Time to get "MONEY TIGHT" - Ways to save money

[CairnsInvestor]

Just did a quick calculation & came up with 8 things to save money where I can save around $460/month on - which is around $5,500/year more than I thought I would have this year. NOW to get DISCIPLINED! Little things add up; for me like: not buying a gym membership - use the old gym & home & jog more (saving $600/year); mowing the lawns in my own unit complex (2 units) saving around $400/year; cutting back on my phone bills ($250/year saving). One thing I'm a bit sad about is giving up donating $100/month to charities (saving $1,200/year). Things are looking tight for me now & predicting the future with my income coming in etc; I need to make sacrifices all round now; in order to make it through what will be an "interesting year" ahead.

The R/E market in Cairns is just starting to slow down now; the bargain hunters are already out chasing deals; & much more stock is coming on the market for sale; desperate sellers; a few mortgagee sales happening...so trying to ride out the wave at least this year anyway.

Anyone else looked at ways to save money? I'm also looking at ways TO MAKE MONEY, but so if I can save money & make money; I'll come out ahead.

 

[kathryn d]

This winter has been very long and cold. The price of heating oil has more than doubled in the last 4 years.

My daughter is having a tough go making ends meet even with her brother living there at her house.They have run out of oil 4 times this winter already.This can be serious, as then you need to worry about water pipes freezing and bursting.For many people it is eat or stay warm.

I have suggested that the 3 siblings (younger sibling finishes school in June) buy a 3 unit building together.

Since we will be down to one child at home next autumn (a 17 yr old), I have expanded the idea to maybe a 4-5 unit building and we all share ownership and expenses, while still maintaing our own living space.

There is a 5 unit (2 bedrooms each) for sale for $275K that we are viewing Friday.

I have also mailed the owner of our last property to see if he has any properties he would like to sell.(he did a Vendor Finance on the last property)

In turn I would then rent out our house, and the house my daughter is living in.
We could then have one TV cable and internet feed and split the cost evenly, saving even more.

 

[sailor]

$3/litre fuel?

I heard petrol is going up to $AUS3.00/litre. Gosh that will sting some of us who live in remote areas, as we tend to do a lot of country driving. So saving for me will be using the "Coles 4 cents off a litre" will help, plus being more efficient when running errands...don't take the long way, organise the trip first, and don't make multiple trips into town when one will surfice.

1. Stop spending: If it's not an essential purchase don't buy it. A $2.50 coffee a day is $912.50 a year.
2. Track your spending: Jot down every cent you spend, the newspaper, soft drink, petrol, groceries, phone bill, etc. Every time you pay for something, write it down. Do this for a month and see where the budget leaks are.
3. Pay yourself first Each payday, put something aside for savings. 10 percent of your wage is ideal but starting with $10 a week is fine, you'll get used to saving regularly and you can increase it as you get your budget under control.
4. Shop at home: Before you hit the shops look around the house. Is there something you already have that will act as a substitute?
5. Reduce: Reduce shopping trips, buy in bulk and reduce packaging, reduce the number of clothing items you have, reduce the number of lights you have on, wear a jumper and reduce the heating.
6. Re-use and Recycle: Before putting anything in the recycling bin or garbage, ask yourself if there is anything that you can use the item for, i.e. cloths can become floor rags and plastic bags can be reused.
7. Cut the grocery bill: Create a menu plan, it will help with the shopping list. This way you'll always know what's for dinner and you won't be buying convenience meals.
8. Grocery shop at home first: Check the pantry, fridge and freezer before you shop. Only put what you need on the list. Learn to stick to the list.
9. Buy generic: Flour is flour, sugar is sugar. Save the brand names, for the things you really enjoy.
10. Set a budget and stick to it: It doesn't have to be complicated, a small notebook with a page for each expense will do the trick. Just remember to update it when you pay a bill or buy something.
Ref: http://aca.ninemsn.com.au/article.aspx?id=270741

 

[alexlee]

The usual things. Have coffee at home ($2.50 a day at least), bring lunch from home ($8 a day at least). One sucky way is to just work longer hours. I think I've only spent about $20 this week because I've been at the office so much.
Alex

 

[Witzl]

Another good way to make extra money is to rent out a spare room to a boarder.
Theres a good $100-160/wk!

 

[Cherry Pro]

Thanks all for sharing your thoughts.

February, for us, was 'essential' spending month... so we cut out on all the frills ...seems like this will continue for the better part of this year.

Also, when meeting up with friends ...we take a dish each and our own booze ...makes it easier all around ...a lot of people are feeling the sting of these interest rate rises.

And I hit the grocery with a list only once a week now instead of darting in every couple of days.

 

[The Y-man]

We are investing in permaculture. We are now 100% self sufficient for vegetables over the summer months. As I said in the recent MIG meeting, if time got really tough, I might have to look for road kill for meat

All the other usual things:

Lights/applicances off when not used
As much water as possible reused (from kitchen to garden, laundry to toilet)

Cheers,

The Y-man

 

[abacus]

Ways to save money

I buy beef in bulk (a quarter of a cow) each time which works out to be $6.99 per kilo for cuts like T bone, Porterhouse, Rump and eye fillet. All trimmings become mince or sausage. And the doggie gets lots of yummy marrow bones.
If you don't have a dog, make nice healthy beef stock from the bones and freeze in containers. Who needs to buy stock cubes?

Sure, it takes a couple of hours to pack in freezer bags, date and label but I bet no one will think it tedious when sitting down to a 1 1/2 inch grilled porterhouse (medium rare) with a rich mushroom cream sauce and French whole grain mustard...buy cleanskins if you want a nice red to go with it.

Also, get home brand items which surprisingly are just as good as the branded ones. You don't pay for pretty packaging eg. Home brand baked beans are packed for Woolies and made in Italy and are fantastic.

Other people may sneer at my trolley full of homebrand when we get to the checkout, but I like to think that for every dollar less I spend on groceries (without compromising quality) is another dollar I have to invest in IPs.
Just about to settle on IP#2 (comes with tenants who want to stay on) and on a block of land just out of town, should be building on it once titles are organised with the developer (IP#3).

Also, bring lunch to work (rather than spend $8 for a salad roll and drink) and if you can't live without your morning coffee, invest in a coffee plunger and bring your own freshly roasted Costa Rican coffee you can buy from fancy outlets that may seem extravagant but works out cheaper per cup.

Gawd, I love this money saving caper!!

 

[Dazz]

I've hardly met anyone in Oz that needs to really attack the supermarket purchases to get ahead. Food and groceries from Coles and Woolies, whilst getting more expensive by the day....are not where the really big savings are at.

The biggies are restricting all those "socially comparable" events.....i.e. when humans "go out and have a good time".

Hats
Dresses
Four hundred different types of women's shoes
Alcohol
Gambling
Ciggies
Taxis
$ 30 entrees
$ 50 mains
Corkage and the like
Handbags
Make up
$ 200 hair do's
Stockings
Jewellery
Almost everything on a woman's dressing table


This is where, IMO, alot of the big dollops of after-tax paid cash are spent....and don't need to be. Of course, these are the items that cause the most resistance and angst when trying to reduce....cos apparently they are all absolutely vital and necessary ?????

I've always found, in comparison to these "fashionable items", scrimping on food and groceries bought from a supermarket to be false economy.

 

[sailor]

Hats & sunnies for the men
Dresses & endless pairs of shorts for the men
Four hundred different types of women's shoes & 400 different types of tools for the men
Alcohol yes, men drink even more than women
Gambling & men do this too
Ciggies ditto
Taxis ditto
$ 30 entrees ditto
$ 50 mains ditto
Corkage and the like ditto
Handbags & fishing tackle
Make up & massages
$ 200 hair do's & men get their hair cut about 4 times more often than women
Stockings & men's socks
Jewellery & more fishing tackle & ESSENTIALS for the boat & car
Almost everything on a woman's dressing table & almost everything in a man's shed

...just couldn't let the bias go!

 

[sash]

I've hardly met anyone in Oz that needs to really attack the supermarket purchases to get ahead. Food and groceries from Coles and Woolies, whilst getting more expensive by the day....are not where the really big savings are at.

The biggies are restricting all those "socially comparable" events.....i.e. when humans "go out and have a good time".

Hats
Dresses
Four hundred different types of women's shoes
Alcohol
Gambling
Ciggies
Taxis
$ 30 entrees
$ 50 mains
Corkage and the like
Handbags
Make up
$ 200 hair do's
Stockings
Jewellery
Almost everything on a woman's dressing table


This is where, IMO, alot of the big dollops of after-tax paid cash are spent....and don't need to be. Of course, these are the items that cause the most resistance and angst when trying to reduce....cos apparently they are all absolutely vital and necessary ?????

I've always found, in comparison to these "fashionable items", scrimping on food and groceries bought from a supermarket to be false economy.

Well said Daz....add to it:

As matter of fact target the things that will not affect your lifestyle, easier to keep on track:

1. Shopping around for best insurance, mobile, home loans, and phone companies. You could save a whopping 10k here...particuarly if you have large housing loans!

2. Driving a nice easy to service Japanese or Korean car rather than a very expensive European car. Besides the builds on the former are better. I am partial to Korean (Hyundai) cars as they are now well built and if you buy a 2-3 year car....you pick them up for a song. They are also cheaper to insure and consistently make car of the year. This years one is Hyundai i30....designed in Germany...has alot of the safety features...etc. and well priced. Can't wait for another year or two to pick one up less depreciation.

3. Stop buying those silly $2-$5 purchases from discount shops...which you end up throwing away.

4. Not shopping for the best travel deals overseas (on some the difference can by 5k-10k.

5. Buying expensive furniture from big name stores rather than smaller operators who price better.



I for one do not scrimp on dinner out or food. But only occaisionaly go out for meals with $30-$50 mains.

 

[BayView]

Just don't go near any retail outlet until you discover that there is an item in your home that needs replacing; like food.

Anything else is a "want"; not a need.

Cars and clothes can be classed as a need, but the correct way to buy a car has been mentioned - never buy a new one.

And clothes are always on sale somewhere.

 

[crc_error]

how about installing energy efficient light globes and water saving devices?

Do you really need 5 mobiles in the house and pay TV?

What about the 2nd or 3rd car in the house? Do you really need it? Living somewhere with good public transport rather than having a car. cars cost $130 to $200 per week to own depending on its size.

think twice before your purchase something.. DO YOU REALLY NEED IT..

 

[The Y-man]

And if you want a forum for duiscussing such things......

http://groups.msn.com/MoneySavingIdeas



Cheers,

The Y-man

 

[Loz]

I paid to join up with an online group called Simple Savings to maximise my savings. It's mostly a bunch of housewives (& househusbands) who all share their ideas on savings. The site's appearance is very basic, but it holds a world of ideas that you can adapt to your own situation.

Some of my savings come from:

* Budget for everything - sometimes it takes a few goes at getting it right
* Growing most of my veggies
* I clean (just about everything) with vinegar and bi-carb soda
* Bulk buy washing powder and only use 1/2 - 3/4 the recommended scoop
* Follow Once a Month Cooking (OAMC) practices and freeze meals for work lunches and dinners - this is great with bulk buying perishable goods
* Hobbies: find alternatives for your consumables. I keep fish and I found that you can used different products for your filter media like quilting/stuffing, I learned how to mix some basic medications for the water etc.
* Maximise savings with your friends, family and neighbours by having a trade system with their skills or foods
* Turn the power off for everything at the wall (except my fish tank gear! )
* Cook from scratch instead of take-aways, have a go at making pasta, bread, tortillas, yoghurt, pizza etc
* Reuse, repair before replacing and question if you do need to replace
* Sell unused stuff on ebay (and don't go looking to bid on ebay! )
* Converted my car to LPG
* Bought cosmetic grade micas for makeup
* Stay away from the shops!!!

There is so much out there to cut costs and some would be amazed at how easy it is. It's not all time consuming, some things are, then you decide if your time is worth more than the expected saving. I also find that I know what is in my food, chemicals used around my house and feel better for it. Sometimes it's good just to challenge yourself.

As you can probably tell, I don't have a lot of spare cash. I'm just trying to keep my house during these tough times, so thank goodness I fixed my mortgage rate a while ago - hopefully long enough for me to get ahead for bigger investments in the future.

Hey Dazzling! I WISH that was my list for sacrifices to make! Oh, how nice it would be!

 

[alexlee]

Though remember, a good offense is also very important, so don't neglect the investments.
Alex

 

[Dazz]

...just couldn't let the bias go!

No wurries sailor...


Also agree with Alexlee....don't concentrate too hard on the defence side of the equation. Get after the offense and use it wisely.....that's where the big bikkies are at....IMHO.

 

[Mr. Fabulous]

Hats
Dresses
Four hundred different types of women's shoes
Handbags
Make up
$ 200 hair do's
Stockings
Jewellery
Almost everything on a woman's dressing table

I agree mate, women are bloody expensive to maintain. But get this - more money is spent on wine than fashion and cosmetics. Blah, leave the plonk on the shelf and the ladies can go home alone!

Mark

 

[Ausprop]

Also agree with Alexlee....don't concentrate too hard on the defence side of the equation. Get after the offense and use it wisely.....that's where the big bikkies are at....IMHO.

absolutely - look after the pounds and the pennies will look after themselves.

 

[The_Bludger]

A lot of you are making some huge sacrifices to invest every last cent into IP's. While I have no right to tell anybody how to live there life, I'd rather live a balanced lifestyle and enjoy some of the luxuries in life now that I am fairly young. It's true, I probably won't end up with as much as I could, but I'd rather live an "entire life", not just the last 20 years or so of it when I'm too old to enjoy it.

Life is short.