Bidnip.com is an auction sniper site that will swoop in at the last minute on an auction, and, for a very small fee (generally less than a quarter), snag the item for you!  If you don’t win, you get your change back!  This will help you save up to 50% on your item, which will make you feel a little better about the ridiculous shipping costs that the sellers charge!  Also, if you’re not sure you want to sign up with them, they let you have a free trial, just to be sure.  No obligation, no worries.

Happy shopping!  Save some money.

As our regular readers are aware, your favorite southern couple now has a daughter.  At around a month old, her requirements are mainly food, diaper changes and sleep (and the pacifier, haha).  Another requirement, we have learned, is that of gas relief drops, like Mylicon.  The stuff is like liquid gold.  We go through an ounce a week, for crying out loud, and at about $13 an ounce, buying that stuff at the grocery, frankly, hurts.  The good news is that while at another local grocery store, we found their generic brand drops for only $4 an ounce!  That’s a savings of $9 a week, or $468 a year!  For those of you looking for a good start on your vacation fund, saving on generics like this is a fast track to making it a reality. 

Review your weekly expenditures and try and find the name brand things that can be swapped for generic.  It doesn’t have to be all of your weekly expenses, but $10-$15 a week adds up, and will be a nice boost to your savings, or a good start on a vacation (or at least a nice long weekend)!

Now, as with any other free offer, their could (will) be some limitations for your particular Olan Mills location, but they are still free photos!  Even if they come out in poor quality, it’s no big deal because you didn’t spend any money on them in the first place!  Keep in mind that the coupon is only valid for children 3 months of age or younger, and that the are only going to give you the pictures from the first picture they snap. 

This isn’t a big money saver for everybody, but it can be a great little treat for those of you who are having trouble finding the money to pay for baby himself, much less professional photos!

Your favorite southern couple has a little announcement to make: We are about to become your favorite southern family! We are expecting our first child early this June!  Because of this, I have been doing a lot of catch up on finding ways to save money for new babies!  Consignment shops like Once Upon a Child or Kid to Kid offer a great way to save some money on baby clothes (and some toys), and pay you for your gently used or unworn baby/toddler clothing that you don’t need anymore.   Some good news?   They don’t just accept any clothing…it has to be in very good condition. 

Although I haven’t even given birth yet, I’ve already checked out some local consignment shops, and was very impressed!  I found 2 little every day rompers that still had the tags on them from the original stores, both originally around $10 a piece, now marked down to $1.50 and $2.50!  What a steal!  The selection was INCREDIBLE, and the merchandise ranged from low end store wares all the way to the designer brands found at high end stores.  Every item was clearly priced and sized on their tags, and the staff was helpful. 

Here’s a shocker: Children and babies are messy.  There are mud pies and markers and dirty diapers and spit up.  Their clothing (for the most part) should be bought to reflect their messy lifestyle, i.e. semi-disposable, which means that spending a ton of money on their regular, everyday clothes is silly.  Take my advice and check out the consignment stores, even if it’s normally not a place you would go, it’s worth the trip, since you are almost guaranteed to save some money!

So you say you don’t know how to do certain things around the house?  Learn.  Lack of knowledge is no excuse for not doing something!  Check out the Diy Network for instructions on how to fix lots of common things around the house.  Every time you fix something yourself, you’re saving money for your future!   If you’re hiring out lawn mowing and driveway shoveling, stop.  Unless you are not physically capable, there is no reason you should be paying someone to do things around your house!  Besides, a little extra physical activity is good for us all!

Your favorite southern couple hates to hire out work.  We try to do as much as we can ourselves, and only hire out when absolutely necessary (having a broken tree removed from our yard, for example).  If we don’t know how to fix something, we research it.  We do understand that not everyone is “handy” around the house, however.  If you’re not handy, then befriend someone who is, and trade services.  Whatever your talent, exchange that for their help.  Maybe they fix your toilet and you help them (as a personal trainer, for example) teach them a basic fitness program in return. 

Whatever the circumstance, figure out a way to do things for yourself!  Not only will you save money, but you will become more self sufficient!

Instant gratification is having a lack of impulse control, and, conversely, delayed gratification  is having the ability to wait for something you want (i.e. willpower or impulse control).  In our society we tend to think of children as having no impulse control, and learning this ability as they get older and become an adult.  Well, what happens when the child isn’t taught impulse control, and grows up with the same attitudes they had as a child?  We think that these children grow up to be the people who struggle with any vices that require willpower/impulse control, such as spending money and overeating etc.  These people still have the “I want it now” attitude, and whatever “it” is, they don’t deny themselves the treat, because they “deserve” it.  Can you imagine what the little girl with the spa package at age 5 will act like as an adult if she  doesn’t learn to have self control (which is not likely to be learned from her mother, I’m sorry to say)?  So, what’s the good news?  If you struggle with impulse control, you can learn it as an adult.  You just have to take each instance where you need willpower and ask yourself why you need the item now, and if it’s worth it.  It’s not easy.  You will fail on occasion.  But every time you don’t fail, that’s one step closer to mastering the skill!

Delayed gratification is one of the biggest tricks up the sleeves of people who succeed.  They know how to wait for what they want.  Knowing this, as a parent, make sure you teach your child how to have willpower, and as an adult (who lacks willpower), decide that you aren’t going to fall victim to your childhood whims of instant gratification and help yourself succeed!

Like furniture rental places, you can apparently also rent the rims you’ve been dying to have for your car as well, that way, you can look cool, and rich, even if you’re broke.  Dan Miller has a knack for talking about topics that are important to me, and there are few things that get my blood boiling more than people who spend themselves into debt chasing status.  He highlights the new book from Thomas Stanley, author of The Millionaire Next Door and The Millionaire Mind, both of which are excellent books (I will be buying and reading this newest addition to his works).  This new book highlights some of the habits of the truly rich (as opposed to those who only appear rich), which, in general, does not include renting your rims. 

Read the post, and go buy (or check out from your local library) Thomas Stanley’s newest book, Stop Acting Rich.  Let’s all begin to be open minded to the idea that having fancy things (for status) and spending obscene amounts of money on weddings and “McMansions” are not the real way for the average person to become wealthy.  Once you stop believing you are going to simply luck into a fortune, or become famous and rich out of the blue, you can focus on becoming rich the way most people do…through saving, working hard, and striving to be the best at their passion so they can advance themselves in that particular field over the years.

• Majority of scrapped GM,Chrysler dealers file appeals - Basically, what’s going on here is that GM and Chrysler, in order to stay in business, had to cancel contracts with some of the dealerships that owned the rights to sell their cars.  The dealerships, instead of finding a different product to sell, or closing down, are filing appeals to FORCE the 2 companies to keep supplying them with inventory or to pay a huge settlement.  This will cost the already struggling automakers (remember, they were bailed out already) even more money, and they probably will struggle with getting back on track and making a profit.  I hate that these dealerships will have to close and that jobs will be lost, but when a company expands too far and has to draw back to stay in business, this is what happens.  By trying for a settlement (these dealerships agreed to the terms of the contract, they knew the contract could be terminated), they are actually hurting the company more.  Nice.
• Toyota’s next problem: Lawsuits - With the multitude of recent news stories and recalls, Toyota is working around the clock to combat the bad press and sort out their problems.  It might not help, though, thanks to the over 30 lawsuits (already, and growing) and class action suit (there will probably be more later) that are already filed against the automaker.  Here’s the deal…Toyota should pay for any medical bills (and final expenses etc.) of those people found to have directly been injured or died because of a faulty piece of equipment in the vehicle, and I have no doubts in my mind that they would willingly pay these costs.  There are 2 problems that stink with this situation though; 1. Some lawyers just see dollar signs and think of a big payday, so they will file suit for ANYTHING, even things their client doesn’t deserve, and some judges will award it, which just causes more financial problems for the automaker, and could cost jobs for their employees, and 2. the more lawsuits and such that are filed, the more bad press they receive, which could also cost money/employee’s jobs.
• Your cell phone company’s dirty little secret - The big carriers have come out recently and lowered their prices on the “voice usage” side, or the “talk time” side of their business, but their secret is that they’ve started charging non smartphone users a fee to access the multimedia capabilities of their phones, whether they want to or not.  They say it’s because most people don’t know they can access the net, so they are making sure the user gets full use of their phone.  I say bull crap.  I shouldn’t be forced to purchase a service I don’t want.  I have a smartphone and DO NOThave a data package, because I don’t need one.  I did not buy the phone for it’s ability to surf Facebook, I bought it for other features like touch screen/qwerty keyboard/nice layout/and a calendar.  Maybe it’s more phone than I needed, but that’s my choice.  They know that people pick the phone they want, and so they figure they can charge you extra for service, because you like the phone.  It’s sneaky, but clever.
• The burger and beverage recession - This one actually surprised me, but not in a bad way.  Coca cola, McDonald’s and Molson Coors all reported that their product demand is stronger abroad than in the US.  These are the products that we think of as recession proof, but apparently, people are still not willing to part with their dollars for them!  I very much hope that the companies can cut costs and innovate to continue to be profitable, but I am very excited that consumers continue to be wise with their money.  Spending less and saving more is a proven way to have something for yourself as you get older.  Are there quicker, more volatile ways?  Of course.  But with great gains comes great risks.

Follow the links to see the full articles!

First of all, stick to your budget, but allow yourself a little indulgence on rare occasion.  Why?  Well, it’s my opinion that everyone only has so much willpower to give to something, and eventually they will break and indulge anyway, so little indulgences keep away the big ones.  So, what types of indulgences are little?  Well, when you’ve got your finances locked down, and you’re buying basic needs only when it comes to groceries, TV and movies/shows etc., on occasion it wouldn’t hurt to buy a nice meal from the grocery.  Make that a special family night with a nice meal and some board games or something.  Or, you could save a couple of bucks every week out of your grocery budget to take the family to the movies or some other inexpensive activity.  Your choice!  The point is to indulge occasionally to keep you focused and on task, without blowing through your budget.  If you never treat yourself, you might fall off the wagon.  Notice to those of you who are “used to” treating yourselves…this does not mean you can do your normal “treating”…no mani/pedi’s, or blowouts, or daily cupcake from the specialty $10 a cupcake store, or expensive clothes/shoes/tools.  This is a small indulgence.  A $20 pick me up a couple of times a month.  If you can’t stick to that, you’ll never get out of debt.  And no, you don’t “deserve” those mani/pedi’s, because they are what got you into debt in the first place! 

Trying to do 2 or more hard things, like getting out of debt and quitting smoking (for example) at the same time, means even more added stress to your willpower.  You have to give a little slack and indulge yourself  while getting out of debt, because the alternative,in this example, is indulging in smoking.  Not cool.  And indulging a little there would save you money anyway, since once you quit smoking, you would have a ton of cash to put toward paying down your debt!

What’s the take away?  Get on a budget.  Pay off your debt.  Learn to live like an adult who doesn’t get everything they want every time they want it.  But stay on this path for the long haul by making the occasional small ticket splurge!

This shouldn’t surprise anyone…it didn’t get dubbed “retail therapy” for no reason!  The problem is that in our society, we act like retail therapy is a GOOD thing, when it’s actually AWFUL.  The retail stores have convinced us that it’s normal and OK to shop when we’re down, but they’re only doing that because they want to part us from our money, not because they actually want us to feel better!

The next time you’re feeling down, don’t go out and look for a distraction, go home and find ways to distract yourself!  Take a bubble bath, clean the house, take on some of your “honey-do” list etc.  Go to a park, or the beach, or some other free place to clear your mind.  Get creative.  What you do is your choice, so long as you don’t go to a store and spend money.  It’s a new year, and that means it’s the perfect time for you to make the change that could make you retire with ease 20 or 30 years from now.  It all starts with you, and a step in the right direction is avoiding the mall when you’re down (and whenever else you don’t actually NEED something from there)!

You see, it’s become part of our culture to shop-shop-shop.  Retail therapy, they call it.  Think about that statement.  They want you to come and spend money to make yourself feel better.  Is that the way we should be relieving stress/improving our mood?  I don’t think so.  It’s an instant gratification thing.  We are like children with a shiny new toy…retail therapy!  How ridiculous!  Sounds like we’re simply encouraging ourselves to act like children.  I think we should act like adults.  Adults save up for things.  They have delayed gratification.  They don’t get retail therapy, they relieve stress by being with friends and family (or getting a REAL therapist, not one that doubles as a satchel purse and is called Louis Vuitton).  This, is why I like lay-a-way.  It allows people who don’t have the cash to pay for something all at once an option that doesn’t charge high interest and isn’t a credit card.  As a bonus, you don’t get the merchandise until you pay for it in it’s entirety, so it teaches delayed gratification!

I should note that we don’t really use lay-a-way ourselves, because, as most of you know, we save up throughout the year to pay for the things we want.  We have a Christmas category in our budget, that receives money each and every week.  This ensures we will have the money that we have determined we want to spend on the holiday, in time for said holiday (and in case you’re wondering, we determine the amounts in all budget categories at our “new year new budget” committee meeting, held in January).  If however, you haven’t been keeping up with your budget (and I really hope you have), then lay-a-way is the way to go for you.  Just remember this phrase…I WILL NOT use credit cards on presents!

The first bit of information I wanted to share is definitely exciting, and that is that more people are paying with cash!  According to certain retailers (these businesses do not sell luxury goods, just so you don’t think I’m speaking of $1,000 handbags or something), a significant number of their sales so far this year have been in cash, compared with last year, where there were more credit card sales.  This is a wonderful bit of information!  Now, it’s a small sample, and it’s in my local community, but hopefully it’s at least partially indicative of the way people are shopping this season.  I hope that it means more people have saved up for the holidays this year, and aren’t spending more than they make!

Another bit of information we ran across from a national retailer is that the sales are not going to be as good as they were last year (I know, bummed me out too)!  According to our source, last year, many of the typical stores you find in your local mall got caught with a ton of extra inventory and slashed prices to be able to move the inventory toward the end of the holiday season.  This was great for people, last year, but it also means that they learned their lesson, and this year, retailers won’t (or haven’t) have ordered as much inventory, so the deals that were there last year, won’t be there this year.  This is some really unfortunate information, but at least it will keep us focused on finding the best deals this season! 

All in all, I still think it is going to be a wonderful holiday season.  Just keep in mind that cash is the way to go.  Not only will it save you from being credit card poor in January and February (and March?), but it will keep you focused on getting the best possible price!   Look out for deals that aren’t deals.  Compare prices.  Use lay-a-way (making payments on an item that you will not be able to take home until the item is completely paid for) and just be sensible.  Remember how your parents and grandparents shopped for the holidays…they saved for it!

According to the care tags on a lot of clothing (or household items), you should be dry cleaning most of what you own.  Well, I beg to differ!  Lots of things that say “dry clean only” are able to be hand washed or washed in a garment bag on the gentle cycle in your washer.  In fact, some of the new washers on the market even have a “hand wash” setting, where the agitator moves very slowly, simulating the act of hand washing.  Now, should you do this every time?  Well, that depends on the type of garment.  I wouldn’t, for example, recommend going against the care instructions on a garment that cost most of your paycheck, but on an everyday, regular shirt, skirt or pair of pants…absolutely.  This doesn’t mean you give it up completely either.  Maybe you have a suit, and you trust that you can hand wash the pants, but want the jacket professionally cleaned?  I’m okay with that, so long as you are smart about what you get dry cleaned, and how often you do it, since dry cleaning can be so costly.  A suit costs on average $10 (2 piece) around the country.  So, if you’re a man who wears suits everyday to work, you could be paying $50 a week in dry cleaning bills!  If you can get away with hand washing those every other week, you can save $100 a month!  That makes it worth trying in my book!

The other tip is to  buy seasonal items when they are on sale.  Okay, so what does that mean?  That means, that if you are going to buy a winter coat, you should buy it in March, when it is likely to be on sale.  Need a swimsuit?  Buy it in July or August.  I have personally seen bathing suit separates marked down to $3 a piece in these months!  Other things even surprise me.  For example, tires should be bought in July.  If I had to hazard a guess, I would say that it’s because there isn’t much inclement weather during the summer months in the U.S.  In addition, linens should be bought in January and kitchenwares should be bought in April and November (can we say Christmas presents?).

Good luck with the new tips!  I hope you find some deals and save some money!  And remember, if you don’t trust that the garment will hand wash (or wash in the washer on gentle) well, go with your gut, and take it to the cleaners.  I don’t want you ruining your clothes, just second guessing wether or not your 100% cotton tank tops need to be dry cleaned!

Celebrities look like they lead a very glamorous life.  They have fancy clothes, nice cars and a whole host of other very expensive possessions.  They look like personal trainers and never seem to age.     That is their reality.  It is not, however, reality for the majority of us.  Some of us think we should have (or try to have) the same things/lifestyle as celebrities, but in my opinion, that is not the case.  These celebrities make hundreds of thousands, if not millions of dollars every year, and can afford fancy cars, mansions and expensive purses.  They can afford personal trainers for hours a day, five days a week.  They can afford all the expensive creams and lotions that keep you looking youthful (or the more expensive counterpart, plastic surgery).  They are not limited by an average salary, like we are.

Even though we know they are celebrities, and know they make many times more money than we do, we haven’t been able to separate in our mind that they have access to a lot more monetary funds than we do.  So we buy things.  Generally, we buy these things on credit, because as I’ve already stated, we don’t have the cash to pay for it ourselves.  This is how, one day, people wake up and find themselves thousands of dollars in debt, and on the verge of bankruptcy.

How do you avoid falling into debt?  Well, as we’ve always stated, you need a budget, a plan and the determination to stay within the limits of the budget you created.  If you just spend less than you make, you won’t go into debt (don’t forget to budget for savings, so you pay yourself later).  Do not think it’s normal to buy $10,000 purses and $200 an ounce face cream if you make $60,000 a year.  If you want a special, expensive handbag, save up and pay cash for it.  If you purchased it on a credit card, it doesn’t have the same status as the one on your favorite celeb’s arm, because they paid cash (or debit equivalent etc.), and therefore, actually earned the status that the bag is supposed to convey.  Live within your means and be happy with what you have.

This article is a good look into outlet malls, outlet or “factory” stores and whether or not their discounts are really any good.   The main source sited is Ellen Ruppel Shell and her book  Cheap: The High Cost of Discount Culture.  One of the best points she makes (there are many) is that because these stores are billed as “designer quality and value price” people swallow their marketing hook, line and sinker.  They don’t question whether or not the prices are a deal, because they see a sale sign that says, for example, “30% off”, and assume that it’s a good deal.  Big mistake. Especially since, according to Shell, some stores (this is refuted by another source) raise the prices in the store so that they can mark them down, which after raising them makes them settle around regular price…wow, real savings.

Another lessen learned from this article, is that, much to my delight, and only slightly to my surprise, stores like Coach sell different products in their outlet stores as opposed to their standard retail stores.  This means that the majority (my opinion) of people who shop at these Coach outlet stores think they’re getting the same quality designer goods as the retail store, but to a trained “fashion eye”, stand out with their outlet items.  So, for a regular designer Coach bag, the price might be good, but since it’s made from lesser materials (not always) for their outlet stores only, the price might be “full price”, and you were just parted from your cash!  Something to keep in mind the next time you buy at an outlet store where the status of their brand is important…since to a trained eye, your item’s status doesn’t measure up.

Another little tip to note:   According to a recent “state of the industry” report by Retail Value News the average discount at the outlet stores is 37%.  We can do better than that on the sale and clearance racks at most retail stores.

The moral of this very interesting story is that it doesn’t matter whether or not the items in these stores are on sale, but whether or not they are a price you are willing to pay for the label and quality.

In general, men and women shop differently.  Men go into a store, go straight to the item they want to buy, and buy it.  Sometimes, they haggle for a deal, sometimes they don’t.  Once they make up their mind that they want something, often, they will buy it “on the spot” .   Most women do not shop this way.   When we go to the mall, we feel the need to hit every store in the joint to find the best deal.  But make no mistake, we will find the best deal!  We will hunt, dig and search through the entire building for what we want at the price we want.   Where  do we come together on this?  The women usually find  the deal and the men go close the deal/pick it up!  There are those couples (us included) that are able to shop together.  For our frequent readers, it will not surprise you that we have a system.  We alternate between stores that he wants to check out and stores I want to check out.  This way, we both are happy with the day’s activities!   If you can’t shop with your partner, that’s o.k.  Figure out a system that works for you and your spouse and go with it!

We’re different on savings too!  We women, being the emotional creatures we are, we like…security.  We like to have some savings, an emergency fund, in the bank.  Savings for a rainy day, a sunny day or any other day that a problem comes up.  It makes us a lot more comfortable as we go about our daily lives.  Men, on the other hand, like to be a little more risky.  They feel confident in their investments, even if those are in coffee bean futures or comic books (although some comics are worth quite a bit).  They don’t feel the need to have a “safety net” in the bank, and don’t understand why it’s so important to us.  Well, I’ve got news for all the men out there… just do the emergency fund.  It will make your life happier, because it will make your wife happier!  How did we solve this one?  We have an emergency fund. 

It’s our suggestion that you sit down and discuss your spending and saving habits.  Figure out what works and what doesn’t.  Communicate.  You’ve heard it a thousand times for a reason… it works!  It’s the backbone of our relationship, and you should make it a part of yours.  No couple can truly be happy with their financial situation if they don’t agree on how they do their finances.  Talk about yours now, so that money problems don’t become a part of your future!

In the past, children were a wonderful help to their parents.  They were an extra hunter, an extra pair of hands to help with littler children, helpful on the farm etc.  These are not necessarily important to the modern day couple, when deciding whether or not to have children, and the factors that are important are what is probably keeping a lot of women from the path of motherhood.

The likely culprits, as the article points out, are  things like private schools and their tuition, after school activities/lessons, “play dates”, college tuition etc.  In other words, ch-ching, ch-ching ch-ching.  So, as enlightened, educated people, we have to wiegh the benefits of children against the costs of them.  Sounds terrible, but for many of us it’s what determines if, when and how many children we will have.

And if, after all of this, we still decide to have children, we have to hope and pray that the money we spent on fancy schools, lessons, extra curricular activities and college produce a well rounded, kind hearted-intelligent person who can spell the word “appreciation”, knows the meaning of the word and doesn’t expect you and everyone else in the world to hand them everything on a silver platter. 

Personally, I have to admit that I worry about my future children (whenever I am fortunate enough to have them).  I don’t worry much about their lack of appreciation or sense of entitlement, because I know that good parenting can go a long way in combating those problems.  Societal influences, however, can be very strong, and as current or future parents, we have to strive hard every day to nurture good morals and values in our children, and not let them grow up over-valuing material things or idolizing celebrities over friend or familial connections. 

So, is it worth having children?  You have to answer that question for yourself, but in my opinion, if you’re in a stable (preferably married) relationship, have graduated high school (college too, hopefully) and are earning a good income that can accommodate you, your spouse, your child and saving for retirement, then I say go ahead.  If however, you aren’t in a committed relationship, can’t vote, can’t legally drink and can’t rent a car, you should probably think long and hard before entering the world of parenthood!

While it’s true that I’m a “girly-girl”, and love pretty weddings and all that glitters, I do not believe that anyone should spend what they 1) don’t have and 2) haven’t budgeted for.  So when I read that the average cost of a wedding in 2005 was a little over $26,000, I wanted to fall in the floor (or the sand, as in this case)!  Are there people out there that can afford that?  Absolutely.  Can most of us? No way.  The report went on to say that a research firm had concluded that spending is likely to drop as much as 30% this year, and that 3 out of 4 brides are scaling back their spending.  Could it be that the recession has knocked some sense into some people? I hope so.  It is our opinion that starting off a marriage in debt (especially for a wedding…double especially if either the bride or groom doesn’t want to spend that much) is a terrible idea.  As a newlywed couple, you are getting used to each other, living together, each other’s habits, quirks etc.  You don’t need debt and money problems to go along with that!  It’s silly!

What’s the other reason to start off without debt?  How about, that most new couples want to buy a house, or pay off school loans or start a family.  There are lots of things you want to do when you get married, and ALL of them are easier if you don’t have any debt hanging over your head.  Look at it this way: Do your guests need fancy seat covers at the reception, or do you need a washer and dryer??  Do I want ostrich feathers in my centerpieces, or do my husband to be and I want a nice honeymoon?? Come one people, it’s not brain surgery. 

Weddings are supposed to be about 2 people in love.  It’s not about the guests, or your family, or your friends, or how fancy it is or how rich you look.  It’s about you and your spouse to be, celebrating how much you love each other and looking toward your future together.  And that, my friends, is easier to do without a credit card bill!

• Can You Plan Spontaneity - This is a recent post, but it’s a good one, and it’s one of our trademark tips for a successful lifestyle .  The post outlines how we have built spontaneity into our budget (which works quite well, I assure you), achieving both spontaneity (to have a little mystery about special outings, gifts etc.) and budget restraint (so you have so money to retire on one day).
• YOU are an emotional piggy bank -   This post has generated a lotof talk of the last few weeks.   You are an emotional piggy bank, taking in deposits and doling out payments from other people.  Just like a bank account or a piggy bank, you need to have more deposits coming in than payments going out for the system (i.e. you) to function.  People that drain too much from you, drain you, and you should spend time with them sparingly, if at all.  This, of course, is opposed to emotional boosts, who make lotsof deposits into your piggy bank.  You should spend as much time as possible around these special people.
• Never forget where you started… - This post is a reminder of why you got married or into a relationship with your spouse/significant other, and some tips on how to make it work better or keep it working wonderfully!
• Why your friends are costing you money, and what you can do to stop it! - This post is all about being friends with people who have a larger income than you and ways to avoid the pressure of spending too much money, or spending money that you don’t have when you hang out/spend time with them!
•   So, going to the gym is like budgeting my finances? - This post draws parallels between going to the gym and budgeting your finances.  Not only are there insights into better ways to budget your money, but there are also a few tips on going to the gym!  You can’t beat that!

So, those are the blog posts that we’d like for you to go back and take a second look at!  Hopefully, you will find some information that helps you along in your life, or reaffirms what you already have in practice!

“clips episode” of previous posts that are “must reads”

I don’t know where the craze started to get big, but I imagine it started because of job losses and the economy slowing down. People need or want things and services, and bartering is a great way to get what you need or want without having the cash on hand. Craigslist is a great place to see modern day bartering in action. Here you can find computer “geeks” willing to fix your computer for other goods or services, or a hair stylist willing to cut/highlight/style etc. your hair for goods and services. I personally know of a hair stylist who trades her services for personal training sessions with a trainer. She wants to get in shape and the trainer needs a haircut…works out perfectly!

How to do it: Make a list of things you are competent at doing. Now, list yourself on websites like Craigslist, BarterQuest and U-Exchange. Hopefully, someone will look you up and have something you want in exchange for what you’re offering, or will be willing to buy something for you in exchange for your service.

Some precautions:

• Be sure to have an agreement in place before the trade begins, so everyone is clear on the terms and no one can back out on the deal. If you can get something in writing or an email, that is even better!
• If you see inappropriate behavior, report it. You could be saving someone else from a scam.
• Try to barter locally, if you can. It’s better for your local economy and people will think twice about committing fraud so close to home (we hope).

Good luck and happy bartering!

First let me say that you should keep in mind that this data reflects only one month, and that it could just be a fluke. I know that the unemployment rate has gone down slightly, and that demand for houses has gone up, but honestly, so what! Just because the economy might be showing signs of improvement does not mean you should forget the lessons you have learned over the last several months in ways to save money and spend less. One of the reasons that people have gotten into trouble with money over the years is that they spend all that they have, or more than they have and don’t save enough for their future when they retire, or, just as bad, save for when their income is lost/interrupted, so that they have no emergency fund.

Deep down, I’m hoping that spending rose because we are in “back to school” season, and parents were spending money on their little ones clothes, crayons and paper, but I just don’t know. Americans tend to have what I think of as collective ADD, where, as a nation, we can’t keep our “eye on the ball”. When something loses its luster or lasts too long, we tend to get bored, and I think that the recession has reached that point. I ask all of you to keep your focus, save your money and spend less.

As you can imagine, this did not work out the way he had hoped. With all of his objections to spending money, on from what I take from the article is a daily basis, he starts to realize just how hard that is and just how much money he actually spends on a daily/weekly basis. He realized the kinds of sacrifices he had to make in order to stay true to his word. And some of those sacrifices weren’t worth it.

The article is awesome, and definitely worth the read. As you know, Jerrill and I are always looking for ways to save money. We try to find the best deal, bargain with people, find ways to cut costs and will often buy the store brand etc. to save some money. And, we want everyone to make sacrifices to help balance their budget and grow their emergency fund/retirement savings/kids college fund. It is our goal for you to become/stay debt free…but you should keep it in perspective. For example, buying the store brand or dropping your daily $6 coffee habit might be totally worth it, but skipping your child’s birthday present might not be. Just something to keep in mind.

The article Home Ownership Was Never a Road to Riches makes several good points regarding the myth of investing in a home. As Professor Christopher Mayer from Columbia Business School points out, home appreciation nationally has run about 1% above inflation over time. 1% over inflation is a worse return on an investment than some CD’s! What people saw in the late 90′s through 2006 or 2007 (depending on where you were in the country) was an oddity.

The value a person gets in owning a home is that they avoid paying rent! By owning a home, you get to build equity in your home, not build equity in your landlord’s rental property. However, when you buy a larger home than you need, like a McMansion, it is simply ridiculous. People think that it makes them look smart and rich to have a large home, but if all you have is a large mortgage, and nothing in the bank to back it up, you’re not rich OR smart, you’re house poor. Plus, with a higher mortgage for this large house also comes higher taxes and higher insurance. That’s why you should buy as much home as you need, but no more than that.

So, do yourself a favor and stop thinking that home ownership is a way to save for retirement. All it is is a way to avoid paying rent! You want to save for retirement? Then do it the right way, with investment tools such as Roth IRA’s, CD’s, mutual funds etc.

Questions about investing? Please leave a comment!