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How to Save Money & Still Have a Life

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Contents

Introduction...............................................................ixChapter 1: Getting Started - Changing Your Perspective.....................1Patience is a Virtue!......................................................1Get Off Your High Horse!...................................................2Be Realistic!..............................................................4Chapter 2: Attacking Your Required Bills...................................7Car Expenses...............................................................7Credit Cards...............................................................10Electricity................................................................15Heating and Air Conditioning...............................................17Insurance..................................................................21Phones.....................................................................24Water......................................................................27Chapter 3: Approaching Your Wants-That-Feel-Like-Needs.....................31Cleaning Supplies..........................................................33Food - Traditional or "Normal".............................................34Food - Organic and Special Diets...........................................38Personal Hygiene Products..................................................40Pet Products...............................................................42Chapter 4: Addressing Your Wants...........................................45Books and Textbbooks.......................................................45Candles, Picture Frames, Trinkets, etc.....................................47Clothing & Shoes...........................................................48Eating Out.................................................................53Electronics................................................................55Furniture..................................................................57Gift Cards.................................................................65Greeting Cards.............................................................66Landscaping & Gardening....................................................67Magazines & Newspapers.....................................................71Movie Rentals..............................................................74Movie Theaters.............................................................75Vacations..................................................................76Chapter 5: How to Shop on the Internet.....................................81Use a Rebate Site..........................................................81Searching on the Internet..................................................88Finding the Best Deal......................................................90Finding Coupon Codes.......................................................97Precautions to Safeguard Your Internet Purchases...........................100Precautions for Buying on Craigslist.......................................104Chapter 6: eBay - Yes, It Gets Its Own Chapter.............................107Finding Stuff on eBay......................................................107Can't Wait for the Auction to End?.........................................115How to see only Buy It Now or Best Offer items.............................117Isn't buying from people on eBay risky?....................................118A summary of how to read the listing details...............................120Please please please.......................................................121To Recap: the Dos and Don'ts...............................................121The Hidden eBay Goldmine...................................................122Chapter 7: Reference Charts................................................125Where to Buy on the Internet...............................................125

Chapter One

In know in the Intro I said I wouldn't be lecturing you on your spending habits, and I meant it! This section is more about qualities I encourage you cultivate ... if you can.

Patience is a Virtue!

First and foremost, you must have patience. If you don't have any to speak of, find some! Most of what this book has to say deals with waiting for shipment, making calls to people who will give you the runaround, filtering through search results, etc. Below I will list some specific examples of key areas to save; if you scoff and say you can't do it, put this book down and go buy something! Without patience, it will be hard to cut any corners.

When you want something (i.e. a book), try to hold yourself back from buying it immediately. See if you can find the cheapest price on the internet and wait for shipment.

When you want something large, or you want it now (i.e. a TV), you should go to several stores to compare prices. This includes, perhaps, talking to many different salespeople.

Rather than buying certain items (i.e. greeting cards), you could take a stab at making them yourself.

Try to wait for certain items to go on sale (i.e. buy a grill in October instead of May) or for movies to come out on DVD. If you read that list and thought, "Those are easy!" then you could basically stop reading. While this book has much more meat to it than that, you could start saving immediately just by following those rules. But my point is, if you can't see yourself conforming, then you may just want to choose a better paying job or pick up a second one, rather than focusing on saving money. And I say that with no condescension; I can think of four people I know of, right off the bat, who couldn't possibly do the things I just mentioned!

Get Off Your High Horse!

So many people try to keep up with the Joneses and they're wasting money! Who cares about name brands? Why do you have to have that Coach purse? Okay, that's just my mentality and I certainly know a gazillion people who have to have their name brands (my husband included). So there are two subsections in this section: one geared toward people like me and one geared toward everyone else.

1. If you're like me and don't care about name brands, then you probably already know where to find the bargains: T.J. Maxx, Ross, Plato's Closet, Goodwill, and other thrift stores. But there are also bargains to be had on eBay (buy in bulk and save!) and Craigslist (people often sell large lots of items in the same sizes). If you can spare the time, visit garage sales on the weekends and you're sure to find some steals. I'm a big fan of clearance racks at Target and Wal-Mart, but you have to be willing to wait to wear the clothes, as those items are usually from the last season, such as t-shirts on clearance in October.

2. If you're in the name brand category, then you probably don't know where the deals are. You could continue to shop at your usual stores, but have a little patience! Visit the clearance racks and know you'll have fun clothes to wear two seasons from now. Or find a Plato's Closet or a store similar (Plato's Closet buys and sells gently used brand name clothing only). You, too, could shop at T.J. Maxx or Ross, and even those thrift stores. You'll just have to make sure you have enough time to sift through the non-name brands. On eBay, you probably won't be able to buy in bulk but you will, most likely, save money.

Sometimes, whether you care about name brands or not, there is just one brand that fits and the rest don't. For example, I'm very short and have a difficult time finding pants, as I still have hips and a butt. So, when I feel up to it, I take a trip to the mall and try on, try on, try on. When I finally find a pair that fits, I write down the brand, the model, and the size. Then, I go home and find it cheaper on the internet (my techniques are in Chapter Five). But for the most part, I think you could do without your fancy schmancy names. There are plenty of purse imitations, fake diamonds, tasty cheap wine, and knockoff colognes (and 99.9% of the population won't know the difference)! If you're a name brand junkie, maybe take baby steps with this one.

Be Realistic!

In this book, I begin with your needs, the things you have to buy and don't have a choice to cut out. This category includes utilities, phone services, food, and other living expenses. Let's be realistic and accept that you have to pay for these things- but let's pay less! So if you're really motivated, you should make a list of all the bills you must pay, no question.

I will then move into the category of wants-that-feel-like-needs. This includes items such as cat litter, vitamins, special dietary needs, personal hygiene, etc. Okay, now you're confused ... Yes, my cats need cat litter, but I want them to use a certain brand. I need to eat a certain diet but I want to have that great cereal made by so-and-so. Catch my drift? Thinking realistically, I could buy the super cheap cat litter and save money. Or I could eat yogurt for breakfast and save money (or not, depending on the yogurt). But I don't want to do those things, I want my good cat litter!!! Get it??! So you should make a list of all the items that you could buy cheaper but don't want to. Think laundry detergent, toilet paper, shampoo, pet food, organic produce, etc.

Okay, then I move onto straight wants. You could cook something, but you would rather go out. You don't need another pair of jeans, but you want them. You don't need to spend $100 on your brother's birthday gift, but you want to. Make sense? Make a list of the extracurricular activities, hobbies, and items you know you could do without but would rather not.

You see, this book requires that you look at your spending habits and decide, "Do I really need to eat out every other day?" and "Do I really use that many voice minutes a month on my cell phone?" You need to detach yourself from your "things" and determine which changes you can make and which you can't. For those you can, great! For those you can't, (like the name brand face cream you must have), I'll just help you find it cheaper.

Also, as you read, you may see examples or suggestions that will only save you a dollar or two and you might be tempted to think, "What the heck for?" But look at it this way: If you saved five dollars a week, you'd save $260 a year. What could you buy with $260?!

Chapter Two

This chapter discusses the bills everyone has and you don't have a choice to get rid of. Believe it or not, there are some savings to be had! (Topics are listed in alphabetical order ...)

Car Expenses

These are definitely needs. If you have a car, you have to buy gas and maintain it. More and more people are deciding to repair, rather than trade-in, their cars due to monetary reasons. Here are just a couple of suggestions for saving money in the motor vehicle department:

This one you already know about: FuelEconomy.gov, GasBuddy.com, GasPrices.MapQuest.com, GasPrice Watch.com, MotorTrend.com, etc. etc. You can punch in your zip code and the site will tell you which gas station has the lowest prices.

If you don't have time to look on the internet, just think of the intersection with the most gas stations. More stations means more competition which means lower prices. If a certain station consistently has the lowest prices (or comparable), then think about getting one of their gas cards. You'll earn points and/or rebates on your purchases. Type "save gas" into your internet search engine. While some of these tips may be legit, there are some which are somewhat dangerous and I, personally, advise against them. Under no circumstances do I think a few dollars are worth putting your safety at risk.

For maintenance, look on the internet for coupons. I have found the easiest (and maybe only?) place to get these are on the named website themselves, such as ColonyTire.com, GreaseMonkey.com, JiffyLube.com, Meineke.com, and your local oil change service location. Most of them have a link titled "Coupons" or "Specials" which take you to a page you can print. These same coupons can also be found for dealerships and repair service shops. It's definitely worth your time to do a quick search on their website. Ten dollars is ten dollars! Now might be a good time to learn how to do certain maintenance projects yourself, such as oil changes, brake pad replacement, fluid refills, etc. But this really isn't feasible unless you have the proper tools and someone to hold your hand. Unless you consider that kind of thing "fun," then rest assured you save in so many other areas, this expenditure is okay!

This is more a warning than anything else! Before you leave the shop, look at your engine and check all your fluids. If one isn't filled (and that was part of your service) or something looks fishy, don't leave! Talk to a manager. I now boycott two oil change places because I KNOW they messed up my car but of course I have no proof. I now take my car to a dealership because those places have made me distrustful. I pay more, yes, but peace of mind is worth a lot. I'm not saying you should go spend more money on your oil changes, I'm just saying watch your back! (Shout out to Johnson Lexus of Southpoint inserted here- no, I don't own a Lexus! But wish I did ...)

Check your car's air filter- if it's dirty, wash it or replace it. You can check your local auto parts store or even Wal-Mart or the internet. Your car has to work harder to get air through a dirty air filter, plus it's not good for you.

If you find a store or shop which conducts free diagnostics, amen! Take advantage. Most places charge between $60 and $100 for this service. Another option, of which I don't guarantee the results, is to wait to figure out that "noise" until you have your car in for an oil change. You can ask the person what they think that sound is and you might get a "free" professional opinion. *Disclaimer: I always recommend taking care of funny "noises" right away!

If your car is doing something funky, look on the internet for recalls. Often, you would have gotten something in the mail but maybe not! If there is a recall for a certain part on your car, dealerships are required to replace it free of charge.

If you need some minor part (i.e. the hook that holds your visor, the air-pump-thingy that holds your trunk up, a taillight, etc.) check your local junkyard first. The cost will be a fraction of what you'd pay for a new one!

If you look on CraigsList.com under "Services," you'll find many people willing to make auto repairs and oil changes. I think this is a great resource, I just need to make the recommendation that you go with someone who offers a warranty and that you get all the information you can from such person (address, phone number, a signed receipt with stated warranty, etc.).

Credit Cards

Wow, what a topic. We all have them, I don't care what people say. Knowing that, are we doomed to pay the high interest rates? No.

Okay, let me preface this section because I feel a law suit coming on. I am NOT giving financial advice and I do NOT guarantee the results of your efforts will be successful. There are many criteria involved, such as how much debt you have and how good your credit is. I am not going to get into all that, so by continuing to read, you are entering into a contract with me stating you hold me liable for nothing!

Phew ...

I suppose I could have put this Credit Card section into the next one, as you could technically choose to not pay your credit card bill. But, I am assuming you do pay your monthly bill (of which I am a big proponent) so I have kept it here in the Required Bills section. Also, I am humble enough to tell you that at one point in my life, I was putting my rent on credit cards and that the large savings account balance needed to purchase my last house was due to a cash advance (and my mother- shout out!). So I don't care why you have debt. If you decided that having twenty Coach purses was very important, I don't care. What I do care about is you not giving the credit card millionaires more of your hard-earned money. Be prepared, though, to have patience! You are going to have to make phone calls, no internet shortcuts here.

Get a pad of paper and a writing utensil. Make a list of all the credit cards you have- you can either put them all on their own page or make a neat grid. Under the name of the credit card, put the account number and customer service phone number. (I suggest shredding these sheets when you're finished.) Put the current balance (even if it's zero), your credit limit, and APR. If you don't know these, leave a blank spot for them. Leave spaces for "Balance Transfer Specials" and "Closed?"

Start calling. Fill in all the blanks except for "Closed?" These are going to be information-gathering calls only! The moment you ask about balance transfer specials, the rep will try to get you to transfer. Hold your ground; either tell them you don't have a balance to transfer or tell them you need to think about it and will call back. They're persistent, these people! And ask what the fees are on those transfers.

While you have them on the phone, go ahead and ask for a credit line extension. If they ask how much, just say, "The most I can get." You may not use it, but it will save you a step if you do decide to transfer a balance. Also, I think it helps your credit (not sure on the specifics). Some can give you an answer right away, some you have to wait for. Worst-case-scenario, they say no. Big deal.

Alright, now that your columns are all filled out, you need to analyze. You have a few options:

1. You could choose the keep the balances where they are, avoiding the balance transfer fees. The way to save money by going this route is by calling them back and telling them you want to close the account. They will pretend that is the saddest thing they've heard all year and will ask why. Your answer should include the words, "My APR is just too high." Most likely (no guarantees from me, remember?) they will offer you a lower APR. If they don't, then you should decide whether you want to be affiliated with a company who doesn't try to keep you as a customer. As a side note, do not try this closing method with an eBay Mastercard- they have a totally automated system and you will not be met with a fight! 2. You could decide to take advantage of a balance transfer special. You may wonder if the fees make it worthwhile. Good question! There are definitely a couple things to consider. Let's say transferring two balances would cost you $150 ($75 each) and the new APR would be 1% for six months. If you currently pay $10 a month in interest, each, then in six months you would have paid $120, making the balance transfer not worth it. You'll have to look at the numbers, I can't do that for you. Look at your statements to see how much interest you're paying each month. But be realistic- can you really pay off that balance in six months? 3. If you decide you can't pay off the balance in six months but you would really save a lot of money by transferring, then do what I did years ago! Transfer once, then transfer again, then again. Of course, the fees were much lower then and more 0% APR offers were available. Or, research credit cards to find a special giving you an APR for the life of the balance. I have often opened a new credit card because my current ones had nothing to offer in the way of transferring. Here are some great sites for comparing credit cards (in alphabetical order): Bankrate.com, CardHub.com, CardRatings.com, CompareCreditCards.com, CreditCardGuide.com, CreditCards.com, CreditorWeb.com, and many more. I am not affiliated with any of those sites- you can just do what I did and conduct an internet search for "compare credit cards" and choose the site which suits you best!

(Continues...)

Excerpted from How to Save Money & Still Have a Lifeby Cristy Johnson Copyright © 2010 by Cristy Johnson. Excerpted by permission.
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