Sunday, September 30, 2012

31 Days to Financial Freedom, Day 1: Composting

Welcome back, friends.  And if you're new here, welcome new friends! 

Here at the Penny Pinching Family, we're working on taking stress out of our lives, and we're starting with the constant stress that comes from overspending.  If you're new here, I encourage you to check in on our progress from the beginning of September to date, starting here!

Overspending isn't about taking everything "fun" out of our lives.  Sure, we're not taking any trips for a while, we've stopped eating out, and shopping is just out of the question, but we can still have fun and do the things we want to do!

I have wanted to start a compost pile for quite some time.  We have big plans for a vegetable garden next year, and I loved the idea of our food waste being put to good use and not going to a landfill.  I did some research and found tons of great tutorials for compost containers, but all of them involved spending money (we currently don't have any empty tubs, which was the easiest tutorial I found), and that extra money just isn't in the budget this month.  I finally came across this tutorial on Friday, and got very excited because I happened to have three pallets (two from the new roof we put on at the beginning of the summer, and the other from some construction work my parents did at their house).  I talked my husband into doing it and . . . BEHOLD!  Our new compost bin:



 
It's nothing fancy (or attractive), but it gets the job done!  We screwed the pallets together together where we could, which was three screws in each side.
 

 
We used a piece of plywood that's removable on the fourth side to make it easy for us to get into it but more difficult for the dog to get into.  We filled it up about a foot with soil, leaves, and some plants that I forgot to water died of natural causes. 
 
 
 
We used a watering can to get it damp, and started filling it up!  It's relatively close to our house, but far enough that I don't want to walk outside every time I cut the tops off a strawberry or peel some potatoes.  We devoted a small bucket under our sink that will hold the "compostable" items (spell check says "compostable" isn't a word.  I beg to differ). 
 
 
It will be Piglet 1's chore every night to empty the contents of the container (so far he's excited, we'll see how he feels tomorrow), and we'll stir up the goodies every other day or so with a pitchfork or a shovel.  I have a list on the refrigerator door that shows compostable items, including but not limited to: potato peels, fruit rinds, coffee grounds and filters, moldy bread (tore up), tea bags, pumpkin guts, egg shells, etc.
 
We are very excited to see a reduction in the amount of waste we take to the curb every Monday for trash pick up.  It was also rewarding to accomplish something we've always wanted to do for free.  Before, we would have went to the lumbar yard and probably spent a whole lot of money we didn't have.  I'm all about free!  Who isn't?!
 
This is my first post in the 31 Days to Financial Freedom challenge.  Check back here every day to see the newest post.  You can expect craft projects, money saving tips, recipes, and much more during the 31 days of October.  

Friday, September 28, 2012

September Finances, Part 2

This is our budget for the month of September. I used a template that I found online, but someday I'm going to take the time to actually make our own. As you can see, there are a lot of "0" amounts for the project cost and actual cost, but once we build up the liquid cash we have, I want to start budgeting amounts to home repairs, car repairs, etc. Also, some of the things are include in other bills, or we just don't use (like bus/taxi fare). I put our entire utilities bill into the electricity bill, but that also includes our water and sewer. Our homeowners insurance is included in the price of our mortgage payment, our life insurance comes out of my paycheck, and our health insurance comes out of Penn's. Our income is what is actually deposited into our account.

Our Project Balance had us in the hole for $4, but that didn't take into account the balance we had over from August.  There are a few things left unpaid this month (medical, loan repayment to my parents), but I've worked out a deal to start paying that in October. 

We're also including our savings in our budget like it's a bill.  $200 of my paycheck is deposited every pay period into a separate account at a different bank.  In the past, we've often had to withdraw that money to pay our bills.  Right now it's functioning as a way for us to save up $900 to pay off the couch, with a current balance of $400 (we'll have $600 next Friday with the deposit from my paycheck).  Eventually, that account will hold our 8 month emergency fund!  Our goal is to save $30,000, but I'm guessing it will take us about 10 years to do that.

The "Actual Balance" should match pretty closely with what the check book register/registry said.  I've been keeping a running total, and this template rounds all inputted data, so it's normal for it to be off by a dollar or two. 

So here it is!  Our budgeted expenses, both projected and actual, for September.


PROJECTED MONTHLY INCOME Income $3,483
Extra income $3,000
Total monthly income $6,483
     
ACTUAL MONTHLY INCOME Income $3,673
Extra income $3,000
Total monthly income $6,673

PROJECTED BALANCE                                                       (Projected income minus expenses) ($4)
ACTUAL BALANCE                                                               (Actual income minus expenses) $318
DIFFERENCE                                                                         (Actual minus projected) $322

TOTAL PROJECTED COST $6,487
TOTAL ACTUAL COST $6,355
TOTAL DIFFERENCE $132

HOUSING Projected Cost Actual Cost Difference
Mortgage or rent $619 $619 $0
Phone $103 $202 ($99)
Electricity $180 $360 ($180)
Gas $20 $110 ($90)
Water and sewer $0 $0 $0
Cable $55 $55 $0
Internet $49 $220 ($171)
Maintenance or repairs $0 $0 $0
Supplies $0 $0 $0
Other $0 $0 $0
Subtotals $1,026 $1,566 ($540)
TRANSPORTATION Projected Cost Actual Cost Difference
Vehicle payment $284 $284 $0
Bus/taxi fare $0 $0 $0
Insurance $88 $88 $0
Licensing $0 $0 $0
Fuel $350 $257 $93
Maintenance $0 $0 $0
Other $0 $0 $0
Subtotals $722 $629 $93
INSURANCE Projected Cost Actual Cost Difference
Home $0 $0 $0
Health $0 $0 $0
Life $0 $0 $0
Other $0 $0 $0
Subtotals $0 $0 $0
FOOD Projected Cost Actual Cost Difference
Groceries $400 $321 $79
Dining out $0 $43 ($43)
Snacks $10 $5 $5
Subtotals $410 $369 $41
PETS Projected Cost Actual Cost Difference
Food $30 $0 $30
Medical $0 $0 $0
Grooming $0 $0 $0
Toys $0 $0 $0
Other $0 $0 $0
Subtotals $30 $0 $30
PERSONAL CARE Projected Cost Actual Cost Difference
Medical $100 $0 $100
Prescriptions $30 $30 $0
Clothing $0 $0 $0
Dry cleaning $0 $0 $0
Health club $0 $0 $0
Organization dues or fees $0 $0 $0
Other $0 $0 $0
Subtotals $130 $30 $100

ENTERTAINMENT Projected Cost Actual Cost Difference
Netflix $17 $17 $0
Movies $20 $20 $0
      $0
      $0
      $0
      $0
      $0
      $0
      $0
Subtotals $37 $37 $0
   
LOANS Projected Cost Actual Cost Difference
Personal (Mom) $50 $0 $50
Penn's Student Loan $125 $185 ($60)
My Student Loan $0 $0 $0
      $0
      $0
      $0
Subtotals $175 $185 ($10)
Daycare Projected Cost Actual Cost Difference
Piglet 2 $400 $500 ($100)
Piglet 1 $75 $91 ($16)
      $0
      $0
Subtotals $475 $591 ($116)
SAVINGS OR INVESTMENTS Projected Cost Actual Cost Difference
My Account $40 $40 $0
First Federal Account $400 $400 $0
Leftover Balance $0 -$486 $486
Subtotals $440 ($46) $486
Misc. 1 Projected Cost Actual Cost Difference
Tuition Payment $2,912 $2,912 $0
School Pictures $33 $33 $0
Party $40 $90 ($50)
Subtotals $2,985 $3,035 ($50)
Misc. 2 Projected Cost Actual Cost Difference
School Supplies $27 $27 $0
House Cleaning (August) $30 $30 $0
Checks cashed at Hospital $0 $30 ($30)
Returns $0 -$127 $127
Subtotals $57 ($40) $97