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Budgeting Tips for the Sandwich Generation: How to Care for Kids and Parents
Everyone knows that raising kids can put a serious squeeze on your budget. Beyond covering day-to-day living expenses, there are all of those extras to considerâsports, after-school activities, braces, a first car. Oh, and don’t forget about college.
Add caring for elderly parents to the mix, and balancing your financial and family obligations could become even more difficult.
“It can be an emotional and financial roller coaster, being pushed and pulled in multiple directions at the same time,” says financial life planner and author Michael F. Kay.
The “sandwich generation”âwhich describes people that are raising children and taking care of aging parentsâis growing as Baby Boomers continue to age.
According to the Center for Retirement Research at Boston College, 17 percent of adult children serve as caregivers for their parents at some point in their lives. Aside from a time commitment, you may also be committing part of your budget to caregiving expenses like food, medications and doctor’s appointments.
When you’re caught in the caregiving crunch, you might be wondering: How do I take care of my parents and kids without going broke?
The answer lies in how you approach budgeting and saving. These money strategies for the sandwich generation and budgeting tips for the sandwich generation can help you balance your financial and family priorities:
Communicate with parents
Quentara Costa, a certified financial planner and founder of investment advisory service POWWOW, LLC, served as caregiver for her father, who was diagnosed with Alzheimer’s disease, while also managing a career and starting a family. That experience taught her two very important budgeting tips for the sandwich generation.
First, communication is key, and a money strategy for the sandwich generation is to talk with your parents about what they need in terms of care. “It should all start with a frank discussion and plan, preferably prior to any significant health crisis,” Costa says.
Second, run the numbers so you have a realistic understanding of caregiving costs, including how much parents will cover financially and what you can afford to contribute.
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17 percent of adult children serve as caregivers for their parents at some point in their lives.
Involve kids in financial discussions
While you’re talking over expectations with your parents, take time to do the same with your kids. Caregiving for your parents may be part of the discussion, but these talks can also be an opportunity for you and your children to talk about your family’s bigger financial picture.
With younger kids, for example, that might involve talking about how an allowance can be earned and used. You could teach kids about money using a savings account and discuss the difference between needs and wants. These lessons can help lay a solid money foundation as they as move into their tween and teen years when discussions might become more complex.
If your teen is on the verge of getting their driver’s license, for example, their expectation might be that you’ll help them buy a car or help with insurance and registration costs. Communicating about who will be contributing to these types of large expenses is a good money strategy for the sandwich generation.
The same goes for college, which can easily be one of the biggest expenses for parents and important when learning how to budget for the sandwich generation. If your budget as a caregiver can’t also accommodate full college tuition, your kids need to know that early on to help with their educational choices.
Talking over expectationsâyours and theirsâcan help you determine which schools are within reach financially, what scholarship or grant options may be available and whether your student is able to contribute to their education costs through work-study or a part-time job.
Consider the impact of caregiving on your income
When thinking about how to budget for the sandwich generation, consider that caring for aging parents can directly affect your earning potential if you have to cut back on the number of hours you work. The impact to your income will be more significant if you are the primary caregiver and not leveraging other care options, such as an in-home nurse, senior care facility or help from another adult child.
Costa says taking time away from work can be difficult if you’re the primary breadwinner or if your family is dual-income dependent. Losing some or all of your income, even temporarily, could make it challenging to meet your everyday expenses.
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“Very rarely do I recommend putting caregiving ahead of the client’s own cash reserve and retirement.”
When you’re facing a reduced income, how to budget for the sandwich generation is really about getting clear on needs versus wants. Start with a thorough spending review.
Are there expenses you might be able to reduce or eliminate while you’re providing care? How much do you need to earn each month to maintain your family’s standard of living? Keeping your family’s needs in focus and shaping your budget around them is a money strategy for the sandwich generation that can keep you from overextending yourself financially.
“Protect your capital from poor decisions made from emotions,” financial life planner Kay says. “It’s too easy when you’re stretched beyond reason to make in-the-heat-of-the-moment decisions that ultimately are not in anyone’s best interest.”
Keep saving in sight
One of the most important money strategies for the sandwich generation is continuing to save for short- and long-term financial goals.
“Very rarely do I recommend putting caregiving ahead of the client’s own cash reserve and retirement,” financial planner Costa says. “While the intention to put others before ourselves is noble, you may actually be pulling the next generation backwards due to your lack of self-planning.”
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Making regular contributions to your 401(k), an individual retirement account or an IRA CD should still be a priority. Adding to your emergency savings each monthâeven if you have to reduce the amount you normally save to fit new caregiving expenses into your budgetâcan help prepare you for unexpected expenses or the occasional cash flow shortfall. Contributing to a 529 college savings plan or a Coverdell ESA is a budgeting tip for the sandwich generation that can help you build a cushion for your children once they’re ready for college life.
When you are learning how to budget for the sandwich generation, don’t forget about your children’s savings goals. If there’s something specific they want to save for, help them figure out how much they need to save and a timeline for reaching their goal.
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Ask for help if you need it
A big part of learning how to budget for the sandwich generation is finding resources you can leverage to help balance your family commitments. In the case of aging parents, there may be state or federal programs that can help with the cost of care.
Remember to also loop in your siblings or other family members when researching budgeting tips for the sandwich generation. If you have siblings or relatives, engage them in an open discussion about what they can contribute, financially or in terms of caregiving assistance, to your parents. Getting them involved and asking them to share some of the load can help you balance caregiving for parents while still making sure that you and your family’s financial outlook remains bright.
The post Budgeting Tips for the Sandwich Generation: How to Care for Kids and Parents appeared first on Discover Bank – Banking Topics Blog.
Source: discover.com
RV Renovation Ideas For Our New (to us) Fifth Wheel!
We are renovating a fifth wheel RV! I’ve been obsessed with RV living and RV renovations since we saw Jill and Eric’s RV renovation last spring. We aren’t ready to move into one but we thought it would be a…
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Your Student Loan Debt Doesn’t Have to be Stressful
This page may include affiliate links. Please see the disclosure page for more information. While the national economy appears to be improving, millions of Americans are still tied down with massive debt loads. For example, total student loan debt has climbed to $1.5 trillion with 44 million borrowers overall. Unfortunately, outstanding debt prevents people from starting a…
The post Your Student Loan Debt Doesn’t Have to be Stressful appeared first on Debt Discipline.
Your Student Loan Debt Doesn’t Have to be Stressful was first posted on May 25, 2020 at 9:18 am.
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Debt Consolidation Loans for Bad Credit – Our Top 5 Picks
Top 5 Debt Consolidation Loan Companies The specifics of your debt consolidation loan will depend on your creditworthiness at the time of your application. With that said, the following companies offer some of the best…
The post Debt Consolidation Loans for Bad Credit – Our Top 5 Picks appeared first on Crediful.
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Set Financial Goals for Yourself
Everyone wants to have more money, less debt, and greater financial freedom, but very few will attain it. Simply telling yourself that youâll earn more cash and clear more debts isnât enough to realize those goals, but writing those tasks down, setting realistic targets, and steadily working towards them can significantly increase your chances.Â
Nothing is guaranteed, but someone with clearly defined financial goals has more chances of attaining financial freedom than someone without.
Types of Personal Financial Goals
Financial goals come in many forms, but they all revolve around money and acquiring as much of it as possible. Some of the most common short and long-term goals include:
Establish a Budget
The first step to fixing your finances is to create a budget. Itâs a short-term goal and itâs also one of the simplest, but that doesnât make it any less important. Many Americans underestimate how much they spend and overestimate how much they earn, making a budget essential for adding a little clarity.
Clear Credit Card Debt
Americans have an average of $38,000 worth of debt excluding mortgages. A small percentage of this is allocated to credit card debt, but it often carries the highest interest rate and has the worst terms. Clearing this debt is an honorable and sensible goal for anyone with mounting debts.
Save Money for a Big Purchase
The average American family under the age of 35 has between $2,500 and $4,000 in savings. Thatâs barely enough to cover a used car, let alone a mortgage down payment or college education, which is what most families are saving towards.
Save for Retirement
This is the ultimate long-term financial goal. Saving for your retirement will give you something to look forward to and make life easier as you enter your old age. Many retired Americans regret not saving more money, with some experts recommending that you have at least $1 million tucked away to cover you for an average of 18 years.
Thatâs a lot of money, but it comes from a lifetime of saving and means you can enjoy plenty of cruises and vacations when you call time on your career.
Fix your Credit Score
Next to your Social Security Number, your credit score is one of the most important numbers you have and one you need to pay close attention to. Build a good score and a world of opportunities will open for you, making it easier to get low-interest loans and secure high credit limits.
Create an Emergency Fund
You can never underestimate the benefits of an emergency fund. Itâs essentially a savings account without an end goal and itâs used to cover you in the event that youâre hit with an unexpected bill or expense. It will also help if you lose your job or become ill.
Improve your Financial Situation
This incorporates many of the goals discussed above, one can be both a short-term financial goal and a long-term one. The most common goal is simply to have more money for an easier life or an early retirement, but there are also those who save so they can move abroad, start a dream business or simply become a millionaire.
These goals are a little harder to achieve than simply clearing debt or have some extra money in your pocket, but theyâre not unreasonable. If you have a detailed plan and work hard to realize it, thereâs no reason why those lofty long-term financial goals canât be realized.
Why Should You Set Personal Financial Goals?
Goals give you direction and purpose. They provide a detailed outline of what you need to do, what you have achieved thus far, and what remains. This adds a sense of accountability that simply wouldnât exist without those goals.
If you simply tell yourself that youâre going to do something, youâre more prone to procrastinating and moving the goalposts whenever it suits you. If you write all your goals down and separate them into clear and manageable chunks, thereâs no room for denial or deviation.
Think of it as a visit to the grocery store. If you have a list, you buy what you need, donât forget anything, and are more inclined to focus on the purchases that are within budget and will actually be eaten and enjoyed. If you visit without a list, youâll end up with a bunch of unnecessary foods you bought just because they were on offer and will forget all the things you went there to buy.
Our minds need direction, purpose. When the road is long, itâs easier to traverse if there are milestones, checkpoints, and clearly defined borders; without all that, itâs just a chaotic mess and youâll never make it to the end.
Short vs Long-Term Goals
A short-term goal spans days, weeks or months; a long-term goal stretches things out over several years and even a decade. Itâs important to have both, but short-term goals should have priority as long-term ones can get lost and forgotten about.
As an example, letâs suppose that your goal is to save a lot of money for your retirement. A long-term goal would be as simple as:
- Save $500,000 before retirement
This doesnât really help. However, if you break it down into multiple short-term goals you can focus on each of these in turn, ticking them off as you go and motivating you to keep going. As an example:
Increase Debt-to-Income Ratio
- Cancel unused subscriptions
- Sell unwanted items
- Ask for a pay rise
- Get a part-time job
Repay Debts
- Clear credit card 1
- Clear credit card 2
- Repay student loans
- Repay personal loan
Save Money
- Open a savings account
- Save $500 a month
- Make a sound investment
You can break these debts down even further and focus on making extra cash every single day. If thatâs what gets you up in the morning and pushes you towards your long-term goal, thatâs what you need to do.
How to Track Your Progress
As the saying goes, there is an app for everything and where financial goals are concerned there are actually multiple tools and apps to help you out:
- Mint: Track activity in real-time after connecting bank accounts and credit cards. Monitor spending, create budgets, and learn how to manage your money. Mint is one of the highest-rated budgeting and financial management apps on the market and is well-deserving of the praise it has received over the years.
- Wally: A great little budgeting tool that can keep track of your savings goals and tell you when certain bills are due. Itâs free and if your goal is to save and cover your debts, it does everything you need.
- Every Dollar: A simple but useful app designed to help you escape debt and manage your finances more effectively. It literally lets you see where âevery dollarâ is being spent.
- Clarity Money: A useful app to help you manage your subscriptions. The average consumer has dozens of subscriptions and itâs easy to lose track, but Clarity Money keeps everything in one place.
- Spendee: Manage family finances with this shared budgeting app. Itâs ideal if youâre saving along with a partner or want to keep track of what everyone in your household is spending.
How to Meet Your Financial Goals
Whateverâs on your to-do list, just set a goal and start working towards it. Take a look at these tips to help you:
Debt EliminationÂ
Debt is crippling and the less you repay, the more damaging it becomes. Credit card debt, student loans, medical debt; it creeps into your life, it grows, and it never seems to go away. Before you focus on your savings and build towards a brighter future, you need to focus on clearing those debts.
Debt relief methods can help you with this, including consolidation, debt management, and debt settlement. In the first instance, however, you should try debt payoff strategies like Debt Snowball and Debt Avalanche, both of which rely on you generating extra money to meet more than your minimum.
Every time you meet the minimum payment on your debt, youâre paying a lot of interest and a little principal. The interest compounds, the debt grows, and if you keep sticking with just the minimum payments it will take forever to repay. When you repay more than the minimum, however, youâll clear more of the principal, reducing the compounding interest, amount, and term.
Emergency FundÂ
It doesnât matter how substantial your net worth is, how much money you have in the bank and what sort of long-term financial goals you have, it always helps to have an emergency fund.
An emergency fund is a sum of money put aside for a rainy day. Unlike a savings account, which might be used for retirement, a vacation or college tuition, an emergency fund has no predetermined purpose and is designed just to sit, grow, and wait for a rainy day.
An emergency fund can help you if you lose your job or have a medical crisis. We live in times of uncertainty and exist under one of the costliest healthcare systems in the world. A short stay in a hospital can bankrupt you if youâre not insured and even if you are, there are still costs to consider.
Budget to save and invest but keep some money aside to build an emergency fund and make sure youâre prepared.
Savings Goals
Successful savings goals are built on careful planning and sacrifices. If you want a new home, you need to say no to luxury purchases, eating out, vacations, and other expenditures.Â
The average American family wastes about $1,500 a year on uneaten groceries, $3,000 on restaurants and takeout, up to $500 on gambling, and thousands more on vacations, smoking, unused subscriptions, and more.
You donât need to eliminate these expenditures entirely, just look for cheaper and more sustainable alternatives. Save on wasted groceries and dining out by going for a picnic; swap an expensive vacation abroad for a family fun staycation.Â
Once you eliminate these expenses, you can start saving towards whatever goal you have, be it a retirement fund, a car or the down payment on a house.
Achieving a Huge Net Worth
Itâs okay to scoff at this one as it does seem a little far-fetched. However, itâs a dream that countless Americans have and one that is very attainable. Of course, itâs easier if you have a talent or youâre young enough to develop one, but providing you have a good work ethic, donât spend your days procrastinating, and have the right mindset, you can build a sizeable net worth.Â
Itâs about making smart financial decisions, acquiring lots of knowledge, adopting careful investment strategies, and working endlessly. Here are some tips to help you accomplish this lofty goal:
Donât Spend Frivolously
The world of the rich and famous is awash with stories of people who adopt unbelievably frugal lifestyles despite having millions or billions in the bank. There are stories of Warren Buffet going to great lengths to use coupons to buy fast food, even though heâs one of the richest men in the world.
This kind of frugality is a little extreme, but it comes from the right place. Rappers, rock stars and sports stars like to throw money around when they have it, but theyâre the ones declaring bankruptcy and being arrested for tax debts when their careers enter a slump. Thatâs not a sustainable lifestyle for anyone, even the super-rich.
Learn how to manage money properly and accumulate as much as you can. Donât scoff at the end of saving a few dollars just because you have a few hundred; donât throw away a few hundred just because you have a few thousand.Â
Adopting this frugality will hasten your journey to becoming a millionaire. It will also allow you to manage your money effectively when you eventually make it, preventing you from being one of many sob stories of people who came into lots of money and then blew it.
Treat Life Like a Business
To become rich and successful in a way that doesnât rely on good fortune, you need to treat your life like a business. A business, for instance, is very wary of accumulating expenses and will instead try to invest additional cash into assets. These assets increase the value of the business, whereas expenses reduce it.
As an example, letâs assume that youâre 18 and have a talent for writing. A good investment would be an education in literature or creative writing, a laptop, a writing course, even a home office. An expense, however, would be a holiday, a flashy watch or lots of designer clothes. None of these things will grow your wealth and most will hinder it.
Take a look at our guide on good debt vs bad debt to learn more.
Read, Learn, Fail
Read as many books as you can on your chosen subject and on similar subjects. Youâll learn about the world, the English language, and more. All these will help to improve your reasoning, logic, and knowledge, which will help with your goals.
Learn New Skills
Knowledge doesnât just come from books and it shouldnât be limited to specific subjects. If you want to be rich and successful, you need to devote every minute of your spare time to working, learning, and acquiring new skills.Â
Learn a language, adopt a craft, research into a niche subjectâall these things can broaden your horizons and increase your earning potential.
Find a Specialty and Stick with It
While itâs good to read many different subjects and learn many different things, when it comes to actually making money, you need to stick with a single subject. The world is filled with wannabee millionaires who spend their days writing music, books, and screenplays, and their nights trying to juggle freelance careers and businesses.
Specialize in one thing, be the best you can be, and once you have the money and the success you can start venturing into other areas.
Stop Making Excuses
Generally, people who dream of becoming rich and successful will fall into one of two categories. In the first, there are those who spend their days dreaming, partying, and procrastinating. They assume that being rich is simply a case of having a great idea and then waiting for the riches to descend. In the other group, youâll find people who work every minute of the day and are always willing to take risks and make sacrifices.
If you want to accomplish great things, you need to work for it. Donât assume that all the rich and successful people you see on social media have it easy. If theyâre not working every minute of every day, thereâs a good chance they worked that much to get where they are.
Set Financial Goals for Yourself is a post from Pocket Your Dollars.
Source: pocketyourdollars.com
How to Stop Spending Money You Don’t Have
The post How to Stop Spending Money You Don’t Have appeared first on Penny Pinchin' Mom.
So, you want to stop spending money. That might be easier said than done. When it comes to managing your money, there are things you need to do. You know you need to budget, try to get out of debt and control your spending.
The issue is not necessarily that you are spending money on things you don’t have; you just aren’t spending it in the right way. The issue is not that you don’t make enough money, it is just not having a plan on how to use it once you get it.
That’s what happened to me. Unfortunately, I didn’t have a plan for my money. That lead me down a path I did not like.
After years of working without a plan, I found myself on the steps of a courthouse declaring bankruptcy. And, because I did not learn how to make the right changes in managing my money, my husband and I found ourselves in debt a few years later.
The difference with the second time I had debt was that I took responsibility for it. I owned what happened, and he and I worked together to make changes to not only pay off our debt but never go down that same road again.
If you find yourself in the same situation, you need to make big changes. To start, you have to stop spending money you don’t have. Plain and simple.
HOW DO YOU KNOW IF YOU ARE OVERSPENDING?
You’ve maxed out your credit cards
When there is no room to charge anything on your cards, you might have a problem. In most cases, maxed credit cards signals you are living beyond your means. If you have to continue to charge because you don’t have money, then you are spending too much.
You can’t find a home for your latest purchase
Your temptation might be electronics or handbags. No matter what you love to buy, you might notice you are running out of room to store things. When the stuff takes over your home and is causing clutter, it is time to take a long hard look at how you spend money.
Your budget never works
There may be months when you don’t have enough money in your budget to cover your mortgage or food. When you continually spend money on the wrong things, your budget will not work.
That means if you have just $50 for entertainment, do not spend $75. That other $25 has to come from another budget line.
You spend more than you earn
Take a look at your credit card balances. You might be paying only the minimum balance because you can’t pay it in full. When you spend more than you make and continue to add more debt, take a look at what you are buying. It might be time to pull back and stay out of the stores.
HOW TO STOP SPENDING SO MUCH MONEY
Use a budgetÂ
When many people hear the word budget, what they hear is “you don’t get to spend any money.” That is the opposite of what a budget does. Your budget is a roadmap. It shows you where your money should go – including the fun money you want to spend!
Your budget helps you know what you need to do with your money when you get paid. Look at every penny as an employee of yours. You get to tell it where it needs to go. Some of them will go to rent, others to your car payment and still others will go to the into your savings account.
The best part of a budget is that you can allow for fun. Learn how to budget to have fun and even how to budget if your paychecks are never the same amount.
Related: How to Figure Out How Much to Budget for Groceries
Write down your financial goals
Successful people start planning by having the end in mind. It may mean taking a backward approach to your finances.
Think about what you want. Do you want to get that credit card paid off or maybe take that dream vacation? No matter your goal, figure out what it will take to get there, and that will help you set your goal.
It may mean fewer dinners out or putting in some overtime at work. Whatever your goal, make sure it is clearly defined and you keep it front and center. Put it on your refrigerator. Keep a photo of it in your wallet. Make sure you see that budget staring you back in the face every time you even think about spending money. That will usually stop you right in your tracks.
Related:Â The Secret Trick I Use to Stick to My Budget
Cash is a Must so that you never overspend
If you are someone who is always saying “I can’t stop spending money,” then you need to use cash. I’m sure you’ve heard it time and time again. Using cash is one of the simplest tricks to help you stop spending money you don’t have.
It works because it gives you defined money. If you have $100 to spend at the grocery store, there is no way you can even spend $101. You don’t have it. You are forced to spend wisely and think more about every purchase you make.
I know some of you are reading this saying “but if I have cash I just spend it so fast.” That is because you are not tracking it and taking responsibility for your spending.
You need to use the cash envelope method.
If you have an envelope for groceries with $50 left in it, sure, you can dip into that and grab $20 to spend on lunch. But, what happens when you need food for your family? That means you’ve just $30 to buy food – which may not get you much.
Cash forces you to think about every purchase you make.
Related:Â How You Can Become Accountable With Your Money
Stop paying for convenience
There is a quick fix for nearly everything. Â You can find dinners in boxes, small pre-packaged snacks, etc. Â Rather than purchase convenience items, buy the larger size snacks and then re-package yourself into smaller baggies. Â You will not only get more out of a box, but you can even control how much you put into each baggie.
There are other ways we pay for convenience. Â We pay for someone to iron our shirts, wash our cars and even mow our lawns. Â By doing these things ourselves, we can keep much more money and easily stop overspending.
Read more:Â How You are Killing Your Grocery Budget
Put away the credit cards to halt spending money
One of the simplest ways to stop spending money is to get out the scissors and cut up those credit cards!! Or, if you aren’t ready to cut them up, put them on ice. Literally. Freeze your credit card in a block of ice.
If you keep spending, you have to cut off the source at its knees. While I don’t think credit cards are a good fit for everyone, I know they work for some.
If you must use credit cards, never charge more than you have in the bank to pay it off. That means you can’t charge the amount you believe you will get on your paycheck. There is never a guarantee that your check will arrive. Spend only the amount you have, not what you will receive.
Related:Â How to Pay off Your Credit Card Debt
Pay your bills on time
We all have bills.  We know when they are due. When you miss the payment due date, you get assessed a late charge.  Pay them on time, so you don’t pay more than you need to.
In addition to late fees, not paying your bills on time can have an adverse effect on your credit score. Learn how to organize your bills, so you never pay them late again.
Do not live above your means
Few of us would not love new clothes or a new car. We all would like to make more money or get the hottest new device. The thing is, can you afford it?  Is it a want or is it a need?
If you are using credit or loans to get items that you can not afford, then you are living beyond your means and spending money you don’t have. Â Scale back and make sure that you can honestly afford the house or the car and that it doesn’t ruin your budget and cost you too much.
Read more: Defining Your Wants vs. Your Needs
Don’t fall for impulse buys
Stores are sneaky about making us spend money. Â They use signs, layout and even scents to lure you into wanting to buy more. Â The thing is, if you purchase something you did not intend to, then you are already blowing your budget and probably overspending.
Another way that you are spending too much is when you plan dinner but then decide at the last minute to go out to dinner instead.  Why do that when you have food waiting for you at home (which you’ve already paid for)?
The final reason you may impulse buy is that of emotion. If you feel a rush because of that new item, you may purchase out of impulse and emotion instead of need.
Read more: Â Stopping Impulse Shopping
Plan your meals
One of the most significant changes we made was to menu plan. It took me some time to put it all together, but now, I can plan our meals in no time at all. I use the simple menu planning system that I’ve taken time to build over the years.
While this works for me, I remember when I was learning how to menu plan. It was quite a process, and I relied upon the help of some experts in the field.  One of them I have used is Erin Chases’s $5 Meal Plan. I loved how simple it was to create our meals each week.
Even the best menu plan won’t work if you aren’t eating what you buy. Make sure you are not making mistakes with your grocery budget and eat what you buy. After all, throwing food away is just money in the trash.
Related:Â Money Saving Secrets Stores Won’t Tell You
Challenge yourself to spend lessÂ
There is something fun about trying to beat yourself at your own game. By this I mean, if you have $150 to spend on groceries for the week, try to spend only $130. That gives you $20 more to spend on something else — or put towards your goal.
Related:Â Â The Yearly Savings Challenge for Kids and Adults
Stay out of the stores so you don’t shop
If you can’t control your spending and continue spending money you don’t have, you have to remove the temptation. Even something that seems harmless can result in spending money.
Related:Â Fun and Frugal Date Night Ideas
Track the money you are spending
Keep track of your spending by adding up the amounts on your phone.  That way, you’ll have no surprises when you get to the checkout lane. You can try Shopping Calculator for Android or Total-Plus Shopping Calculator on iTunes.
When you start to see that total creep up, you realize how much you are spending. That may help you think twice about that extra box of treats you are tempted to toss into the shopping cart.
Use the three-day rule before you spend a dime
The three-day rule is pretty simple. If you see something you want, wait for three days before you buy it. Once the third day is up, ask yourself if you still feel it is something you need.
If it is, look at your budget to ensure it works with this month’s spending. Then, double check the cash to make sure you have enough to pay for it. If both of these work, you can consider buying it.
The funny thing is that most purchases are impulse buys and the three day waiting period helps you realize you don’t need it. And had you purchased it, you may even have buyer’s remorse at the three-day mark.
Related:Â The Trick To Make Sure You Never Overspend
Don’t use coupons and skip the sales
Sales are very tempting. They lure you in and often result in making purchases you would not do otherwise. That is why you nee your list. Stick to it and don’t fall for the sales.
You also need to put away the coupons. Well, you can use them, but responsibly. If you would not purchase an item at full price, you should never buy it only because there is a coupon. A coupon is not a golden ticket to shop.
In addition to this, avoid the clearance aisles and end caps. Â These are money spending traps! Â You walk by, and your eye is drawn the end cap with the big SALE sign in front of it. Â If you don’t need that item, don’t grab it. Â Also, don’t walk by the clearance section. Â It is very easy to pick up items you don’t really need. Â That makes you again spend money you had not planned on.
Instead, shop the sections you need. Â If you need detergent, go to that section and grab your item and then go to the next on your list. Â Don’t wander through the store as you will be more likely to do “cart tossing.” Â This is when you put items in your cart without noticing what you are spending.
I’m not saying not to buy anything on sale. Just get the things you need that are on sale this week, or that you will need in the next weeks. You probably need spaghetti noodles, but you don’t need a new pair of shoes.
Related:Â The Money Traps You Will Fall For
Never shop without a list
Never shop without a grocery list. Ever. Then, force yourself to stick to it.
Some simple ideas include using a timer to limit how long you can be in the store. If you have only 20 minutes to shop, you will be less likely to grab the items you don’t need and stick with those that are on your list.
Another is to challenge yourself to see how fast you can finish your shopping. If you have the list and stick to it, you’ll find you spend less time shopping and more time enjoying the things you love.
The best reason to use a list is that you don’t have to worry about forgetting that “one item” you know you need. When you force yourself to make a shopping list and stick to it, you’ll always have everything you need on hand for dinner.
Keep emotion out of shopping
One tip is never to shop hungry. Â When you do, your stomach controls what you buy. Â The added benefit is buying the healthy foods you need.
If I am feeling bad about myself, buying something I have been wanting may end up making its way home with me. Spending money to make myself feel better never works.
There are many emotions attached to spending.  You have to identify which one(s) apply to you and find a way to fulfill that need through another method – other than spending money.
Define Needs vs. Wants
There are items we need.  You need food, but do you need the extra box of cookies?  Yes, the sweater is really cute but is it something you need or just something you want.  Ask yourself  “is this a need or a want” with each item you buy.  You’ll soon be on your way to less overspending.
Clean and declutter
When you declutter, you find all of those items you’ve spent money on and no longer need. Â It makes you realize where you are spending. Â You will also recall how clean your closet now is. Do you really want to fill it back up with more stuff?
The added benefit of decluttering is that it keeps your house clean and organized! Â You can find what you need more easily and don’t have so much “stuff” cluttering the house.
Save first, spend later
It is important always to pay yourself first. Â Remember that the amount you have to spend is what is left over after you pay your bills and pay yourself.
You should always tell your money where to go instead of it deciding for you. Â So many do that the opposite and save after they spend. Â If you still save a little, you will quickly build a nice emergency fund and can have less guilt about your spending.
Learn from your mistakes
The most important thing you must do is figure out where you’ve gone wrong in the past. Your mistakes will be different from everyone else’s. You may shop out of emotion while someone else does out of boredom.
You also need to keep in mind that you will make mistakes. There will be months when you fall off the wagon. Don’t beat yourself up over it. Use it is a chance to learn from them and do what you can to not repeat them again.
Related:Â Â The Mistakes You Will Make When Getting Out of Debt
Gaining control of your spending is possible. You just need to have the desire – and the tools – to make it happen.
The post How to Stop Spending Money You Don’t Have appeared first on Penny Pinchin' Mom.
Source: pennypinchinmom.com
The Worst Ways to Deal With a Bill Collector
Dealing with a bill collector is never fun and it can be particularly stressful when youâre sitting on a mountain of debt. Sometimes debt collectors fail to follow the rules outlined in the Fair Debt Collection Practices Act. If thatâs the issue youâre facing, it might be a good idea to file a complaint. But if youâre personally making any of these mistakes, your debt problem could go from bad to worse.
Check out our credit card calculator.
1. Ignoring Debt Collectors
Screening calls and avoiding bill collectors wonât help you get your debt under control. Debts generally have a statute of limitations that varies depending on the state you live in. Once it expires, the collector might not be able to sue you anymore. But you could still be responsible for paying back what you owe in addition to any interest that has accumulated.
In addition to the potential legal consequences of unpaid bills, letting old debt pile up can destroy your credit score. Unpaid debts can remain on a credit report for as many as seven years. So if your debt collector is getting on your last nerves, it might be best to stop hiding and face him head on.
2. Saying Too Much Over the Phone
If you decide to stop dodging your bill collectors, itâs important to avoid sharing certain details over the phone. You never want to say that youâll pay a specific amount of money by a deadline or give someone access to your bank accounts. Anything you say can be used against you and agreeing to make a payment can actually extend a statute of limitations that has already run out.
A debt collectorâs No. 1 goal is to collect their missing funds. They canât curse at you or make empty threats, but they can say other things to try and scare you into paying up. Staying calm, keeping the call short and keeping your comments to a minimum are the best ways to deal with persistent bill collectors.
Related Article: Dealing With Debt Collectors? Know Your Rights
3. Failing to Verify That the Debt Is Yours
When youâre talking to a bill collector, itâs also wise to avoid accepting their claims without making sure theyâre legitimate. Debt collection scams are common. So before you send over a single dime, youâll need to confirm that the debt belongs to you and not someone else.
Reviewing your credit report is a great place to start. If you havenât received any written documentation from the collection agency, itâs a good idea to request that they mail you a letter stating that you owe them a specific amount of money.
If you need to dispute an error you found on your credit report, you have 30 days from the date that you received formal documentation from the collection agency to notify them (in writing) that a mistake was made. Youâll also need to reach out to each of the credit reporting agencies to get the error removed. Theyâll expect you to mail them paperwork as proof of your claim.
4. Failing to Negotiate the Payments
No matter how big your debts, thereâs usually room for negotiation when it comes to making payments. If the payment plan your bill collector offers doesnât work for you, itâs okay to throw out a number youâre more comfortable with.
Sometimes, itâs possible to get away with paying less than what you owe. Instead of agreeing to pay back everything, you can suggest that youâre willing to pay back a percentage of the debt and see what happens. A non-profit credit counselor can help you come up with a debt management plan if you need assistance. Whatever you agree to, keep in mind that the deal needs to be put in writing.
Related Article: All About the Statute of Limitations on Debt
5. Failing to Keep Proper Documentation
Whenever you communicate with a bill collector, itâs a good idea to take notes. Jotting down details about when you spoke with a collector and what you discussed can help you if youâre forced to appear in court or report a collector who has broken the law. Collecting written notices from bill collectors and saving them in a folder can also help your case.
Bottom Line
Dealing with bill collectors can be a real pain. By knowing how to interact with them, youâll be in the best position to get rid of your unpaid loans and credit card debt (that is, if you actually owe anything) on your own terms.
Photo credit: ©iStock.com/Steve Debenport, ©iStock.com/RapidEye, ©iStock.com/JJRD
The post The Worst Ways to Deal With a Bill Collector appeared first on SmartAsset Blog.
Source: smartasset.com
These Free TV Apps Will Let You Cut Cable but Keep Content
As cable subscription prices rise higher and higher and customer satisfaction ratings dive lower and lower, cutting the cable has never been more popular.
Sure, there are the usual big names in streaming services available for a monthly fee, but itâs possible to kick subscription fees entirely.
Luckily, there are more options than ever for replacing your traditional cable setup. Many free streaming services have stepped up to offer access to content overlooked by subscription-based services.
And you arenât confined to squinting at your phoneâs screen or gathering the family around the old iPad to watch your favorite TV series and movies â you can download apps to your Smart TV or even your Xbox or PlayStation consoles.
Of course, there are some rather shady options out there that stream pirated content. But weâve rounded up free, legal streaming apps that provide no-strings-attached cable-cutting solutions.
12 Free TV Apps That Will Help You Cut Cable
With so many free streaming options out there, itâs easier than ever to cut the cord and save big. Whether youâre looking to keep up with the news, find a good movie for date night or entertain your kids with educational content, a streaming service exists to ensure you can do so without paying a dime.
Try these free TV apps out and see which works best for you.
1. Crackle
One of the go-to names not just in free streaming but in streaming video in general is Crackle. The cost-free service has a variety of content, ranging from classic TV shows like âBewitchedâ and âBarney Miller,â as well as the newer âSnatchâ series. It also has hundreds of films from major studios.
For a free streaming service, Crackleâs library is truly impressive. Crackle even has a handful of original series to its name. Best of all, Crackle works on nearly all mobile devices, streaming boxes and smart TVs.
2. Tubi TV
A division of FOX Entertainment, Tubi TV has deals with major studios like Paramount Pictures, Metro-Goldwyn-Mayer (MGM) and Lionsgate. It also features lots of foreign and independent productions.
Tubi TVâs library is updated regularly, and the service claims to add new content every week. The Tubi TV app works on more than 25 devices, including Android and iOS, Roku, Apple TV, Xbox, Samsung Smart TVs and Amazon Fire TV.
The library is solid and has started offering popular Fox TV series like âThe Masked Singerâ and âGordon Ramsayâs 24 Hours to Hell and Back.â
Since the service is ad-supported, you can expect to watch a couple minutes of ads every 10 minutes or so. The experience is pretty similar to watching normal television.
3. Pluto TV
Pluto TV offers TV channels of linear content much like a cable package
There are dozens of classic TV, movie and sports channels â and even some highly curated streams of niche content.
If youâre looking for breaking news, you can choose from an assortment of major network news channels that are live streaming.
The kids (or kids at heart) can check out Nickelodeon classics like âThe Fairly Odd Parentsâ and âDora the Explorer.â
Got a library card? You have access to even more entertainment options (besides the obvious, books). Check out these library apps for free access to movies, TV shows and more.
Or if you just want to veg out, switch over to their Binge menu for a seemingly endless stream of TV series, like âThe Hillsâ and âMystery Science Theater 3000.â
Pluto TV boasts a large list of supported devices including iOS and Android devices, Amazon Fire TV, Roku, Apple TVand Chromecast devices and Android TV.
Like Tubi TV, Pluto TV has advertisements similar to the ad load of normal TV.
4. NewsON
Streaming video isnât always just about entertainment. The NewsON app provides hundreds of local and national news streams.
Both live TV and on-demand news broadcasts can be streamed from over 275 local news affiliates in 160 markets. The broadcasts are available for up to 48 hours after they air, so even if you donât catch the news as it happens, you can catch up later.
Users can then select which news segments they want to watch from categories like sports, weather or entertainment. NewsON is compatible with iOS and Android phones and tablets, as well as Roku and Amazon Fire TV.
5. Funny Or Die
The go-to streaming app for comedy programming is Funny or Die. Founded in 2007 by contemporary comedy giants Will Ferrell and Adam McKay, it has since grown to be a full-blown production house featuring original content from big names in show business.
In 2018, the Funny Or Die began publishing on Vox Mediaâs Chorus and now uses the YouTube Player.
Content on the app must be streamed and cannot be downloaded.
6. PBS Kids
Kids need free streaming content, too. PBS has a PBS Kids Video app that provides hundreds of hours of educational and enriching content for the youngest members of the family. The app has a colorful, child-friendly interface, which makes it easy for kids to take control themselves.
You can even tap the âLive TVâ button to watch whatâs currently airing on your local PBS station.
Almost all of the networks and cable TV channels have their own free apps for you to download â although many charge you to actually watch current content.
Videos from many of PBSâs most popular series are available for streaming including âCurious George,â âWild Krattsâ and âSesame Street.â The PBS Kids app is supported for Android, Windows and iOS phones and tablets.
7. Xumo
Whether you want it now or later, Xumo offers live TV and on-demand options.
Like Pluto, you can choose from an assortment of major network news channels that are live streaming.
But it also includes more than 160 free channels, including themed ones in case youâre in the mood for action movies or comedies â you can watch the Funny Or Die channel here, too.
Xumo is available on most smart TVs and Roku and for download on iOS and Android devices.
Many of the free TV apps offer âpremiumâ channels â if you see that word, expect to pay for those services.
8. Crunchyroll
Anime and manga fans are likely already familiar with Crunchyroll. It specializes in mostly Japanese content, but it also features films and series from all over the world. Crunchyroll boasts a library of thousands of anime films and series, many of which are hard to find on other streaming services.
There is a paid premium feature, but the free Crunchyroll service has thousands of hours of popular series like the âDragon Ballâ franchise, âAttack on Titan,â âNarutoâ and âOne Piece.â
The Crunchyroll app is supported by Apple, Android and Windows mobile devices, as well as by gaming consoles, Chromecast, Apple TV and Roku.
Crunchyroll is a great app for anyone with an interest in anime. Of course, when it comes to anime content, you have to be watchful with your younger children, as a lot of it is geared toward teens (and sometimes even adults).
9. Twitch
For anyone with even a passing interest in gaming and esports, Twitch is the go-to free streaming service.
Twitch hosts user-created channels and streams focused on video games and other esports. It features a built-in chat feature, so users can chat with other streamers in real time.
Youâre there anyway â why not get paid to play video games? Here are four simple ways to start earning real cash for virtual play.
While there are thousands of free streams, Twitch also features premium features for a monthly subscription. Twitch apps are compatible with PCs, iOS and Android devices, game consoles, Chromecast and Fire TV.
While Twitch is popular with children, parents should beware: Twitch streams are somewhat unregulated and can sometimes contain adult language or content.
10. IMDb TV
Owned by Amazon, IMDb TV (formerly Freedive) features a host of full episodes of your favorite current and classic TV shows as well as an array of movies.
The catalogue includes some binge-worthy sci-fi hits like âLostâ and âFringe.â
The free version of IMDbTV is ad-supported, so youâll have to sit through a few commercial breaks.
It is available in the United States on the IMDb app, the IMDb website, the Amazon Prime Video app and Amazon Fire TV devices.
11. YouTube
Yes, YouTube. YouTube apps are compatible with just about every device that has a screen, and the service features videos to choose from on nearly any topic imaginable.
Most of those videos are not exactly premium content, but there are still plenty of full-length films, documentary series and curated channels that provide cost-free entertainment for the whole family.
While there are ways to download YouTube content for offline viewing, proceed with caution: Many of these sites and apps are full of malware.
12. Peacock
NBCUniversal launched this streaming service, which includes over 7,500 hours of free content, in July 2020.
Although Peacock offers paid premium options, the free version includes current and classic TV shows, movies, news, sports, kidsâ shows, Spanish-language programs and even select episodes of Peacock originals.
If youâre a fan of shows like âThe Office,â âLaw and Order: SVU,â or âSaturday Night Live,â you can watch them on this streaming service.
Customers can stream Peacock on a variety of platforms, including LG Smart TVs, Vizio SmartCast TVs, Roku, Google and Apple devices and Playstation and Xbox consoles.
Chris Brantner is a contributor to The Penny Hoarder. Senior writer Nicole Dow contributed to this article.
This was originally published on The Penny Hoarder, which helps millions of readers worldwide earn and save money by sharing unique job opportunities, personal stories, freebies and more. The Inc. 5000 ranked The Penny Hoarder as the fastest-growing private media company in the U.S. in 2017.
Source: thepennyhoarder.com
Your Guide to Budgeting for Summer Camp
Summer camp is a rite of passage. A place where traditions begin and memories are made. A unique venue with a structured opportunity for kids to grow and learn new skills. As enriching as it may seem, embarking on the process each year can be intense: How do I choose a camp? Should it have a philosophy? How do I know my child will have fun? But often the question at the top of the list is, “How do I budget for summer camp?”
Whether you’re scrambling for camp arrangements for this year or getting a jump-start on next summer, you’re in need of a working budget for summer camp. “As a parent who sent several kids to summer camp for many years, I know how expensive it can be,” says Leslie H. Tayne, author and founder of debt solutions law firm Tayne Law Group.
Read on for expert budgeting tips for summer camp and how to save money on summer camp so you can make the best decisions concerning your wallet and your child’s wish list:
1. Get a handle on camp tuition
According to the American Camp Association, sleep-away camp tuition can range from $630 to more than $2,000 per camper per week. Day camp tuition isn’t too far behind, ranging from $199 to more than $800 per week.
One of the best ways to budget for summer camp and prepare for tuition costs is to understand your needs for the summer as well as your child’s interests. This will help you determine ‘how much’ and ‘what type’ of camp you want: Is day-camp coverage important all summer because of work? Does your child want to experience sleep-away camp for a portion of the time? Is a camp with a specific focus (say a sport or hobby) on the list?
Depending on your circumstances and child’s expectations, it’s not unusual to be looking at a combination of campsâand tuition costsâin one season. If you have multiple kids at different ages, with different interests, creating a budget for summer camp and understanding how much you’ll need to dish out in tuition becomes especially important.
Once your camp plan is in place, assess how much you’ll need to pay in tuition for the summer months with school out of session. The sooner you’ve arrived at this figure, the easier it will be to work the expense into your household budget, says Heather Schisler, money-saving expert and founder of deal site Passion for Savings. “It’s much easier to set aside $30 a month than it is to come up with $300 to $400 at one time,” Schisler says.
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Sleep-away camp tuition can range from $630 to more than $2,000 per camper per week. Day camp tuition ranges from $199 to more than $800 per week.
2. Plan for expenses beyond tuition
One of the biggest budgeting tips for summer camp is planning for the many costs outside of tuition. Tayne points out that sleep-away camp usually comes with a longer supply list than day campâsuch as specific clothing or gear and toiletries to cover the length of stay. If your child is heading to a sleep-away camp far from home, your budget for summer camp may also need to factor in the cost of transportation or the cost to ship luggage. Day camps can also have fees for extended hours or transportation if your child rides a camp bus each day.
Once you’ve selected a campâday camp or sleep-awayâcheck its website for camper packing lists and guidelines. Most camps offer checklists that you can print out, which can be good for tracking supplies and costs as you go. After you enroll, your camp may provide access to an online portal that can help you manage tuition and track additional expenses, like canteen money, which is cash your child can use for snacks and additional supplies while away.
3. Create a year-round savings strategy
By calculating the necessary expenses ahead of time for the camps you and your campers have chosen, you’ll be able to determine an overall budget for summer camp. A budgeting tip for summer camp is to save money monthly throughout the year. To determine a monthly savings goal, divide your total summer camp costs by the amount of months you have until camp starts. If camp is quickly approaching and you’re feeling the budget crunch, you may want to start saving for next year’s costs once it’s back-to-school time so you can spread out your costs over a longer period of time.
Once you start saving, you’ll need a place to put it, right? When it comes to budgeting tips for summer camp, consider placing your cash in a dedicated account, which will keep it separate from your regular expenses and help you avoid tapping it for other reasons. “Then you can have your bank set up an auto draft [for the summer camp money] so it automatically goes into your account each month and you will have the money you need when summer rolls around,” Schisler says. If you use a Discover Online Savings Account for this purpose, you’ll also earn interest that can be put toward camp expenses.
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âIt’s much easier to set aside $30 a month than it is to come up with $300 to $400 at one time.â
4. Find ways to fund your summer camp account
To boost cash in your summer camp savings account, consider asking relatives and family friends to gift your children cash for camp in lieu of birthday and holiday gifts, says Tracie Fobes of budget blog Penny Pinchin’ Mom. “If your child has his or her heart set on sleep-away camp, they may be willing to forgo a gift or two,” Fobes says.
Another budgeting tip for summer camp is to put your cashback rewards toward your budget for summer camp. For example, if you open a checking account with Discoverâcalled Cashback Debitâyou’ll earn 1% cash back on up to $3,000 in debit card purchases each month.1 You can enroll to have that cashback bonus automatically deposited into your Discover Online Savings Account so it remains designated for camp costs (and can grow with interest).
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Lastly, if you don’t have your tax refund earmarked for another financial goal, you could use the windfall to kick-start your summer camp savings fund. Depending on the refund amount and your total camp costs, it could reduce your monthly summer camp savings goal significantly.
5. Reduce camp-related costs
Despite having your budget for summer camp in full view and planning in advance, camp can still be expensive. Here are some ways to save money on summer camp by cutting down on camp costs:
- Ask about scholarships and grants: “Some camps offer scholarships or discounts for children and families,” Fobes says. Research your camp to see if they have anything similar to help offsetâor even pay forâthe cost of tuition.
- Use a Dependent Care Flexible Spending Account (DCFSA): A Dependent Care Flexible Spending Account is a pre-tax benefit account that can be used to pay for eligible dependent care services. You can use this type of account to “cover dependent care [costs], and camp may qualify,” Fobes says.
- Negotiate price: “Many people don’t think about negotiating the cost of summer camp, but it is possible,” Tayne says, and more and more camps are open to it.
- See if there’s an “honor system”: Some camps have what’s known as an honor system, where the camp offers a range of costs, or tiered pricing, and parents can pay what they can comfortably afford. Every child enjoys the same camp experience, regardless of which price point, and billing is kept private.
- Take advantage of discounts: Attention early birds and web surfers: “There are sometimes discounts offered when you sign up early or register online,” Fobes says.
- Volunteer: If your summer schedule allows, “offer to work at the camp,” Fobes says. If you lend your servicesâperhaps for the camp blog or cleaning the camp house before the season startsâyour child may be able to attend camp for free or a reduced rate.
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Focus on the experienceânot the extras
Don’t let summer camp costs become a family budget-buster. Plan ahead and look for money-saving opportunities and work your budget for summer camp into your annual financial plan.
To save money on summer camp, remember that you only need to focus on camp necessities. “Don’t spend a lot of extra money on new clothing, bedding, trunks or suitcases,” Schisler says. “Remember, summer camp is all about the experience, not the things.”
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Source: discover.com