Budget Busters
Writing out a pretty budget is one thing... STICKING to it is a whole new ball game. Our income and utilities are pretty predictable, right? But, your impulsive trip to Target & Costco are not. You can drop a $100 bucks in a New York minute in those stores. Let's talk about budget busters that you need to be aware of in order to help you stay on track. I am going to give a little bit of tough love today, but I hope you can let go some of the constrictions and be free.
When we started our budget meetings, this topic left me in tears or angry because as a mom, I wanted to make nice meals for my family and ensure I am feeding them healthy food. My husband could eat canned tuna every night and be happy as a clam... me, not so much. But, once I let go of the argument & we compromised, it was OKAY. In fact, it's BETTER than okay. As you will see, we have decent meals, no one goes hungry, we stay on budget every week & we are reaching our yearly financial goals. BUT - it took some serious MIND & BEHAVIOR refocusing.
Grocery Store
This is the hardest category for most people. It seems great to give your self $400 per month for groceries so you have more to pay on debt each month... but when you get to the store, you just HAVE to have that new flavor of Oreo's, or, oh my gosh, if the taste testers are in the house... run away, fast! Before you know it, you spent $245 the first week and still have 3 weeks to go in the month. Trust me... I know, I have been there, done that.
But at some point you have to get mad enough at your situation to change your behavior. You have to want the end result bad enough to sacrifice a little now. You have to know your weaknesses and avoid putting yourself in those situations. For some of you, Target is a weakness... and I get it! So, if you have to avoid Target for the next 12 months while you kick Sallie in the teeth each month for a better future... then DO IT.
Here is what WE do to tackle the grocery budget buster.
1) I send my husband to the store with a list! Yep, he has much better self control & sticks to the list. I know this about myself, so in order to help our family reach our goals, I stay out of the store for the most part (unless we go together as a family).
2) Plan out your meals, then create your shopping list. Decide what you need, and only need. Go through your pantry to see what you have on hand to make your meals for the week. Then, stick to the list!
3) We shop at 2 stores WEEKLY. Our list is on a piece of computer paper. At the very top on the left, it says ALDI and on the right it says WALMART. We know by now what is cheaper and a better value at each store. Here are some items we buy at each. (Some things are not listed on my example, but MOST things we buy at Aldi: Milk, eggs, butter, cheese, cream cheese, bacon, produce, taco shells, seasonings, baking stuff, salsa, chips, cereal.. you get the picture. We have even had amazing steak from Aldi!)
We typically spend about $70+/- at Aldi, and $50+/- for a total of $120 per week. Some of the more expensive items are not purchased weekly, such as dog food (50 lb. bag), paper supplies, diapers/wipes, etc. Aldi is always the first stop. We take our OWN bags or use boxes they have, then head to Walmart immediately following. Takes about an hour.
We find that shopping weekly helps us plan better & avoids extra trips to the store throughout the week.
4) Use the CALCULATOR on your phone & account for tax! Know the amount you need to stop at to ensure you don't go over from tax.
So, for example. If our target is $70 to spend at Aldi, we need to stop adding to the cart when our calculator gets to about $63 (to be on the safe side).
I say we, but its really my husband or we all go EARLY on a Saturday morning.
5) Buy OFF BRAND items. Now, some of you are making a face like I just cussed you out. There was a time when I was the biggest food snob ON THE PLANET! While dating my husband in high school, I would come over for dinner and see that his mom shopped at ALDI, buying off brand food items and I literally thought I was going to starve because I didn't want to eat it, thinking it was "gross or weird". (I am so glad I got rid of that mindset!) Once I learned that MOST food items that are off brand are virtually NO DIFFERENT, but cost less because of the lesser known brand name, I got over it REAL quick... especially now as an adult on a budget. Why in the world would you pay $1.00 more for cheddar cheese or paper plates just because of the "brand"... that is truly silly, and not smart financially. Let's just say his parents STILL shop at Aldi and are extremely well off BECAUSE they save money any way they can. Fun fact: Did you know REAL millionaires do not live like one?
6) Go to the store ONCE a week... that's it! Plan ahead and buy everything you need. If you don't & "run into Price Chopper" for something you forgot, you will overspend your overall grocery budget for the month. That money did not just fly out of the sky - it has to come from somewhere in your budget.
7) Be careful with money savings apps & some coupons. Apps & coupons are typically trying to get you to buy brand name items and sometimes even with the savings, it costs MORE than the off brand item.
Stay away from "Gotcha" areas & Bulk stores (Costco, Target, etc.)
Some of you might be giving me the same stink eye face from earlier on this one too. Some of you might even need TA (Target Anonymous) help, HA! Ya, you might save a few pennies buying in bulk... but unless you have willpower of an Ox, you will end up spending MORE money, busting your budget and not meeting your goals. Fess up... Costco is like Disneyland for grownups! When you are debt free and have a $30,000 emergency fund sitting in the bank and no payments - then you can go right ahead with your bad self and buy whatever your heart desires. Remember... it's a short term sacrifice to help you WIN. The longer you fight this and fart around, the longer you will be in debt, therefore the longer you will have to wait to buy whatever you want - guilt free.
And stay out of that Target "dollar" area!!! That area is the devil. There is a reason its RIGHT when you walk into the store...
So that's it folks - we stick to $120 per week on a family of 4 & 2 dogs, plan our meals, create a shopping list & buy things on sale or off brand. It's not rocket science. You can do it too.
Message me if you need help with your budget! I answer questions for free, but I also offer one-on-one budget set up help for a small fee of $25 to get you started.
More to come on budgeting. Many think of a budget is restrictive, but I am going to teach you that its the opposite. A budget actually GIVES you PERMISSION to SPEND!
