Living Within My Means

I had a chance to hang out with a good friend today. We talked about the challenges and the unexpected joys of trying to live within our means. Both of us are experiencing a decrease in our monthly finances due to different reasons (my maternity benefits ended and we are a single income family). We are trying to find ways to save money. Our social engagements are selected based on their economical value. Two for one dinner coupons, matinee movies, visits to the free art gallery, and walks in the park are great choices. And I am okay with that. Actually, I am relieved. It is comforting to know that someone understands that a dinner at some ritzy restaurant cannot be my entertainment every month.

So, in tribute to saving money, I have come up with some new (and old) discoveries on how to live within my means.

1. Create a budget and stick to it. It is amazing what you can learn about your spending habits when you record what you think you should spend on items and compare it to what you actually spend on items. Never done this before? Here is how. In the beginning of the month, allocate a dollar amount to your different areas of expenditure (e.g. groceries, rent/mortgage, charitable donations, bills, savings, etc.). The total value of each allocation should add up to your monthly income. Then write down everything you spend, including automatic withdrawals from your bank account. Compare your budget to your actual spending habits. Adjust accordingly. If you are overspending, like we do some months, ask yourself, "What do I really need?" Keep the needs and eliminate the wants. For example, my husband and I do not need a cell phone, cable, or a second vehicle. And while some months dill pickle chips are a need for my husband, other months it becomes a want and gets eliminated from our grocery bill. ;)

2. Become friends with the Dollar Store. I used to walk by the Dollar Store in the mall and whisper under my breath, "What a load of junk." But recently, I have had to swallow my pride and enter in. I have discovered a person can purchase beautiful cards for all occasions for only a buck. Plus, scrap booking supplies are dirt cheap compared to the hundreds of dollars one can spend at craft stores. I have to return to see what other gems I can find among the junk!

3. Eat vegetarian for at least two days a week. My husband and I are big fans of meat. Chicken, beef, white fish, and delicious Mennonite farmer sausage are our favorites. But meat is expensive. Thus, I try to plan two "vegetarian" meals a week. Usually one involves eggs. The other meal is what we had tonight: brown beans, pasta, and a vegetable (brown beans is probably my husband's favorite legume). Personally, my favorite vegetarian meal is chick peas served with basmati rice, naan, and raita (yogurt salad). Yum. I will have to post a fantastic recipe for interested readers to try!

4. Purchase the "Chicken Deal" from your local grocery store. This may seem laughable, but hear me out. At our local grocery store, a person can purchase a whole rotisserie chicken, two salads (macaroni, potato, or coleslaw) and french bread for $10.99. Honestly, we can get four different meals out of this deal: (1) the meal itself; (2) sandwiches and salad the next day; (3) a large pot of soup for supper; and (4) soup for lunch. And sometimes the soup and sandwiches last for another day. Fantastic!

5. Avoid credit card debt. Debt is a difficult evil to avoid. We are still chipping away at our mortgage and student loans. However, credit card debt can be debilitating on one's finances because of the high interest rates charged on outstanding balances. Our general rule: pay off credit card debt at the end of the month and don't purchase items unless you have the cash to pay it off immediately.

6. Invest in reusable items. This is an area I have been recently investigating. Many of us consume "one time use" products. How many of these products can be replaced by items that can be used more than once? For instance, is it necessary for one to own a Swiffer Wet Jet when a mop can suffice? My recent conundrum: cloth diapers versus disposable diapers. I have been using the latter. Maybe the former will be more economically viable and kinder to the environment? (Though I cringe at the thought of having closer encounters with solid human waste. Yuck.)

7. Select economical entertainment. I mentioned this already in my introductory paragraph. Enough said.

8. Conserve energy. We are contemplating installing A/C into our home. We have lived through three summers in this place without it. But last year I had enough of sleeping and eating in a damp unfinished basement while our upstair living space was bathed in east-west sun exposure. However, we do not want to be running our air conditioning 24/7. Thus, conserve: in the A/C department and others.

9. Shop around and buy items on sale. I struggle with this one. My idea of shopping is walking into one store where the prices are reasonable and triumphantly returning with the item in hand within a short span of time. I detest garage sales. Second hand stores drive me bonkers because there is too much stuff to sort through. I cut two coupons a month at the best of times. Flyers get dumped in the recycling bin without a second glace. Maybe I need to tap into people who love this kind of thing. Maybe they can inform me where to save money and when.

10. Practice generosity. Sometimes when money is tight, it is tempting to axe our charitable donations. It is easy to forgo helping others as we frantically try to help ourselves. Yet, I have found through experience that giving out of our "poverty" is an act of trusting God to meet our needs. Hard to do. But good to do.

Anyway, hope this helps some of you. What other tips have you learned in your experience? I'd like to know.