Only a bit more spending to report. Since I’ve gotten both of my paychecks with health insurance deductions, I can count $43.70. And, I spent a lot on entertainment on Sunday: $12.50. We went to a friend’s house, and they made corned beef from scratch: I mean, they corned the beef. So they put in the labor, and it was frugal for them, but our role was to bring Guinness and bread. I also bought a small block of Irish cheese, and a little tart as a dessert. I don’t necessarily regret it, but I think next time we’ll plan more in advance-I can’t make Guinness from scratch, but maybe I could have found it cheaper, and I could have made a dessert from scratch.

Overall, I've been liking thinking in a Frugal Mode. This month is a 3-paycheck month for me. Others are catching up with bills, or blowing it. I'm doing my Minimum Wage Challenge, and sweating $12.50 in the entertainment category. Which I LIKE. It doesn't make me feel like I'm missing out, or cheap-it makes me think about getting value from what I spend.

I am torn on whether bringing food to a friend's house is in the grocery category or the entertainment category. I started thinking entertainment, then realized it was food items. I am going with entertainment, because it was "party" food. It may be that I reduce my grocery budget and increase my entertainment budget.

Stared the day earlier, it’s been a while on a weekend. Up and moving by 9. We did three loads of laundry; I put some clothes in the dryer, like work clothes and woven shirts, and everything else hung outside. It’s been a while, the weather has been forbidding. Even when the weather was okay, we were hanging doing mostly jeans and towels, the big dryer hogs, to be lazy but still get some savings. It was also mild exercise, not an inconsiderable aspect.

I did the recycling, tons and tons of it. I only got $6.73, but that’s fine, I knew most was not money recycling. I recycle almost everything. Plastic, tin cans, yogurt tubs, paper, cardboard, glass. I exchanged an item at Walgreen’s that I got in January for a new item, which I’m keeping outside the challenge. I sat in front of the jumbo pack of earplugs forever considering whether I should commit to the $9.99 for the year’s worth of them. I decided I was over thinking and I should just be able to exchange as no money in and no money out.

I spent .86 cents at the Postal Service, and will get half back from my boyfriend. I got 4 2 cent stamps to add to my old first class, and then two new ones. We rarely send regular mail; almost all bills are paid online.

I cleaned out the bread thrift store for $9.55, split between us. Around 8 loaves of regular bread plus 2 packs of bagels plus 2 packs of 3-in-a-pack brown and serve roll loaves, and donuts for my guy. The bread used to be 2 for a dollar for the old stuff, now the cheapest is 79 cents, which bummed me out, but, at least a $3.59 loaf costs 79 cents and not $3.59. I was glad I made room in the freezer. The brown and serve loaves was a fun deal; each loaf has 8 attached rolls, and there are three loaves, for 79 cents. So for 3.3 cents each I have these amazing, hot, tasty, French bread-like rolls. Yum. It has been a fine lunch with some cheese.

I then deposited some checks at an ATM (including $15 from Nielsen for reporting on my TV habits, but I earned and received it pre-challenge), and browsed the Co-op where the ATM is at. I almost got a treat, but I kept looking at items, and thinking, that plum nectar is nice, but, not 15 times nicer than orange juice, so why pay fifteen times more?

Today, I spent $4 on entertainment for going out after work with colleagues. We do this rarely; I didn't want to miss it. I got one soda for $2 plus tax, which I would never do normally. But this Mexican restaurant had no Limonada or Jamaica, so I got a bottled Jarrito. And I left a large tip, almost 90%, because our waitress hustled to do separate checks for a table of 20 people, and I ate plenty of the complimentary chips and salsa, and there is no way I'd leave a 15% forty cent tip in that situation.

And, $10 to report in the charity category, local public radio station needs an emergency backup generator (and with the storms lately, they really do).

A good week, many tempations avoided without any sense of deprivation.

I gotta say, work people find it so hilarious that I'm even trying this; it's comical how comical they find it. The thing is, not so long ago I lived on a lot less than now, and paid of debt doing it. $6.25 an hour at 30 hours a week, while paying off debt. So this isn't a huge leap for me; I don’t have to cut out any lattes, manicures, brand name convenience foods, steak, days at the mall.

Someone asked how much I'd be saving by doing this, and when I told them how much additional savings they were surprised at how low it was to them. They are thinking I'm cutting spending at least in half. My expenses last year averaged $1591 a month. That included a trip to Mexico and a trip to Belgium/Poland, and lots of dining out, basically spending on whatever I wanted. I stuck the rest in savings. Frankly I thought I was living pretty pretty high on the hog. This minimum wage challenge means I reduce my spending by 32%, which is not so bad, really.

One co-worker, an Amy D. fan, thinks the challenge will be a piece of cake! I’m pondering going for the Federal Poverty Level rate of $798, which will go up in April. Don’t think I can, but still pondering it.

Today I took a couple books to the bookstore for trade, and they accepted some; I got $8.50 in store credit. I’ll use it for gifts later. Delaying taking recycling in, that will happen this weekend.

My gas and electric bill was much better, though not at my goal. We went from $360 to $300, but when I look at a detailed analysis on the PG&E website, my billing cycle was three days longer. Anyone interested in details who has PG&E would check it out; it tells you how much increase or decrease you have in electric and gas, for rate changes, usage changes, or billing cycle changes. So according to them my bill was $20 higher than it would have been due to the longer cycle. If I consider that I went from $360 to $280 for the same number of days, that’s a 22% decrease. We’re chipping away. I am pretty happy with %22 in one month.

Well, I need to learn more formatting. I paid bills and decided to just post a summary; even though I see spacing in my editable entry, when I see the actual post it is all lumped together. Grrrrr. Normally I like a challenge but headache is coming on and I need a bath. I can spend 240.44 more this month without trouble. Wish me luck in formatting AND in my goal!

Item Budget Spent Balance
Savings $39.00 $39.00
Rent $400.00 $400.00 $0.00
Household $21.00 $1.00 $20.00
Netflix $10.00 $9.65 $0.35
Electricity $100.00 $152.30 -$52.30
Charity $20.00 $20.00
Gasoline $15.00 $26.21 -$11.21
Phone $9.00 $8.53 $0.47
Workout $17.00 $100.00 -$83.00
Grocery $145.00 $30.85 $114.15
Ent./Rest. $20.00 $7.75 $12.25
Repairs & Tires $20.00 $20.00
Car Insurance $51.00 $51.00
Reg, AAA $13.00 $13.00
Clothing $25.00 $25.00
Internet $30.00 $31.02 -$1.02
Cable $5.00 $5.25 -$0.25
Health Ins $44.00 $44.00
Health-copay $62.00 $60.00 $2.00
Toil, Haircare $27.00 $27.00
Total 1,073.00 $832.56 $240.44

If anyone has suggestions on how to past a spreadheet into the blog so that my budget and expenses are easy to see, I will accept and perhaps even implement those suggestions.

Well, a few budget hits to report. Last week my boyfriend and I underwent some drama re: meals out. One night I was home sick all day, and he came home with burritos from a local, healthy little place. I totally appreciated it, but I felt guilty, too: me being on a budget doesn’t mean I want to be a mooch. He correctly pointed out that I’ve been treating him an awful lot lately, so I’ll accept the free burrito. But then, a few days later, he went out for fast food. (I was home in bed, feeling unwell, again.) I thought I had expressed I wanted three items off whatever dollar or value menu was where he went, and that I wanted no beverage. I ended up with a Meal, which isn’t exactly expensive but was less food, more non-water beverage, and more money than I wanted to spend. He wanted to just let me pay $3, but that isn’t right. So, I’m paying the $5.50 my meal cost including tax. And we are both clearer that I don’t want to cheat, and that I want cheap food if from the outside, and I’d rather avoid using my funds for fast food. Whew.

If anyone points out that fast food is not the best to eat on a budget especially if one feels unwell, I’d have to agree. I have a lot of issues with fast food. Fast Food Nation was an excellent book. For socio- economic, health, environmental, etc., reasons, I’d rather not eat it. (I will defend to the death your right to eat it, so hush.) However, even though it is not so great, my taste buds adore it, and sometimes I do use it as a numbing drug, since I no longer smoke or drink. I’m not necessarily excusing it as much as admitting that I have a love/hate relationship with the greasiness.

I filled up the tank for $26.21. My monthly budget is $15, but I use less than a tank a month, so I’ll just not have to use the $15 next month.

I did pay $100 for my Water aerobics class at the Adult School. This class will go five months, so it’s a pretty good deal. I have a question into Jesse on the YNAB system: you are supposed to save/budget for bigger expenses that don’t happen monthly but you can anticipate. What I can’t see, yet, is how it works if you spend a lot at the beginning for the next few months. I should be able to spread the $100 over five months, but according to the system I have $83 less to spend in April. We’ll see what Jesse says.

(YNAB is You Need a Budget, JMJJ215's site/program. I bought it for 19.95 as part of the $20 challenge, to track my Challenge progress.)

I took a further hit: my work offered low cost blood tests, one a regular work up, one for thyroid, for $25 each. My doctor recommended I take them (I’ve been having some issues). So that’s $50, but it's not monthly. And, I paid a $10 prescription co-pay for one of my meds for a three month supply.

I am excited, still, and undeprived, still. Hey, it's day thirteen.

My boyfriend went on a grocery run. We had a long list of staples to refill, so I though it might be high, but it was $64 total. $32 each. We have always done a lot of bulk and staple, but it was just a nice surprise that a "big" grocery run could be that small. Flour, sunflower seeds, dry powdered milk, bulghur, eggs, potatoes, things like this. Our grocery bill has always been pretty decent; it's the dining out that can get us. I even got some club soda.

I made jam today, two batches, with some plum puree I've had in the freezer. (The low sugar Sure Jel takes 6-1/2 cups cooked plums, and our peanut butter tubs actually are exactly 6-1/2 cups. It's kinda neat.) Even before the challenge, I was working on emptying the freeezer and cupboards. The goal was threefold: use up stuff that has been sitting a while (asian sauces gotten as gifts, etc.), be more creative with homecooking, and create space for "convenience" meals-casseroles, etc. put in tubs for later.

The jam took me about an hour-I remember when I first started it was an all day project. I need to remember that certain things I'm intimidated by will be the same way, such as baking bread, or painting rooms, or refnishing furniture.

A few postless days were due to illness, not a spending spree.

Someone posted on the $5:15 challenge forum that they already meet the challenge, so we know it can be done. Its giving up all the extras that those of us with more income will have trouble with. Or, paying for convenience, because we can.

I haven't spent anything (though I may owe my boyfriend for some yams). So I'm still doing good, with 402.25 spent. However, I know I won't have any AAA or Car reg fees, so I have to save that for next month. I will definitely spend on my health insurance.

My boyfriend asked, "how long do you have to do this?" I hadn't even thought of a date. I figure at least three months (and accounting for savings for items I won't have on those 3 months, like biannual auto insurance), but I'd like to do it thtough the year. Even if I slip, or go travelling, at least I will have nipped an awful lot. So I am planning three months absolute minimum.

Okay, this challenge is doing good and bad things to my head.

On the bad side-Friday, I called my doctor's office at eleven to confirm my noon appointment. Well, my appointment was at 10:15 (my last appointment had been at noon). So, I may be facing the "missed appointment" fee, and I don't know how I'm gonna handle it. I think it might be $80 - I was almost charged earlier this year for cancelling a same day but I had a migraine, so they waived it. I don't think they'll wave it again in such a short period. If I was really minimum wage, I'd try to claim hardship, but I can't, so I either need to take the hit or pay it outside the challenge. I will most likely just pay a portion each month and suffer-as this challenge wasn't meant to be super easy.

On the plus side, my frugal mindset is back. At work I declined 2 offers to go out to lunch. One person, who I've treated a lot in the past (yeah, my combined vice-dining and giving gifts) offered to take me out (her house finally sold) but I declined, saying I appreciated the offer but I was into my packed lunch, and explaining like it felt I would be cheating on the challenge.

We had our payday "pool" - buy 3 tickets for a dollar, half the collected funds go to the lucky winner of a the drawn ticket, the other half goes to the Employee Recreation Fund. As I work for the County, this money is used for items that taxpayer dollars can't go towards, such as microwaves and a refrigerator in the kitchen. I decided to pitch in a $1 of my entertainment money, after mulling it over. Now everyone at at work knows and thinks I'm a big goober, but are humourously supportive. Of course I didn't win the pool.

Last night, Friday night, we did get pizza, but it only cost me $1.25, as we used a $20 gift certificate we already had. It was 2 pizzas, with soda and breadsticks, and we picked it up.

I could feel guilty, but I figure, it makes the most sense to use these gift certificates I have when I'm trying to save money, so I'm not really breaking the rules. Normally, I would either make a store brand Boboli pizza or get take and bake-$22.50 is a huge amount of money for pizza even when I'm carefree. But, as I said, I was using a gift certificate.

Today, I am using up freezer and fridge food, and I made two pasta casseroles, and one is going into the freezer as a "fast food/take out" for when I don't want to cook.

I am hanging some laundry in the house, even though it is very cold. I will see if it dries at all; we aren't running heat in any room, so it may not work. I have a sweater on but my hands are so chilled I am having trouble typing. I did do the double spin, and I ran it on the short cycle with the lid up, so it stopped part-way and soaked until I put the lid down. I figure I got a long cycle wash for a short cycle price.

Spent so far: $402.25 ($2.25 entertainment, $400 rent)
$670.75 left for the month, depending on my doctors bill......

It's day two, and I lied yesterday-I didn't spend nothing, I forgot about rent. So yes, $400 out of my $1073 gone, but all budgeted for.

Today, I actually spent nothing. A couple of people at work think this idea is goofy but are rooting for me.

It's funny-if I think "I wanna get burritos from Amigas" my next thought is "Not on the challenge." So I have conceivably (because I almost ordered again on half.com) saved $20 to $30 already. Unprovable, but neat-o.

Looking at my Quicken records, it is becoming clear what I spend my extra money on. I still live below my means, but I had idly wondered where the money went, as I was still so low with groceries, cleaning supplies, etc., and my savings was growing but at a slower pace than I would like.

I already knew that travel and gifts and dining were a big piece. I spent an embarrassing amount last year. Even going to Europe cheap for 2 weeks is a good chunk of change. I still consider that money well spent-by the way, Budapest has incredible Turkish spas, and the Van Gogh museum in Amsterdam actually made me cry. I enjoy dining out and traveling and giving gifts, and do not regret them, but the dollars were big time. I had a Europe trip and a Mexico trip, and didn’t go into debt, but wow. It’s sad to think of losing the travel at a low wage, though I can see that dining and gifts given are a bit decadent.

But, there are money eaters I hadn’t realized. I spent $300 in jewelry last year. Now, no single piece cost over $50, and most $15 to $25-I happen to prefer silver and semi-precious stones. I always buy a piece of jewelry when I travel-earrings from Oaxaca, a ring from Brugge, a couple amber necklaces from Krakow. I don't regret this either, but wow, that's $25 a month, nothing like I could do if on minimum wage.

Yesterday, I ordered 12 books on half.com for 33 bucks. That's a decent price, and I am a book junkie. But I spent $224 last year-19 a month, and that's even despite all the books I get at the "buck a bag" sale, which ends up being a penny to a nickel a book, depending how many books I can fit in the bag. No more Half.com on the challenge-“buck a bag” only.

And, I’m even realizing that sometimes savings might require spending. As you could see from some of my posts, my electric bill is awry. We are considering buying a new dryer if the PG&E rebate is good and we can get a good price. But what if my half is $100, or even $200? I can’t fit that in the challenge, I couldn’t do that without serious scraping at real minimum wage. I don’t know if I’ll do it or not, but I certainly have been pondering every expenditure. Poverty can lead to more poverty: toilet paper by the roll or 4 pack can be much, much more than by the 24 pack.

Tomorrow I begin! I am excited. I will be more aware of where I get good value from spending (frankly, I know I will still travel), but in other areas I will be able to reduce spending at the same time that I have a greater appreciation for the value I get when I do spend in a luxury area.

Excitement builds pending the start the Modified Minimum Wage Challenge (MMWC) in 3 days. I'm checking my frugal tool belt to see if this will be doable, and I think it is.

I made muffins from scratch (following the loose Tightwad Gazette recipe), so will have breakfast and snaks though the week. Mango-cornmeal-oatmeal-raisin-brown sugar-bran muffins-it's a very loose recipe.

I've purchased the YNAB spreadsheets, and I really like the look of them. Since I have almost 8 years of spedning in my Quicken, I don't think I'll be able to switch my "regular" money to it. I will be able to easily track my MMWC progress, and even if I slip, I should still be saving a significant amount of money.

I remember when I was going to school for 14 units while working full-time, and then graduated. It was funny how easy an 8 hour day was. Granted, I have no dependants and a very short commute, but when I was able to be home by 4:15 and all that time was mine, it felt very decadent. Now, of course, I'm used to the 8 hour day and it seems long.

What I hope this challenge will provide me, along with additional savings, is a reminder of how wealthy in some ways I really am. Just having a warm bed and unlimited food and more than one set of clothes and regular health care makes me much wealthier than many in the world. By limiting my spending, I will again not take for granted the wealth I do have. To be reminded to be grateful is a lesson I will gladly take.

Even within my challenge, I have many luxuries. I'm not sure what I will do it a travel oopurtunity comes up-I think I will go ahead and travel, and take the expenses "outside" the challenge. That may be cheating, but travel is rewarding and I will still be ahead.

Come Wednesday, I'm ready.

I'm joining the $20 challenge and the living on minimum wage challenge at the same time.

Here's my initial planning for the challenge of living on minimum wage. I’m going to make this a double challenge by buying JMJJ215/Jesse’s YNAB budgeting spreadsheet for $20 (less a nickel)and seeing how much that $20 helps me save by living way below my means. (This isn’t a plug-yet. I don’t know Jesse, I just need a separate way to track this specialized budget outside of my current Quicken. I use Quicken to track, not budget, and with this I will need to budget-for example, I won’t be spending $20 a month on Auto service, I’ll be banking $20 a month towards auto service.)

As I live in California, I am going to use the California minimum wage of $6.75. Part of my justification is that I have some current expenses that I am not comfortable cutting, such as health insurance and prescriptions. The other justification is that I do live in CA, and couldn’t make less than $6.75. If I truly had a minimum wage job, either $6.75 or $5.15, I would likely have no insurance, and would struggle to find special programs to cover the 1/3 of my prescriptions that are absolutely crucial.

In doing this challenge I am in no way stating that I believe that the minimum wage is fair, etc. This is not a political statement of any sort. I’m doing it because I can really boost my savings by doing this, and remind myself that things I have taken for granted recently are really luxuries.

All rent and utilities are exactly half of the household total; my boyfriend covers his half with his income-this has been our arrangement for over eight years and this challenge won’t affect it. He will likely actually enjoy the scaling back as he is off work living on savings now (for fun, not laid off).

CA min wage of 6.75 at 40 hours a week at 4.33 weeks a month is $1169. Less 7.65% FICA for $90, 1/2 percent SDI for $6. I’ll assume due to low income no federal or state tax liability.
$1169 – 96 = $1073 total to work with

My expenses are taken either from the exact monthly bill, or my total from 2005. I have used Quicken since 1998 to account for every penny spent, so my figures should be accurate.

Rent $400 (A larger place than I need; if I was min. wage I’d scale down)
PG&E $100 (Our bill is crazy, see other posts)
Phone $ 9 (Just the basic line, long distance is on a prepaid MCI card –negligible, I’m still going on a card bought early 2005)
Cable TV $5 (We have the very basic limited cable)
Cable Internet $30 (We compensate by having a sweet connection-again, something that is a luxury)
Groceries $145 (2005 $1227/12 mo = $102 a month, but I need to increase to lower my dining out amount – maybe three meals total a week lunch and dinner- a luxury I will cut for this)
Personal $ 27 (2005 $253/12 mo. My groceries amount really is only food, I separate shampoo, tampons, etc. Haircuts are included in this, and I went crazy on bubble bath last year. I can probably do much better here.)
Netflix $10 (Half membership of 3 at a time. Again, I could/would cut if necessary.)
Household $21 (anything from toilet paper to furniture, last year $243)
Car-Fuel $15 (2005 $167/12, plus a dash) (I have less than a mile commute)
Car insurance $51 303 2x a year.
Car Reg $9 ($105/12 mo.)
Car AAA $4 ($40/yr for ½ a two person family membership)
Service $20 hoping for no more than $240 for the year-it’s a 2000 Saturn w/ 33K miles on it, well kept)
Health Ins. $44 (My share, work pays the rest. Yes, this is unfortunately a luxury these days, but that’s a different story)
Health-other $62 (2005 $739/12, for copays, deductible, prescriptions, eyeglasses, OTC meds. If I was minimum wage, I’d learn to go without.)
Clothing $25 (2005 $552/12 mo. makes it $46, but I was very luxurious last year and spent a lot-a couple pair of Dansko shoes, etc. I could easily cut it down by shopping smarter)
Entertainment $20 (Yes, Cable and Netflix is already entertainment. I don’t go out to movies. I’ll use this for garage saling, dining out, and poker.)
Workout $17 (Local Adult school, cheap water aerobics and weightlifting. I’m overweight and working on it, the price is reasonable. I could drop this but I am considering it health related.)
Charity $20 (I’ll give less than usual, but I can’t give none.)
Savings $39
Total $1073

These are bills/expenses I don’t have: Credit card debt, car payment, cell phone, anything kid or pet related. (I will have pets again someday.)

Now, if I really only had this much, I would: cut cable; cut food to $100-I have done it, the $145 will easily accommodate my club soda and fresh fruits and treats; cut Netflix, cut medical expenses-some prescriptions, doctors visits, and glasses; cut personal-fewer and cheap haircuts, much less bubble bath; cut the workout expense and walk to work instead; but, I actually would probably keep cable internet because my boyfriend is total geek, we run servers (don’t ask) and I am super spoiled-it would be a last luxury.

Things I spend “too much” on now: dining out a few times a week-I increased my food budget to compensate. Travel-I went to Poland and Mexico last year. Gifts - a great satisfaction of having some extra money is buying friends and family treats, like my dad a lap top, or paying for his hotel when he visits, etc. I will get frugal gifts, which I do currently give-I think a $3 garage sale item can make a “big” gift if it’s right.