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Old 02-01-2010, 03:36 PM
 
432 posts, read 3,666,686 times
Reputation: 418

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Okay guys.... Time for some penny pinching. I'm new to this frugal thing so I could use some advice. I've looked over my budget and found some items that I could reduce costs on if i wanted to, so here is what is spend a month. Please let me know how you think i could improve:

Keep in mind these numbers are only for me and my wife:

Food - $350/month (eat out only once a month or so... mostly just grocery expenses)

Cell Phone Service - $95/month (verizon's most basic family plan plus $5/month for 250 text messages)

Internet - $41/month (Time warner roadrunner)

Phone line $21/month (AT&T - we don't use the phone, only have line for security system)


I am consdiering swtiching to AT&T DSL since we already have the phone line, that would cost only $10 more per month, then we can save $30/month over Roadrunner.

What else do you guys suggest?
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Old 02-01-2010, 03:57 PM
 
Location: Planet Eaarth
8,953 posts, read 20,733,283 times
Reputation: 7193
THE very best advice I can give to advise you is to get to know Dave Ramsey and his financial freedom methods of money control. He's a no bull manure kinda guy that tells it straight.

Financial Peace University - daveramsey.com

-and-

Dave Ramsey Homepage - daveramsey.com

The info you get for free is seldom worth having so invest a small amount to get on board with Dave. Like they say.......You have to spend money to save/make money.

Good Luck....
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Old 02-01-2010, 04:49 PM
 
Location: Alexandria, VA
15,180 posts, read 27,953,966 times
Reputation: 27351
Presumably you know to watch sale prices, use coupons, etc. - you could really cut down grocery budget.
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Old 02-01-2010, 05:29 PM
 
432 posts, read 3,666,686 times
Reputation: 418
Quote:
Originally Posted by Tightwad View Post
THE very best advice I can give to advise you is to get to know Dave Ramsey and his financial freedom methods of money control. He's a no bull manure kinda guy that tells it straight.

Financial Peace University - daveramsey.com

-and-

Dave Ramsey Homepage - daveramsey.com

The info you get for free is seldom worth having so invest a small amount to get on board with Dave. Like they say.......You have to spend money to save/make money.

Good Luck....
Thanks, yes I listen to Dave Ramsey on the radio a lot. I don't have any credit care debt or anything like that.... just trying to find ways to be more efficient
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Old 02-01-2010, 05:30 PM
 
432 posts, read 3,666,686 times
Reputation: 418
Quote:
Originally Posted by Flamingo13 View Post
Presumably you know to watch sale prices, use coupons, etc. - you could really cut down grocery budget.
Yes, we're getting into that more lately. I think we saved like $10 last week using coupons Fortunately we never let food to go to waste... i think i maybe eat too much of it haha.

Do you guys buy sale items in bulk and freeze them (if freezable)?
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Old 02-01-2010, 06:19 PM
 
Location: Planet Eaarth
8,953 posts, read 20,733,283 times
Reputation: 7193
Quote:
Originally Posted by bjornb17 View Post
Yes, we're getting into that more lately. I think we saved like $10 last week using coupons Fortunately we never let food to go to waste... i think i maybe eat too much of it haha.

Do you guys buy sale items in bulk and freeze them (if freezable)?
Unless you can get serious about learning from Dave your not serious at all.
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Old 02-01-2010, 06:44 PM
 
Location: On a Farm & by the sea
1,145 posts, read 2,884,522 times
Reputation: 1016
Don't know where you are to know if $350 month is the best you can do with the food budget.
I suggest developing a hobby for you and your wife that can also fetch you some additional income. Can you plant a garden and sell some of the overflow at a local farmer's market? If so, you could also bake pies and cakes and sell there as well...depends on the regulations in your area but our allow the farmers to do that here. Make candles, soap or go to yard sales and find things to sell on Ebay for a profit. I've found that once you whittle your living expenses down to the basic amount, it is time to figure out how to expand your incoming funds.....the effort you put into that usually translates into more $ than trying to eek out another few dollars here and there. It is tremendous if you and your wife can do something together, that you enjoy that also adds to the coffers. It means you spend more time together, have less idle time to shop and you make some extra dough. A winning solution all around if you can manage it with your existing work.
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Old 02-01-2010, 08:22 PM
 
Location: SoCal desert
8,091 posts, read 15,483,877 times
Reputation: 15038
Quote:
Originally Posted by bjornb17 View Post
Okay guys.... Time for some penny pinching. I'm new to this frugal thing so I could use some advice. I've looked over my budget and found some items that I could reduce costs on if i wanted to, so here is what is spend a month. Please let me know how you think i could improve:

Keep in mind these numbers are only for me and my wife:

Find out where your family's money is going first.

Write down every single penny you spend -- even that 30 cents for a pack of gum -- for at least 2 weeks, preferably 1 month.

Cash.
Debit card.
Credit card.
Checks.
Change found in the sofa.

Yes, it's a pain in the patootey to do this. But buckle down and do it.

Where is your money going?
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Old 02-01-2010, 10:26 PM
 
1,858 posts, read 3,114,736 times
Reputation: 4241
Quote:
Originally Posted by Gandalara View Post
Find out where your family's money is going first.

Write down every single penny you spend -- even that 30 cents for a pack of gum -- for at least 2 weeks, preferably 1 month.

Cash.
Debit card.
Credit card.
Checks.
Change found in the sofa.

Yes, it's a pain in the patootey to do this. But buckle down and do it.

Where is your money going?
This is good advice, and I good place to start. You would be surprised at how much you just fritter away. If you can stop the leaks, you will feel like you got a raise.
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Old 02-02-2010, 12:02 AM
 
Location: Bike to Surf!
3,078 posts, read 11,088,653 times
Reputation: 3023
Quote:
Originally Posted by bjornb17 View Post
Food - $350/month (eat out only once a month or so... mostly just grocery expenses)
Aldi's or other discount supermarkets for your processed foods. Mexican or Chinese markets for your veggies (cheaper than the super). Make everything from scratch (except noodles). Fry, steam, boil. Baking is very inefficient.

Quote:
Cell Phone Service - $95/month (verizon's most basic family plan plus $5/month for 250 text messages)
Wow, that's way too much. It should be more like $60/month for 2 phones. I think Sprint is the cheapest company. Call Verizon up and threaten to switch to another company. Call the other companies and tell them you need cheaper service. Go with the lowest rate. Stop texting unless they'll give it to you for free. Use skype if you make any international calls or if you're having trouble staying under you minutes.

Quote:
Internet - $41/month (Time warner roadrunner)
You should be able to get it for $20/month. See if you can cut down on your bandwidth. You never get 1Mbps anyway, and 768K is plenty wide for most users unless you're running a web server or have 3 or more computers streaming video at the same time. See if AT&T will give you cheaper rates for DSL.

Quote:
Phone line $21/month (AT&T - we don't use the phone, only have line for security system)
Cancel the phone and security system.

Do you have homeowners insurance? They'll cover your stuff if it's broken/stolen, or you can just choose not to own anything worth stealing. Check to see if your policy savings are bigger than the cost of the system.

As for personal safety, if you keep a cell handy, you can dial 911 and get a police response rather than a rent-a-cop who probably would be ineffective in a violent home invasion anyway.

You can get internet on a "dry loop" line without phone service if it's DSL. If you can't find an alternative to a phone security system and you want to keep the security, I think you're stuck. Phone lines don't go cheaper than 20. It's usually 12 for service and 8 for taxes and fees.

Quote:
I am consdiering swtiching to AT&T DSL since we already have the phone line, that would cost only $10 more per month, then we can save $30/month over Roadrunner.
Good idea. A dry loop could save you $40/month, but it's sometimes a hassle to set up and maybe you won't be convinced by my security system arguments.

Other suggestions?

Put yourself on a strict budget. Withdraw that much cash at the beginning of each week and only pay cash. You ALWAYS spend more than you think if you use a card and "keep track". If you run out of cash, you buy nothing more until next week.

Lower your thermostat to 65 or less. Put on a sweater.
Change to CFL's.
Do not drive your car unless absolutely necessary. Carpool. Bike. Walk.
Sell a car if you have more than one.
Sell your house, move into something smaller with lower mortage/rent.
Move to a cheaper region of the country.
Move to a cheaper country.
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