Full disclosure: I have never met author Natalie McNeal but I consider her a frugal blog friend.
When I received Natalie McNeal’s The Frugalista Files: How One Woman Got Out of Debt Without Giving Up the Fabulous Life
Lucky me, because there are so many funny and true moments in this book that I can share them and you’ll know how much this book deserves your $8.56 (on Amazon.com, anyway). Incidentally, I read the entire 179-page book on a flight from Providence, RI to Phoenix with time to spare. The Frugalista Files is fun.
On changing her life: “Being a spending slut is ruining my life. (more…)
Identity Photogr@phy / Flickr
This is a post by BargainBabe.com writer Yazmin Cruz.
Coming up with resolutions for the new year was difficult. I easily added the No. 1 resolution to lose weight onto my list, but when it came time to think of my financial future, I was paralyzed. While I’ve always saved my pennies, this year is different. In the spring I’ll be graduating into a less than idea economy and assuming the adult reality of earning, managing, and spending money wisely. I would be lying if I said I was not anxious about my future.
My three financial goals, which may be similar to yours, are simple so I can stick to them.
3. Save more money – I’ve been putting aside 20 percent of all my earnings and will start putting away (more…)
The folks at Deals.com put together a nifty infographic that basically says it costs more to be obese than to be at a normal weight. The statistic that intrigued me the most was that your weight is tied to how much you earn. Bizarre!
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I share five must read blog posts about saving money every Friday.
How to wrap a cat for Christmas – This 1:44 video on The Digerati Life is worth watching.
A Third of Shoppers Still Haven’t Heard of Cyber Monday – An exclusive national survey by dealnews.com shows what shoppers plan to buy and when.
How much does obesity cost? - A new graphic and story on MainStreet.com has the numbers on the cost of obesity. Scary!
Grocery and store coupons by region – Just discovered this United States map with links to coupon deals for grocery and retail stores in every state.
Why are so many people in debt? We’re apathetic. Jason at Frugal Dad has had enough. ENOUGH!
Bonus: Worried about the new TSA patdowns? FareCompare.com has a story and video on what to expect.
Are store credit cards savvy? Credit: shawnzrossi/Flickr
This is a guest post from Philip Taylor of PT Money: Personal Finance, a site dedicated to helping you make more money, save more money, and spend your money wisely.
It’s that time of year again. Everyone is struggling to come up with Christmas gift ideas, and some may be wondering how to pay for it all. A tempting solution is to put your good credit to work for you and use a collection of retail store credit cards to pay for all your gifts.
On the surface, it looks like a smart move: retail store cards often come with a huge upfront discount and promises of future discounts; plus, you don’t have to pay for Christmas until the end of January. But there is more to it than that.
Here are 4 reasons why it’s a good idea to skip the retail store card. (more…)
Random expired bras. Credit: How can I recycle this/Flickr
I skipped a post on what I regretted about my August credit card bill, but I can’t do the same for September. I am annoyed by a $18.17 Target charge because it is proof that I gave into boredom buying.
Part of the purchase – a gift for a friend going through a rough period – I don’t regret. What aggravates me is the $12.99 I spent on a beige bra.
I avoid bra shopping as long as possible. But when I found myself with hours to kill after a friend’s plane was delayed, I headed to Target. Not my first choice; I had already eaten dinner, the movie theater was in a dead hour, and if I played another game of Fruit Ninja on my iPricey iPhone, it would leave me directionless to get back to the airport. Target it was. (more…)
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I pay $63.15 each month toward my student loan, a massive balance I (only) have cut in half since graduating more than 10 years ago. My interest rate is 2.625% and I currently earn .50% interest in my checking account. Should I pay off my loan?
Here are the options, as I see it.
Yes. The student loan interest rate is higher than what I am earning in my checking account. The money in my checking account is growing so slowly it doesn’t make sense to keep it on hand when I could reduce a debt that carries a higher interest rate.
Current CD rates aren’t much better than my .50% checking account, even (more…)
Beppie K / Flickr
This is a post by BargainBabe.com writer Yazmin Cruz.
Credit card use is decreasing, while debit card use is on the rise. The culprit may be the hard economic times, but that is not the only factor.
“People are being extraordinarily cautious because of concerns about a double-dip recession, and jobs not being returned,” says a recent USA Today story. “Consumers are opting for debit cards, because they’re ‘one of those mechanisms that allows you to spend what you have.’”
A Federal Reserve Board report states that credit card borrowing fell (more…)
alancleaver_2000/Flickr
This list intrigued me because I continually ask myself if I am spending and saving responsibly. If many of these behaviors ring true it is time to consider changing your ways. How many of these habits are you guilty of? See my answer below.
The following list comes from Billshrink, a site that compares plans for cell, cable, and other services to see if you are getting the lowest price.
1. You charge group dinners on your card and keep your friends’ cash to spend.
2. You spend more than 40% of your total income on rent.
3. You’re constantly transferring your balance to get 0% interest on your credit card debt. (more…)
Illustration by OConnorCartoons.com
This is a post by BargainBabe.com writer Yazmin Cruz.
Reader Gabrielle wins my review copy of “Cash, Credit, and Your Finances: The Teen Years,” for her funny comment about needing the book not only for her spoiled children but her husband as well. She wrote:
My teenager, you mean my hubby. I need this for my teenage like husband! HAHA!! No, but we have two pre-teens whom my mother-in-law has spoiled to no end & ruined any attempt I have put in to teach them about money, saving, & spending when needed instead of on any little thing they can afford.
Gabrielle, I love your honesty about your kids being spoiled. It is my hope that this book helps them learn about money and the importance of saving. Although the book is aimed at teens, I’m sure your husband will also learn a couple of things. When reading the book, I was reminded I had to set money aside from my freelancing paychecks to pay for federal and state taxes when the time comes around. I’m no longer a teen but the learning never stops.
If you missed my review of the book, author Jill Russo Foster says that teaching teens about money is the key to avoiding debt. Her easy-to-read book includes information from creating a budget to avoiding identity theft. This book is the first in a series of three books on personal finances by Foster.
Gabrielle, email me to claim your prize and include an address where I can ship the book to.
If you didn’t win my review copy and would like to get the book for your teen or you’d like to brush up on the basics, Amazon has it for $15.25.
My $37.89 credit card regret.
My credit card bill is due in a few days and while reviewing my charges from the past month I found one that I really wish I could take back. While stopping at California winery for a tasting in July, I bought a handmade vintage mini-quilt to hang in my office. The cloth, folded so a fourth of it shows above, can also be used as a table covering.
Purchase price? $37.89.
The cloth has picket fence edges and the material is very sturdy and soft. I like thinking that a woman used her creativity to sew a beautiful work of art that is entirely practical.
When I inspected the cloth more closely at home, however, I found a small stain and realized four circular embellishments were added to cover an inch-long rip. You can see one of the embellishments in the top right corner of the photo. I still adore the vintage cloth, but I think I could have found something similar at a thrift store or flea market for less than $10.
So if there is one credit card purchase I regret this past month, it is this mini-quilt. I was a bit tipsy when I made the purchase, and saw so many cute things in the shop (like cherry earrings for $10) I wanted to take home something. The earrings were only worth $5 to me, but maybe if I had bought those I would have passed on the cloth. At least I didn’t splurge for the vintage $25 waist apron. It was so adorable I never would have worn it!
What do you regret buying this month?
If you are the parent of a teen and have been looking for the right time to talk to him or her about money – now is the time. Jill Russo Foster, author of “Cash, Credit, and Your Finances: The Teen Years
I’ve come to believe that financial education is the key for everyone. The sooner you start learning about money and personal finance, the sooner you can take control of your own finances. This book will start you off in the right direction and teach you how to build good financial habits.
Foster, who is now in the mortgage industry, started her financial career right out of college when she began working as a bank teller in an affluent neighborhood. She recounts that most people she saw at the bank wore designer clothes, had the latest car and were also on the overdraft list.
In the book, Foster uses examples of five teens that were given her book to read and later tells of the changes they made to change their money habits. The teens’ stories and her own – she admits to having 27 credit cards at one point – make the book easy to read. Your teen will be able to relate to the teens’ stories and learn from their success and failures.
This 84-page book will teach your teen about the basics of managing their money – think allowances and babysitting money – while thinking of long term goals like saving for college and short term goals like buying an iPod. The book is divided into five chapters that are filled with worksheets and practical examples for teens to understand. The chapters include information on creating a budget, the banking system, establishing credit, strategies for paying for college, avoiding identity theft and making major purchases.
This book is the first in a series of three books on personal finances by Foster. If you would like to win a copy of “Cash, Credit, and Your Finances: The Teen Years” for your teen, leave a comment explaining why your teen needs to read this book. If you can’t wait to get a copy, you can buy it on Amazon
Buying a copy supports BargainBabe.com.
By Bobbi Burger Brunoehler of Bobbisbargains.
HikingArtist.com/Flickr
I have just 25 minutes to speak about budgets at an upcoming conference – such a short period of time. As I started to prepare my talk I realized staying on budget and out of debt has only five key points.
1. You have to want it. No seminar, book or popular online money management software will help you to stay on budget unless you really want to. It’s like quitting smoking cigarettes. You must make a firm and true decision to DO IT!
2. Spend less than you make. Oh so easy to say but that is the bottom line. Somehow you have to increase your income and/or decrease your outgo until you are spending less than you make. It’s simple math.
3. You have to spend time looking at actual numbers. Our finances have become so automated that you can get paid, buy your food, pay your bills and transfer money to your significant other’s account without ever having to actually confront your economic condition. I spend at least one day a month going over my finances with a fine tooth comb. I examine all the receipts and evaluate where we are spending money. I balance every month’s statement and earmark money for upcoming expenses (like my daughter’s birthday or a new mattress.) I do most of my accounting with pen and paper. Bargain Babe has a 15-minute budget that is fairly simple.
4. Spending should not be an emotional decision. I don’t buy something (like a $750 leather jacket) because I “just HAVE to have it” or I “can’t live without it.” If I want it so badly, I should plan for it. Most often, all the items you buy on impulse won’t stand the test of time. Of course, I have a slush fund built into my budget that allows me the luxury of buying a little something (like a pretty hair clip) for myself when I see it – IF I really want it.
5. Ensure that the entire family understands and agrees with the above four items. It is vital that everyone is on the same page when it comes to budgeting. If necessary, have family meetings to go over these points until you have agreement. It just won’t work if everyone isn’t on board.
I’d love to hear any of your budgeting tips.
paalia/Flickr
A recent survey by CESI Debt Solutions found a whopping 80% of us hide purchases from our partners. Ouch! Some 18.5% of married couples have credit cards their spouse don’t even know about! I’m not sure how that is possible. Wouldn’t they see the bill, notice transfers out of a bank account, or wonder where new items around the house came from?
According to the survey of more than 200 Americans, spouses are secretly buying:
- 34.5% clothing and accessories
- 24% food/dining
- 19.5% beauty/personal care items
- 16.5% gifts
- 13% alcohol
- 9% entertainment
- 9.5% music/cd/mp3
- 8.5% childcare/items for children
The last item makes me think the survey included in the “secret” category purchases not explicitly mentioned, which would inflate these numbers. The survey was conducted by a company that makes money from helping people pay down credit card debt so I suppose the more people overspend, the more their business is necessary. But forgetting to mention a purchase is different than keeping something secret. You took the kid to JC Penney for new underwear? Not exactly scintillating dinner conversation.
Most financial cheaters kept their spending on the down low to avoid problems at home, the survey found. Ya think?! Oh honey, I forgot to tell you I owe $6,000. Guess we won’t be going on vacation, after all.
- 46% are currently paying off the debt and feel s/he doesn’t need to know
- 43% want to avoid an argument
- 27% will never tell their spouse about their spending
- 19.9% are concerned it would end the relationship
- 11% plan to tell their spouse, but are not ready yet
So the question is not whether you have cheated financially on your partner, but what purchase were you hiding? Or perhaps you have a story to tell about discovering a secret purchase?
One of the biggest fights I ever had with a significant other was when I discovered he had purchased a TiVo in secret. The purchase price was not the issue, however. I was strongly against a TiVo as I was convinced I would watch too much television if we had one. He was strongly for the TiVo as it would allow him to easily record shows he liked. A great sale came up and he couldn’t resist. I found the thing in the closet about a week later and blew up – it felt like he had lied to me. Looking back, we both could have compromised and avoided the whole argument. Sigh. Live, and learn.
jekert gwapo/Flickr
This is a post by BargainBabe.com writer Yazmin Cruz.
I have a confession to make. I am addicted to coffee – the pricey frapps and ice blended drinks. But that’s not my only problem. In order to keep up with my caffeine addiction I’ve been charging the drinks on my credit card. Not smart at all, especially when I carry a balance.
I didn’t realize how bad it had gotten until I was reviewing my e-bill and noticed almost half the charges made were at coffee shops. My addiction began about six months ago when I took on more responsibility at work and couldn’t get out of the newsroom until 10 or 11 p.m.
Waking up extra early didn’t help either. By 3 p.m. I needed a pick me up and walked to a local coffee shop for my fix. If I didn’t have cash on me I would simply charge my $4 drinks. In no time my habit added up to $20 a week. Now I pay for my indulgence plus interest.
I shared my dilemma on the Bargain Babe Facebook page and many readers offered solutions that I am implementing. Here’s my plan. First, I’m going cold turkey. I had my last ice blended drink this weekend. I am not frequenting any coffee shops for a while and most importantly I am working hard to pay off my credit card debt. Note to self, don’t use plastic to pay for food or drink!
I am also fighting my expensive coffee addiction one tea bag at a time. Compared to coffee, tea is less expensive and doesn’t add extra calories (unless you add cream). I am using my coffee maker at home more often, as reader Janna suggested:
“I make my own cappuccinos now. I have a Senseo, which I *love* ($.25 per cup). I warm up some milk in the micro, then foam it up with an Aerolatte; simply awesome. For the counter space saved over a home espresso maker and the cost you can’t beat it.”
Having worked at a juice bar, I have enough experience to tackle making coffee at home. I also have an Aerolatte so I just need to commit to doing it myself.
Related posts:
What tempted me to use my credit card this month
