Monday, September 15, 2014

Think On Such Things

First, I want to apologize for once again leading my readers to believe the course was starting soon. We have been considering a different domain due to recent hacking attempts and it has honestly been a mess. Until I am certain, these issues are cleared, it may be a little longer. I am so proud to have readers that have continued to visit long since my last posts. It's been a year of very infrequent posting yet daily views remain constant. Thank you.
I will try to continue with little bits of help until I am back up and running full speed again.

There have been two things that have been brought to my attentions as of late. Ladies, the economy is falling. It is VITAL that you begin to learn to live on what you have.

If you are racking up credit card dept, you will not be in a good place in times to come. I do believe that we as a country can survive economic changes. I do believe we can do just as our grandmothers did. I have personally lived on very little for months at a time helping at farms here and there. I know how to live without power. I know how to cook from scratch and I am ready to do so if I must again.

I want you to have that same comfort. I do believe past generations were taught so much more efficiently how to manage funds and finances and if you look at the average 80 year old, she is prepared.

She saved for her retirement. She manages her money well and she has the necessities to live on. Something drastic has happened over the last few generations. I see people with excellent incomes running out every month. I talk to people daily that can't understand how they spent $1000 because all of their purchases were under $30 so surely they didn't spend that much. It only takes three of such purchases to be at around $100 and over 30 days, so many of my students end up broke.

 There is a cure. I am working to transition the course to cover EVERY topic weekly. I used to cover one section at a time. We would spend a few months on cooking, then budgeting etc.. but I am finding that in our society, if I don't refresh you "weekly" on each area, you fall right back into the state of our society and are living paycheck to paycheck and in an awful place for an emergency to sneak up on you. 

I want you to do the following:

1. Purchase a check ledger and your favorite most attractive case for it.

I want you to do this even if you never write checks. Keep it in your purse and make it something so pretty, you pull it out often.
Write your current balance on the top of the page. The minute you get a paycheck, immediately subtract EVERY debt you have in that pay period. Then with the remainder,
1. Set aside savings(include in this medical, emergencies, automotive etc) - any possible emergency that could possible come up.. set it aside now.. where you absolutely cannot get to it.

2) Take the remainder and consider, fuel, food costs etc. In fact, ideally plan your menu now. purchase any necessary foods and get that out of the way. Fill up your gas tank.. Now, with what is left over... you can separate into how much you should realistically set aside for clothing, toiletries, entertainment, gifts for friends and relatives(There is nothing worse than being forgotten on your birthday. Remember others and they will remember you), home decor etc. The best way to do this? What are your priorities? If home entertaining is big, budgeting to keep the home lovely is a must.

 Funds must be set aside for upkeep, replacing appliances and the like. Do so.

The last thing to consider is clothing and grooming and there are very inexpensive ways to do all of the above. Don't pay for the most costly things unless you can truly devote the funds to do so. Think it through be prepared. Lastly... with times as they are.. have money or funds in a place not dependent on banks. Have money set aside for emergencies. Store up some amount of dried foods, matches etc.

I have a box with all of the above.. candles, medicines, dehydrated foods etc. Be ready for emergencies. Never be in a situation where you can't afford that auto repair or to feed your family because when the paycheck came you spent as if you had no responsibilities.. EVERY paycheck should go towards every area of your life.. then, in an emergency, you are ready darling. I have a separate page in my letter for each area of my budget. I write the total of what I've set aside for each area and EVERY time I purchase, I subtract from the total. If I don't have my ledger with me, I don't spend. Period. Set up a budget and stick to it.

Where is your money being lost..? in what ways do you mindlessly spend? Mindless spending MUST begin now. You need to recognize WHAT funds you truly have and live within them.. (Including your savings).

I have looked through your spending. It is often funds that were unnecessary and none of you should be spending mindlessly on your credit cards. Credit cards are only for emergency and it should be your goal to pay them off promptly IF you must use them.

Be wise, Be frugal and Be ready.

Much love always,