Ok so it's time to ask for help...I need help.

[crisi]

You can cut that grocery bill down a lot - at least temporarily. There are a lot of "frugal cooking" blogs out there (my favorite is cheaphealthygood and she links to a lot of others).

 

[RachelsMommie]

What is your mortgage?

Try www.e-mealz.com. It'll give you 7 dinner menus (recipes and shopping list) a week. Most weeks, it's around $80 for 4-6 people. That would cut down your grocery bill.

 

[bumbershoot]

One really horrible aspect of all of this is that my dh doesn't do the finances in our house, I do, and he has an idea of where we stand financially - he just doesn't know 100%.

You have to tell him. Sit him down and talk to him.

I have investigated the DR method, in fact I downloaded some of his spread sheets and I worked with them over the weekend - the cold hard fact is that our spending is over what we make - our cc payments are insane (think 25% of our take home) and the amount of fuel we go through a week and we have decently fuel eff. cars (since we both work 1 hour away from home 166 miles a day between my and dh) and the cost of groceries and utlities... honestly we aren't living high on the hog so to speak. It's just way too much going out. I don't have anything to snowball with. My dh helps out his parents before he goes to work and a local farmer (who paid us in beef - as in a whole cow in my freezer). So there isn't much time for him to get another job either...

You're looking too far ahead.

The VERY first thing to do is to get a budget going. Tell your money where to go so you don't have to wonder where it went. That's the FIRST thing to do.

Sounds like you're current with the CCs, just floundering with the minimums, so the other part of the pre-first-step is not needed.

Then you build up a small emergency fund, so that you don't even get tempted to use those CCs. Oh, and you need to stop using the CCs.

ONly after those things are done do you start snowballing! And once you've done those things, you've had practice in finding money where you didn't think you had it before, and it's a little bit easier to think about, compared to how you feel now. You're leaping straight to the snowball, but there are things you need to do first.


Even if you do the CCS, you still need to get a budget going, and if they can get your minimums down for you, you will still need to NOT use the CCs, and continue to tell your money where to go. Now, if they get the minimums down for you but you still use the CCs, or spend the "extra" money, you're not helping yourself.

Start on that budget! IT's the first step no matter how you start this process.

 

[Liberty Belle]

No taking out loans to pay off this debt. I have a lot of credit card debt but it's not from me shopping like a mad woman - some of it has been used to pay the bills because cash was tight. I have looked at the Dave R forms and downloaded them (the budget ones) and I plugged in my numbers and honestly where I am dying is the payments for the CC's ($1035 a month on 4 cards) and groceries!!!! Oh my! I have been clipping coupons for the last month and I have broken out dog food and beauty/laundry supplies so I know how much to spend on those things. The grocery budget is out of control!!!!

I have to say we don't eat out unless it's McDonalds (there are 5 of us so to spend $25 on that is average) or pizza ($5 crappy pizza at Ceasers). We aren't going to Outback for steak or anything. I don't shop for clothes too much and if I do I pay cash but then that makes things tight to pay those darn CC's. There is no wiggle room in our budget at all. Here are some of our bills:
Electric - $82 bucks a month
Garbage - $22 bucks a month
CC's - $1035 a month
Groceries - $range 450 - 700 a month
Dish - $45 a month
Car Ins - $381 a month

UGH!!!!!!!!!!!!!!!!! I am shopping around for the car ins. Michigan has one of the highest ins rates because of no fault soooooo AND my employer won't pay my medical bills if I am in an auto accident SO I have to help pay for my health insurance through my employer and pay for a medical rider on my auto policy - how about that for lousey!!!!

If I could snowball this on my own by not buying that coffee (which I don't buy anyway) I would but that is peas and carrots compared to the bigger picture of not having enough money at the end of the month once all the basic necessities and bills are paid for. Please don't suggest we sell our home either since in Michigan no homes are selling except the forclosed ones or the short saled ones. I am not anywhere near "needing" to walk out on my home, sell it or otherwise. That I won't do.

Whoa! That's a lot for car insurance. OP, I really feel for you.

 

[wdwfan16]

No taking out loans to pay off this debt. I have a lot of credit card debt but it's not from me shopping like a mad woman - some of it has been used to pay the bills because cash was tight. I have looked at the Dave R forms and downloaded them (the budget ones) and I plugged in my numbers and honestly where I am dying is the payments for the CC's ($1035 a month on 4 cards) and groceries!!!! Oh my! I have been clipping coupons for the last month and I have broken out dog food and beauty/laundry supplies so I know how much to spend on those things. The grocery budget is out of control!!!!

I have to say we don't eat out unless it's McDonalds (there are 5 of us so to spend $25 on that is average) or pizza ($5 crappy pizza at Ceasers). We aren't going to Outback for steak or anything. I don't shop for clothes too much and if I do I pay cash but then that makes things tight to pay those darn CC's. There is no wiggle room in our budget at all. Here are some of our bills:
Electric - $82 bucks a month
Garbage - $22 bucks a month
CC's - $1035 a month
Groceries - $range 450 - 700 a month
Dish - $45 a month
Car Ins - $381 a month

UGH!!!!!!!!!!!!!!!!! I am shopping around for the car ins. Michigan has one of the highest ins rates because of no fault soooooo AND my employer won't pay my medical bills if I am in an auto accident SO I have to help pay for my health insurance through my employer and pay for a medical rider on my auto policy - how about that for lousey!!!!

If I could snowball this on my own by not buying that coffee (which I don't buy anyway) I would but that is peas and carrots compared to the bigger picture of not having enough money at the end of the month once all the basic necessities and bills are paid for. Please don't suggest we sell our home either since in Michigan no homes are selling except the forclosed ones or the short saled ones. I am not anywhere near "needing" to walk out on my home, sell it or otherwise. That I won't do.

The stuff in bold must be dealt with ASAP. The eating out and Dish both need to be gone today. Say you eat out once a week. That is $145 in savings by just not eating out and getting rid of the Dish. You will need to do more cooking from scratch too. If you can get an extra $55 from your food bill you would have $200 more each month to snowball at the CCs.

 

[Good Morning Dewdrop]

First of all congratulations for making the decision to grab the bull by the horns and get this sorted out!

Secondly I'm with wdwfan - you should really look at where you can cut more from your day to day/ week/ week expenses. We have "limited basic" cable - people laugh but it's only $18 a month including tax and we get all of the main channels. Also we have dial up internet $10 / month - not fancy but it does the job.

Awhile back I started making a monthly menu - all dinners planned out for the month. It really helps for grocery shopping. Also I put down a once a week shopping rule - I shop on Thursdays - if I forget something basically too bad I'll make do with what we have. It's saved us a lot of money - I'd go in for one thing then end up buying a bunch of this/ that which we would use but we didn't "need".

Ask people you know or post here - look at the suggestions and see how many you can work into your own life.

Good luck!

 

[hanutedmansionmomma]

Good for you for getting things under control!

Totally agree - your car insurance is really high...I pay $43 month...

In addition to meeting with the credit people, I would strongly suggest you do some legwork on your own - you can get things (payment amounts, %age rates, even get a few months off from payments) changed with credit cards.
You might even be able to get a set a budget amount for your electric bills, etc...just by making some calls. The Dish folks won't want to lose you, so I bet if you call them and tell them you're thinking about dropping they might offer you a deal for so many months.

Do you have an Aldi's in your area? The groceries there are really inexpensive. Try to empty the cupboards before you make your next shopping trip.

Good luck! Let us know how things go

 

[mousefanmichelle]

Oh I know I could get that grocery bill down I just don't know how. We don't eat out a ton - probably not even 1x a week.

For the person that asked our mortgage is 1125.00 a month (that includes taxes and insurance).

In all of my married years (18) I have never budgeted. I don't know how and it is very overwhelming to me. I am going to call and cancel our home phone and then I am going to call DISH and get a cheaper package. I have called the car ins. co. and am waiting to hear back on what they come up with. I only have 1 car payment and that is paid off next year. The car payment is only $193 a month - so not terrible.

I am going to try the e-mealz.com someone suggested and see what that does for me.

Keep the ideas coming - I am loving everyones creative ideas and I can't thank you guys enuf!!!!!

 

[MyDizneyBoyz]

Oh I know I could get that grocery bill down I just don't know how.

Here's an easy way to start - make a menu for the week. For us, it's pasta and meatballs on Sunday, stir fry on Monday, crockpot on Tuesday (with whatever meat is on sale that week), sandwiches on Wednesday (quick, easy, the kids love it!), some sort of chicken dish on Thursday, fish on Friday and Saturday is leftovers or something on the grill like turkey burgers or sausages. With each meal we have a salad and I toss a bag of frozen veggies in the microwave. Breakfasts are usually cereal, pb&j, pancakes (from a mix - very cheap), etc. Lunch is sandwiches, salads, etc.

I get the Sunday paper delivered in the morning and then Sunday afternoon or evening after the kids are in bed I sit down with a cup of coffee (decaf... ) and go through the circulars to get an idea of what's on sale. I make up a list based on what's on sale and what I have coupons for and then sometime on Monday I go grocery shopping (I work full time but my schedule is flexible so I can go during lunch). I get EVERYTHING we need for the week and don't deviate from the list.

As you run out of things or run low on basics, keep a list on the fridge so you can get them on your next weekly trip.

Having a menu and keeping your shopping trips to just once a week really cuts down on the stress of "what the heck are we eating tonight?" and also keeps you from wasting food. You'll be buying just what you need and won't be tossing out things you bought on a whim.

So long as you have some flexibility in your menu, it won't get boring and you can always change it based on what's on sale and if you have family favorite meals.

Keep a few boxes of pasta and jars of sauce in your pantry for quick, cheap meals in case something unexpected comes up.

It takes a bit of time and a little work to plan out a menu every week but it's a great way to save money and help you feel more in control of your food budget.

Oh, and we also have a "snack basket" for the kids (3 growing boys - oy vey!) with fruit, pretzels, sunflower seeds, etc. I fill it up early in the week and when it's empty, that's it until my next trip.

 

[Karenj2]

I had never budgeted until 2005(?) when I lost my job and DH ended up on long-term disability, which caused us to go from a combined income of close to $200k to only ~$50k. We had to QUICKLY look for a solution - luckily we were still able to pay off our CC in full each month, but we were definitely spending more than we earned.

We cut back on EVERYTHING (called cellphone, home phone, cable, trash, etc.), plus started a budget. The software program I found is called www.ynab.com (You Need A Budget), it costs $$ (less when I bought it), but what I love about it is that one of the features of the program is that it helps you to save up a "buffer", so that eventually you are able to live off of LAST month's income. No more overspending (plus, you have a buffer of one month's living if God forbid you have a crisis). We've been able to put away money towards an emergency fund so that if either one of us loses our jobs, we'd be able to stay out of debt while looking for a new job.

As others have said, you HAVE to account for every penny when you're in debt, because every penny you spend (even on gum, candy or coffee) could be spent on your debt & interest.

Regarding your groceries - examine what you buy there... Do you buy name brand items? Go for store versions. Are you eating what you buy, or do you end up throwing it out eventually? (I'm bad about salads - they always go bad...) Are you buying junk food/processed food? Cut those out & you'll save money and get more healthy! Try to buy fruits & veggies that are in season only... Do as someone else said, and get creative with your meals, and eat out of your pantry/fridge for a while.

Good luck!

 

[CdnCarrie]

First thing I would do is cancel the annual WDW vacation. At least skip next year for sure. Put all that money towards the credit cards.


Good luck!!

 

[hanutedmansionmomma]

In all of my married years (18) I have never budgeted. I don't know how and it is very overwhelming to me.

I started by tracking everything in a simple excel spreadsheet. List out your actual income and subtract out everything you are spending for a month. I have a line item for each expense; cable, instrument rental, groceries, etc...See if you can beat it the next month (groceries, for example). If you have any left over you can start putting it on those nasty credit cards. It's really eye opening to see everything on one sheet (and heck, excel can do the math for you!)

 

[crisi]

There is a tendancy to fall into the "I need" or "everyone has." You need to remember that really - not everyone does.

We have two really good jobs and a high household income. You know what we don't have? Cable. Or Dish. We also don't have a $700 a month grocery bill (about $500). We don't go to Disney every year. I don't carry an expensive purse. My kids don't do expensive activities.

I'm not saying this to brag. I'm saying this because its really easy to fall into the "everyone has/does and I want to toos."

Did my kids fuss when I took away cable? Yep. My husband doesn't get to watch sports either (he only whines a little - he was getting pretty sick of the junk). Will it come back? - maybe. But we had a $60 a month bill for stupid Disney channel shows that we could get off Netflix instantplay (we do have a good high speed internet connection - we need it for work). Would I like to go to Disney every year - maybe. Would I like to go whole hog on the groceries, yes. My daughter would love to do gymnastics again, but $200 a month for a kid without a lot of talent isn't in my budget (and thank got she doesn't have a lot of talent because five figures worth of training and travel ain't happening either) But I have two kids to put through college and a household income where the financial aide people might not laugh IN my face and save it until I leave the room. I can't afford to do all the things "everyone else" does.

 

[SandrA9810]

First thing I would do is cancel the annual WDW vacation. At least skip next year for sure. Put all that money towards the credit cards.


Good luck!!

Did you not read the post that stated those were gifts from her father?


Any case. Good luck with the food budget. Sounds like that's a major culprit. And look at other natural reciepes for cleaning products and stuff. It's crazy expensive for some of that stuff, and keep that seperate from your food bill.

Florida is another no fault state, and for like 2 months, they almost let it lapse, but people in office decided it needed to stick around. But even the insurance for 2 cars was 120 monthly in orlando, now in ft lauderdale it was like 150 just for one car. I know until your car is paid off, you need full coverage, but is there anyway to go with a higher deductible to lower your payments? I would do a double check on your report and background check. Make sure there's nothing negative or some one else's ticket showing up that could be raising your rates. And is there a convience fee for paying monthly?? Once you get this snowball started, maybe you could pay it off each statement and save yourself a few bucks each month. 3$ fee is an extra 40$ a year you could be using towards the CC.

 

[minnie1928]

We cut back on EVERYTHING (called cellphone, home phone, cable, trash, etc.), plus started a budget. The software program I found is called www.ynab.com (You Need A Budget), it costs $$ (less when I bought it), but what I love about it is that one of the features of the program is that it helps you to save up a "buffer", so that eventually you are able to live off of LAST month's income. No more overspending (plus, you have a buffer of one month's living if God forbid you have a crisis). We've been able to put away money towards an emergency fund so that if either one of us loses our jobs, we'd be able to stay out of debt while looking for a new job.

Karen,
Where ya been!? I've missed seeing your YNAB recommendations for a while. I'm guessing the new baby has something to do with your absense... (Congrats!)

 

[Ava]

Any case. Good luck with the food budget. Sounds like that's a major culprit. And look at other natural reciepes for cleaning products and stuff. It's crazy expensive for some of that stuff, and keep that seperate from your food bill.

This is a great suggestion. You can use plain old white distilled vinegar (very cheap, especially if you buy it in the big jugs) to clean just about anything. Added bonus, it's completely non-toxic. It also doesn't smell at all once it dries. (There have been whole threads on this board about all the uses for white vinegar, a search should bring them up.)

If you buy a lot of convenience foods, cutting those out as much as possible will really help with the grocery bill. Produce that is pre-cut and/or pre-washed is almost always more expensive than buying the whole veggie/fruit & preparing it yourself. (Also produce keeps longer if it's unwashed; being wet makes it decay faster.) Also don't buy anything in pre-packaged individual servings - small bags of chips/cookies, those 100-calorie pack things, Lunchables, those little cups of veggies & dip/tuna & crackers, etc. They're all overpriced, because you're paying extra for all that packaging.

Another way to reduce your grocery bill is to eat more meatless meals. You can make so many meals with different grains/beans/pasta & veggies. There are also a lot of combinations of the above that provide complete protein (Google complete protein for vegetarians), or you can use dairy & eggs for protein as well. (This may not be popular with the meat-lovers in the family, but it's great for the budget.)

 

[mousefanmichelle]

Even though I have large credit card debt it's not from "keeping up with the Jones'". We have a small business that my dh operated and some of the debt is from buying eqipment for that business. We aren't doing it anymore for the most part.

Some of the debt is from groceries and fuel for the car and yes some is from clothes for 3kids and myself or the occasional household item. By no means are they designer clothes (no Coach purses for me) and I do buy clothes/shoes on sale mostly at Kohls or Penny's etc... I just never really scrutinized the purchases - I would rationalize it in my mind that we needed it for this or that. I was wrong. I know that.

My kids aren't in costly extra curricular activities & I don't pay a babysitter to watch them - in fact I made my oldest son pay for his own drivers training and 1/2 of his class ring this year so that he has greater satisfaction in having these things.
Part of the other thing is that my dh nor I have had a raise in 3 years and our expenses are increasing.

And those trips in my ticker....ahhhhh....good times, good times.... well as I said before they were trips from my dad starting in 2008. The other trips were with our friends in their timeshare ($0.0 for accomodations, we drove and we did 1 park and paid cash for it all with our income tax returns oh yea we also cooked in the condo).

 

[mousefanmichelle]

This is a great suggestion. You can use plain old white distilled vinegar (very cheap, especially if you buy it in the big jugs) to clean just about anything. Added bonus, it's completely non-toxic. It also doesn't smell at all once it dries. (There have been whole threads on this board about all the uses for white vinegar, a search should bring them up.)

I actually have switched the fabric softner in the washmachine to vinegar and last night I mopped the kitchen floor with hot water and vinegar! Worked Great!!!!!!!!!!!!!!!!!

See I am learning

 

[MEM]

If you are feeling brave, you might also try posting your household budget on the Living Like No One Else forum - for fans of Dave Ramsey http://llnoe.com/ You have to register, but its free. Those folks tend to be blunt, even harsh, but its tough love that many people need. Those people can get blood out of a stone.

 

[PebblesMom]

DH and I were in a similar situation and the hardest part was getting the money together to get the snowball going! It is hard when you don't have the $$$ to even pay for what you need every month, let alone extra to pay off balances. We had to cut our grocery budget and we plan meals ahead based on what is on sale, we cut the cable completely, and I started making more at home from scratch (cleaning supplies with vinegar, laundry soap, bread etc.). Before, the budget was always a point of contention with us and now it is almost a game to see who can save the most $. We work opposite shifts (and have 2 little ones) so there is not any room to get an extra job, so what we did was see where we could save. We have two boys that I did not want to go without while we were working toward being debt free, but we didn't want to spend a lot either. We looked around and our local Children's museum is free one day a month, we go and pack a picnic. We go to the park for the nature programs (free). I was amazed at how many free activities there are for families. We cashed in our reward points on our cc's for gas gift cards which was $100 one month! Sold clothes at a consignment sale and made $50. It was small things like this that finally got our snowball going. We are still working on our debt, but having a plan and working toward that plan has taken the stress out of our finances!
Here is a thread I found to be fun (and food for thought)! Good Luck
http://www.disboards.com/showthread.php?t=2427097