“Where Does The Money Go”

The other day I was looking at my finances and as many people try and budget. The thing is that sometimes there are months that you really don’t spend any money and other months you have surprises…in either scenario I have NO money.

Let’s take some of us that get paid every 2 weeks, now in my case and I am sure that many others experience this as well; I receive 3 pay checks in some months. Now the thing is on those months I expect to be able to put away all that check into savings, well I do, but then I end up needing to transfer money over to cover expenses, the thing is I don’t make any additional purchase that month, from the norm that is, and I still end up in the red.

“Where Does The Money Go”, I ask myself. I don’t understand why is it that I end up with no money like any other month and yet I get paid more, plus I don’t spend on anything else. Well, so I decided to get tough and live below my means, I decided to follow even to a stricter degree my last post, about “Living Below Your Means”. I said to myself it’s time to take away a few luxury items, for at least one full year and put away all the money I use to spend on those items, whether it was extra cable channels, daily coffee runs, those unnecessary cookies…I mean even my groceries will be audited…at least for one year and the most important thing of this all that I will be doing is that…I will start a spreadsheet and track the expenditures for each month…and see exactly what I spend and how much and where and whom and on-and-one.

My Perspective:

Start living below your means, start saving each month and start with $100 dollars the first year, $200 the second year, $300 the third year, $470 the fourth year and from then on. You need to think about the real important things in your life and think dearly about what you will be doing during your golden years…because I really don’t want to be working unless it is because I am helping someone on a part-time basis and it is a hobby or fun thing…or nothing at all. Anyhow, thanks for reading, till next time Latino Man signing off.

Living Within Beneath our Means –

At turn of 2006-2007, just before the housing market crash, people were living it up, spending, buying, and really not savings. Through these last 5 years I have been researching the internet, most articles, journal entries, blogs from people that talk about their community and state of finances. I sort of gathered the information and look or swift through it for pertinent information or information that correlates to the economy and what we are experiences.

Anyhow, so I have come to realize while reading and researching these articles that people were not really putting any money away while the boom was going on. So it turns out when the market crashed in 2008- 2009, people began loosing their jobs and at that point realized they did not have enough savings to get them through the rough times…hey even if it meant having 3 months of reserves to pay the mortgage and basic bills. You could have easily have cut back on the other fluffs, such as extended cable, extra cell phone, steaks every Friday, etc.

So it comes that to thousands of people loosing their homes and other possessions due to simply not putting away a little money when times were good. Hey, I am a culprit and did not have anything. The thing is I have been lucky and still maintain my job and well, now I am putting a way a little snipping, but seriously it is not enough to sustain a long drought of no work…like I have seen with other colleagues. I do have a little, but like my previous article, I had to deal with a few set backs in regards to having to reach into that savings in order to get through. So once again I am back to square one in regards to money reserves.

The things, since many of us are feeling the pinch, and for those that have been fortunate enough to find a job, why not try and leave beneath our means…in other words try and cut back on fluff, such as extended cable or if at all possible cut back on the number of cell phones in the household. For example maybe you can purchase a cell phone that will allow you to put minutes into it and only reload it if you run out of minutes. If you go out as a family then take along one cell phone the one that is in a plan, like 69.99/moth unlimited minutes, text, and video. Now, also you can reduce the accessories on your cell phone plan, possibly cut back on the number of text or eliminate that completely, reduce the number of minutes, don’t get that GPS addition, there are features you can do with out that would reduce your cell phone monthly bill. Remember you have Internet access and Google maps or Yahoo maps are available, simply print out your destination.

The thing is trying to find luxury items in your household is the key to finding that little extra money that you can actually put away for a rainy day…and possibly a long drought. There are also many FREE things to do around San Diego and I am pretty sure your city, going to the park, walking on the boardwalk, hikes, etc. what I think is that we need to get back to the 70’s and 80’s and not get so immersed in Technology and the products and gadgets out there. Instead of texting, maybe a phone call or email will be just as affective. Ok it may not be instantaneous, but come on…a little patience goes a long way.

Look around see the things you can cut back on and do without; maybe instead of TV shows, DVR’ing you can play a board game with the family. The thing is I am pretty certain that if we look around our household you will find things you can cut back on and do with out the thing is having the courage to move forward with it and most importantly having the discipline to put away that extra money you found away for such a day when you need it. Now, remember this doesn’t only hold true to families, but to single people as well.

My Perspective:

Times are tough for everyone but I do believe that if we all look around we can find things we can cut back on or do without. Instead of cable, there are options through the internet for free TV, Netflix also has a low monthly plan that allows you to access thousands of movies, yah they may be old, but come on…HBO, Show Time and the other channels also have the same old movies all month long and usually they only have old movies, so instead of 29.95 a month, why not pay 5.95 a month or free…you see what I mean. We all love our morning coffee…ok most of us do, instead of Starbucks, why not make your own coffee…huge savings. Try Godiva coffee which can be found in most market places, I shop Vons. Things are there, I believe if you start saving now for a rainy day…you will be able to handle better any possible layoff or reduction in your business. Once again thanks for reading, Latino Man Signing off.

When it Rains…It Pours

I am sure everyone has gone through this scenario at one point and when it happened to you and you said, “When it Rains is Pours”. Well ok it could have happened more than once, but anyhow, here is mine. I am trying to put some money together, and we always are, and of course my Truck wouldn’t start this morning. From the sound of it, I am crossing my fingers that it is only my Battery, because if it is anything else, I am in for it, because I do not have any money…well yes I do but that money is needed for something else, so you get into a dilemma, some people need to save for a certain bill, say property taxes others well maybe for a trip. So you end up trying to see if you use the money to fix the vehicle and then postpone the trip, or try and get the money for the next bill…property taxes. So you end up in a pickle…sort of speaking.

The thing is that we all have gone through this, as adults…well wait…even children…I guess. But doesn’t it stink…you end up having to juggle several things when it comes to money. And in these tough times, believe many families have little or no savings and some unfortunately will go towards their 401(K), which is a huge no-no, but many do. For me that would have to be a HUGE emergency to even think about borrowing against my 401(k)…credit cards would get used first. Anyhow, so like I said, “when it rains it pours” and why, do you ask yourself, does it happen when something you have been wanting to do for a LONG time…we’ll never know.

Some say it is the Universe talking…others call it bad luck…other still would say…its your fault…you knew it was coming …why did you not prepare ahead of time…well…we don’t because we are HUGE procrastinators and we like to put things off till the last minute or when something finally breaks…mmmmhhhh.

My Perspective:
Don’t put things off till the last minute. Complete the projects you have started. Save anything whether it is 5 dollars a month or 100 dollars a month…just save for the HECK of it…because you will never know when it rains…it could POUR. Till next time, Latino Man signing off.