Saving On The Major Things

[PrincessPerky]

Well how many big things can you list?

insurance shopping only needs done say yearly?
interest shopping again not a daily thing

big purchase like house/car done rarely (even by average Americans, two years isn't it?)

medium purchase like vacation TV computer, etc...again done on average I guess yearly

so if we only talk about them we would be a very slow boring board....

Though I do agree some spend way to much time on the pennies and not enough on the pounds.

Then again some people spend time on the pounds and let the pennies wast grow up to that pound and more (I have a friend this way)

[disneysteve]

medium purchase like vacation TV computer, etc...again done on average I guess yearly

so if we only talk about them we would be a very slow boring board....

Of course, the average American spends far more time and does more research to plan their vacation than they do to plan their retirement.

I don't think the OP was suggesting we should stop talking about the little things. Just that we shouldn't forget where the big money is.

[story3girl]

I think sometimes the reason why frugalites are always talking about how to save an extra penny or two is because you get to a point where there aren't big things left to save on. When people talk about how the big savings count more, and you're already driving a ten year old paid for car and living in a cheap apartment, those things are not the places you need to look at.

The people who post on this board are the people who are already doing some things right and looking for more things to do right. Some of the little things may not be worth the time and energy just for the money, but often they're worth it for the inertia and the sense that you are at least still making some improvements.

[LivingAlmostLarge]

There are a lot more people who have bought too expensive a car, too much house and think clipping coupons, cutting cable, etc will solve their problems. Thus why Dave Ramsey makes so much money.

Doesn't happen. Truth is that a lot of times they need to get out of a $500-700/month car payment because they won't give up their homes or something. That's what caused debt, buying too much stuff. Then too the $500-1k in CC minimums every month.

But clipping $1 here and $1 there, or rolling change or $50/month cable, how do you get around being in the red if you have a car payment? There is no easy answer over just dumping the car payment and wham in one step you are back in the black.

[disneysteve]

There are a lot more people who have bought too expensive a car, too much house and think clipping coupons, cutting cable, etc will solve their problems.

Truth is that a lot of times they need to get out of a $500-700/month car payment because they won't give up their homes or something.

There is no easy answer over just dumping the car payment and wham in one step you are back in the black.

The problem with this is the person is usually upside down on the car loan. If you owe $25,000 but the car is only worth $20,000, you're stuck if you can't come up with that other $5,000 to pay off the loan.

[Aleta]

I wouldn't think that a frugal person is necessarily the one out there in a lot of debt. Probably, most people don't check their rates on the various categories as was mentioned often enough. As was said earlier, how often do you buy these things? Of course, getting a good rate on your mortgage is important as is checking your credit reports and your scores (that affect your interest rate). There are just too many variables and being on a forum like this gives you different ways of looking and viewing your finances. Even when others mention finance books to read, that's a great help. We're all here to encourage and hopefully to gain more knowledge to help us all on our different quests.

[timzagain]

I'm having quite a difficult time trying to find ways to save more money. I'm using all the nickel & dime tips and tricks I can think of. Our vehicles are 11 & 13 years old, kept in good working order by DH who is a trained mechanic. We pay a token rent right now. We've outgrown our space, and have not been able to find a home to rent or buy that will fit into our budget. A steadily rising cost of living has not been matched by increased salaries. There are few corners left to cut, so any improvement in our finances has to come through additional income. Sometimes, being frugal seems more like an exercise in frustration than anything else!

[LivingAlmostLarge]

The problem with this is the person is usually upside down on the car loan. If you owe $25,000 but the car is only worth $20,000, you're stuck if you can't come up with that other $5,000 to pay off the loan.

If you have good credit get a bank loan or roll it to a CC, then buy a beater car and you've drop $10k of debt right there, if not more.

Aleta, people who are not in debt will not go without home maintenance, car maintenance. They are frugal but not stupid and trying to pinch pennies to lose a buck later. People in debt will often do stupid penny saving moves like coupons but refuse to give up a car payment.

[Aleta]

Timzagain: Do you have a spending plan (budget). You may be cutting down on expenses but spending in other areas. Until you set everything down on paper ,and for one month track your expenses, you won't know where your finances are.
It would be better if you could go back a year and just list where you spent money. This might be credit card, cash receipts, checks, etc.
You also don't mention debt or if you contribute anything to a retirement plan. And if you do have debt, how much and what the interest rate and monthly payments are. There are a lot of variables here and a lot of people who can help you.

[story3girl]

There are few corners left to cut, so any improvement in our finances has to come through additional income. Sometimes, being frugal seems more like an exercise in frustration than anything else!

I'm sure that this does happen. There is a balance that needs to be struck between increased income and decreased spending. Have you considered changing careers, or temporarily getting some kind of a part time job? When I was stuck for money, I was spending too much time going to seven grocery stores, and chasing phantom electric leaks, and not enough time working. Working an hour at a tutoring center at night makes me a lot more money than hanging laundry for an hour would save me.

The truth is, though, that I'd much rather be hanging laundry, so when I got back out of the place where I NEEDED more money to get caught up or get traction, I made sure to get right back to minding the pennies through active frugality.