Frugal Tips - When does $1.00 = $1.33?
January 20, 2009 by Gwen
Living within your means doesn’t mean that you have to do without; it just means that you need to look at your money in a different way.
I think of every $1.00 saved as approximately $1.33 earned. Now you are probably wondering ‘what is this crazy lady talking about’.
Well, think of it this way. You would have to earn $1.33 at your job to have $1.00 in your pocket (it could be more or less than this depending on your tax bracket but you get the idea). This is because the taxman has to take his share right off the top of your paycheck before you get to see a cent.
If you pay approximately 33% to the taxman then you have to earn more than $1 to actually get $1 to spend. I know this isn’t fair but it is life.
The point is that if you save one of the dollars that is already in your pocket, it is really more than earning $1 in the big scheme of things.
So instead of getting a second job to try to earn some extra cash why not just make some minor adjustments in your spending habits. Here are 5 easy ideas to save you money and help you keep some of your hard-earned dollars in your pocket.
1. Brown bag it to work. I know you’ve heard this one so many times that you are tired of hearing it but it really does save you money. A cheap lunch out will cost you at least $7 - $10 these days and that is for a sandwich or hamburger and a drink. Is $7 for your lunch really good value for your money? Making your own sandwich and drinking water will save you at least $6 (unless you are making really expensive sandwiches).
2. Purchase generic brands at the grocery store. Most of them are made by the big brands anyways and this can help you save major money on your food bill.
3. Use coupons. Clipping coupons may not be your thing but if you find a coupon for $1 off an item that you regularly use, then the 5 minutes it took you to cut out the coupon is definitely worth your time. But keep in mind, using coupons on products you never usually buy is not a great deal if you will be spending money on something you could have done without.
4. Turn down your thermostat. A sweater and some slippers will keep you warm and cozy during the day and an extra blanket on your bed will keep you snug at night.
5. Cut out the daily junk food habit. Those daily sodas and bags of chips can add up quickly. Not only are they damaging your pocketbook, they aren’t doing much for your waistline either.