My New eBook! 12 Months of Practical Modern Living: A Frugal Resource

So I have to apologize for not keeping up with this blog, but I promise I had a good reason.  I have typed up all my best tips and frugal ideas and created this eBook.  Here is just a taste of my new book!  You can find it at smashwords.com.  Just click the link below!

12 Months of Practical Modern Living: A Frugal Resource

Today, frugal has an entirely different meaning than it did years ago. People actually live, but they are trying to spend money on things that are priorities, and spend less where they can. People have different goals – some have had to take lower paying jobs and are struggling to make ends meet. Some want to be able to stay at home and raise their children. Some people just want to step away from our consumer driven society and live a simpler life. Others have specific dreams of owning a home or achieving financial independence. Then there are those of us stuck on a financial merry go round, and we just want off.
No one wants to spend any more than they need to spend. Even so, sometimes it’s difficult to find the best way to achieve your goals. Everyday retailers and manufactures are pulling out all the bells and whistles to entice you to spend your money. It's hard to know when you are getting the best deal for your money.
Whatever the reason is, you have picked up a copy of this book to try to do something different in your life. While this isn’t the “be all - end all” of all of frugal living books, it does examine how to best exploit market cycles to spend less for the things you need or want. It examines how to time and anticipate your needs so that you spend the smallest amount necessary to achieve your goals. I’ve also outlined practical tips and ideas about using technology to save money and earn money - including an entire section on coupons in our digital age. It examines many items that have multiple uses, and finally it examines practical, old fashioned, tried and true methods, hands-on tips and ideas to save money and live frugally. Ultimately, it’s about living well, without breaking the bank

Worth the time or the money?

Don't feel like running all over town to do your grocery shopping?  You can always price match at Walmart. It takes a few extra minutes to check the sales ads, but it could save you a considerable amount of money, especially if you price match some of the loss leaders at other stores with a coupon - and it saves gas and some of your time.

Extreme Coupon Tips

Did you know if you match buy 1 get 1 free sales with coupons, you can use a coupon for the free product too?

Did you know that you can use a store coupon and a manufacturers coupon for the same item?

Grocery stores promote "loss leaders" in their sales ads to get you into their store.  These are usually items discounted 40% to 70% off the retail price.  If you have a coupon for that item as well, you can save 75% to 100% off the price.  Free has a good ring to it, doesn't it? 

So Frugal Friends, do you have any extreme coupon tips?

Beg, Borrow, or Buy?

Do you really need to buy it? Most people head to the store when they need something.  Here are a couple options you might want to think about before laying out your hard earned cash.

1. Can you get it free or second hand? Craigslist, Freecycle, and Thrift Shops are options you might want to check first.

2. Can you borrow it? Forking out money for something you will use infrequently is a waste... just make sure you take it back after you borrow it! 

3. Can you swap for it? We all have things tucked away in our closets and garages that are gathering dust, if you aren't using it, consider trading for something you need! Sites like Neighborgoods, Trashbank, Craigslist, Zwaggle, and Swap.com have options for trading.

Sometimes retail should be your last option instead of your first.  Just something to think about. 

IT'S TAX TIME (part 1)

I've been getting a lot of questions about taxes this last couple weeks, so I am posting some of my tax tips 

 

- Standard Deductions vs Itemization on a Schedule A.

 

There are some pros and cons of itemizing your taxes. Your standard deduction for Married filing jointly is $11,900. Head of Household is $8700, and Single is $5,950. It is usually much easier just taking a standard deduction, but you could also be leaving money on the table if you take a standard deduction. Some of your itemized deductions may include "medical bills" over 7.5% of your adjusted gross income (this includes prescriptions, medical supplies or equipment, doctor and hospital bills, dental bills, mileage, parking and tolls- that is not covered by insurance) "State income tax" "Real estate taxes" "mortgage interest" "mortgage insurance premiums" "sales tax" "gambling losses" "non reimbursed work expenses" "charitable contributions" (cash and non cash items) and even "tax preparation fees" You can also include any "casualty or loss" (damage from acts of nature, theft, accident, etc that insurance does not cover up to a certain amount) A deduction lowers your tax liability. Let's say you make $35,000 a year. If you file MFJ and take the standard deduction, it lowers your tax liability to $23,100. After you add your exemptions of $3,800 for each person (family of 4) you can deduct another $15,200 from your taxable income. Now your taxable income is only $7,900. If you itemize, you might be able to lower that amount even further. If your itemized expenses don't add up to $11,900, then you should take the standard deduction.

 

Example: John Q Public is married and has 2 children. He makes $35,000 a year. He owns a home. He paid $5840 in mortgage interest. He also paid $480 in mortgage insurance premiums. He tithes $50 each week to church and made a $100 contribution to the United Way and a $20 contribution to the American Red Cross. He paid $2,400 in property (real estate) tax, and he paid 1,400 in state taxes. He paid $2500 for his daughters braces after insurance, and he paid $2160 in insurance premiums and $1600 in insurance deductibles, co payments and prescriptions. In total he had $3635 in eligible medical deductions. His total itemized deductions would be $16,475. Instead of having a taxable income of $7900 by taking the standard deduction, he has a taxable income of $3,325.

February Big Ticket Sales

Just wanted to share this with all my frugal friends

February deals on big ticket items

By Victor Paul Alvarez | Yahoo! Shopping – Fri, Feb 1, 2013 8:43 PM EST

Welcome to February, the month when consumers are still twice shy after being bitten by the holiday shopping season. The only shopping holiday of note this month is Valentine’s Day. It’s not the only holiday this month.

There is Ground Hog Day, which isn’t much of a gifting holiday unless you’re a personal friend of Bill Murray. (If you are, I covet your life.)
Everyone knows George Washington’s birthday is a holiday this month. However, did you know Feb. 28 is National Sword Swallowers Day? If you did, well, good luck with that.

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The real consumers care not for these corny holidays. The people who clicked on this story did so to find out how to save money – not give gifts.

I have good news for you. Plenty of necessities and creature comforts are good deals this month.

People are still recovering from holiday spending binges. That means demand is low, so retailers get creative and desperate. They’re going to lure you into stores this month with whatever sales they can muster.

As always, I’m here to show you where to look.


1. Prom dresses.Obviously, this one isn’t for everyone. But parents who are already shelling out cash for swim classes and violin lessons will be happy to know that this is a great time to save money on a dress for their daughter.
Beat the rush this spring by shopping now and choosing from the best selection. In winter, new styles arrive every day. Square her away with a dress and she’ll have months to shop for accessories while knowing she got first pick on the best styles.






2. Boats.There’s a saying that a boat is just a hole in the water into which you drop lots of cash. It’s true, if you buy someone else’s boat.

A new boat, however, is like a new car. Buy a quality model, treat it right, and you’ll be happy together for years. And February just happens to be boat show season. This is the time to make deals on that S.S. Minnow you’ve been dreaming about.
If a boat show is coming to your town – and one probably is – go check it out. Meet the sellers, shake some hands, and haggle for a good deal. When boating season rolls around, you’ll be glad you did.



3. Indoor furniture.Furniture goes on sale all the time. It’s a big-ticket item that retailers are always trying to move with sales and special offers.
But February is truly a great month to shop – to the tune of saving up to 60 percent if you do your homework.
New furniture styles are typically unveiled in spring, so retailers are clearing out old styles to make space this month. Part of doing your homework is being willing to search the showrooms for floor samples. If you’re not afraid to take a chance, you can save big this month.



(Photo courtesy of SoCo Creamery)4. Broadway tickets.
This is allegedly the month for romance, right? What’s more romantic than a Broadway Show? Since it’s the offseason in New York, prices are typically down for Broadway and off-Broadway shows in February.
You might be able to find two for one deals that increase the fun and frugality of your trip to New York.

For more, check out http://www.newyork.com/broadway-show-tickets/

They bill themselves as “New York: The Center of Everything,” so you know they mean business.



5. Home Electronics.When it comes to deals on tech products, February is a big one. This is the month after the Consumer Electronics Show. The heavy hitters in the gadget world rolled their dice in Vegas (where the show is held) with their new products for the coming year. That means their current inventory on store shelves is about to take a price cut, and you’re about to get a deal.
President's Day is a benchmark day for discounts on digital cameras, HDTVs and home theater systems.

OK, I know what you’re saying: It’s always a good time to buy these things. You’re half right. HDTVs and home theater packages go on sale often, but this is truly the best month. Want another reason? Two words: Super Bowl. If you didn’t get a new TV on Black Friday, this is the month for you. Having said that, don’t go nuts. Make sure you only get as much TV as you need. If your couch is only eight feet from your TV you really don’t need a screen the size of a Corolla. And if you have kids and thin walls then you’re probably never going to use a surround sound system.

However, if you don’t have the aforementioned details – or you do and just don’t care – this is the month to save cash on the hardware that will turn your home into a theater. New models are coming out in March. Act now.


6. Valentine’s Day Aftermath.Most stores can’t possibly sell all the Cupid-inspire chocolate, flowers and gifts they stock up on for Valentine’s Day. Walk in on February 15 and you can find huge discounts, especially on the perishable items such as chocolate and flowers. The flowers – and even the potted plants some retailers roll out for the holiday – will brighten your home. The chocolate and candies can be frozen for surprise treats or baking, if you’re so inclined.




7. Air Conditioning Systems/Units.The radio is filled with ads for home air conditioning companies right now. This is the time to buy. In the heat of the summer those guys will be too busy to pick up the phone. In the dead of winter, they’ll appreciate your business and offer some great deals to entice you.

The same is true for window units. In the sticky summer months consumers will do anything – and pay any price – to escape the heat. Do the smart thing and buy one now. You’ll save a bundle and be ready for the warm months ahead.




8. Winter Sports Equipment.It may seem counter intuitive, but this ice cold month is a great time to buy stuff you need to use right now. This applies to everything from skis, skates or a winter jacket. Expect savings in the 25 percent range, maybe higher.



9. Vacation in London.This is a good time to visit Europe, London especially, because most people don’t vacation there this time of year. The London attractions you want to see – such as museums and sight-seeing – don’t disappear in the winter months. And it’s not as cold as you think.

Expect to spend half as much on a European vacation if you plan it in February.




10. Indoor DIY Projects.This is not the time of year when most people want to be fixing roofs or working on their home’s exterior. It’s cold outside, time to look inside for your home improvement projects. Look to the big box stores to have incredible sales on indoor DIY project materials, such as fixtures and vanities.

Also, don’t be afraid to ask for help. Not only do many of the box stores have reliable employees who can help you shop, but the Home Depot web site is packed with DIY videos, instructions and blogs.

http://shopping.yahoo.com/news/february-deals-on-big-ticket-items-014358475.html

The Value of Time and Experience

Yesterday I had a woman come in to have her taxes done.  With all of her credits, exemptions and deductions, I was able to get her an $8,158 refund.  It took about an hour to do her return, and when I finished, she objected to the $349.00 fee set by the company I work for.  I was able to discount the cost $50.00, lowering the price down to $299.00 but she still refused to pay that much.  I explained that there are costs involved in preparing her return, the cost of rent for the building, the cost of utilities, the cost of the computers and software, the desks and furniture, and the cost of paying staff.  She wasn't having it, and walked out, stating she could do it herself for free.

Now as a frugal person, I understand that no one wants to pay anymore than they have to, and I actually do my own taxes, I have for years.  That said, I would never dream of walking into any business and tell a trained professional; a lawyer, an accountant, a cosmotologist, a doctor, or any person who has just provided me a professional service and an hour of their time that I'm not going to pay because you are charging too much.   I spent over 250 hours training, studying, practicing, and testing to be able to prepare taxes correctly, and I know many professionals have spent thousands of hours preparing for their professional careers.  They are the specialist in their field, and their experience and knowledge is something I don't have, nor do I have the time or money to learn what they know.  I think the value of their time and experience is worth whatever price I need to pay, in order to get the desired results.

So what do you think Frugal Friends?  Was my customer being a bit too frugal? Is there any professional service you feel is not worth the time and experience of the person providing it?