| Does the economic uncertainty have you | | | | mortgage at a lower rate, which may be able to |
| flustered? Well, now you can have some sense of | | | | reduce your monthly outlay. I don't like ARMS but |
| accomplishment by cutting your costs and | | | | if believe in an Adjustable Rate Mortgage you |
| therefore freeing up additional cash for saving or | | | | may consider that too. |
| other required cash outlays. There are several | | | | If you rent, you, may consider a smaller more |
| steps you can take to save on your monthly | | | | efficient apartment which can save you quite a |
| budget. I managed to decrease my personal cash | | | | bit. There are many nice properties for rent which |
| outlays by over $4000 per month. | | | | may be better insulated and have more efficient |
| First, review your monthly bills and put them into | | | | utilities. |
| three categories. The First category is "A bill that | | | | I was able to save almost $3000 per month be |
| can not be eliminated at this time". The second | | | | cutting back on some monthly bills. |
| category is " A bill that may be able to be | | | | Next, I tried to make a list of all my expenses |
| reduced". The third category is "A Bill that can be | | | | and reviewed all my credit card and debit card |
| eliminated". | | | | purchases.below is a list of some of the major |
| Then review them with your spouse or on your | | | | costs I incur on a weekly basis: |
| own or even with a friend or family member. I | | | | Out to Lunch $ 10 x 20 per month= 200 $40 per |
| have put together an example to make it quite | | | | month bag lunch |
| clear how to handle this step: | | | | Out to Dinner $ 15 x 20 per month=300 $40 per |
| My monthly cash outlays where varied and our | | | | month bag dinner |
| described below. I was able to reduce my electric | | | | Movies Out $ 50 x 2 per month= 100 $8 per |
| bill from $150 to $98. The Gas Bill went down | | | | month (2 movies per week REDBOX) |
| from $250 to $200. The Water Bill dropped from | | | | Dinner Out with Family $150 x 4 per month=600 |
| $25 to $15. The Cable Bill dropped substantially | | | | $100 per month(2 meals at $50 each) |
| from $180 to $30. The cell phone bill was lowered | | | | Groceries $200 x 4 per month=800 $600 per |
| by 60% and dropped from $200 to $80. The | | | | month(Shop at ALDI's and COSTCO) |
| DSL Bill was lowered by 50% and went from $60 | | | | A savings of another $1200 per month! How did I |
| to $30. I eliminated my Nanny completely and | | | | do that? |
| saved $2000 per month. I do not have any car | | | | Out to Lunch |
| payments at this time. My mortgage payment | | | | I use to go out to lunch everyday but now bring |
| and rent stayed the same at $2950. | | | | a bag lunch and save $160 per month! |
| Electric Bill | | | | Out to Dinner |
| You probably won't be able to eliminate this bill, | | | | I use to go out to dinner almost every night but |
| but there is a good chance you can reduce this bill. | | | | now bag that meal too and save an additional |
| Common Sense will help you reduce your bill. I | | | | $260 per month. |
| was able to buy "Low Energy" bulbs at Menards | | | | Movies Out |
| for under $1 a piece. I replaced all my bulbs with | | | | I use to take the family to to a movie twice a |
| more efficient bulbs. Also, I made sure the family | | | | month. Now I take the "Kids" to the RedBox and |
| was aware of the bill and how important it is to | | | | we get two movies for $2. A savings of another |
| turnoff lights when you leave a room. Also, I | | | | $92 per month. |
| installed solar powered outdoor lights to light up | | | | Dinner out with Family |
| my driveway and walkway. Another way to save | | | | I reduced the dinners out with my family to two |
| is to remember to unplug your toaster and laptop | | | | per month and also picked out more reasonable |
| when not in use. These items pull electricity from | | | | dinners to dine at. A savings of another $500 per |
| your home even when not in use. Also, if | | | | month. |
| applicable consider a small wind turbine,solar | | | | Groceries |
| energy, or other alternate energy source. I am | | | | I stopped shopping at Jewel and Dominicks for |
| planning on installing a wood furnace in my | | | | the most part. I now get most of my canned |
| summer home because it will heat my workshop | | | | goods at ALDI and also shop for meat and some |
| and my house for pennies vs. $100's of dollars | | | | other items at COSTCO. Also, remember three |
| per month. | | | | important shopping techniques. One, buy only |
| Gas Bill | | | | what is on your shopping list. Two, don't go |
| I keep my house set at 68 degrees rather then | | | | shopping hungry. Three, don't bring the kids |
| 72 degrees. Also, if I am planning on being away | | | | shopping or be very disciplined if you do! Also, |
| from the home for any extended period of time, | | | | remember to get whatever coupons you can "of |
| I will change the setting to a lower temperature in | | | | necessary items" from the newspaper, mailing, or |
| the winter and a higher temperature in the | | | | internet. I like to make my list first and then go |
| summer. Also, if you have a fireplace consider | | | | on the internet to coupon sites and try to find |
| changing it to a more efficient Wood Burning | | | | the items only on my list. Don't be tempted by |
| Furnace. | | | | items you don't really need just because you |
| Water Bill | | | | have a coupon, this is a common mistake. |
| I replaced my faucets and shower heads with | | | | Another example of a way to save is make it |
| more efficient plumbing fixtures. These are not | | | | homemade rather than buying a package. The |
| only energy savers but also cost savers. | | | | pre-made foods are convenient but more costly. |
| Cable Bill | | | | One easy way to cook a meal is to prepare it in |
| I got caught up in a temporary price offering | | | | the AM before going to work and cook it in a |
| from Comcast. They raised my prices without | | | | crock pot. I try to figure my meals with a |
| notice after the preliminary time period expired. I | | | | maximum budget of $10 per main course, with 4 |
| got rid of my DVR and switched to just basic | | | | people in my household that translates to $2.50 |
| cable. | | | | person per dinner. A spaghetti dinner can |
| Cell Phone Bill | | | | obviously be very inexpensive maybe $2.00 for |
| I reviewed my cell phone bills and decided to | | | | the whole family but if you buy a roast or chops |
| change carriers to an unlimited plan for less than | | | | or steaks it is difficult to do for $10 sometimes. I |
| half the cost of my existing provider. | | | | will sometimes splurge for a meal around one |
| DSL Bill | | | | time per week and spend as much as $15.00 on |
| I was conveniently put on the fastest DSL | | | | the main course. Also, remember not to cook too |
| service by my provider and switched to a slower | | | | much food. A lot of people cook enough for two |
| but still usable service for around half the cost. | | | | meals and then end up throwing away half the |
| Nanny | | | | leftovers. |
| I eliminated my Nanny and have the wife taking | | | | Also, don't buy drinks or food at gas stations or |
| care of bookkeeping at home rather than driving | | | | food pantries. Plan your food and drink for the |
| into the office. | | | | week and bring it with you from home. For |
| Car Payment | | | | example, I use to buy 5 drinks a day from the |
| I fortunately don't have a car payment but I do | | | | gas station at $1.50-$2.50 per drink and you can |
| own two cars. I considered selling one of my cars | | | | buy a case of pop for $5.00 which could last you |
| but have not done so at this point. You may | | | | all week a savings of about $45.00 per week. I |
| consider selling a car you still owe payments on | | | | have learned the best way to avoid temptation is |
| and purchasing a used car with cash with a better | | | | by paying at the pump, then you can't be |
| gas mileage vehicle. Also look on Mapquest and | | | | tempted to buy something inside the store. |
| they have a gas price listing throughout the nation | | | | I have managed to save about $4000 per month |
| which shows you who has the best gas prices in | | | | which is quite a savings. The economic downturn |
| your area. | | | | has taught me that there is almost an unlimited |
| Mortgage Payment or Rent | | | | number of ways to save money! |
| You may be able to get a new fixed rate | | | | |