What's in your bag of tricks for keeping yourself on budget or LBYM?

I wear a bracelet that says "WWXD?"

It stands for "What would xtn do?"

What's in your bag of tricks for keeping yourself on budget or LBYM?

I tell MrsDuck about any purchase I plan to make. That usually kills it right there.



Duck

I usually calculate the ramifications of buying something. For instance, let's say I spend $2 to buy a drink everyday during the week. So, 20 days times $2 comes to $40 a month. $40 a month comes to close to $500 a year or a new iPOD!

That's my little trick.

I compare the thing at hand to the larger goals I have - do I want this more than I want [long term goal] ? Sometimes it also makes me take a good look at the longer term goals as well.

rad

<<What's in your bag of tricks for keeping yourself on budget or LBYM???


The near term option of quitting my job or downshifting into a breezier one. That light keeps me LBMM, along with the desire to maintain funds to support my child in her future endeavors.


MP

I've calculated how much each of my work hours is worth, net of taxes, etc.

Then I determine the value of items purchased in terms of hours.

So, if my net hourly rate is $20 and a sweater is $40, is it worth 2 hours of work?

What's in your bag of tricks for keeping yourself on budget or LBYM?

Being born with a tightwad gene.

IF

So that's my trick- only buy one drink a day. What's in your bag of tricks for keeping yourself on budget or LBYM?

I put away money for fixed-but-irregular expenses but then try to pay them out of the normal budget when the time comes.

For example, I put away a bit every month for the car insurance. I just got a $200 car insurance bill and the money is in my freedom fund to take care of it but I'll see if I can squeeze the $200 out of the regular monthly budget. If not, no problem, I'll move money from the FF. If I can come up with it otherwise (by scrimping elsewhere or just having a lower-than-usual spending month), great, I'll have an extra $200 in the FF next time I need it.

sjfans

I also use the "work equivalent" approach to evaluating whether a purchase is worth it, and an important factor is also whether it's an ephemeral pleasure (a nice meal, say), a more lasting pleasure (a good film or book, because you remember them longer than a nice meal!) or something really long-lasting (good tools).

Add that to the "annualization trick" and you´ve got a nice brake on careless spending!

Regards,
Jorler

Here's another one, WRT clothing-

I used to be a clothes horse, shopping ALL the time for everything. I LOVE clothes. Still do.

But now, when I go shopping, I use a 'pass it on' criteria before I purchase: "Would I pass this on to my children and my grandchildren?" It forces me to buy less, but higher quality clothing. The clothing I do buy now I wear all the time, becaues I actually like it. I don't buy it because it's on sale, or it's trendy (though sometimes I like the trend of the minute), I buy it because it will last.

I've started to think of my clothing as 'pieces', like art. I love my closet now. And I'm pretty sure I spend less now on clothing than I used to when I was buying quantity versus quality. And I still love clothing.

That's one way to cut your clothing spending- buy something that will last.

Use it up,
Wear it out,
Make it do,
Or do without!


-ITW

(Whos last three shopping trips
have been hunting the thrift stores
for a broken in pair of levi's...
nothing yet)

Since I have friends in a third-world country, I occasionally try to calculate the cost of a non-essential item I see here in the US in their money. And then I think about what that amount would mean to them. It usually kills the purchase, especially if I don't see a good use for it.

Another tactic I use: walk away, think about it for 24 hours. If I'm still thinking about it in 24 hours, I'll strongly consider it. 95% of the time I forget about the item (ie, clothes) within a few hours.

A third useful tactic: will this end up in a landfill someday, polluting the environment? Sometimes this motivates me to try to find said item used or free, saves my wallet and the landfill space.

I have a spreadsheet that I update regularly (I am basically addicted to it). The less I spend each day, the more goes to other categories in my budget like the e-fund, mortage, investing & money for my other goals like travel or gifts. Since I started to think in this way, I never buy anything extra like coffee or soda unless I am dying of thirst and there is no drinkable tap water. And having extra money saved up gives me the freedom to take advantage of different opportunities & sales or simply feel less stressed out about financial matters. Trust me, it is worth the effort :)

Set

What's in your bag of tricks for keeping yourself on budget or LBYM?

I'm a big list maker. I like being organized, but lists also help me prioritize my spending. I love Amazon's wish list - any time I think of something that I "just have" to have, I'll put it on my wish list. (Actually I have several - one for books I want to check out of the library, one for things I want to buy, etc.) That gives me time to think about it - and if I want to do some research, I can easily access my wish list at work or at home. And if someone wants to give me a gift, they can pick something I'd really like.

Many times, I'll put something on my wish list, and then take it off later - some things stay on my wish list for months or years (until I find a used version, for example). Sometimes just seeing something every time I look at my wish list makes me reconsider. And if something moves to the top of the list, maybe it's worth buying.

Karen

I have whatever can be taken out, taken out before I see the money.

The bills are electronically gone the day after payday. The savings/E account funds and retirement funds are out automatically or the day after payday.

Whatever is left is fair game.

If I'm saving for some splurge item like a new DVD player, I'll get $20 cash back when I grocery shop and stick that in a sock drawer until there's enough to buy what I want.

Ginger

I wear a bracelet that says "WWXD?"

It stands for "What would xtn do?"

HA!

Here is my carefully crafted, computer simulated, wind-tunnel tested trick for LBYM:





STOP WASTING YER DAMN MONEY!

xtn

x - I wondered when you'd spot that!

Stay away from the stores. I only go shopping if I absolutely need something. The only type of store I go to more than say once a quarter is the grocery store.

You'd be surprised how much stuff we buy simply because we saw it and started thinking it'd be nice to have. If I'm not in the stores I don't see it and don't want it.

"So that's my trick- only buy one drink a day. What's in your bag of tricks for keeping yourself on budget or LBYM?"

If we can't afford it for cash (AKA credit card paid in full monthly) we can't afford it.

We don't buy worthless shXt.

I don't leave the house. I always seem to want to stop at Starbucks or something if I am out and about.

Luckily I work at home. I also save my leftover coffee and reheat in the microwave.

When I get paid I take out some cash and don't let myself get anymore until next check comes.

Cheryl B.

Couponing and refunding. Buying stuff free is fun. Getting paid to buy stuff is better!

I've calculated how much each of my work hours is worth, net of taxes, etc.

Then I determine the value of items purchased in terms of hours.

So, if my net hourly rate is $20 and a sweater is $40, is it worth 2 hours of work?



I used this when I made a lot less. When I made $3.35 an hour McDonalds' seemed very expensive. Now that I make considerably more than that stuff seems much cheaper, even though it isn't really.

I have 2 that work pretty good:

1. I put the car straight in the garage when I get home, on purpose. That way I don't leave again & spend money without really thinking about it.

2. I keep the budget on a spreadsheet at home, so, if there's something unplanned that is more than my little bit of spending cash, I have to go home first and see if it's ok, makes me take the time to think and look at the whole picture, whether I want to move things around just to buy "it" whatever it is. (obviously for a true emergency that wouldn't work but we're talking about temptation here, right.)