It’s been a month since I started on this frugal kick and it’s time for a monthly check-in.
I’ve identified six budget-busting spending categories that I want to reduce over the coming months. Here’s a quick description of what each category includes:
- Dining - all eating out, except business-related meals that my husband’s company reimburses.
- Home furnishings - things like furniture, decor, etc. that are usually one-time purchases.
- Utilities - gas, electricity, phone, cable, internet, trash, water. I’ve included this category, even though these are essential expenses, because our family is wasteful when it comes to turning things off to save electricity, running the air conditioner all day, leaving faucets running, etc.
- Cash - this is the black hole of our spending. We withdraw cash from the ATM and then have no idea where it is spent.
- Groceries - food and other household supplies purchased at the supermarket.
- Household - things like toilet paper, paper towels, toothpaste, cleaning supplies, etc. that need to be replenished every few weeks.
For the month, I spent $800 less in these categories, and it was nearly painless. I’m tracking all of this in Quicken Online, and I analyze it in Excel. Here’s a simple graph that illustrates this month’s spending.
As expected, cutting back on eating out kept a lot of cash in my pocket this month. Instead of eating out for lunch and dinner nearly every day, I packed a lunch most days and cooked dinner four to five times each week. I spent $200 more on groceries, but $500 less on dining out!
I saved another $200 between home furnishings and household expenses by resisting the urge to stock up. Instead, before heading to Target or Sam’s Club, I made a mental list of the things I already had a few weeks supply of (paper towels, toilet paper, soap, soda, etc.) and created a shopping list of the things that would run out within the week. Then, I stuck to the list.
Next month’s goals are to shave $100 off utilities and an additional $100 off groceries by being vigilant about turning off lights, using the air conditioner less, taking advantage of sales at the supermarket, and beginning to use coupons.
Stay tuned!
