Tuesday, November 30, 2010

Alternative Sources of Income

It is that time of year again, and we are all scraping up as much cash as possible to let our friends and family know we love them. I know we have deeply missed the "Reason for the Season" as we obsess over what to buy everyone, but it is our current reality. So I encourage everyone to look for alternative sources of income. It is a good idea all year long, but especially helpful as our Christmas budget seems to get bigger and bigger.
You may be thinking, "what are alternative sources of income?" Basically, anything you can do to earn a little extra cash. (Well, not anything!) In the summer my husband will mow lawns occassionally for people that are going to be out of town, or just don't feel up to doing it themselves. I have a part time job doing childcare for a couple of hours a week at church. Neither of these jobs pay a lot, but it may just pay for a couple of extra presents that I might otherwise be tempted to put on my credit card. (Not that the budget queen is ever tempted to use the evil credit card!)
So think of ways you may be able to earn a little extra cash this season. Are you gifted at gift wrapping? Send an e-mail out to your friends offering to giftwrap their presents for a small fee. Can you bake beautiful cookies? Post on Facebook that you will bake cookies for people to claim as their own at their holiday gatherings. When the season is over, offer to haul off dried out Christmas trees. It may not seem like a lot of money, but these little bits of extra cash can really offset the holiday budget blues!

Saturday, November 20, 2010

Budgets and Diets

The most important thing I tell people when creating budgets is "Be Realistic." You can't eliminate everything fun from your life and expect to live that way for the sake of saving money. Budgets are like diets, if you can't have a piece of cake every now and then you will never stick with it. So if you know you love to eat out or buy clothes, it's ok, just budget for it. Set a maximum amount per month and stick to it. You can still have a shopping spree every now and then, just save up for it. It will be much more rewarding knowing you did not spend an extra $50-$100 in finance fees because it took 6 months to pay it off! So figure out what kind of "cake" you can't live without and include it in your budget to ensure budgetary success!

Saturday, November 6, 2010

November Discount

God has blessed us, and this business has gotten off to a great start! To keep the momentum going I am offering 20% off of my budgetary services if you book an appointment in November. Thanks for a successful kickoff!

You Can Go Broke Saving Money

Growing up my mom constantly said "You can go broke saving money." I had no idea what she was talking about for most of my childhood, but it stuck with me. As I got older I started noticing this little saying seemed to become more frequent as I started becoming more aware of when my favorite stores were running a sale in the mall. Eventually, when my favorite pair of jeans were on sale for $25 but I did not have $25 to pay for them, the saying finally made sense.
Sales are great, especially if you have the money to take advanatage of the discounts. However, it does not matter how good of a deal it is if you do not have the money to buy the item right then. Sales are one of the traps that people fall into that result in high credit card balances. You see that patio table on sale for 25% off, but you do not have the cash to buy it outright. So you put it on the credit card promising yourself to pay it off next month. Next month comes around, and something more important needs to be paid off. So the balance stays on the credit card and accrues a little interest too.
I have a few rules for knowing when I should partake of a sale. First and foremost, do I have the extra money in my budget that month to buy the item? If yes, then ask yourself if this is something you really need or are you just attracted to the price. If you need it and have the money to buy it, then take advantage of your great timing and buy it! If it is a great deal, you do not have the money, but you know you will have to buy one next month then go ahead and do it. Just remember, everything is on sale at one time or another, but if you take advantage of all the sales you will not have any money left at the end of the month. You truly can go broke saving money! Thanks Mom for the valuable lesson!