If you're like me, you wonder where all the cash went by month's end. To offset the sieve that is my cash flow, I've developed a low-tech way to manage my monthly spending ~ an envelope on the shelf. No kidding. It started when I did surprisingly well at a children's bazaar. I had sold almost $50 worth of stuff, so instead of pocketing the change, I kept it in the envelope and stashed it on the kitchen shelf. Anytime I had extra change, I'd fill the envelope, then take what I needed to fulfill the kids' needs. Instead of running to the ATM five miles away every time my kid remembered he needed ten bucks to go on a field trip, I'd calmly dip into the envelope for the cash. And it works! Somehow I still have money left over. There's something about confident spending that keeps your cash flow in check.
Erin Lozano, a mom of two who started her own company, GreenSherpa.com, focuses on responsible, sustainable finances. She shared some quick tips on how to stretch your greenbacks to the max. Enjoy!
FAMILY MONEY SAVING TIPS FROM ERIN LOZANO:
--Create a budget for the week, the month and the next six months. Revisit that plan every week as a family.
--Don't spend beyond the essentials.
--Learn to say "no" to some financial requests. (Editor's Note: Like the kids begging for yet another video game on 'sale' for only $149.99...)
--If the value of your home is falling, call the County Assessor's Office and request a reassessment. It could lower your property taxes.
--Review health, home and auto insurance, increasing deductibles and making other cost-saving changes where possible.
--Review bills for utilities such as water and electricity; request a reassessment of monthly usage estimates, potentially lowering the cost.
--Cancel cable TV subscription, or lower service to basic from premium. (Editor's Note: Don't shriek! I did this and saved three hours a night, not to mention fifty bucks a month!)
--Cancel your land-line telephone if you use a cell phone.
--Eat at home.
--Buy local produce, meat and fish.
--Sell items of value that you don't use. (Editor's Note: See top of story about the envelope. I swear it works!!)
--Place whatever money you can into an emergency savings account. (Editor's Note: Are you starting to pick out the theme? Envelope, my friend, envelope!)
Put your money where your mouth is. In the kitchen. In an envelope. Or, if you're tech savvy, use GreenSherpa.com for a total overview in half the time it takes to update Quicken...
