Wednesday, April 3, 2013

Re-embracing Frugality

Over the last nine months or so (since I've been debt-free) I've definitely relaxed in the area of frugality. I'm sure I'm still more careful with money than many people out there, but I let loose in a lot of areas. I buy myself clothes, joined boot camp, went to some concerts, and just generally relaxed about money. I don't stick with a budget anymore, though I do keep an eye on my accounts. I am still contributing to my Roth IRA, my house down-payment fund, and saving an additional couple hundred dollars a month to my emergency fund.

Sounds pretty good, right? Enjoying the fruits of my labor, but still making some good choices.

But lately I've realized a few things that have made me realize it's time to get back to some of my more frugal ways.

Realization Number One: Even a budget wedding is still going to cost me quite a bit of money.
In order to pay deposits, pay for our honeymoon, buy my dress, etc. I've used all of the extra money I've stocked away in my e-fund each month, as well as my tax return and a financial gift from my grandma. I still have the same amount I started with when I got engaged, but I haven't been able to save any extra. This would be fine, except that the day of the wedding we are going to owe quite a bit of money to different vendors. As in, I need to have a couple of grand ready to spend on the big day. If I don't start aggressively saving each month, I'm going to have to tap into my savings (e-fund) in order to pay for it. No, it wouldn't drain it completely, but my goal is to keep three months of expenses in there.

Realization Number Two: I really, really want to buy a house.
For a while, I was content to take my time in saving for a house and just see what happens. But, prices are starting to creep up again, and I don't want to get boxed out of the market. I also would like a bigger place for entertaining/having family over for holidays. We're also talking about starting a family, and it would be great to get into a house before we have a kid. So, I definitely don't want to stop contributing to my house down-payment fund, or my Roth IRA (which could also be used to supplement a down payment).

Soooo...back to frugality. Here are a list of things I am going to go back to in order to save more money each month:
1. Make an effort to have ten "no-spend" days per month. This stops me from the little purchases that add up throughout the month.
2. No buying clothes (exceptions include wedding-related events like showers and bachelorette party, but I am going to try to borrow clothes for those). I legitimately need some new clothes since I've lost weight, but I am going to try to hold off on that until after the wedding.
3. No stopping for coffee on the way to work. I want to work on making coffee at home, or--even better--just not drinking it.
4. Rather than buying new shoes for the wedding, I am going to try to get my white wedges repaired and use those. They are super comfy, and just need new insoles.
5. Cook from the pantry...I have a lot of stuff in there, and this would cut down on my grocery bill.

I also called T-Mobile and got my bill lowered, and I am working on being more diligent about my electricity use (though this has never been a huge expense for us).

What other frugal things am I forgetting? It's been a while!

2 comments:

  1. Looks like a great way to start saving. We need to start saving for our wedding as well.

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  2. We cut our internet bill in half recently as well as cutting our phone bill (but I went and got a new phone so that ... neutrals out.)

    Would it be worth looking at your gas usage and try and be more efficient there?

    Hum. I guess there's the old standby - cutting cable in some way? I've made the mistake of assuming that I'm probably already very frugal and haven't looked over how to cut spending more lately, so it's a bit tough to dust off the oldie and goodies off the cuff :)

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