Budgeting
Overdraft Fees
by Ryan Loos on Nov.13, 2009, under Budgeting, General, Personal Finance
I was reading a USA Today article this morning about the new FED rules for overdraft fees. I was blown away when USA Toady stated that the financial institutions for 2009 will generate approximately $38.5 Billion in overdraft fees in a single year! We must get control of our money. If you balance your check book, have a budget, and use cash envelopes there is no reason that you should ever have an overdraft fee. Overdraft fees are a sign that you do not have control of your money or you spending habits. Stop the madness, $38.5 Billion in overdraft fees, come on America and Canada we are giving them our money because we are not paying attention! New rules go into effect at 7/15/10 for new customers and 8/15/10 for existing customers. The financial institution can still offer the service but will need your permission for the overdraft.
Cost of Living
by Ryan Loos on Oct.12, 2009, under Budgeting
Is it just me or does it seem like prices for regular items (groceries, soap, etc.) are going up again? My wife and I went shopping for our monthly staples the other day and I was shocked at how prices have gone up even from last month. What are your thoughts? How are you saving money with your bills?
Saving and the Economy
by Shaun Somers on Oct.01, 2009, under Budgeting
Americans and Canadians are finally beginning to save money again. For a few years in the mid-2000′s savings rates actually became negative in America, meaning that families on average were going more in debt each year. Thanks to the recession, people are beginning to consume less and set aside more money for a rainy day. Unfortunately there are many commentators who percieve this as a bad thing! They think that people borrowing money and spending it is what is needed to return the economy to growth. Nothing could be further from the truth. The fact is that too much borrowing and spending (by individuals as well as governments) is what caused the current crisis; it can hardly be fixed with more of the same. The savings of today become the basis for future expansion and growth of the economy as they are put to use by entrepreneurs and investors to produce more wealth, instead of to merely spend on more stuff like the average consumer would. We Canadians are fortunate that our government has recognized the value of saving by creating the Tax Free Savings Account (TFSA), a fantastic vehicle that allows us to save for anything, not just retirement, and all growth is entirely tax free. Unfortunately governments the world over are also discouraging saving by setting interest rates almost ridiculously low. Even so, don’t be ashamed of saving instead of spending. Get out of debt, save an emergency fund and save for your and your children’s future; and do so knowing that it’s helping the economy more than people spending money they don’t have.
Baby Food and Saving Money
by Ryan Loos on Sep.25, 2009, under Budgeting
My wife started making home made baby food for our son to save us some cash. It was a great adventure for the family when we went to apple orchard to pick apples last weekend. We are saving money and becoming closer as a family, all thanks to my wife and her objective to cut our grocery bill down. What are you doing to help cut costs? Is it bringing your family closer together or driving you apart?
Climbing Coffee Costs
by Shaun Somers on Sep.15, 2009, under Budgeting
Those of you who enjoy a convenient cup of coffee may have noticed that Tim Horton’s recently increased the prices of their coffee. At least where I’m from, the increase was from $1.45 to $1.52 for a large. That caused me to think back to when our family was working our way out from our debt load, doing Baby Step 2 – the Debt Snowball. One of the ways we reduced our budget was to eliminate takeout coffee. It’s easy to overlook how quickly that buck-and-a-half adds up! Using the new prices, if you grab one coffee on the way to work 5 days a week, and one later in the day on a break, you’re spending over $60 a month on them. If your spouse does the same that’s $120 that could be going into your debt snowball! And of course there’s the one on the weekend as you come home or head out (or both)! I’m not saying not to ever patronize your local Tim’s – but if your family is in debt then drinking homemade java is a small sacrifice that can make a difference!
