Scale Back Expenses

Consider this that you overspend in certain areas of your personal spending that you don't realize. 

Yep, I am in denial too!  However, I just read an interesting article, and given mounting food prices, oil prices and other consumable expenses not to mention challenges folks face with this economic recession, it makes sense to scale back your expenses.  Financially Fit presents a good article regarding financial food for thought.  Below is my take on certain points.

Telecommunications is an area of high expense.  One friend spends over $100 a month on the latest and greatest technology because she has to have speed as well as the latest and greatest technology at her fingertips.  While this example is an extreme, I will say that she and her husband spend 60% more on their monthly telecommunications bill that most.  But consider those who have a house phone number (and pay extra for long distance), a cell phone for Dad, a cell phone for Mom, and then cell phone(s) for teenagers.  Scaling back on just one phone number will enhance monthly spending.  Several friends utilize their cell phones as their only phone.  If one spouse drops their phone and has their office foot that bill, then that is one less expense much less trying to get roaming charges reimbursed for the business trip where office staff and clients called via that cell phone. 

Cancel cable and invest in the digital box for FREE tv.  No monthly cable bill or direct satellite bill will be a significant cost savings (in addition for military personnel, less connection cost charges).  With DSL and other sophisticated technologies, you can view tv downloads online.  In addition, if you workout at the local gym or visit the coffee shop during certain tv viewing times, you can access your tv shows when you want without paying the extra bill.  For the SuperBowl or other special events, it's great to visit a location that allows you to enjoy socializing, eating and/or being without paying for cable.

Grocery shopping in one trip will help reduce that part of your budget that is supereasy to blow.  Of course, it is wise to eat or have a full stomach prior to shopping.  It is also wise to take inventory of your pantry/food supply, develop a meal plan and make a list of the items you need prior to walking into the grocery store.  I allow three items in the grocery basket that were not on the original shopping list.  However, it's important to keep to a budget number.  Impulse shopping is too tempting these days with savy grocers marketing in ways that no one can turn down.

Your HVAC unit is a huge energy user.  If you use only electric, it's important to beware of the outside temperature, the times of the day that the sunlight hits your house/unit and develop a morning and evening approach to adjusting your thermostat.  There are automated systems that will adjust indoor temperatures according to times of day.  It's been recommended to run your unit a few degrees cooler in the cold season and a few degrees hotter in the warmer season. If you have other energy sources besides electric, it's wise to do a payment plan where your monthly amount is the same.  It is wise to contact your local energy provider for a monthly payment option as these variable bills can make or break a monthly budget. 

John D. Rockefeller was adamant about turning off the lights when leaving a room.  Today, it is no different.  If you turn off lights upon leaving the room, unplug items, and/or turn off the computer, tv, and even recharger plugs when not needed, this will reduce energy consumption as well as your monthly electric bill. Our electronic usage is higher versus a few years ago.  Batteries are also expensive to replace.  Reconisider certain purchases.  For example, when buying a toy, it is good to purchase a noise-maker that requires no batteries. 

Other personal expenses to scale back include:
1) groom your pets yourself
2) do your nails and/or spa treatment at home
3) mow your lawn rather than hire someone
4) borrow tools to do handyman jobs at your home
5) clean the house yourself rather than hire a cleaning service
6) cook your family's meals rather than eat out all the time (a 70% savings)
7) wash the car yourself rather than go to a full-service carwash
8) weed your garden or landscaping
9) trade off child care with another mom
10) go to the local park for FREE entertainment rather than pay for tickets

Getting creative with scaling back expenses will enable you to make ends meet, create a sense of pride for the monetary self-sacrifice, and  allow you to reallocate funds elsewhere.