If I watch “Jon & Kate +8” for more than seven minutes at a time it makes me never want to have children. While I realize that Jon seems like a responsibility shirking man-child, Kate seems to never believe that he can do anything correctly if it’s not done her way. Seriously, how many ways is there to wipe oatmeal off of a kid’s face? Just clean it.
At the beginning of our long walk to freedom from debt I knew that we would have plenty of people spewing forth negativity & all the reasons why debt cannot be conquered. But what I didn’t realize was once we began overcoming some of the debt that some people would still be negative despite our good results.
I have found out that just because we’re not doing it their way that they really believe we’re not doing it at all. This is what I call “The Kate Gosselin Effect” & I’ve been on the receiving end of it a time or two. While I don’t generally begin conversations about our debt quest, I do chime in sometimes when it’s brought up in conversation.
An instance of the Kate Gosselin Effect was when I told someone we are paying $25 extra a month on our car payment. It’s not a huge amount & there are other places I could put it. However, $25 is not such an outstanding amount that I would do serious damage with it on another bill. But if left in my pocket that same $25 could be spent each month on various items & I would likely not miss it. So I designate it. I make it work for me. I tell it where to go.
By our calculations we will have the car paid off early already. But by throwing that extra $25 a month on it, I can spare myself of four months of payments. I’m aware that this $25 does not apply towards the principle like it would if I paid it extra on the house. Car financing generally charges all of the interest up front in the loan. However, every $25 that I pay now is $25 I don’t have to pay later. I am $25 closer to being debt free.
I received blatant criticism from the person I was talking to & they declared (Not Michael Scott style declaring) that I should be paying it extra on another bill. I explained my reasoning & they continued for some time to let me know how wrong I was. I ended the conversation with, “Debt free is debt free no matter how you get there.” They had no response.
Listen, until they sit at my house & cut coupons for me to save that $25 then their opinion really doesn’t matter. When they start making their way out of debt & change their spending behavior then maybe I’ll find their advice valuable. Until then, your advice doesn’t apply to me.
For the life of me I cannot understand why people think I will lay awake at night recalling their opinions of my financial decisions. My way may not work for you but that doesn’t mean you can’t be debt free or more frugal. Because no matter which frugal way you decide to work your finances, the bottom line is that you will be more financially set than you were yesterday.
So take that financial Kate Gosselin’s! I don’t believe my method is the only way but I do know that it’s working. In the words of Dave Ramsey, “Live today like no one else & tomorrow you will live like no one else.”
You got it Dave. :)
Nevertheless ~
Showing posts with label frugal. Show all posts
Showing posts with label frugal. Show all posts
Tuesday, September 29, 2009
Tuesday, September 08, 2009
“The Freezer Chronicles”
Jason & I have been saving up for a nice upright freezer for some time now. Basically, I’m tired of being so busy after work. After work I usually find myself in a frenzy of appointments & stops to be made before I go home. Those appointments often consist of the chiropractor, allergy clinic, hair appointments, grocery store, & whatever else has taken priority. By the time I get home to start dinner & do homework, I’m usually ready to fall over.
In an effort to minimize grocery store stops we purchased a membership to Sam’s Club at the beginning of August. Our goal was to purchase as much as we could for the month & then only buy veggies or fresh fruits weekly as needed. We’ve been contemplating buying a nice freezer for some time now & getting the Sam’s membership really made our choice for us. We did spend half of our monthly budget on food at the beginning of the month & it took a few hours along with a trip to Sam’s out of our time.
This has already been a great choice for us because last week the only item I stopped for on the way home was milk & I did not have to go out of my way thanks to the Dollar General on the way home. I was able to go straight home more days than not & get started on my homework before my husband came home.
Yesterday we purchased our freezer sort of on a whim. Jason & I both discuss large purchases for a long time before buying. With all the Labor Day sales in effect we decided sort of last minute to stop at Sears to check their freezers out. We found one we liked for $450 plus tax with free next day delivery. It was basic & did nothing except freeze food. However, for Sears card holders they were offering another 5% off the purchase.
I love to bargain. I love to negotiate. I’m my dad made over when it comes to sales & my favorite job ever was a sales position. I will nearly always ask for a better bargain & I will walk away when I don’t feel I’ve been given a fair price. Yesterday I asked the Sears salesman if he would be willing to drop 5% for me if I pay in cash & take the freezer today. Right now. Presto & you’ve made a sale.
He said no. I asked him if the manager would be willing to talk to me. He said no. Eh, no big deal to me. I don’t need the commission & there’s no harm in asking. But then he said something that really surprised me. He said, “Cash doesn’t talk like it used to.” Then he offered to open a credit card for me. I was nice but I was firm when I said, “That’s not going to happen.” He then tried to give me a good reason for opening the credit card…the coveted 5% off. I said, “I’m not interested in giving Sears more money than this freezer is worth.”
He was nice & we were nice. But we weren’t budging. So off we went to Lowe’s where I’ve always had incredible customer service. They seem to appreciate my money no matter what form it comes in. We found a better model freezer with a digital thermostat & a locking feature for $428 with 10% off & free delivery was included. By the time everything was said & done with we had purchased the freezer for $412 tax & all. Lowe’s also attempted to offer me a credit card & I told him that we were paying with cash.
I learned yesterday that cash may not talk everywhere. But that’s not what is important. Cash talks to ME. It’s freedom baby & I like it. Paying with cash yesterday was a great feeling & today we’re not anyone’s slave. (Proverbs 22:7) We worked hard to save & we met our goal. We didn’t prematurely buy it before we could afford it.
I’m not belittling anyone who has had to open an account to make such purchases. Lowe’s saved my bacon a couple of years ago by issuing me a card when I was single & badly needed a water heater. But now things are different. The emergency fund is in place, we are working on our savings account, & we are living below our means. We plan now for things we need later instead of spending money tomorrow for purchases we made today.
My cash is talking & I like what it says. :)
Nevertheless ~
In an effort to minimize grocery store stops we purchased a membership to Sam’s Club at the beginning of August. Our goal was to purchase as much as we could for the month & then only buy veggies or fresh fruits weekly as needed. We’ve been contemplating buying a nice freezer for some time now & getting the Sam’s membership really made our choice for us. We did spend half of our monthly budget on food at the beginning of the month & it took a few hours along with a trip to Sam’s out of our time.
This has already been a great choice for us because last week the only item I stopped for on the way home was milk & I did not have to go out of my way thanks to the Dollar General on the way home. I was able to go straight home more days than not & get started on my homework before my husband came home.
Yesterday we purchased our freezer sort of on a whim. Jason & I both discuss large purchases for a long time before buying. With all the Labor Day sales in effect we decided sort of last minute to stop at Sears to check their freezers out. We found one we liked for $450 plus tax with free next day delivery. It was basic & did nothing except freeze food. However, for Sears card holders they were offering another 5% off the purchase.
I love to bargain. I love to negotiate. I’m my dad made over when it comes to sales & my favorite job ever was a sales position. I will nearly always ask for a better bargain & I will walk away when I don’t feel I’ve been given a fair price. Yesterday I asked the Sears salesman if he would be willing to drop 5% for me if I pay in cash & take the freezer today. Right now. Presto & you’ve made a sale.
He said no. I asked him if the manager would be willing to talk to me. He said no. Eh, no big deal to me. I don’t need the commission & there’s no harm in asking. But then he said something that really surprised me. He said, “Cash doesn’t talk like it used to.” Then he offered to open a credit card for me. I was nice but I was firm when I said, “That’s not going to happen.” He then tried to give me a good reason for opening the credit card…the coveted 5% off. I said, “I’m not interested in giving Sears more money than this freezer is worth.”
He was nice & we were nice. But we weren’t budging. So off we went to Lowe’s where I’ve always had incredible customer service. They seem to appreciate my money no matter what form it comes in. We found a better model freezer with a digital thermostat & a locking feature for $428 with 10% off & free delivery was included. By the time everything was said & done with we had purchased the freezer for $412 tax & all. Lowe’s also attempted to offer me a credit card & I told him that we were paying with cash.
I learned yesterday that cash may not talk everywhere. But that’s not what is important. Cash talks to ME. It’s freedom baby & I like it. Paying with cash yesterday was a great feeling & today we’re not anyone’s slave. (Proverbs 22:7) We worked hard to save & we met our goal. We didn’t prematurely buy it before we could afford it.
I’m not belittling anyone who has had to open an account to make such purchases. Lowe’s saved my bacon a couple of years ago by issuing me a card when I was single & badly needed a water heater. But now things are different. The emergency fund is in place, we are working on our savings account, & we are living below our means. We plan now for things we need later instead of spending money tomorrow for purchases we made today.
My cash is talking & I like what it says. :)
Nevertheless ~
Monday, August 24, 2009
"I love you baby, but I don't trust you."
One of the things I hear the most from people is that they do not share a bank account with their spouse. I’m not even going to sugar coat it & say “Maybe that’s working for you.” because I know it’s not. I’ve never ever talked to anyone financially secure who does not share a bank account with their spouse.
Of course, if you are in a “separate account” marriage then you want to tell me how great it’s working for you. But we both know it’s not. If it were, you would have no debt & currently be building wealth. Instead, you have very little security & while you’ve agreed with your spouse to “split the bills” you really have no idea what he/she is doing with the excess money. But some people secretly enjoy this because they have no accountability to their spouse for their own spending habits. So really it’s working out for everyone while the other spouse gets the blame. However, while it’s all “working out” for everyone today, it’s not good for anyone’s future.
Before I married Jason we had very serious talks about what we would do with our finances, how we would discipline/school/train our children, & what we could/couldn’t put up with in marriage. We chose to forfeit dance lessons for our reception & attend pre-marital counseling with a licensed counselor instead. I agreed with Jason when he said, “No one ever says they are sorry they have too good of a foundation when they are constructing their house.” For us, we were laying the foundation of our home so these discussions were critical.
Neither of us saw any reason to have separate bank account but we had two very good ones to share one. We trust each other & we have nothing to hide. Not only is our finances a great way to bring unity to our marriage but it also provides us each with a transparency & the ability to be real with each other.
Our joint account provides Jason with the ability to see where I tell every dollar to go. He can log in at any time & view everything. He rarely does, but he can. This provides the anti-secrecy thing to better work for us. It also provides us with the capability to see every single dollar that is coming in & because it’s combined we have better knowledge of the exact dollar amount we have. Although I primarily work with our finances, neither of us is in the dark. Jason has every opportunity to give suggestions when he views the statements or the budget.
If your success with separate accounts isn’t clearly visible then it’s likely not working for your home. I believe separate accounts are the outcome of selfish behavior in at least one of the spouses. I see it as selfishness because one spouse may be doing everything right, striving to pay the bills on time, & putting up money for Christmas while the other spouse pays the light bill late & then blows the rest on frivolous items/experiences.
I’ll end this post with a favorite phrase from Dr. Phil, “How’s that working out for ya?” You will always see the same outcome if you keep sowing the same actions.
Nevertheless =)
Of course, if you are in a “separate account” marriage then you want to tell me how great it’s working for you. But we both know it’s not. If it were, you would have no debt & currently be building wealth. Instead, you have very little security & while you’ve agreed with your spouse to “split the bills” you really have no idea what he/she is doing with the excess money. But some people secretly enjoy this because they have no accountability to their spouse for their own spending habits. So really it’s working out for everyone while the other spouse gets the blame. However, while it’s all “working out” for everyone today, it’s not good for anyone’s future.
Before I married Jason we had very serious talks about what we would do with our finances, how we would discipline/school/train our children, & what we could/couldn’t put up with in marriage. We chose to forfeit dance lessons for our reception & attend pre-marital counseling with a licensed counselor instead. I agreed with Jason when he said, “No one ever says they are sorry they have too good of a foundation when they are constructing their house.” For us, we were laying the foundation of our home so these discussions were critical.
Neither of us saw any reason to have separate bank account but we had two very good ones to share one. We trust each other & we have nothing to hide. Not only is our finances a great way to bring unity to our marriage but it also provides us each with a transparency & the ability to be real with each other.
Our joint account provides Jason with the ability to see where I tell every dollar to go. He can log in at any time & view everything. He rarely does, but he can. This provides the anti-secrecy thing to better work for us. It also provides us with the capability to see every single dollar that is coming in & because it’s combined we have better knowledge of the exact dollar amount we have. Although I primarily work with our finances, neither of us is in the dark. Jason has every opportunity to give suggestions when he views the statements or the budget.
If your success with separate accounts isn’t clearly visible then it’s likely not working for your home. I believe separate accounts are the outcome of selfish behavior in at least one of the spouses. I see it as selfishness because one spouse may be doing everything right, striving to pay the bills on time, & putting up money for Christmas while the other spouse pays the light bill late & then blows the rest on frivolous items/experiences.
I’ll end this post with a favorite phrase from Dr. Phil, “How’s that working out for ya?” You will always see the same outcome if you keep sowing the same actions.
Nevertheless =)
Thursday, August 20, 2009
"What do I have to offer? Not much." ;)
This isn’t the kind of blog where you will read about my crash to the bottom of the economy & how I clawed my way back up. It’s not the blog that references Charles Schwab or lists interesting stock tips. I’m not a professional writer & my greatest fault is throwing in or removing too many commas in a sentence. I’m rarely eloquent & I tend to write exactly like I talk. In fact, I’m sure my dear friend who is an English teacher would already be circling with her red pen by now. :)
This blog is for people like me & it will contain my journey to becoming debt free. I’m sure you’ll have read everything I have to say somewhere before from people who write it or say it a lot better than I do. I’m not claiming to be a financial scholar & I am not interested in giving you my two cents on your personal debt. What I am interested in is letting others know what I’m doing & what is going right or wrong in my quest for financial freedom. As my brother said, if this blog gains no readers it will still be a success journal for me.
I read another blog once that said, “Frugality isn’t for everyone.” So I’m keeping in mind that my way isn’t going to be your exact way. Where I pinch pennies, you may splurge. Where I can’t do without an item, you may view it as an unnecessary expense. We’re different people with different goals. I may splurge or spend in one area & tighten the belt in another but if it works for me then that’s all that matters.
I’ll eventually get comfortable writing here & throw in my sense of humor into my posts. This has to be fun for me because frankly, work & school are sucking the life out of me! ;) I get tired of seriousness 24/7. It’s like being friends with a vacuum cleaner manual. So, let’s have some fun & meanwhile I’ll pay a few bills off. :)
Nevertheless ~
This blog is for people like me & it will contain my journey to becoming debt free. I’m sure you’ll have read everything I have to say somewhere before from people who write it or say it a lot better than I do. I’m not claiming to be a financial scholar & I am not interested in giving you my two cents on your personal debt. What I am interested in is letting others know what I’m doing & what is going right or wrong in my quest for financial freedom. As my brother said, if this blog gains no readers it will still be a success journal for me.
I read another blog once that said, “Frugality isn’t for everyone.” So I’m keeping in mind that my way isn’t going to be your exact way. Where I pinch pennies, you may splurge. Where I can’t do without an item, you may view it as an unnecessary expense. We’re different people with different goals. I may splurge or spend in one area & tighten the belt in another but if it works for me then that’s all that matters.
I’ll eventually get comfortable writing here & throw in my sense of humor into my posts. This has to be fun for me because frankly, work & school are sucking the life out of me! ;) I get tired of seriousness 24/7. It’s like being friends with a vacuum cleaner manual. So, let’s have some fun & meanwhile I’ll pay a few bills off. :)
Nevertheless ~
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