Tracking your expenses daily is very important
February 1, 2012
It might seem tedious and easily forgettable but tracking your expenses daily can really help you save money. One of the most important things you can do when trying to get your personal finances under control is to figure out WHERE your money is going first.
If you start off by tracking your expenses each day, you’ll be able to get a better idea of where your money is going each month. Once you have tracked your spending for thirty days, multiply that by 12 and that is the amount of money that you spend in one year. Talk about an eye-opening experience!
Tips for tracking your daily expenses:
- Keep a pocket-sized notebook with you for the entire 30 days. If you have a smart phone, you can create a new Note and track your expenses there.
- Keep receipts from ALL of your purchases. Refer to your checkbook, online banking, ATM/debt receipts, bank statements, credit card statements and other bills you may have.
- Record every purchase, regardless of the amount spent. (Remember the little things can really add up!)
- Enter your daily spending totals on a spreadsheet or in a notebook at the end of every day. This will help you total everything up and the very end of the month.
- Organization is the key to staying on top of your daily spending! Make folders and keep it all in one safe place.
- There are new Apps for your smart phone that help track spending and keep everything together and cohesive.
Did you know that your expenses can be divided into three categories? The three categories are: fixed, variable and periodic expenses.
Fixed Expenses:
- Typically require a set payment every month, i.e. rent, loan payments, insurance, etc.
Variable Expenses:
- Amounts that vary from week to week or from month to month
- Occur on a regular basis
- Some examples are food, utility bills, entertainment, etc.
Periodic Expenses:
- These can be fixed or variable
- Do not occur on a regular basis
- Include such things as quarterly taxes, gifts, clothing, impulse buys, etc.
Tracking your expenses daily can save you money but it can also help you set financial goals for the future. If you know exactly where your money is going every month, you can easily see where some cut backs and compromises can be made. It will also give you a good outlook on your spending habits and those impulse buys will stick out like little red flags.
Try it for 30-60 days and let us know what you’ve found out about your spending habits and how much money you were able to save. We liked to hear about your success stories!
Valentine’s Day overspending can happen
January 30, 2012
Valentine’s Day is fast approaching. This day is all about undying love and showing that special someone how much you care. Show your sweetie you love them while keeping your bank account in check. That is easier said than done, right? Total holiday spending is expected to reach $15.7 billion this year according to the NRF (National Retail Federation).
We all seem to be expecting more this year. You can’t walk down the street, ride on a bus or catch a taxi cab without advertisements enticing you every second of the day. It’s so easy to put aside your financial woes when love is in the air. Nevertheless, you don’t have to spend a fortune to make your true love happy.
Here are some helpful tips to stay frugal while expressing your feelings:
- Do a chore or task that your significant other doesn’t like doing. Vacuum the house, do the dishes, take out the garbage. Anything that you know they don’t like to do, do it for them. Make sure you do a thorough job as well. This little gesture goes a long way to touching their heart.
- Create your own one-of-a-kind Valentine’s Day card. Instead of going to your local convenience store and just picking out any old card, make one yourself. This can be done on the computer or by hand. Be creative and let the love flow into creating that special card.
- Have an intimate dinner made by you. It can be hard to find a restaurant on Valentine’s Day that isn’t over crowded with a really long wait. Why not make dinner yourself at home? If you can’t cook, order out from a favorite restaurant. Create the mood by lighting candles. This is a wonderful way to show how much you care.
- Find your favorite picture as a couple and put that picture on an item for them. You can add pictures to just about anything these days. Whether it’s a coffee mug, mouse pad, calendar, t-shirt, ornament, etc. It’s really easy to create and order it online. It’s such a personal and thoughtful gift that they will cherish for a long time.
- Make a burned CD or create a Playlist on their MP3 player of favorite songs. Be sure to include the song that you both think of as “our song”. Use your computer or drawing skills to make a custom cover for the CD case.
- Design your own flower arrangement. When you buy pre-arranged flower bouquets, you could be paying double what you’d normally pay. Save money by buying individual flowers, a lovely vase, and do the arranging yourself. Remember to cut the stems at an angle and the flowers will last longer. Another tip is to put a penny in the bottom of the vase. The penny acts as a natural fungicide and will help the flowers stay vibrant.
- Bake a cake or favorite dessert. Make something by hand or use your talents to create something unique for him or her. If you like to write, maybe write them a poem. If you are a musician, write or sing a song. If you work with wood or metal try creating a memory box. Whatever skills or talents you have, use them to make something truly special for them.
If you put a lot of thought or time into a gift, it means so much more to that person. You don’t have to buy expensive jewelry or 12 dozen long-stem roses to show that someone you really care. This day is about expressing your love and feelings. Just being with that person on this special day could be enough for them. There’s no reason to break your budget and overspend on this holiday.
What are your Valentine’s Day Plans? Do you think you might have gone a little overboard on the planning and spending? We’d like to hear your thoughts and ideas!
Cutting small expenses equals big savings
January 23, 2012
The little things can really add up. Have you ever heard of the “Latte Effect”? It’s what some personal finance guru’s call unnecessary daily spending. Meaning you can save “X” amount of dollars per year by skipping you’re daily latte, cigarettes, bottled water, etc.
Sometimes we forget to add the small expenditures into our budgets because “it’s only $2.50, come on!” but that $2.50 a day for coffee adds up to be $840.00 a year. Who couldn’t use an extra $840.00? We are going to share some tips and ideas that will help you cut the small expenses and help save you money.
Ways to decrease expenses and save
- Ask your utility company to perform an energy audit of your home to show how to save energy consumption and cut down your monthly bills.
- Set the water heater to the lowest acceptable temperature (approx. 140°).
- Eliminate premium cable and extra phone services or long distance. Look into Skype or VOIP (voice over Internet protocol) to save money when calling out of the country.
- Comparison shop for insurance and ask how to receive special discounts and save money.
- When shopping for food, look for advertised store specials or buy the generic brand. Never shop for food on an empty stomach. You’ll end up spending anywhere from 10-25% more.
- Avoid costly convenience stores and convenience foods. The vending machine at work is also a good thing to avoid.
- Use coupons and rebates when shopping for anything. Look online for Promo codes or deals. You can also sign up for coupon sites like Groupon, Living Social and Google Offers.
- Drink water, iced tea, hot tea or drink mixes instead of more expensive beverages, i.e. soda, energy drinks, cappuccinos.
- Ask your doctor or pharmacist about generic equivalents for your prescription drugs.
- Browse clothing thrift shops and consignment shops for your clothing and other items. Even if it’s just for accessories like belts, scarves and hats.
- Cut back on expensive gifts; shop year round at sales to stock up on holiday, baby shower, wedding and birthday gifts.
- Discover great “finds” at yard sales and garage sales, but check the items carefully and stick to things you need, not things you want.
There are many ways to cut back on the small things and save money. You have to find what works best for you. Understanding the difference between a “need” and a “want” is the first step. It’s all about making smart financial decisions that will save you money. We hope that these tips and ideas can help you in the future.
Let us know how you save money on the little things or if there’s something you don’t buy anymore because it’s an unwanted expense. We’d love to hear from you!
How to enjoy the weekend for FREE
January 18, 2012
The weekend is almost here and you are looking for something fun to do. However, you are on a tight budget right now and trying to get your personal finances in order. You might be thinking that you won’t be able to find anything fun to do because of your budget. Here are some tips and ideas to show you how to have a good time for FREE.
- Start in your community - You can easily find a list of free events going on in your local community by checking out their website or going to city hall. You’ll often be surprised at how many interesting and fun activities are going on in your city that you didn’t even know about.
- Organize a walking tour or hike - Research the interesting historical sites in your hometown, and then go on a walking/hiking tour of those places. You can easily turn this into a full day if you live in a compelling area. Invite a group of friends to join you. Make this a weekly/monthly thing. It’s not only free and fun but it’s healthy for you too.
- Visit a zoo or museum (free admission days) - Many cities have free educational attractions, such as zoos or museums. If they are not free to the public in your city, ask those places if any days are free to get in. If not, ask about possible opportunities for “free to the public” exhibits or “free admission days” in the near future.
- Movie night with friends - Invite some friends over and have them each bring one of their favorite movies. Then just settle in with some snacks (whatever you have on hand or ask them to bring something) and burn a lazy afternoon and evening just watching movies together. It’s a ton of fun and is sure to create lasting memories.
- Throw a yard sale - A yard sale is a very rewarding way to spend a money-free weekend. Not only does it provide you an excuse for cleaning out unwanted stuff, it can also bring in some good money as well. Plus, it will give you a whole weekend’s worth of entertainment and fun.
- Go to open mic night or a free show – Many local restaurants, coffee shops and pubs have free entertainment in the form of open mic night, free shows or even karaoke. Call around or grab your local paper to find these events. Get a group together and see how many free shows you can attend.
- Take a bike ride - If you’ve got a bicycle in your garage or closet, you already have everything you need for some exercise and good fun. Almost every town and state park has an extensive array of bike trails, so you can always find somewhere new and interesting to ride. Don’t have a bike? See if you can borrow your neighbor’s or a friend’s.
- Host a potluck dinner - Make a dish out of food you already have in your pantry. Invite some friends to do the same, and then get together for a potluck dinner. It makes for a “free” meal and a lot of fun for everyone involved. Set up a theme for the party and get ready to have a blast.
There are many ways to have a fun-filled weekend for free. You have to be willing to do a little research and ask around. Get creative and think outside the box. You don’t have to spend a lot of money to have a good time. Invite friends over this week to brainstorm some ideas. Have fun with it! Here’s to more money in your wallet come Monday morning!
Let us know about some of your favorite FREE activities and how you enjoy spending your weekend. We’d love to hear from you!
Ways to earn extra income and save money
January 16, 2012
Are you tired of living paycheck to paycheck and worrying about unforeseen expenses? You might be looking for ways to make extra money each month. That is a really wise decision and it’s easier than you might think. We’ll show you some great ways to make extra income each month and save money.
Job market is tough but online selling is strong:
Is your basement, attic or garage full of unwanted and unused items? You could find a lot of stuff that you want to get rid of and sell it online. Post any items that you think have value on eBay, Craig’s List or an online consignment store. If you don’t want to sell online, then have a yard sale or find a local consignment shop and try that. You’ll have less clutter and more money in the bank.
Freelance writing for online companies:
If you enjoy writing then you might want to look into getting paid to write articles, blog posts, etc. for companies online. It’s really easy to set up an account to collect the funds and post your work. Check out sites like https://www.elance.com/, http://www.freelancercareers.com/, and http://www.freelancewriting.com/.
Take online surveys and get paid:
This can be a fun and rewarding way to make some extra cash. It’s not that time consuming either. You just answer simple questions and give your honest opinion. Sign up for free with several survey sites and jump right in. Avoid sites that want you to pay for an account. There are survey scams out there, so do research and read reviews about the company.
Teach people a skill or talent:
You can try teaching a cooking class, knitting class, scrap-booking class, etc. at local recreation centers or community centers. Try picking up a swim teacher gig, if you’re a good swimmer. Keep in mind that some places may require a special certification. If you like yoga, check out what it takes to become a yoga instructor. There are always ways to make money teaching and showing people a new skill or talent.
Check your credit score and save money:
One of the best ways to save money is by checking your credit score and fixing errors on your credit report. The three major credit bureaus (Equifax, Experian & Trans Union) have a big influence on your current interest rates. Improving your credit score could save you money on interest payments. Check out Annual Credit Report for your free credit report once every 12 months.
Design Company Logos or Banners:
If you’re good with Photoshop or other design programs, you could make some decent cash by designing and creating company logos or banners. Companies usually don’t have the resources to design their own logos, so they look online for help with that. There are many freelance design sites that you could sign up with and get started making bids on projects. Just remember to use good time management when working on a project.
Focus Group Participant:
Become a member of a focus group in your city and get paid for participating. Call your local university, museum, or look in your local paper for opportunities. Some of these studies include weight loss, quitting smoking, stress tests, etc. Not only would you make money but you could also improve your health.
Get a part-time job as a Census Taker:
Work opportunities usually begin around spring. The local Census Bureau hires field staff to help gather some information. There are part-time temporary jobs that often require evening and weekend work. In late 2012, nearly 5 million businesses will receive 2012 Economic Census forms. You could make some extra income this way.
There are many ways to make some extra cash and to save money. It just takes a little research and motivation. We’d love to hear from you about how you’ve earned extra income or some ideas that you might have floating around. Let our audience know about what works and what doesn’t work. Please leave us a comment and we’ll get this conversation started! Thank you.
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