Couponing - The Basics

If your are serious about saving money each month, then couponing could be your answer. We're not talking about extreme couponing like the popular television show, I'm talking about real couponing. The show is staged to show consumers saving thousands of dollars in one shopping trip. This however, is not your everyday couponers shopping trip. But you can expect to save anywhere from 40%-70% on your monthly grocery bill, which to most, is an enormous savings. My goal is to take the fear out of couponing for you, and let you know that there is money to be saved without being "extreme" or stressed out. Unless of course you want to be, in that case have at it!

The first thing that I would like to focus on is brand loyalty. If you can shed the loyalty you have to your favorite brands, and be open to trying new ones, this is where you can sometimes hit gold. For years, the only detergent that I would buy was Tide, now that's not to say that Tide isn't a great detergent and one of the most popular brands on the market today. But lets take a look at another brand, which happens to be my new favorite, Purex. At CVS, the 50 oz. bottle of Tide retails for roughly $9.39, the same size bottle of Purex retails at $6.49. Even if you never paired it with coupon, you would save $2.90 by choosing Purex. It just so happens, that the CVS in my area, has this 50 oz. bottle of  Purex on sale this week at 2/$4. So again, even if you don't use a coupon, you will be able to do 32 loads of laundry for just $2.00. Which by the way, equals to $.06 per load compared to Tides $.30 per load!

The next step is to take stock of your pantry, refrigerator and freezer. Go through and take out any items that may be old or expired. Once your pantry is cleaned out, you're going to need to rearrange just a little. Place like items with other like items. Take baking items for instance, try to keep all of your flour, sugar, cake mixes and such together, so that at a glance you can see what you are running out of quickly. If you can store them in clear containers, that's even better. Place a running grocery list on your refrigerator. Each time you run out of an item in your pantry, refrigerator or freezer, add it to the list. This will make quick work out of figuring out what you're out of when it comes time to go shopping. Not only will your pantry be neat and organized, you will also save money by not purchasing extras of items that you already have and abundance of .

Now that your pantry, frig and freezer are organized, take a look and see what kind of meals you can put together with what you already have on hand. Write them down on a piece of paper and place it somewhere you can easily see it when it comes time to prepare meals.

In order to get the best savings, you also need to change the way that you think and shop. Now we already discussed brand loyalty, but it doesn't stop there. Shopping at the grocery and drug store is going to be a whole new experience. You are only going to purchase items that are on sale and/or that you have a coupon for. If there is something that you absolutely need, then only purchase a weeks worth at a time. There are some items that you will never find a coupon for, and that's ok. We are still going to look for the lowest price on these items. In the top right hand corner of my blog, you will see a link for The Krazy Coupon Lady. You will find that they are a great resource for all of your couponing needs.

Before I can describe stockpiling to you, lets talk about sales cycles. We are in the month of January right now, and there are certain items that you buy at certain times of the year, like produce. Citrus fruits are in season in January, so if you buy citrus fruits at this time of the year, chances are you will get them at the lowest price. This is the same with other groceries and household products. They all revolve on a cycle. Sales cycles, unless you are talking about produce, usually last anywhere from 10-12 weeks. So when you find an item that you use at it's lowest price, that is the best time to by more than one of that item, to carry you through to the next sales cycle.

We are finally at Stockpiling! Remember above, where I asked you to take stock of your refrigerator, freezer and pantry? This is where this will come in handy. Stockpiling is purchasing enough of each item, to carry you through until they return to or very near that price, which is usually 10-12 weeks. To start off, figure out how much you need of each item and purchase one or two extra until you get the hang of it. If you use two bottles of detergent in a 12 week time period, then maybe pick up two extra. The Krazy Coupon Lady has created a stock up pricing sheet for you to use. Here is the link: The Krazy Coupon Lady Stock Up Price Sheet. You can use this for learning the best prices to start stockpiling items. Key points to focus on:

• Purchase items at their lowest price
• Buy enough of each item to last you until the next sales cycle (10-12 weeks)
• Buy a couple of extra to stockpile.

By doing this, you will eventually build up enough of a stockpile of each item, that you won't need to buy it every time a great sale comes around. This is how your grocery bill gets smaller and smaller. At that point, you will only be shopping to replenish your stockpile, always have a full pantry and always pay the lowest possible price. 

Get Out of Debt Plan - Step by Step

If your are feeling completely overwhelmed by your debt, then it is time for you to tackle it before it grows any larger. Breaking the task down into more manageable steps is the key. Now I'm not saying that it's easy, but it is completely doable, so lets get started.                                                                                                                                                                                                                                         
The first thing you need to do is to figure out where your money is going each month. If you are not completely sure then this will be the first small piece that you tackle. I have created an Expense Tracker Worksheet for you to use, to make your first step as easy as possible. To fill this out you will need the following things. (You can use this on your computer or print it out. It was designed to be used on a computer so that all totals will add up automatically):

1. All the up to date bills that you currently have with accurate amounts. If you're not sure if it is the right amount, call the creditor and ask them to email or fax you an updated statement.
2. You need to get copies of your credit report. Why? Sometimes we get so far behind, that we forget about things that we didn't have money to pay for. This is a sure way to make sure that you have everything you owe. Another great thing about viewing your credit report, is you can make sure there are no errors on it. For example: an account that you never opened. One of the easiest sites to get all three credit reports is Annualcreditreport.com. You can enter your information and view all three credit reports online. I recommend that you either save them to your computer or print them out. You are entitled to one free credit report per year or after being turned down for a credit card, loan, etc.
3. Recent pay stubs for all who contribute to the monthly bills.                             
1. Fill out you Expense Tracker Worksheet, write the month at the top and fill out the areas in the budget column only. Fill in what you think your monthly payments will be according to the bills in front of you. I have left a couple of extra spaces under each category if you need them.                            
1. PLEASE NOTE: IF YOU MAKE A MISTAKE BY ENTERING A WRONG NUMBER, SIMPLY CLICK BACK IN THE CELL AND TYPE OVER IT. PLEASE, DO NOT HIT THE DELETE BUTTON, IT CAN DISRUPT THE PAGE FORMULA , RESULTING IN INACCURATE TOTALS.                                         
2. You will notice at the bottom of the worksheet, there is a space that says "Total Monthly Expenses". As you enter your expenses, they will add up here. Below that you will see "Monthly Net Income"; you should be able to figure out this amount with the pay stubs that you've gathered and enter it in that space. "Net" income is the income that you receive after taxes are taken out. Now look at your Monthly Expenses compared to your Net Income.  Are you spending more money than you are making each month? The last row named "Total Deficit or Surplus" will show you how much you are over or under. Do you see anywhere you can cut down? If so, then do it. You may want to think about cutting your monthly expenses down. Check out my blog entry: How to Save Money on Your Monthly Utility Expenses. If not, it may be a good time to think about taking on a second job or getting some overtime temporarily.                                                                                                                                              
3. Once you have the Expense Tracking Worksheet filled out, you will need to get an envelope (a clasp envelope big enough to hold receipts, a pad and your pen is perfect.) and a pad. Give one to anyone in the house who spends money. You need to get a receipt for anything that you pay or purchase for that month, from your mortgage payment to a pack of gum. If a receipt is not available, then write it down on the pad. Keep all the receipts in an envelope with the pad and keep it in your car. For your fixed expenses, you only need to write them down if the amount suddenly changes.                                                                                                                                          
4. At the end of the month, gather your receipts, pad, Expense Tracker Worksheet and bills together. In the column next to Budget, named "Actual" in the same month, you are going to enter in the amounts that you have "ACTUALLY" spent for that month. Once that column is filled out,  you will fill out the "Monthly Net Income" section again for that column.                                                                                                                                
5. Now look at your monthly expenses compared to your monthly net income. Have you spent more than your net income in this column. If you have, then it's time to cut down on costs again. Try to cut simple things like brown bagging your lunch, making coffee at home, carpooling, save all of your extra change in a jar, etc. I know it seems trivial, but if you spend $5 per day on lunch 5 days a week for 52 weeks, you've just spent $1300.00, which could go towards paying down your debt.                                                                                                      
6. The next item that you need to tackle is to create some form of emergency fund. Focus on $1000 for now. You don't need to get it together all at once. Even if it takes you a couple of months to get it together, this is an absolute necessity in case an emergency expense pops up. This money should be put aside and left alone,  unless you have a true emergency.  For example: you lose your job, you are ill and can't work, etc. You get the drift.  Are you still with me???? Don't get overwhelmed, that's what the steps are for.                                                                                                                               
7. Once your emergency fund is in place, the next step is to list all of your bills in order from biggest to smallest. Continue to pay the minimum amounts on all of your bills.(Do not skip any minimum payments. Doing so can result in additional expenses in the form of late fees.) Pick an amount that you can afford, to use as an extra payment towards your bills each month. If it is $50 per month, then stick to it.                                                                                                                                          
8. Start with the smallest bill that you have. For example if the bill $100.00, with a $25 minimum payment, you will pay the minimum amount due of $25, plus the additional $50.00, each month until the bill is paid.                                                                            
1. NOTE: WHILE PAYING OFF YOUR DEBT, TRY NOT TO USE YOUR CREDIT CARDS. DEAL ONLY IN CASH WHEN POSSIBLE. LEAVE YOUR CREDIT CARDS AT HOME.                                                                                                                             
9. Once your first bill is paid off take the minimum that you used to pay on that bill and put it towards the next lowest bill. For example: If your first bill had a minimum payment due of $25 per month, once it's paid, you will now take that $25 that you had allotted for that bill and put it  towards paying off your next bill, along with the extra $50 and  the minimum payment for that bill. So if your next bill is $200, with a  minimum payment of $30, you will pay the $30 minimum, plus the $25 from the previous bill, plus the $50 extra that you've allotted each month to pay down your debt. It will look like this:
1. $30 (minimum) + $25 (previous bill) + $50 (extra $$ allotted)= $105. This is the amount you will pay on this bill each month until it is payed off. Just keep doing this until all your bills are paid. The reasoning behind paying off all of the smaller bills first, is that it free's up monthly payments so they can be applied to your larger bills.  The only extra money you have used is the $50 that you allotted to pay off your debts.                                     
10. You may need to make two separate payments, one for the minimum payment and then one for the extra. If you are paying off a loan or credit card that has interest, make a note on the extra payment that you send in, that you would like it to be applied to the "Principal Amount" of the loan.  This is the amount you owe before interest. Doing this, you will eventually lower your payment and pay less interest in the long run. You can continue to fill out the Expense Tracker Worksheet to see where you stand each month and watch your debt get lower and lower each month. Seeing your bills getting smaller each month is a real motivator to keep going.                    
11. Remember, this takes time and patience. It takes time to accrue debt,and it takes twice as long to get rid of it. Follow these steps and you will get out of debt.                                                         
12. Once your debt is paid off, concentrate on building up your emergency fund. You should have 6-8 months worth of expenses in your emergency fund for protection.

I hope that you find this process helpful and that you are able to delete your debt permanently. I am not a financial planner or guru, I just know what works from personal experience. If you get stuck or don't understand a step contact me. There is a contact form on every one of my blog pages. I will be happy to try to walk you through if you are stuck. The most important thing is for you to stick to this, and try not veer from it to get the best results. Being debt free means freedom to live your life on your terms. Good luck! <3

2015 Resolution...Get your life in order!

 

Each year we all watch the ball drop (some of us make it and some don't, zzzzzz), toast at midnight with champagne, kiss and hug each other and pray for a good year.  Some folks embrace the new year with open arms, while others just sit and dread what's to come. If you're dreading the oncoming year, then maybe it's time to get your life in order. What do I  mean by that, right? It's a great time to take stock of your life;  a realistic and honest look at your life and set goals to change what you're unhappy with. Yes, I know change is tough and it's a little scary, but it can lead to freedom. Here are a few items that you may want to tackle in 2015.

• Vow to spend more time with your family. If you have trouble trying to balance work and family, why not just enter them in your schedule, it works for everything else, right? If you carry an appointment book or planner, block the time out. If not, write it on the calender. If you are the person who coordinates the schedules in the house, don't forget to remind each member. Schedule game nights, projects, trips, date night, etc. If you are always on the go, try this handy online calender Cozi Family Calender. It can be accessed from your computer or smart phone, you can send reminders to other smart phone users and it is printable. You can also enter and pull up appointments by the persons name that you specify. A great little tool  for a busy world.  
• Find better ways of managing your stress. Here are a few simple techniques of dealing with stress. 
• Switch your mind onto positive thinking mode. 
• Go for a walk, to clear your head. If you're at work and can't get away, go to the restroom and just take 5 minutes. Try carrying some peppermint essential oil to lift you up or maybe some lavender to calm you down.
• Get more exercise. It is proven that exercise will make your body feel better, and your mind will follow. 
• Take some me time every day. Whether you take it when you first wake up or before you go to sleep. You can sit and meditate for 20 minutes. If your feeling tired, meditation can renew your energy better than a power nap. 
• Do something you love. It could be a craft, hobbie, sport, listen to music or take a walk.
• If you are stressing due to something at work that you find overwhelming, try dividing the task into smaller pieces; doing this may make it seem less overwhelming.                     
• Get out of debt. Finances are one of leading causes of stress. Develop a plan of action and start chopping away at that avalanche. Figure out where you are overspending by writing down what you purchase  and then reviewing it at the end of the month. Check out my blog entry on Getting Out of Debt - Step-By-Step.                                                                                                         
• Create a budget for yourself and family. One of the most stressful things when trying to manage money, are surprises. Make out a budget and make sure to include everything from Mortgage/Rent to gifts and car inspections, to be better prepared.                                                            
• Save more money this year. Here are just a couple of extras.
•  Take an old jar, and at the end of each day throw your spare change into it. This will ad up pretty quickly, but don't touch it for a year. You will most likely have a couple thousand dollars when your done. 
• Use coupons to cut your grocery expenses. 
• Get rid of that gym membership that you never use. 
• Take your lunch to work, instead of eating out. Say you spend $8 per/day 5 days a week. That is $2080.00 per year that could've gone into your bank account. 
• Take your coffee from home. We'll say that you pay $2.50 for a cup of coffee. Even if you only buy one cup a day, this adds up to $250.00 per year. So between lunch and coffee, you've just spent about $2300.00 for the year on items that would cost a quarter of that if you brought them from home.
• If you drink bottled water, return the bottles for your deposit. Four cases of water per month is $4.80 in deposits per month...enough for another case of water.
• Switch your bank to one who offers free checking. Paying a minimum of  $7 over 12 months adds up to $84.00 in bank fees. If you use your debit card at unauthorized ATM's, then your paying more than that every year.                                                             
• Quit smoking. Yes, I know, easier said than done. I've been there and done that as well. But if you can manage it, $10.00 per pack, per day is $520.00 per year. Can't manage to quit just yet, try cutting your smoking in half each day, you will at least save $260.00 per year. As an added bonus, you'll feel better. <3                                                                                                                                                                                                                                                                          
• Lost weight. For some of us, this is an ongoing battle, but it's worth a try. 
• Drink lots of water
• Try to shop ONLY the perimeter of the grocery store. Ever notice how all the fattening and processed "stuff" is down the center aisles? 
• Commit yourself to 30 minutes of exercise for 30 days. By that time, it will hopefully be habit, and you will feel much better than before. 
• Try juicing. Fresh fruits and vegetable can become super expensive if you are buying large quantities. You may want to try a food co-op like Rustic Roots Delivery or Farm 2 Kitchen both based on Long Island. They have fresh fruits and vegetables, often cheaper and fresher than the supermarket, along with meats, seafood, gourmet items,etc.
• Try cleansing. If you have never cleansed before, you may want to start out with a cleanse like Love Grace Foods. They offer organic, cold pressed juices that are certified Vegan, Gluten-free and Kosher.                                                                                             
• Create an emergency fund. This is your safety net in case you become ill or lose your job. Money guru Suze Orman, recommends having 6-8 months worth of expenses in the bank to be on the safe side.                                                                                                                                 

Hopefully these tips will inspire you to make some great changes this year. Happy New Year!