I know we've done this before but I'm freaking out again about our finances. I need to get on track with everything and I can't find any bills we can really cut back on. I can post a budget later but for now, what are your best budget tips? We can't really afford to pay for some sort of service and Mint hasn't really worked for us. Our bills leave us with very little money for groceries, gas, etc so I'd love some ideas for budgeting, sticking to it, cheap meal ideas, how to meal plan and stick to that, etc. Anything would help right now!
Post by wanderingenough on Sept 9, 2015 10:25:17 GMT -5
Why do you feel that mint isn't helpful? I know it takes some getting used to, but if you are credit/debit card users it's pretty easy because you can tie in everything. Once you get it to understand your categories for everything (e.g. Starbucks is breakfast at work vs coffee shop for me), I find it pretty helpful.
Are you using things like amazon mom for diapers? Couponing and meal planning based on sales? Perhaps switching to less fancy phone plans?
Post by estrellita on Sept 9, 2015 10:34:05 GMT -5
It just takes forever to re-categorize everything and split things. Like at Target I might buy groceries, formula, a toy and makeup or something, but it all goes towards groceries because I'm too lazy to split it up.
We use cloth diapers so we don't buy disposable very often. Maybe a box every few months or so and they only really get used at daycare or when it's too much of a pain to use cloth. I never know what's on sale.. I try to buy stuff from wherever we have coupons and whatever is on Cartwheel. I always check the weekly ad and hot deals list for the most savings.
Post by wanderingenough on Sept 9, 2015 10:41:36 GMT -5
Yeah, understandable. Places like Target do a decent job of splitting things in categories on the receipt, so I just add it up when I get home and write it on there (e.g. Personal care - $15, baby stuff - $20, groceries -$45). I set the receipt next to the computer. Once the transaction has officially processed, I (or H) just merge it into the appropriate category. It's no fun, but I don't find any part of budgeting to be fun haha
I'd also check your grocery store for an app. MrsMB educated me on the Kroger app, where you can store digital coupons like Cartwheel. I'll just sit on the couch before grocery shopping and digitally add things based on the sale ads. Easy peasy!
Post by HoneySpider on Sept 9, 2015 10:42:10 GMT -5
I use an excel spreadsheet for our budget and have faithfully for years - it worked through major debt payoff and now through living on one income/a tight budget. We start with x amount per month (broken in to a few categories) and every time we spend, I deduct from that category. It probably sounds like a lot of work but it's not and it's second nature to me at this point.
We shop sales/use coupons/stick mainly to buying stuff we need. No randomly wandering around Target throwing stuff in the cart. No buying something just because it's a good deal - it has to make sense to purchase it (ie: it's something we need).
We typically buy meat in bulk when it's a good deal and freeze. You can make an easy and fairly inexpensive meal out of meat and a veggie. We keep frozen veggies stocked on hand so we're not overbuying fresh and having it go to waste.
We put all of our expenses on a cash back credit card. The last few years I've been cashing out in Nov to have money for Christmas gifts and I love it. But if I did need it in the meantime, it would be there.
Budget each month for the expenses you pay quarterly, yearly, etc so when the bill is due, you have the money. For example we pay our car insurance every 6 months but I put money away each month for it.
I don't have a smartphone anymore. I did, but when I left my FT job it was one of the things I had to give up in order to put more room in the budget. Figure out something you can give up or downgrade - it's different for everyone but I guarantee there is something you can cut back on (and survive) For us, cable is non-negotiable so we had to find another option.
Post by wanderingenough on Sept 9, 2015 10:44:05 GMT -5
Ditto HoneySpider. We put everything on a 2% cash back card and pay off in full each month. We were able to put that cash back toward our condo at the beach last week, so we only "paid" a couple hundred oop.
Post by estrellita on Sept 9, 2015 10:56:45 GMT -5
We get rewards quarterly on our check cards so we use those most often. Our credit card also gives 1.5% back that I apply towards the balance each time.
I am trying so hard to figure out what bills we can cut back on. We already cut cable and just pay for Netflix and Hulu Plus now, plus internet. I'm on income based repayment for my student loans so I think they're as cheap as they can go. I don't think we can refinance our car loan as it's already at probably the lowest rate we can get. I'm trying to get H to be better at shutting things off when they aren't in use to keep our electric down (we argue almost daily about turning on the AC to "prime" the bedroom or to leave it on while we're gone. IMO it's a waste of money for those inefficient wall units and doesn't take THAT long to cool down). I wouldn't be opposed to getting a Sam's membership and buy more things in bulk but we don't have a big freezer so that makes it more difficult. My mom does have a membership so if we bring a cooler we could buy stuff while we're down there.
Trying to think of what other bills we have.. mortgage will go down in Jan because we have to homestead the property (it was rented previously). Cell phone is on my mom's plan and is $160 for us, MIL and a tablet (got it for free, had to pay for service for 2 years so we'll cancel that in Jan). MIL pays us $30/month that we put into savings. I will give a better breakdown of everything later when I can type it all out
Post by christy082 on Sept 9, 2015 11:28:20 GMT -5
If you don't already you can incorporate meatless meals in each week. If you have an Aldi, shop there for staples. Canned beans, for example, are half the price there compared to my grocery store. Dairy and bread are cheaper for me there, too.
I recently found an online kids resale group on Facebook and have gotten several like new items there for cheap. I also shop the local area kids resale events for cheap clothes and toys.
Kroger is awesome. I shopped at it when we were in Illinois. I shop grocery ads, buy extra meat and freeze during sales, lots of crockpot meals and leftovers. Going out to eat and fast food are our biggest down fall. That's what I'm focusing on to lower our expenses currently. Also I can't do the credit card thing cause I will over spend. I have to use debit card and keep track. That way when I'm out of money I'm out and I don't change more then I can pay off on my credit card.
If you don't already you can incorporate meatless meals in each week. If you have an Aldi, shop there for staples. Canned beans, for example, are half the price there compared to my grocery store. Dairy and bread are cheaper for me there, too.
I recently found an online kids resale group on Facebook and have gotten several like new items there for cheap. I also shop the local area kids resale events for cheap clothes and toys.
We don't eat that much meat anyways because its so expensive! We do have an Aldi in our current city so it'll be a bit of a drive to go there once we move but still doable once every few weeks or so.
TBH I don't buy a ton for E other than formula because my mom has pretty much bought all the clothes and toys he needs and ends up buying more if I even mention needing anything else. I'm very grateful for her because otherwise we would definitely be in debt!
Oh, that's another thing I forgot to mention. I've always paid off the CC completely after purchases but lately I've been waiting and only paying the statement balance around the due date. But I've never gained interest on anything and don't plan to start! So we don't have CC debt to pay off other than what's on there right now.
Post by estrellita on Sept 9, 2015 11:35:30 GMT -5
bk1 we don't have a Kroger anywhere around here. Just a Coborn's in our town and in the city I work in we also have Cash Wise (same company as Coborn's), Byerly's and Aldi. Main reason we go to Target for most things but it's not a Super Target.
ETA: we also have a Save A Lot, forgot about that.
Dave Ramsey - Financial Peace University and/or Book. It will turn you off or make you sick to your stomach but the principles work and people become debt free from credit cards, student loans, etc. in a ridiculous amount of time and or get in control of their finances. You have to want it to make it happen. I still have to fight the urge to not be smart with my money.....but I've gone through the pain to get where I am being debt free and in a MUCH better financial place.
A few things:
1. Budgeting sucks. You have to do things that aren't pleasant. I wore a pair of shoes with holes in them at one point because my budget was so tight, I just couldn't do it for a while. I had no smart phone or tablet to save money. I had a part-time job doing customer service for BRU at home getting screamed at during evening hours, night hours, and on the weekend. DH and I sacrificed time to do so to gain that extra money. I took a promotion I knew I would hate because the extra money would go towards the bills. We stayed in a bad neighborhood with crime a little longer because it wasn't feasible to move right away financially. I look for sales when I buy (within budget) and hardly ever buy anything regularly priced. We don't go to the movies and only eat out on special occasions like our wedding anniversary....or RARE occasions. SO I get it.
2. Sacrificing Time is a must to make this happen: I spend HOURS on Saturday meal planning using my emeals service (people get down to $60 per week on groceries and sometimes lower depending on the plan used...plus you don't HAVE to use Sam's Club this way. I do...just because...but it's not necessary. ) and I go on my Kroger app that wanderingenough references for coupons. The stores publish online sales as well in advance....not just Kroger. If we need detergent and they have a coupon for Tide that week that makes sense, I don't buy Gain. I spend time on my Excel sheet making sure I'm under. I spend 1-2 hours making our lunches each week that DH and I take to work.
Aldi's is great for staples. I just got back from Aldi's and I got a walk through baby gate for $30 and some sippy cups cheap as well. It can be a great place to find extra items like that.
I only buy G clothes with coupons or on clearance. Her summer stuff was all clearance from Carter's. MIL is also awesome at finding things at the thrift store.
We get a discount on DH's cell phone from his company. Do you have anything like that available to you?
We are careful with keeping things shut off when not in use. Not as good as we could but we try. DH isn't the best but I remind him (nag) as needed.
I buy lots through Amazon. Since I have to get a certain formula for G it is by far the cheapest to do with subscribe and save on amazon so I get 5 items a month to get that discount. I buy all our diapers, wipes, and formula that way.
Also, I would be careful with something like Sam's Club. We got a membership this year (cause I was hoping to buy formula there!) and we ended up spending tons of money on things we didn't really need or I could have got cheaper because we got caught up while shopping. Of course for us it's a 1.5 hour trip to Sam's so we wanted to get things while we were there.
Post by estrellita on Sept 9, 2015 11:47:17 GMT -5
MrsMB I definitely forgo things because of not having money. Part of the reason I get my hair cut a couple times a year at Fantastic Sam's, not a nice salon. And never do things like manis/pedis or things like that. So it's not those things, it's more about the planning. We never have a full meals worth of food so we end up ordering something, things like that. I just need to spend more time really planning and not even asking H's opinion because then we end up spending more!
bk1 I do need a baby gate or two! Our cell phone plan is on my mom's plan and I think she already has a discount on it. It's cheaper this way than on our own with my work discount. We buy a lot on Amazon but need to utilize S&S more! And that's a good point about Sam's!
You will get lots of help when you have time to post your budget. Big hugs estrellita. Money worries are the worst.
Everyone will have ideas and hopefully some will work for you. For us, we want internet/cable and that is non-negotiable (especially going without for a few months earlier this year!) but we sacrifice other things. DH and I have don't save money back for vacations. We tend to just stay at home when he has time off. DH's truck has almost 180k miles on it and we are hoping it will last awhile longer so we can save money while we are fortunate enough to have a time without a car payment.
We don't go out to the movies. Most the time if we are bored and want to get out of the house we go over to a family member's house. G and I will be going to the in-laws today just because I'm bored being at home and need to get out of the house.
I get you with the hair cut things! I have been cutting DH's hair since we got married. For awhile I was cutting my own hair but I have started going to the Walmart salon (so, not fancy . For several years I got my hair cut maybe twice a year. I've had it cut three times this year so I'm being FANCY.
If you don't already you can incorporate meatless meals in each week. If you have an Aldi, shop there for staples. Canned beans, for example, are half the price there compared to my grocery store. Dairy and bread are cheaper for me there, too.
I recently found an online kids resale group on Facebook and have gotten several like new items there for cheap. I also shop the local area kids resale events for cheap clothes and toys.
I'm very grateful for her because otherwise we would definitely be in debt!
*This is all said with love -
Here's the thing though: you ARE in debt. If I'm understanding correctly, you have a mortgage, a car payment, and student loans. That is all debt.
I feel like, from reading your posts over the months, that maybe you have just gotten in over your heads on what you can handle on your current income. Your problem isn't so much about finding a few corners to cut, it's about living within your means.
There have been a lot of good ideas in this thread. Maybe some you can implement, maybe some you can't (or already are). You say there isn't much room to cut or many things you can do. Maybe you need to look at it from an income point of view. What can you do to bring in extra money? Can one of you get a part time job even just for a little while?
I'm sorry things are tough right now - remember that they won't always be, but you will have to make changes and sacrifices to get to where you are comfortable.
Post by estrellita on Sept 9, 2015 11:59:46 GMT -5
HoneySpider I have also been thinking about the income thing. H has been thinking about looking for another job. We've both considered a part time job but I barely have the energy to do things around the house when I get home. And we have gone back and forth a lot about it. To me it's more important to spend time with E since we're already working full time away from him.
And yes, we are in debt with our loans but I was specifically talking about CC debt, sorry if that wasn't clear. We're not even close to paying off the student loans or car payment so idk what to do there
I'm in sort of a similar situation as you. I feel like I've cut down on certain things and use coupons/cartwheel app, but still come up short most months.
I have realized though, that we do not live within our means. I spend a lot of money on things like makeup, clothes, and school supplies. My H spends money on coffee and lunches out. Our budget would work if I actually stopped spending outside of the budget. I recently looked hard at my own personal spending and realized I need to do much better. It really comes down to discipline.
For us, that means meal planning and prepping on the weekends so all meals and snacks are covered during the week. It also means picking more simple meals that I actually have the energy to cook when I get home from work. I also like to pack my breakfast and lunches at night before I go to sleep. If I don't, I tend to run out of time in the morning and forget and then have to buy my lunch.
It also means to actually stick to my list of things I need. Every time I did my grocery shopping I would pick up 1-2 pieces of makeup. At around $8 a piece, that was a lot of money each month I was spending.
It is so hard though. My student loan balance from grad school makes me want to vomit.
Post by estrellita on Sept 9, 2015 12:50:47 GMT -5
Oh and a few other tidbits - current savings is about $(poof) and there is a balance of about $(poof) on the CC. Our mortgage payments start in Nov so the plan is to use part of the money for the CC and part to throw into savings. I'm not sure if that's going to happen though. I got a referral bonus I wasn't expecting and that's already gone...
Post by estrellita on Sept 9, 2015 14:40:19 GMT -5
So bad that no one has ideas? Lol. We are lowering our cell phone payment by lowering the data and possibly canceling insurance. I didn't know we were paying more for more data or i would have changed that a while ago!
Post by HoneySpider on Sept 9, 2015 14:56:37 GMT -5
So after your set bills each month, you have $387 (plus variable commission) for groceries, gas, etc. so $487-$787 depending on the month. I would probably aim to spend the middle of that each month, so on the months with more commission you put it away and save for the leaner months. $600/mo for misc spending is definitely doable.
$80/mo for insurance for one car seems high - can you maybe shop around, play around with coverages etc?
I see above you said you can cut some data on your phones - I would try and get that bill down as low as possible. Are you in a contract? There are a lot of phone options now for a lower cost.
Post by estrellita on Sept 9, 2015 15:03:40 GMT -5
We had been putting the commission away each month but ended up needing the money. I want to start doing that again if we can. H did look around for insurance and he's getting way more coverage for a little less than he was previously paying. I will have to see if we can maybe lower the coverage to save more.
We've shopped around in the past (last year most recently) for cell phone providers and it didn't make sense for us to switch. We don't want to do the phone "rental" because it's more money in the long run and the other plans we found were the same or more. With the changes we're making, it should lower our bill $7.50 per phone, plus $11 per phone if we cancel insurance. That would help a lot. I think I've used the insurance once ever?
Post by luv2rn4fun on Sept 9, 2015 15:09:06 GMT -5
So many ((hugs)). I have followed a lot of your posts re: money and don't have much to add that PP haven't already mentioned.
-You have to meal plan, shop the ads, stock up when on sale (meat mainly but also canned goods, etc), and you have to stop eating out so much. That will save you a TON. FWIW, we spend $250/month on food and hardly ever go out to eat (and that includes C's food, which we have found has surprisingly increased our food expense much more than anticipated).
-Your cell phone bill is high. We pay $75/month for both DH and I. No smartphone and 700 min w/unlimited nights and weekends. I gave up my iPhone when we got married and planned to live on one income.
-Cut down on things like driving places, entertainment, etc. Gas is expensive and it does add up when you aren't careful. Plan to do a lot of errands at once instead of driving to the same area multiple times.
-Your electric bill seems high. Our's isn't even that high and we have a pool. But we hardly (like never) turn on our A/C (we have a swamp cooler and on hot days are able to keep it around 80 degrees).
-The possibility of your DH getting a part time job isn't a bad one but I would seriously try these other things first. And really try! If you can make some sacrifices there so your DH has more time with you and E it will be better for everyone.
As for meal planning...I do meals that don't cost a ton...examples:
-taco salad: Lettuce, chicken/ground turkey/beef, tomatoes, onion, canned corn and black beans...maybe salsa
-We do a ton of chicken and red rose potatoes/sweet potatoes these days
-chicken veggie stir fry with rice
-chicken w/ pasta and veggie
-Salsa chicken in the crockpot with corn and black beans
FWIW, I but chicken and ground turkey when on sale (chicken is $1.77-1.99/lb and ground turkey is $2.99). I buy in bulk and freeze.
DH brings his lunch every day, as did I when I worked. I just used leftovers from dinner and packed when I was putting dinner away. It didn't even take much time.
Oh, and we don't have cable or Hulu or Netflix. We haven't for 2.5 years now, even though we can clearly afford it. We talk about it often and just can't fathom adding it back in our budget when we have almost zero free time to watch tv. We do have an antenna and get local channels so it's not like we are tv free, just don't have all the great variety of channels.
There is always room for improvement! Oh, and I also only get my hair cut 2x/year max (it's been since Nov now...only because I don't have any free time it seems and cutting my hair is low on my priority) and with a coupon at Fantastic Sams or similar salon. No manis/pedis either. And we hardly ever go to the movies, eating out is typically happy hour, we rent movies at Redbox, etc.
Good luck! I'm sorry you are so strapped and stressed about this. Unfortunately, something needs to change because houses cost money and are typically more expensive than renting Not to mention babies are so so expensive. Hang in there- you can do this!
Post by wanderingenough on Sept 9, 2015 15:16:51 GMT -5
Hmm...a few things. First, I agree your phone plans seem really high as well. Why are you paying data on a tablet? Most places you'd use a tablet have wifi and if not, many phones can be used as a hotspot in an emergency. I'd probably nix that. I've also seen some promotions (sprint, maybe?) that guarantee they can cut your phone bill in half. So even if you looked in the last year, I'd check again. Phone companies are getting desperate. That's a lot more than H and I pay for a good amount of data for two phones (maybe double), but we were able to get a discount by not upgrading to newer phone models. Also, are you using the wifi at home on your phones or using data? That might help if you are cutting back on data.
Secondly, are you missing out on a 401k match now that you aren't doing that? If so, I'd cut back in another area (eating out, etc.) and maximize that. It's basically free money and it's a secure nest egg for you guys.
For lunches, I'd go with the earlier suggestion of meal planning and prep over the weekends. The food gets boring, but you can ensure is healthy and it saves so much.
First of all way to go for posting your budget that takes a lot of courage! Go you!
You've gotten a lot of awesome advice here!! Some of my suggestions were already mentioned by other people but a few new ones.
1) I agree with MrsMB about Dave Ramsey. His book "Total Money Makeover" is an awesome, quick and easy read. His steps really do work even if you don't agree with some of his principles. I've read his book a few times and every time it makes me SO pumped up about saving money etc. That would be a great book to read just for learning.
2) Meal Plan would save you LOTS of dollars with coupons. Maybe spend a few hours on Saturday morning or evening writing out in a notebook meals for the next week while looking the ads for the deals. Plan your meals around the sales not the other way around. That will help with saving money. I agree with the others go meat free 1-3 times a week. We eat a lot of eggs for protein which we find cheaper than meat. I normally buy a huge 6-10 pound ground beef when on sale and divide it up per pound and that lasts us about 1.5-2 months. We eat a lot of chicken since that is MUCH cheaper!
3) Pack lunches. No getting lunch out. I usually just bring snacky foods for my lunch such as; granola bars, fruit snacks, apples, bananas, fruit cups. My H always brings his lunch too with deli sandwiches, hard boiled eggs, fruit, pudding, granola bars, we rarely take left overs because I like to use those for another dinner for the evenings. This has saved us A TON of money just bringing out lunch. It's quick and easy.
4) Definitely switch cell providers. 160 is really high. We are in the process of switching ours because ours is RIDICULOUS as well. We will be going with Republic Wireless. It will be max $50.00 for 2 smartphones once we switch. You can google "Republic Wireless" and check them out.
5) Shop around for car insurance again if you can. We saved over 400 a year by switching back in April. Progressive was the cheapest for us, but check local agencies as well.
6) Use the library for free events, movie rentals and books. They often have a bulletin board of free local events/entertainment that you could use.
7) Sign up for Redbox email and text options. We never pay full price there and often never pay period. Between H and I both getting messages we get free rentals about twice a month. Easy and FREE! Do the same with your local video store (If you have one) We have a family video and never pay for rentals there either.
8) Taking walks outside as a family is also a great way to stay active and free entertainment.
9) When grocery shopping/shopping always take a list and never go to the store hungry. I binge shop if i'm hungry or "winging" it.
10) I'd probably cancel with Hulu Plus or Netflix. (Or both) I know that would stink without one or both but that would be an easy way to save a few dollars a month.
11) If you shop online for anything be sure to use Ebates and coupon codes for free shipping. I have earned quite a bit with ebates since last year only buying what we need or during the holidays for Christmas shopping. Other phone apps that have really cool cash back shopping apps are Snap by Groupon, Checkout 51, BerryCart, Saving Star, Ibotta. Those are a few of my favorites.
12) I'd also try to get an E-Fund started ASAP. That made me feel SO much better knowing that if something bad happened to our car etc that I wouldn't have a panic attack. I still stress out about money every month just because that's who I am, but I don't have to freak out on the daily. That might help with your stress and anxiety levels. I would recommend opening a separate account for this that NO debit cards are attached to so it's not easily accessible while shopping etc.
13) Another book I would suggest to get you pumped up about saving money and living within your means would be "Smart Couples Finish Rich" by David Bach. It was a GREAT read and really motivated me get our money in check. Every time I see us doing poorly again I re-read a financial book.
Money is tough so GOOD for you for getting it together. It is all about will power. You guys have enough money for you not to live paycheck to paycheck I think with sticking to a fully written out budget and some solid dedication from both you and your H you guys could turn your situation around VERY quickly. Again thanks for posting your budget for us to critique that was so brave. ((hugs))