How to Be Frugal

Being frugal is a great way to make it through tough economic times, however it does not need to stop there. Living frugal is a way of thinking that represents a certain attitude and respect towards money. Being frugal does not mean you are poor, it means you are smart and conscientious in your day to day living so that you can generate a nice cushion of cash so when your car breaks down or you want to go on a nice vacation, you have the resources to do what you want.

Instructions

1. 

   Create a budget and stick to it. If you have never paid attention to how much you spend each month and where your money goes, start saving every receipt for the the next 1-3 months. Organize the receipts into categories such as groceries, clothing, gas, bills, eating out, entertainment, etc. Now analyze where you can cut costs. Write out you monthly spending allowances on paper so you can hold yourself to your budget. If you must, you can have an envelope of cash for different things like groceries, gifts, entertainment, etc. When the cash from the envelope is gone, then you can not spend any more money that month on that unless you take money from another envelope. It might take a couple of months to find a comfortable but somewhat strict budget and get used to it.

2. 

   You can not be frugal without the use of coupons. Always use coupons when you can. It can be frustrating trying to deal with all your coupons, cutting them out, having them when you need them only to find out they have expired. Join CouponMom for free printable coupons and also a coupon database that tracks the deals in the stores and tells you when and where to use your coupons for the most savings.

3. 

   Be frugal by Shopping Thrifty. Check out the local thrift store if you want, but you can get just as good of deals by frequenting your local consignment shops for better quality items. Take all your old and unused items to the consignment shops to make money too!
   If you are in need of a specific item, such as a children's book shelf or play kitchen, call your local children's consignment shop and let them know what you are looking for. Some of these shops are happy to let you know if they have what you are looking for do you don't waste gas and time going to the store yourself, and will even keep your request on file so when that one item does come in, they will call you and let you know.

4. 

   Be energy efficient. Not only does being energy efficient assist you in being frugal and saving money, but it helps the environment as well! Turn off the lights when you leave a room, turn the heater down at night and sleep with an extra blanket and warm pajamas. Do all your laundry in one day so the dryer stays warm and takes less energy to heat up for each separate load, and do full loads of laundry only.

5. 

   Look for deals wherever you go, like a no fee credit card with cash back or gas points. Use this for all your purchases as you would your debit card, and just pay off each month. Instead of the credit card company ripping you off, you are actually profiting off of the credit card company.

6. 

   Learn to cook. Being able to bake and cook from scratch can save you a ton of money in the kitchen and is actually healthier for your family anyways. A can of soup ranges from $1-$3 and serves maybe 1-2 people. You can make your own soup to feed 8 people for the same amount! If you do not have that many people to feed, you can just make half of the recipe or freeze the leftovers. Check out my Garbanzo Minestrone Soup Recipe!

7. 

   Set financial goals and write them down on paper. This will help and motivate you to remember why you are living this way when you start to overspend. Do you need to get out of debt? Save for a new car or house? Save money for Christmas gifts or a special family vacation? You decide what is important for you and put down a dollar amount that you would like to have in your savings. But like my father in law always taught my husband, if you want to get rich, then live like you are poor!

Tips & Warnings

• © 2008 [CCROCK]. Reproduction in whole or in part is strictly prohibited

Resources

• coupon mom
• Garbanzo Minstrone Soup
• How to be frugal without being cheap
• How to Save Money at the Grocery Store
• How to Make Ends Meet
• How to Track your budget in Excel
• How to Manage Debt
• How to Avoid Needing a Payday Loan
• How to Make Money on Craigslist