Debt

Debt Management Tips

Before doing anything drastic like filing for bankruptcy, you need to assess your debt situation. It may not be as bad as you think. Below are some suggestions for managing your debt.

1. Determine how much you owe. Take into account all of your debts and consider how much, if any, is past due, how much is owed now, and how much is owed in the future.

2. Create a monthly budget that allows you to at least make the minimum payments on all of your loans. Be prepared to let go of some of the extras for now so you can get your debt under control. Think of some creative ways to make some extra money. Consider doing some private tutoring, selling some of your stuff, or developing a hobby into a small business opportunity. Whatever you do, don’t give up!

3. Focus on paying off the bills with the highest interest rates first. If you are absolutely unable to pay all of your bills, make sure to pay the most important ones such as your water and electricity bills. You don’t want your water or electricity to be shut off.

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Household

Home Renovations That Increase Your Home’s Value

do home renovations that add value to your homeWhen my husband and I moved into our home we didn’t have to do very much to it, except clean. The people we bought it from had “flipped” the house: they bought it a low price and then did a lot of renovating, and then sold it to us for a profit. Our basement is unfinished, however, and we only have one bathroom, so I decided to research what types of renovations would be worthwhile for us to do. We don’t plan to stay in our current home for a long period of time so there is no point for us to make any major improvements unless they will increase the home’s value.

While skimming through Jonathan D. Pond’s book Grow Your Money, I came across some renovation projects that he suggests should recoup about 80% of the costs, but he also mentions that regional and other variations will affect the percentage:

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Outdoors

Plant A Vegetable Garden

Spring is here and I am getting restless.  I can’t wait to get planting my little garden but I know it’s a bit too early for that yet.  When my husband and I moved into our home a couple of years ago, we decided to make the flowerbeds along the side of the house into a small vegetable garden.  I even dug up some of our grass along part of our fence to create more garden space.  We planted tomatoes, peas, carrots, green onions, green beans, spinach, and cilantro.  Although we don’t have enough space in our small backyard to make a garden we thought we would see how our makeshift flowerbed garden would turn out.  I’m sure our neighbors thought we were a little odd, but we didn’t care.  It’s amazing how much can grow in such a small plot of land.  We had so many tomatoes that we gave some away and had to freeze some because we couldn’t use them all.  Not only were we savoring fresh vegetables, we were saving money as we hardly had to buy any fresh produce all summer.  Even if you live in an apartment that has a balcony, it’s definitely worth your while to plant some vegetables.  You could use a five-gallon pail and plant a tomato plant!  Gardening gives you a sense of satisfaction and it helps you to get exercise!  It’s neat watching things grow that you planted and it’s a great excuse to get outside and get some fresh air!  If you enjoy using fresh herbs in your cooking, rather than buying them in the store, plant an herb garden.  You will save a lot of money and have fun in the process.  Another suggestion:  Buy your seeds from a dollar store where you can get 3 or 4 packets for a dollar instead of paying $2 to $3 for each one.  Last year I bought both and the cheap ones worked just as well.  Happy gardening!

Banking

Tips for Choosing the Right Home

If you have considered buying a home but you aren’t sure how much house you can afford, here is a suggestion. buy a less expensive home than you can afford Choose a financial institution that you trust and have them do a preapproval.  It prepares you for when you really are ready to make a serious offer on a home, and many real estate agents ask you to obtain one so they know you are serious about buying.   The main thing, though, is that it gives you an idea of how much you can afford given your current circumstances. Consider buying a home that costs $20000.00 to $30000.00 less than what you are preapproved for.  The result: You will be less likely to find yourself financially stressed down the road should your circumstances change, and you will save a ton of money that you would otherwise have spent on mortgage interest, not to mention higher property taxes, utilities, and maintenance.  Most people don’t regret making the decision to choose a less expensive home and with the economy the way it is right now I don’t think there are too many people saying they wished they had bought bigger homes.  If you choose to use a real estate agent to help you find the right home, and you are planning to pay less than your preapproved amount, you can ask your financial institution to mark your preapproval down to a lower amount so that your real estate agent is less likely to try to pressure you to spend more than you would like.  This seemed to work well for us.  Our real estate agent never knew the amount we really were preapproved for so we felt no pressure from him to pay more than we wanted to.  

Household

12 Ways To Save Money on Groceries

save money while grocery shoppingEveryone needs to eat, and groceries can be expensive. Try the tips below when you go grocery shopping and you will be surprised at how much you will save each month.

1. Shop at a store that has a reputation for being inexpensive. There are a lot of grocery stores to choose from and they all charge different prices, so choose the least expensive one.

2. Before going shopping check out the flyer and see what is on sale. Make your list according to the sales so you will know what to be watching for. Cut out coupons that you plan to use.

3. If you are really organized, plan your meals for the week ahead of time so that you only buy what you will need for your menu. If you are like me, and just can’t fathom planning a whole week’s menu ahead of time, just be sure to buy foods that you are sure you will be able to eat before they go bad.

4. Now that you know what is on sale and you have your list and coupons in hand, it’s time to go shopping. Many stores now reward people for bringing their own bags by giving discounts or reward points, so don’t forget to bring along your reusable bags.

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