Got Active Kids? Here Are 9 Simple Ways to Stretch the Family Budget

Spread the love

When it comes to the family budget, you might be experiencing some challenges with stretch it to your advantage. You’re paying all your bills. You’re doing everything right, but still finding it hard to stretch your budget enough to make it all work.

Even if you’re diligently following your budget plan, chances are there are money saving tips you haven’t tried yet. When you look at your budget, the numbers feel static. You wonder how you could possibly get them to move or find wiggle room. Rent is what it is. Your utilities are fixed. You consistently spend a lot on food, but you’ve got to eat

Raising kids is expensive. But there are things you can do to help the rest of the family budget survive as your little progeny showcases all of their talents.

How do you Stretch a Tight Budget?
How do I Make a Family Budget Plan?
How do you Stretch a Dollar on one Income?
How can I Stretch out my Groceries?
Why is There a Rent Range?

How do you Stretch a Tight Budget?

One of the best ways we can make our money stretch is to start paying closer attention to our spending habits. After all, to really change and start getting to a financially stable spot, we have to know where we stand right now. Today.

1. Only Bring What You Need

Many of us live in fear of not having enough money to pay at the store. It can be SO embarrassing, right? So what to we do? We always carry or have access to more than enough money, even if that means getting out our credit card or carrying extra cash that we’re tempted to spend.

Be brave and take away the safety net! Only carry what you need for where you’re going. So if you’re headed to the store, bring only enough to cover what’s on your list. This will help you avoid extra purchases, stops along the way, or impulse buys.

2. Stick to a List

If you really want to make your money stretch as far as possible, always stick to your list when you shop. Every time you go into a store, write out a list, keep it in your hand (or on your phone), and stick to it.

Even if you’re stopping at the pharmacy and the coffee shop on your way to pick up the carpool—quickly jot down what you plan to purchase: cold medicine, hand lotion, floss, and coffee. Once you have your list, don’t deviate.

So what happens when you go in the grocery store and you realize you forgot to put eggs on your list (but you know you need them)? It depends on how literal you need to be to ensure your habits stick. Some of us might be able to handle exceptions once in a while or quick necessities.

For others of us, we might have to commit to skipping over eggs this week and adding them to our list for next week. It can be hard, but this exercise will help the habit stick.

3. Plan and Budget

It’s practical advice, although it might not be the most exciting: We all have to set a budget. If we fail to plan, we plan to fail—and nowhere is this truer than when it comes to finances. Your budget is your roadmap when it comes to keeping a handle on where you’re money is headed (or reflecting on where it went).

If you haven’t kept a budget before, it can be a little daunting at first, but there are plenty of tools to get you started. Even writing down your bills and keeping a very basic balance sheet can help you gain more control over where money might be slipping through the cracks. Sometimes when we write out a budget, it all becomes so much clearer.

4. Only Use Cash

If you want to hold on to your cash—literally hold on to your cash. Instead of depositing funds into your checking account and swiping away with your debit card, withdraw all cash that doesn’t need to be spent on paying bills. Take the cash and physically divide it into the categories you need and the places you have to spend.

You’ll be amazed at how much more challenging it is to spend cash over whipping out a debit card. Some of us are more visual, so when we see cash actually leave our budget and our hands, it quickly answers, “Where does my cash go?”

5. Track What You Spend

To know what you need to change or work on, you have to gain a good idea of where your money goes and what you’re spending it on. So many of us swipe our debit card or plunk down a credit card and forget about it.

It becomes a habit. When checks were the norm, we would have to write down each purchase and balance our checkbook, but now, with plastic, we can swipe or scan away without a second thought.

Money shouldn’t be easy come, easy go—especially if you want it to stretch. For at least a month, try to write down every single thing you spend money on—even if it’s $3 for parking or a $4 latte. Write it down. At the end of the month, take a look at where your money went and what you purchased.

You might learn some eye-opening takeaways—like perhaps you’re spending $40 a month on soda from the vending machine at work or maybe you’re filling up at the more expensive (but closer) gas station, costing you an additional $10 a month.

6. Keep Your Change

Whenever you’re handed change, what do you do with it? Put it in your pocket? Toss it in the cup holder of your car? Throw it in the bottom of your purse? All of this change may seem like no big deal, but over a month’s time it can add up to quite a bit.

Rather than discarding your change mindlessly, put it in the same spot each time. For one month, save up all the change you’re given—even if it’s just pennies. Then take a look. You might be surprised how much it adds up! All that money would have been discarded without a second thought.

Start a change jar and don’t be afraid to pay for purchases with quarters, dimes, and nickels. If you start to save your change, turn it in every six months or so and see how much you’ve saved!

7. Avoid Sales

Retailers are very smart. They know how to create a sense of urgency or make us feel like we’re going to miss out. Clearance, last-minute sale items, and deep discounts have us buying items we didn’t even know we needed or wanted. Not only that, but we walk away patting ourselves on the back for being such smart shoppers and “saving” so much.

Guess what? Spending isn’t saving. This was a hard lesson for me and I know it is for others, too. It can be so hard to pass up a sale or just say no when it comes to a great buy. If you feel like you can’t pass it up yet, then avoid it altogether.

Read through ads and create your list ahead of time, based on what you need. (It’s okay, of course, if the items you need happen to also be on sale). When you go into the store, don’t look in the back or the end of the aisles. Buy only what you need. Get in and get out!

8. Unsubscribe

When it comes to spending online, again, avoid the ads and the sales. We subscribe to email lists for stores all the time because we want to know when they’re running a great sale or when an awesome deal comes around. Here’s the secret though: most retailers run great sales and deals OFTEN.

If there’s something you need, such as running shoes or a black skirt, go to the stores you prefer and find what you want, then search for a coupon code on sites like RetailMeNot. If it’s not on sale and you can wait, bookmark the item and set up a reminder to check back to see when it goes on sale.

How do I Make a Family Budget Plan?

With all the demands of running a household, it’s hard to find time to make a family budget—especially if the amount of money left at the end of the month is less than you want. It’s important to look household finances squarely in the eye, because that’s the only way to control them; otherwise, they control you.

Like driving a car or playing an instrument, the skill of managing money must be learned – and it’s never too late to start! Doing so usually pays immediate benefits. People might not earn more money if they budget well, but they will be able to use the money they do have wisely.

Someone who manages their finances responsibly has peace of mind and knows how to:

Pay their living expenses
Keep debts to a manageable level
Save for the extras that make life enjoyable
Avoid constant money anxiety

It’s not how much you make, but what you do with what you’ve got. Proper money management does not involve a magic formula to find more money. It simply means getting the most from the money you do have.

Choose Your Budgeting Tools: Paper or Electronic?

If you’re scratching your head and asking yourself, “How do I start a family budget?”, simply begin with the basics —whatever budgeting tool you’ll use to keep track of the family finances.

Using a budget worksheet with pen and paper can be just as accurate as electronic budgeting tools, but financial software certainly makes the job a lot easier. It also reduces errors.

If paper feels right, an accounting ledger doesn’t cost much and is designed for credits and debits within your bank statements. In everyday language, credits are incoming dollars and debits are outgoing. You’ll also need a budget calculator.

Make it easier on yourself to establish a household budget with a simplified budget tracker from Mint.com. Instead of manually writing down and accounting for each transaction on a regular basis, intuitive software creates running totals, tracks fixed expenses, highlights discretionary spending, makes suggestions, and shows how debits and credits influence each other for your bottom line.

Bring Your Bank Statements to the Table

Everything that shows incoming and outgoing money—such as earnings statements from sources of income, receipts, student loan interest, bills and credit card statements—has a place at the budget table. First, separate them into two categories for incoming and outgoing, suggests U.S. News and World Report.

You’ll need a total for both categories in your family budget. This is where many budgeters get a bit nervous, but don’t be. The incoming amount might be smaller than the outgoing, but an easy family budget will help you control that.

Locate Fixed and Variable Expenses

The outgoing category needs more attention after you’ve got a grand total. The next step is breaking debits into subcategories. Your family budget might include Utilities (electric, water, etc.), Secured Debts (mortgage), Unsecured Debts (credit cards), and Discretionary Spending (lunch, clothing, etc.).

One of the best budgeting tips we can offer: discretionary spending adds up fast. A few dollars here for movie tickets and a few more there for dining out sometimes total more than a fixed bill that you pay every month. This is the subcategory where you can create the most change.

Set Up the Ledger, Spreadsheet or Budget Software

Now that you’ve mastered the art form and know how to plan a budget for your family, take your initial totals and categories prepared, then add everything to an electronic spreadsheet, budget software or ledger. This is where the budget begins to take shape. The short term goal is to get your debits (expenses) less than your credits (income).

Control Discretionary Spending

With the numbers in black and white, you can approach the monthly budget more realistically. Discretionary spending might be the only category where you can find and divert money toward paying off debt and building up savings.

A tried and true way to manage discretionary spending is the envelope method. The money you allocate for everyday expenses goes into an envelope each month—that’s right, cash.

Today Money explains that with cash in hand, you’re more aware and less likely to overspend.
Control is the first step toward peace of mind.

Pay Off Debt

Paying off debt is the main goal of many families and might be the reason why you’re researching how to make a household budget. The only way to get there is to submit at least the minimum payment each month. Paying more than the minimum obviously reduces debt faster, but it can also mean you’ll pay less interest.

Check with each creditor to be sure extra payments will post the way you want them to. In some cases, interest is a fixed amount that won’t change, regardless of whether you pay more each month. It might be worth getting a free credit score in order to shop lenders and contemplate loan consolidation at a lower rate.

If your credit is looking a little weak, don’t worry too much. Just stick to your family budget and make it a priority to pay off your debt, you’ll see your credit score start to improve.

Money management is both simple and complex – but once you learn how to make a family budget step-by-step, grabbing control of your finances will become a walk in the park. It’s only a matter of knowing what you earn, what you owe, and where the money is spent.

What makes it complex is deciding where to cut back and where to divert more money. For some families, debt is a real problem. Without enough resources, debt can mount and credit scores can tumble.

How do you Stretch a Dollar on one Income?

How to stretch a dollar when you’re living on one income is an all too common problem many families face. You are living on a shoestring budget, and you’re looking for ways to cut costs and save more money.

You desperately want to find quick, simple ways to make your money go just a little farther each month.

Let’s now look into some super simple, yet effective strategies to give you and your budget a little more breathing room.

Increase your take-home pay

If it has been a few years since you began working for your current employer, it may be time for an update on your W-4 form. You may have claimed zero so you wouldn’t owe taxes at the end of the year, but with all the new tax cuts for families, this may no longer be a wise choice.

If you start claiming more exemptions, you will have less money withheld from your paycheck and more in your pocket, plus money back come April 15.

Put yourself on a daily budget

On payday spend your money like you don’t have any. Pay the bills that are due and buy groceries of course, but with the leftover money, you need to budget it carefully, and here is how:

Divide the lump sum by the amount of days left until payday. That is how much you can spend a day. If you have $200 dollars left and you have 12 days until payday, you can spend around $16 dollars a day.

If you spend only $10 of that money a day, you have $72 left come your next payday. Save that money every month and you have Christmas paid for You may think this is the tough piece, and you wouldn’t be wrong. Especially if you are just starting out on a budget.

You can take this one step further with a food/grocery budget that also factors into a meal plan. Yes, it is work but it is also worth it.

Do some repairs yourself

It used to be that if anything went wrong with your car or appliances you had no other choice but to call a repairman. There is a better way to fix some things and save money: It’s called YouTube. If the blinker light goes out on your car, look up how to replace the bulb on YouTube.

There is a video out there for almost anything and it would be wise to check there before you call the handyman.

Stop your guilty conscience spending

If you are one of those parents who have to spend lots of time away from home working, you may ease your guilty conscience by purchasing extravagant things for your kids to make up for it. Stop spending money and start spending quality time with your kids.

That may only be a few hours every night, but make those hours count by making popcorn and watching a movie together or spend time reading or playing games. This is low-cost time well spent.

How can I Stretch out my Groceries?

1. Properly package and store food

Stop throwing out food by learning how to properly store and package it to prevent spoilage. For instance, don’t trust the flimsy plastic wrap to ward off freezer burn — wrap meat in heavier plastic, foil or freezer paper. And what about bulk foods? Don’t let excess air make things go stale — repackage into smaller containers instead.

2. Do it yourself

If you can take apart a chicken, you can save money buying a whole bird instead of pricier boneless, skinless pieces. (Plus the bones make great soup!) You can also save on prepared and convenience foods with a little DIY — and it’s better for your health.

3. Use as much as possible

Many people throw out bones and vegetable trimmings that can still be put to good use. For instance, chop up broccoli stems and cauliflower leaves for stir fry or steamed vegetables. Stale bread can make tasty croutons, bread pudding or bread crumbs (simply blast in the food processor and add your favourite herbs).

If you do remove the edible peels from vegetables, freeze them for future soup stock.

4. Stock up on low-cost staples

Whole grains like oats, rice, quinoa, millet, couscous and buck wheat are inexpensive despite price hikes, especially when purchased in bulk. (You can cook them ahead of time and freeze them too.) Legumes are less expensive than meat per serving, and frozen edamame beans are packed with protein and healthy fats. Frozen vegetables can fill out any meal or top a salad.

Watch the sales — a can of tuna, chicken or salmon has many uses from sandwiches to salads when you’re running short on time. Canned legumes offer a quick way to add protein to any meal or make a cheap stew.

5. Freeze foods promptly

Don’t wait until you’re sick of a food or realize you aren’t eating it up fast enough. Instead, freeze part of that loaf of bread or casserole within a day when it’s at its freshest. (You can always raid the freezer later on.)

6. Make it a leftover night

Are the remains of this week’s meals accumulating in your fridge? Cut them into smaller-sized portions and serve buffet-style. Need to pad the offerings? Raid the fridge for veggies and dip, make a green salad or toast some crusty bread.

7. Make a single serving soup

Sometimes we’re stuck with a spoonful of this, or a sliver of that — not enough for another meal. Get out a freezer container and slice up that small serving of meat, throw in that last spoonful of rice and add in the cooked vegetables. Then, top it up with your favorite broth. Add some seasonings or black pepper if you prefer, and pop in the freezer or fridge.

Or, simply freeze all these odds and ends for the next time you heat up some soup or stew.

8. Roast those veggies

Have your vegetables seen better days? Roasting will crisp them up and intensify their flavour. You can follow a recipe, or simply chop the vegetables, toss in oil, season with herbs and bake until crispy and brown — about 30-40 minutes at 400 degrees F (depending on your oven). Harder vegetables like carrots and turnip will need longer than softer ones like zucchini, peppers and broccoli.

9. Clean out the fridge with a stir-fry

It’s more of a technique than a recipe. All you need is either a fat (like olive oil or margarine) or liquid (water, broth or ginger tea) to keep the food from sticking and add some flavour. If you’re using meat, cook it first and set aside.

The trick is not to overcook the vegetables. Remember, the ones that take the longest go in first — like carrots, beans, turnip and cauliflower — followed a few minutes later by zucchini or squash.

Vegetables that don’t require much cooking — like peas, peppers and spinach — can be added for the final minute or two of cooking. Keep stirring until cooked but still crisp, and add the meat back in.

10. Turn a salad into a meal

Just about anything tastes good on a bed of greens with a tasty dressing, including leftover cooked vegetables, strips of meat or seafood and grains. A little short on protein? A handful of nuts or seeds can substitute for the meat. Fresh fruits can add a splash of colour and sweetness, or raid your pantry and add dried cranberries, raisins or dried papaya chunks.

Why is There a Rent Range?

Apartments in the same building can vary in price range, and the reasons depend on the market, your landlord and the apartment you want to rent. The difference in rent can work to your advantage, but sometimes you’ll find yourself paying much more than your neighbors. Here are 5 reasons apartments in the same building vary in price range

1. Number of Bedrooms

The price on a one bedroom apartment will be cheaper than a three bedroom apartment in the same building. Why should someone with less space pay the same in rent as someone with an apartment that has more square feet?

Studio or efficiency will cost even less. If you’re looking to save money on rent, find an apartment with the least amount of bedrooms that can meet the needs of everyone living with you. That might mean foregoing an extra bedroom to have as a playroom or home office.

2. Number of Adults

Some landlords charge higher rent for tenants with roommates. You’ll be asked how many adults will reside in the apartment. If the other adult renting is not a spouse, you might have to pay extra rent, and more roommates will cost even more.

Another apartment in the same building will have a lower price range if the tenant doesn’t have a roommate. This concerns people who don’t think it’s fair to charge more for the same sized living space. However, it’s legal and common for landlords to do business this way.

3. Updated Appliances

An apartment building that’s not newly built often has a mix of older and remodeled apartments. Part of the updates will include newer appliances that are not available or brand new, unlike the ones in some of the other apartments. This affects the price range.

Read Also: How to Budget for Personal Finance

For example, tenants are willing to pay for more rent when there is a washer and dryer in an apartment. Some tenants who do a lot of cooking may pay higher rent for energy-efficient stoves or refrigerators. At the same time, you might pay lower for the same apartment that doesn’t offer these same appliances.

4. Patio

A landlord can charge a higher price range for an apartment with a patio, than for an apartment that doesn’t have one. Tenants can garden, cook on, entertain or relax on a patio, and that increases the value of an apartment. Another apartment in the same building with no patio, is not as valuable. There won’t be as much of demand for those apartments.

5. Pet Rent

Landlords may ask for pet rent, if you want to house a pet. This is not the same as a pet security deposit. It’s additional rent on top of what you have to pay for yourself. Tenants without pets don’t have to pay it, which means the price range for apartments in the same building will vary.

The best thing you can do about the difference in price range is negotiate with your landlord for a reduction in rent asked for. The other option is to find an apartment somewhere else.

Finally

With a few smart savings strategies, you might be surprised at how much further you can stretch your money each month. If you’ve ever been left with that sinking, “How am I so broke?” feeling before the end of the month, try cementing some of these positive habits to get things under control.

Keeping your spending habits under control and stretching your cash can be a challenge, but it can also feel really great when you’re successful. It can help you feel more at peace and less stressed out about money. Isn’t that where we’d all like to be?