I am not sure if any of you have experienced this as it seems that most of the readership of this web site is relatively serious about finances, but the weeks, even months, after Christmas historically have been wraught with worry and a lack of cash. For the first time in six years, thanks to a very simple excel spreadsheet, I budgeted our money and we did not over extend ourselves this year. I'm so happy about this fact that I could click my heels together and run through the neighborhood proclaiming the joys of a budget.
A little background: the six years on my own--that is outside of my parents' house--have been tumultuous financially. I believe that the largest of it is due to depression. One's finances are very similar to one's house--if you don't keep either clean, it symbolizes a distaste you have for yourself. Also, although I love my parents very much, I blame them for not giving me more direct instruction in the ways of my finances. However, I do remember days when I first opened a checking account when I was diligent about recording everything.
That said, one of my goals for this year, in addition to staying above water, paying off debt, and saving something, is to keep a good checkbook ledger. I have been notoriously poor at this. Year after year, I try, but fail to implement it properly or for a long enough period of time for it to remind me of how little we actually have in the account and how we really couldn't afford the expenditures at Wal-Mart (don't we all go a little shop happy at Wal-Mart?).
In addition to better accounting practices, I am also going to try to write strict lists of what is needed each week and use that to guide purchases at the grocery store. One tip that I read years ago is to set up a system of envelopes in which you store the amount of cash you have budgeted for specific expenditures. I, for example, will have two envelopes. In the first, I will put $120 which I have budgeted for gas (two week period). In the second, I will put $400 which I have budgeted for groceries. Whatever is not spent out of those envelopes for those two weeks will be placed into savings.
Needless to say, I have full knowledge that I have wasted thousands upon thousands of dollars over the last six years. It sickens me to think about it, however, I look to the future. Someone out there, please keep me honest this year.
For the very first time...
January 1st, 2008 at 01:24 pm
January 1st, 2008 at 01:34 pm 1199194493
January 1st, 2008 at 01:38 pm 1199194681
I am in the Honeymoon phase with this site now, so I think you and I and many others have definitely made the right move in joining a "support group" like this.
January 1st, 2008 at 01:39 pm 1199194776
January 1st, 2008 at 02:25 pm 1199197521
May I make a couple of possible suggestions? Okay, thanks, I will!!
Here are some of the 'new' ways/places/ideas/products that might help you...
Automation for bill pays?
budgetmap.com (nice checkbook register & budget combo)
YouNeedABudget.com
Mvelopes.com
Check out the reading lists over on the forums, you might also be interested in a place called Invest In Your Debt.
I use the YNAB program above and then just download my entries from my bank on the checking account. EasyPeasy!
Good luck and let us know how else we can help you!
January 1st, 2008 at 04:47 pm 1199206053
January 1st, 2008 at 05:25 pm 1199208357
This was a huge change from the 'close my eyes and pull out the plastic' mentality of past years.
January 1st, 2008 at 05:58 pm 1199210315
I know I have squandered probably... tens of thousands by now as well... and I'm not at all happy about it.
I also no longer blame my parents for anything, including finances. With my parents, they're doing the best they know how, so if their ways are a bit strange to me, they certainly were trying to "harm" me delibrately. Overall, my parents are quite financially-minded, and I feel very fortunate about that.
Anyway, congrats for a well-budgeted holiday, and hope you stick around.
January 1st, 2008 at 06:11 pm 1199211115
January 2nd, 2008 at 01:47 am 1199238438
January 10th, 2008 at 02:23 pm 1199974999
For years now, I have budgeted for Xmas. I start in January until June for Xmas and the year before, for vacation July to December.
You gave me a whole new thought about what a great way to start out the new year with not owing anything for Xmas or last year. Of course the statements will come in in January, but you have the money to pay for it.
That would be a good resolution that one could set up and keep. (Funding holidays)