Learn How to Budget

There are many helpful tips that will save you loads of money around the house and allow your to have a little more money left over at the end of the month.

*USE HALF A FABRIC SOFTENER SHEET in the dryer rather than a whole one. Or to save on your utilities bill, hang your clothes to dry.

*KEEP THE DRAPES OPEN DURING THE DAY to take in the heat from the sun, but shut them at night to keep out the cold.

*TAKE SHORT SHOWERS instead of baths.

*USE YOUR DRYER EFFICIENTLY. Keep the lint filter in your dryer clean and dry loads one after another so that less energy is needed to warm up the dryer.

*WEAR LAYERS OF CLOTHING instead of turning up the thermostat in the house. For every degree you lower the thermostat, you save 3% on your heating bill. Try a hooded sweatshirt, lightweight sweaters or slacks made of closely woven fabric.

*CONSOLIDATE YOUR ERRANDS so you do not have to make several trips.

*ASK INSURANCE COMPANIES about discounts to non-smokers, part-time drivers, group insurance rates, etc. Do not buy insurance you do not need.

*DO YOUR OWN TAX RETURNS if possible and do not be late in filing it.

*SAVE ON MINOR REPAIR/MAINTENANCE BILLS for your car by doing it yourself or taking it to your local trade school. They usually just charge for parts, not labor.

*IF YOU NEED TO SEE A DOCTOR, ask for samples since s/he carries a large assortment of products (compliments of the drug companies).

*GET A LIBRARY CARD to borrow books, music and movies.

*GET A GOOD HOME REPAIR MANUAL. If you still decide not to do it yourself, you will be better prepared when you negotiate with the contractor.

*DON'T BUY APPLIANCE SERVICE CONTRACTS or extended warranties (that applies to cars too). Sales persons usually get a commission for it so don't be surprised if they try to give you a sales pitch.

*IF YOUR APPLIANCE IS NOT WORKING, try calling the manufacturer if they have a toll free number. Have the model number ready and explain the problem. Sometimes they will be able to tell you how to fix it over the phone, saving you the cost of a repair visit. Don't assume that just because an appliance is broken, it must be replaced. Sometimes all it needs is a minor repair or a new part.

*WHEN YOU GET YOUR MAIL, keep your old envelopes and write down your shopping list on the outside of it. Inside the envelope, store the coupons that correspond to the list when you go to the store.

*WEAR OLD CLOTHES for painting or other renovation projects. Then when it is no longer wearable, cut it up and use the scraps. Good for wiping dirty hands, buffing your shoes, polishing, etc.

*DRAIN DE-CLOGGER: 1/4 cup baking soda & 1/4 cup vinegar. Pour baking soda down drain followed by the vinegar. Close drain and let sit until bubbling has stopped. Follow with a bucket of boiling water.

The above tips will help you reduce your costs around the house. There are lots of budgeting tips you can probably think of yourself. Every little bit helps in today's economy!

There are many things that can be done around the house to lessen the impact of spiraling energy costs that sap your household budget. Follow these suggestions and you will save money.

*CHANGE THE THERMOSTAT. check out the thermostats that allow you to program them so that you can lower the heat when you leave the house and raise it before you get home. These thermostats save money and pay for themselves quickly in cost reductions.

*CONSIDER REPLACING YOUR WINDOWS. You can save money by installing double-paned windows--which actually help to insulate your home.

*TAKE AN INVENTORY of all outer windows, doors, outside vents, and check to see what areas might be letting cold air come in, or allowing heat to escape; weather-stripping around these windows and doorways will cut down on fuel consumption.

*DO NOT HEAT ROOMS that are not being used. It prevents unnecessary waste of fuel.

*HAVE THE FURNACE PROFESSIONALLY CLEANED, i.e. clearing it of carbon and other residue will help it to operate and burn fuel more efficiently.

*ADD MORE INSULATION to the structure of a house, whether in between walls or between ceiling and attic will make the house more energy efficient.

*CHECK THE FILTERS in your heating system. Change dirty filters to get the maximum performance from your heating unit.

*CHECK YOUR HEATING VENTS. Make sure that couches or other items do not block them. *Keep heat-generating items such as lamps, computer monitors, and televisions away from your thermostat. They will affect the proper operation of your heating system.

*INSTALL CEILING FANS. Hot air rises--ceiling fans can help to circulate the heat evenly through the room. There is also the added bonus of cooling your home in the summer months.

*BEFORE YOU BUY HEATING OIL, do some checking in your area with other dealers so that you get the lowest price per gallon. When oil is delivered, check the fuel gauge before and after delivery to ensure that you are getting what you pay for.

*PLACE WEATHER STRIPPING on windows and doors to keep the cold air out. Repair broken windows and make sure that window locks are operational so that when closed, the windows seal.

*INSTALL INSULATED DRAPERIES on windows for the winter months. These keep cold air out and reduce heating costs.

*PERFORM YOUR OWN ENERGY ASSESSMENT using a pad and pencil. Go through each room in your home and note the energy consumption in that room. For example, your living room uses lamps, an overhead light, heater and/or air-conditioning unit, television, VCR and stereo system.

Be sure to include small energy users, such as humidifiers or clock radios, and do not forget not-so-obvious rooms like the garage or basement.

*REPLACING REGULAR WINDOWS with storm windows in the wintertime yields substantial long-term savings. Adding weather-stripping to doorjambs can help trap in heat in cooler weather.

*TAKE SPECIAL CARE WITH FIREPLACES, ensuring that cold air is not coming in or that heat is not escaping through a damper, will increase energy savings.

*RAISE THE TEMPERATURE during the summer months of your air conditioner to around 76 degrees F rather than leaving it down to around 70 degrees F. This will save on electricity as each degree will save approximately 5% in energy cost.

*KEEPING THE AIR CONDITIONING FILTER CLEAN will also help the unit run more efficiently.

*INSTALL THE AIR CONDITIONING UNIT on the shady side of the house rather than in direct sun.

*LOOK FOR A DRYER that has a drying sensor feature, which will automatically turn off when the clothes are dried and will stop the dryer from running longer than necessary.

*USE COMPACT FLUORESCENT BULBS (aka CF bulbs) that last 10,000 hours as compared to only 750 hours for incandescent bulbs will in the long run save not only energy, but the cost of bulb replacement.

*INSTALL AWNINGS ON OUTSIDE WINDOWS and doors on the sunny side of a house will also help keep a house cooler in the summer months, plus the use of shade trees.

*INSTALLING AN ATTIC FAN will eliminate hot air that can put a strain on an air conditioning system during the hot summer months as heat will build up in that space.

*A BLACK ROOF will attract and keep the heat as opposed to light colored roofing.

*ALWAYS TURNING LIGHTS OFF when leaving a room will cut down on energy costs.

*HANG CLOTHES OUTSIDE or set up a clothesline inside instead of using a dryer. If you do use the dryer, make sure you clean it after every load to reduce energy use.

*USE BATHROOM FANS SPARINGLY in the winter since the fans remove warm air.

Make sure you try to incorporate some or all of the above suggestions into your daily life. Using these budgeting tips can put extra money in the bank for you every month.

If you are spending more than you are earning each month, you probably need to create a budget for yourself. A budget is a money plan that outlines your financial situation and your financial goals.

With a budget, you can regulate, set, and achieve your financial objectives. You can also decide in advance how you want your finances to work for you.

The main objective of budgeting is to be able to save a certain amount of money each month for either a specific goal or to have in case of an emergency (you lose your job, you become ill, etc.).

Beginning a budget is not as difficult as it sounds. To put it simply, drawing up a budget is simply a way to estimate monthly expenses based on previous expenses.

In this way, there are no surprises. You know exactly where your money is going and can decide if you want to make some changes.

BUDGETING TIPS

1. Make a list of your fixed expenses first; insurance payments, house payments or rental, car payments, utilities, etc. The next step is to make a list of everyday miscellaneous expenses; gas, groceries, barbershop, entertainment, newspapers, coffee, etc.

2. Once you have made a list of everything for a month, you will have an idea of where your money is going. Once you know where your money is going, identify your spending patterns and make changes that will help you achieve effective budgeting.

3. After you have determined what your fixed bills are each month, you can determine what your budget will be by the balance that is left. For instance, if your paycheck is $3,500 per month and your fixed costs are $2,000 per month, you will have a budget of $1,500 per month to allocate for all of your miscellaneous expenses.

MAKING IT WORK

In order for budgeting to be successful, you must be disciplined and willing to stick with it. Budgeting works best when goals and plans are specific and then followed as closely as possible.

Make sure you have a good sense of money management. Know how important it is to reduce expenditures and know the difference between luxuries and necessities.

Think of new ways to have fun. Instead of going shopping, ride your bike, go to the park with your kids, go to the YMCA and go swimming. Use your imagination. You CAN budget your money and you will benefit from it.