Almost a year ago, I signed up for Amazon Mom/Prime program.
What I have learned, and it is also what I expected, is that having Amazon Prime makes it super easy to buy stuff from Amazon. "Free" two day delivery on lots of items means that I often go to Amazon for my buying needs. Does that mean I'm spending more in general? Hard to know. I could be making the same purchases, but simply making them at Amazon instead of other retailers. Or I could be making more purchases since Amazon makes it so easy. I suspect it is both.
Today, I was working on my Amazon Prime subscription box. The subscription service allows one to sign up for purchases that are regularly occurring. For us, that includes diapers, wipes, diaper genie liners, baby sunscreen, baby snacks, etc. If you sign up for five items a month that ups your savings to 15% off on everything and 20% off on diapers.
So each month, we get diapers and wipes. Normally we get some puff snacks for Baby Sam. That normally leaves two items left. We have storage space, so I'm genarlly looking for something we go through a lot of and is a dry good or cleaning supply.
As working parents, coffee is a big thing for us, so today I decided to look at coffee options. On Amazon, even narrowing by Prime, that brings up thousands of choices. Select ground and hazelnut and I'm down to hundreds. Sort by price and I come up with some brands that Mr. Sam buys regularly. Ok, price per bag, price per ounce. No idea if this is a good price. Am I falling into the trap of buying something to get a discount that isn't a good deal? Cross check to the Wal-mart site and yes this is a good price.
Do the same thing for Mr. Clean Magic Eraser and I'm good to go for check out.
So bottom line, discounts can work but you have to be careful about making a poor buying choice for purposes of getting a discount.
Also, being able to get items I need delivered makes my life so much easier. Between, work, baby, family life, maintaining sanity is important.
Showing posts with label Penny Pinching. Show all posts
Showing posts with label Penny Pinching. Show all posts
Monday, May 30, 2016
Friday, April 22, 2016
Keeping Up With the Joneses - Part I
So, for the past few years, probably five or so, more and more of my friends and peers, and even people who report up to me at work (so, I'd consider them non-peers) have been buying homes at purchase price points ranging from $700,000 to a million.
I find this phenomenon strange, but also incredibly alluring.
Let's start with an analysis of these folks. I will start with the ones who started this trend, and I do believe there is a somewhat contagious trend among friends that equates to keeping up with the Joneses. The ones who started the trend, in my humble opinion, likely made smarter choices.
1. It started with my friend Mary, all names changed to protect the innocent, and her husband George. Back in 2011, they actually got a great deal and paid mid $500s for a home that is now likely worth close to $800,000. They bought a 5000 square foot McMansion in a better school district, they have a small child, with 5 bedrooms, 4 baths in a new development. Their family consists of 3 people and they do not plan to have any more children so this is a house bigger than they need. Their real estate taxes are more than $8000. They took out a $400,000 mortgage. Five years later they are putting in a pool. The house they sold they had owned since 2002 and they made about $50,000 profit when they sold it. They were buying in a buyers market due to the 2008 real estate crash which means they were also selling in a buyers market.
Mary is in the same profession as I am, I assume she makes similar money to me. Her husband is in law enforcement. While he makes less money, he has a great pension that will be coming to him (and soon) such that their retirement savings is less crucial. I have one other friend who will have a federal pension, but she cannot collect said pension until closer to traditional retirement age. George will be able to start collecting his pension in less than 10 years and his pension is for life. As a result, they don't have to save as much for retirement.
2. Jennifer and Alan were next. They are a dual income, professional, couple. Both are in the same profession I am in. They have three kids.
In 2012 they bought a 4 bedroom, 3.5 bath, 5000 square foot home. It also has a 2000 square foot out building (with air conditioning) and a pool. They bought the home for $775,000 (the prior owner had bought it for $800,000 so, again, it was likely a good buy) and it is likely worth close to a million now. Taxes are $14,000 a year. They took on a $620,000 mortgage. Later they took on a $35,000 home equity loan.
They held onto their prior house for a couple of years, while the Florida real estate market improved (likely a smart move), and they later sold it in 2015 for a $265,000 profit. I don't believe they took that profit and reduced or refinanced the mortgage on their current home, rather before they sold their prior home they put it into a trust and I assume the profits also went into that trust.
They have engaged in a variety of real estate and trust maneuvers in the last few years. This is probably because Alan also bought an office building and they are creating protection for their other assets.
Does it sound like I'm stalking my friends' personal business?? Well I guess I am. All of this information, at least in Florida, is public record and readily accessible on line. I also am learning from what they are doing, and that is both positive and negative (more on that later).
I find this phenomenon strange, but also incredibly alluring.
Let's start with an analysis of these folks. I will start with the ones who started this trend, and I do believe there is a somewhat contagious trend among friends that equates to keeping up with the Joneses. The ones who started the trend, in my humble opinion, likely made smarter choices.
1. It started with my friend Mary, all names changed to protect the innocent, and her husband George. Back in 2011, they actually got a great deal and paid mid $500s for a home that is now likely worth close to $800,000. They bought a 5000 square foot McMansion in a better school district, they have a small child, with 5 bedrooms, 4 baths in a new development. Their family consists of 3 people and they do not plan to have any more children so this is a house bigger than they need. Their real estate taxes are more than $8000. They took out a $400,000 mortgage. Five years later they are putting in a pool. The house they sold they had owned since 2002 and they made about $50,000 profit when they sold it. They were buying in a buyers market due to the 2008 real estate crash which means they were also selling in a buyers market.
Mary is in the same profession as I am, I assume she makes similar money to me. Her husband is in law enforcement. While he makes less money, he has a great pension that will be coming to him (and soon) such that their retirement savings is less crucial. I have one other friend who will have a federal pension, but she cannot collect said pension until closer to traditional retirement age. George will be able to start collecting his pension in less than 10 years and his pension is for life. As a result, they don't have to save as much for retirement.
2. Jennifer and Alan were next. They are a dual income, professional, couple. Both are in the same profession I am in. They have three kids.
In 2012 they bought a 4 bedroom, 3.5 bath, 5000 square foot home. It also has a 2000 square foot out building (with air conditioning) and a pool. They bought the home for $775,000 (the prior owner had bought it for $800,000 so, again, it was likely a good buy) and it is likely worth close to a million now. Taxes are $14,000 a year. They took on a $620,000 mortgage. Later they took on a $35,000 home equity loan.
They held onto their prior house for a couple of years, while the Florida real estate market improved (likely a smart move), and they later sold it in 2015 for a $265,000 profit. I don't believe they took that profit and reduced or refinanced the mortgage on their current home, rather before they sold their prior home they put it into a trust and I assume the profits also went into that trust.
They have engaged in a variety of real estate and trust maneuvers in the last few years. This is probably because Alan also bought an office building and they are creating protection for their other assets.
Does it sound like I'm stalking my friends' personal business?? Well I guess I am. All of this information, at least in Florida, is public record and readily accessible on line. I also am learning from what they are doing, and that is both positive and negative (more on that later).
Friday, January 22, 2016
Focusing on Debt
This was my December update on debt:
Of course, we've added to our debt by buying me a nused car. But, I'm ignoring that for right now.
I've been chipping away at our credit card debt. We killed the 0% credit card debt that we took out for tile in one of our rental homes. Mr. Sam also cancelled that card/account. As for our revolving credit card (Chase) that has been hanging around since Baby Sam arrived, it is now down to $3809. I'm utilizing Dave Ramsey tricks by throwing a $100 at it here and there, and sending payments from various checking accounts on the same day. I expect that Chase will be killed off by mid-March (hoping for end of February).
Mr. Sam's truck is down to $2000 and we have 4 payments left. I don't plan to pay ahead as we have a 0% situation. So, by May the truck will be paid in full.
Once the Chase is killed, we really need to ramp up 2015 IRAs savings since the deadline to fund is 4/15/16. At present we have $2500 in our 2015 IRA savings. That means we need to find $9000 before 4/15/16. Our available savings is down because of my nused car purchase. We do have $4200 in our vacation/travel fund, which means I could likely raid it for a couple of thousand. And I could probably take $1,000 from savings. That would mean we need to find $5,500 from other sources in about a month or month and a half.
Debt killing goals:
(1) Pay off lingering credit card debt in the amount of $6500.
(2) Pay off Mr. Sam's new car, remaining debt $2500.
Of course, we've added to our debt by buying me a nused car. But, I'm ignoring that for right now.
I've been chipping away at our credit card debt. We killed the 0% credit card debt that we took out for tile in one of our rental homes. Mr. Sam also cancelled that card/account. As for our revolving credit card (Chase) that has been hanging around since Baby Sam arrived, it is now down to $3809. I'm utilizing Dave Ramsey tricks by throwing a $100 at it here and there, and sending payments from various checking accounts on the same day. I expect that Chase will be killed off by mid-March (hoping for end of February).
Mr. Sam's truck is down to $2000 and we have 4 payments left. I don't plan to pay ahead as we have a 0% situation. So, by May the truck will be paid in full.
Once the Chase is killed, we really need to ramp up 2015 IRAs savings since the deadline to fund is 4/15/16. At present we have $2500 in our 2015 IRA savings. That means we need to find $9000 before 4/15/16. Our available savings is down because of my nused car purchase. We do have $4200 in our vacation/travel fund, which means I could likely raid it for a couple of thousand. And I could probably take $1,000 from savings. That would mean we need to find $5,500 from other sources in about a month or month and a half.
Thursday, July 23, 2015
Uphill Battle
I'm sorry I've not posted here more. But, now I understand how busy one gets with a full time job and a new baby.
Financially, we are all over the place. We can't seem to get back on track post baby. While our incoming salaries remain the same or better, our outgoing expenses are much. much higher than normal.
Child care is running $1900 a month ($22,800 a year) which appears to be way higher than normal for Florida, but I don't know anyone in my circle paying the Florida annual average of $8300. Add in diapers, formula, wipes, etc. at $300 a month or so and we are up to $2200 in expenses. And, we actually don't spend much on Baby Sam, we hit the thrift stores for books and toys and I stick to super sales for baby clothes. At present, we are also adding $200 a month to Baby Sam's college fund. So in total, about $2400 a month in baby expenses.
Another challenge, we are converting a rental property from rental to family. We have, in the past, utilized one of rental properties for our snow bird relatives which was a financial hit. Now, that we are turning the rental property to a family property, we have had a couple of months where our old tenants have not paid us. So that also, obviously, impacts our cash flow.
Anyways, we continue to contribute to our 401ks, at max level, and continue to put money into savings, but we need to catch up on our IRAs.
Hope your summer is going well.
Financially, we are all over the place. We can't seem to get back on track post baby. While our incoming salaries remain the same or better, our outgoing expenses are much. much higher than normal.
Child care is running $1900 a month ($22,800 a year) which appears to be way higher than normal for Florida, but I don't know anyone in my circle paying the Florida annual average of $8300. Add in diapers, formula, wipes, etc. at $300 a month or so and we are up to $2200 in expenses. And, we actually don't spend much on Baby Sam, we hit the thrift stores for books and toys and I stick to super sales for baby clothes. At present, we are also adding $200 a month to Baby Sam's college fund. So in total, about $2400 a month in baby expenses.
Another challenge, we are converting a rental property from rental to family. We have, in the past, utilized one of rental properties for our snow bird relatives which was a financial hit. Now, that we are turning the rental property to a family property, we have had a couple of months where our old tenants have not paid us. So that also, obviously, impacts our cash flow.
Anyways, we continue to contribute to our 401ks, at max level, and continue to put money into savings, but we need to catch up on our IRAs.
Hope your summer is going well.
Wednesday, May 27, 2015
Update on Swap.com Experiment
Earlier, I posted about my Swap.com experiment.
Almost a month later and I have earned $80 in profit. I've sold about 18 items (a couple of which were sets). The least expensive item I sold was $3.00. The most expensive item I sold was $15.00. Initially, the first week or so that my items were posted on the web site (they do the photographing and posting), I sold several items that were lower priced. Then my selling rate slowed down and I sold an item here or there but the items were more expensive. I have 8 items (include a couple of sets) posted and priced that have not sold.
I did much better selling maternity clothes that I did selling infant/baby items. In fact, I have only sold one baby item thus far.
At present, I have another big box of mostly maternity items to send off now. The items I am sending in this time are my high end, business and fashion maternity items. I also had almost all of these items dry-cleaned so I will need to price the items high enough to recoup my dry-cleaning expenses. These items will likely be priced at $30 or more to account for dry-cleaning costs of $10 and original prices of $80 - $130 per item (and many were only slightly worn).
Wish me luck.
Almost a month later and I have earned $80 in profit. I've sold about 18 items (a couple of which were sets). The least expensive item I sold was $3.00. The most expensive item I sold was $15.00. Initially, the first week or so that my items were posted on the web site (they do the photographing and posting), I sold several items that were lower priced. Then my selling rate slowed down and I sold an item here or there but the items were more expensive. I have 8 items (include a couple of sets) posted and priced that have not sold.
I did much better selling maternity clothes that I did selling infant/baby items. In fact, I have only sold one baby item thus far.
At present, I have another big box of mostly maternity items to send off now. The items I am sending in this time are my high end, business and fashion maternity items. I also had almost all of these items dry-cleaned so I will need to price the items high enough to recoup my dry-cleaning expenses. These items will likely be priced at $30 or more to account for dry-cleaning costs of $10 and original prices of $80 - $130 per item (and many were only slightly worn).
Wish me luck.
Monday, November 4, 2013
2013 Savings Goals - November Update
(1) Max out 401k(s) - $26,231 (75%) (goal is $35,000)
(2) Max out IRA(s) - $11,000 (100%) (goal is $11,000) completed
(3) Add to e/r fund - $8,000 (80%) (goal is $10,000)
(4) Pay down mortgage - $4,150 (83%) (goal is $5,000)
(5) Trading account fund - $3,900 (78%) (goal is $5,000)
(6) House projects - $2,000 (67%) (goal is $3,000)
Total: $55,281 (80%)
At present we are about $3100 behind on our goals.
We have just under two (2) months to go to complete our goals. And, like most years, it will be a challenge to come close to hitting our goal numbers. For at least one category it will be impossible to meet our goals since Mr. Sam was unable to continue contributing to his 401k post layoff. While we continue to stretch towards our original goals as we close the year out, I remind myself that I will be content if we exceed our savings goals from last year (meaning our re-calibrated 2013 savings goal is really $63,000). That would mean that we need to save at least another $7,750 which will be a challenge. I will max out my 401k which is about another $3000, we will meet our emergency account savings goal, another $2000, and we will meet our mortgage principal prepayment efforts, another $850. And, that leaves another $2000 we need to scrape together to exceed our 2012 savings numbers which I really would like to do even with Mr. Sam's layoff and his subsequent salary reduction at the new job.
(2) Max out IRA(s) - $11,000 (100%) (goal is $11,000) completed
(3) Add to e/r fund - $8,000 (80%) (goal is $10,000)
(4) Pay down mortgage - $4,150 (83%) (goal is $5,000)
(5) Trading account fund - $3,900 (78%) (goal is $5,000)
(6) House projects - $2,000 (67%) (goal is $3,000)
Total: $55,281 (80%)
At present we are about $3100 behind on our goals.
We have just under two (2) months to go to complete our goals. And, like most years, it will be a challenge to come close to hitting our goal numbers. For at least one category it will be impossible to meet our goals since Mr. Sam was unable to continue contributing to his 401k post layoff. While we continue to stretch towards our original goals as we close the year out, I remind myself that I will be content if we exceed our savings goals from last year (meaning our re-calibrated 2013 savings goal is really $63,000). That would mean that we need to save at least another $7,750 which will be a challenge. I will max out my 401k which is about another $3000, we will meet our emergency account savings goal, another $2000, and we will meet our mortgage principal prepayment efforts, another $850. And, that leaves another $2000 we need to scrape together to exceed our 2012 savings numbers which I really would like to do even with Mr. Sam's layoff and his subsequent salary reduction at the new job.
Friday, October 11, 2013
Pedi Toes Lead the Way
Pedicures certainly should be classified as a want when one is doing a budget or a spending plan. But for a South Florida gal, like me, they nudge into the category of need since my toes are exposed on a regular basis. I wear peep toe pumps at work and sandals and flip flops on the weekend so unsightly toes are something I "need" to avoid.
Over the last year or so, having a regular pedicure has turned into a regular habit for me. While I strive to avoid lifestyle inflation, I have just worked this service into my regular expenses, as part of my allowance. Said another way, while I am spending more on my toes I am not spending more in general.
I pay quite a bit to have my hair cut, I've got long hair complicated hair and this is an expense that has been part of my regular budget since college. So the spa/salon where I get my hair cut offers a very nice pedicure service which I have used with some regularity over the last few years. Basically, when I get my hair cut, every six weeks, I often get my toes done. The cost at this location is $55 ($65 with tip). A pedicure at this spot is a luxury experience, super nice massage chairs and thorough and pampered experience. The pedicure lasts quite a long time, normally at least two and half weeks or so.
On the other end of the spectrum, there is a no-frills nail salon near my office which charges $22 for a pedicure ($27 with tip). This spot is very convenient and has later hours so it is an easy stop after work. But, there are no massage chairs and I don't find it to be a relaxing experience. The pedicure from this place lasts a week or so.
So recently, I bought a Groupon for a day spa located near my home (I had no idea it was there) and had a great pedi and mani for $30. It is a great spa, new and well appointed (meaning that it had great massage chairs). My Groupon pedi lasted for more than two weeks (really almost three weeks) and I was very happy with the quality of the services. Even though I only had a classic pedi, the treatment and time almost reached spa level pedi in my mind. So, the Groupon worked, and I went back for another pedi this past weekend. The regular price for a classic pedicure is $40 ($50 with tip) so this spot falls in between the prices of the spa/salon where I get my hair cut and the convenient spot near work. But, I would say that this new location provides similar quality and level of service as the $55 pedi. The only down side is that this place is not open late so it has to be a Saturday stop for me and my Saturdays are always busy.
I've really found that paying a bit more for quality is saving me time (since I don't have to have a cheap pedi every week or so) and increasing my joy in that I really enjoy the experience.
Over the last year or so, having a regular pedicure has turned into a regular habit for me. While I strive to avoid lifestyle inflation, I have just worked this service into my regular expenses, as part of my allowance. Said another way, while I am spending more on my toes I am not spending more in general.
I pay quite a bit to have my hair cut, I've got long hair complicated hair and this is an expense that has been part of my regular budget since college. So the spa/salon where I get my hair cut offers a very nice pedicure service which I have used with some regularity over the last few years. Basically, when I get my hair cut, every six weeks, I often get my toes done. The cost at this location is $55 ($65 with tip). A pedicure at this spot is a luxury experience, super nice massage chairs and thorough and pampered experience. The pedicure lasts quite a long time, normally at least two and half weeks or so.
On the other end of the spectrum, there is a no-frills nail salon near my office which charges $22 for a pedicure ($27 with tip). This spot is very convenient and has later hours so it is an easy stop after work. But, there are no massage chairs and I don't find it to be a relaxing experience. The pedicure from this place lasts a week or so.
So recently, I bought a Groupon for a day spa located near my home (I had no idea it was there) and had a great pedi and mani for $30. It is a great spa, new and well appointed (meaning that it had great massage chairs). My Groupon pedi lasted for more than two weeks (really almost three weeks) and I was very happy with the quality of the services. Even though I only had a classic pedi, the treatment and time almost reached spa level pedi in my mind. So, the Groupon worked, and I went back for another pedi this past weekend. The regular price for a classic pedicure is $40 ($50 with tip) so this spot falls in between the prices of the spa/salon where I get my hair cut and the convenient spot near work. But, I would say that this new location provides similar quality and level of service as the $55 pedi. The only down side is that this place is not open late so it has to be a Saturday stop for me and my Saturdays are always busy.
I've really found that paying a bit more for quality is saving me time (since I don't have to have a cheap pedi every week or so) and increasing my joy in that I really enjoy the experience.
Thursday, October 10, 2013
Small Fries
Last weekend, Mr. Sam and I rented a two movies from Red Box and one of our selections didn't play. This has happened to us before, I would guesstimate at 1 out of 20 movies. I really like the Red Box system but I have never, until today, figured out how to get a movie credit or a refund. And, something about not being able to get that $2 or $1 back really rubs me the wrong way.
I have the same aggravations with ATM fees and other small fees. For a while, Home Depot kept charging us $2 on our 0% Home Depot credit card bill. I would have to call each month and get them to refund the $2 charge which they could never explain.
So, anyways, the secret to getting a Red Box credit is as follows.
(1) Google "red box how to get a refund";
(2) Click on the result that is labeled "what's the red box refund policy"
(3) Under the policy, click to talk to customer care and explain problem.
Red Box gave me two movie credits which I thought was reasonable for my request.
I have the same aggravations with ATM fees and other small fees. For a while, Home Depot kept charging us $2 on our 0% Home Depot credit card bill. I would have to call each month and get them to refund the $2 charge which they could never explain.
So, anyways, the secret to getting a Red Box credit is as follows.
(1) Google "red box how to get a refund";
(2) Click on the result that is labeled "what's the red box refund policy"
(3) Under the policy, click to talk to customer care and explain problem.
Red Box gave me two movie credits which I thought was reasonable for my request.
Wednesday, August 7, 2013
Tossing and Turning
I found myself unable to sleep last night and as a result ended up reading several great articles on Longform.org which is one of my favorite cites for in-depth, well written articles.
Since the Powerball jack pot is up to $425 million I found this article from Nautilus on why we keep playing the lottery extremely insightful. I use the term "we" loosely as I'm not a fan of the lottery and I have often pondered why so many people play and why so many people who play are poor.
I have a personal objection to lotteries in they act as a regressive tax on the poor. As such it was interesting, and depressing, to think about the analysis of the lottery is more popular among the poor.
The last time I played the lottery was the last really big Powerball jackpot. Now, I really had no interest in playing, but everyone in my office was chipping in for a pool and I didn't want to be left out (I also didn't want to be viewed as a "stick in the mud"). The article notes, that indeed, some people are motivated to opt in not because they think they will win, but they don't want to miss an opportunity.
Since the Powerball jack pot is up to $425 million I found this article from Nautilus on why we keep playing the lottery extremely insightful. I use the term "we" loosely as I'm not a fan of the lottery and I have often pondered why so many people play and why so many people who play are poor.
I have a personal objection to lotteries in they act as a regressive tax on the poor. As such it was interesting, and depressing, to think about the analysis of the lottery is more popular among the poor.
For many poor people, he adds, there is “no scenario they can come up with in which they are suddenly going to get very rich.” To them, the lottery may be a low probability event—but so is getting a job that pays six figures.
The last time I played the lottery was the last really big Powerball jackpot. Now, I really had no interest in playing, but everyone in my office was chipping in for a pool and I didn't want to be left out (I also didn't want to be viewed as a "stick in the mud"). The article notes, that indeed, some people are motivated to opt in not because they think they will win, but they don't want to miss an opportunity.
In a 2003 study, researchers in the Departments of Economic and Social Psychology, and Marketing at Tilbrug University in the Netherlands, noted fear of regret played a significantly larger role in the Postcode Lottery than in a regular lottery. It was not the chance of winning that drove the players to buy tickets, the researchers found, it was the idea that they might be forced to sit on the sidelines contemplating missed opportunity.So how about you, are you buying a Powerball ticket today?
Friday, August 2, 2013
It is Expensive to be Poor
If you have never read Nickel and Dimed by Barbara Ehrenreich, I highly recommend it. At this point, the book is probably a bit dated since the events written about took place around 2000. But in it Ms. Ehrenreich takes a series of low paying jobs and tries to make ends meet. If my recollection is correct, she actually starts her journey with enough money to find an apartment and she has a car (which she notes puts her well ahead of many of the folks in her travels).
Today, I read an nbc.com article that highlighted many of these issues. Yolanda Williams, the woman featured in this article, is trying to support an adult daughter, her disabled husband on less than $300 every two weeks. She spends 28 hours a week commuting by bus to work and to school. She also struggles to afford medication and treatment for her and her husband's diabetes treatment (which likely means more expensive treatment down the road).
It is distressing to hear about this woman, who is working so very hard, but doesn't seem to be making much progress.
Today, I read an nbc.com article that highlighted many of these issues. Yolanda Williams, the woman featured in this article, is trying to support an adult daughter, her disabled husband on less than $300 every two weeks. She spends 28 hours a week commuting by bus to work and to school. She also struggles to afford medication and treatment for her and her husband's diabetes treatment (which likely means more expensive treatment down the road).
It is distressing to hear about this woman, who is working so very hard, but doesn't seem to be making much progress.
Tuesday, July 16, 2013
Bad News
At I mentioned in my last post, the layoff we have been talking about and expecting for the last year and a half has finally showed its ugly face. Mr. Sam has been laid off from his corporate job.
While it was no surprise, it is certainly a devastating blow to Mr. Sam and to us as a couple. Financial and family plans are impacted. Our day to day spending will be impacted. Our 2013 savings goals are impacted. Our long term financial goals are impacted. Etc.
We are in the process of sorting out his plan forward and our plan forward.
While it was no surprise, it is certainly a devastating blow to Mr. Sam and to us as a couple. Financial and family plans are impacted. Our day to day spending will be impacted. Our 2013 savings goals are impacted. Our long term financial goals are impacted. Etc.
We are in the process of sorting out his plan forward and our plan forward.
Wednesday, June 12, 2013
Satisfy Your Shopping Itch Without Buying
I've used a little trick for years to satisfy my urge to shop while also keeping my spending in check. I go to my favorite online stores, J. Crew, Amazon, Pottery Barn, etc. For clothes, I pick out something, I take a look at colors, I pick out my size, etc. I may shop for an entire outfit. Then I put it into my shopping bag or my shopping cart and then I simply don't check out. My Amazon.com cart has items that I picked out more than 2 or 3 years ago. Sometimes I use this method because I'm following our rules on waiting a day for every $100 an item costs, meaning if I picked out a pair a shoes that exceeded a $100, I am required to wait before I purchase them. But, just as often, I simply enjoy this process, the browsing, the effort of coordinating a skirt with a shirt, finding the perfect dress for an upcoming event or trip and then feel little to no need to complete the sale.
This morning I read an article on The Atlantic that seems to confirm that materialistic folks (perhaps I am one) receive a greater happiness boost from thinking about acquisitions than from the actual acquisition.
What do you think? Do you ever engage in imaginary shopping to satisfy your shopping impulses?
This morning I read an article on The Atlantic that seems to confirm that materialistic folks (perhaps I am one) receive a greater happiness boost from thinking about acquisitions than from the actual acquisition.
What do you think? Do you ever engage in imaginary shopping to satisfy your shopping impulses?
Tuesday, May 14, 2013
2013 Goals - May Update
(1) Max out 401k(s) - $15,736 (45%) (goal is $35,000)
(2) Max out IRA(s) - $6,013 (55%) (goal is $11,000)
(3) Add to e/r fund - $3,600 (36%) (goal is $10,000)
(4) Pay down mortgage - $1,660 (25%) (goal is $5,000)
(5) Trading account fund - $50 (1%) (goal is $5,000)
(6) House projects - $900 (30%) (goal is $3,000)
Total: $27,959 (41%)
We are about $1400 ahead of where we should be.
Otherwise, we continue to chug along. I've got some unbudgeted car expenses coming up, new tires, new breaks, tune up, etc. which is likely to run more than a thousand. My eating out/ordering in expenses continue to be high. The busier I am at work, and I'm super busy right now, the more I spend on eating in because I don't have the time or energy to prepare food. Last week I spent close to $100 on eating in (yikes!) which is way too much.
I was trying to get into networthiq today, and its not working. Another yikes! I love that site and I have a lot of data stored in it, so I'm trying not to freak out and hoping it will be back up and running shortly.
Thursday, May 2, 2013
Ask, and you shall receive
I have been a DirecTv customer for years. We also have an HBO package which includes access to HBO Go. HBO Go is a great service, we can watch any and all HBO series, including past seasons and current seasons, on an iPad or iPhone anywhere (assuming access to WiFi) at anytime.
But, there is a down side of DirecTv and HBO and that is the price. While, I feel like we get a lot of enjoyment out of the service, DirecTv has been inching up and inching up in price. So I've developed a habit of calling once every 13 months or so and asking for a discount. I used to call armed with information from their competitors, but now I just call up and tell them I want to keep our same services but I want to pay less and it seems to work.
Last night I called, and I received a $10 discount on our DirecTv package and then I spoke to someone in the premium channel department and received a $10 discount on our HBO package. The general discount is good for a year and the HBO discount is good for six months. So in 5 minutes I saved us $180.
This is a good lesson for all who are working on killing debt, sticking to a budget or increasing savings. While you may have to cut certain things out in your quest for improved personal finances, there are also opportunities to keep the same services but pay less.
When we were killing our credit card debt in 2007 I regret that I never called, on the cards that were not 0%, and asked for reductions in interest rate or some other accommodations. Last year, we combined and redid our car insurance (more than 5 years after we got married). We dramatically increased our coverage and saved a ton of money (which we put towards our umbrella insurance policy). We could have saved thousands of dollars over the 5 years of insurance status quo, but we didn't make the time to investigate our options.
But, there is a down side of DirecTv and HBO and that is the price. While, I feel like we get a lot of enjoyment out of the service, DirecTv has been inching up and inching up in price. So I've developed a habit of calling once every 13 months or so and asking for a discount. I used to call armed with information from their competitors, but now I just call up and tell them I want to keep our same services but I want to pay less and it seems to work.
Last night I called, and I received a $10 discount on our DirecTv package and then I spoke to someone in the premium channel department and received a $10 discount on our HBO package. The general discount is good for a year and the HBO discount is good for six months. So in 5 minutes I saved us $180.
This is a good lesson for all who are working on killing debt, sticking to a budget or increasing savings. While you may have to cut certain things out in your quest for improved personal finances, there are also opportunities to keep the same services but pay less.
When we were killing our credit card debt in 2007 I regret that I never called, on the cards that were not 0%, and asked for reductions in interest rate or some other accommodations. Last year, we combined and redid our car insurance (more than 5 years after we got married). We dramatically increased our coverage and saved a ton of money (which we put towards our umbrella insurance policy). We could have saved thousands of dollars over the 5 years of insurance status quo, but we didn't make the time to investigate our options.
Tuesday, November 27, 2012
Budget Busters - Cell Phones?
Are cell phones now number two on the household budget?
Upon reading this article I decided to review our AT&T bill which includes one home phone, two cell phones (one of which is a smart phone with a data plan) and our internet service.
This past month our bill was $202 (which is about $20 higher than normal). In studying the bill there are certainly charges that jump out at me. And of course each phone has separate surcharges and taxes which further ups the costs.
For my iPhone I have a data plan (unlimited) which my employer reimburses, $30, each month since I regularly use my phone for work. But, I don't have a texting plan and last month I had $6.00 in texts. I don't have a text plan because I don't normally text but others text me. I've thought about adding a text plan, but I always worry about changing my plan and losing my grandfathered in unlimited data plan. Frankly, I don't trust AT&T to change my plan without screwing up something else.
Mr. Sam doesn't have a smart phone so he calls directory assistance quite often, those calls are billed at $1.99 each and last month he had $7.96 in such charges.
We continue to maintain a home phone which Mr. Sam uses when he works at home. This past month he had $12 in long distance charges. After discussing whether to seek reimbursement for those charges from his employer we have decided not to because the amount he saves in gas by working at home far exceeds the telephone charges.
How about you, how much is your phone bill? Have you undertaken efforts to curb your phone bill or is it simply the price of being connected these days?
Upon reading this article I decided to review our AT&T bill which includes one home phone, two cell phones (one of which is a smart phone with a data plan) and our internet service.
This past month our bill was $202 (which is about $20 higher than normal). In studying the bill there are certainly charges that jump out at me. And of course each phone has separate surcharges and taxes which further ups the costs.
For my iPhone I have a data plan (unlimited) which my employer reimburses, $30, each month since I regularly use my phone for work. But, I don't have a texting plan and last month I had $6.00 in texts. I don't have a text plan because I don't normally text but others text me. I've thought about adding a text plan, but I always worry about changing my plan and losing my grandfathered in unlimited data plan. Frankly, I don't trust AT&T to change my plan without screwing up something else.
Mr. Sam doesn't have a smart phone so he calls directory assistance quite often, those calls are billed at $1.99 each and last month he had $7.96 in such charges.
We continue to maintain a home phone which Mr. Sam uses when he works at home. This past month he had $12 in long distance charges. After discussing whether to seek reimbursement for those charges from his employer we have decided not to because the amount he saves in gas by working at home far exceeds the telephone charges.
How about you, how much is your phone bill? Have you undertaken efforts to curb your phone bill or is it simply the price of being connected these days?
Monday, November 26, 2012
Executing on the Holiday Plan
Earlier, I posted about our holiday plan and budget and since its Cyber Monday it is time for me to start executing on our plan.
As I previously posted, for the past few years we've been sending out holiday wreathes to our adult family members (we don't exchange holiday gifts with the adults in our family). The past few years the holiday wreath giving has also supported one of my favorite charities, but they have opted not to participate this year. So, I was thinking of sending wine from a winery we visited this year. But, that option ended up being too expensive and too complicated although I am going to order a 6 pack of wine to give as gifts locally (work and hostess gifts).
For the wreathes, I decided to go with L.L. Bean. First, L.L. Bean makes the wreathes right in Maine, so the company supports American workers. Second, the wreathes ended up costing about the same amount, with free shipping today and 10% off today, as the charity wreathes. Also, I will receive $40 in gift cards, $10 per $50 spent, which I can use for other holiday shopping.
As I previously posted, for the past few years we've been sending out holiday wreathes to our adult family members (we don't exchange holiday gifts with the adults in our family). The past few years the holiday wreath giving has also supported one of my favorite charities, but they have opted not to participate this year. So, I was thinking of sending wine from a winery we visited this year. But, that option ended up being too expensive and too complicated although I am going to order a 6 pack of wine to give as gifts locally (work and hostess gifts).
For the wreathes, I decided to go with L.L. Bean. First, L.L. Bean makes the wreathes right in Maine, so the company supports American workers. Second, the wreathes ended up costing about the same amount, with free shipping today and 10% off today, as the charity wreathes. Also, I will receive $40 in gift cards, $10 per $50 spent, which I can use for other holiday shopping.
Friday, November 16, 2012
2012 Savings Goal - Mid November Update
(1) Max out 401k(s) - $32,036 (94%)(goal is $34,000)
(2) Max out IRA(s) - $7,829 (78%)(goal is $10,000)
(3) Add to e/r fund - $8,800 (88%)(goal is $10,000)
(4) Pay down mortgage - $2490 (50%)(goal is $5,000)
(4)(a) Savings for goal (4) - $830
(5) House projects - $1,200 (26%)(goal is $5,000)
(6) Trading account fund - $50 (1%)(goal is $5,000)
Total - $53,335 (76%)
I plan to update our 2012 goals every two weeks or so until the end of the year to help me stay focused. At present, we are about $7,700 behind on our goals.
While I don't think we will be able to meet our 2012 goal of saving $69,000 I am hoping (and planning) to completed goals 1-4 and to surpass the amount we saved last year which was $60,060.
Monday, November 5, 2012
2012 Savings Goals - November Update
(1) Max out 401k(s) - $31,379 (92%)(goal is $34,000)
(2) Max out IRA(s) - $5,829 (58%)(goal is $10,000)
(3) Add to e/r fund - $8,400 (84%)(goal is $10,000)
(4) Pay down mortgage - $2490 (50%)(goal is $5,000)
(4)(a) Savings for goal (4) - $415
(5) House projects - $1,200 (24%)(goal is $5,000)
(6) Trading account fund - $50 (1%)(goal is $5,000)
Total - $49,763 (72%)
I've added a sub goal to our list, since at present, I'm allocating our mortgage paydown money to savings until I figure out how to prepay our new mortgage.
At present, we are approximately $9,900 behind on our 2012 goals and the gap is approaching $10,000.
What can I say about our current savings deficit and the fact that it continues to grow?
I can tell you that (1) we've spent thousands on certifications for Mr. Sam this year (to improve career opportunities); (2) I can tell you we spent thousands on refinancing our primary dwelling and (3) thousands on fixing our our primary dwelling for the appraisal for the refi; and (4) recently a few thousands on some projects at Rental # 3.
But, I can also tell you that in the face of the above we have failed to change our lifestyle in any significant manner. We continue to eat out more than we should. I just booked a girls weekend in South Beach, Miami and, of course, I just bought some fabulous art.
So, with two months to go, including the expensive holiday season, it seems doubtful that we will reach our $69,000 number. Rather, at this point, while I'm not amending our goals, I'm hoping to meet and surpass last year's savings number which was $60,060.
Wednesday, October 31, 2012
I Hate Grocery Shopping
I have never ever enjoyed grocery shopping. In fact, grocery shopping is my least favorite chore. As a result, I generally refuse to grocery shop and that chore has become Mr. Sam's responsibility. He has learned over the 6 years of marriage and the 8 years of cohabitation that if he wants to eat he has to do the shopping. Similarly, I've learned that Mr. Sam hates to pay bills and if I want the bills paid I've got to pay them. Marriage - divide and conquer.
Being that Mr. Sam has been deep into renovations and projects at Rental # 3, he has been slacking on his grocery responsibilities. And, being that it is Halloween, I figured I needed to at least swing by the grocery store and pick up some candy for the kids. And, if I was stopping by to pick up candy, I might as well pick up a few things.
Reason # 1 that I hate the grocery store, a few things turns into a $150 in groceries. And really, I only picked up a few things, fruit, salad stuff, milk, juice, cereal, bread, bagels, cheese, sandwich meat, peanut butter, cream cheese, butter, a few frozen dinners (for my lunches), yogurt, beer and the aforementioned candy. Honestly, I have no idea how a few things, plus Halloween candy, can turn into $150.
I'm sure if I were a regular shopper I would have a better handle on what things cost or should cost at the grocery store. And, I further recognize that it is certainly cheaper to buy my lunches at the grocery store than order in at $10-$12 on a daily basis.
Reason # 2 that I hate the grocery store, it is close to impossible to be an informed shopper. It is difficult and time consuming to compare prices among similar products. The prices on products change from week to week. The sizes for items are not standard, you have to study the little per ounce shelf tags to try and get a realistic sense of pricing.
Reason # 3 that I hate the grocery store, the pricing game. There are special prices for people with savings cards and the like. Ugh, I hate those cards and I don't use them. If I shop at Publix, which I prefer, then I don't have to worry about the preferred shopper game. But, I was at Winn Dixie which utilizes a customer reward card which just adds a whole extra level of pricing complications. As I mentioned, I'm not a fan of customer cards, I don't use them but Mr. Sam has a Winn Dixie reward card and I figured I would take advantage of it.
Now, I don't go out of the way to buy certain products because they are on special, but if I was already buying a product I might opt for the one that is on special and that is what I did last night. I am a fan of the Chobani greek yogurt and I often eat the non-fat varieties for breakfast or afternoon snack. I noticed Winn Dixie was running a special, buy 10 Chobani yogurts and they would be a $1 each. I made sure to select 10 to get the deal. I also opted for a buy one get one free on bagels and a three for something special on the sandwich meat.
And, therein lies the problem, by the time I get to checkout I can't recall or keep track of the various specials I'm trying to take advantage of. The only specific special that I remembered at checkout was the yogurt and can you guess what happened at check out? The cashier rings them each through and I'm watching and seeing that the ring up at $1.34 each. I'm thinking that maybe the price will be adjusted when all 10 are rung up since the special required me to purchase 10. And, drum roll, nope didn't work. So then I'm that person telling the cashier that I'm not getting the special price and she has to call a supervisor over, she has to void all 10 and then just ring them through as a flat $10.
I find the whole process extraordinarily annoying, and I have no idea if I was charged the correct price on the bagels or the sandwich meat.
One of our general goals for 2012 was to reduce our eating out and ordering in costs by doing more grocery shopping. I can't say that I have been particular successful this year, because I can't seem to improve my grocery store experience.
How about you, who does the shopping in your home, do you have a system for making it less painful, do you have a deals and savings system? Please share, I need to learn your tricks.
Being that Mr. Sam has been deep into renovations and projects at Rental # 3, he has been slacking on his grocery responsibilities. And, being that it is Halloween, I figured I needed to at least swing by the grocery store and pick up some candy for the kids. And, if I was stopping by to pick up candy, I might as well pick up a few things.
Reason # 1 that I hate the grocery store, a few things turns into a $150 in groceries. And really, I only picked up a few things, fruit, salad stuff, milk, juice, cereal, bread, bagels, cheese, sandwich meat, peanut butter, cream cheese, butter, a few frozen dinners (for my lunches), yogurt, beer and the aforementioned candy. Honestly, I have no idea how a few things, plus Halloween candy, can turn into $150.
I'm sure if I were a regular shopper I would have a better handle on what things cost or should cost at the grocery store. And, I further recognize that it is certainly cheaper to buy my lunches at the grocery store than order in at $10-$12 on a daily basis.
Reason # 2 that I hate the grocery store, it is close to impossible to be an informed shopper. It is difficult and time consuming to compare prices among similar products. The prices on products change from week to week. The sizes for items are not standard, you have to study the little per ounce shelf tags to try and get a realistic sense of pricing.
Reason # 3 that I hate the grocery store, the pricing game. There are special prices for people with savings cards and the like. Ugh, I hate those cards and I don't use them. If I shop at Publix, which I prefer, then I don't have to worry about the preferred shopper game. But, I was at Winn Dixie which utilizes a customer reward card which just adds a whole extra level of pricing complications. As I mentioned, I'm not a fan of customer cards, I don't use them but Mr. Sam has a Winn Dixie reward card and I figured I would take advantage of it.
Now, I don't go out of the way to buy certain products because they are on special, but if I was already buying a product I might opt for the one that is on special and that is what I did last night. I am a fan of the Chobani greek yogurt and I often eat the non-fat varieties for breakfast or afternoon snack. I noticed Winn Dixie was running a special, buy 10 Chobani yogurts and they would be a $1 each. I made sure to select 10 to get the deal. I also opted for a buy one get one free on bagels and a three for something special on the sandwich meat.
And, therein lies the problem, by the time I get to checkout I can't recall or keep track of the various specials I'm trying to take advantage of. The only specific special that I remembered at checkout was the yogurt and can you guess what happened at check out? The cashier rings them each through and I'm watching and seeing that the ring up at $1.34 each. I'm thinking that maybe the price will be adjusted when all 10 are rung up since the special required me to purchase 10. And, drum roll, nope didn't work. So then I'm that person telling the cashier that I'm not getting the special price and she has to call a supervisor over, she has to void all 10 and then just ring them through as a flat $10.
I find the whole process extraordinarily annoying, and I have no idea if I was charged the correct price on the bagels or the sandwich meat.
One of our general goals for 2012 was to reduce our eating out and ordering in costs by doing more grocery shopping. I can't say that I have been particular successful this year, because I can't seem to improve my grocery store experience.
How about you, who does the shopping in your home, do you have a system for making it less painful, do you have a deals and savings system? Please share, I need to learn your tricks.
Monday, September 10, 2012
2012 Goals - September Update
(1) Max out 401k(s) - $27,697 (81%)(goal is $34,000)
(2) Max out IRA(s) - $5126 (51%)(goal is $10,000)
(3) Add to e/r fund - $7200 (72%)(goal is $10,000)
(4) Pay down mortgage - $2490 (50%)(goal is $5,000)
(5) House projects - $900 (18%)(goal is $5,000)
(6) Trading account fund - $50 (1%)(goal is $5,000)
Total - $43,463 (63%)
At present, we are approximately $5,600 behind on our 2012 goals and the gap is widening.
Due to the mortgage refinancing, our mortgage pay down goal is on hold. Our thinking was that we will have closing costs approaching $4,000 and we ought to save our pennies for those costs. Do we count the closing costs towards this savings goal or not? Once the refinance is completed, our closing is scheduled for this week, we will have two years in which we are not permitted to pay off the mortgage in full. I need to understand whether that restriction extends to paying extra towards the principal or not. If we are restricted on paying extra towards the principal do we keep saving the money we committed to the mortgage pay down or do we put it towards another goal?
For the house project goal, when we were getting ready for our refi appraisal, we spent close to a $1000 on getting the house cleaned up. Do we count those expenses towards our house project savings or not?
We also have the added expense of the life insurance policies coming up. And, we also have to get our 2011 taxes done which will include a payment to the IRS.
In sum, we have a lot of outgoing expenses in the next few weeks, but we need to get our savings back on track. Mr. Sam will max out his 401k savings by the end of September which will free up some extra cash to put towards our other goals. We also need to get ourselves refocused and recommitted in order to close out the last year with saving success.
Subscribe to:
Posts (Atom)