It's only day two, but temptations lurk everywhere! They started in the form of my Anthropologie catalog arriving yesterday and ended with a drive to the city, to my favorite area, with my favorite coffee shop and I resisted! Score one for Peg!
Today's Dave Ramsey lesson was on "The Debt Trap". Because of my husband's planning and fore thought, we have never done debt (save our mortgage - which is only a 10 year) but the lessons today made me really, really re-think my use of credit cards for convenience. Statistics show people spend something like 20% more when using credit cards as opposed to cash.......hmmmm......food for thought. I know to me, using cash hurts much more than swiping my card. The loss of funds is immediate, so I really have to think twice if I want the product.
Anyhow, I think I'm off to a good start. I'm even feeling like I am going to return some "unnecessary" items I bought at the end of April (Dave Ramsey has that effect on you!) Today for potluck I made veggies that I already had on hand and a cake I had on hand with homemade icing (only takes powdered sugar, butter, vanilla and a dash of milk)! Typically I would spend about $15 on the dishes I prepare for potluck, but today the brethren had to endure my "pantry" food!
Only 29 more days to go!
Anyhow, I think I'm off to a good start. I'm even feeling like I am going to return some "unnecessary" items I bought at the end of April (Dave Ramsey has that effect on you!) Today for potluck I made veggies that I already had on hand and a cake I had on hand with homemade icing (only takes powdered sugar, butter, vanilla and a dash of milk)! Typically I would spend about $15 on the dishes I prepare for potluck, but today the brethren had to endure my "pantry" food!
Only 29 more days to go!
Way to go, Peggy! I think the first week of you cash-saving month will probably be the most difficult because there will be a lot of getting used to things, but it'll get way easier.
ReplyDeleteHey - question for you, Peggy. When Dave says 3-7% of your income can be for clothing...is that gross or net? I'm pretty sure I spend close to the 7% gross and my husband wants me to spend less then 3% net - lol. I'm curious what # I should really be aiming for. It's hard because we too are debt free, and it feels like I'm not hurting anything by spending money we have - BUT - there are MUCH more valuable things I could be investing in or saving for or helping others, etc. I mean we do those things too, but less so if I weren't using disposable cash on Anthro - kwim?
ReplyDeleteGood work staying away from the pitfalls this morning!
Hooray! I'm so glad you're sticking to your spending less goal! I totally agree that using your credit card can lead to spending more. For that reason, I make it a point to check my online statements diligently. It helps for me to see the reality of how much I'm spending, even if I'm not parting with physical cash.
ReplyDeleteThanks Lisa - I think you are right. I think I will get going in money saving momentum soon!
ReplyDeleteAmy -that's a great tip! Someone else also told me to pre-pay your credit card, so then it is like a debit card, but with the Visa protections.
Jan, Jan, Jan why can't we be neighbors?? That is the same thing I have always thought, if I'm staying within budget, and still giving, saving, etc, what does it hurt? It's a hard call. For me it is getting out of balance. It begins to take up a lot of time, following the new arrivals, checking in on stores for markdowns, keeping up with blogs so I don't miss a sale. I have to ask myself, am I spending too much time in this one area of my life? For me, I need to gain more balance. I also don't do well with tons of choices. I really function better if I have a few quality items that i can put together- otherwise I just stand in front of my closet with a blank stare trying to figure out what to wear! John MacArthur (author & speaker) also had a great lesson on women recently online -he had a lot of great points that really made me think. And to answer your 1st question - from what I've gathered from the videos thus far, Dave Ramsey is talking about net pay for all expenses! Bummer eh?