Budgeting On A Small Scale

One year ago, I resigned from a fairly well paying job due to health reasons. At the time, there was no compelling reason for me to remain as my husband's business is doing well and I fortunately was able to take the needed months to recuperate. However, although I soon managed to resolve my health issues, the six months I had anticipated being unemployed soon turned to over a year. At that point, my husband, John decided it was time to nudge me back into the work world due to COBRA soon expiring. John's business, while it does keep us us in vittles, does fluctuate in income due to the nature of his being self-employed without insurance. He had relied upon my past employment for insurance and, anticipating a future $2,000 bill in health care costs due to our age and pre-existing conditions, enforced his stance in finally establishing a budget.

One of his brilliant budget ideas and one which would effectively serve to motivate me to actively look for work was to deny me any discetionary spending unless I could justify the expense. One might think that it is chintzy to deny a spouse $5.00 here and there just for a Starbucks frappacino but it was smart thinking on his part. Had he continued with his generous dispensation of discretionary spending, I'd still be playing Farmville 24/7 -- hardly what is needed what with COBRA expiring. However, I want to emphasize that my husband has been very generous in other areas other than providing me with cold, hard cash, forcing me to go to him for that.

Now I am much grateful to him because I have learned the art of saving - and people do not often learn this art through learning how to save on big items but much of the saving often comes in the small expenditures. A dollar here and a dollar there does add up. Thirty dollars a month adds up to $360 savings in one year and $3,600 in ten years -- more than what most people save who live from pay check to pay check.

When I was employed, I thought nothing of spending $5.00 twice a week at Starbucks on my favorite latte. It was my lunchtime treat and the expense never crossed my mind. That was an expense of $40.00 a month and twice a week was the minimum time at which I spent at Starbucks. Now, when I can weasel money out of John, I go to McDonald's and purchase their small mocha frappacino which costs only $2.50 and this has turned into a special treat for me. Knowing my tricks, John gives me cash only what he knows I need gas and this is dispensed twice a week, so I can get away with siphoning $3.00 for my frappacino without causing mayhem.

Another item which I have learned the art of saving is with shampoos. I do not buy cheap cosmetics because I do believe that facial skin is the one area in which one should not skimp and, used sparingly, make up can last for months. Do not believe that old wives tale that make up must be dispensed within six months of purchase. I have used foundation which is over a year old and suffered no adverse effects. I used to spend $20 on shampoos and conditioners each every month. That is a waste. Once this luxury ended for me, I found that good store brands were just as effective as the more expensive ones. I recommend Pantene as one of the better ones, especially the one that includes both the shampoo and conditioner - more savings there. The only caveat when it comes to hair styles such as perms is that I still insist on paying good money for a master stylist for highlights and perms as only the professionals know what to do in that regard. If I could highlight and perm my hair on my own, I'd set up my own business. When it comes to permanent change to hair, pay the necessary money for the professionals. However, if all that is needed is to cover the gray with one's natural hair color, without highlights, I recommend a semi-permanent hair color that washes out within 28 shampoos so one doesn't have to worry about root re-touching. My natural hair color is dark brown and my favorite shade is Clairol Clove #24. It only costs $8.00; I've received many compliments on it and it's much cheaper than the $75 that a stylist would charge per month. By the way, my very meticulous husband has turned out to be a meticulous bang trimmer, thus saving me $10 every two weeks at the salon getting those trimmed.

Now for cheap entertainment: this is the best time to develop a love of books as it is the cheapest entertainment especially with libraries. Pick a genre, any genre. Use this time to broaden your horizon, escape from the doldrums and boredom of being stuck at home, to travel to new worlds and explore family drama much worse than anything in real life. I used to buy books by the dozen, often spendng $100 a month in reading material. I have plenty of books now to keep me occupied but, when I've exhausted my reading supply, I trust the library will have more books for my perusal. Don't forget about bookstores that often buy used books at a discount. Not only can one obtain some discretionary spending there but exchange books for those not read which grab one's interest.

Computers: Most of us own one. This is the best cheapest entertainment and an innovative learning device. One can research whatever topic grabs one's delight (between job searches, of course). My favorite subject is true crime and I have spent days researching criminal histories, death row proceedings, criminal biographies, etc. I am also an avid fan of Facebook which is still free to use. As homebound as I am, I am never lonely thanks to my on line friends. I am a Farmville addict and have created several accounts to feed that addiction. That game alone provides me with hours of entertainment (of course, between looking for work). The game is free and fun. I've met some great buddies through Facebook. There is that pesky cost of having to pay internet access but I highly recommend not skimping on this so as to not splurge on other more expensive endeavors out of boredom. If internet access is not available, most libraries offer those for free.

Movies: out of the question. Too expensive, even at matinees. It's a good thing I've never been much on movies. However, fortunately, I do have cable. There is only one show I watch and that is Identification Discovery which is a 24/7 crime show dealing with forensics and people gone bad. True enough, cable is expense and I am fortunate that my husband is such a lover of television that he will not skimp on this. "Mad Men" is also a favorite show of mine which I recommend. Skimp on the movies and make use of cable if available. Why spend more money for movies when one can watch essentially good quality shows on cable? If cable is not affordable and a computer is available, hulu often shows re-runs of shows previously shown on television.

Clothes: I literally would spent at least $5,000 in clothes a year and that is a conservative estimate. Keep in mind that I was no executive but a legal assistant who rarely saw the public. However, I was a prideful sort and would not consider buying my clothes other than at Talbot's or Ann Taylor's. This was when I was thin and vain. After I resigned my job due to migraine issues, I finally found a physican who placed me on a medication that did the trick. Good news: no more migraines. Bad news: 30 pound weight gain. But better to be overweight, healthy and in a position to be gainfully employed. John found a way to help me find interview clothing which would not reach into the hundreds of dollars. J.C. Penney's is a wonderful store with great clothes. I found a couple of interview items which cost less than one dress at Talbot's and were of good quality. I also found shoes which were half the price at the more expensive boutiques (and more comfortable). Because of the weight gain, I needed clothes for every day wear. I discovered Goodwill. I would have considered myself "too good" for such a place during my working days but decided that, so long as the clothes were not stained, looked ragged and fit well, they would do. I felt like a child at Chistmas as I filled my shopping cart full of clothes which I purchased for less than $50. Fifty dollars would have bought me a tank top at Talbot's.

The point of all this is: the best budgeting is always at the smallest level because sometimes bigger expenditures such as health insurance, food and mortgages cannot be avoided. However, if one details how much savings one can accumulate by saving on the small items, that amount can add up. The most important lesson in learning how to budget in these smaller fashions is that one becomes used to a lower standard of living so that, when one returns to work, that budgetary discipline is already in place and the employee is then in a position to effectively save without being aware of the hardship. I am proud to admit that, just by virtue of learning how to not sweat the small stuff, I have now disciplined myself to be in a position to save between $5,000 to $8,000 in useless discretionary spending. I warrant that most do not have the luxury of availaing themselves of budgeting themselves in this way but I still hope that this blog can be of help of those who are in a position to save in this small ways.