The Happy Homeowner

Day One…of Merely the Challenge–or More?

Posted on February 1, 2011 by Jen

I have to admit that today I’m feeling pretty darn optimistic. I haven’t spent a dime in the past 2 days, I have a fully-stocked pantry/fridge/freezer, and I’ve just received a $50 rebate from my fabulous cash-back rewards credit card (I put everything on this card, but I never carry a balance so the rewards are just that). That sweet little $50 is going straight to savings, and it feels gooooood to do so.

In an effort to stay accountable during this challenge, I will be posting more frequently than usual. It is my belief that this challenge will indeed be the catalyst for change I so desperately need to see in my spending habits. I know there will be obstacles somewhere along the way, but I’m choosing to prepare myself by keeping a positive outlook. I CAN do this and so can you! Best of luck to my fellow Challengers!!

February: No Spend, with a Twist!

Posted on January 30, 2011 by Jen

Well, here goes nothing! It’s almost the start of a new month, a clean slate, and a NO SPEND MONTH!

I’m joining Sharon in her quest to save a boatload in February by limiting spending (I also borrowed the fantastic image above from her page). While my challenge will personally be a bit different seeing as how I’ll be out of the country for 10 days of the month, I will still be setting some lofty goals in terms of cutting expenses. I also will be allowing for a minimal amount of eating out and “extras” because this month is my first foray into being serious about reducing my spending–I don’t want to set myself up for failure by going completely “cold turkey.” Without further adieu, here are my guidelines:

Goal: To limit my miscellaneous spending to $250.00

Break-down of the miscellaneous categories:

Medical: $50

Eating out: $50

Gas: $100 (starting with a near-empty tank–hopefully this will be less!)

Extra: $50

What’s working for me:

$50 gift card to grocery store
$25 gift card to Dunkin’ Donuts
Re-kindled love of swagbucks
$5 Amazon.com credit
A somewhat-stocked pantry/freezer
Support from a fantastic community of readers like you!

Where I’ll need to step up my game:

My miscellaneous spending has been $900+, $1,200+, and $700+ for the past few months–going down to $250 is a huge goal
Saying no to my friends will be challenging, but I have a few ideas to help with this area (to be published in another post)
Working through, and ending, my emotional spending pattern

I’m so excited to be facing this challenge head-on. I feel like February, even with travel-related spending (that has already been budgeted for), will serve as a catalyst for my new spending patterns and behaviors. While I know this will not be easy, I’m overwhelmingly motivated to get started and see where the month takes me. To any of you joining us, feel free to post your comments, goals, action plans, etc. Hello, February!!

If You Fail to Plan, You Plan to Fail??

Posted on January 30, 2011 by Jen

I realized that January has come & gone sans goals. I’m guessing there may have been an impact from this oversight, and I’m making sure to not repeat past mistakes in February. In order to set my goals, I’ve gone through my past spending records (miscellaneous) to see where I need to make changes the most. Here are my totals, as recorded in my fabulous Excel workbooks

November: December: January:

Medical:         $19.00                              $118.23                                  $60.86
Cash:                 $142.00                                $30                                      —
Condo Reno:                  —                                      —                                          —
Clothes:                          —                                      —                                        —
Eating Out:               $244.57                              $252.77                               $243.27
Groceries:                  $17.51                                $39.03                                   $66.25
Gas:                           $118.02                               $85.94                                $104.26
Alcohol:                     $56.86                                $72.71                                  $8.99
Extra:                          $345.63                             $617.41                              $311.72

TOTAL:       $943.59              $1,216.09                 $795.35

Looking at these numbers, it’s evident I need to control the “extra” spending. In the past 3 months, this category has included everything from iTunes purchases, concerts, Amazon.com, Christmas tree/trimmings, movies, birthday celebrations, cab rides, and parking expenses. I also need to cut down (significantly) on the eating out. Both of these should be attainable goals, so long as I set some actual numbers/thresholds.

January: Busted!

Posted on January 29, 2011 by Jen

Here I am at the end of the month mortified, frustrated, and panicked. I’ve overspent this month in my misc. category by $285. While this money can be taken out of February’s budget, it will have to come from $$ I planned to put towards an upcoming trip and savings.

What’s worse is that the $285 is only for my miscellaneous spending. There is another $323.74 in “extra” charges for January that have already been moved over to February’s budget (a new car battery and a “moment of weakness” shopping trip are the bulk of this figure). That’s a whopping $608.74 that should have been put towards savings goals and my trip. WOW.

But before this post ends up being a self-pity parade, I know this predicament is due to my choices and my choices alone. I have realized that I’m an emotional spender–when things in life get rough, I let my finances go out the door. After carefully examining the past few months, my spending reports, and my incessant demands for better from myself in terms of spending, I know enough is enough.

Serious changes are needed, and I feel they should be seen on more levels than merely my finances. I’ve read much about the relationship between psychology & finance, and I know it’s time to put my breadth of knowledge in these realms into practice (one of my Masters degrees is in Psych). It’s not going to be easy; it’s not going to be fun–but it’s necessary.