Our Cash Budget

When reading about our various cash-only adventures, people sometimes asked how we budgeted our money to last the whole month.  There are probably many different ways to manage your money when adopting a cash-only lifestyle, but here’s the method we chose: Before we began, we created a written budget that showed all of our monthly income, and then listed all of our savings goals, monthly bills, and spending categories, as well as how much we wanted (or needed) to spend on each.

For example, we listed “Braces- $200″ as a savings goal because that was the amount of money we wanted to save each month in order for me to get braces eventually. “Gas/Electric- $300″ was listed as a monthly bill, because that’s typically what our utility company charges us. “Groceries- $350″ was listed as a spending category, because that’s the limit of what we wanted to spend each month on food.  We made sure to balance the written budget so that our savings goals, monthly bills and spending categories wouldn’t exceed our monthly income.

Every paycheck, we took three steps:

1. We transferred all the money needed for savings goals (retirement, future travel, braces, cushion fund, etc)  into savings accounts. 
2. We withdrew enough cash to cover our shopping for the month, and separated that cash into envelopes- an envelope for grocery money, an envelope for drugstore purchases, an envelope for haircut money, etc (this is commonly called “the envelope system,” or “envelope budgeting.”
3. The money left in our bank was used for monthly bills, which we paid using our debit card as the bills came due.

Now, this 3-step process looks pretty simple, but going cash-only was a lot harder to put into practice than we originally thought.  I’ll admit, I wasn’t fully prepared for just how hard it would be to make the switch from credit cards.

The Addiction to Credit Cards

As someone who routinely used credit cards to make purchases, I had forgotten the logistical issues inherent with using cash: the frequent trips to the ATM, the careful allocation of cash into various spending categories at the beginning of each month, the panic at the cash register wondering if I brought enough cash with me.  After switching to credit cards over a decade ago, I think I had assumed that it would be easy to switch back to cash if I wanted to, and that the only reason I didn’t was because of the benefits of cash-back credit card rewards.  After all, since I paid off the credit cards in full each month, I wasn’t dependent on them, right?  This logic reminds me of a friend of mine who smoked cigarettes and said, “I’m not addicted because I could quit any time I want to.”  The response in both cases is, “Uh-huh.  Get back to me about that after you’ve tried.”  We simply can’t know the level of our addiction until we try to kick the habit.

And credit cards are a hard habit to kick because it’s incredibly convenient to use them- you never have to worry if you have enough money in your account to cover the purchase, you have over a month to figure out how to pay for the purchase, and you don’t have to make detours to an ATM (well, except for when you find yourself at one of those lunch joints with a hand-written “cash only” sign taped on the cash register).  My husband and I loved the convenience of credit cards, but nonetheless we found ourselves embarking on a three-month cash-only challenge.  You might remember from reading Part I of my Cash-Only Challenge Series that we were initially reluctant to go “cash-only”- we were essentially forced to do it so that our credit reports reflected $0 debt for an upcoming house refinance.  But when faced with the reality that we had to temporarily wean ourselves cold-turkey from our credit cards, we did try to embrace the concept, and committed to trying out a cash-only lifestyle for a full three months.  I’d been intrigued by the case made in The Money Saving Mom’s Budget that a cash-only lifestyle leads to financial betterment, so I convinced my husband that we should give it our all and see if it was really worth it to kick the credit card habit and pay for things the old-fashioned way.

Now the three months are over and it’s time for me to report back on the ultimate question:

Was the Cash-Only Lifestyle Worth It?

Stay tuned for Part VI where I’ll answer that question and disclose whether we’ve stuck to the cash-only lifestyle!

Want more?  In Part I: The Accidental Players, I explain how we wound up in this Cash-Only Challenge despite having no interest in a cash-only lifestyle.  Part II: Grocery Budget Jitters tracks how we weaned ourselves from credit cards and took the plunge into using cash.  Part III: The Roller Coaster, tracks my logistical acrobatics (and occasional panicked moments) as I attempt to cover all of our month’s expenses before our cash runs out. In Part IV I report back on taking our Cash-Only Challenge on vacation with us.  

Interested in doing a Cash-Only Challenge yourself?  Check out Crystal Paine’s book, “The Money Saving Mom’s Budget” (which I reviewed here) and learn all about it.  In her trademark upbeat style, Paine lays out the blueprint for a cash-only lifestyle.

There’s a renaissance in cloth diapering going on right now.  Cloth diapering has always been the most frugal and environmentally-conscious choice for parents, but cloth diapers have also been 1) less convenient to use than their disposable counterparts and 2) yucky to clean, which is why they had been rapidly declining in popularity for the last 40 years.   No so anymore- advances in technology have transformed the cloth diapering landscape.

Soft, woven waterproof fabric has replaced vinyl diaper covers, Snappis have replaced diaper pins, and thank goodness diaper sprayers have replaced toilet dunking.  Numerous companies have taken advantage of these new technologies to create cloth diapers that are convenient to use, easy to wash, and completely adorable.  If you’re interested in using cloth diapers on your child, here’s an overview of the different types of cloth diapers that are available.  I’ve used links to Amazon product pages so that you can see pictures of the diapers I’m describing, as well as read reviews about them and find out pricing.

Types of All-In-One Diapers (AIO)

Let’s start off with the ultra-convenient “All-In-One” style of diaper (also called, “AIO”).  An All-In-One is a one-piece leak-proof cloth diaper that Velcros or snaps around the baby.   They have the look and function of uber-stylish disposable diapers, but instead of throwing the diaper out when you change your baby, you throw the whole diaper into your diaper pail and wash your diapers every 2-3 days.  All-In-Ones are so convenient that they tend to win over spouses, grandparents, babysitters, daycare centers, and anyone else who might not be initially enthusiastic about cloth diapering.  They come in countless irresistible colors and patterns, and use super-easy snap or Velcro-like closures.  Depending on the brand, they are either “one-size,” meaning they fit from birth to potty training, or sized.

Popular brands include:

• Swaddlebees Simplex One-Size (cotton interior w/microfiber flap for optional stay-dry)
• Blueberry Basix (sized, fold-out flap for easier washing, stay-dry microfiber interior)
• Bummis/Tots Bots Easy Fit (one-size, fold-out flap for easier washing, stay-dry minky microfiber)
• BumGenius Freetime One-Size (microfiber)
• Swaddlebees Simplex 2.0 (sized, fold-out flap for easier washing, cotton interior, stretchy sides)
• GroVia AIO One-Size (cotton interior)
• Thirsties Duo AIO (sized, microfiber interior, tunnel design for easier washing)

Types of All-In-Two Diapers

All-In-Two diapers are two-piece cloth diapers that require one extra step compared to all-in-ones: you place a cloth insert into a cover that is specially designed to hold the insert in place.  Being able to separate the insert from the cover after the diaper is soiled makes all-in-twos arguably easier to wash and faster to dry than all-in-ones.  On the other hand, after you’ve laundered your all-in-twos you do have to take the extra step of matching your inserts to your diapers, whereas all-in-ones will be ready to go straight after drying.  There are two main types of All-In-Two diapers: pocket diapers and hybrid diapers, and within those two types some brands are one-size (fitting from birth to potty training) and others are sized.

Pocket Diapers (All-In-Two)

With a pocket diaper, the insert stuffs into a pocket in the cover.  When the diaper is soiled, both the cover and insert are washed together.

  Popular brands include:

• Rumparooz (one-size)
• bumGenius 4.0 (one-size)
• FuzziBunz (sized or one-size)

Hybrid Diapers (All-In-Two)

The “hybrid” version of an All-In-Two is comprised of a leak-proof cover that an absorbent liner snaps, or is placed, into.   The advantages over pocket-style All-In-Twos are: 1) there is no stuffing of uncooperative inserts into snug pockets, and 2) there are many instances when the baby has only soiled the liner, so you can change the liner without having to change the cover, making these especially convenient on-the-go.

Popular brands include:

• GroVia Shell (one-size, choice of cotton, microfiber, or disposable snap-in insert)
• BumGenius Flip (one-size, choice of cotton, microfiber, or disposable insert)
• gDiaper (sized, choice of cotton/microfiber insert or flushable insert)

Types of Prefold Diapers + Snappis + Diaper Covers

Of all the different types of cloth diapers, Prefolds are the cheapest option.  A prefold is a rectangular cloth that you place on your baby, secure with a Snappi, and then cover with a leak-proof diaper cover.  You don’t change the cover every time- just the soaked prefold- so you only need approximately 1 cover per 4 prefolds.  Prefolds and covers can be washed together in a washing machine, and dried in a dryer, though line drying the covers will help them last longer.  Prefolds are the type of diaper used by diaper services, so if you aren’t interested in washing cloth diapers yourself, you can subscribe to a diaper service that will pick up your dirty diapers every week and drop off cleaned and sanitized ones.

Popular brands include:

• Econobum (Prefolds and Covers)
• OsoCozy (Prefolds)
• Thirsties (Covers)
• Bummis (Covers)

Types of Fitted Diapers + Diaper Covers

Fitted diapers are the same essential concept as prefolds, in that you secure them around your baby and then cover with a leak-proof diaper cover.  But instead of being a rectangular cloth that you secure with a Snappi, fitted diapers are form-fitted and have snaps or Velcro to secure them.  Because they are form-fitted they have a reputation of being the most bombproof of all diapers, in terms of being able to contain the biggest of poop blow-outs and heavy wetting without any leaking onto clothes.  The downside is that they are bulky- you can tell this just by looking at the two images above.  The entire fitted diaper, pictured on the left, has to fit inside the diaper cover pictured on the right.  Despite this bulkiness, many parents swear they are the best cloth diaper option because of their prowess in containing leaks.  Popular brands include:

• Blueberry (fitteds and covers)
• Mother-Ease (fitteds and covers)
• Kissaluvs (fitteds and covers)
• Disana (wool covers)

So there you have it! I’ve tried to give you an overview of all the different types of cloth diapers that are available.  Hopefully this list has helped you make sense of all of the options out there.  Keep in mind there are many other brands out there besides the ones I highlighted, and it could be helpful to visit your local cloth diaper shop and see the diapers in person.  You can also make your own cloth diapers, or buy homemade ones on Etsy.

 Do you use cloth diapers already?  Are you thinking about using cloth diapers?

Opting For A Smaller Garbage Can Could Save You $40/Month

I published this post originally in 2011, but I’m re-posting it as a reminder because reducing the size of your garbage can is such a painless way to save money each month.

A couple years ago our city introduced three sizes of garbage cans with correspondingly reduced prices.  The first is the standard size that you’re probably used to: 68 gallons.  When we were using disposable diapers for our daughter, we needed this full-sized can, so we had to pay full price on our garbage bill ($55.84/month).  But once she was potty trained, we noticed we were only filling the can 1/2 way each week.  So, we opted for the next size down: a 32 gallon can, at $26.05/month.  That’s almost $30/month in savings!

It didn’t take long before we realized we weren’t even filling the 32 gallon can all the way, so we opted for the smallest size: a 20 gallon can at $16.16/month.  That’s an additional $10/month in savings, meaning that we are saving $40/month on our garbage bill compared to using a standard sized can.

According to the EPA, many cities and counties are implenting these types of programs- check with your local garbage company to find out if they have a similar program available.

MeinLilaPark has compiled a list of over 50 free printable calendars, including 12 month calendars, 1-page yearly calendars, mini calendars, and more.  Here are some of the best free printable 2013 calendars out there (and check out MeinLilaPark for more):

12 Month 2013 Calendars (12 pages)

If you’re a fan of cutesy teddy bears, GraphicGarden offers this one:

If you’re more into country charm, GraphicGarden‘s got you covered:

If you’re looking for something simple, try this one from Botanical Paperworks:

And here’s a cute calendar for kids from HelloCuteness:

2013 Yearly Calendars

Here’s a vintage illustration on a simple yearly calendar from CallMeVictorian:

Here’s a more whimsical one from MeinLilaPark:

Or, you can keep it simple with this one from BelievingBoldly:

2013 Mini Monthly Calendars

The illustrations on this mini calendar from Creative Mama are too cute:

Or if you’re into something more edgy, try this one from Smam (the download buttons are the “1,2,3″ links at the bottom of the text):

Airborne is offering free sample packs- just click here to “Like” the product on Facebook, then fill out the short survey.  Hurry, these offers expire quickly!

Daily Citron Time Test: It took me 59 seconds to “Like” their Facebook page, authorize the app to access my profile (but I modified the settings so that “Only Me” can see posts it makes on my behalf) and fill out the short survey.

I found this offer on Freebie Shark, a reputable freebie listing site.

Good Enough Can Be Good Enough

Menu planning, by it’s very nature, formalizes the meal planning process.  Rather than meals being thrown together last minute in a haphazard way, they are pondered, compared to each other, chosen, and written down days in advance.   Because you have to go through this process for each meal, it is easy to assume that the meal, in order to deserve that amount of thought and planning, must be a really good one.  Without meal planning, hot dogs chosen last-minute because you didn’t know what else to make for dinner might seem perfectly acceptable to you, but when you’re doing that fancy thing called meal planning, suddenly hot dogs might seem undeserving- shouldn’t you be making Polish sausage paninis from Martha Stewart magazine?  Should you be trying that new recipe for roast chicken with Dijon mustard sauce?

Well, my answer is, “No!” Stick with the same food you usually cook.  Let go of the urge to make your planned meals fancier, or more sophisticated, or more inventive than they need to be.  Don’t get me wrong, I’m all for trying new recipes, and I love making gourmet food.  But realistically, how many of us have the time and energy to be making fancy new dishes every week?  If you’re trying to make your meal plan too good, you might end up getting frustrated that you can’t live up to your high expectations, and give up the meal planning process altogether.   And that would be a shame, because the benefits to meal planning are huge (so huge, in fact, let’s review them for a sec):

Benefits of Meal Planning

1. Less late afternoon stress because you’ll know in advance what’s for dinner
2. Save time because you’ll only need to take one trip to the grocery store at the beginning of the week, instead of heading to the store mid-week for last minute ingredient runs.
3. Save money because you’ll have a meal planned for each breakfast, lunch and dinner, which means you won’t need to do any last minute restaurant/take-out food (unless you want to and you can actually afford it)
4. Save money because you can see what’s on sale at the grocery store and plan your meals around that

Try to make this meal planning process easy on yourself, so that you stick with in.  Resist the temptation to make  your meal plan perfect.  Don’t worry about whether you’ve planned a different breakfast each morning, whether your lunches are scrumptious versus just good, and whether  your dinner choices are good enough to be featured in a magazine.  In fact, as long as you’re serving well-rounded meals (check out the U.S.D.A.’s MyPlate feature, which illustrates the elements of a healthy meal) go ahead and plan some very easy, very simple dinners, just to cut yourself some slack.  For instance, one of my easiest dinners is fish sticks, because you just have to preheat the oven and throw them in.  That’s why I serve them every other week- they’re easy, simple, and yummy, too.  They’re not gourmet, not scrumptious, not fancy, but they’re good enough.

Weekly Meal Plan for the Week of October 8th

Dinner Plan

Monday: Fish sticks (from Costco), butternut squash, and a green salad.
Tuesday: Taco Tuesday! I’ll fill white corn tortillas with seasoned ground turkey, refried beans, shredded lettuce, grated cheese, and cilantro.
Wednesday: Spaghetti squash, with pasta sauce and Italian sausage.  Served with a green salad and pickled beets on the side.
Thursday: Burritos, using the same filling as Taco Tuesday.
Friday: Pizza Night, with salad on the side. Made with this easy homemade dough recipe.
Saturday: Burger Night.  I try to keep the freezer stocked with various patties: beef, chicken, veggie, salmon.  This week I’ll probably use the beef patties, and serve the burgers with roasted acorn squash and a green salad.
Sunday: International Night. I’ll make Chicken Mole again, from the Joy of Cooking recipe, and serve it with white rice and leftover acorn squash from Saturday.

Breakfasts

• Pumpkin Flax Granola with yogurt or milk
• Apple Cinnamon Chex with milk
• Sunday only: Homemade cinnamon rolls, scrambled eggs

We eat fruit with every breakfast- this week honeydew melon and navel oranges

Lunches

• Homemade frozen burritos
• Peanut butter & jelly sandwiches
• Cheese sandwiches
• Quesadillas

We also eat fruit with every lunch- the same fruit options as for breakfast, plus celery sticks

What’s YOUR menu plan this week?

Each week I post our family’s meal plan for breakfasts, lunches and dinners.  It may seem like TMI (too much information), but I do it because it gives you an idea of what a family meal plan could look like, in case you want to try instituting one yourself.  I’ve found meal plans to be the single biggest money saver in the area of food purchases because they eliminate the need buy take-out or go to a restaurant when you don’t know what to eat.  With a meal plan, you know what to buy at the grocery store for the upcoming week, so the ingredients will be ready to throw together when you’re hungry.

Dinner Plan

• Monday: I’m going to try something new for dinner: Huevos Rancheros.  Specifically, fried eggs served with refried beans, salsa & cheese.  I don’t do “breakfast for dinner” very often, and I’m kind of excited about this.
• Tuesday: Taco Tuesday! Well, we’ll do nachos this week instead of tacos, but it’s virtually the same ingredients: ground turkey taco filling, refried beans, shredded cheddar cheese, chopped white onion, salsa, and cilantro.  All sprinkled over tortilla chips and then broiled until the cheese is melted.
• Wednesday: Tuna Pasta (basically this recipe, but I don’t add anchovies).  It’s a cheap and tasty dinner to make, even with higher-end canned tuna: Costco just started carrying Wild Planet Tuna fish for $2.25/can, which excites me to no end because it’s lower in mercury, and more “dolphin safe” than conventional brands.  And retail stores sell it for $4/can.
• Thursday: Once again, homemade bagel dogs with onion rings, Boston baked beans, and a green salad.
• Friday: Eating out at school fundraiser.
• Saturday: Burger Night! I’ve been craving one of our standard favorites: salmon burgers from Costco, with naan from Trader Joe’s. I have yet to buy a vegetable to go with it, but my guess is that corn or green beans will be on sale.
• Sunday: International Night.  We’ll do homemade pizza, with salad on the side. For years I’ve been using this easy homemade dough recipe and it’s never failed me.

Breakfasts

• Cheerios or Apple Cinnamon Chex with milk
• Quaker Instant Oatmeal with milk
• Wednesday only: Homemade cinnamon rolls, scrambled eggs

We eat fruit with every breakfast- this week honeydew melon, pears and cantaloupe

Lunches

• Leftover pizza
• Peanut butter & jelly sandwiches
• Crackers & cheese

We also eat fruit/vegetables with every lunch- the same fruit options as for breakfast, plus tomato or cucumber salad

What’s YOUR menu plan this week?

I’m always looking for inspiration as I walk that fine line between balancing our budget and keeping our lives fun and interesting.  The internet is a treasure trove of frugal living tips, and I’ve rounded up five good frugal living articles that I came across this week.  Remember, living frugally isn’t about saving money for the sake of saving money, it’s about saving money so that you can spend it on what really matters to you.

• Inspiration/Living Your Purpose: How Beth Hayden Quit Her Day Job and Changed Her Life (MarriedwithLuggage)
• Finance: Watch Television Without the Cable Bill (FrugalDad)
  
• Parenting: Teaching Your Kids to Budget With Money Jars (MyMommyWorld)
• Cooking: Home Canning: Orange Marmalade (pictured above) (HillbillyHousewife)
• Gardening: 5 Frugal Gardening Tips for Autumn (TheDailyGreen)

This round-up of “good reads” is a weekly feature of other people’s ideas, but don’t forget you can also check out all of my articles on managing your money, setting goals, menu planning, organizing, and lots of other stuff!