frugaler — Beating Broke

3 Strategies to Keep Track of Your Purchases To Save Money

February 20, 2017 By MelissaB 3 Comments

I’m a big fan of buying in advance for items that I know that I’ll need. For years when my kids were little, I’d go out shopping a day or two after Halloween to buy my kids discounted Halloween costumes for the next year. I never paid full price for a Halloween costume, and after Halloween was over and the kids were done with the costume, I sold the costumes on eBay for close to the price I paid.

That’s the way I like to shop, and I know it’s how many others shop, too. After all, shopping this way is a smart strategy to stretch your dollars.

The problem is that as life gets busier as the kids grow older, I’ve found that sometimes I forget what I bought in advance. Then, I desperately go out shopping for the item I need, not realizing I had already bought it in advance.

Case in point: Last year, right after Christmas, I bought my daughter a green ruffled dress on clearance at a steal for this year’s Christmas. But, I forgot I bought that dress, and come November, I spent a lot of my time searching children’s resale stores for a dress that wasn’t unreasonably priced. I had no luck. A few weeks ago, I was digging through some storage tubs in my closet, and I found the dress.

So this year, one of my New Year’s resolutions is to implement a strategy to keep track of all of my deals. Here are some techniques I plan to use:

Keep all of the deals in one location. I have a corner of my walk in closet where I keep a large storage tub filled with discounted items I buy whenever I see a good sale on things I’ll need later. I use these items for my kids’ birthday and Christmas presents. I have added another tub to this one. I’ll store other items like seasonal dresses in these tubs so I know everything I’ve bought in advance is in one location.

Keep a spreadsheet of gifts. Even if you keep all of your items in one location, you don’t want to constantly have to rut through everything to find what you’re looking for. Keeping a spreadsheet of the items you’ve bought in advance as well as who they are for will make it easy to see at a glance what items you have. This can also prevent you from overspending and buying more than you need.

Use the libib app to track books. I frequently give books as gifts. We also homeschool, so when I see a good sale, I’ll buy books in advance for the next year or two of school. The free app libib is a great way to keep track of your books. Simply scan the barcode with your smartphone, and you can create an inventory, even categorizing by person you’ll be giving the book to or genre. You choose.

Buying things you’ll need in advance is a great way to save money. . .as long as you don’t forget about what you’ve already bought!

Do you buy items in advance? If so, how do you keep track of them?

You Need a New Money Mindset

February 8, 2017 By Thomas Bawdy 2 Comments

At last count, there were roughly 4.7 gazillion blogs(*give or take a few) covering money, saving, and wealth – this one included. And with great minds giving all-out efforts to helping people save up for retirement, stick to a budget, buy their first home, or find ways to save, there’s a message and a solution for everyone out there.

So, what gives? Why is it that over three-quarters of Americans are still living hand to mouth? With little or no savings to bolster their budget, they’re living in fear of what will happen when they lose work or have a sudden need for a large chunk of cash.

Why Your Money Mindset Must Change

Personal finance blogs proliferate because they can work. It doesn’t matter how far behind you are in the area of personal finance: it can be fixed and you can reach your goals with the right approach and a little guidance.

The problem is: too many people focus on the wrong things when they try and solve their money issues. The solution isn’t going to be found in cutting coupons or setting budgets aimed at whittling down debt a tiny bit at a time.

What has to happen, if you really want to improve your financial standing in the world, is you have to adopt a new mindset when it comes to money. That’s a behavioral change, and it ain’t easy. If it were, everyone would be debt-free, flush with cash, and right on track for retirement.

What a Difference the Right Money Mindset Can Make

The trick to winning at personal finance isn’t actually a trick. Rather, it’s a mind-change that starts with realizing what money is really for. I’ve known people who make almost six figures, and can’t figure out where all the money goes, and can’t pay their bills. Some of them don’t even have any kids!

On the other side of the spectrum, I have an artist friend who makes an annual salary in the low-$30s and he manages to max out his IRA contributions every year ($5,500 for 2016 but he’s 53 so he gets to put in $6,500) as well as live a debt-free, totally happy life.

What’s the difference? If you look at how my high-earning friends are spending their money, it’s pretty clear: their spending is out of control. They buy brand-new cars, for starters. Plus, they buy expensive cars- and most of them live right in NYC, where you don’t even need to own a car!

What is Money Really For?

Those are just examples- the things we buy, for the most part, are what bring us down, financially. Unfortunately, though, consumerism is built into our culture. We crave the new thing and we show status by displaying our nice things, whether it’s designer heels, a fancy car, or a home in the best neighborhood. We are what we own.

How to Adopt a New ‘Money Mindset’

Not everyone has to live that way, and in fact not everyone does. The people who figure this out early on in life are the ones who usually end up more financially secure, no matter what their salaries are.

Buying things is also a fast road to buying more things. People buy stuff and they enjoy the initial rush of pleasure they get from having something new. Then after a while they get used to the stuff and they want to experience that (temporary) happiness again. So they go out and buy more stuff.

Scientists have a name for that: “Adaptation level theory”. Recognizing this phenomenon in yourself is the first step towards developing the right money mindset. Once you master that, everything else is cake. You’ll have more money to put toward the important things in life like travel, retirement, emergency funds, living well, and even maybe someday leaving a legacy to your heirs.

Instead of buying “things” why not invest in yourself like learning more about financials, taking a course in trading, going to night college to gain a new skill to further your career.

How to Turn Unwanted Christmas Gifts into Cash

January 13, 2017 By Thomas Bawdy 1 Comment

The stress has come and gone and Christmas is over. As you go through your gifts you might see some that aren’t your style, don’t fit, are duplicates of something you already have or something you just don’t need. You don’t need to have them sitting around your house collecting dust in the back of your closet. Christmas is also a financially difficult time of year, and you might need to get some cash in your hand along with another type of assistance such as a car title loan to use toward your debt. Consider turning your unwanted Christmas gifts into cash and use it for something that you really want or need through one of these five ways.

Return them to the Store

One of the most common things to do is to return the item you received back to the store where it was purchased. It helps to have a receipt when returning something to avoid receiving a lower price than what was paid or being limited to store credit for the amount of the return. Stores tend to have more lax return policies around the Christmas holiday and take items back for longer time periods than usual. Don’t take too long to return the item or you might get stuck with it if you end up trying to return the item after the specified time frame. If you do end up with a gift card and don’t anticipate using it, read on to see how you can turn them into quick cash.

Trade Them

Trade your gift online through one of the many trading websites and services available. Sites such as Cardpool, allow you to trade or sell gift cards to others. Trade your gift card for one to a business that you’ll patronize, or sell it for cash. Depending on where your original gift card is for, you can typically get back up to 90 percent of its value. You get rid of the gift card and the recipient gets a small discount on their purchase. It’s a win-win for everyone. PaperBackSwap is a book lover’s dream. You list your unwanted books and earn credits to get books others are looking to get rid of. Gamers benefit from Game Trading Zone to swap games and accessories with others interested in gaming.

Sell Them

It makes sense that selling your items can give you cash quickly, but it helps to understand where your item will sell quickest and give you the most money. Don’t expect to get the full value of the item, because buyers want to find a good deal, but you can still get some cash from the item. Craigslist is a quick way to sell items without needing to pay listing fees or worry about shipping costs. Always meet people you meet from Craigslist in a public location for safety reasons. Other sites, such as Poshmark, allow you to list accessories and clothing that you don’t want. You’ll appeal to a large pool of buyers looking for your items, but keep in mind that you’ll be required to pay small fees in exchange for listing your product on their website.

eBay is another site with millions of users. You can sell pretty much anything and everything on eBay, but keep in mind you have to pay a listing fee along with a seller’s fee, which is a percentage of the sale price of your item. OfferUp is an app only service that allows people to buy and sell items to individuals in their local area. It requires parties to meet in person to exchange items, which saves on shipping costs but stay safe by always meeting up in a public location.

Give them as a Gift

Indirectly get cash by saving the item and giving it to a friend, family member or coworker who you feel would benefit from it. Clothing you got might be too small or large for you but would probably fit someone you know perfectly. Keep in mind who gave you the gift so you don’t embarrass yourself by trying to give it back to them or someone you mutually know.

There’s no reason to leave unwanted Christmas gifts lying around when you can turn them into cash while helping someone else get something they want at the same time.