Test Budget for Maine

[Zarathu]

Originally Posted by Roland 544

Definitly look for alternative heat, one time Expense for stove, wood may be free if you live rural. Keep the oil burner from kicking on. 200 for food for 2? that is low. I would go 350 on that.

I expect a one time expense of $1800 for a new wood stove and another $500 for an insulated stainles steel chimney liner for my inside chimney. I will need the liner because I will also have an aluminum propane exhaust going through it, and additionally for safety since the chimeny, while clay lined, goes up through the center of the house.

[Submariner]

We burn wood [sometimes woodchips or peat]. Our heat budget is lower than $300/month.

[Zymer]

Originally Posted by 221B

Thanks for the input.
It is interesting that we've receive several folks now saying that $200 per month would be low for two adults. We average a bit below that here in CA. I wonder if basic groceries are just a little higher there in Maine? On the other hand, we try not to purchase too many pre-packaged type of foods, and prepare as many meals as we can in the kitchen.
The exception is when I go to the grocery store myself, as I'm apt to go wild and buy lots of (more expensive) stuff that would go great if one is, say, sitting down and watching a classic movie; but not exactly healthy meal-type food! PopTarts and peanut-stuffed pretzels come to mind, for example.

Well, it's do-able, it all depends on your frugality. For a while my food budget was $30/month, but I was living extremely cheaply. I just didn't have any more than that and had to make do. I may have swung too far the other way now that I have more income.

[Zarathu]

Originally Posted by Zymer

Well, it's do-able, it all depends on your frugality. For a while my food budget was $30/month, but I was living extremely cheaply. I just didn't have any more than that and had to make do. I may have swung too far the other way now that I have more income.

What did you eat for a dollar a day?

[starwalker]

Originally Posted by 221B

Thanks for the input.
It is interesting that we've receive several folks now saying that $200 per month would be low for two adults. We average a bit below that here in CA. I wonder if basic groceries are just a little higher there in Maine? On the other hand, we try not to purchase too many pre-packaged type of foods, and prepare as many meals as we can in the kitchen.
The exception is when I go to the grocery store myself, as I'm apt to go wild and buy lots of (more expensive) stuff that would go great if one is, say, sitting down and watching a classic movie; but not exactly healthy meal-type food! PopTarts and peanut-stuffed pretzels come to mind, for example.

If you do cook like that -- and I do -- and visit farmers markets, take advantage of specials, etc, as I do, that is realistic. That is about what we spend.

[RiverBird]

Originally Posted by 221B

I've put together a basic, monthly budget for Maine using my best-guess estimates. I would really appreciate any real-life input/revisions/corrections/additions/subtractions on these numbers.

These figures assume a couple, no mortgage, two used cars, and a frugal to modest style of living. It also assumes self-employment, hence the included self-employment tax line.
(These are the basics, so it doesn't include a few discretionary line-items)
Thanks in advance for your help with getting a realistic budget put together; please add any line-items I may have not considered!

Monthly Test Budget for Maine

Electricity 130
Trash Pick-Up 20
Home Repair 50
Home Loan 0
Water 25
Heating Oil (annualized monthly ave.) 300
Property Insurance 50
Property Taxes (location-dependent!) 225
Telephone 50
Wireless Phone 35
Cable TV/Internet 60
Auto Insurance 80
Auto Excise Tax 30
Auto Registration 32
Auto Savings/Repair 100
HSA (Health Savings Acct) 100
Medical Insurance 600
Self-Employment Tax 550
Business Insurance 21
Groceries 200
Gasoline 250
Misc. 150

Total Monthly Budget: 3,058

A few questions--

1) Are you near retirement?

2) Can you really eat on $200/month?

3) Car gas varies depending on if you live rural or town

4) pets and vets?

5) entertainment?

6) Why do you need a HSA if you are paying for health insurance?

[AustinB]

Originally Posted by newenglandgirl

A few questions--

1) Are you near retirement?

2) Can you really eat on $200/month?

3) Car gas varies depending on if you live rural or town

4) pets and vets?

5) entertainment?

6) Why do you need a HSA if you are paying for health insurance?

HSA is tax deductable. Rather, pretax, on income. I really appreciate mine.

[Zymer]

Originally Posted by newenglandgirl

A few questions--


6) Why do you need a HSA if you are paying for health insurance?

HSA is good for paying deductibles and co-pays, buying medical-related products that aren't covered by insurance, etc.

HSA money is pre-tax and reduces your gross income. Depending on what your gross income is, and what other deductions you have, and your tax bracket, the additional deduction for the HSA money can drop you into a lower tax bracket and the savings on taxes may offset substantially the amount of taxes you would have paid if you *didn't* have the deduction.

Properly structured/funded you will save money as medical expenses that you would have paid out-of-pocket you instead pay out of the flex account, *and* you pay less income tax. It's almost like "free" money. (It isn't really free, it was yours, the difference is that you are spending it on yourself instead of letting it disappear into the black hole of the gov't.)

[AustinB]

Originally Posted by Zymer

HSA is good for paying deductibles and co-pays, buying medical-related products that aren't covered by insurance, etc.

HSA money is pre-tax and reduces your gross income. Depending on what your gross income is, and what other deductions you have, and your tax bracket, the additional deduction for the HSA money can drop you into a lower tax bracket and the savings on taxes may offset substantially the amount of taxes you would have paid if you *didn't* have the deduction.

Properly structured/funded you will save money as medical expenses that you would have paid out-of-pocket you instead pay out of the flex account, *and* you pay less income tax. It's almost like "free" money. (It isn't really free, it was yours, the difference is that you are spending it on yourself instead of letting it disappear into the black hole of the gov't.)

That's exactly what I like about it.