Household CPA

Drew often refers to me as (lovingly...I think?) our household CPA.  It's true.  I'm way too much of a control freak to let him do our finances.  And the fact is, I'm a math person.  Drew, not so much.

When we enrolled Jackson in Princeton we immediately had to tighten our budget belt a notch.  Or three.  We had many conversations about places to cut costs, different budgeting strategies, and sacrifices that would need to be made.  (Although, Drew pointed out it shouldn't be considered a "sacrifice" when it is for our son's care and education.  Valid point.)  One month later I'm pleased to report it is going really well.  In fact, better than I hoped.

Here are some of the changes we've made:

1.  Cancelled our land line and our HBO subscription.  That saved an immediate $50 per month.  We were considering ditching the land line anyway so that was an easy decision.  HBO was a little harder (this would fall under the "sacrifice" category) but in the days of netflix, iTunes, Hulu and DVD rentals we took the plunge.

2.  Signed up for the average bill payment plan with our electric and gas companies.  I have no idea why I didn't do this sooner.  There's no real cost savings to the plan; however, it prevents the inevitable peaks and valleys that occur seasonally in the midwest.  Instead of watching your electric bill triple from one month to the next due to extreme heat and constant A/C use (can you tell I'm speaking from experience?), you pay a flat rate every month based on your 12-month average.  It sure makes budgeting easier when there are less variables in your utility costs.

3.  Changed the way I grocery shop.  I've always planned menus and shopped from a list.  However, in the past I shopped for 2-weeks at a time.  I don't know why, that's just how I did it.  Now, I shop for 1 week at a time.  I plan our weekly menu on Friday night.  Jackson and I hit the Farmer's Market first thing Saturday and then go to the grocery store after that.  Under the old method, it seemed I was constantly wasting food.  Either things would spoil before we could get to them, or we would change our minds (what sounded good 12 days ago, doesn't necessarily sound so good today)  and things would go to waste.  By shopping once a week we are much more likely to stick to the menu and use up everything in the fridge.  Plus, we eat more fresh/local foods by shopping the market first and going to the grocery store for the rest.  Here's a peek at 2 weeks worth of menus.

Week 1:
8/7 - Steak, Ricotta Stuffed New Potatoes, Salad
8/8 - Fajitas (made with leftover steak)
8/9 - Spaghetti
8/10 - Leftover Spaghetti (yoga night for me)
8/11 - Lost power in a thunderstorm, so we ended up at the club for dinner
8/12 - Fried Chicken, Corn on the Cob
8/13 - Mac & Cheese
For lunches this week I made a batch of egg salad.  Our "treats" were zucchini bread (ate half, froze half) and lemon mousse w/ fresh blackberries.

Week 2:
8/14 - Kabobs, Wild Rice
8/15 - Lasagna, Caesar Salad
8/16 - Burgers/Turkey Burgers, Fresh Green Beans, Watermelon
8/17 - Leftover Lasagna (yoga night for me)
8/18 - BLT's, Cucumber Salad, Fruit
8/19 - Pork Tenderloin, Potatos, Zucchini
8/20 - Out to eat
For lunches this week we'll have leftover lasagna and ham sandwiches.  Our "treats" are Chex party mix - Jackson's new favorite thing thanks to Nana Wags, banana bread (eat half, freeze half) and peach cobbler.

It's working well.  Not only are we eating better, but we're wasting less food and I'm seeing a definite savings in our grocery bills.

4.  Cash only.  This has made the biggest impact for sure.  We've made the switch to cash only.  No credit cards and no debit cards.  Every 2 weeks I take care of the necessities (pay the appropriate bills, contribute to savings, gas up the car, buy groceries).  Then we evaluate what's left and agree upon a reasonable amount of cash for each of us.  Everything else we buy in that 2-week period is paid for with cash.  Dinner out.  Clothes for Jack.  Random Target runs.  Cokes at Sonic.  Everything.  When the cash is gone, there's no more spending.  I can't tell you what a difference this has made.  For me, the biggest difference is that I really evaluate everything I'm buying.  It's much harder for me to part with my cash than swipe my debit card, so many things I would have bought without a second thought before are now put back on the shelf.  I used to think Drew was the more frivolous of the two of us, but I've had a rude awakening and learned I'm equally more at fault.  (Yes Drew, I'm admitting it.)

So there you have it.  Tips and tricks from the Elser Household CPA on how we've tightened our belts to make ends meet.  If you have tried and true money saving methods that have worked for you, do share!