you shop.

Please do me one favor, however. Write down the expiration date of your FREE TRIAL. If you don't like it and you're not committed like you thought you might be, CANCEL before your credit card is charged. I would hate to think that my recommendation wasted your money!

As you shop, remember that the holidays are coming up. In the next few weeks, you are likely to see GREAT sales on baking items. (Remember the previous post about categorical sales trends?!?!) You're also likely to see coupons for these items as well. This will be a wonderful time to stock up on flour, sugar, brown sugar, cake mixes, icing, etc. These things have a LONG shelf life, so think about how much you consume during the year and STOCK UP! (Remember the previous post about stockpiling?)

That being said, let me get to the point of today's post: GET TO KNOW YOUR (TRICKY) GROCERY STORE! Did you know that your grocery store is set up the way it is for a reason? Did you ever wonder why the produce section is located where it is? Ever stop to consider why so many magazines are located at the check out counter? It's not coincidence. Hours and hours of marketing research have gone into grocery store design to figure out the best way to get YOU TO SPEND YOUR MONEY. We're no longer about spending unnecessarily--we're about SAVING!

Here are the most common ways that Grocery Stores TRY to Trick You!!!

1) Shopping carts. Have you ever considered the size of those things? You enter the store w/ the intent to purchase 1 or 2 items, and suddenly you have filled a large, empty cart with 5 or 6 items. After all, there is room for plenty more--right??

2) Items such as laundry detergent and light bulbs are located far from the entrance. If you make a quick stop into your store to grab one of these items, you have to walk past aisles and aisles of items that you don't need. There's a good chance that you'll walk by something you can't resist and toss it into that over-sized cart.

3) Impulse-oriented items are located at the check out. Stop to think about the number of times you've purchased a magazine because you were bored, standing in a long line, and an article caught your eye? (BTW, Amazon is having HUGE sales on magazines. You can get a 1 year subscription to In Style for $5.)

4) The most expensive items are placed at eye level. The bulk options and better deals are generally on the bottom shelves.

5) Items that aren't on sale are sometimes placed as though they are on sale. Stuff at the end of the aisles and in bins aren't necessarily a good deal. As you begin your couponing expedition, begin paying attention to prices.

6) Items are priced to make comparison shopping difficult. For instance, a small box of Cheerios is $2.87 and a large box is $4.12. (Which one is the better deal??? Hmmm... Oh, no! I dropped my coupons on the floor! What was I trying to figure out again?!?!) Weird numbers and easy distractions lead you to over-spending.

Here's our smart spending plan:

1)Make a list and stick to it. Without a plan, your more likely to pick up "great buys" which really are anything BUT!

2)Put on your blinders. Look at nothing but PRICE and SIZE. When using a coupon, you'll find that the BEST deals are usually the smallest products.

3)Don't stop until you get to your next item. Displays are trying to entice you to stop and consider a purchase. RESIST THE URGE!!

4)If you aren't SURE that it's a good deal--WALK AWAY! Don't buy anything because the grocery store tells you it's a "GREAT DEAL" unless you are SURE that it's an excellent bargain.

5)Don't look at the magazines at the check out aisle. Why throw $5 away when you've made your list, stuck to it, and are about to save money with your coupons? Use your wait to consider the items in your cart and be sure that you have your coupons ready to hand to the cashier.

6)If you need to put something back, DO NOT BE AFRAID to hand an item to the cashier and tell him/her that you have changed your mind. (I handed over a $7 bag of coffee that ended up in my cart last week. We have 6 in our pantry. Why did I think we needed that?!?!)

In closing, let me leave you with a few interesting statistics (which is fitting as I should be working on my stats homework right now..)

• Shoppers making a ‘quick trip’ to the store to pick up a few specific items usually purchase 54 percent more than they planned.”
• Forty-seven percent of shoppers go to the store three or four times each week.
• Consumers graze at the grocery store, with impulse buys making up between 50.8 and 67.7 percent of total purchase.
-- America’s Cheapest Family by Steve and Annette Economides.

Couponing 102: Organization

2009-09-22T07:00:00.001-04:00

I've heard from several people over the past week who tried couponing in the past but quickly became overwhelmed. They thought it was too difficult and quit or they thought there was NO WAY people saved as much money as they claimed to save. That's why I suggested THE GROCERY GAME in the last post. The website makes it so simple. All you have to do is print the list!! Are you going to give it a try?

Now, let's talk about ORGANIZATION.
Here are the weekly steps to follow to make couponing as pain-free as possible:

1) Purchase a canceled check file. (See picture above.)

I purchased mine at Walmart for next to nothing.

2) Label the dividers.

Mine are labeled with the following categories: Beverages, Canned Goods, Cereal, Dairy, Frozen Foods, Restaurants, Meat, Medicines, Snacks/Desserts, Storage/Paper/Cleaning, Toiletries, and Other. There is NO a right or wrong way to do this. Pick categories that make sense to YOU! The goal is to be able to find your coupons as fast as possible.

3) Buy a Sunday paper (or two).

On September 27, there should be TWO coupon inserts: Smart Source and Red Plum. However, please note that many coupons are regional. Although you are likely to receive TWO coupon inserts in your paper, it is possible that you will receive only ONE. It's also possible that you won't receive ALL of the same coupons that I receive. This is normal; don't become frustrated! Chances are you received some great ones that I didn't receive. (I'm jealous already!)

4) Clip ALL of the coupons.

Admittedly, I didn't use to clip all of the coupons. I only clipped coupons for the items that I really thought I would purchase. Over the past 6 months, I've learned the value in clipping ALL of the coupons. You would be surprised at the number of coupons you can use and then GET PAID for purchasing an item that you already received for free. (I'll explain this in detail in another post.)

5) Download your grocery list from THE GROCERY GAME, and select the items that you would like to purchase.

6) Coupons that are needed will be printed right on the list. Pull those coupons and place them in the front of your coupon file.

7) Take your list and coupon file to the store. SHOP AND SAVE $$$!!!!
These are the steps that I take every week. Yes, it does take a little bit of time, but I often find time while watching television, getting up a little early one morning, etc. I tried to do this at the dog park once--NOT RECOMMENDED!

Alright, that's enough to digest for today. As always, you can leave a comment or question below. I'll respond ASAP!

How to Fund Your Savings Account: Couponing 101

2009-09-20T20:38:00.016-04:00

Alright, I'm going to teach you the #1 thing that I wish I would have known during my undergraduate years and during my masters degree program. COUPONING. Why?!? Because I would have saved SOOOOO much $$$. Also, when I was shopping for 1 and meal planning for 1 it would have been SOOOOO much simpler.

Here's how broke I was during my MSW program. My friend & I made friends with the guy behind the meat counter at our local grocery store. We'd smile, giggle at the appropriate moments, small talk, and ask for free samples. He'd let us taste just about every type of turkey, chicken, and ham that we could stand while chatting. When we were through, we'd buy a plain Kaiser roll and a drink. THAT, my friends, was dinner on more than one occasion. But I digress...

I learned to coupon in September 2007, thanks to another dear friend of mine. She led me to THE GROCERY GAME. The Grocery Game is a wonderful place for couponing newbies. It has a database of just about every grocery store in the USA. Sign up for a FREE trial and you can try out her grocery list for your favorite store!

Why should you sign up? Well, because it takes the hard work out of shopping the sales. Also, you learn a lot of things about shopping that you probably didn't know. For one, the "12 Week Rule." Grocery stores tend to run in categorical sales trends. Most categories go on sale for 3 weeks at a time and are generally seasonal. (That being said, expect to see SOUP and CHICKEN BROTH hit its rock bottom price NOW!!!) That's why it's so important to stock up when the prices are low, because you aren't likely to see a sale on that particular item again for several months!

You'll also learn about STOCKPILING. What do I mean by that? I buy several items when they are at their ROCK BOTTOM PRICE . These items will last me for MONTHS! That way, when I run out, I'm not forced to run back to the grocery store to purchase these items when they are no longer on sale and have hit their highest price point. This saves me TIME and MONEY.

Does that mean that I don't do any NEED-based shopping? No way! I certainly pick up produce from time to time, as well as other perishable items. The key to saving money here is to purchase produce according to its season!

So, where do you find your coupons? Well, coupons come from several places. As I was writing this, my brother (who happens to work as a pharmacist at Walgreens) just brought me a stack of Sunday newspapers. I generally purchase TWO newspapers from Walgreens each Sunday. In my area, these are marked down to just 99 CENTS!

Why TWO newspapers? Because my store of choice is Pubix. Each week, Publix has Buy One Get one (BOGO) deals. Although ONE item is FREE, you can still use TWO coupons since you are essentially purchasing TWO items. That's a double savings!!!

A 2nd place that I get my coupons are from online sources. I'll talk more about this at another time, but at The Grocery Game's website, you have easy access to several online coupons.

I think we're getting ahead of ourselves a little bit, so I'll break it on down for you HERE:

Your assignment for the next few days:
1) Go to The Grocery Game
2) Sign up for your FREE TRIAL (if you hate it, you can cancel)
3) List me as your referral source--if you don't mind(CarriesMe82@hotmail.com)
4) If you have questions, leave them in the comments section of this post.
I'll check back as often as I can!

P.S. The Grocery Game isn't the ONLY way to coupon, but it certainly makes it easy. It helped me to develop a routine and organize my time.
Oh, did I mention that I saved over $3,000 in my first year?!?!

DRUMROLL PLEASE!!!!

2009-09-20T20:05:00.002-04:00

And the winner is....ANNE!!!! Who not only entered to win, but left a Haiku as well.

Financial freedom
will set me among the stars,
and grant me my dreams.

Anne, you can expect your prize in 4-6 weeks. CONGRATULATIONS!!!

LESSON #1: Discipline

2009-09-17T22:00:00.005-04:00

As I previously mentioned, I had a whole lot of student loans looming over my head when I graduated with my Master’s degree. And to be completely honest, I didn’t buckle down and figure out how to throw large-ish sums of money onto my student loans every month to try to pay them down faster the very moment I got a job. The fact of the matter is that I didn’t worry at first. I had a job, baby!!! I had a bona fide 9-5 (or 7-7) that supplied me with a pay check on a bi-weekly basis. WOO-HOO!

I was FINALLY living in the same city as my boyfriend. (We had been long-distance for YEARS!) It was our turn to roll the windows down, turn the radio up, and let the wind blow through our hair. Foot loose and fancy free is how I wanted to be. So, what did we do? We planned our first VACAY together—to IRELAND! How exciting. I was finally an adult making my own money, doing my own thing.

That trip could have easily spelled disaster for me and my future financial goals. I could have been dumb and irresponsible. I could have put the entire payment onto a credit card and decided to pay the minimum balance until it was paid off well over a year later. But, somehow, I was smart and resisted.

In retrospect, booking that trip to Ireland was one of the reasons I got serious about my money—FAST! I received my first paycheck in August 2006, and our trip was scheduled for March 2007. I had exactly 7 months to save up enough money to pay for that trip in full. OH NO! I quickly realized that my student loan payments would begin 'round about November (thanks to a fab 6 month grace period). (Didn't think about that when I booked the trip.) So what did I do? I opened up a SAVINGS ACCOUNT (my very first savings account) with ING DIRECT and had $400 automatically transferred from my Checking Account each month.

Can you see where I am going with this???
That trip to Ireland taught me to set aside money each month to fund my short-term goals. I didn’t rely on a credit card. I relied on MYSELF, my willpower, my discipline to achieve the thing that I so badly wanted—an opportunity to spot a real, live LEPRECHAUN! Just kidding.

Lesson #1: Discipline. If you want to get serious about your finances, it’s going to take willpower, dedication, and discipline. Anyone can pile on the debt, but only the serious-minded can get out of debt and STAY out of debt. And something else to remember, you can still have FUN while focused on being debt free!

Do you have a savings account? NO?!?! What are you waiting on? Don’t think you have a dime to throw into savings? Go ahead and open an account anyways. We’ll discuss what to put into it later.

At ING DIRECT there are NO MINIMUMS and NO FEES. You can even nickname your account something completely outrageous if you want to. (Mine are sorta boring right now: Emergency Fund & Property Taxes, but I used to have a label for Wedding Expenses & Honeymoon.) If you continue to buy the excuse that you don’t have any money to save, you won’t.

FAB FREEBIE: Dave Ramsey's The Total Money Makeover

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Thanks for stopping by! To celebrate, I thought a giveaway geared toward your personal finances was in order!!!

Dave Ramsey's The Total Money Makeover was gifted to me, and in return, I'd like to gift this book to ONE LUCKY READER!!! Dave breaks down personal finance in a way that is easy to digest. That being said, he offers a comprehensive plan to budget your monthly expenses, develop a debt elimination plan of action, and create a financial safety net.

Here’s the giveaway details:
• PRIZE: (1) copy of Dave Ramsey’s The Total Money Makeover
• TO ENTER: Comment on this post with the words: FINANCIAL FREEDOM
• YOU MUST LEAVE YOUR E-MAIL ADDRESS TO WIN!!!!
• CONTEST CLOSES: Sunday, September 20, 2009, at 8:00pm EST
• NUMBER OF WINNERS: One
• PRIZE SHIPS: Anywhere in the Continental U.S. (excludes Alaska and Hawaii)
• THE RULES: One entry per e-mail address is permitted. The winner will be announced on Monday. Good luck!

Why This Blog?

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BUGET SAVVY STUDENT was created to fill a gap in the world of personal finance blogs. Too often, personal finance blogs are written from the perspective of middle-aged, upper-middle class individuals who have target audiences of similar individuals who all want to learn how to get rich and retire big. Well, what about those of us who are still in school? What about those of us who are just beginning our careers? What about those of us who are just trying to get by—living paycheck to paycheck?
Personal finance is important to us too!!!

In May 2006, I graduated with my Master's degree in Social Work. Not only was I handed a diploma but I was also handed a large bill for my undergraduate and graduate studies combined. For five years I knew that this debt was accumulating, but I had no real understanding of what that meant. Since I only took out loans to supplement what wasn't covered by scholarships, I thought I was a financially responsible student.

I quickly learned that being a financially responsible student with loans in deferment and a financially responsible college graduate with monthly loan bills to pay were two VERY different things! Although I didn't enter the field of Social Work for the money, I learned soon enough that I was going to have to find a way to pay down my debt if I ever hoped to survive long-term in my chosen career field.

Out of necessity, I learned how to spend smart and save smart. I read books, talked with fiscally responsible people, read blogs, and developed a course of action. Over the course of three years, I paid off 65% of my student loans, paid cash for my wedding and honeymoon, and made a sizable down payment on our 1st home. Now, my husband and I are enrolled in doctoral programs in order to secure future jobs in academia. We're living out our dreams and are determined NOT to allow student loans to invade our lives EVER AGAIN!

Can we do it?!?! Watch us as we navigate the challenges of living on little so we can live on a lot more later on! Along the way, we'll provide you with money saving tips, thoughtful discussions about personal finance, stories about life lessons learned, and hopefully--inspiration. Couldn't we all use more of that?!?!