Happy Holidays! Time to clean up your spending habits

Can you believe it? Christmas is finally here! In some ways it feels like just yesterday was the beginning of 2018. It also feels like it’s been, well, a year. How is everyone holding up? Have you all opened your presents after waking up entirely too early because of children or just sheer anticipation?

Merry Christmas one and all

This year has been a bit different than any other one I’ve ever had. My kids normally would wake us up around 8 am so that we can open presents, whether they lived at home or not. Today however, my son is spending some time in Japan, and my daughter and her husband (I love saying that!) are coming over this afternoon to exchange gifts and stay for dinner, along with one of my nieces. How bizarre it is, now that my children are all grown up and living on their own. Traditions are morphing into entirely new ones. I don’t mind, as long as my family is happy and healthy.

As I was getting ready this morning for the upcoming festivities, I was thinking about several things… First and foremost, I am gearing up for January. Those who know me know that January always means SPENDING FREEZE. The last month has been filled with buying presents and spending extra on groceries. It doesn’t take very long for my attitude and outlook to change when it comes to spending money. The Christmas season is brutal on me. I’m sure it has taken a toll on many of you as well. I have become accustomed to seeing things suitable for a gift and buying it. I will make a little side note here however… I AM very proud of myself for the amount of money I spent. With the help of coupons, store rewards, and rewards from my Amazon rewards credit card, I only spent around $25.00 out of pocket. My budget for Christmas was set at $250.00. I can’t complain about that! Every year millions of people go deep into debt because of Christmas. Maybe it’s the frugal side of me talking, or maybe it’s the budding minimalist emerging, but I am proud to say that I have incurred ZERO debt this holiday season! In fact, I am setting aside my saved $225.00 for next year!  WOO HOO!  

The second thing I was thinking about was a new budget for the upcoming year. In years past, I have dreaded drawing up a budget. We had a mountain of debt… multiple credit cards, car loans, house payments… It was incredibly stressful, and there was always too much month left at the end of our money. What a horrible existence! We have since paid off every credit card, and have locked them away. (I am still fighting with myself over closing some or all of those accounts.) All we have left for bills is the standard things… Mortgage, home and auto insurance, natural gas, cable/internet, cell phone, fuel, groceries, garbage, and our Amazon rewards credit card. There are still too many bills for my liking, but, I refuse to go without a phone, internet, or cable in some capacity. Please note that I DID NOT mention electricity. We invested in solar panels quite a few years back, and have never regretted it. I haven’t had a power bill since the month after we had them installed.  The panels paid for themselves in about 2 years! It is such a help to our finances. My husband renegotiated our cable/internet bill and got it lowered by $90/month. We did the same with our cell phone bill. Our natural gas bill is paid on an equal pay plan. No matter summer or winter, we pay the same amount. I always budget and pay an extra $10 per month to offset the winter months, just in case. They send me a check in the spring if there’s an overage. That goes straight into savings. I cannot stress this enough… HAVING A BUDGET AND STICKING TO IT IS SO IMPORTANT! I urge all of you to sit down over the next week and make a budget for 2019. I have included some helpful worksheets to help you. Dave Ramsey’s “Total Money Makeover” is an amazing book that I have read and reread over the last several years. These worksheets, which I have included two below, are amazing tools that will allow you to build your budget. I highly recommend acquiring this book.

I’m going to let you in on a secret here. As much as I detest credit cards, I am in love with the Amazon rewards credit card. I pay every bill I can with that card… cable, cell phone, insurance, doctor bills, garbage, gas, and groceries. I budget the hell out of everything just like I would if I was paying cash. You have to have a lot of self control, but I am going to spend the same money, whether I pay with cash, check, or debit card. If I use my Amazon card, I get money back. True, it is only useful on Amazon, BUT, I can get just about anything my heart desires there, and sadly, usually cheaper than a brick and mortar store. On top of that, since I live in a smaller city, there are many things I can’t get locally. You might not get the item instantly, but I can get it FOR FREE. I have had this card for just over a year, and I have made more than $800! Items for my daughters’ wedding? Paid on that card. Homeowner’s and car insurance? Yep. Cable, cell phones, gas, groceries… everything possible, and I get a percentage back… anywhere from 1% – 5% depending on what I use it on. Every little bit helps. I pay my credit card bill every two weeks when my I get my paycheck, and I love it. My frugal self is ecstatic about it. Yes, I am still frugal about the things I spend my free money on, of course. I still want the most “bang for my buck”, after all. If nothing else, this card has funded my hobbies, and that in itself is a beautiful thing. There are other rewards cards out there, and I’m sure other types of rewards could be more useful to all of you… airline miles, literal cash back, etc. If that works for you, then by all means, go for it! Just remember the reason you’re using the cards. If you choose to use a rewards card, use that credit card solely. Do not be sidetracked by the rewards though, YOU STILL HAVE TO ABIDE BY YOUR BUDGET!

The new year is almost here, and I want each and every one of you to succeed. I want all of you to achieve your goals. Plan now, and reap the benefits in the months to come.

I hope this day has brought you love, peace, time with family and/or friends, and fond memories to reflect on later in your lives.

HAPPY HOLIDAYS TO EVERYONE

Love to everyone

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