[goodwill7148]

The following are the useful savings strategies that will help us to have a bright and happy future for us.

Changing our way of shopping, purchasing, and saving. Using our own talents and skills, rather than taking the help of a professional. Try doing things, hobbies, and activities that will not involve so much expense.

Minimizing the amount we spend on expensive alcoholic drinks and cigarettes, rather use that money on something that is more productive and healthier.

Shopping around, comparing prices in various shops before purchasing anything is one of the best ways to raise our saving, , because it's very likely that the shop beside us is offering it on sale.

When we accumulate all our savings from each item, we will realize that simply by patiently looking around we have raised our saving by few hundreds.

Another excellent way of increasing our savings is saving our money within a savings account. This can be an excellent source of immediate funds to meet unexpected emergency.

It is sensible to save our money in an interest bearing account to meet our emergency needs, instead of taking a loan or bill a credit card. We will be in more debts and higher interest payments if we choose to take a loan or bill a credit card.

[mcmama]

Here's the problem I have with saving, and I think quite a few people have had it.

I saved for a rainy day. It rained. A lot. Death divorce job loss illness flood fire college tuition and continued legal action by my ex husband who makes about three times my income.

So that meant dipping into savings. No, wait, wiping out savings. Taking loans against retirement. And dipping into retirement. With a pool sized dipper with fountain attached. And of course, credit cards.

So if I am to save, I have to pay off a lot of debt. I missed some payments due to having to choose between paying health insurance, mortgage, and other things. So since health and mortgage are the most important things, I am now a bad bad lady who must carry a 32% interest on credit cards. No more negotiating. No more offers. NO consolidating. No balance transfers. I am current with my creditors, but oh I am a bad bad girl.

OK so pay down the credit cards. OK, I do that. And the hits just keep on coming. Cancer. Flood. Furnace busted. I sell everything I can on ebay. I live like a bag lady.

I would like to sell my house and move to a cheaper area, but oh, yeah, joint custody with a nutjob. Equal rights for important dads, and no compelling reasons for crazy moms drowning in debt who do the real work of parenting. June 1 2008 I hope I will be free of ever having to fear what my ex will do to me if I don't "consult" him on decisions or "pay my fair share" of colleges that "he doesn't approve of".

I don't worry about saving anymore. 4 and 5% don't cut it for me.

What I have done when I find a savings or am able to cut an expense is apply it toward debt. But it doesn't matter six months later because of the interest rate and my continuing "lifestyle" of one crisis after another.

I think my debt diary will change once I sell the house and am finally free to get out of this ridiculous area. And make my own choices without anyone else having to "approve".

[QueenAngie]

Janet, you have been such a strong lady,
I just know you'll make it to next spring when DS#2 graduates!

And then you will be a free woman.
Total free from you-know-who.

Don't you imagine he will be bored silly without you to tourment any longer?

[mcmama]

Thanks Angie. But I am really serious about this debt thing. How many people are out there who cannot save because whatever they save is wiped out by debt, which they incur not through lifestyle but through tragedy?

Really, catastrophes can bring about debt that most people can't imagine until they are in them. We know one family who just experienced a death. The person was diagnosed with cancer less than a year ago. The ceiling on their health insurance was $150,000. Now that sounds fine - except that the medical bills and hospital bills BEYOND the insurance total close to half a million dollars. They're applying for different types of relief, but this is ridiculous. Meantime, there are other expenses, like college, living, and the rest of the family's medical needs.

I know of another family whose newborn has been in the hospital for the past 18 months. He's never lived outside the hospital environment. But he is a very important - and special - part of their family.

Saving in the face of this seems a bit silly.

So what can regular people do to be ready for a sudden catastrophe which wipes out hundreds of thousands of dollars and makes them "bad" in the credit rating department? Can you actually plan for disasters of this magnitude, and what does it cost?

[deegie]

All of our savings were wiped out by medical bills. Our daughter had to have 3 surgeries in 2 months in 2007. We had insurance, but the dedectible was 3000. Plus the going back and forth to the hospital, hotels,eating out during her hospital stays etc. really took everything we had. It really sucks. I have about 250 in savings right now, and I'm not working. I'll probably have to get a job soon, although I really want to stay home with the littler kids, and one's still a baby. I'll probably have to work nights, but I refuse to put the baby in daycare. I'm not whining(ok, I am). I'll get there. It will just take a while.

[etali]

When I read things like this it makes me glad of the NHS - a lot of other things about the UK aren't so good, but having the NHS to fall back on for free medical treatment is one great thing.

I have some debt - thanks to a failed relationship several years ago. Things are getting better, but I'm lucky in that respect - two years after that break up I ended up in hospital for a couple of months after a serious long term illness - I got help with my rent while I was in hospital, and didn't have to pay medical costs. I *still* got set back because I couldn't afford to keep up the payment arrangements I'd come to with my creditors, so I can only imagine what it's like for others who have to bear the full brunt of medical expenses.

Sorry to move the thread even more from savings to debt / medical costs - but what is health insurance like in the USA? Is there such a thing as 'full cover' for all expenses? If so, how much does it cost? An average / low paid job in the UK leaves the person paying 22% of their income in tax, plus for a cheap property around £1000 / $2000 in council tax on top of their rent (most products have 17.5% VAT factored in to their sale price). I'm curious to see how that compares to the USA.

I know we pay a ton more for luxuries (electronic goods / video games, etc) but I'm curious about the rest of it.

[KayceeMercy]

Essentials only. Dining out - bottled water, beer/wine, cigarettes, gym membership, prepared foods are not necessary for life.banking deals Coupons are fine - unless you can buy a different brand cheaper still. Cheaper toilet paper may not be as nice, so you have to decide just what is really important to you. Start from the bottom up on your need for life list. Air, Water, Food, shelter - utilities. Every area has room for skimping.

[swt1899]

We used our income tax money to pay off all of our bills and debt (except the house... *sigh*). We donated a lot of goods that we didn't need so we got back a lot more from the Govt.

We shop using the grocery game (www.thegrocerygame.com). We stick to a tight budget. Our goal is to spend $90 a week on groceries. It's hard but with this we have saved tons. I usually won't buy a anything with out a coupon. We don't eat out often at all. If we do, we use a coupon.... same goes for our entertainment. I also shop the mark down section of my grocery stores. Dented cans and bent boxes are fine... doesn't effect the taste. Also register with www.coupons.com or www.pgesaver.com and check out their coupons and deals. You can print out coupons or load them on a grocery card (if your grocery store has a card; mine does)

I don't use my dryer during the summer. I use a clothes line outside in my backyard. I'm in TX and it is SO HOT here during the summer that my clothes dry in the same amount of time as they would in a dryer. Only I'm using free energy from the sun and wind. Now winter time, I use my dryer and it is a cheaper way to heat the house. Heater doesn't have to work as hard. We also use a fire place to heat the living room.

I also make my own laundry soap. There are many recipes out there and it is so easy to make. Instead of 20-25 cents per load, you spend about 2-3 cents per load. We haven't bought laundry detergent in 6 months.

I also use cloth diapers. I use the regular plain-jane prefold ones. They wash and dry nicely.

We open our windows on nice days instead of using the AC. That saves us money. We also use fans in our home to circulate air. Keeps things cooler.

Hope this helps!

[KayceeMercy]

Well its simple!! I was a shopaholic myself but now, with the following guidelines I am able to Spend and Save together:-
1) Set Goal:
Like you want to buy a car, find how much it costs/how much down payment you need? banking deals
2)Establish a time frame.
For example: "I want to buy a car by next March." Set a particular date for accomplishing goals, and make sure the goal is attainable within that time period. If it’s not attainable, you’ll just get discouraged.
3)Figure out how much you’ll have to save per week, per month, or per paycheck to attain each of your savings goals.