In the last 12 months I have made some major purchases.  I bought a new snow blower, a much newer car, a new couch, finished the fence around my back yard and a reader board sign for the farm.  All of them were necessary purchases, expect for the couch.  The couch was just as too beautiful not to buy and I had just finished giant project for which I deserved a tangible reward. The only item I did not pay for in full at the time of purchase was the car.  I paid for half the car and financed … [Read more...]

I recently got a bill in the mail for renewing our local twice-weekly newspaper. As usual, this cheapskate took a close look at the three payment options. The first thing I was struck by was that paying in 6-month increments was clearly the worst way to pay.  If you paid $55 every six months, you'd be paying $110 a year instead of the advertised $65 per year price. So then I took a look at what they called the "Best!" choice - a monthly automatic payment of $5.42.  And guess what?  … [Read more...]

I always seem to follow a theme when it comes to what's going on in my life. I think this year's theme is tracking and accountability. I've been tracking our income and expenses for a couple of months now in an effort to contain some of our spendthrift ways, and it has definitely made a difference in our budget.   I used to think that I could just wing it - that as long as I still had money in savings, I didn't need to pay as much attention to our expenses as when we were digging our way out … [Read more...]

It's not at all unusual to read posts from me about cutting expenses, funding your emergency fund, or saving for retirement. There's something else you should do in your quest to live a frugal life: Splurge a little. You read it right.  Periodically, you should spend a bit of money on whatever it is you want - a vacation, a new gadget, new clothes, or whatever your heart desires. Now, I'm not saying you should put those purchases on a credit card.  No, that would go against everything I … [Read more...]

If you've never set up a budget before, it can be overwhelming.  You have to gather up your financial documents, figure out how much you earn and how much you spend, and then create a plan to follow. And then you have to stick to the budget.  And maybe you'll have to tweak what doesn't work. But budgeting doesn't have to be that hard.  Especially when you just tackle one small area at a time. By starting with one area of your budget, you'll find the task much more manageable and you'll … [Read more...]

Sometimes seeing is believing. I think that phrase is especially true when it comes to saving money.  Between the rising costs of food and fuel, it can be incredibly challenging to put aside money for the future. I've found that using visuals can help you save.  Here are some ideas: Post it where you can see it. Put a picture of what you're saving for on your fridge.  Write a Post-It note to yourself and put it with your wallet.  Use a dry erase marker and write a note on your bathroom … [Read more...]

From the moment I first started getting an allowance as a little girl, I've been a saver.  I remember carefully budgeting for gifts for my family for the holidays and figuring out how many weeks it would take me to save for the Nintendo game I desperately wanted.   I panic when my savings account drops below a certain figure. My husband came from a long line of spenders.  When I met him, he loved to pick up the tab when he and his friends went out.  He would troll eBay to look for old … [Read more...]