Most home business owners will have months where their income isn’t so great. It’s a part of growing your business. The problem comes when your income isn’t enough to meet your expenses for the month. Suddenly you’ve got trouble. What can you do?

Cut Back

The first thing you can look at is where you can cut back. How much of this you need to do depends on how often you aren’t meeting expenses and by how much.

If it’s just by a little and not too often, you can probably make it up next month without too many worries. Just don’t rely on those credit cards too much, as the interest adds up rapidly.

Figure out where you can cut back by writing out all of your expenses, both personal and professional. This list will give you a visual reference to see what you don’t need to spend money on while your income is down. Some of the little things, such as eating an occasional meal out, can be cut with little trouble.

Business expenses are more challenging. Some things you cannot cut without seriously damaging or destroying your business. Other things are a help, but depending on how your business is doing, you may need to cut them for a time. This may include tools that make your life a bit easier but require a monthly subscription, services you use, or freelancers you’ve hired. If you don’t have the money at the time, you may need to quit using them until things pick up.

This is a classic problem for any business, as it’s easier to make money with all the right tools. You’re more productive with the right kind of help, and cutting back can slow down your recovery. Think carefully and decide if the cuts are the right ones to make, or if you need to find a better way to handle your money flow problems.

Look around for free options for things you pay for now. They won’t always be there, but there are amazing things available online for free. You may lose some features, but so long as you can get the most important features for free, the switch can be worthwhile. That won’t be true every time, so think carefully before you make the switch.

Earn More

Yeah, this one’s obvious. If you aren’t earning enough, you need to start earning more. Easy to say, hard to put into practice.

Sometimes you can do it. It may mean taking focus away from your core business for a time, but you may be able to do it.

You can write articles for other people, for example. You can offer something that takes minimal effort for you to do on sites such as Fiverr… very minimal effort, as the pay is minimal. Find some sort of freelance work you can handle for a time, ideally work that won’t take all of your available work time, so you can still run your business.

If you have anything you can sell, that’s another way to bring in some quick money when you really need it. Selling excess stuff you own also helps get rid of the clutter around the house.

Work extra hours on your core business if at all possible. This is where you want your income to be coming from in the long run. All the things you do to get some quick money so that you can survive can be dropped once you have your core business where you need it to be. It’s hard work, but if you’ve chosen your business well, it will be worth it in the long run.

Taking on a side gig is another possibility. Food and grocery delivery are in high demand in many areas, and there are a number of companies to consider.

• Instacart
• Shipt
• DoorDash
• Postmates
• GrubHub
• Uber Eats

Other side gigs can be done at home. There are many flexible remote jobs that you can work around the rest of your schedule.

Is It Time To Give Up?

Sadly, sometimes it is time to give up on your home business. Not every business succeeds.

Take an honest look at what’s happening with your business. Are you seeing growth? Can you see how your business will eventually be worth the expenses? Is it still a business you’re proud to run?

Just because business is going poorly doesn’t necessarily mean it’s time to give up on your home business. Most businesses are not overnight successes.

You may have to consider the dreaded job. It’s not pretty, but sometimes to make your business work you have to deal with a regular job for a time. Make sure the job pays enough to be worth the added expenses you may face, such as childcare if you have children. Not all jobs are worth it.

The wonderful part about most home businesses is that you have the flexibility to continue working on it even if you have a regular job. You don’t have to give up unless you’ve found that it’s not worth it to you.

What’s most important is to recognize when you need more income, and what you have to do to earn it. Ruining your finances in the hopes of business success isn’t a good plan. Take the steps necessary to keep yourself financially afloat.

The post What To Do When Your Expenses Are More Than Your Income appeared first on Home with the Kids Blog.

Many families are on tight budgets these days, and that can hold particularly true for families with a stay at home mom or dad. Getting by on a smaller income is challenging at times. Sometimes it’s the simple money saving tips that can help you get started.

Not all of the ideas here will be useful for everyone. If your budget is super tight, you’re probably doing most or all already.

At the same time, there are things you can do to save money that aren’t the best idea. These can cost you more money in the long run, and that’s a problem. Sometimes you have no choice, as it may be a choice between doing the thing and eating, but do your best.

20 Simple Money Saving Tips

1. Make a list before going shopping.

A shopping list is a great way to control what you spend at the store. If you can discipline yourself to sticking with the list, you can cut out those impulse purchases that add the small amounts that add up so quickly.

This idea is best combined with the next one:

2. Plan your meals for the week.

Having your meals planned out allows you to more easily make your shopping list and helps you avoid food spoilage, as you know what you’re going to use. Plan to use foods that spoil quickly earlier in the week.

This will also encourage you to eat more often at home, as you’ll know what you were planning on making. You’ll have less reason to eat out because you can’t decide what to make.

3. Make the most of leftovers.

Many people dread leftovers, but they don’t have to be that bad. Some can be frozen so that you eat them a while after you had the meal, rather than so close that you’re tired of that meal. Others can be made into entirely new meals.

4. Buy in bulk when it makes sense.

Buying in bulk does not always make sense. Sometimes it’s one of the worst moves you can make. But when it makes sense, it’s a good money saving move. Canned goods, rice, personal care items and so forth can be cheaper if bought in bulk. Be sure you compare the price per unit (ounces, for example) so that you know for certain that you’re getting a better deal. Sometimes the bulk price difference isn’t worth having to store the extra.

We buy rice at Costco, for example. It’s a huge bag, and most of it goes into our earthquake kit. That excess runs down as I go through the bag, but it ensures that at least some of the food in my earthquake kit is rotated regularly.

5. Just how many phones does your family need anyhow?

Lots of families have more than one phone these days. Cell phone for mom, cell phone for dad, maybe even a cell phone for each of the kids, plus the landline phone for the house. Just how many of those do you really need?

The answer to this will vary depending on your family, but if you need to cut back on expenses, it’s worth reconsidering how many phones you have. Some families get by with no landline phone, but if it’s bundled in with your television or internet service you need to look at what you’d really save by cutting that line.

You may be able to replace some paid options with cheaper or free options. Look at the plan your cell phones are on, and make sure you have the most cost effective one for how your family uses them. My family uses Ting, and our combined bill is rarely over $40. We have four phone lines with them.

Look into services such as Google Voice for when you don’t need a cell phone. It’s a great way to have a free phone line for your home business. Keeping business and personal calls separate is a huge help.

6. Cancel subscriptions you don’t need.

Sometimes subscriptions and memberships are well worth the money. Other times they’re a waste of money you keep paying because you swear you’re going to use it again eventually. If you’ve been promising yourself that for a long time, it’s probably time to save your money and give up the subscription.

One thing we like to do is rotate through a variety of video services, such as Netflix, Hulu, Amazon Prime and so forth. There’s only so much you can watch at a time. Subscribe to no more than one or two at a time and you’ll have plenty to watch without paying for every service out there. Do it right, and you may be able to comfortably cut your cable subscription to save a bunch of money.

7. Walk.

Do you really need to drive everywhere you go? If you’re going someplace close and the weather is right, try walking instead. It takes a little more time, but it’s healthier and cheaper to walk.

If possible, have the kids walk to school. You can go with them if you like.

When we lived close enough, my kids always walked to school. Now that we aren’t so close, I miss it. Not only do I use a lot more gas now, but it takes more time out of my day… and I don’t even get into the pickup line early.

8. Use your local library.

Libraries are a great resource that many people don’t take advantage of often enough. You can get books of all sorts to read for pleasure or to learn from. You can often order in books from other branches if your local branch doesn’t have a title you’re after.

Many also offer DVDs for rent. With all the streaming services available, the library may not be as appealing as it once was, but it may still be a good option for movie rentals.

9. Keep your car maintained.

Cars can get expensive sometimes. Basic maintenance adds up fast, and breakdowns can be even worse. Even so, that maintenance is important, as it keeps your car running longer and more efficiently.

Some things you can handle on your own, such as keeping tires properly inflated. This helps them wear more evenly, and improves your gas mileage.

Sometimes you will have to decide if a repair is worth doing before it’s urgent. My husband’s car had a transmission fluid leak that wasn’t causing problems as such yet, but eventually could have. It cost $400, but that’s better than what it might have cost later.

10. Sign up for free customer rewards programs.

Stores love customer rewards programs, as they give them a lot of data about your shopping habits. I don’t think the privacy lost is too big a deal, but not everyone likes sharing their shopping habits like that. In exchange, you get discounts on certain purchases. These can be quite significant.

That said, my favorite stores give you discounts without requiring the cards, but when the discount is offered, why would you skip it? You can keep some of your privacy by using a Google Voice or other number to sign up, rather than your home or cell phone number. Alternatively, get friends or family to agree on a single phone number to use, and all shop through that card.

11. Make the most of handmedowns.

If you knew how rarely I bought new children’s clothes when my kids were little, you might be shocked. I didn’t buy them much at all, despite having three children. I got plenty of handmedowns, and that solved most of their clothing needs.

They weren’t all from family either. I had friends with children give handmedowns as well. I don’t think I could add up how much handmedowns have saved me. Just be sure to reciprocate as possible.

12. Wait.

If it’s not an immediate need, try waiting before you buy. This is a great way to control impluse purchases at the mall or online.

Wait at least a couple hours, but several days is better. Get past that initial reaction so you know why you want to buy that item. The less it matters, the less likely you are to even remember that you wanted the item in the first place.

Yes, sometimes you’ll miss out. Odds are that it will be okay.

13. Don’t buy your kids so many toys.

Kids will beg for just about any toy they see on television or online. Most won’t be played with all that much and won’t be worth the money they spent.

If you want your kids to be happy, spend more time with them and do things with them. Show them how to do things that don’t require so much equipment. There are lots of free ways to play with your kids.

14. Combine errands.

Gas prices have been pretty painful of late, making it all the more important that you use your car efficiently. The more errands you can take care of in a single trip out, the less gas overall you should be using, plus it’s a more efficient use of your time.

I do grocery shopping after dropping my kids off at school, for example. Not only does it help me save gas, as the store is near the school, it saves time since I’m not going out twice.

15. Find free places to go in your area.

It’s fun to get out as a family, but tickets to get into things can really add up. Fortunately, there are a lot of things you can do for free.

Pay attention to free events in your area. Your city’s website will often have a calendar of things that are going on. My area, for example, just had a music festival that was free to get into, although it would be all too easy to spend a fortune at the booths.

Take your kids to the park if you want a simple way to have fun together, or look for local hikes. You can make fun time out as a family without impacting your budget.

16. Hide your credit cards and debit cards.

Only carry these cards when you need them. You’ll need the debit cards sometimes to get cash, but other times you won’t need to have them with you.

Carrying these cards leaves you more tempted to spend extra money. You can’t do that if you limit yourself to the amount of cash you need at the moment.

17. Pay down debts.

This is especially important for any high interest rate debts such as credit cards. Interest rates really eat up your minimum payments, so the more you can pay down your credit card debts, the better off you’re going to be in the long run.

Paying down credit cards is often difficult. When you’re carrying a balance on a credit card, there’s often a reason. If it’s due to poor spending habits, it’s time to work on that. But if you used them when your income wasn’t enough, it’s more difficult. You may need to find a way to make more money so you can pay off your credit cards.

18. Avoid bank fees.

Banks love fees. They make good money off some of them. It’s to your advantage to be aware of what’s going on with your accounts so you can avoid ATM fees, overdraft fees, monthly fees and so forth.

Take a good look at your monthly statements to see when you’re getting hit with a fee by your bank. Decide if it’s worth sticking with that bank if it’s a fee you can’t avoid, or how you can avoid that fee in the future if you could have avoided it.

There are a lot of online banks to choose from. Many offer better benefits than traditional banks. Look over the possibilities to see which would work for you.

19. Swap babysitting when you need a night out.

If you don’t have willing grandparents in the area available for babysitting, swapping babysitting with friends or family members is the next best thing. Trade off taking care of each others kids so you can all get breaks without spending a fortune on the sitter.

20. Learn to do basic repairs around your home.

If you have basic tool skills, there are a lot of repairs you can handle on your own around the house rather than call in a professional. Add in the resources available on the internet, and you may be able to fix things you didn’t realize you could.

YouTube is an amazing resource for learning how to do basic repairs in your home. I’ve used videos to do a variety of plumbing repairs. I’m too chicken to mess with electrical, though.

3 Money Saving Ideas That Aren’t Worth It

Not every money saving idea is brilliant or worth the trouble. Here are just a few that usually aren’t worth the money saved.

1. Dropping car insurance coverage.

In many states, car insurance is required, making dropping the insurance even less worth your while, as you may have to prove you have it in order to register your car. But even if it’s not required, car insurance is worth the money it costs if you have an accident.

If you want to save money on car insurance, compare plans and make sure you have the best price for the coverage you need.

2. Buying bulk items you can’t use or store effectively.

Buying the right items in bulk is a great plan. On the other hand, buying bulk items you won’t use fast enough or can’t store properly is a huge waste of money.

Some bulk items will need to be broken down into smaller portions so that you can use them effectively. This costs money in the form of packaging, and so may not save you as much as you think.

If you buy meat in larger packages, for example, you need to have the freezer space to store the excess until you’re ready to use it. A large pack of toilet paper, on the other hand, is much easier to break up and store.

3. Buying the cheapest appliance with no regard for quality.

Whether it’s a blender or a washing machine, you should consider quality when buying an appliance for your home. It usually costs far more over time to buy several of the cheapest quality than one of a decent quality. You don’t necessarily have to go for top quality or the highest price, but buying appliances that do the job well and are expected to last should save you money.

You won’t always be able to buy better quality, of course. That’s one of the costs of being poor, that sometimes you have to spend more money in the long run because you don’t have enough money to buy better quality from the start.

The post 20 Simple Money Saving Tips And 3 That Aren’t Worth It appeared first on Home with the Kids Blog.

I prefer to live a fairly frugal lifestyle. While it’s in part due to the limitations of my family’s income, it’s also a personal preference. Being careful about how much you spend, even when you can easily afford it, is just sensible.

Be sure you’re doing smart frugal living, however. It’s not just “here’s the cheap way, let’s do that!” The immediately cheap way isn’t always the cheap way in the long run, after all. You have to consider the long term, at least as much as you can fit it into your budget.

1. Go for quality.

Within reason, you have to consider quality when you buy things. The cheapest product can cost more in the long run if you have to buy it more often than you would a more expensive product.

I’m fond of how Terry Pratchett has Samuel Vimes explain it in the Discworld novel, Men At Arms, in terms of the cost of boots. A cheap pair of boots would cost him $10, and last about a season or two. Better boots would run about $50, but would last for years. This leads him to reason that the rich don’t have to spend as much money on such things because they can buy products that will last longer and cost less in the long run.

Of course, most of us can’t always afford the things that will last best. Still, when better quality and longer lasting products are within your budget, it can be more frugal to spend the extra now, rather than spend more over the long run.

This is especially true for expensive things such as furniture and cars. You want these to last as long as possible, and some extra money spent now can save you more in the future.

Kids clothes, and shoes in particular, on the other hand, you should think about how long it will be until they grow out of them. Some things you really don’t want to overspend on. Buy better quality if they’re something that can be handed down, but if you know your child is going to ruin it, go for the quality that should last until they outgrow it.

We pay more attention to the quality of my son’s running shoes, for example, than my daughter’s, because he uses them hard and can wear them out before he outgrows them. He needs better quality so they last and we don’t have to buy more in the same size. By the time my daughter wears her shoes out, she usually needs a new size anyhow.

2. Buy only as much as you need.

This rule is especially important when it comes to food. About 40% of the food supply in the United States is thrown away every year.  That’s a lot of food wasted, and of course money wasted too.

Think about how you handle your grocery shopping. Do you buy in bulk because that’s what you’re going to use, or because it’s a lower price per unit, and you hope to use it before it goes bad? Are you only buying the fresh meat, dairy and produce your family will use before it goes bad? Do you eat the leftovers you put back in the fridge, or do you throw them out a week later? Do you know what the sell by dates really mean or when the expiration date really matter?

Food waste happens when you eat out too. It’s not just that eating in a restaurant costs more, it’s that the portions often result in a lot of food waste.

If you want to figure out how much you’re spending in restaurants, keep track for a month or three. You might be surprised. My family doesn’t eat out very often, but it adds up fast when we do. Eating at home is a much more frugal choice, and likely to be healthier as well.

This goes for other things too, of course. Think about what the right size wardrobe is for your needs. Rethink that next gadget, and so on.

Are you overspending on your home?

Buying as much as you need goes for the home you live in too. Your rent or mortgage is probably your biggest monthly expense. Cut this one down and you can slice hundreds of dollars per month off your expenses.

It can also be one of the most difficult to cut. Moving costs money. Finding a less expensive place to live that suits all of your needs can be difficult. But if you can make it happen you’ll do your finances a huge favor.

3. Get repairs done right.

When something in your home or car needs repairs, get the job done right. This doesn’t mean be a sucker for every suggested repair, but to spend enough to have the job done right the first time so that you won’t have the thing break down again in a month or two. Mechanics and repairmen can sometimes suggest a cheaper alternative to what really needs to be done when you’re concerned about price, but that may only delay the work that really needs to be done.

Whenever possible, get it done right the first time… and know how they warranty their work in case something goes wrong again. I’ve had my mechanic repeat a repair for free because something didn’t go quite right the first time he did it.

Think carefully, however, before buying an extended warranty. Make sure you know what you’re really getting before you pay for it. Often they’re nothing more than an added expense and don’t give you anything in return. How often have you had something break during what would have been the extended warranty period?

I have bought the extended warranty for a few items, and for a couple, it was even worth it. My laptop developed a bad line across its screen just a few months before the extended warranty ended. The store had to install a new screen for me. I probably would have purchased a new laptop rather than replace the screen otherwise. Laptop screens are on the pricey and difficult side to replace. The store really grumbled about the whole process.

4. “Sale” doesn’t mean “buy now.”

We all love a bargain. Sales are wonderful ways to save money on the things you need, but they’re also great for getting you to spend more money than you should. Just because you see a good deal doesn’t mean you should forget to consider whether or not you need that item right then.

I find it helpful to remember that most items will go on sale again at a later date if it’s something I might need later, but not right now. Stores often have a cycle they go through for their sales. If you know how often things go on sale, you can buy them at a good price when you need them, not just because you saw the deal and didn’t want to pass it up. And if you don’t really need it, even a great deal on it shouldn’t matter at all.

This also goes for any dollar stores you visit regularly. I belong to a Facebook group for my favorite dollar store, and it amazes me how much stuff some people buy there. I mostly get food there (they have an amazing fresh produce section), but many people get all kinds of home decor and other stuff there. Some even get to the point where they know they’re overspending, but they can’t resist the bargains.

Overspending, even on super good deals, is not a part of smart frugal living. No matter how good the deal is, think about whether you need the item or not.

5. Consider your health.

Don’t be so frugal that you damage your health. Don’t be too cheap to eat right, go to the doctor and dentist, take care of yourself. Taking care of yourself in general now can save you a lot of money and discomfort in the long run. This can include simple activities such as taking regular walks to keep fit.

Unless your doctor says you need them, skip the vitamin supplements. Most do little more than give you expensive urine. Some vitamins can even damage your health if you take too much of them.

Make sure you pay attention during open enrollment times for your health insurance.  If your employer offers a variety of selections, you should review your coverage choices every year. You can save a lot of money if you switch to a cheaper plan that still offers all the coverage you need. You won’t find a cheaper plan every time, but it can be a huge deal when you do.

If you have space, starting a garden can be a wonderful source of fresh produce. Even an apartment balcony may be used to grow tomatoes and other vegetables in pots. Think about your favorite vegetables and see if there’s a way you can grow them. So long as you don’t overspend on supplies, this can help you save money.

We planted fruit trees when we moved into our home as a way to save money in the long run. The trees are still young and don’t produce a lot yet, but in years to come, they’ll give us a lot of fruit to enjoy.

And of course, gardening is a nice form of exercise. It’s not terribly strenuous most of the time, but it gets you outside and doing things. That’s good for your health too.

6. Remember that smart frugal living only takes you so far.

Smart frugal living can help you reach a lot of financial goals, but it may not take you as far as you’d like. There are more important things to consider.

Increasing your income, for example, can do far more for your financial situation than most steps you take to live frugally. A raise from your current job can be a help, but sometimes finding a better job will do far more.

What you do with your savings matters as well. If being frugal is the only thing keeping you going financially, you may not have a lot of options. But if your frugality leaves you with money beyond what you need to live on, consider doing one of these things with it:

• Pay off any remaining credit cards.
• Pay off student loans.
• Set up an emergency fund.
• Put money into a 401(k).
• Put money into a Roth IRA.
• Contribute to a Health Savings Account (HSA).
• Save toward a down payment on a home if you don’t own one.
• Save toward a vacation.

Also remember that no matter how frugal you are, spend money on things because they’re fun once in a while. Take a family vacation. Go on a date.

These things don’t always have to cost a lot of money. A trip to a local campground can be a wonderful, memorable family experience. The same goes for a day at a local museum.

If you want to spend more money on experiences, have your family come up with ways to save money up for it. You can make that family vacation to Disneyland all the more memorable if you give the kids the pride of having helped save up for it.

The post 6 Keys to Smart Frugal Living appeared first on Home with the Kids Blog.

I love being frugal. Saving money is a constant goal of mine. But there are a lot of challenges to this. Make sure you’re aware of these frugality traps as you try to live a more frugal lifestyle.

Most of these frugality traps relate to failing to think about the long term. It’s easy to say that this item costs less than that item. But does the difference really justify buying the cheaper item? Not always, and that is what you have to think about.

Trap 1: Cheap Or Better Quality?

There are times where being frugal means spending more rather than less. Think about how long you are going to be using the item. If you’re buying generic rather than name brand foods, in most cases that makes good sense, especially since sometimes the two are made by the same company. Just different labels.

But other times you are buying things that you want to last. Then paying a bit more now means you will not be paying more later.

A simple example would be the cheese slicer I bought a while ago. The wire on the old one had broken and we couldn’t find a replacement wire. So off to the store for a new slicer.

One model had replacement wires in the box with it, while another cost a dollar less but had no replacement wires or obvious way to replace the wire. The wires themselves felt about the same. So I bought the one with the extra wires so that we won’t have to buy another the next time the wire breaks. And in my experience, they do break.

Trap 2: Overbuying

This is the danger of the warehouse store and the really good sale. You buy more than your family can use because darn it, it’s just such a great deal! How could you possibly go wrong?

In a lot of cases stocking up isn’t all that bad. You just don’t want to stock up on things that will go bad on you or take up more storage space than you can spare for it. As you shop, pay attention to when the food will expire.

In the case of clothing, think about whether or not all the stuff you are buying will really be worn. It can be especially easy to overbuy for babies and toddlers, who just look so cute in everything. Just remember that overbuying is why resale shops have so many clothes available with the tags still on them or clothes that look like new.

I always balance how much I buy with how often I’ll have to drive a significant distance to get more. Regular groceries, I know I can get more easily, the store is less than a mile away. I don’t buy more than I need over a short time, usually about a week.

Great deals I may get some extras anyhow. When meat of one sort or another is on a good deal and I have space in the freezer, it makes sense to buy extra and freeze it. If there’s no room in the freezer, it doesn’t matter how good the deal is. I don’t buy extra because we can’t use it.

But if it’s something I can get a better deal by going to Target or Costco, I often buy more. They take 20-30 minutes to get to, and then the same back. That’s a lot of gas for the car and time for me. If I head out to those places, the goal will be to get enough that I can avoid another trip there as long as possible.

My storage for such things is planned accordingly.

I still pay attention to how much I buy on such trips. There’s only so much space in my pantry and other storage spaces.

Trap 3: “But It’s On Sale!”

Similar to overbuying, buying something just because it is on sale is a big mistake. Think instead about whether or not you really need it. All too often, you won’t really need it.

Buying things you don’t need at discount stores is the same trap as buying things just because they’re on sale. I go to my local 99 Only store regularly. The main thing I buy there most trips?

Produce.

Their produce department is almost as good as the one at the regular grocery store, but the prices are significantly better for many things. I can get a bag of bell peppers for $2, usually with a mix of green, red, orange and yellow bell peppers.

I belong to a Facebook group where people share their finds from this store. Many of the members shop daily, some more than once. Some even say their husbands or significant others have had to limit how much they spend there because they buy so much.

I get it. The deals are often amazing. But how much do you really need?

Trap 4: Giving In To The Wrong Things

There are a few ways to give in. One is to go shopping while hungry. It’s said that you will buy a lot more food if you grocery shop while hungry. Your hunger just makes it easier to give in to temptation.

But if you’re shopping with the kids, it’s easy to give in to their ideas. “But Moooooommy!” If you’re a mom, you know the rest of that routine. Just remember that you are the example for your kids and that if you buy everything that they want, they’ll never understand why you talk so much about spending your money wisely.

I don’t mean that you shouldn’t ever give in. There are better and worse times to do so.

For example, we love to take our kids shopping with us when we go to Costco, and we always try to go at lunchtime.

The pizza and hot dogs at Costco are extremely affordable, as are the sodas. The kids feel like they got a treat, but we’ve spent a fraction of what we would have at a fast food place.

And then there are the free samples to top things off.

When my kids start wanting to buy a lot of treats is when I start reminding them to bring their own money. Sometimes the treat isn’t worth it if they’d have to spend their own.

Don’t forget the occasional, reasonably priced treat for yourself as well. It’s much easier to maintain self control if you allow yourself reasonable treats. You won’t feel so deprived that you just have to splurge on the big one.

Trap 5: Repair Or Replace?

This is one that can be true torture. The washing machine breaks. Is it time to replace it?

The main reason this is difficult is because so many things are designed these days to be cheaper to replace than to repair. But I would always suggest looking at the repair costs, especially if they turn out to be minor. Not every breakdown means a huge repair. Just think of all the little stuff you have to take your car to the shop for.

Once you decide to repair, make sure that you get it done right. Having to get a repair done over again is guaranteed to increase the cost.

For your car, this means picking a really good mechanic. Ask around. You can generally find a friend or neighbor who knows a truly wonderful and affordable mechanic.

For other repairs, do your homework. Get quotes for really big repairs, and don’t ask for the shortcuts if it means the repair won’t hold up.

Trap 6: Focusing More On Saving Than On Earning

Saving money on the things you need or want makes sense. Know what makes even more sense?

Increasing your income.

In the long run, if you want to have more money saved up for the big things you want in life, a larger income may do more for you than being frugal. You still can’t overspend when you have a larger income, but it will give you more flexibility.

Earning a larger income also helps as the cost of things go up. Frugality won’t beat out inflation. Increasing your income might.

Let’s assume your family’s monthly expenses are $3,000. That may be low or high, depending on the size of your family and where you live. The average cost of living depends on a lot of factors. This includes mortgage or rent, groceries, insurance, car payment, phone, utilities and so forth. All the things you have to spend money on every month.

You spend some time bringing some of the individual costs down. You find a way to cut your monthly expenses by $400. It was tedious but feels really good. You now have a little more flexibility in your budget.

The problem is that once those expenses are cut, there’s nowhere to go.

If you want to have more money available to your family, you have to earn more money. You have a number of options to do this.

Improve Your Career

For parents who work, putting some effort into improving your career can pay off very well.

This doesn’t have to be at your current job, of course. If your current job is going nowhere, the improvement you need to make to your career is to get into a better one. It’s time to upgrade your skills.

But if you have good opportunities at your current job, find out how to make the most of them. Look into what it takes to get the best raises. Figure out which promotion opportunities interest you. Discover how to get from where you are in your career to where you want to be.

Sometimes you can stay in your industry, but change employers to improve your career. Current employers don’t always value employees as they should. If you should be earning more in your current job, or you aren’t getting the promotions you think you deserve, it’s probably time to move on.

Don’t quit your job to look for better opportunities, however. Most employers want to see that you’re currently working. It often improves your value in their eyes.

Have Both Parents Work

If your family has one parent working while the other stays at home, having the stay at home mom or dad start working can be a quick way to increase the family’s income.

This can be difficult when the kids are young enough that childcare is an issue. It’s not at all uncommon that childcare expenses will take up an excessive part of the family’s income, or even exceed the total of one parent’s paycheck.

Sometimes this means it’s not worthwhile to have both parents work outside the home. Other times it means you need to look at the long term.

If the income issue is short term, for example, it can be worthwhile to take the financial hit for a time, with the understanding that a future increase in income will take care of that problem.

Other times you may need to look at alternative arrangements. I know families where one parent works during the day and the other at night while the children are young. It’s hard on the marriage seeing each other so little, but it can be a worthwhile sacrifice to keep the family financially afloat.

You may also be able to find friends or family who are willing to help with childcare as needed at little to no cost. Don’t push someone if they aren’t willing – this works best when someone comes forward to offer and you discuss the arrangements in detail.

Or you could always…

Start A Side Gig Or Find A Way To Work At Home

Starting a side gig or finding a way to work at home is my favorite way to help out a family’s income. You may or may not need more childcare when you do this, but you can plan this out to deal with the fact that you have kids.

Some side gigs and work at home jobs really aren’t good if you must have the children with you. You don’t want to drive for Lyft if you don’t have enough time without the kids.

Customer service jobs and other jobs over the telephone can be problematic if you have children as well. Some of these jobs require absolutely no background noise, or you’re likely to get fired. You don’t want to lose your job just because the kids didn’t understand that they needed to let you work.

Fortunately, there are a number of side gigs and other ways to work at home that are flexible enough that you can do them even with the kids around. Fewer distractions are better for productivity, but not an absolute must for some of these positions:

• blogging
• transcription
• social media management
• website testing
• software development
• website design
• babysitting
• selling crafts on Etsy or similar
• writing
• mystery shopping

While having kids underfoot can make these jobs more difficult, they don’t make it impossible. That’s a huge help when you need to earn money from home and can’t pay a sitter.

Invest

The younger you start investing in things such as your retirement, the better off you will be in the long run. Even stay at home moms and dads should plan for retirement whenever possible.

It’s rarely easy to find ways to add to your investments when you’re on a tight budget. But do what you can.

If you have a job that offers a 401k, for example, make the most of it. This is especially important if your employer gives matching contributions to whatever level. If you can max that out, the money is out of your reach before it hits your bank account, and that’s often easier to deal with.

If you have the self control, consider contributing to a Roth IRA or Spousal IRA if you have a spouse who doesn’t work. This money will make a huge difference to you later in life.

I hope these tips help you to avoid the most common frugality traps. It’s sensible to be frugal, so long as you don’t take it to extremes. Be sure to balance it with progress toward a higher income so that you don’t run out of ways to save money when you need them most.

The post Are You Falling Into Frugality Traps? appeared first on Home with the Kids Blog.

Have you ever noticed how much you can save when buying in bulk? When you do it right, the price per unit savings are amazing. Do it wrong, however, and you waste a lot of money. What things should you buy in bulk?

Let’s start with the most important things you should NOT buy in bulk. That’s anything you aren’t prepared to deal with. If you can’t store it and/or use it in time, bulk buying it will be a waste of money. Okay? That’s just the beginning of what not to buy in bulk. There are a few more things you should consider before buying anything in bulk.

What To Consider Before Buying In Bulk

While you can save a lot of money buying in bulk, you can also waste a lot if you do it wrong. Start considering the financial angle before you buy a bunch of anything.

This includes if you can afford to buy in bulk, of course. If bulk buying is going to ruin your budget, it’s just not a good idea. It’s as simple as that.

You keep buying in bulk from ruining your budget by being sensible about it. Don’t buy everything you can in bulk right away. Spread your purchases out so they’re more affordable. And always, always watch for sales and other good deals.

You also need to consider how long your purchases will be good for. You don’t want to buy fruits and vegetables in bulk, for example, unless you’re ready to preserve them. Even then, you’re usually best off canning produce you’ve grown rather than bought unless you got a very good deal.

Other products expire too, of course. Make sure you know not only when the package says it expires, but when it really goes bad. A lot of expiration dates on packaging don’t mean all that much. Other times, they mean a lot.

Do you know where you’re going to keep all your bulk purchases? Storage is a huge problem when buying in bulk.

My husband likes to buy rice at Costco, for example. Those 50 pound bags aren’t exactly convenient to use or store. But we have a pretty good plan for using them. We break the rice up into smaller packages, some of which go into our earthquake kit. Doing it this way means the earthquake kit rice gets switched out regularly, keeping it fresh, and the huge bag of rice becomes manageable.

Make Buying In Bulk Make Sense

It’s easy to go overboard when buying in bulk. That huge package has to be a good deal, doesn’t it?

Bulk isn’t always the best deal, however. If you aren’t checking the price per unit in comparison with smaller purchases, you might not be getting the best deal. This is especially true if you consider weekly store deals and coupons. Sometimes smaller is better.

You can also keep from going overboard by planning your bulk buys with someone else. Find a friend or family member who would be willing to split larger purchases with you. This will allow you to get some deals that might otherwise be unreasonably large. Be sure to check in with them before you make a purchase so that you don’t find out after that they weren’t interested.

Bulk buying isn’t always about large packages, of course. Sometimes you bulk buy several normal size packages and put the extra in storage. I do this quite a bit when the dollar store by me has a great deal. Do your buying in bulk right and it will help you save on groceries.

What Goes Bad Easily?

Some things go bad in storage more easily than others. It’s just their nature. Here are some examples. I’m not going to list fruits and vegetables – you know those won’t last unless you work to preserve them!

Medications: It may seem like a good idea to keep a stash of medications, but make sure you know whether they’re safe if kept around for a while or not. Some merely decrease in effectiveness. Others become toxic. Read up on the particular medications you want to store so you know what happens to them over time.

Flour: Flour lasts for approximately a year in the pantry, less if it’s whole wheat. Whole wheat flour, in particular, may develop a rancid scent when it has gone bad.

Nuts: Nuts make a great snack, but they don’t last forever. If they have been stored too long, the oils in them will go rancid.

Spices: Lots of people have no idea if the spices they have in their cabinets are really all that good anymore. Spices lose their flavor over time. If the spice doesn’t smell as strong as it used to, it’s not as good as it was then either.

Soda: Soda may seem fairly shelf stable, but it’s awful if it manages to go bad. Besides, it’s not good for you. Keep your supply of soda limited. Besides, soda goes on sale pretty often. You don’t need to store that much of it.

Okay, okay, on to the things that you should consider buying in bulk.

What Should You Buy In Bulk?

The basic rule for things that you should buy in bulk is anything that’s a good deal, you can store, and it won’t go bad. Here are just a few things you can consider.

Toilet Paper: You know you’re going to use up however much toilet paper you buy eventually. It won’t go bad, but it can be a pain to store if you buy more than a few packages. I keep our excess under the laundry room sink.

Detergent: Whether for the laundry or the dishwasher, you can often get your best deals on detergent in larger packages.

Soap And Shampoo: Soaps and shampoos don’t tend to go bad. If you can get a good deal, go for it. Watch your price per unit, though. Sales and coupons can make smaller amounts a better deal fairly often. I like to buy large containers of liquid soap and pour it into smaller containers for use.

Dry Rice: I mentioned above how we buy the 50 pound bags of rice at Costco. Dry rice lasts indefinitely if properly stored. It’s well worth buying in bulk if you have large containers you can seal it into.

Dry Beans: If your family eats them, anyhow. I keep some around, but my kids don’t like them at all, so I don’t bulk buy these personally. They are in my earthquake kit because they can be stored indefinitely.

Dry Pasta: Pasta, on the other hand, my kids will eat. Dry pasta is easy to make but doesn’t go bad quickly so long as it’s dry.

Cereal: I love it when I spot a really good deal on a cereal my family enjoys. The box size is usually the same as normal, so you just have to buy more boxes when a good deal comes around. I’ve often seen boxes that are normally over $4 each drop to $1.25 each at times. It keeps well so long as the package is sealed.

Canned Food: Most canned food will still be good beyond the best by date printed on the can. You probably don’t want to buy canned food in extra large cans unless you have a need for that quantity all at once. It won’t stay good forever once that can has been opened.

Cooking Oil: With a caveat. Don’t buy more cooking oil than you can use before it goes rancid. Different types last anywhere from a few months to a couple years once opened.

Meat If You Have The Freezer Space: If you have the freezer space and can seal the meat up properly, you can get a much better deal on it in bulk. Some people even buy a whole, half, or quarter cow. It may cost more than prepackaged beef, but it’s usually a higher quality beef. For most of us, the warehouse store is just fine.

Pet Food: Most pet foods are dry or canned. They keep pretty well. Dry pet foods should be kept in a sealed container after opening, not only so that it stays fresh, but so that it doesn’t attract pests.

Printer Paper: My kids can go through a fair bit of printer paper for school projects at times. Some are turned in online, but there are times that they have to hand assignments in after printing them out. I also keep a small supply of printer cartridges on hand – the off brand ones are cheap and work just fine for our needs. Keep a supply of binder paper on hand if you have kids in school too. You never know when they’ll need more… aside from about an hour after the office supply store closes the night before the assignment is due.

Pens And Pencils: Kids in school go through a lot of pencils, and pens love to get lost. Put those together, and you could probably use to keep a supply of these on hand. Extra pencils are also nice if your kids’ teachers sometimes send supply requests home. Pencils are almost always on the list.

There are many other things you can buy in bulk. Many household supplies, office supplies, and personal care items can be bought in bulk. Some will expire; others won’t. Make sure that if the container is too large for convenience that you have a way to move the product into a container you can use. Think about toothbrushes, dental floss, pads or tampons, light bulbs, storage bags, and your preferred cleaning products for around the house.

Where Can You Buy In Bulk?

You can buy in bulk many places. Warehouse stores are a popular option for buying packages that are actually larger than normal. However, you can also buy in bulk at your normal stores. Just watch the sales and coupons. Normal size packages can be worth buying in bulk when the right deals come along.

If you have a good dollar store by you, they can be great for bulk buying as well. The one by me gets some amazing deals… you just have to catch them before the product runs out. That happens fast when the deal is really good. Sometimes it’s snack foods such as granola bars, but healthier items come in as great deals too.

Don’t forget to check online. Some products are cheaper on Amazon than they are locally. Prices vary over time, so you will need to look at the things you buy and compare prices for yourself. They sell some products in bulk sizes.

Take a look around in your area and figure out what places are your best options for you to buy in bulk. Much of your success with this will depend on what’s in your area.

The post What Things Should You Buy In Bulk? appeared first on Home with the Kids Blog.

How much do you spend on children’s clothing? It’s easy to spend too much. They outgrow clothes so quickly, especially during growth spurts. Finding ways to save money on children’s clothing can be a help to your budget.

Some tactics are easier when the kids are younger and don’t much care about where their clothes come from. Older kids may want more say in what they wear and where their clothes come from.

The first rule is, of course, to avoid impulse shopping. Buying only what you need will always help you save money.

Infants and Toddlers

Infants and toddlers are in many ways the easiest to shop for, if also the most tempting for dressing them up cute. Most parents end up with far too many clothes for their kids at this age after baby showers. They’re so easy to buy for and the clothing is often just so cute.

If you had a baby shower, take a good look at what you really have for your baby before you start buying. You may not need that much. Keep doing this as your kids grow and you fail to realize just how many clothes they have received as birthday presents or at other times.

It’s also a great time for shopping thrift and resale shops. An amazing amount of infant and toddler clothing makes into such places unworn or so close to it you’d scarcely notice the difference. The savings can be a real delight.

Don’t stress about sizes on baby clothes. They vary so much! Go by what fits your child, not by what the tag says. This will be true to a degree as kids get older, but is especially an issue in baby clothes.

Shopping for Older Children

As kids get older, shopping for them gets more difficult. Even preschoolers may start to develop a distinct fashion sense or start to prefer name brand clothing. Gently used clothing that still meets their preferences becomes more and more difficult to find.

You can still find some good clothing at resale or thrift shop for your kids. As they develop an interest in how they are dressed you will need to let them help you pick appropriate clothing. Some kids can develop a real sense for the bargains to be had at resale shops.

As long as you can, discourage them from wanting only brand names. And if brand name isn’t in your budget, consider it a lesson for your children on living within your means. There is no rule saying children have to be dressed in brand name clothing, no matter how much they want to be like their friends.

Outlet shops can also be a great resource. When you give in on brand names, try the outlet shops rather than the department stores. You should be aware of the regular price as well as what you could get the items on sale for, so you know what a good price is at the outlet.

Shopping at the right time matters as well. You won’t always have your choice with kids – if they have a growth spurt and outgrow the clothes you have for them sooner than you are ready for them to do so.

But whenever you can, be prepared to shop at the right time. Good times to find the best deals include the end of the season and after holidays. Just be careful about buying too much in advance – you might end up buying items that never get worn.

Then there’s the piece of advice my son’s pediatrician gave at his most recent checkup. My son is at that age where he is getting tall! She told me to buy shorts rather than long pants as much as possible for him. Long pants are outgrown much more quickly than shorts.

Handmedowns

At any age, don’t forget the value of handmedown clothes for children. My sisters and I passed so many clothes down through the years, starting when the kids were babies. Some outfits made it through five kids, and there’s one jacket, still going strong, that is nearly 20 years old now. It’s still beautiful and every girl has been reluctant to give it up even after outgrowing it. Yes, that’s it in the snow picture above.

Handmedowns went so well for us that the younger kids had almost too many clothes at times, as each family would add just a few new items to the batch. It was pretty amazing how well this worked for us.

You can do handmedowns with friends too. All you need is a group of people willing to pass kids’ clothes back and forth, and kids with the right age separations to make it practical.

Some kids will get grumpy about handmedowns as they get older. The big thing I do is make sure that there are some new clothes for each child, and not just handmedowns.

Timing of handmedowns can help as well. My kids have to wear uniforms to school, so they get their handmedown clothes at the end of the school year, when they can actually wear them regularly. This makes them a lot more exciting. They get out of school and have a whole new wardrobe for summer!

Kids who don’t have school uniforms are more likely to appreciate new clothes when school starts. There’s something so nice about having new clothes for school, and I think most of us remember that. Even if it’s just new to your child and not new from the store.

Online Shopping

Shopping online with a trusted merchant can be a fair deal as well. You can find quite a range of clothing at Amazon, for example. The one disadvantage is that the clothes cannot be tried on beforehand. If you have Amazon Prime, it’s usually not much of a problem, as many clothes will have free shipping.

There are a lot of other places online where you can get children’s clothes for cheap. If you want used clothes, ThredUp may be an option.

Rarely Worn Clothes

Some clothes your kids will wear only rarely. Sometimes you can get away with buying an extra large size in rarely worn clothes, so that you get an extra year or so out of them.

Think about winter jackets in places with mild winters. My kids need a heavy jacket no more than a couple times a year, so if I have to buy one, I get it in a larger size than they need. Same for snow boots. Boots can be worn with extra socks to make them fit better, which isn’t a bad idea in cold weather anyhow.

Don’t buy oversize in things that oversize will be uncomfortable or awkward. You want your kids to use the clothes, not hate them.

Sell Old Clothes

If you aren’t doing handmedowns, selling old clothes can be a great way to get some money back on anything your kids haven’t completely ruined. Many will go through phases where they ruin a lot of clothes, but anything still in good shape could be sold.

You can go the traditional route and have a garage sale every year or two, for example. You can sell some clothes on eBay or Poshmark, or sell them to ThredUp or Swap.com. Just make sure you understand what you’re getting into if you send your clothes to ThredUp so that you aren’t disappointed in what they give you.  And of course you can shop for clothes on any of these as well.

Some people do well selling their clothes on Instagram. The advantage here is that you don’t pay a commission, although you may have to deal with Paypal fees.

Avoid Single Use Items

When it comes to special occasions, it can be easy to want to buy something special for your child. These special items can cost more than regular clothes, yet you might only use them once.

Special occasion clothes were always my favorites for handmedowns or thrift stores. They don’t cost much that way.

I also do what I can to find special clothes that can be worn more than once. Don’t choose a super Christmas-y outfit for a child if there’s one that could be used for other holidays as well.

I also suggest buying fancy shoes for kids as rarely as possible. Kids want to run around, and fancy shoes make that more difficult. Sure, they’re cute, but they scuff up too easily, or the decorations get ruined. Kids don’t need really dressy shoes for most occasions. Take some time to consider if this is really one of those times.

It’s not always easy to save money on children’s clothing. Doing so can mean you teach them not only about how to look nice but also how to live within your means. Both can be valuable lessons.

The post How to Save Money on Children’s Clothing appeared first on Home with the Kids Blog.

People are getting their tax refunds at this time of year, and are ready to spend them. A lot of people, however, don’t spend them wisely. Suddenly you have a chunk of money right there, ready to be spent. It’s easy to use that unwisely. These are some of the tax refund spending mistakes many people make, along with some suggestions for smarter choices.

These situations aren’t true for all families, of course. Something that’s a mistake for one is just fine for another. But all too often, there’s a smarter choice available. The tighter your finances are for the rest of the year, the more careful you should be when spending your tax refund.

Major Tax Refund Spending Mistakes

Most times, it’s a mistake to spend your tax refund on these things. Not always, of course, but if you want to do this, make sure you know why you’re spending your money this way and be sure there isn’t something smarter you should spend your tax refund on.

That New TV

Getting a new TV, smartphone, or whatever gadget you’ve been eyeing is often a tax refund spending mistake. Sure, they’re nice to have, but how much do you really need it? Why couldn’t you afford it before?

If you’re spending your tax refund on something like a TV, think about why you’re spending it that way. If it’s just “I have the money now” and not “That’s how the timing worked, and the old one is about dead,” you may need to rethink things. You’re smartest to buy such things when they really need to be replaced, not just because a chunk of money came in.

If you couldn’t afford it without the tax refund, is it really affordable with it? Maybe there’s a better way to spend your money.

Other Splurges

It’s easy to want to splurge when you get extra money in your account. I get that. But it’s not a good idea to spend your entire refund on stuff that won’t last.

Whether it’s a new wardrobe or a nice vacation, really think about why you’re spending your refund that way. Be sure your priorities are straight. There are good reasons to spend your refund on things like vacations (you can’t beat the memories!), but not all reasons are good.

The Wrong Down Payment

There are times when it’s the right move to spend your tax refund as a down payment on something, such as a new or newer car. Other times it’s a huge mistake.

Don’t use your tax refund as a down payment on something you will struggle to make the monthly payments on. Just because you have enough money for the down payment doesn’t mean you can afford the thing the rest of the year. Keep it sensible so that you don’t add to your money troubles after the tax money is gone.

Gambling

Some people can’t resist gambling when they have some extra money. It’s that dream of hitting it big, and you have a system, right?

Casinos look as amazing as they do because people lose a lot of money there. Odds are that you’ll be one of them.

If you really want to gamble, only use a small part of the money for that. Don’t risk your entire tax refund. If you have a good day gambling, you have some extra money. If the odds aren’t in your favor, you’ve only lost that part of the money, and still have the rest to spend more carefully.

What Should I Spend My Tax Refund On?

The right choice for what to spend your tax refund on depends on your situation. If any of these apply to you, however, they’re probably a good choice.

If you’re getting a huge refund every year, odds are that you should adjust your withholdings. Remember, this is money you put in. If you change your withholding, you’ll have a little more money each month, rather than having it sit around until you file your taxes. You can put that money to better use if you get it as a part of your regular paycheck.

Credit Card Debt

Credit card debt is expensive. If you get a big tax refund, spend it paying down that credit card debt. It’s so hard to get out from under it that the boost should help you quite a bit. Getting rid of credit card debt is usually a wonderful idea. Considering how high credit card interest can be, there are few things that can beat paying it off for financial benefits.

Household Repairs

Are there any repairs around the house that you’ve been delaying on because of money? Spending your tax refund getting your house into better shape is probably a good idea.

You might look into better insulation for your home, new windows, a new roof, new carpeting or flooring, or planning a remodel of your bathroom, just for some starter ideas. Depending on the size of your tax refund, it may not pay for the entire amount, but if you can afford to make these changes with your tax refund money, this is a great time for it.

You may even be able to consider getting solar power if there are good deals on it in your area and your electric bill is high enough for it to be worthwhile. In my area, solar companies try to get the monthly cost to less than what you’re paying for electricity, so this could be a good deal regardless of the size of your tax refund.

Start An Emergency Fund

How prepared are you financially for an emergency? Do you have a few months’ income saved up? If not, spend your tax refund by starting an emergency fund for your family.

This is money you try hard not to touch, even though it’s fairly accessible. Keep it separate from your regular spending money, at least in terms of how you track things. This way you don’t have to touch the credit cards if you need a major car repair, a pet gives you a huge vet bill, you need a new refrigerator, and so forth. An emergency fund will cut down on the stress of these events.

Try for a high yield savings account for your emergency fund if you can. This should keep it accessible for emergencies, but still let it earn a bit of interest.

Invest

How does your retirement portfolio look? Have you been good about contributing to a Roth IRA or other retirement account?

If you have room to contribute, this is a wonderful use of your tax refund that will pay itself back when you retire. Most people don’t have enough money saved up for retirement. You can give yourself a boost by adding an appropriate amount of money into your retirement account. This is especially important for stay at home moms and dads who often struggle to contribute to a retirement account.

If you can’t contribute more to a retirement account, how about a regular investment account? It won’t have the tax advantages of an IRA, but it’s still a good way to make your money work for you.

A Sensible Vacation

Taking a vacation can make a lot of sense, even though they can be expensive. You can’t beat some of the experiences you can have while on vacation.

You need to keep it sensible, however. Don’t take a vacation that is far beyond your means. The money you spend on vacation, even if it comes entirely out of your tax refund, should make sense in light of your overall financial situation.

Improve Your Career Or Business

Have you been waiting for the money to improve your business or career? This is a great thing to spend your tax refund on because it should pay you back.

What would you like to learn that would help you to earn more money? Now is the time to take action and do it. You could learn to be a virtual assistant and start a whole new business from home, for example. You could learn a skill that would make it easier for your employer to promote you.

Whatever you choose, be sure that it’s a wise choice. Don’t fall for a scam.

The post Watch Out: Tax Refund Spending Mistakes Many People Make appeared first on Home with the Kids Blog.

Dealing with financial issues can be one of the most difficult things you do in a marriage. It’s common to have different financial priorities. They aren’t always easy to talk about. Money problems are often cited in divorces. Financial issues have to be discussed in a relationship, yet it’s a topic many would as soon avoid. That’s why there are so many money mistakes that can mess up your marriage.

Not Discussing Debts

Many families have debts to deal with, from paying off college loans to credit card debts to your mortgage. Paying on these debts can take up a major chunk of your income, and limit the things you can do. Failing to discuss what this means to your finances and your marriage is one of the easiest money mistakes to make.

This can be especially difficult when dealing with debt that one spouse held before the marriage. Sometimes there’s disagreement on whose responsibility it is, or if the responsibility is shared. There may be resentment that one person’s debt is making finances difficult for the entire family.

When you marry, everything about that person comes with it. That includes debts. It’s important to know what debts are being brought into the marriage before it happens, and more important to deal well with them during the marriage. No blaming the other person for them, especially if the debts paid for a college degree that helped them into a better job. You need to be partners in handling debts, regardless of how they happened.

Of course, if debts are due to the poor spending habits of one spouse, that’s another discussion. And it’s important. Spending too much is one of those money mistakes that makes problems worse.

Not Making A Budget

Having a budget can cut down arguments over finances. They are often difficult to agree upon. It’s vital to sit down and take a look at your expenses and what you can afford to spend on non-necessities.

Once you know where you have to spend money and what it comes out to, you can consider the places each of you would like to spend money. Some couples give each person a monthly allowance. Some have a price limit after which they need to check with their partner for approval. As a couple, you need to decide what works for you together. How much freedom you can give each person in spending will depend on how much extra room you have in your budget.

Do your best to have room for savings toward retirement, big purchases and vacations, as well as for emergencies. This may not be possible if your budget is tight, but it’s a huge help when you can manage it. There are a lot of ways to save money, just make sure that they’re worth it.

Not Sticking To A Budget

If one or both partners fails to stick to a budget, having a budget has very little benefit. Poor spending habits can increase credit card debt, which gets expensive fast.

If one or both partners in a relationship constantly ignores the budget, you’ll have problems. It will be much like you have no budget at all. Knowing what you can afford to spend and keeping to those limits is a huge help in avoiding financial stress in your relationship.

Paying Too Much Attention To Income Differences

It’s rare that a couple brings equal incomes to the family. Sometimes they let this be a point of contention. The higher income spouse may argue that they should have more personal spending money because they earn more. The one who earns less or nothing at all may find it difficult to speak up when he or she needs more money for something.

The vital thing to remember is that both partners bring different things to the family. The spouse who earns less may work just as many hours as the one who earns more. One might be a stay at home mom or dad, and that’s their contribution to the family.

Some jobs may require spending more in terms of wardrobe or other things. In most ways, however, both spouses should have equal opportunities to spend money on themselves. The money either person earns should belong to the family more than to that person. Who earns the most shouldn’t be an issue.

Failing To Assign Responsibility For Bills

Even with the auto pay option most bills have these days, couples should know who is going to pay which bill, and when it is due. This helps you to avoid unpaid bills.

The simplest thing to do is have a joint account for all household bills. This includes rent or mortgage, utilities and other necessities for the family. Many couples choose to have separate accounts for personal spending if they can afford it. Having shared bills paid from the joint account makes it easier to be certain that the money is available for those bills. If times are tight, money from individual accounts may have to go to the shared account to help out. Keeping on top of regular bills is far more important than having fun money.

Some bills you still have to remember to pay on time. I just had to send in the registration payment for my husband’s car, for example. I handle most of the bills that aren’t on auto pay here because my husband and I both know I’m more likely to remember them.

Failing To Compromise

You aren’t always going to agree with each other right away. Sometimes you will have to compromise on financial issues. Don’t make this too difficult, so long as the compromise requested is reasonable for your financial situation. Talk to each other about why you see things differently. Most times you should be able to come to an agreement that works.

Failing To Work As A Team: One Of The Biggest Money Mistakes

If you’re in a marriage or other long term relationship, you need to work as a team toward your short and long term financial goals. Talk out your disagreements about money. Plan for your financial future.

If one partner makes a mistake and goes off budget, talk about what happened and how to avoid the same problem in the future. Don’t keep dragging it up forever once the problem has been resolved. Reminding someone that they’ve caused the family financial distress isn’t productive for long. It’s certainly not productive if their habits have since improved and your budget is in good shape again.

Don’t let money mistakes mess up your marriage without trying to talk them out. You can make things work if both spouses are willing.

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Groceries aren’t the largest expense for most families, but they are one of those areas where you may be able to make changes and save money. This can be significant for many families. Here are some simple strategies you can consider to save on groceries.

Saving money on groceries is rarely the only solution when a family is having financial problems. It’s one place many people can use to be more frugal, however.

Dollar Stores Can Help Save On Groceries

I love my local dollar store, 99 Only. They have locations in California, Arizona, Nevada, and Texas. Not everyone will have one available, but they are my absolute favorite dollar store for one simple reason.

Their produce section.

The other dollar stores in my area don’t bother with fresh produce as a general rule. 99 Only not only has fresh produce, some of it is organic. You have to be a little careful when buying it, as some locations aren’t as careful as they should be about freshness. When you get the produce fresh, it’s wonderful, especially considering the price.

For example, the other day I bought a package of yellow, red and green bell peppers. Six of them for $2. Even Aldi doesn’t beat that price in my area. I get much of my fresh produce at 99 Only because I know when they usually put out the fresh stuff, and it’s such a good deal. They carry an excellent range of produce.

My bell peppers from the dollar store. There were 6 in the pack, but my kids snagged two before I got around to taking a picture.

They sometimes get amazing deals on other things. Bacon from various companies comes in, and some of it’s very good. They had a shipment of grilled, marinated artichoke hearts come in. I may have gone somewhat overboard on that find (15-20 jars, but they’re at least $5 at the grocery store so I went a little nuts). The kids love it when the granola bars come in, the same brand as we get at the grocery stores the rare times I will buy them. The random deals like these make every trip a hunt to see if there’s something unusually good available that I’ll probably never see there again.

Dollar stores are often good for canned goods and frozen foods. You can also get a lot of stuff for decorating your home around the holidays, dishes, cleaning supplies and more, but that’s not the topic for today. Just check your local dollar store if you’re not familiar with it and see what they carry that is good. There might be some surprises.

If you find a dollar store you like, see if there’s an active Facebook group for it, especially a group local to your region. I learn about things I should keep an eye out for that way. It can be frustrating if I miss something good or if my local store doesn’t get the item, but overall I’ve found this a useful tactic.

Aldi

If you have an Aldi in your area, you probably know that the prices are very good there. The stores are on the small side, so the selection may not be all that special, but there’s generally enough to make a stop there worthwhile. Most people find Aldi an excellent resource to save on groceries.

If you aren’t used to shopping at Aldi, it may feel a little strange. You have to put a quarter into a slot on the cart to separate it from the other carts. You get the quarter back when you put your cart away, so it’s not a big deal, but it catches a lot of people off guard. That said, it’s not at all uncommon at the Aldi by me for people to pass carts off to each other. Sometimes it’s in exchange for the new person’s quarter, but many people don’t care about it.

You also have to bag your own groceries. I live in California, and these days we have to bring our own grocery bags anyhow, but the added step of having to bag your own can be a little surprising. They have a long shelf for people to handle this, and it’s not a big deal at all.

Amazon Prime

Amazon has some pretty good grocery deals, and you’ll get your groceries quickly if you have Amazon Prime. They have a program called Amazon Fresh for fresh foods in some areas, which includes shopping from Whole Foods. You can also check out Prime Pantry, which allows you to fill a box for a flat shipping rate. If the deals are good enough, the shipping rate won’t be a problem.

Know What The Deals Are

If you plan your shopping to take advantage of the weekly deals at your local grocery store, you can save quite a bit. It’s harder to stick to a budget if the ingredients you need are at full price.

Make sure you know if your grocery store does overlapping ads. I shop at Stater Bros, and every Wednesday is a double ad day – the new ad and the old both apply. Guess what day is my big shopping day.

You can also create a pricing spreadsheet very easily. I like online spreadsheets because they’re easier to edit than printed ones. These days it’s no big deal for many people to open it up on their smartphones while shopping. You can also use a spreadsheet to calculate the cost per unit, which is a huge help when dealing with different package sizes.

I have the spreadsheet through Google Docs, Google Sheets, and PDF. This way you can use it in whichever way works for you.

Track The Unit Prices

It’s easy to think something is a good deal when it isn’t if you fail to notice how much you’re getting for the money. Different brands may offer different amounts in their packages. Manufacturers may decrease package size to disguise a price increase. I cannot emphasize enough how important it is to know unit prices when you want to save on groceries.

Meat can get very tricky. Different cuts of meat will give different numbers of servings, depending on whether or not skin or bones are included and how fatty it is. There are times when getting the bones is an advantage, such as saving the bones from a whole chicken to make chicken soup later. Other times, the bones are just something you throw in the trash after your meal.

If your budget and storage space allow, stock up when prices are especially good according to your tracking.

Remember Your Coupons

There are a lot of ways to get coupons now. You can use the traditional clipped out coupons. There are websites such as Coupons.com, SmartSource.com and Redplum.com where you can download coupons. Some apps are available that will give you money back on your purchases. Here are some to consider:

• Ibotta (my referral code may give us both a bonus!)
• Checkout51: iTunes, Google Play
• Shopmium: iTunes, Google Play
• Mobisave: iTunes, Google Play
• Receipt Hog: iTunes, Google Play
• SavingStar: iTunes, Google Play
• BerryCart: iTunes, Google Play

You may also want to check out store-specific apps such as Target’s Cartwheel app (iTunes, Google Play). You select from the available deals before you go shopping, or as you shop. When you check out, the cashier scans your code off your phone.

Another good option is Walmart Savings Catcher in the Walmart app (iTunes, Google Play). Scan your Walmart receipt after shopping. The Savings Catcher will seek out lower prices on your purchases. It will add price differences to a gift card for you.

Many of these can be used together, or rather, have no effect on each other. Sometimes you will find an item that has more than one discount available. That can really help you save on groceries.

Take Advantage Of Loyalty Programs

Many grocery stores have loyalty programs. While it’s a bit of a pain to have to keep their card with your or give them your phone number, you can save quite a bit of money with these. Many of the deals stores offer are only valid if you are a part of their loyalty program.

The Keyring app can make it easier to keep track of your loyalty cards by storing them on your phone for you.

Don’t Shop Hungry

This is old advice, but still very good. If you’re hungry, you’ll probably spend more at the grocery store. Have something to eat before you go to the store.

Studies have been done on this, and it has been shown that even if you aren’t buying food, you will buy more if you shop when you’re hungry. It seems kind of funny that it impacts your shopping habits even if you aren’t buying food, but it’s true.

The reason why you buy more food when you’re hungry? Well, I think we all know that one.

Skip The Aisles You Don’t Need

If you don’t need anything from a particular aisle, skip it. You don’t need to check every aisle. It’s especially helpful to skip the aisles that have nothing other than relatively unhealthy snacks and drinks, such as the chips, soda, and candy aisles. They’re all a lot less tempting if you don’t look right at them.

Buy Store Brands

For many foods, brand name doesn’t make a significant difference anywhere except on the price tag. When the store brand is cheaper and just as good, it makes sense to buy the store brand.

Many store brands are made by the same places that make the name brands. There may be small differences in how the product is made, or they may be identical aside from the packaging. Either way, it makes sense to give the store brand a try when it will save you money.

Of course, if you can get a coupon or sale price on the name brand that makes it a better deal, go for it. Don’t forget to consider any deals you might get on the money back apps as well.

Don’t Go To Too Many Stores

Going from store to store to store can cut down on your savings because you’ll spend them on gas without realizing it. Figure out which store or stores have most of the best prices, and use those as your regular stops. Keep an eye on the ads for the others, and know when a run to a different store will be worth the money.

If I have to drive a distance to get to a particular store, such as Costco, I will see how many other places I need to go to that are on the same path, as it’s a half hour drive to Costco for me. Hitting lots of stores when they’re more out of your way can make sense, so long as you have a good reason to shop at each one.

It’s easy to go overboard when trying to save on groceries. Many people spend more time trying to save money than the money is worth. Be smart with the strategies you use to save money on groceries so that you don’t waste time and effort on things that won’t save enough.

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Most people like to shop. There’s always something new you want, clothes, the latest gadget, even that snack by the register that looks so good. You tell yourself you’re just browsing, just considering it, but soon enough, you’re serious, and you’re buying it. Some days it’s hard to avoid getting that impulse purchase, even when you’re trying to save money.

There are a few simple ways to cut down on impulse shopping.

Come Back Later

Telling yourself you can come back later can be a huge help for controlling impulse shopping. It’s not like the impulse to buy is always wrong. It is sometimes, and that’s where deciding to take more time to think helps.

With most purchases, coming back later isn’t that big of a deal. Most things you want will still be there in an hour or a day, or whenever you get back to it. If you really need or want the item, and it’s a reasonable purchase for your budget, getting it a little later is not a problem.

The idea here is to cut out the impulse part of impulse shopping. Give yourself time to think, and you will know in a while if your reaction was to seeing an interesting item or if it’s something you need.

Depending on where you are and what the item is, you might walk away for a short time or several days. It depends in part on how easy the item will be to get later.

When my husband and I were at the fair, for example, he came across a garage door storage rack. It’s a pretty neat idea – you can put your shovel and other long-handled garden tools onto it, and the rack hangs on the garage door. The items stay put even if you open the garage door.

He didn’t buy it right away. We walked the rest of the shopping areas of the fair, did some more fun stuff, and on our way out he decided that he still wanted the organizer. He bought it.

Yes, as a matter of fact, I am still waiting for him to use it. He has gotten as far as taking it out of the box. He hasn’t done any big organizing in the garage lately, but I’m letting that slide.

Possibly, this was a foolish purchase. If he never gets around to putting it up, then it was definitely a foolish purchase. But it was the only one, and I still have hope for it. There were other things we considered buying. I can’t even tell you what they were, because they’ve been forgotten. Interesting in the moment, but not beyond. Coming back later kept several other purchases away.

The thing to remember is that pretty much anything you see while out shopping will still be there later. Very few things are all that limited, and most really limited things you might buy on impulse aren’t things you need. The things you need are more likely to be there day after day, week after week.

Coming back to a potential purchase later works pretty well if you have a few options to consider. It’s time to consider the advantages and disadvantages of the things you’re considering. You might find that an item that attracted you immediately doesn’t matter as much as one you notice with a little more thought.

What About Grocery Shopping?

Impulse purchases can be extra difficult to avoid when you’re grocery shopping. Not only do they put tempting items all around the store, they keep it up right to the cash register. Inexpensive candy and treats are there for a reason!

The first thing to do to avoid impulse shopping at the grocery store is not go shopping hungry. Go after you’ve had a meal or at least a snack. The hungrier you are, the more you’re likely to spend.

The second thing is have a list and stick to it. If you know what you need, the things you don’t need are less tempting.

There are two big reasons to control impulse shopping at the grocery store. The first is financial – it’s amazing how quickly impulse purchases there add up over time.

The second is that many grocery store impulse purchases really aren’t that healthy for you. Chips, soda, candy – they’re all tempting and shouldn’t be bought all that often. There are healthier snacks out there that are pretty good. If you can find the right ones, it’s easier to avoid the wrong ones.

Use Cash

When you’re shopping in person, stick to cash to control impulse shopping and save money. Bring no more than you’re willing to spend and can afford. You’ll think your purchases over more carefully when you know there’s no way to go over budget. Leave the credit and debit cards at home if possible, or at least refuse to use them.

Do A No-Spend Month

Try having a month where you only spend money on necessities, such as rent/mortgage, utilities, food, and gas for your vehicle. No buying clothes. No extra stuff. If something tempts you, make a note of it, but don’t buy it until you reach the end of your no-spend time.

Much of what tempted you won’t matter to you by the end of the month. That’s money saved.

Look At What You Already Own

When you want to buy something, take a look at the stuff you already own, especially if it’s similar.

When you want to buy a new pair of shoes, go over the shoes you own now. Do any of them really need replacement. Would these new shoes do something for you your current shoes won’t?

Do the same for other purchases you’re considering. If you already own something good enough, you don’t need to buy something new.

Just Don’t Look

The final way I’m going to discuss to avoid impulse shopping is the just not look. Don’t go places just to window shop too often. It’s too likely to turn into impulse buying.

This includes shopping malls and shopping online. I know quite well how dangerous Amazon can be. They’re very good at suggesting items you might find interesting. Bad enough when you’re there to buy something you need. No need to give them more chances when you don’t need anything.

Avoiding the places where you have trouble resisting impulse purchases is a good idea. Try keeping track of your impulse purchases. How many were actually good purchases? How many weren’t? Which ones would you have still bought if you had taken a little longer to think about it? You can learn a lot about your impulse purchases and shopping habits if you stop and review.

What works for you to avoid making too many impulse purchases?

The post Beat Your Impulse Shopping Habit To Save Money appeared first on Home with the Kids Blog.