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Why would you want to file early? The government does pay a little bit of interest on what they owe you if you file late. But the interest rates are very low. You are better off taking this money and putting it into a bond, as the two pay about the same (maybe less from the government). And you can always cash the bond if you need the money right away. It can take the government weeks to refund your tax money.

If you are late and owe money, however, it is even worse! Filing late means that you pay penalties. Yes, the interest rate charged on late taxes is minimal. However, you should at least double that if you are filing late, as there are late filing penalties! Even if you can’t pay right away, it is best to file as soon as the deadline, because then you avoid the extra costs of paying late filing fees. Isn’t it better to keep that money for yourself? It’s certainly better than throwing it away and giving it to the government.

Another point is that you may not realize that you have money coming to you, or how much. At least filing on time you will be aware of where you stand – exactly – with how much you owe or how much is owed to you. It makes economic sense, and can help you to better budget now and in the future. Yes, the deadline for this year is passed, so if you missed it file now and avoid further penalties. And don’t be late next year!

(Note: if you live in the Edmonton, Alberta area I do personal and corporate taxes, so feel free to contact me about your tax returns.)

Coupons are often touted as great money savers and the greatest way to save on groceries, household supplies, even clothing and home construction. Need some eyeglasses? There is certain to be a coupon for it. Whatever your needs, you can find a coupon for some supplier.

The way that coupons are touted by some finance and budget advisors, you would spend half of your Saturday scouring the internet and newspapers looking for the best deals and clipping coupons. This is a waste of your time! How much will you really save if you clip all of the coupons that you find for items you like or need?

Firstly, look at what the deals are that each coupon shows. Now ask yourself if you really need the items on the coupon. If the answer is “no” then you aren’t saving anything, since you are either wasting money on something you don’t need (so you are throwing money away), or you have just wasted your time with the coupon. Don’t clip it or give it a second glance. Coupons are really just advertisements that are used in order to get new sales or promote customer returns and loyalty. And they are effective advertising!

The key with coupons is to know ahead of time what you need and stick with that, only. Most people will use coupons for groceries, as these are the most common coupons that we see. And they are the easiest to find. They lure you from grocery store or brand to another. And sometimes they include special offers that entice a person to buy more than what would normally be needed or used. For example, the grocery store that I shop at often has a special marked down price on items if they are bought in certain quantities, such as $1.00 each if bought in groups of 3; $1.28 for a single item. If you don’t need 3 of the items, why would you buy 3? You’ve just spent $1.72 on something that you didn’t need, and are likely to throw at least one of those three away. This means that you would have spent $1.50 each for the two that you did use. So where are the savings? Of course if you were going to buy the 3 items in the first place, then you will save.

This same grocery store has a large bulletin board posted directly inside the entrance of the building filled with coupons that you can tear off and use for the trip you are going on that day. This is very clever of them, as all of these items are then advertised and the coupons often entice people to buy items that they wouldn’t otherwise. But you won’t fall for that, will you?

The point is to not use coupons except for items that you would already buy!

In order to do that you have to have certain strategies whenever you go shopping or even looking for coupons. The first thing is to make a list of what you need. Complete the list before you look for coupons. Then when you look for coupons seek only those items that are on your list! It doesn’t matter if you see a great deal on something that isn’t on your list that you might like. It isn’t on the list, so you don’t need it. Don’t buy it! Don’t even think about buying it.

Advertisers love coupons and special offers, because these things really do get people to buy things that they don’t need. Take a look around your house and the homes of your friends. Guaranteed that you will see many things there that are never used – probably aren’t even thought of – and serve no purpose. But they looked cool at the time, maybe they were a fad, the advertising for them was good, and they weren’t expensive. And that’s why they were bought. And how much money over the months and years is wasted on buying things that aren’t needed? Do you really want to keep following that pattern?

Coupons and special offers are useful. They allow you to try new brands that you wouldn’t normally buy. [We all already know about brand names being overpriced.] This really won’t make a difference to your pallet, but it can make a difference to your budget, if the special offer or coupon makes the brand name cheaper than what you normally buy. And that is always a good thing!

Remember, there are three steps that must be followed:

1. Make a list
2. Find any coupons that are on that list only.
3. Cut your cost by using the coupons on items you would already buy.

I’ve recently been looking at coupon sites, and one that really caught my attention is FindSavings.com. In reviewing this site, I found that the site is very comprehensive and has a huge array of coupons to offer in pretty much anything I could think of. I liked that it has a category menu that is easy to follow and includes feature offers directly on its home page. I also like the menu that allows one to look for coupons by type.

In searching through the site, I found that there are some great stores, including some of my favourites, such as The Children’s Place, Home Depot, Office Depot (hey, I work a lot from home), and more. There’s a discount on a tunnel play set that I bought for my kids from Back to Basics Toys. My kids like the tunnels and tents so much that I actually keep one of the tents set up all the time for them to play in. I even found one for Mikasa, which will help in finishing out my holiday china set!

Coupons really a great way to help stay within your budget. And online shopping can help to save you stress (not to mention time and travel expenses), by making it easier to see what you want. The majority of the coupons offered at FindSavings are for online shopping, I discovered. The only disappointment I had with it was when I saw the Safeway link and found that the coupons there were for online shopping only. I sometimes pick things up at Safeway when I am near there. It saves me time to buy things at a store I’m close by already, and having a coupon to use in the store would make it even better!

One store I just have to mention is Swiss Army Knife – I just love their stuff. But I’m a bit of a knife nut and outdoors enthusiast, so I’m biased in that way. With the coupons offered I could spend my entire entertainment/toys budget just on that store alone, and not feel too guilty.

With categories of coupons for just about anything you can imagine, a site like FindSavings can really help. Whether it’s books, electronics, food, clothing, pets, travel, toys or hobbies – or more – coupons can really help with keeping your budget by lowering your costs. Why pay full retail when you don’t have to?

Is this really a good idea?

Living for today is always a good thing. If we cannot live for the time that we are actually living and instead live in another moment, whether it is the future or the past, then we are not truly living. However, only living for the present moment is not a good thing either. It has been stated (I forget where) that most people truly do not think beyond two or three days in the future. And this is also why people don’t truly make long term goals, for the most part. And perhaps it’s also why budget planning is not a big part of what we learn growing up.

It is important that we learn to handle our money. If we spent everything as we got it, truly only living for the moment, then there would never be anything available for the longer term expenses, even including housing, insurance, and groceries. Never mind what such a thing would do to emergency planning and retirement. While 75% of Americans surveyed stated that they have saved for retirement, only 13% are very confident that they will actually have enough to retire comfortably. And only 44% have actually done any kind of retirement needs calculation.

Perhaps it’s a good idea to actually make some plans for the future. Without planning and knowing how one is going to handle crisis, retirement, and upcoming large expenses, then there is no way that one can know exactly how much is required for these expenses. Sitting down and doing some kind of estimate, even a rough one, would make planning a lot easier. Realistic returns need to be taken into account on all savings, as well. This can give a sense of hope and security. And it might surprise people how little they actually need to retire. I’ve figured mine out. And in today’s dollars, assuming that I have no consumer debt, and that my kids are grown up, I can survive on less than $500,000 dollars in savings. In fact, that may even be high, especially if my taxes are low, or if I decide that I want to work part time. Actually, I know that I will do some income producing activity. It’s just the way I am and I will do it to keep myself occupied and happy, doing writing, consulting, teaching, or artwork of some form.

Planning for the future also allows one to live a better life today. With solid future plans, written goals and knowing how to accomplish them, one then has more security in the present. It’s easier to plan for the day when one knows exactly how much money is available for the present, allowing for all other plans. This makes living for today all that much better!

When we enjoy the outdoors there are so many options available that it is sometimes confusing. On a long weekend there are certain to be crowds in the popular areas and finding camping sites and space may become difficult. However, there are ways to enjoy the times outside camping and still keep costs fairly low.

The biggest cost for many people camping is likely to be the fuel costs for travelling, and the food. At least that’s for those who are frugal campers. The whole intent of being outside in a true camping environment is to enjoy the new scenery and the great outdoors, not to spend money on attractions. That is something else entirely.

Choosing a Camping Spot

Private camping grounds and the most popular government campgrounds tend to be more expensive. This is often because the have the best amenities (showers, hook-ups for trailers, and so-forth), and there is often a convenience store on site and sometimes even a place to buy gifts and souvenirs. These are all costly temptations that one doesn’t necessarily need.

If one chooses a more secluded camping site, even if it is a government ran site, there is a good chance that it will be less expensive. Often these sites are just as beautiful (and many tomes more so) as any of the popular spots. Sometimes they are even closer to the good site-seeing spots. So why would they be less popular? They don’t have the conveniences. It’s often as simple as that. They are often tent only or tent trailer sites. There is no running water. There is no shower. And while there is often firewood available that isn’t always the case. And they are not monitored as closely. But they are usually much cheaper, often as little as 25% of what one would pay for the more popular areas.

Choose a spot that will make everyone reasonably comfortable. Don’t choose anything you really don’t’ need. And try to avoid any shops that may be nearby, as this will limit the temptations associated with these.

Saving on Food during Your Trip

When travelling and camping it is easy to just pop into the roadside restaurant and buy whatever is there in order to have an easy meal. This can get expensive quickly! Instead of eating in restaurants (and yes, McDonald’s counts as a restaurant) or picking up convenience foods at a gas station while travelling pack your meals ahead of time. This means that you will have to do some planning. Each meal will have to be decided, as will snacks and drinks.

Get out your pad of paper and write out your plan (here’s a model, as I use):

Now, of course everyone isn’t going to eat this way. Fresh food is, however, much less expensive than buying premade meals and from convenience stores and restaurants. And it is likely to be a lot healthier, as well.

Some meals can be planned to be eaten while driving, if necessary. This is when fresh fruit, granola, and even breads are good! I usually make heavy whole-wheat bread sweetened with honey for such trips, as then it doesn’t need to have anything put on it and the kids love it. I’ve also made other types of breads that are tasty and pack easy – always something heavy so it doesn’t get squished easily. You can use he recipe I have here for that and adapt as necessary.

Entertainment While Camping

Kids get bored easily, but so do adults. While watching a rainstorm might be fun for some people, it won’t be for others. Of course, everyone hopes that isn’t their real entertainment during a camping trip! So, again you will have to plan everything ahead of time.

Plan each of your hiking outings and sight-seeing excursions. But don’t be afraid to be spontaneous either! One never knows when a great opportunity for a side excursion will come along. There are some great things to see that often get driven right past by the majority of people. Keep your eyes open as well as your mind.

Also plan to bring things along to help with entertainment, including bringing a couple of games, cards, Frisbee and/or balls to play with. And if you plan on being on or near water, bring something for that, too! It’s amazing how much fun can be had with a simple inner tube.

Sometimes bringing a small amount of art supplies can be a great distraction and a lot of fun. Kids can then use these to catalogue or record the different things they see on the trip. Or even a journal to do a little bit of writing in can help. Yes, old fashioned pencil and paper style of journals! It’s pretty hard to pack up your laptop and expect the battery to work. And you won’t have electricity for a lot of the time anyhow. Sometime people can learn to have fun without gadgets and modern conveniences. Try it! You might be surprised.

It isn’t always easy to make sure that you have everything for a vacation, even a small weekend trip. There’s the list of everything that has to be taken along: there’s the allowing for fuel, car maintenance, food, and a small emergency fund. It can be quite hectic, and the plan can actually take a lot more than is always anticipated. Here are a few things that should (almost) always be included in any weekend trip. Make sure to budget in advance for each item that you have to pay for, so there are no problems down the road!

1. Fuel. This is the most obvious if you are taking a car trip. If you know your car’s mileage, then you are likely to be able to budget this fairly accurately. Also make sure that the car’s maintenance, such as oil change, transmission fluid, etc. is all up to date. And check your tires before you go out onto the highway! Don’t forget to check the spare.
2. Food. This can get more costly depending on where you’re going and what you’re doing. Eating in restaurants is always more expensive. A tip is to pack a cooler and put whatever you can in there, that way food expenses are minimized and the money can be better used elsewhere. Make sure to plan every meal, and include a few extra snacks; you never know. And don’t forget about drinks!
3. Changes of Clothes. These are something that men are more likely to forget than women. Is that a gender or cultural thing? Think of every event and place you want to visit, as well as the number of days. Make sure you have the right number and style of outfits. This is a great boon to already have what you need. If you’re going rafting or swimming, bring appropriate clothing. Same for dining out. And take an extra change of casual clothes, just in case. If you have to buy anything for the trip, plan it well in advance, that way you can make sure to spend less by getting it at a sale.
4. First Aid Kit. While this isn’t mandatory, and hopefully you will never have to use it, having a first aid kit is a good idea. You just never know. There are lots of small kits available just to store in a car. And sometimes these are on sale. Maybe even just have a look at the items in a kit and put together your own. You never know, it might be cheaper that way.
5. Entertainment Money. Is that the whole point of the trip? Unless it’s a family visit (or maybe because) you will need to plan and budget the entertainment events for the trip. Make sure to allow sufficient funds for this, or plan the events around how much you can realistically afford to spend. This is one area that a lot of people go overboard, so being aware of it and the budget ahead of time is the best way to avoid going overboard. This is called actively managing your budget.

A tip for entertainment is to take along some games. Even a ball or Frisbee can make a lot of time pass and be great entertainment! Take some cards. Take a couple board games. Take some horse shoes or lawn darts. Whatever games you and those you are with will enjoy. Brainstorm to see what everyone can do in the few hours of downtime that you might have. You might be surprised at what inexpensive ideas there are.

People spend money on the most amazing things! Items that add no use or value to life, yet they will waste precious dollars on them, when those dollars could be used for more precious and lasting items, things that actually contribute to their lives. Here is my list of several of these things.

1. Knick knacks. These are the decorative items that are cheap, put onto shelves and walls for decoration, but have little true aesthetic value, and are often thrown away or junked after a couple of years, because you just get more knick-knacks to take their place. A complete waste of time and money. Whoever invented this crap was a genius, because he parted people from their good money and sold them something worthless. Don’t buy these!
2. Rice cookers. Rice cooks fine in a pot or even in the microwave (if you know how, so I’ve heard. I don’t know how.). Why buy a special pot just to cook one thing? Slow cookers are not to be confused with rice cookers. While similar, they aren’t exactly the same. And a slow cooker can be used for rice as well as many other foods!
3. Flower bouquets. I know this on is contentious. What person doesn’t like to receive flowers as a gift, simply because it shows that someone really cares? But aren’t there better things that someone can give? I think it’s a waste of time to buy something that is only going to get thrown away a few days later, because it dies. If I buy someone flowers, I’d rather buy a potted one, because at least that has a chance of lasting a while!
4. Happy Meal Toys. Yes, the kids love these. But they really are junk. They’re not meant to last, and the kids end up losing them or breaking them in a week or two. They don’t last long at all, and kids tend to have enough toys anyhow. Just don’t bother with this crap. Actually, I think Happy Meals are a waste of money, too. If you must eat at McDonald’s have a look at the bargain menu. You can get more from that, and it’ll cost less. I admit that I will occasionally take my kids there for a treat. And even I will buy 2 of the bargain chicken sandwiches, which fills me right up and costs less than one regular burger or chicken sandwich.
5. Directory Assistance. Bet you didn’t expect to see that one here! Directory assistance costs (where I am) 75 cents just for one look up. I get a phone book for free. And when I’m out somewhere and need a number, there is usually a phone book within a very short distance of where I am. And if I have a smart phone I can probably look up the number for free on the internet. Unless I’m making over $45 per hour after taxes, it’s worth my time to spend the extra minute looking the number up myself. After all, that’s how much I’m actually paying for the service!
6. Taxi Cabs. Well, this isn’t always the case. But a lot of people use these for simple trips when it would be more economical to use other modes of transportation. Taxis should only be used when they are the most practical and economical mode of transportation under the circumstances. A good time to use them is when you know you are going to a party and will be imbibing more than makes it safe to drive. That way you have the safety of the taxi to get you home alive and well. Any other time is a waste of money, unless it truly is an emergency that you need to get somewhere fast! And the only thing I can think of then is if your job is on the line.
7. Magazine subscriptions. Another thing that people will spend money on and not really use. Most of these just languish in a pile and eventually get thrown out. Even newspaper subscriptions are rarely utilised by most people. We just don’t have the time to read them any more. And when we do, they are available on the internet for less (even a subscription to your favourite online magazine usually costs less than the paper version). Not only is such a subscription a waste of money, it’s a waste of the environment. Go digital. [The only magazines I get are kids magazines, Chickadee and Owl, because my kids actually read them and enjoy them.]
8. Cable TV. I know, I know…. It’s cheaper than going out to the movies and renting videos. This one is controversial, as it’s something that a lot of people really do use for entertainment. I admit that I have it, but only because of my roommate. He’s an addict, and it was agreed as part of his rent. There are so many other things that you can do with your time, things that are more productive, fun, healthy, entertaining, and overall better for you. The only reason I own a TV is to watch movies. And those I borrow from friends, library, and relatives. And occasionally watch on TV. Cable is almost completely unnecessary.
9. Bargain DVDs. Well, not always. But unless you’re going to watch it repeatedly, there really isn’t any point in buying a DVD in the first place! I’ll buy these for the kids, because I know they’ll watch them over and over again. But do I really need to buy some cool movie in order to watch it? Better to wait until it’s out on TV. And even then I’m likely to have watched it at a friend’s place first. Or my roommate will rent it. Then I’ll borrow it from him. Or the library will get a copy. Yes, I like the library – free movies, books and music! (Although I rarely borrow music from the library – I’m happy with the radio for the most part. We have some great local stations, and I listen through the internet, too).
10. Candy. Okay, a lot of people might hate me for saying this. Most candy is nothing but sugar. It has no nutritional value whatsoever. It’s empty calories and is just plain bad for you! If you’re hungry, eat something useful. The occasional bit of chocolate, pudding, cake, pie or ice cream won’t hurt, but eating foods that are almost pure sugar is just a waste of money and hurts you more than anything else. Don’t do it!

I know that there are a lot of things that I could add to this list. How about you? What are a few things that you think are a complete waste of money? What would you add to the list? Do you agree or disagree with what I say above?

I admit that I try to live more frugal than most people. I rarely go out. And when I do I always make sure that it’s on a discount, using coupons or sales events, or attending a free event. But I always make sure that I have fun!

My number one rule to living frugally is to think about anything I buy before hand and see if it is truly necessary. This is constantly a battle with my kids, as they are too young to understand, and they have some strong influences from elsewhere that tend to spoil them a little bit (and I admit that I’ve been guilty of that myself at times). But I think that’s what grandparents are for and try to emphasize that we don’t buy too many toys or other things.

Now I’m not just talking about what is necessary to survive. If that were the case, I could live in a shelter in the woods and make and grow everything I needed. Hey, I used to actually think about doing that when I was a kid! But I have other priorities in my life than mere survival – I want to enjoy life, too. So what do I need to do that?

This requires a lot of self understanding, as well as it took a few paradigm shifts for me. Hey, I love my toys – but most of them are useless and don’t really get used after a few weeks or months. So that’s one habit that I stopped, for example. Now if I buy something for entertainment or hobby, it’s going to be something that I will use for months, if not several years. Otherwise it’s just not worth it.

Food is another area that changed greatly for me. I used to eat out at least three times a week. This could be a lunch at work, or even a nice dinner with someone special or a dinner at the pub with friends. Now I rarely eat out. It isn’t really worth the money, and when I do things like go to the pub with friends I limit what I buy a lot more than I once would have.

I also used to have a HUGE chocolate addiction. I would eat at least one bar a day, plus drink at least a litre (quart) of chocolate milk every day. Now I can hardly remember the last time I ate a whole bar in one sitting. And it’s actually rare that I eat it. I still buy chocolate milk, but not so often. And I drink  a lot less at once than I used to.

I have also examined how I shop for groceries. This is a lot different than I once did. I admit that I have a bit of a head start on most people, since I spent 15 years without ever eating red meats (these are expensive), and even a while where I was completely vegetarian. So, for me eating with less meat was easy.

I worry more now about the people in my life than I do about the things. I used to think it was really important to have a nice house that was really big. I wanted a beautiful car (actually a nice, new minivan or station wagon is what I wanted. The Volvo station wagon is what I’ve always drooled over). And I wanted the nicest clothes. Now I don’t think that’s the case. All I need in a car is something that really works and gets me where I want to go, but is still big enough for me and the kids. And that’s cool by me!

So, living frugally is a matter of examining what is truly necessary in your life. Perhaps you absolutely need a big SUV to be happy. Or do you? It might require a paradigm shift or two to really understand what is required in life to be happy.

What helped me a lot was not only the situation I got myself into, but reading other people’s stuff. One of these was Leo Babauta’s books. I read those mostly through his website, but it’s a lot easier (and won’t take you the months that it took me) if you get his books. It’s pretty much more detailed on the kinds of things that I wrote about above. Learning to simplify and organize your life in a way that makes it less stressful and more balanced. This is something that I think almost everybody could benefit from.

And I love being frugal! It’s amazing how little I can get by on, if I have to, and I still have a great, happy life! Most people I meet are so grumpy about the things in their lives. And that’s the whole problem – things – we need to have more simple lives and less focus on things. Follow the number one rule of frugality – examine if it’s really necessary. And temper that with the number two rule – put those you love before everything else, especially things!

Of course most people don’t do such serious mistakes in their budget – at least if they have one. And everyone should! Usually if someone blows their budget it just means that there is going to have to be some tough scrimping in another area in order to make it – and it’s often the savings or emergency fund that suffers. This isn’t good for the future, is it? If you don’t pay yourself first, then how are you going to be able to have the eventual financial control and freedom that most people want?

So How Do You Stay on Track?

There are multiple ways that people use to motivate themselves to stay on track and keep their budgets in line. One person I know keeps a small notebook in her pocket (really small), which she uses to track everything, and she has kept this for years. A new notebeook every month, since they only cost her about 25 cents each. In the front is her list of things that she needs to track when she is out and the amount that she can spend for the month. She has a little separate section in the book that she uses for each category, and she keeps a running total. This woman is, of course, hyper-organized. But she also has the lifestyle of anyone I’ve known in her income bracket (she’s in a very modest income bracket), simply because she is able to stick to her budget so well.

Other people will allocate an amount, such as with the envelope method (without the envelopes), and when it runs out, that’s it for the month. Still there is also the issue of tracking, and a lot of people end up “blowing the budget” because they don’t track. One should always keep track of the budget and spending! It’s important that this be done, because it is way too easy to blow it.

A lot of people will only add things up at the end of each month and then realize where all of the spending has gone. Sometimes this is when the budget goes over in some areas – usually because of how the money is spent: through credit cards, or having your savings lumped into your spending account, giving you easy access to it. Don’t do that! Keep your savings separate, and only use credit cards for emergencies or automated payments that you pay off every month.

Tracking on a daily basis is important, so find a method that suits you. Whether it’s the notebook method or simply having your own version of the envelope method, track your expenses to that you don’t falter in sticking to your budget!

Here’s a nifty little idea that a friend e-mailed me (thanks, Helen her blog is DeeplyFelt). She says that buying prepaid grocery cards really helps with her budget, because the budget is then all in the card. Plus it prevents her from browsing all the aisles in the different grocery stores. This way her family only uses the one store, which helps them to better manage what they are buying by really sticking hard to their list and not diverging from what they have already decided is their budget.

As far as I’m aware every grocery store offers prepaid cards. You can simply buy these at the check out or at the customer service desk. And by purchasing prepaid grocery cards you are also insuring that you won’t spend your grocery money on something else, because you have to spend that card at the grocery store. It’s not good for anything else!

This concept could also work for gas cards. I know I’ve done that. I’ve even used the points from my the gas station’s special little card to purchase these prepaid cards, as well as discount cards. And many grocery stores have similar points programs. It’s kind of like a double bonus, because you use the points to buy the card, then the purchase from the prepaid card also earns you points.

Has anyone else ever tried these strategies? Or something similar?