Cheapskate Guide: Tips for Frugal Living- Part 2

I can’t get enough of these tips for a frugal lifestyle.  With the economy the way it is now– being thrifty is more important than ever.  You don’t need to plunge into the icy waters of the frugal lifestyle all at once.  Apply a few of these tips a little at a time and before you know it you’ll be a hardcore “cheapskate”!

 

  • Stop using credit cards. Credit cards are not evil. I realize that they can be used to good purpose. If that’s how you use them, then that’s good, skip this tip. For others, credit cards make buying too easy, and end up making them buy too much.  If you don’t pay your bill in full each month, they will cost you a lot in interest. The average American with at least 1 credit card has more than $9,500 in credit card debt. Don’t be that person.

  • Cancel subscriptions.  Do you really need magazine subscriptions? With all the news online, do you really need a newspaper subscription? If you can get DVDs for free or cheap, do you really need Netflix? (Confession time: I do have magazine subscriptions-but I don’t have Netflix.)
  • Make your own. I won’t go into all the possibilities here, but many times we buy things when we could make them ourselves for much cheaper if we get a little creative.
  • Do it yourself. Instead of hiring someone to do something, try doing it yourself. It’s also educational, if you don’t know how to do it — again, do an online search, read up on it, and give it a go. Frugality freaks are DIYers.
  • Stop paying interest. I mentioned the interest of credit cards, and auto loans, and mortgages. I consider them a waste of money. Consider any other accounts or loans where you pay interest, and see if you can eventually eliminate as much of these as possible.
  • Reduce convenience foods. Frozen foods, microwaveable stuff, junk food … anything that’s packaged and prepared for our convenience is not only more expensive than something you cook yourself but likely less healthy.

  • Travel frugally. Airfare is expensive so look to buy your ticket in advance. Maybe consider train travel. Shop around for car rental rates, as they can vary greatly (or use public transportation). Look for cheaper accommodations, or stay with a friend or relative.
  • Cut your own hair. This one isn’t for everybody and definitely not for me as I am a woman with long hair. However, if you are a guy with short hair or no hair– go for it!
  • Maintain stuff. This is a no-brainer:  if you take care of what you have, it will last. You’ll then spend less on buying new stuff. When you buy something worth maintaining, take a few minutes to read the maintenance manual, and create a maintenance checklist that you can attach to the item. For important things like your car’s oil changes or tune-ups, put them in your calendar.
  • Save energy. There are little things we can do to lower our power bill.
  • Save gas. With the rising price of gas (and no end in sight), fuel has become a major monthly expense for many people.

  • Only buy bargain clothing (when you need clothes). OK, instead of buying new, look for thrift shops with good clothes. Or buy new, but only buy the stuff that’s 50% off and you’ll save a ton.
  • Telecommute. Telecommuting may not give you your dream job, but it’s a step in the right direction. In addition to allowing you to work in your pajamas (and who doesn’t have that dream?), telecommuting saves money on gas, on eating out (if you eat lunch at a restaurant), and on buying expensive work clothes.

  • Plan ahead. If you make it a habit to think ahead to things that are coming up in your life, you can save a lot of money. For example, if you think about where you’re going to get your meals when you go out to do errands, you can pack a lunch or dinner instead of eating out. If you pack a big container of iced water, you don’t need to buy expensive bottled water. If you know that a birthday is coming up, you can buy a gift on sale instead of spending more at the last-minute.
  • Cook ahead. If you have one free day a week (or even a month), cook food in big batches and freeze in dinner-sized portions. I don’t do this all the time, but I have done it and it saves money as well as time. You have to plan it out a bit, coming up with a menu and shopping, cooking enough meals for a week or a month. But once you’re done, your meals each night (and for lunch if you like) are quick and easy. This saves you from eating out or eating convenience food that is expensive.
  • Wash clothes less. Some people wear clothes and then wash them, but I’ve gotten into the habit of wearing my clothes more than once if they’re not really dirty. This saves on washing.
  • Sun-dry clothes. When my parents were young, everyone used a clothesline to dry clothes. If you don’t wash a ton of clothes it’s not hard to take a few minutes to hang them up. You’ll save a lot in electricity and your clothes last longer.
  • Eat less meat. I’m not saying you have to become a vegetarian but once in a while eat meatless dishes. Pasta, vegetarian chili, vegetarian Indian or Thai dishes, falafel with hummus and pitas and tomatoes and lettuce … there are plenty of tasty dishes without meat. And as meat is expensive (well, the fresh kind is …) and you’ll save money on meatless dishes.

  • Save on groceries. Coupon clipping anyone?
  • Frugal Christmas. Christmas is expensive.  People go on crazy shopping gorges.  While this makes the retailers happy, it doesn’t make our bank accounts happy. Break out of the cycle.

 

Cheapskate Guide: Tips for Frugal Living-Part 1

I am typically frugal (though not always), though on occasion I take it too far: I have T-shirts with holes in them and I ran in my previous pair of running shoes until the soles were smooth.

Lately, I have learned to be frugal in ways that I would recommend to others. I don’t feel you should have holes in your t-shirts, and you should definitely replace your running shoes more often than I used to, but there are ways to cut back on spending and live a frugal lifestyle.

Why live frugally? Mostly because it allows you to spend less than you earn and use the difference to pay off debt, save or invest. Or all three. Second, because the less you spend, the less you need to earn. And that means you can choose to work less, or work more but retire early.


If you’d like some tips on frugal living, here are just a few. I should note that I do most, but not all, of these tips.

  1. Go with one car. Besides your house, your car is probably your most expensive item. If you can do with one, you should.
  2. Go with a smaller house. Just because you can afford a larger house, doesn’t mean you should live in one. Live in as small a house as you can and still be comfortable.  You can save thousands a year with a smaller home. Many times, if you get rid of a lot of clutter, you don’t need a large house.
  3. Go with a smaller car. Again, you can save thousands by going with a smaller car. A car instead of an SUV is a big savings. Be comfortable, but don’t overdo it. You’ll save a lot on gas too.
  4. Rent rather than own. This will probably spark a huge debate.  Basically, don’t assume that buying is the better investment. If you calculate the interest you pay on a mortgage, the cost of insurance and maintenance, buying is often much more costly than renting … and if you rent, save money, and then invest the difference, you can actually end up well ahead in the long run. Now, it’s not a given, so do a comparison, factoring in all expenses.
  5. Look for used first. If you need something — I mean really need it, not just want it — see if someone you know has one that they don’t need anymore. Send out an email to family or friends, or ask around. You might be surprised. If no one you know owns one, try freecycle.org or craigslist.org. Then look to buy used, at garage sales or thrift shops.
  6. Eat out less. One of the biggest expenses in our daily lives is eating out — the average person spends well over $2,000 a year on eating out. Restaurants are expensive, including fast-food (not to mention the health hazards). It’s much cheaper to cook your own food.  Lately I’ve even been prepping it in the morning, so it’s a breeze to cook dinner when I get home.
  7. Brown bag it to work. Instead of eating out, bring your lunch.
  8. Adopt a minimalist wardrobe. This tip won’t be for everybody. I generally wear jeans or casual pants, a T-shirt or Polo-type shirt, and sandals or shoes. Plain, solid colors are my favorite. Everything goes with everything else, and I don’t have too many clothes. This saves me the stress of picking out an outfit.
  9. Stop online impulse buys. Realize that online buying can be way too easy (you don’t even have to go to a store) and therefore, we make impulse buys. Buy online if you really need something and it’ll save you money, but beware the impulse buy.
  10. Don’t “shop”. Don’t go to the mall or other shopping area or department store to look around and shop. Go to a store if you know what you need and get out.
  11. Use a 30-day list. To curb impulse buys, create a 30-day list. When you want to buy something, other than a true necessity (medicine or food, for example), put it on this list, with the date you added it to the list. And make it a rule that you can’t buy anything for at least 30 days after you put it on the list. And stick to it.
  12. Cut out cable. It saves money every month (in my area, about $60, or more than $700 a year), and also forces you to do things like read and have conversations and go outside. (Confession time: I have not been able to cut out cable!)
  13. Use the library. Instead of buying books, check them out. The library often also has a great selection of DVDs (depending on your area), saving you even more.
  14. Find free entertainment.  The average person spends about $1,800 a year on entertainment (not including eating out). Now, I’m not saying you shouldn’t have fun … but there are cheaper ways to do it.
  15. Frugal exercise. Exercise is important, but it doesn’t have to cost a lot of money.  What about going on a walk? It’s free!
  16. Stay healthy.  Staying healthy can save you tons of money on doctor’s visits, hospital bills, and medicine over the long run. An ounce of prevention–eat healthy, and exercise. Simple.
  17. Commute by bike. Even if you own a car, commuting by bike will save you gas, and get you in shape at the same time.
  18. Carpool or ride the bus. Find a friend or neighbor who works near you, and arrange a carpool. Or take public transportation.
  19. Walk. Often we drive to the store, or to a school that’s less than a mile away. Leave a few minutes early, walk, burn some calories, and save gas.
  20. Sell your clutter. This is not so much saving money as making it, but the frugal, simplifying cheapskate, like myself, will want to declutter and make a few bucks doing it. Hold a garage sale or sell it on eBay.
  21. Frugal gifting. Gifts can cost a lot of money over the course of a year. Look for ways to do it cheaply. Make a gift, or give a consummable like cookies, for example.
  22. Quit smoking. I know. It’s hard. Not only will you save on cigarettes (which are expensive over the long run), but also associated costs (I used to buy a soda or beer to go with my cigarettes) … and of course the huge, long-term medical costs. In less than 2 years of not smoking you can save well over $3,000.

 

How to be thrifty & not spendy & look fabulous

I like mixing my thift store finds creatively with my usual wardrobe. Here are a few key tips to do that:

  • New shoes, old clothes: If you’re wearing a thrift store skirt that’s getting a bit threadbare, distract the eye with a pair of new shoes. Not right-out-of-the-box new, but new-ish.  Surprisingly, a great pair of shoes elevates the rest of the outfit to sparkly-new status.

  • Eye on trends:  No trend is ever truly new. The thrift store is a fantastic place to shop for of-the-moment pieces. And no one will be checking the tags to make sure you’re the first to wear it.
  • Color choices: A vintage-y green sheath will typically look more chic than a brand-new kelly green one. Muted and jewel tones exude classic chic, so err on the side of subdued colors when thrifting.

  • Groom thyself: If you’re going for a sleek, pulled-together look, pay extra attention to your hair, makeup, and overall grooming. If your body and face look fresh, you’ll be amazed at how your clothing falls in line.
  • Layer, layer, layer: Buying truly damaged items is never a good idea, but exceptions can sometimes be made. If you unearth a fabulous dress that fits perfectly, but doesn’t zip the last two inches, just throw a cardigan over it. If you can’t bear to pass up the cute blazer with a stained lapel, tack a big brooch over it. Layering is a fantastic way to add depth to an outfit, but it can also make every garment involved look more sophisticated.

Shop with reckless abandon when you know you can be thrifty instead of spendy!

Moving box pile

I’m just about done packing!

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Stay Classy San Diego: Dumpster Dive with Dignity

Picture this it’s 10:30 at night and I’m outside getting ready to toss the trash into the dumpster.  I hear a slight rustling… could it be a rat? (I hate rats!)  And then, an older gentleman popped up out of the dumpster holding some glass bottles.  Yes, this actually happened to me recently!  While this can be the negative side of dumpster diving there are a lot of every day people who cruise dumpsters looking for treasure.  A few days after my run-in with the guy popping out of the trash, I met a college student who had just arrived in San Diego– she was near the dumpster pulling a nice bookcase away.
Here are a few rules to keep it classy when you’re cruising dumpsters:
Look before you “leap”
Scope out your options before heading out on your first official dive — take a walk, bike ride or drive around your neighborhood. Note which stores and apartment complexes seem like good places to stop.  If you are feeling extra enthusiastic, plot out a map of the stores or neighborhoods you plan to visit.
Keep an open mind
Dumpster diving is different from a trip to the department store.  View your dives as treasure hunts for free stuff and everything you find will seem like a small victory.
The right equipment is essential
Bare minimum, pack a flashlight, rubber gloves and bags to hold your loot. A change of clothes is also a good idea (especially if you are heading somewhere after your dive).
Don’t bring an entourage
Find one or two trusted friends to dive with, and make an agreement beforehand to be discreet, quick and respectful to the places you visit.  No need to trash out the trash can!
Trust your instincts
I’m not a fan of diving for food, but if you choose to go that route, bring a cooler for perishables.
Foods that tend to be particularly safe include bread/bagels/baked goods, packaged products (chips, cookies), boxed juices, canned goods (avoid bulging or dented cans) and fresh fruits and vegetables.
When diving for furniture, avoid mattresses at all costs (the potential bed bugs–not worth it) and take care to inspect upholstered items like chairs and couches for stains or dampness. Consider getting upholstered items professionally cleaned before bringing them into your house.
Don’t dig too deep
Dumpster diving requires a certain mind shift.  Dumpsters can be gross. Decide in advance how far you are willing to go.
Also,  if accessing a particular dumpster requires jumping a fence or somehow “breaking and entering,” just don’t do it.
Personally, I’ve found a few cute things near the dumpster in my apartment complex– everything from a nice patio table to a nightstand.  Last week someone left 2 dressers in “like new” condition down there with a sign that said “free to a good home.” I so would have taken these if I wasn’t downsizing in preparation for a move.  I’ve also discovered the Freecycle community website.  I’m on their email list for the San Diego chapter and have noticed there are some great items out there people are recycling amongst themselves.  Again, I can’t fully participate in this until after I re-settle.
Remember the rules- dive with dignity and keep it classy!

Waterfall in the kitchen

This morning I woke up to a small flood in my kitchen. Soggy counter and mushy carpet. Not good times when I’m trying to pack to move!! (thank God I’m almost out of the yucky Nobel Court!

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Getting boxes packed to move!

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No thrift shopping for me this weekend. I’m packing for a move and taking stuff TO the thrift store.

Visions of Halloween

Sometimes a picture really is worth a thousand words.  October is my favorite month and for me Halloween marks the beginning of the fun holiday season.  For October, November and December we have some kind of celebration every month!!  I found some great images for decorating ideas for Halloween.  Tonite I put out my sparkly lighted pumpkin. It’s a rainy & cold night here in San Diego so perfect time to break out the lighted pumpkin!  Now… I just need to find somewhere that sells a lighted turkey for Thanksgiving– I’ve been looking for this lighted turkey for years.  (I’m pretty sure they don’t exist)

Happy Haunting!

Oh, look… beer in an icy pumpkin.

The family that trick-or-treats together…

You can’t go wrong with a really fabulous pumpkin– the more the merrier!

What to buy at thrift stores for travelling

What to Buy at a Thrift Store Before Heading off on travels:

  • Jeans, pants, shorts, and skirts. You’d be surprised how quickly even denim gets worn out when you wear the same pair of pants all the time. So don’t bring your favorite pair of pants or buy brand new ones unless you’re okay with having holes in them when you return home. And for women – in some countries you’ll fit in better, or be more comfortable (think Kenya in the summer), if you wear a long travel skirt. You can easily pick one up at a thrift store so you’ll be prepared when you land.
  • Sweaters, sweatshirts, and fleeces. If you’re going to Sweden  in the winter, you’ll want layers. You’ll also want to ditch those layers without a second thought when you head to Australia afterwards. So find a comfy sweater or fleece at a thrift store and throw it in your suitcase.  I live in California and travel to the midwest during the winter months so I always stop by the local thrift stores for a jacket and extra sweater or two.

  • Coats and jackets. When you can score a cute jacket for $5 or a warm coat for $15, it’s hard to say no.  Last winter I found a super cute sweater for $4 in my hometown in Iowa.
  • T-shirts.   Swing by your neighborhood thrift store and you’ll have your choice of t-shirts.
  • Camping gear. If you want cooking gear for your camping trip, but don’t want to take your $200 AllClad skillet, head to the thrift store. You’ll find tons of coffee mugs, pots, pans, silverware, and other camping-style cooking gear.   If you’re looking for a high-tech, lightweight tent, you might want to consider going to a sports store or scoping out Craigslist.

  • Jewelry.  Find some cool vintage costume jewelry – it’ll look cool,  and you won’t be mad if you lose it on the trip.
  • Winter accessories.   Odds are your local thrift stores are full of scarves, hats, gloves, and even earmuffs. Even in California I have found some amazing scarves in the thrift stores.
  • Trendy shoes you’ll only wear for short period of time.   Buy a lightly used pair of shoes before you leave.  I wear a Size 7 (common size) so I only randomly have good luck finding decent shoes in thrift stores– mostly I find Size 8’s.

Budget Christmas Shopping…in October!

It’s only October– and people around me are already talking about holiday travel plans and shopping for gifts.  I’m so not ready to start shopping for Christmas gifts and looking for airline tickets. After all, I just bought Halloween candy tonite. Anyway, here are a few random thoughts on preparing for holiday shopping early on & maybe even year-round.

 

Celebrating Christmas usually means spending a lot of money.  This can be a major financial drain on  families. Pick up some budget-friendly holiday shopping ideas to avoid big debt when January 1st rolls around.

Here are some useful tips to spend less this season.

Buy Gifts on Sale All Year Long

Spread out Christmas shopping all year. Ideally, start on December 26th when there are huge sales to clear stock.  Toys, bedding, books, wines and accessories are a few examples of what can be purchased  early and kept for later dates. A big advantage of buying gifts year round is beating the mad rush at the mall just before the big celebration.

Buy Directly From Manufacturers or Wholesalers

Many items can be purchased for up to half of the recommended retail prices.  Occasionally, even branded items can be bought this way. Watch out for  advertisements in the newspaper and drive around commercial or industrial areas  for direct to public sale signs. Do this all year.

Use Discount Vouchers

Discount vouchers that arrive in the mailbox are many times treated as junk mail.  However, some offers are really fantastic. Use these to enjoy big Christmas savings on things like wine, clothing and household items.

Use Credit Card Reward Points

Make the best of all the credit card rewards benefits offered, especially points. Go through the reward catalogue and decide how to best use the points to redeem free gifts. Reward points from loyalty cards can also be used in the same  way.

Take Advantage of Lay-Away During Sales

This is like buying on credit without the interest. Just pay a small deposit  for items selected during sales and wait until before the holidays to pick them up.  Shoppers can also spread their payments to reduce the pinch of having to pay a  big lump sum when collecting the items. Lay-Away is also great for  hiding big Christmas presents from kids.

Buy Online

Shoppers can browse,  compare prices and buy Christmas presents online. Online stores  typically sell products at lower prices too.  Plus, there is no need to jostle among the crowds, stand in line to pay or drive around looking for parking. The madness is 10  times worse with young kids in tow. However, buy online only from reputable  merchants and those with secure payment services.

Christmas doesn’t have to be extravagant.  Families should make a budget holiday shopping strategy every year. Spend less by shopping for gifts  all year round.  I can’t believe I’m talking about this in October!