I’m fortunate to still be connected to previous employers and do work for them when the owners are unable to complete the projects themselves. When I’m not busy with that (which is almost never. I work A LOT for them), I take writing jobs off Craigslist, work as a car shows greeter, and help as an ‘ambassador’ at large gatherings like ComicCon and sporting events with security companies. You can look for these kinds of jobs on Craigslist (be very, very careful on Craigslist) or by approaching employers who host mobile type events that require large amounts of temporary staff. If you are willing to invest the time, these temporary or part time jobs are very easy to find. I make anywhere from $100 to $150 a day with temporary jobs.

My husband is incredibly handy. When he’s not working his 8 to 5 job or going to school, he helps others with construction and plumbing projects. He does exceptional work and has never had to advertise his services. Word of mouth has been his greatest ally. Make sure to follow the laws of your state. California is very strict – no projects over $500 are permitted for unlicensed contractors.

I also heard about a website called 48days.net. On the left side of the website, there is a Post-It labeled “Take a Look at Dan’s 48 Low Cost Business Ideas”. He lists some great ideas for making extra money.

If you have any other ideas – SHARE! ; )

Our remaining balance is $1,500.

Oh that annoying extra $500. It’s the itch I can’t scratch. I could wait until September to be done with Toyota or… I could take every odd job under the sun and finish it now.

I’ve never been a patient person.

My husband and I have been taking random jobs this month and so far, we have $380 extra dollars. We are on an eight day challenge to earn the last $120.

We can do this.

Our share of the beach front vacation is $12 per night. It’s a deal that can’t be beat!

I drove past Taco Bell last night, my ‘go to’ fast food joint, and thought, “I can’t wait to make spicy enchiladas for dinner tonight!!”

A few minutes later as I sat at a red light, it hit me…

I wasn’t tempted to stop and was actually *gasp* excited to make my own meal.

What is happening to my brain!?!?

Some nice perks of the no dining out policy:

Clothes fit VERY nicely and…
I’m UNDER budget!!

YES!!

Fortunately, I’m a tidy person and keep nothing but essentials in my car. They got away with $20 in emergency cash, the change drawer in its entirety, and my sense of security.

As my husband was helping me clean up the mess – because it wasn’t enough to steal from me, so they had to destroy my car – at 5:30 in the morning, he smiled and said, “At least your music taste is so bad, thieves don’t even want to steal it!” while holding up my CD case.

“Thanks” I said.

“Not one CD is missing” He said while flipping through the case.

“I noticed” I replied.

“Look! They clearly went through it and decided it sucked.”

“OK hon. I get it!” I yelled.

“Can’t imagine why no one would want Mama Mia, Michael Jackson, or Katherine McPhee. What kind of world are we living in??” he laughed sarcastically.

I’m not sure which is worse. Discovering you have been robbed or having a lowlife thief validate your husband’s assertion that you have awful taste in music.

We’re pulling some cash from our emergency fund and installing floodlights above our cars because…

You never know. He might come back for my totally awesome cd collection.

I went up to my parents’ house on Sunday to visit with my family. It was noisy, crowded, crazy, and…

Utterly relaxing.

We had smoked pork, bbq corn, scalloped potatoes, and grandma’s delicious green salad. Mom topped it off with homemade ice cream, berry cobbler, and oven fresh cookies.

At the end of the night, we donned huge sombreros and danced in the kitchen to the ‘Mexican Hat Dance’.

I couldn’t stop laughing.

When you focus all your energy on finances, you miss some truly valuable moments.

Stop. Breathe. Then dance in your kitchen while blaring the Mexican Hat Dance. Suddenly a salary freeze isn’t such a big deal.

We, surprisingly, have a budget surplus this year since we haven’t had a raise in two years, it seemed like a good time to broach the subject.

Or not…

The increase was rejected.

I’m glad – ecstatic – to have a job but I can’t deny that I’m bummed.

Stupid economy.

Here’s a helpful note:

Don’t make fun of your husband’s test results until you get yours. The joy I got from poking fun at his cholesterol count lasted precisely 26 hours – until my results arrived in the mail…

My total cholesterol count was 2 points higher.

The look of sheer joy that crossed his face when he saw my number can’t be adequately expressed.

The good news? We are both in good health and I can finally stop stressing about my imaginary health problems.

This was the first week we had to expose our ‘no dining out’ policy to friends. Hmph.

My husband and I joined my brother and his wife while they searched for a new home. After a few hours of driving neighborhoods and meeting with realtors, we were starved. My brother drove down a fast food laden street and said, ‘Where do you guys want to go to lunch?’

My husband gave me ‘the’ look. The look that said, ‘You came up with the no dining out policy, therefore, you should explain it.’

I flubbed out something Yoda-ish, ‘We can’t…uh… 60 days of no dining out… money…tight…save, trying to …err…uh…home, eat at.’

‘OK Captain Crazy’ he replied, paused, then added, ‘We need to save money too since we’re buying the house. Good idea – well, what I could understand of it.’

We’re getting there. A little bit at a time. Sure folks think I’m nuts but since I’m so close to the debt free finish line…

I could care less.

Yup. Not one, but two folks were laid off today.

Kinda makes me wish I had put that four thousand dollars to my savings account instead of to Toyota Financing.

Eek!

I think loan companies are as trustworthy as criminals.

But, I will fully admit when I am pleasantly surprised by lenders (it doesn’t happen often).

I sent the most recent truck payment and was a bit angry when I received my payment coupon a few days later. The coupon noted my next payment due date – late summer of 2011. I distinctly noted ‘PLEASE APPLY THE EXTRA PAYMENT AMOUNT TOWARD PRINCIPAL. DO NOT ADVANCE PAYMENT’ on the payment coupon I mailed with my check.

I e-mailed Toyota financing and asked them to explain how payments were applied and, if I my payment was improperly credited, to remedy the situation immediately.

Within 24 hours of my initial e-mail, Toyota responded, “Thank you for contacting Toyota Financial Services. Interest is calculated on your loan using the simple interest method. This means that any funds received in excess of the amount scheduled are automatically applied to the principal loan balance.

Any payment in excess of the standard monthly payment, given that there are no late or miscellaneous charges on your account, is applied to the principal balance of your loan. As a result of our billing method, the subsequent billing statement will show that your account is paid ahead. The net result with your type of loan is that extra funds are applied to principal.

For verification, we will mail an account history to the address listed on your account. This will provide a list of all payments received as well as a breakdown of principal and interest for each payment.”

The day after I received the Toyota e-mail, I received the financial breakdown in my mailbox.

I won’t ever get another car loan but I was impressed at the level of response from an auto lender and can’t help but wish…

My home loan could be financed through Toyota.

Do you think they would finance me if I said it wasn’t a house but a several hundred thousand dollar Toyota Sequoia?

Oh, and about the whole principle vs. principal debate brought up in the earlier post, it made me feel better when Toyota wrote ‘principal’ in their response and Wells Fargo also addresses it as ‘principal’. Frankly, I don’t know which is which. ; )

Here is a warning – you may not like my answer.

Let me explain…

I didn’t have a lot of debt when my husband and I married. He brought in some pretty large chunks of debt and collections that were ‘inherited’ from someone else. Since I had never dealt with lines of credit or collections, I sought the advice of my parents for a problem solving strategy.

They suggested I pay off the debt as quickly as possible, negotiate with the collections company, and move on with my life.

Being the mature, reasonable adult I was, I promptly ignored them. Then, wisely, since I was already drowning in debt, frustrated, and hurt, I bought a brand spanking new car and took several trips to Hawaii.

When you have lots of debt, you get to a point where you simply give up. To the reader who e-mailed me, I’ve been exactly where you are right now and I’m getting to the other side – alive and breathing.

When I finally came to my senses in late 2008 and started to make efforts to fix the problem, my parents already knew I was a financial idiot. I think they were just waiting for me to raise my hand and ask for help. They never got angry and never made me feel bad about myself. I’m very fortunate to have a great set of parents. In short, unless you are REALLY REALLY good, you parents and family probably already know.

As for the exact words I used? You read them with my parents. Yup, I ‘came out’ on this blog.

If you need help with ideas on how to fix more serious issues in finances, ask for it. Then, save the grief, listen, and take action.

Here’s the part you won’t like. Only ask for advice and support, don’t ask for money.

Dave Ramsey is right. When money exchanges hands in families, Thanksgiving dinner will never taste the same. I can tell you that from personal experience.

You made the mess. Clean it up.

I went by the closest Target store to grab something to make for dinner only to discover the grocery section was closed for remodeling.

Sure I could have gone by a grocery store but it was nearing 8:30pm and I figured I could scrounge something up at home.

A 15 minute search of my freezer revealed…

Not a darn thing.

My dinner last night? Popcorn. Lunch today? A can of soup.

Let’s hope the next 59 days end better.

Happy Friday!

At the end of each month, I analyze our spending and look for ways we are becoming ‘financially flabby’. I discovered this extra food spending was contributing to some of our annoying financial flat lining (fatty restaurant food doesn’t exactly add to the aesthetic qualities of our physical bodies either).

I know, I know, we had a good month this month – but it could have been better if I had worked a little harder.

So, I proposed a new rule to my husband. No dinners/drinks/food out for the next 60 days. Fortunately for me, he’s game.

This could get interesting.

Each year, the city re-evaluates all reductions and can raise the tax bill if property values have risen. I’ve been nervous over the last two months as the city re-evaluated our home. Our home is not worth any more than it was last year – perhaps it’s worth even less – but when it comes to government and needing money, they usually err in their favor (trust me. I can say this. I’m a government employee and…that’s what we do).

I opened the mail over the weekend and found an official letter from my city. It said…

they have decided my home value is stagnant and have approved another year at the reduced tax rate!

Yes!!!

Problem? I was so anxious to pay down the truck, I didn’t leave any money in our account. Yes, we received two extra paychecks in July but… I but somehow I forgot to budget silly, unimportant things like food and gasoline from those checks.

I was starting to panic until I opened the mail to find a check from the State of California. It has been so long since I submitted my claim to the California unclaimed property division that I completely forgot about it.

I ran to the bank, cashed the check, set aside money for groceries and gasoline, and gave $60 to my husband for Sunday’s event.

I’m not sure how he pulled it off, but he kept his food and bbq supply bill under $60 – which leads me to believe that given a goal, my husband can do pretty much anything.

How was your fourth? Did you stay safe? Did you stay away from ATM machines and credit cards?

I can’t wait to celebrate my ‘other’ independence day next year!!

I did a handstand before posting.

My foot is still sidelined from the tendon injury so doing a series of leprechaun kicks was out of the question…

that’s not to say I didn’t try.

I’ve been working nights and, I still can’t figure out how but, my husband managed to pull in some extra work over the weekend even though he goes to school for 5 hours 4 nights a week. Is he an awesome man or what?!?

We pulled in $1,000 in second job money this month. PLUS, for those who are paid bi-weekly like me and my husband, you receive three checks in July instead of two. We had some maintenance and repair bills to pay but we got to add quite a bit of it to our regular $1,000 a month payment.

How much is the check I get to mail to Toyota this month?

FOUR THOUSAND DOLLARS!

This is the biggest payment I have ever made to Toyota. I’m pretty sure they will hate me but really…

isn’t that the goal?!?

Here are the new numbers:

• Original Debt: $38,495.86
• Paid: $27,731.70
• Remaining: $10,764.16
•
Broken Down
• Auto Loan 1: $0
• Credit Card: $0 Woo Hoo!
• Student Loan: $9,193.62
• Auto Loan 2: $1,570.54

What an amazing month for us.

My husband hasn’t paid a bill since 2004.

Don’t get me wrong. Up until recently, my husband was involved in the decision making. I was simply responsible for organizing how bills were paid. We have always worked our finances together – especially after deciding to pay off debt.

In January, my husband started taking more units in school while still working a full time job with side jobs. In June, he signed up for 5 hour night classes and when he isn’t studying, he’s working. Understandably, actively participating in finances isn’t possible anymore.

I didn’t think it would bother me. I’m a nerd. I live for Excel spreadsheets and I balance my checkbook almost hourly for fun. Take over everything? Sounds fantastic!

It’s been 7 months of sole money management and I’m beginning to get a clear understanding of why this is bad.

He doesn’t have a clue about our money and I’m constantly stressed about making the right decisions. I feel like I’m making mistakes and hurting us financially. It’s not that I can’t handle the finances on my own; I hate the sole responsibility. I’d be closer to a breaking point but I’m coasting through knowing he’ll be out of school by next week to offer a reprieve.

I have a countdown marked on my calendar.

I don’t know how people do it alone. Financial stress seems to permeate every part of your life and the feeling that you alone are responsible for the financial success of two people is, at the very least, hugely uncomfortable. We made some great progress on our finances this month (update tomorrow) but the pessimist in me only focuses on what I could have done better.

I miss my financial partner.

Are you a sole money manager? Or do you share the responsibility? What works best for you?

‘What is your total net worth?’

I calculated my mortgage debt, subtracted my tiny home value, added my student loan debt and my auto loan debt, and then subtracted my liquid cash. The total? An astonishingly huge negative number representing my net worth.

Not wanting to stop at the large, large, large negative number, I added the amount in our retirement accounts (though technically locked up for the next 27 years under mounds of government and ESOP paperwork).

I landed at a number closer to zero but still negative none the less.

I received the following question from my insurer:

PLEASE EXPLAIN WHY YOUR TOTAL NET WORTH IS A NEGATIVE NUMBER.

Yes, they wrote it in all caps. As if I needed a reminder that I’ve made some pretty large financial snafus. Little do they know that if my number landed anywhere close to zero, they’d find me dancing excitedly like a lunatic on top of the bus I take every day.

I sent a long explanatory e-mail to the agent and figured she’d understand. Instead, I received a disdainful, ‘Fine. I’ll alert your Case Manager.’

Certainly I can’t be the only one with an insanely underwater mortgage that throws off my net worth right? Let’s do a poll. Is your net worth a positive or negative number?

And if you see 14 comments after I post this that say ‘positive’ and you’re about to say ‘positive’ as well, say ‘negative’ just to make me feel better.

Have mercy.

I’m a nerd, therefore, I read the 7 million pages of information they send each time someone takes over.

One piece of information Chase customers couldn’t have possibly missed over the last month, even if they aren’t nerds and throw away 90% of the information, is the new set of overdraft rules. Unless customers are protected by the new ‘Chase Debit Card Overdraft Coverage’, everyday debit card purchases will not be approved if you don’t have sufficient available funds.

If you elect to add the Chase Debit Card Overdraft Coverage, you will be charged the standard $34 overdraft fee per transaction.

I haven’t had an overdraft charge in a very long time but I’m excited that I have the option to be declined rather than accidentally pay $35 for a Snickers bar. I decided to decline the Overdraft Coverage.

Trust me, I can handle the embarrassment of someone telling me I’m broke.

What do you think? Are you a “Decline me. I don’t care” sort of person or do you think there is a reason to keep the overdraft protection?

When my debt is reduced to only my mortgage payment, what will I do?!?

If you had asked me, when I first started this journey, what I would do when my debts were paid, I would have said, “I want to remodel my 50 year old kitchen” or “I want to restucco my home!”

The fantasy has changed.

My fantasy now consists of a paid off mortgage and growing mutual funds.

I can’t tell you how strange it was to sit down to deliberate over the next step. Obviously we are going to save a larger emergency fund and aggressively pay our second mortgage but my dreams of ‘big shiny things’ are fewer and farther between. OK, I’ll just spit it out…

I’m an addict.

I’m addicted to the good feeling I get when I see zero balances.

Have you thought about your life after debt? What are your plans (other than investments and mortgage payoffs)?

Well, regardless of your stance on whether it is a moral decision or a financial one, if you plan to default on your mortgage despite the fact that you can pay it…

You better hurry up.

Fannie Mae is taking steps to thwart strategic defaulting.

Walk away? Sure. Want to buy a house in the next SEVEN years? No longer an option.

I excited that Fannie Mae is as disgusted with strategic defaulting as I am. I love the quote, “Walking away from a mortgage is bad for borrowers and bad for communities and our approach is meant to deter the disturbing trend toward strategic defaulting”

I doubt this action from Fannie Mae alone will work but I’m hoping others will join to curb defaults of homeowners who want out of a bad decision but don’t want to pay the price.

Yay Fannie Mae!

See the article here:

http://www.signonsandiego.com/news/2010/jun/23/fannie-mae-to-penalize-homeowners-who-walk-away/

This weekend, I was able to spend time with my grandmother and she asked if I had any big plans for the year. I told her about the Italy trip but mentioned I was considering not going. She said, ‘You HAVE to go’ with more force than I could have expected from an 89 year old woman.

After dinner we sat to talk and she shared a story I had never heard before. My grandmother had always planned to travel with my grandfather. In their youth, work obligations and five children made that dream impossible. She figured they would go when the children were grown and out of the house. My grandfather started to show signs of Alzheimer’s in his forties and by his retirement years the disease had taken over and her dreams of traveling with the man she loved were gone.

‘Don’t ever assume you can go later. Listen to the wisdom of an old lady. Go now.’ She said emphatically.

She gave me the rare chance to look at things through the eyes of my future. When I’m 89, will I look back and say, ‘I wish I hadn’t gone to Italy and had paid off debt 3 months faster instead!’?

I think not.

So, I’m moving forward with my decision to go. Irresponsible? Yes. Will I waffle over the decision for 3 more months? Yup. But…

Will I regret it? No.

Seriously, this giveaway was so much fun! I put all the names in a hat and had my brother draw one. He started to ask questions then stopped.

It’s sad when your brother gets used to your particular level of weirdness and stops asking questions.

Congratulations to Christy!

A hearty thanks again to the folks at Blog2Print.com for giving away a free book.

If you are like me and blog on a regular basis, it’s a bit frustrating not to have a hard copy of your writing. I’ve tried printing pages, or keeping a duplicate copy in Microsoft Word, but nothing looks quite right.

One of my friends recently purchased a blog book from Blog2Print.com. Blog2Print publishes your blog to a soft or hardcover book. 20 page softcover books are only $14.95.

I was so impressed with (and jealous of) her book, I contacted the crew at Blog2Print.com. They were extremely kind, helpful, and most importantly… agreed to give away a 20 page hardcover (or softcover) book to one of my readers.

If you are interested, and you should be, leave a comment on this post. Make sure you include your e-mail address in the ‘Mail’ section so I can contact you back if you are the lucky winner. I will be taking all the entries, throwing them into a hat, and picking one on Tuesday night, June 22nd. Feel free to leave a comment to enter the drawing up until then (please, only one entry per person).

Good Luck!

Each year, when the movies for the series are announced, my husband and I laugh and nudge each other because inevitably, we have already seen all the movies.

This year was different. It was the first time we had only seen one out of the six – and even then, we watched that one because my brother had lent it to us. We don’t go out much anymore since we are saving each penny and we cut out watching movies in the theater completely.

We didn’t realize how different our lives were until looking at this list. Suddenly, we aren’t hip, we aren’t cool, and we have no idea what is going on in pop culture but…

We are closer to being debt free than ever.

And I’m willing to trade pop culture knowledge for that any day.

I was terrified to get the exam for several reasons:

1. Thanks to my foot injury, I haven’t been running in weeks and I swear my muscle tone is decomposing by the hour.
2. In an effort to avoid high readings in cholesterol, I was to avoid Mexican food, sushi, and beer. Perhaps this would have been easier had I not lived near the ocean just north of the Mexican border. No Mexican food or sushi? That’s like asking a San Diegan not to eat.
3. They advised me to get a good night’s rest the night before the exam. Hmm. This may have been easier had there not been a 5.7 earthquake at 9:30pm last night followed by aftershocks until 2:00am.
4. I have a completely irrational fear of needles.

Upon arrival, I started shaking and sweating. The examiner asked me twice to please stop shaking, otherwise he wouldn’t be able to get the needle inserted in one shot.

I thought, ‘Yeah, because the shaking is voluntary.’

Halfway through the draw, he looked at me and asked, “Are you OK? You look extremely pale…well… more pale than you already were.”

Gee, you’re full of compliments today aren’t ya?

He finished the draw and by then, the room was spinning…and I passed out.

Yup folks, that’s me. 30 years old and I still act like a 5 year old around needles.

I’m glad it’s over.

We haven’t used it…

But that didn’t stop the continuing Bank of America mess.

I received a letter in the mail today and according to ‘Bank of America Global Fraud Prevention’, my account information was leaked – by Bank of America.

Rather than say, “Oops, we goofed…again. Sorry”, they said my account “may have been compromised at an undisclosed third-party location”.

They spent the next two pages telling me about the steps that were taken to ‘protect my security’. Meanwhile, all I could think was, “If you people didn’t lose my information in the first place… I’d feel A LOT more secure.”

So, I’m slicing the parachute. Goodbye emergency B of A credit card. I’m sure I’ll figure out a way to survive without you.

Annoyed, I muttered, ‘Stupid cheap oil change reminder stickers. These things can’t even stay on the glass for longer than…’

OK, so before I finish this sentence, remember, I don’t drive very much since I started using public transit as a way to save money.

The sticker was…

*gulp*

7 months old.

I was so busy paying attention to the mileage, I missed that my last oil change was in early November and perhaps I should change it.

I’m annoyed that I’ve slacked on my car maintenance (other than the maintenance scheduled for later this month) but pleased at the fact that I average 4,500 miles a year! Before I started using public transit, my mileage exceeded 25,000 – 30,000 each year!

It’s not the most pleasant or convenient way to travel, but the savings is amazing.

I understand that public transit simply won’t work in some areas and a lot of people have to drive. How many miles do you put on a year?

My promotion: I haven’t heard a peep from management and they haven’t hired anyone.

My husband’s raise: His office communicates as well as mine. No word. I was hoping we’d hear something this week but… I guess not.

The debt surprise: I’ve been working nights and weekends doing side work. I recently deposited the paychecks and, I don’t want to ruin the surprise but, the July debt update should be a good one.

If there is anything I missed, let me know!

He is not being transferred.

He was called in for a meeting with his boss and was asked to stay in his current position. If he chooses to stay, he will receive a permanent pay increase – a much smaller increase than the transfer position – and possibly a promotion.

He will not be paid prevailing wage but the increase is permanent rather than temporary and the promotion is a big one.

For our future, staying put in his current position is a better choice, but for now, I’m a bit bummed at not hitting the jackpot of debt reduction.

We’ll find out the specifics of his pay increase this week. Fingers crossed!

I know, I know, leave it to me to figure out how to pay my bills wrong.

I haven’t been requesting my lender for Auto Loan 2 to place all payments toward principle and not advance the payment! I’m left paying a little more interest than I should be paying.

Even in my non-debt reduction days, I always paid a little more on my car payments. I’d let it get a month or two ahead and consider it my rainy day fund. If I couldn’t afford my car payment one month, who cared? I wouldn’t get penalized for not paying. But now that I’m a YEAR ahead in payments, perhaps it’s time to request all payments from here on out go toward the principle.

If you are pushing forward on those car payments (or mortgage payments, or student loan payments), remember to request a principle reduction.

And thanks to my readers for making the catch!!

Why am I so excited? We hit some hurdles this pay period and completely used our grocery funds and had to dip into our emergency fund.

First we had the unexpected car repairs and, just a few days ago, my husband needed to purchase books for summer school. We didn’t expect his book fees to exceed $250… but they did!

I’m excited to have grocery money again! Woo Hoo!

My Debt:
Original Debt: $38,495.86
Paid: $23, 640.18
Remaining: $14,855.68

Broken Down:
Auto Loan 1: $0
Credit Card: $0 Woo Hoo!
Student Loan: $9,285.14
Auto Loan 2: $5,570.54

Perhaps my favorite part was receiving a letter in the mail from Auto Loan 2 reminding me that my next car payment isn’t due until April 11, 2011.

It’s a good feeling.

This new prevailing rate is temporary, 12 to 18 months at the most, but it will help us to become debt free and save 3-6 months worth of expenses.

Of course, there is a hitch. He will commute more than an hour each way to work while still maintaining a full time summer school schedule. We are going to have to double his gas/car maintenance budget and add to the food budget so he can grab something to eat between work and school if necessary.

Even with the added expenses, our debt reduction payment should jump between $500 and $1,000 per month.

Whew! We’re finally starting a downhill slide!

Far more people showed up than expected and throughout the day, about 35 people passed through our front door. I guess when you slow roast pork drenched in seasoning and sauces for six hours, you attract the neighbors as guests.

It was one of those days where I didn’t think about how much I hate my crummy couches, the little patch of peeling stucco, or the square of brown lawn I can’t afford to water in my backyard. All I could think was how blessed I am to have such a wonderful group of friends in my life. All those bodies with smiling faces covered the crummy couch, the friends sitting in chairs on the patio playing Phase 10 hid the patch of peeling stucco, and the square of brown lawn was the perfect place to play a competitive game of horseshoes.

When Dave Ramsey is asked how he is, he always responds, ‘Better than I deserve.’

I know the feeling.

How was your weekend? Did you spend or save?

First things first, we are still credit card debt free. May was an awesome month and I had a renewed zest for stockpiling money away in our savings account. That’s not to say we didn’t purchase a bigger ticket item, because we did. No, it’s not that LCD TV

Instead of purely talking about our finances, I thought I would briefly talk about two different topics on my mind this month. I suppose you could call them “mini-blogs.”

Big Ticket Item Purchase
Near the beginning of our debt reduction journey, we decided to stop using the freezer that came with our home when we purchased it. We were using way too much electricity and I had a hunch the very old freezer was drawing way too much power. As soon as it was unplugged, our electricity bill went down.

We’ve been without a freezer ever since. Sure, we had the one with our fridge but you can’t fit too much in it. I have been patiently watching the sales and finally…there was a 7.0 cu ft freezer for sale for $170. My price point was met and we now have a freezer. Yay!

I’m anxiously waiting to stock it with fruits and vegetables this summer. But something I didn’t necessarily realize is how much money we can save on dining. Our schedules have been hectic lately and we find ourselves grabbing fast food at least once a week. I can stock the freezer with some frozen foods that we can pull out and pop in the oven or microwave in a pinch. So far it has been working out great. We don’t want to eat those foods too often for health reasons (sodium content being a biggie), but fast food often has a lot of salt as well.

It’s never easy for me to spend that much money on a single item, but I’m very happy with the purchase. I see it paying for itself in less than 6 months.

Coupons
I’ve never been that big into coupons. The coupons I would see in the papers were often for expensive brand name items that we don’t buy. I live in an area where the local grocery stores do not offer double coupons. It was usually cheaper to go with the generic brands.

I started reading Money Saving Mom and started watching how others have made the coupons work for them. I gave it a shot and was surprised at how many coupons you can get online (including those you can find on Facebook (I’ve found some great ones from there). During the month of May, I’ve probably saved at least $50.

It’s addictive, though. The first time I did it I was armed with a stack of coupons. I could feel the adrenaline rush through me as the grocery bill got lower and lower as the cashier processed the coupons. I found myself wanting to find more and more coupons and go back out to the store.

And that is where it can be dangerous. It’s great to save a lot of money, but you don’t want to spend too much and have food go bad or have a cabinet full of food you probably won’t eat. I don’t even want to start thinking back to how many products I have purchased because they were a great deal. Many of them ended up at the last garage sale I had and someone else got an even better deal then I did! LOL.

I am still very much a coupon newbie and I am figuring out the happy balance with my couponing. I need to do it responsibly and figure out how to take less time doing it. I was spending way too much time figuring out what coupons I should print. Anyone have any couponing tips to share?

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That is all for this month. I have had a very exhausting week and I have had very little rest. I am ready for some serious rest and relaxation this weekend and my bed is calling my name right now.

Have a great weekend everyone!

I went into my local Verizon store and pulled out my phone to show the salesman the level of phone I wanted – aka, a cheap one. He looked at me, looked at my phone, and then replied, ‘They don’t make phones like that anymore. Exactly how OLD is that thing?’

He was incredibly helpful and walked me over to the section of phones that don’t require data, internet, or gps plans. He didn’t pressure me to purchase accessories and helped me choose a phone that worked for my um… ‘discriminating’ taste. Some like to call it cheap, but I think ‘discriminating taste’ sounds more refined.

My phone was ‘free’ after a mail-in rebate.

Today, I received my rebate – a Verizon Visa card. Sure I can use the card anywhere Visa is accepted but what happened to the good ol’ days of checks I could cash? Now I have to figure out where in my budget I can use the card and try my best to spend it all at once so I don’t have to keep a record of how much is left on the card. If I only use part, I have to record the amount remaining and charge the exact amount on the next transaction, otherwise the card will be declined.

They make it nearly impossible to complete the rebate submission information correctly and now spending the rebate will be equally as difficult?!?

It’s a good thing I have another 5-7 years before I need a new cell phone.

Sure I get my oil changes, my tires rotated, and every once in a while, I’ll throw in a radiator flush when the service guy nags me enough, but that’s pretty much where it ends.

I’m more of a reckless, fix it when it makes weird noises kind of gal.

This always worked when I was in college – but maybe that’s because dad was always there to ‘borrow’ my car and bring it back a few days later after he paid a mechanic to clean up my mess.

After I graduated, I bought a new car and with that, bought myself out of any service requirements for at least 50,000 miles (in my mind anyway).

Unfortunately for me (and VERY fortunate for my car), my husband believes in regular maintenance. Both our cars hit 60,000 miles this month and he scheduled maintenance on his truck this month and mine next month.

He worked with a family friend and was able to get the service done for $300. As I was figuring out where to pull the $300 from in our budget, the lovely state of California sent his truck registration bill of $295 – the fee unexpectedly raised yet again from last year (Thank you Arnold Schwarzenegger).

My husband and I were both able to work some odd jobs this month – thank goodness! – and should have most of it covered. But this week is turning out to be one expensive week!

I tried to remember the last time I owned a pair of flats and I think I can pinpoint it to 16 years ago. My mom let my wear my first set of heels at 14. Sure, they were only an inch or two high, but it was the beginning of a love affair.

This morning, after I safety pinned my pant legs up 5 inches, I headed to work. As I walked from the train to my office, I missed the loud click clack of my high heels but…

Holy cow…

Since when is it possible for shoes to feel like this? Each step felt like a hug from a plush pillow! I was ready to write a sonnet about my love for the new shoes! Why has this amazing secret been kept for so long!?!?!

I’m trying to be optimistic about my injury. I’m disappointed at the financial setback (even though it isn’t huge) and the pain is, at times, nearly unbearable but hey, the injury probably kept me from being the only 70 year old sporting stilettos.

It was run, run, run… face to concrete.

Apparently, it’s a fairly common injury – albeit a very painful one.

The bad part is, if I don’t get this thing under control, the doc will saddle me with a big, ugly, expensive medical boot.

Hmm… perhaps wearing 5” heels to work 10 hours later wasn’t a bright idea.

As someone who still periodically thinks I know better than others far more educated than myself, I didn’t think it would do too much damage… plus, other than two pairs of running shoes and two pairs of the mandatory California flip-flops (neither of which are HR approved for work use), I don’t own a pair of flats.

By 9 am, tears were streaming down my face.

So, I was forced to purchase… *gasp*… flats.

Maybe it was from the pain, maybe it was from the financial frustration, maybe it was from the stress of my 30th birthday, but I found myself with a face covered with tears blubbering to the poor shoe salesman about having to buy ‘grandma shoes’ and “it’s not in the budget – but neither is an ugly medical boot or more doctor’s bills.”

It wasn’t my strongest moment.

*Sigh*

Goodbye to my favorite pair of high heels, hello to ‘grandma shoes’ for however long it takes to avoid medical boots, doctors, and surgery.

Last summer, my husband and I planted a beautiful garden in our backyard. The vegetables flourished. We had such a large bumper crop that we had to give huge amounts away to friends, neighbors, co-workers, friends of friends, perfect strangers… you get it.

Despite our daily picking, there was the occasional ripe tomato that escaped our notice and wasn’t picked. They may have escaped our notice but they did not escape the notice of my tomato loving Boston Terrier.

For most of the summer, his face was covered in red tomato juice.

This year, we decided to intensify our debt diet in an effort to shave off a few months of debt payments. Sadly, that meant cutting out our yearly garden budget.

Imagine my surprise when I discovered a tomato plant sprouting from the middle of my yard a month ago. A few days later, while weeding a side planter, I discovered another. Over the next three weeks, more and more tomatoes sprouted with a high concentration of plants where… um… my dog does his business.

Oh. Dear. Lord.

We pick up our yard but sometimes, the dog buries his… uh… business, effectively planting his own… um… garden.

I went to rip out the offending plants, when my husband yelled, ‘LEAVE THEM!!’ Apparently, he wanted to keep the plants and hoped I wouldn’t consider the origin.

So yes, we have an odd definition of a free ‘garden’. No, I won’t be eating those tomatoes. And yes, I understand gardeners use steer manure, but those gardeners don’t have to look at the butt the manure came from.

If you are planning on visiting me this summer for a BBQ, avoid the salsa.

But, I listen to Dave Ramsey everyday and can’t help but smile whenever he gives away $1,000 in his Real Estate Rescue giveaway. I know the chances of winning are slim, but give it a shot and enter anyway. It’s free so you’ve got nothing to lose. http://www.daveramsey.com/specials/process.real-estate-rescue-giveaway/

But if you win, you should share your prize with me. ; )

Also, if you’ve been putting off buying one of Dave’s books, now is the time to finally make the move. Nearly all his books are on sale for $10 each. http://www.daveramsey.com/store/10_dollar_books_cds_dvds/c10dollarsale-p0.html

And no, this isn’t an infomercial for Dave Ramsey – I don’t make any money if you buy anything. His methods and his books have helped me get serious about becoming debt free and I want the same for you.

If you haven’t searched for life insurance before, here’s a quickie…

My insurance agent now knows more about me than my husband. Yup, it can be that personal.

They asked questions about medications, smoking habits, age, height, and weight. When I answered the weight question, my agent replied, ‘According to our system, you are 13 pounds underweight.’

‘I’ll buy it!’ I shouted.

Hmm. Perhaps computer generated flattery isn’t the best reason to purchase insurance…but I won’t judge you if you consider it part of the equation.

Once we sign the paperwork later this week, our agent will send a nurse to our home to ensure the accuracy of the information submitted and to run tests on cholesterol, blood sugar, and blood pressure. While my blood pressure has always run very low, I’ve never had my cholesterol or blood sugar measured. I guess this means I will be eating spinach and blueberries while running for the next 5 days.

Things you should consider before getting life insurance:

1. Have a goal – it will help you figure out how much you need. Know what you want to fund with your insurance proceeds. Do you want to pay off your mortgage? Fund your kid’s college? Provide income replacement for your spouse?
2. Buy it sooner rather than later. Life insurance makes significant jumps in five year blocks. If you are about to hit 30, 35, 40, 45, etc, get it before you do.

3. Research the type of insurance you need. My husband and I settled on Term life insurance with a fixed premium for 30 years. It’s cheap, especially for those in good health, and will provide the peace of mind we need while we are trying to reduce debt.

4. Quit smoking. You should quit smoking for lots of reasons, but smokers pay exceptionally high premiums.

I love this economy. Suddenly merchants have to work hard for my dollar.

I’ve started shopping at Target rather than Albertsons or Vons since the produce and meat products are significantly cheaper. And, to make things even better, Target has been regularly mailing coupons for beef, eggs, and produce.

I thought life couldn’t get better… until Target upgraded the shopping carts. As I grabbed the new odd looking cart, it soundlessly maneuvered the aisles. The cart turned on a dime without so much as a squeak in protest. The smile quickly melted when…

WHAM

A mother, who had been quickly breezing the aisles, let go of her cart with her child buckled in the seat and it slammed into mine. She wasn’t paying attention when she let go and naturally assumed the cart would stop when she did – just like all the other crummy carts Target used to have. Sadly it did not, and her cart hit my unmoving cart with such force, I’m quite sure her child suffered whiplash. Her cart bounced off mine and, thanks to the amazing maneuverability of the new carts, went back to exactly the same position it was when she let it go. Rather than apologize for her error, she thought I had hit her cart and screamed ‘WATCH WHERE YOU ARE GOING!’ while grabbing for her wailing child.

So…

Dear Target,

I liked the other noisy, crummy, dirty carts better. At least I didn’t get yelled at in the produce aisle with those things.

Bring them back.

Since we used our grocery money last week to fix some electrical work, I made remarkably cheap dinners this week including… Hamburger Helper with turkey.

Ground turkey meat was on sale for $3.50 and Hamburger Helper Beef Stroganoff was $1. We stretched 3 meals out of that $4.50. Please do me a favor and… don’t tell my mother I used Hamburger Helper.

As I stirred the turkey and read the box, I laughed over the ‘Clint’s Crop Shop’ website information printed on the back. HamburgerHelper.com allows you to upload your photo with a Clint Bowyer photo. I have no idea who Clint Bowyer is – but my nephew is a huge NASCAR fan.

Sure I’m tired and sure the meal selection wasn’t that great this week but we ate for 75 cents a serving AND… I got a good laugh.

Here’s for you Gage. Auntie Bekah is best friends with Clint Bowyer… and apparently Hamburger Helper gloves.

Merrill Lynch and Harris Interactive conducted a study of 5,000 people and created a list of the very specific characteristics that define each financial group of people. Chatzky emphasized that most wealthy people are not wealthy because of an inheritance or because life ‘gave them all the breaks’, they are wealthy because of their decisions and attitudes. For example, wealthy folks are generally socially connected, married, competitive, hardworking, physically fit, optimistic, have good attitudes about finances, and believe in risk.

Yeah, sure Jean, those are super easy qualities to come by.

Don’t worry, she doesn’t leave you on the ledge. Chatzky gives you daily exercises to help you change the way you think and even the way you feel. The book is 50% financial information and 50% motivational material.

I listened to this book on CD but I recommend you rent the actual book from the library. Some of the exercises would be far easier to do without pushing pause after each chapter.

I enjoyed this book and if nothing else, felt encouraged about my path.

When people hear how far upside-down we are on our home (a common topic in southern California), a good number of them ask… ‘Why don’t you walk away?’

Sunday night, 60 Minutes aired a segment called ‘Walking Away’ about homeowners who can pay their underwater mortgages but choose not to. Nine states forbid banks from chasing other assets, making this process nearly painless.

According to these homeowners, ‘it’s a logical business decision’, ‘it’s legal’, and ‘it’s the right thing to do’.

In fact, there are companies who help you through the process (for a fee of course). One of them is called Youwalkaway.com who says their greatest challenge is convincing people that this decision is not immoral, it’s a business transaction. Homeowners, who can pay their mortgage, live in their homes for free until foreclosure and store up cash for their next big purchase.

Maybe I’m in left field but…

First, I do believe this is a moral decision. I don’t care if I had a lame bank or made a bad deal, I made the decision to take the deal and as long as I am able, I will hold up my end of this nasty bargain.

Second, this is a selfish decision. Sure, these homeowners will save themselves an instant wad of cash… at the expense of their neighbors, their fellow homeowners, and in the end… themselves. One way or another, you and I have to pay for those losses.

Third, no one learns a lesson when there is no loss. The show talked about people storing up cash and buying more things. If you don’t suffer the loss, you simply can’t learn from the lesson and you will make the same stupid mistakes over and over again.

We’ve learned that when people ask about our underwater status, we smile and say ‘Eh, we’re not concerned. We’re staying for the long term and don’t keep track.’

We made a BAD, BAD decision and it’s a lesson we will pay for 125,000 times but I certainly don’t expect others to foot my bill.

I blame you for my confidence. When I wasn’t sure if I could do something difficult, you were there to remind me I could.

I blame you for my happy childhood. My favorite memories are of sitting on the couch listening to you read to me.

I blame you for creating some of my best unforgettable experiences. You made sure I went to Ireland to visit my sister when we both know you wanted to go just as badly. It was my most memorable trip and I can never thank you enough for giving me that chance.

I blame you for a great education. You spent 11 years teaching me at home even though some of the family told you it was a bad idea. Thanks to your dedication, university was a cake walk – and I’m only partially socially awkward *wink*.

I blame you for my health. You never let soda or sugar in the house and abhorred white bread. Sure I sneak in a pint of Ben and Jerry’s now and then, but for the most part, I stick to what you showed me.

I blame you for my irresistibly good looks. OK, OK, I had to throw that in. You and grandma are gorgeous ladies with fabulous skin – and I like to think that I look a little like you both.

I am a very lucky girl.

I love you mom.

Happy Mother’s Day to all the mothers out there!