Tag Archives: Budget Roundups

Cut your own budget and handle it wisely

So you have a budget and you want to see where you can chop it, but everything looks just so.. NECESSARY, doesn’t it?

(I hear you on that, my necessities include boxes of macarons.)

There are a 3 ways you can trim your monthly budget: Trim, Chop and Shave.

They all work only if you’ve already done the best you can with your debt as in:

  1. You are currently making payments on your debt
  2. You haven’t accumulated MORE debt
  3. You have called your debtors and asked for a lower interest rate or else you’ll default
  4. You are slowly paying down the debt with the HIGHEST interest rate first
  5. You are not also saving money aside for some fancy vacation you can’t afford to take

The following tips are for people who are in debt and really think that they can’t find anywhere to chop in their budget.

You don’t have to chop everywhere all at once, but slowly reducing one category one month, and another the next, might just be the way to get ‘er done.

LEVEL 1: TRIM THE BUDGET

This is the easiest level because you just have to go through your truly frivolous variable expenses and trim them down.

Follow or don’t follow the advice, but hopefully it’ll get you thinking about it.

Go through the following budget categories:

  • Eating Out — Always a money sucker; you have to become more organized and meal plan!
  • Lunches Out — It’s too easy to nip down to the local subway shop, so make your own lunch
  • Alcohol — You can always cut down on this budget somehow; Drink less and your liver will smile
  • Clothes — Unless you’re a super minimalist with a 10-piece wardrobe, you may not need more
  • Makeup — Ditto. Basic makeup should do for now, and I’m fairly sure you already have enough
  • Tea/Coffee — You have probably heard this one to death, but a $3/day coffee is $90/month
  • ATM fees — Taking money out of a third-party ATM because you’re too lazy is unacceptable
  • Candy/Snacks — Going to the convenience store to pick up some chips almost nightly is a waste
  • Fancy Vacations — Think about not taking one this year and save the cash instead
  • Books/Magazines — Know where your nearest library is? No? Find out where it is & get a card
  • Gifts — Nice to have a big heart, but you have to take care of yourself before you can help others
  • Charitable Contributions — See above; How can you help others when you’re in $$ trouble?

Photography-Travel-A-Cup-of-Tea

YOU CAN STILL HAVE FUN, BUT IN MODERATION

I am not saying to not have ANY fun at all, but if you can’t make your budget balance to the point where you have a comfortable amount that you’re saving in addition to covering your bills, then you do need to:

  1. make a sacrifice and/or
  2. make more money

Sacrifices include not taking a vacation, buying less clothes, and in general, less luxuries.

If you say to me: But what will I do if I DON’T go out and party all weekend? I’ll be SO BORED!

Get a part-time job.

An extra job will cure that boredom because it makes you tired, you don’t want to go out after putting in long hours at your regular job and your part-time job. You’ll want to stay in.

Any free time you have, you’ll want to spend it buying groceries, running errands, napping and cleaning your place.

On the plus side, you get more money to clear that debt faster.

TREAT THOSE ABOVE CATEGORIES LIKE LUXURIES

They’re little, daily luxuries.

Treat them as such because once you get used to them, they stop being luxuries and turn into habits.

So until you get to the point where you really don’t need to freak out about spending $3/day at Starbucks, you really can’t afford to be frittering money away like that.

Get out of debt first, have a safe financial cushion in your retirement accounts, and then you can enjoy your money, stress-free.

London-England-Photography-Big-Ben-Site-Travel

Photograph I took in London, England (2011) of a typical English day

WHY DO YOU SAY NO FANCY VACATIONS!?

Because you’re in debt.

Want another reason? Because you wanted to get out of debt quicker, no?

Note: What you consider “debt” is up for debate. If you have a house and a mortgage, but are otherwise financially responsible, by all means, save for that vacation.

If you’re paying 30% interest rates on your credit card debt, and desperately want to be free of those plastic shackles, yet you feel like you deserve a $2000 vacation then you simply have to accept that you will take longer to clear your debt, pay more interest in doing so, and you aren’t allowed to whine.

Another point I will bring up is that vacations are a wonderful escape from reality. I myself, escape from reality when I go on vacations.

Read: Why do I budget so carefully and then spend so recklessly on vacations?

It is really a downer if you go on a great escape to another dream life for only 2 weeks, only to have reality smack you hard in the face 50 weeks of the year with 30% interest to boot.

I’m putting my money where my mouth is because until I was out of debt, I didn’t take a single vacation, and I was a lot happier to be out of debt sooner versus going to Paris.

I wanted to enjoy my vacation, not go there, rack up more debt (how can you NOT shop in Paris!?) and then come back only to face a bigger pile of debt.

Granted, I’ve always been more of a “work now, play later” sort of person, but this ”treating yourself” business or that you “deserve a break for working so hard” can be a slippery slope to justifying things you can’t afford. (I know of what I speak of. ;) )

Think of your being debt-free as the vacation, the break, and the reward from financial stress which will drag on your mood more than you know.

LEVEL 2: CHOP THE BUDGET

These areas are a lot harder to trim because it takes a little effort, perhaps on the phone and/or in-person:

  • Banking Fees — You better not be paying any bank fees but if you are, you should switch banks
  • Cellphone — Consider lowering down your data plan, or getting a very low-cost phone altogether
  • TV — Eliminate those fancy channels except the ones you actually watch; or stick to basics!
  • High-Speed Internet — You can probably go down to the lowest tier in terms of High-Speedy-ness
  • Telephone – If you have a Home phone, why have a Cellphone? Or vice versa?
  • Groceries — About $200/person is considered reasonable to most folks; otherwise, it’s chop time!
  • Life Insurance — If you don’t have any dependents (kids), you’re basically wasting your money
  • Utilities — Start turning off the lights; shutting down laptops and using less of everything

LOOK FOR BUNDLING OPPORTUNITIES

Look for a competitive provider in your area, and give your provider a call every 3-6 months to threaten to switch. They’ll generally give you a pretty good rate to try and get you to stay.

This probably only works in big cities, so use with caution.

BANKING FEES

There are so many no-fee options out there! Why are you still paying an account fee?

Consider at least keeping the minimum in your bank account so that you can have that fee waived.

CELLPHONE VERSUS TELEPHONE

BF and I use a cellphone between us. We treat it like a portable home phone. It works out great because he doesn’t need a cellphone for his personal life, and frankly, neither do I.

We’re just more organized as a result, and we make plans ahead of time.

As a result, we don’t have a home telephone. If we had an apartment for more than a year, I’d consider getting a home telephone and scrapping the cellphone.

For us, it’s one or the other. We’re currently with Virgin Mobile and we pay $21 a month for the whole bill, or about $10.50 each.

Travel-Photograph-Food-Eat-Vegetables-Brussel-Sprouts

GROCERIES

I don’t like chopping Groceries because I value good food a lot, but most people find that $200/month is sufficient for a single person.

For fancier foods, we spend about $300/month each, going up to $400/month if you include the alcohol that goes into cooking it, or other fancy treats.

As a result of our fancier budget, we don’t eat out as much.

In fact, it’s near $0 in Eating Out between the two of us as a couple.

I only eat out if I am out with friends for a meal, and that is not a weekly, let alone monthly expense.

UTILITIES

You know, little things like shutting down your computer, turning lights off and not leaving the water running while you’re doing something, using your dishwasher on off peak hours… it actually all makes a difference.

We did an experiment when we were living in an apartment, and we had $20 for utilities every month.

Not much, right?

Well we started turning everything off (the microwave was on a switch, we turned it on, only to use it), we unplugged every electronic device or put it on a power bar, and lo and behold, our utilities budget came in at $10 the next month!!

$5 of that was service fees (we couldn’t avoid paying the flat charge), and the other $5 was our usage, down from $15/month.

Now it sounds like small potatoes, but this was in a small studio. Can you imagine the savings if you’re living in a 2000 square foot house?

You don’t need to go to extremes as we did in our experiment, but just remembering to turn off the lights, or being conscious of your usage can make a difference.

LEVEL 3: SHAVE THAT BUDGET

This is when you really want to get serious.

You’re thinking: I have done all of those levels, and I AM STILL in need of a budget boost somehow.

Aside from going out and just earning more money at a part-time job, I only have two areas that tend to eat a lot of money:

  • Rent — Sell & move to a cheaper and/or smaller apartment farther away; Or get a roommate
  • Car — Sell it altogether and save on gas, car insurance, maintenance; Take public transportation

HOUSING

People spend about 35% of their budget on Housing. It’s the biggest part of your expenses, and no one wants to move, let alone have to go through all that work of finding a new place to live.

That said, maybe you bought a house that is simply too big for you.

Or you’re living in a shoebox, paying sky-hight rent prices, when if you just commuted about 15 minutes to half an hour a day, you could cut that in half.

CAR

Sell the car if you can’t afford to maintain it. You’ll save on gas, car insurance, maintenance and accessories, not to mention parking, tolls and other things that come with the convenience of the car.

Frankly, we only use our car for groceries because it’s a lot to carry and there’s no direct bus to the grocery store.

For that, we could actually just rent a car for the day or use a car-sharing program where we can rent it by the hour, and not have to worry about paying for a full-time car.

Figure out how much your car is costing you, and make the decision. I know it isn’t easy in some cities, but mid-sized cities and larger, tend to have a public transportation system of some kind, even if it isn’t convenient and easy.

IT’S YOUR LIFE AND YOUR MONEY

Some of these decisions can’t be taken lightly, because it means an upheaval of your life, but once you make the change, you can start seeing the money roll in.

Start slow, and make it happen.

Find a place to cut each month (perhaps making your lunch every day?), and get used to that change before embarking on another.

If you try and do all of these changes at once, you’ll feel overwhelmed, upset and probably abandon this (valuable) exercise altogether.

Sacrifices may have to be made, and it’s up to you to choose which ones to take — do you want to sacrifice your time, or your expenses to clear your debt quicker?

Good luck!

Posted in Money | Also tagged , , , , , , , 9 Comments

How much did women spend on clothes and upkeep in the past?

I’m always curious about my and other people’s spending habits (what? I’m NOSY!), and it’s interesting to learn what people spent in the past.

In the 1930s, there was a basic wardrobe list that every woman could follow, and every year would have cost approximately $191.81 for clothing and $46.21 for upkeep and personal care.

If we add inflation to today’s 2012 dollar*, it would mean: $2516.55 for clothes and $606.27 for personal care, which I am assuming includes haircuts, and spa-anything.

*$1.00 in 1930 had the same buying power as $13.12 in 2012. Annual inflation over this period was 3.19%.

That means you could expect to spend about $209.71 for clothes per month, and $50.52 for personal care.

That actually sounds quite reasonable. More reasonable than MY spending, anyway.

A BASIC WOMEN’S WORKING WARDROBE IN NEW YORK CITY IN 1937

(Source: ‘Clothing’ (Latzke and Quinlan, 1940))

Note: This wardrobe would have been updated each year, so 8 dresses would turn into a bit more every year if the dresses didn’t fray or wear out.

1930s Basic Wardrobe Regular
1930s Basic Wardrobe Underwear

Medium quality fur-trimmed coat, every third year

Wool spring coat, every other year

4 felt hats, two heavy, two light

8 dresses

  • 2 cotton, for summer street wear
  • 4 rayon, 3 fair quality, one inexpensive
  • 1 wool dress, medium
  • 1 rayon party dress

1 wool skirt

1 sweater, every other year

1 blouse

1 smock (I put an apron here)

Underwear

  • 2 undervests (rayon) (Used tank tops instead)
  • 3 knit rayon bloomers
  • 2 panties, 1 rayon, 1 silk
  • 4 slips, 3 rayon, 1 silk
  • 2 corsets or girdles
  • 3 brassières
  • 3 nightgowns, 1 cotton, 1 rayon, 1 cotton flannel

Flannel bathrobe (every 3 yrs.)

Rayon kimono, every other year

20 pairs medium silk stockings (I didn’t put all 20 in here)

Handkerchiefs, $1.50

Shoes

  • 2 pairs medium quality street shoes
  • 1 pair medium quality dress shoes
  • 1 pair evening slippers, every other year
  • 1 pair inexpensive white shoes

Rubbers 1 pair every other year

Overshoes 1 pair every other year (I took some liberty here, not knowing what overshoes are…)

House slippers 1 pair every other year

Umbrella, every other year

Raincoat, every 3 years

3 pairs gloves, 1 leather, 1 fabric

3 handbags at $1 each (or fewer and better)

Via shared by reader ES

MODERN TIMES HAVE CHANGED FOR A FEW THINGS

I don’t think anyone owns or wears bloomers, or stockings to require 20 pairs of medium silk stockings, nor do we wear corsets, girdles on a regular basis.

We also do more than just take dictation or calls as secretaries these days. Women are in what were traditionally men’s roles in the past.

Wardrobe basics I see missing for me in there are:

  • 1 suit — Just for the rare interview to be pulled out and dusted off
  • Jeans — Skinny, bootcut
  • Pants — Cropped legs (just an inch or two above the ankle)
  • Work pants
  • More work shoes — At least one other pair
  • Work blouses
  • At least another sweater or two

My basic minimalist wardrobe would look more like this, if I had to pick 20-items:

Minimalist Capsule Wardrobes for Spring, Summer, Autumn and Winter

Basic-Minimalist-Womens-Wardrobe-Spring-Autumn-Winter Basic-Minimalist-Womens-Wardrobe-Summer

Images above all created via Polyvore

What do you think? Anything missing in there for you?

Posted in Money, Shopping, Style & Beauty | Also tagged , , , , , , , , , , 23 Comments

What ever happened to our food?

When I mention that I tend to buy organic ($$$) and/or more natural and unprocessed foods, I get one of two reactions:

  1. Wow that is EXPENSIVE!!!!!! – You’re telling me!? My purse cries pennies nickels every time.*
  2. Oh. You’re one of THOSE people. — Hipster, Hippie, Militant Foodie, whatever you want to call it. I’ll take it, because I am a snob when it comes to eating well.

*Canada no longer has the penny. They came to their senses and decided that spending more than a penny to make a damn penny was just foolishness. This has resulted in folks hoping that their shopping totals round down rather than up, to the the nickel ($0.05 piece).

I eat well and buy expensive groceries for 3 main reasons:

  1. It tastes better than the cheap stuff — Yes, I CAN taste the difference
  2. I don’t eat packaged, processed or otherwise mysterious products like Spam
  3. I have the money to be able to do so, and I choose to spend it on FOOD

Which is why I was just thrilled to read Simple Living in Suffolk’s post on the whole “scandal” in Europe where they’ve been selling minced horse meat in place of minced beef, and in some cases, the “beef” lasagna was 100% horse meat.

Simple-Living-in-Suffolk-Horse-Fit-Cow

(Above image via Ermine’s post — HAH!)

I highly suggest you go and read his post right after you read mine!

Ermine basically lays it out that … no one could even tell or taste the difference!

Someone in the comment was more miffed that he/she was paying the price of minced beef for what was the cheaper substitute of minced horse, rather than the fact that it was horse meat mixed into beef.

Photograph-Horse-New-York-City-Carriage-Travel

Photograph I took of a hardworking horse NOT destined to be eaten in New York City.

I am not going to repeat what he said word for word, but I am going to supplement with my own post ranting about food in general.

(I do bring this up as a topic from time to time when I go to work, and you’d be surprised just how heated this discussion gets!)

LET’S JUST GET IT OUT OF THE WAY THAT REAL FOOD COSTS MONEY

Before I go into my rant of all the things I see wrong with our food today (abroad as well!), I will put it out there that buying real food is expensive.

I get it. I know that real, unprocessed food costs money (sometimes more than the packaged stuff for obvious reasons), and not everyone has the cash to buy it.

However, there are a few things I’d like to point out:

Minced beef? Cheaper than a hunk of beef.

(That is, if you are certain you’re getting beef and not horse meat to begin with.)

Organic _______? More expensive than real _______.

The only things not really worth buying organic are things with thick peels on them like bananas or avocados, where the pesticides don’t really have a chance to get in.

Another “organic” food product I laugh at is honey.

HONEY IS ALREADY ORGANIC.

We humans don’t MAKE honey.

(Eww. I do not want to think about ‘human honey’.)

We force poor honeybees to produce honey in their cute little houses, and then we swoop in like huge aliens in white suits, smoke them out to make them drowsy and sleepy, and steal their stash of sweet, syrupy goodness.

Sometimes, we even take the delicious food that they make for their queen, and eat it.

If I were them, I’d sting me too.

I don’t always buy organic and start parading myself around like some exemplary human being, I buy it when it makes sense for my tastebuds and my wallet.

Otherwise, I don’t always buy organic.

Bees-Photograph-Travel-Flower

Not an actual honeybee pictured in that flower, but it’s the best photograph I have personally taken that is bee-like.

AS A SIDE TOPIC, PLEASE DON’T KILL ANY BEES!

On top of that, because of our pesticides and I read somewhere our cellphones as well, and we basically cause honeybees to self-destruct due to the toxic chemicals, and also confusion signals (buzzing noises) coming from our cellphone towers.

They noticed that honeybees died in more urban areas where there were more cellphone towers located, than in others.

One out of every 3 bites of our food, comes from honeybee-pollinated fruits and vegetables.

We will NOT survive long if we are unable to eat fruits and vegetables any longer because there won’t be any bees left to help transform that food for us.

CONSUMERS WANT CHEAP FOOD THESE DAYS

With “real” food costing more money, cheap food is something people go for.

The other day I went to go buy a Honeycrisp apple and those damn things cost $3.99 a pound, or $2.11 for ONE. APPLE.

I put it back, and went to go buy a Gala apple instead, coming out at $0.70 for 2 equivalent smaller-sized apples at $1.49 a pound.

I probably won’t enjoy it as much as a Honeycrisp apple, but I am not willing to pay $2 for an apple quite yet.

So is it any wonder that they put horse meat in the ground beef in Europe?

I mean, those grocery stores like ALDI (German, super low-cost No Frills kind of deal), deal in boxed foods for super cheap, which is how they took the market so easily.

We consumers don’t want to spend more money on food if they don’t have to, myself included, but it’s kind of sick to think that our choices may end up being either to eat food we don’t want to eat (modified or otherwise) or pay a lot more money than we want to, to get the real stuff.

(Still thinking about that $2 apple.)

Not all modified food is bad, as it helps ward off disease and more food can be produced, that’s true, but there is a limit to how far we can go before it becomes just the form and flavourless hint of what the former fruit or vegetable used taste like.

EVERYTHING HAS ADDITIVES IN IT THESE DAYS

Ermine gave an example of meat being washed with ammonia because animals are butchered improperly by machines or by humans, and their feces get mixed into the meat and could make people sick.

Here are a few more that you may not have been aware of:

ALL EGGS ARE DOSED WITH ANTIBIOTICS

I was talking to a fellow Foodie Friend the other day, and I learned that eggs are all pumped full with antibiotics.

All eggs. Even organic ones.

The only way you will be able to get an egg without having any antibiotics or hormones injected into it, would be to grow your own chickens, as some farmers we saw in Portugal do.

Photograph-Portugal-Travel-Farmer-Home-Hillside

Photograph I took in Portugal in the countryside. They have lovely fields of pesticide-free food that they share very willingly!

BABY CARROTS ARE JUST BIG CARROTS SHAVED DOWN, OR SO THEY SAY

Ermine mentioned this already, and I’ve said it every time someone asks about baby carrots and how they got so “cute”.

They say it’s just a large carrot shaved down to look like a cute baby one, but I’m not buying it.

How can it tastes so flavourless and watery, in that case?

It tastes faintly like carrot (I’m inclined to believe they spread a little carrot extract on them to give it that flavour, but don’t quote me on that), and is crunchy, but essentially flavourless.

If you’ve ever eaten a real carrot chopped up, and then have a baby carrot right after, you’d notice the difference, as I have.

No sweet flavour, no taste, and I would NOT guess it to be a carrot if I were being forced to eat it blindfolded.

EVER READ THE LABEL ON YOUR YOGHURT OR PUDDING CUPS?

If you have, you will notice that in Canada, Liberté is the only brand that doesn’t use modified corn starch.

WTF is modified corn starch anyway?

(Don’t tell me, I can just Google it. I’m being facetious.)

Of course they use corn starch in some of their products like Frouto (I bought the pear ones to try today), but it is REAL corn starch as a thickener.

liberte-yoghurt-tubs

Via

In addition to modified corn starch, you may read things like: “flavouring” or “aroma”, which basically means: “not the real stuff”.

If you ever see a yoghurt or pudding cup’s list of ingredients, you may see “vanilla flavouring”.

It doesn’t mean that they added vanilla, as in vanilla beans or you know, anything related to vanilla itself. It means they added something that tastes like vanilla.

Key words to remember: tastes like.

(I used to love those pudding cups in France from Danone, which are now crap because they’re vanilla flavoured, not vanilla.)

Also, yoghurt only tastes good if real milk is used.

That goes for all dairy products, cheese included.

We don’t have decent milk here in Canada, so the yoghurt is “okay”, Liberte being the best of the bunch because they’re more natural than the rest and less of a scam with additives.

However, the best yoghurt is found in Europe where they have AMAZING milk to create dairy products with, and very happy, pasture-fed cows.

ORANGE JUICE HAS CHEMICALS IN IT

100% oranges? What a load of crap.

By the time you get those “freshly squeezed oranges”, that are “not from concentrate”, they have been languishing in a big metal tank, and is a practically flavourless liquid, that we know of as “orange juice”.

They’ve removed all the oxygen from that juice so it can keep for up to a year and when it’s time to sell it, they add aroma, flavouring and colour to orange juice from flavour packs to “re-oxygenate” orange juice and to make it taste like you’re biting into a juicy fresh orange.

Source

Yuck. Chemicals added to orange water. That’s our idea of “freshly squeezed orange juice” these days.

WHAT ABOUT YOUR SALT? DID YOU KNOW THEY ADD STUFF IN THERE?

This shocked me when I started looking at ingredient labels. They add silica and other additives in your salt to stop it from caking.

As a result, you are ingesting what you think is salt… but isn’t.

Once you start reading ingredient labels, it’s hard to go back. It isn’t 100% salt.

LIKE ALMOND MILK? WAIT UNTIL YOU READ THE INGREDIENTS

Almond milk was something I was interested in a while back as something to add to my teas instead of regular milk, until I read the packages. They added OIL TO THE “milk”.

OIL.

That grossed me out enough to just consider making my own almond milk.

They also add salt so that it enhances the taste, and a whole host of other crap.

BUTTER CAN’T BE SUBSTITUTED

Margarine, soy butter, “I can’t believe it’s not butter”… and all of that stuff is NOT butter.

All this crap that is ‘low-fat’, and presumably out to make you lose weight because it’s better for your heart is all hogwash to me.

Why don’t we just buy the real butter and eat it in moderation?

It’s better than eating a tub of fake butter.

I saw on TV5 (a French channel) of a dairy farmer who said:

Shoot we’re out of butter! Let’s go get some.

The woman (Maeve from Australia’s Food Safari I think), thought they meant going to the store, but the guy laughs and says they’ll do it here on the farm.

A guy goes out, nabs a clear glass bottle, heads over to a cow, milks it, closes the bottle and starts shaking the bottle really, really, really hard.

For 15 minutes or so.

The milk eventually turned into butter. I was drooling watching them eat that freshly made butter slathered on freshly made baguettes.

That’s how they always make butter. They don’t buy it.

OUR FOOD MARKETING NOW REVOLVES AROUND “REAL FOOD” CLAIMS

This annoys me the most.

“Made with REAL strawberries!”

WTF did you put in there before? Fake ones?

Photograph-Paris-Strawberries-Berries-Food-Travel

 Photograph of amazing produce in Paris. 10 EUR for each box of strawberries!

Hershey in Canada is running an ad on commercial I can’t help but watch (it’s on the Food Network), that talks about “real” ingredients going into their milk chocolate bar.

“Real milk”, for instance.

What were you using before?

Oh wait, don’t tell me.

Modified, dried, milk ingredients. I could liken that to ‘chalk’ I think.

It looks like powdered milk to me. Good enough.

Throw that chalk essence into the pot!

Then in soups, talking about “real pieces of chicken”, or “real vegetables”. It kind of makes you do a double take when you hear this kind of marketing happening.

WE AREN’T EATING “REAL” FOOD THESE DAYS

Even if you have the resources and are WILLING to spend your money on real food these days, you can’t bloody find it.

And maybe if you can find it, you may not even taste the difference… or prefer the lower-quality food, because you’re just so used to it.

BLACKBERRIES & BERRIES IN GENERAL

I ate real blackberries in Portugal and was amazed at the flavour, the natural sweetness and the overall: OMG-ness of them.

I was so enamoured, I took many a photo of these wonderful berries:

Photograph-Travel-Portugal-Wild-Blackberry-Bush-Food

Photograph I took of the very wild blackberries I stuffed my face with, growing wild, and unchecked in the fields of Portugal. I ate them all for FREE with a big glass of REAL milk (Mimosa brand).

I came back to Canada, bought a pack of blackberries out of nostalgia, and ended up hating every bite I paid $3 for.

They were disgusting.

I have the same sentiment about cherries here — they don’t taste as sweet and don’t get me started on strawberries — I have never tasted a strawberry as good as the ones that I ate from the fields.

TOMATOES

I only buy the little Campari tomatoes now, at $6.99 a box because they’re the ONLY ones that taste like real tomatoes to me.

You know, kind of like heirloom tomatoes, that have actual tomato flavour, and aren’t watery, powdery and too-perfect looking?

Photograph-Paris-Heirloom-Tomatoes-Food-Grocery

Photograph I took in Paris inside a grocery store of gorgeous vegetables where you are strictly instructed by a stern little sign that you are NOT allowed to touch them — Ne Pas Toucher S.V.P.!!

POTATOES 

Potatoes, are a disappointment here.

The potatoes I ate in Portugal, were creamy, yellow, and they were good enough just boiled as is.

Coming back to Canada, I am lucky if I find good potatoes. They taste bland, kind of dry and starchy, no potato flavour, and are frankly borderline edible.

I eat them because I love potatoes and I can’t give them up, but if I could pay double the price for real ones, I would.

CHICKEN AND BEEF

Even meat doesn’t taste like meat here. I’d need to grocery shop in different cities around North America just to find decent food.

In Miami, I had amazing chicken. Their chicken, TASTED LIKE CHICKEN.

In Texas, they had the best beef (at Wal-Mart no less!) I had ever eaten. It was so flavourful, well raised, and it tasted like BEEF.

Here?

I have to buy organic chicken from a local farm just to get the real taste of chicken.

That “chicken” you can buy from Costco or Wal-Mart, is not what I call chicken. It shouldn’t taste rubbery, dry, or “fall off the bone” easily. It’s obvious those chickens didn’t run around or grow actual muscles to be able to build actual flavour and texture into their meat.

They’re basically skeletons with meat, growing in a cage.

Real meat, stays on the bone, so whenever I hear people say:

Wow this meat is SO GOOD it falls off the bone!...

I wonder if they’ve had meat that doesn’t fall off the bone, because the flavour is so much better and when it sticks to the bone and you have to gnaw it off like a beaver.

Fast forward to fast food hamburgers (even ones I see on TV), or pizzas.

I am totally, 100% grossed out by these commercials.

It doesn’t look good to me, but then again, I haven’t had a burger since I was a teenager, which is over 10 years ago.

And my pizza looks like this:

Photograph-Food-Pizza

(All made from scratch, including the dough. We just didn’t grow the vegetables or the pig to give us the bacon, but we used the best of what we could find.)

MILK IS THE WORST OF ALL

Perhaps the worst of all is milk for me.

I haven’t had real milk since I left Europe (I’ve tried every brand I could find here.)

Portugal (Mimosa) and Le Président (when they made milk as a product) from France, were my staples when I was in Europe.

I would literally buy 1L of milk in a carton, and drink almost the entire liter in a day.

Here? It tastes like water.

The only milk in Canada close to tasting like real milk, is Lactantia, Trutaste, but it’s a pale, faint comparison to what real milk tastes like to me.

I should really be able to taste the cow in the milk, and here, it’s so bland, it’s sad.

OUR FOOD IS NOT WHAT WE USED TO THINK OF IT

Ermine pointed out that we’re to blame for wanting lower and lower prices on food, and perhaps we’re all cheap SOBs who just want price over quality.

In the end, sometimes going to poorer countries that don’t have money for pesticides or crap (like China, some farmers are too poor to buy such chemical pesticides), is a better way to get your paws on some real food (assuming you don’t think too hard about all the environmental toxins that leech into the soil and into the air to contaminate the food being grown).

I read somewhere that a tomato farmer said:

I’d love to grow and have my tomatoes be known for flavour, but the sad truth of the matter is that I get paid for tomatoes that are the SAME size, and red.

Round and perfect. Image matters more than taste, and that’s my bottom line talking.

Can you believe it? Farmers who would like to grow real food, can’t, because we idiotic consumers don’t want ugly looking tomatoes that taste like real tomatoes.

We want perfect, tasteless, bland, red spheres instead because it’s cuter.

Photograph-Real-Tomatoes-Heirloom-Food

Photograph I took of some real heirloom tomatoes in Paris that are the best of the bunch (real tomatoes are sometimes really ugly).

I have so much more to say in regards to food, which is also the reason why I get really frustrated to see that people cut in their Grocery spending because it’s the easiest, most convenient budget for them to slash over Vacation funds or other (in my eyes) less-important funds.

I also understand that money is a problem in buying nicer food, and I wholeheartedly agree with TRYING to buy less processed foods, and making food from scratch instead of buying it in a box.

Anyway, my non-PF related food rant is done.

If you’ve made it this far, congratulations! :P

For more real food notes, head over to Simple Living in Suffolk’s post on the whole horsemeat scandal in Europe, plus other great points on food. He has a stronger PF-money view on the whole deal.

Less ranting, and he writes more eloquently than I do.

Posted in Life | Also tagged , , , , , , , , , 39 Comments

Budgeting like a freelancer: Set yearly amounts and save the rest

So this year, I decided that I needed to start budgeting like a freelancer, rather than someone with a steady income.

Most people tend to look at their net income each month, set a budget based on that (rent, groceries, savings, debt repayment), and budget to have $0 left unaccounted for.

So if they make $2000 a month, they can spend about $700 on housing (35%).

My income as a freelancer, spikes and then drops to $0, as evidenced below in my net worth from 2006 until the end of 2012 with all of the spikes then slow drops.

(Click to biggify)

2012-Year-Annual-Budget-in-Review-Net-Worth-Chart-Increase

Now, I’d like to set a budget for living reasonably, disregarding what I actually make as an income, and then save all the rest of my income.

The slight twist is that I now look at the yearly totals each month rather than monthly totals, which is something I’ve heard a few people mention.

This makes more sense because my income is not monthly, and I’ve been ad hoc budgeting like this for a while now, without realizing it.

I’ve just been giving myself an allowance each month!

NO MATTER WHAT I MAKE, $30,000 NET WILL BE MY NEW BUDGET

I had originally written the post: What is an ideal household budget? a while back (sometime in October I believe), and set it to $40,000, based on the fact that I grossed about $70,000 a year (2 years working, 3 were relaxing..).

Between October and now, I’ve decided that $30,000 net is my new budget for spending rather than around $33,000.

It’s easier than thinking of in gross dollars, and I spend in net dollars anyway.

(I also say net because it’s after any kind of taxes, give or take a few thousand ($3000 or so).)

Every year, I seem to come up with a budget for the next year, based on how I’ve been spending in the last 2 years, and trying to account for what caused my outrageous spending in categories like Wardrobe or Fees in 2012 for example (think: lawyers of all kinds, in all shapes and sizes, who then send you holiday greeting cards and tell you how much they loved your business!!..).

It never works out perfectly, but in general with the exception of last year *cough*2012*cough*……I have been spending less than ~$33,000 net per year or $40,000 gross, which isn’t so bad.

Therefore I now think of my budget as what I feel are reasonable expenses for my current situation and preference for living, which does not include:

  • living in a cheap cardboard box with paper thin walls with noisy & smelly neighbours
  • wearing a neutral uniform of the same type of clothing to match all the other minimalists
  • refusing to travel or buy something shiny (within reason) because my heart desires it
  • eating as cheaply as possible to save money — it is NOT my thing, y’all, I just can’t do it
  • pinching pennies by making my own toilet paper — err.. has any uber frugal-er done this yet?
  • savings — that will be assumed as ‘all the rest of my income’ after spending

You get the idea.

SEE, I ASSUME I CAN ALWAYS GET A JOB FOR $40,000 GROSS

As mentioned in my earlier post, I can always get $40,000 gross at the very minimum as a job enough to survive a year until I get something better.

And by survive, I mean pay for my current, comfortable lifestyle, but to save $0 for the year (not a viable long-term option).

This is a very conservative assumption for me, and I plan on keeping it like that.

In actuality, I can get a job at $90,000 – $130,000 gross working for a company, but I don’t like those kinds of numbers when I think of spending.

I’d rather think of that as a bonus if I make that kind of money.

I like those numbers when I think of SAVING all of that, if I gave myself an ideal budget to follow.

Spending that makes my impulse nerve twitch, then I want pretty things, and it snowballs into me crying in the corner, clutching my receipts and feeling overwhelming waves of guilt at spending.

$40,000 gross looks like this after taxes in Canadia*:

*misspelling as a joke for Americans.. ;)

For thy viewing convenience, I’ve highlighted the only 2 provinces and territories I actually work in.

  • Ontario gives me $34,038 net
  • Quebec gives me $32,131 net

This does not include any tax breaks from charitable donations or fully funding my retirement funds, which lowers my taxable income as well.

It also has a few thousand more than my $30,000 budget, because I like having a cushion for spending.

As a freelancer, I do have a few perks in terms of being able to write off some expenses related to my business (which is my brain), and this usually helps a little in terms of having more to spend.

MY $30,000 NET PERSONAL BUDGET FOR 2013…

As mentioned before, my previous ideal budget (before I wrote this post), was just about the same amount of money — $33,000 net spending instead of $30,000 net, but I’ve since changed and tweaked it a bit.

I am feeling this estimated budget for 2013 which is a nice $30,000 net.

Click to biggify

 New-Estimated-2013-Household-Yearly-Spending-Budget-for-Freelancers

I really will try and look at it from a yearly point of view, and I’ve pored over every number to see if I could make it, and if it sounds realistic considering how I want to live.

If I spend all my money early on, that means I have $0 left for the rest of the year.

*already feels imprisoned a little…*

At the end of the day, I think I’d rather put more money towards Travel rather than Wardrobe, and it’ll be a personal challenge for me to spend less than that on Wardrobe and put the money into investing instead.

Wardrobe will include not only buying things, but also having them fixed or tailored.

You will also notice that I don’t stick to prescribed PF budget percentages.

Transportation is not a big thing for me. 5% is more than enough, I don’t need 15%.

I also don’t have Debt in there (‘cuz I have none), and no specific Savings category because I save what I don’t spend.

(Most PF’ers will tell you to save FIRST, then spend. I go the other way around.)

Under Housing, I spend a LOT but that’s to be expected, living in a hotel. We don’t want to take a lease for a year (the only kind available in Canada), and that’s that.

The rest of my budget goes to Living around 50%, but that’s because I pilfered from Transportation, Debt and Savings.

Savings are a given for me. They’re above and beyond the $30,000 budget I give myself to live on.

My savings have to be at least $36,000 a year ($24,000 if I’m really pushed for a minimum).

So in reality, I’d need to be making at least about $66,000 a year (net) to live like this, where I am able to save more than half of my net income which is perfectly in line with how much I can make per year if I took a Jane Job at a $90,000 gross income (my lower income salary number).

The reason why I’ve been making $75,000 gross instead of $90,000 gross is I’ve been working 2 out of the 5 years of my career, rather than 100% of the time.

I saw it as a good deal — almost the same amount of salary, for less than half the hours spent.

I am hoping this year will be a full year of working, and I’mma about to hustle for those jobs.

Update: ALL THAT MONEY PER MONTH, REALLY?

Well those are averages per month, as contingencies mostly.

$120/year for electronics should be more than enough, even if it sounds like too much or too little to you.

This is just for personal electronics, because I know things like cables get broken/lost/stolen, and I want to be sure that I have a contingency in place just in case.

Why put $0 when I know it probably won’t stay at $0?

Why put $2000 when I know it won’t be $2000 for personal electronics?

All I’m even eying is a Kobo Glo as we speak, but I am not willing to shell out $130 (my budget is only $120!), and I have a gift card for $50, but I am still not liking the actual retail price. $100 sounds more reasonable to me, and I’m willing to wait for a deal.

Unlike what many might do, I also pay for software at full retail price so I don’t have to worry about whether or not it works, on what PC/Mac, bla bla bla.

My software costs around $15 per (like Pixelmator, which is absolutely AWESOME for the Mac). I also use Picasa (free), but Pixelmator is for the more advanced stuff.

I don’t like to be hassled or troubled for stupid things, and the right thing is to pay for the software anyway.

I probably won’t end up spending this budget, but I need it there just in case.

CAN I STICK TO THIS BUDGET?

I SHOULD DAMN WELL SHOULD BE ABLE TO.

$2500 is a lot of money per month.

In fact, I should be able to spend less than this, but I don’t want to make anything unrealistic and then blow it and cry in the corner berating myself.

Now that we are CERTAIN we are staying in Canada, I am also more certain of not having $10,000 moving overseas or moving abroad costs that will slap my net worth silly.

Regardless, I have about $5000 that I keep at the back of my mind for if I overspend, as a contingency for things that come up once-in-a-lifetime.

If I don’t spend all the money (IDEAL! IDEAL!), I’ll save it instead. I’m fairly sure that Rent amount for instance at $12,000 won’t be that high, especially if I’m working.

DOES THIS ABOVE BUDGET INCLUDE BUSINESS STUFF?

No.

That’s where it gets tricky. My business is selling my brain, and I needs a place to stay, something to eat, etc when I am on site.

I also have to pay taxes, fees, licenses… those expenses will all be tracked on a monthly basis, in a single, communal budget.

I used to keep 2 even 3 separate budgets for business/personal, but then it became too confusing flipping back and forth.

I’m trying to now do it all in one budget, and it will become a massive communal sheet that will be a work in progress for this year.

Regardless, the main goal is to stay under $30,000 for PERSONAL spending only.

..and to save at least $36,000 net this year.

SO WHAT ELSE DO I SAVE, THEN?

…..ALL MY UNREALIZED INCOME OF COURSE!

All the rest of my income, and I keep track of it as assets tab in my budgeting tool.

As a freelancer I should also point out the advantage of having unrealized income:

Assuming I work about 3 months next year (on the low side), that’s about $60,000 gross.

  • Realize $30,000 in income
  • Leave about $24,000 in the company as retained earnings (savings) after taxes
  • If I realized the income, I’d be out  another $10,000 in taxes, leaving me $14,000 of savings

On the mid-side, if I work 6 months next year (an average), that’s about $120,000 gross.

  • Realize $30,000 in income
  • Leave about $66,000 in the company as retained earnings/savings after taxes.
  • If I realized the income, I’d be out $25,000 in taxes, leaving me $41,000 of savings

On the high side, if I work 9 months next year, that’s $180,000 gross.

  • Realize $30,000 in income
  • Leave about $114,000 in the company as retained earnings/savings after taxes.
  • If I realized the income, I’d be out $46,000 in taxes, leaving me $68,000 of savings
Notice a pattern? :)

All of the above helps me minimize my tax burden if I just don’t spend it.

All the more reason for me to NOT TO REALIZE MY INCOME AND SPEND IT.

I avoid a lot of taxes, especially when you consider how much an impact charitable contributions and my RRSP/TFSA maxing out contribution makes.

This is all not taking into account if I have to pay for business traveling (hotels, flights, train tickets, car rentals, gas… you name it), so my retained earnings may vary by about 25%.

It doesn’t take into account any overtime.

Some months I work, may be more profitable than others.

It also goes without saying that I’ll also be investing that money on behalf of my company to grow in the meantime, which will essentially become my nest egg for retirement.

And done!

My austere-for-me plan for 2013, and a rough overview of how I will be budgeting going forward.

How do you do it?

By a percentage of your net income?

Yearly budget?

As-it-goes?

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The Ideal Household Budget for Spending

Most books and PF authors will tell you the rule of thumb on budgeting is to take a percentage of your income and it looks something like this:

If you look at it on a monthly basis, it looks like this in your budgeting tool:

But that’s kind of useless if you don’t know what these vague categories contain.

Does “Housing” include utilities?

Does “Life” mean things for your pet as well as your own groceries?

The answer to both questions above: Yes.

The trickiest category is Housing for me because it can be hard to think about what goes into it, whereas the category of Life is the fattest one.

Here’s how I see it:

HOUSING is anything to do with SHELTER = 35%

  • Rent
  • Mortgage
  • Utilities (Water, Gas, Heat, Electricity)
  • Rent Insurance
  • House Insurance
  • Home Maintenance (not buying furniture, actual home repairs)
  • Condo Fees

LIFE is pretty much everything else = 25%

  • Groceries
  • Cellphone
  • Telephone
  • Television
  • Internet
  • Eating Out
  • Pet Stuff
  • Furniture for the home
  • Home renovations and maintenance
  • Medical needs (medicine or doctor/dentist visits)
  • Clothing
  • Toiletries
  • Makeup
  • Gifts
  • Entertainment
  • Bank Fees
  • Holiday Spending

TRANSPORTATION is how you get to where you’re going = 15%

  • Public transportation
  • Gas
  • Maintenance for the car
  • Car insurance
  • Driver’s License/Vehicle Registration Fees
  • Parking costs
  • Parking Tickets (you better not get any…!)

DEBT REPAYMENT means: Money you are using to clear your debt = 15%

  • Pay down your debt with the the highest interest rate
  • …then take that money after that debt is gone, and pay extra on the next debt
  • …all the way until you are debt free!

SAVINGS means: Money you don’t touch on a daily basis! = 10%

  • Retirement savings
  • Emergency funds
  • Short-Term savings like a Travel Fund
  • Investing
  • Home Maintenance Fund (should be 3% of your home’s gross value in an account)

WHY DOESN’T THE TELEVISION, INTERNET, OR THE TELEPHONE GO UNDER “HOUSING”?

Because you don’t need either to have shelter.

Plenty of people live without any of those things.

I only have a cellphone, and even that plan is shared with BF, so we treat it like our portable home phone.

Housing is a roof over your head. What does it take to run a place like that? Insurance, Utilities and the Rent or Mortgage payment.

Therefore, stuff you pay for that you use to entertain yourself or communicate with others as part of your Lifestyle goes under Life.

WHAT DOES YOUR GENERAL BUDGET LOOK LIKE?

As we all live in different parts of the world, in different areas of the country, and have different incomes, this will definitely NOT be personalized to you.

For instance, you may have a pet, whereas I don’t, and you need to budget for that.

Or you live in the U.S. and you need to budget for healthcare, whereas I don’t in Canada.

Here’s what a typical budget would be if I made one for myself for a month, living in a hotel with a car.

I don’t have a car right now, but I would get one secondhand in cash if I had to use it for work and I couldn’t take the bus.

MY IRREGULAR INCOME AT ~$70K AND WHY I CHOOSE A BUDGET AT ~$40K

Since my income is so irregular, I gave myself a generous ~$40,000 gross income a year as a budget because I assume I can always get a job that pays at least that per year if times get rough.

Basically, the less I spend, the less money I need to earn per year (gross).

Since I can always spend less than ~$40,000, but that’s the right gross income to maintain my current lifestyle.

As I’ve really only been working full-time 2 out of the 5 years or less than 50% of the time, if I am being honest.

So my income to date has been on average $70,000 gross per year as a freelancer for 5 years.

That is about $54,700 net per year as an income in Ontario.

As I’ve amassed around $200,000 in my net worth to date, I’ve saved $40,000 net a year.

Actually, it’s $60,000 more than that because that’s how much my debt cost when I started working, and cleared it in 18 months with my budgeting tool, but I digress.

All this really means I’ve been spending a lot less than $40,000 gross a year, even with all my traveling, and dipping into savings when I want to buy things, and that’s partly due to being a consultant and having your life subsidized because you’re always traveling.

Therefore ~$40K is my maximum budget because I account for if I have a car, pay for gas, insurance, license plate renewals and so on, which I haven’t had to in about 2 years.

I also always max out every retirement fund you can think of which helps my taxable income, and save a lot of money because I share the costs 50/50 with BF.

Click to biggify and read my notes, hopes and dreams…

DEBT = I don’t owe anyone, anything, which helps a lot.

SAVINGS = All the rest of my money. See above about saving everything else.

You will notice that I spend a lot of money on Food, Clothes & Electronics for instance, but barely anything on Cellphone, nor on anything like Furniture or Household stuff.

This is in line with my minimalist philosophy to spend on what you care about, but not on things you don’t.

I have less things in terms of quantity, but each item costs more money because of I am willing to shell out for quality because it lasts longer.

There you have it, my general household budget that I’ve been entering in my budgeting and expense tracking tool.

I also plan on lowering this spending for 2013.

My new Ideal Household 2013 budget is coming up next week.

Enough is enough.

Back to you!

WAIT, THAT 15% DEBT REPAYMENT AMOUNT IS TOO LOW FOR MY DEBT

Where you start to get a problem, is where you realize that your debt repayment minimums may be bigger than 15% a month, maybe even double.

In which case, you need to do two very important things:

  1. Make more money
  2. Start cutting back on other parts in your budget

You can’t put more money on your debt if you don’t have it to spare.

There is also no other choice, and no other way.

Pick #1 or #2.

If #2 is not an option and you can’t cut back, make more money.

WHAT DO I DO IF I DON’T HAVE ANY DEBT?

Save it.

People say that the 15% of the Debt Repayment should be absorbed into other areas of your spending so you can have a nice life, but I am a big proponent of sticking it all (or at least the bulk of it) into savings, and saving a hefty 25% of your net income per month if you can.

If you’ve already lived without that 15%, what’s it to you?

I’ve always felt that 10% of your net income is far too low of a number to be saving in general for short-term funds, retirement and anything in between.

I like 15% – 20% instead as a rule of thumb, although my personal rule of thumb is: as much as is reasonably possible.

What’s your household budget? Do you use the same categories?

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Spaving (Spending to Save) during sales

I am here to give a friendly message about SPAVING which is really just the act of “SPENDING TO SAVE”.

(You heard it here first.)

Spaving is when you tell yourself:

OMG it’s 50% off!

I don’t want or need it, but what if I do sometime!??

I’m saving 50% on this, it’s like I’m saving 50% of my money!

I HAVE TO GET IT!

funny-baby-sticking-tongue-out

WHEN YOU SPEND YOU AREN’T SAVING

Whenever you spend money, you are not saving it.

Technically, you’re actually just spending 100% of your money and saving 0%.

So spaving? It’s an excuse to spend your money, even if it’s a good deal.

WE ALL SPAVE

That said, we all spave.

For instance, I spaved a lot this month (actually, make that the whole year), which will you see coming up in my December 2012 What I spent post, but I’m very happy with my smart spaving.

This month was excellent because of all the Boxing Day sales and push to get people to spend more of their money and boost the bottom line before 2012 closes; so when you encounter 50% signs, or 15% off what you’ve been eying for a while, it’s hard to imagine that kind of sale will come around soon, let alone on what you want.

I’m starting to get into the mindset of waiting until I can find it secondhand, or if it’s on at least a 20% discount, or more.

(Even just thinking about buying things that are easily depreciated at full retail price is starting to irk me.)

Other pitfalls of spaving, are when you encounter programs like Ebates Canada, and they give you back cash for things you’d otherwise buy anyway.

It makes you think: Wow I’m saving another 4% on what I was going to buy! Let’s see what else there is….

Or even for us Canadians who head down south to the U.S. to do a little cross border shopping, and see how much lower the prices are now that the CAD is almost at par with the USD, and you save on not only the currency, but the lower taxes and the lower prices!

..JUST BE CAREFUL TO SPAVE ON WHAT YOU WANT OR NEED

Don’t go around buying useless knickknacks if you aren’t planning on using it.

When I spave, it’s on kitchen equipment that BF needs to keep making great meals, or when I see things that I want and otherwise would not pay full retail price for.

Or perhaps, to stock up on things I use a lot of such as contact lens solution, or my favourite cleanser.

I log all of my purchases, expenses and my general financial life into my handy budgeting tool, and when I see something I THINK is a good deal, I sometimes go back and check to see what I paid for it before.

Oftentimes, I realize I had gotten a better price for it elsewhere even with a sale of 20% off, and I don’t buy it just because it says 20% off (but the price was already inflated by 25% for instance).

Enjoy your spaving!

Use this superpower of finding great deals in good financial health.

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Hong Kong and Macau 2012 Total Cost and How We Saved Money

As promised in an awesome infographic that I spent a lot of time on.

(Gawrsh those things take a long time!!)

Update: It is actually 24 days, because in addition, 4 days were spent traveling (time zones) which makes it 28 days, or 4 weeks.

It isn’t exactly 5 weeks (as in 35 days), but it was the tail end of one week, and the beginning of another, so I thought of it as 5 calendar weeks in my head, when the actual weeks by numbers is really 4.

I am making this long-winded note because I don’t want to redo the infographic. *sigh*

Update 2: Damn it. DAMN my OCD self. I updated it to say 4 weeks.

Here’s what the budget looks like in terms of percentages:

As you can see, flights and hotels obviously cost a lot more than everything else.

SAVING MONEY ON FLIGHTS = $800 SAVED

We took flights that had a stopover and that was about $400/ticket in savings.

Actually, this is probably better than a direct flight because it gives you a break from the plane.

Our flights were basically 2 legs: 15 hours, 3 hour stopover, 1 hour flight from somewhere in the U.S. back to Canada.

It gave us a nice break from the airplane, a chance to stretch, and either the first or the last leg was very short.

SAVING MONEY ON HOTELS = $720 SAVED

As mentioned, we stay in cheap hotels like Ibis.

There were two of them in Hong Kong — Ibis North Point and Ibis Sheung Wan, with the Sheung Wan location costing about $30 more per day.

We didn’t stay there because it was new and we didn’t know how big it would be (almost double the size of the Ibis North Point, and the size of an American-normal-sized budget hotel room).

As a result, we saved a lot by sleeping in a 120 square foot closet, also known as the Ibis North Point hotel.

SAVING MONEY ON FOOD = $935 SAVED

Food is the third biggest cost, and it could have easily been double if we had not been avoiding restaurants, and eating pre-made meals and buying fruit from a grocery store instead.

The hotels we stayed in also had mini fridges, so we bought milk for the morning and were able to keep small things in there.

A typical breakfast would be about $10 per person, and lunches and dinners are $20 per person, so had we been going out to eat every day for 24 days, it would have been $50/day per person on average.

24 days x $100 (for 2 people) = $2400 which is a reasonable budget for what we consider good food

(Also, we don’t like cheap or junk food when we go to restaurants because it’s crap, and if I’m going to a  restaurant, it had better serve real food.)

Instead, we bought everything we wanted to eat (fancy yoghurts and sushi), and spent only $30.51 per person, or a little over half.

24 days x $61.02 (for 2 people) = $1464.48 is what we really spent

We saved about $935 doing that, although BF was getting antsy about the food costs near the end and wanted me to stop stuffing my trap so much.

SAVING MONEY ON TAXIS = $1000+?

We used the handy Octopus card, and spent $252.39 for the two of us to travel pretty much anywhere we liked in Hong Kong.

In contrast, taking a taxi would have probably tripled that budget, to about $1000. Or more.

$1000 / 24 days = $41.66 per day for transportation.

(We have no clue what it costs, as we don’t take taxis even in our daily lives, but if the prices are anything like in Toronto, it’s an expensive luxury.)

Cabbing to and from the airport, to and from sights and back and forth from the hotel adds up.

Anyway, the tram was way more fun and a great, cheap way to tour the city for the low price of $2.30 HKD or $0.29 USD!!!!!

TOTAL SAVINGS = ~$3455

Not too shabby.

Every little bit and every little sacrifice adds up to significant savings when you travel. That amount that we saved above, is enough for another week or two weeks somewhere.

Posted in Budget Roundups | Also tagged , , , , , , , 10 Comments

“Thrift Shop”: Possibly the best PF song ever (Explicit)

This is the best PF-frugal-whatchamacallit song ever….that is, if you’re into thrifting, like I am (I love consignment shops!)

“They be like oh! That Gucci, that’s hella tight.

I’m like Yo! That’s 50 dollars for a t-shirt.

Limited edition, let’s do some simple addition,
50 dollars for a t-shirt, that’s just some ignorant bitch.

I call that getting swindled and pimped

I call that getting tricked by a business.”

HILARIOUS.

(And extremely explicit and catchy, as Janelle, whom I got this video from points out.)

I am absolutely going to download Ben Haggerty (Macklemore)’s album on iTunes.

Full lyrics to the above Thrift Shop song here, so you don’t have to search for them:

What, what, what, what…

I’m gonna pop some tags
Only got 20 dollars in my pocket
I, I, I’m hunting, lookin’ for a come-up
This is fucking awesome.

Walk into the club like what up, I got a big cock
I’m so pumped, I bought some shit from a thrift shop
Ice in the fridge is so damn frosty,
The people like “damn, that’s a cold ass honkey”
Rollin’ in hella deep, headed to the mezzanine
Dressed in all pink, except my gator shoes, those are green.
Draped in a leopard mink girls standin’ next to me
Probably should have washed this, it smells like R. Kelly’s sheets
Pissssssssssssss.
But shit, it was 99 cents.
If I get caught in it, washin’ it,
‘Bout to go and get some compliments passin’ up on those moccasins
Someone else has been walkin’ ‘in, but me and grungie fuckin’ ‘em
I am stuntin’ and flossin’ and savin’ my money
And I’m hella happy, that’s a bargain, bitch.
Imma take your grandpa’s style, imma take your grandpa’s style,
No, for real, ask your grandpa, can I have his hand-me-downs?
Velour jump suit and some house slippers,
Doukie brown leather jacket that I found diggin’.
They had a broken keyboard, I bought a broken keyboard
I bought a ski blanket, then I bought a knee board
Hello, hello, my ace man, my mello
John Wayne ain’t got nothing on my friends game,
Hell no!
I can take some pro wings make ‘em cool, sell those
The sneaker heads will be like
“Ah, he got the Velcro”

I’m gonna pop some tags
Only got 20 dollars in my pocket
I, I, I’m hunting, lookin’ for a come-up
This is fucking awesome.
I’m gonna pop some tags
Only got 20 dollars in my pocket
I, I, I’m hunting, lookin’ for a come-up
This is fucking awesome.

What you know ‘bout rockin’ the wolf on your noggin
What you knowin’ about wearing a fur fox skin
I’m digging, I’m digging, I’m searching right through that luggage
One man’s trash, that’s another man’s come-up.
Thank your grand dad for donating that plaid button-up shirt,
‘cause right now I’m up in hurr stuntin’
I’m at the Goodwill, you can find me in the bins,
I’m not, I’m not, I’m not searching in that section.
Your grandma, your aunty, your momma, you mammy,
I’ll take those flannel zebra ‘jammies secondhand, I’ll rock that motherfucker.
They built an onesie with the socks on the motherfucker,
I hit the party and they stopped that motherfucker.
They be like oh! That Gucci, that’s hella tight.
I’m like Yo! That’s 50 dollars for a t-shirt.
Limited edition, let’s do some simple addition,
50 dollars for a t-shirt, that’s just some ignorant bitch.
I call that getting swindled and pimped
I call that getting tricked by a business.
That shirt’s hella dope and that bliss,
I am one and six other people in this club is a hella don’t.
Peek gang, come take a look through my telescope
Trying to get girls with my brand, man, you hella won’t.
Man, you hella won’t.

I’m gonna pop some tags
Only got 20 dollars in my pocket
I, I, I’m hunting, looking for a come-up
This is fucking awesome.

I wear your grand dad’s clothes,
I look incredible,
I’m in this big ass coat from that thrift shop down the road.
I’ll wear your grand dad’s clothes,
I’ll look incredible,
I’m in this big ass coat from that thrift shop down the road.

I’m gonna pop some tags
Only got 20 dollars in my pocket
I, I, I’m hunting, looking for a come-up
This is fucking awesome.

P.S. This song called ‘Same Love’ is really good:

P.P.S And this one too, called ‘Wings’

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Budgeting for the rest of 2012

I’ve had a lot of great comments (one two dissenting so far, although I am sure there are plenty more who are silent but fuming, and I’d like to hear their great comments too) on my post ranting about the U.S. and their practices.

I just want to point out that I don’t hate Americans, I just hate the way the country functions, acts, and works. I KNOW there are good Americans who are trying to help and change things, but I am looking at the country as a whole and the system that has been put in place. If you want to change it, then fight for it. Silence and inaction is just as good as saying you agree with what’s going on.

Also, I understand completely that I have said hurtful comments (who the hell wants to have their country called out like that or to defend it? NO ONE!) but this is because no one wants to hear anything but the good stuff.

Perhaps my comments hurt and hit deep because they’re partly true to some extent, especially seen from an outsider’s point of view. I know when people say what I think is very hurtful to me, if I come out of my red haze of anger and look at it objectively, they’re partly right. I may not think that they see the whole picture, but their opinion is just as valid and rational as mine.

The great thing about Americans is that they are full of hope and want to see the good side of things, as well as change for the better…. but that’s also the somewhat bad thing about Americans — sometimes they’re so patriotic, they’re blind to what is going on around them.

Lastly, I am not a sugar-coater at heart. I never was, never have been.

I am not sure if you have noticed, but I tend to come right out and say what I think. I don’t think that I quite reach the point of utter bluntness that borders on the way French salesgirls are honest with how something looks on you in the store, but I know I can’t help but tell the truth. It’s what I’ve been told is a good quality in me, but also a very bad one.

Side note: As I am watching American Presidential debates, I am reminded that pregnancy is considered a ‘pre-existing condition’ under their healthcare; pregnant women on maternity leave have to apply for ‘short-term disability’ because they have just given birth. Yes, it’s just semantics as “short-term disability” may just mean you can’t work for a short period of time, but it’s just insulting to mothers everywhere.

As a result of such semantics, I always get the distinct feeling that it is women’s faults for having been born ..well, as women. It’s my fault I was born a girl, with a pre-existing pregnancy condition and all this other stuff that having different body parts entails.

==============================

Moving on!

September was a hard month financially.

A lot of fees to cancel things like my smartphone, to move back, to exchange currency and so on.

Here’s my idea for the rest of 2012.

October 2012 = Going to Hong Kong = $3600

This one is already prepaid for the flights and hotel. I just need to cover the eating, transportation and entertainment.

Photograph I took while on the Hong Kong trams in 2011

In total (flights included) I’m looking at spending about $4500 for this month for my half, which is about $900/week.

I’ll post those actual numbers later, but that’s my estimation.

NOVEMBER 2012: Macau for a week, then coming home = $1650

The first week of November will be spent in Macau which will be about $900/week which again, includes the averaged cost of a flight and hotel.

Photograph I took of Macau in 2011

Then I’m in Canada for the rest of the 3 weeks.

Assuming $1000 a month as a budget (what? it’s a nice round number), I have $250 a week, or $750 in total.

I see it playing out like this for those 3 weeks:

I think it’s tight but doable.

DECEMBER 2012: Canada only = $1000

Going to spend this time prepping for my stay in Canada, which includes finding an apartment and getting organized. I will be moving to a new place by January 2013.

I will spend about $6000 – $6500 for the rest of 2012, which includes my month overseas.

That should bring my net worth to JUST above $200,000, which will mean that I am hitting my goal of staying above $200,000 for 2012, which frankly, was my original goal before I revised it 3 times.

If I can live on less, I will. Perhaps no Fun at all. No Miscellaneous! (Yeah right.)

The good news is that Canadian winters make me want to hibernate, not go out and shop.

I have books and magazines to read, and I have a family piano I can practice on for the rest of the year to brush up on my super rusty piano playing skills.

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Bye bye, Smartphone

I’m going to cancel my smartphone because I’ve been casually monitoring my usage over the past few months, and I feel as though it isn’t really worth it.

I barely use it to make calls, and I can always just use a laptop to check my emails, and I won’t be going back to the U.S.

I was told it would be $300 to get out of this contract, but that hasn’t detered me.

I am cutting my losses and seeing it like this:

$300 to get out of this wireless contract, or pay $2400 over the next 2 years to avoid that charge?

I don’t even really need or use a cellphone. If I end up getting another one, I’m going super cheap. I don’t need a smartphone.

Decisions….decisions. :P

Bye bye smartphone!

It was really nice having it to check my bazillion email addresses at once, find addresses and Google things to prove people wrong, but I’ll just have to be more organized and write/print Google Map directions instead.

Back to my iPod Touch for organizing my life! :)

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