CasaCullen

Personal Peek: Finances - How I Saved My Family $626 Per Year

Trash Services

So I've been wanting to do this for some time and it's been on my to-do list for longer than I'd like to share. We aren't trashy people, ha! No really, we recycle everything under the sun and we just don't have that much trash. We pay for weekly trash pickup but rarely put our massive city assigned trash can out by the road every week. Most of the time, it's every other week and sometimes we skip two weeks. I knew we were paying this big bucks for the mega 96 gallon superstar we had...but it's what 'came with' the house so I've just been too busy lazy in changing it.

Today was the day, people! I called up the City of Austin and talked to the girl on the phone. There is a surcharge of $15 to upgrade your trash can size but there is no charge to downgrade. Cha-ching! She laid out all the options we could choose and I opted for the next smaller size. The 64 gallon can. She said if it was still too big, we could downgrade again, for free again. So we'll see how manageable this size is for our weekly trash and go from there. Here's the savings we'll accrue over the next year by making this switch that only took about 5 minutes of my time.

Then: 96 gallon can for $22.20/month

Now: 64 gallon can for $10/month

Savings: $12.20/month

Yearly Savings: $146.40

Internet Service Provider

Another item on my to-do list has been to cancel our cable and just have internet. Why? We just don't watch that much TV anymore. We used to devour hours and hours pre-Nash but now we're lucky if we can even fit in ONE of our fave 30 minutes shows. And people, that's even with fast forwarding through commercials because of our DVR service. I do love me some commercial fast forwarding DVR, I must admit.

We are also attempting the 'no TV till Nash is 2 years old' routine in our house which is something we've chatted about at length and decided it's for us. Another blog post on that will come in the next few weeks so keep your eyes peeled. And we also have started going to the library (we love the Books & Babies class with Miss Heather at the Pleasant Hill location) which has an amazing selection of DVDs to borrow (we're in the midst of HBO's hit series The Pacific right now) so we're not even feeling like we need all those shows anymore, anyway. Another post on why I love the library soon too.

Ok, back to today's post...good ol' Time Warner and why we were about to opt out. So I called today and asked for the cancellation department. Told him exactly why we were going to cancel. It's highway robbery (the prices) and why we're downgrading to only high speed internet. Upon chatting at length with Paul (who was wonderful, by the way) he explained what he could do for me and what my options are. No contracts, just options.

No joke, by the time I got off the phone...I'm not only keeping our cable and only downgrading our high speed internet from 25mps to 15mps, but I'm also adding a land-line phone for $40 less per month. Yep, you read that correctly...$40 less than what we pay. I've heard other people say that if you call a provider and ask for cancellations that they really are the only ones that are able to finagle some serious deductions/deals but I had never tried it. We were all gung-ho and ready to be cable-less so it really didn't matter to me what 'deal' he threw my way.

So where did he get me? Internet as a single service would be close to $70/month, without taxes and fees. Yowza, right? For only $20 more per month, we can still have our cable, internet and an added home phone line too. Walt's previous job paid for our home internet but now that it's out of pocket, it's one total bill we've been wanting to downgrade for some time. Like I've told many of our friends, even though we can pay for it, doesn't mean we want to pay for it, ha! Here's the new breakdown:

Then: Cable/Internet for $148/month

Now: Cable/Internet/Phone for $108/month

Savings: $40/month

Yearly Savings: $480

So I'm pumped that I saved us over $626 over the next year. Now don't get me wrong, that might just be chump change to some of our readers but for us that means a really nice addition to a college fun or our emergency fund too. In this kind of economy and the way we like to truly 'know' where our every dollar goes, these changes (though small) do have a big impact on our budget. Maybe you've been wavering with getting rid of cable or downgrading your trash can size? Hopefully this post inspires you to take the 15 minutes to call your provider and ask about options. I just put the ol' iPhone on speaker and read a book to Nash while on hold. It was a win-win all around!

PS - I'm absolutely doing my due diligence to see what Time Warner's main competitor (AT&T) will offer us as a bundle package, etc. Again the bundle that Paul offered me was a no contract bundle so I can get out of it at ANY TIME if I find a better deal.

Personal Peek: Finances - We're Leading/Facilitating Dave Ramsey's 'Finanacial Peace University'

Just the other day I realized we hadn't even told our readers about this amazing new adventure we're half way through. A leader at our church heard that we recently became debt free (more on that HERE) and asked us if we'd lead/facilitate Financial Peace University. This is a 13 week program so we actually had to really think about whether or not we were ready to commit. THIRTEEN Thursday nights in summer...that's quite a bit to commit to. But we decided it was something we really, really wanted to do. Now we're half way through it and want to share what we've learned so far, with you.

The same page, finally!

For years, I've been the keeper of the checkbook. I admit it, I'm way more frugal than Walt. He's one of the most generous/giving men you'll ever meet. I actually look back and love when he was in charge of the money. We went out to extravagant dinners, I got amazing gifts and we traveled non stop. Fast forward to penny pincher Mo at the helm and we're doing a lot less of all three but have a savings cushion that provides us both with so much security.

It was always a push/pull and struggle for me to get Walt on the same page, as far as our savings goes. He really just didn't get it. He's not a saver, doesn't like to save, doesn't really live for the future. He's my Mr. Spontaneity and really does live for today. I, on the other hand, am always thinking about our future and maybe live too much for tomorrow.

Through FPU, we've been able to not only learn how to balance our money personalities to better understand each other but we both are now on the same page, financially. Walt finally gets why we need to sock so much money aside every month to build our emergency fund and he understands why I won't let us buy anything on a 0% interest credit card. It's been amazing to see how much he's come over to my side of things and now we're more of a team, playing/saving toward the same goals, and less a tug-of-war struggle to decide where every dollar goes, like before. I like it this way...that's for sure!

Goals, in synch!

For years and years, we've discussed how we'll 'spend' our money. Whether it's our yearly vacation, home improvement project or savings. There was always this running discussion of new ideas for where to spend our extra income. Since Walt does sales, some months we have a windfall. Since I work from home and bring on new clients all the time, some of my months are much more fruit-full than others. We haven't had a stable 'know what we make every month' type of income in years, so we've really learned to roll with the punches and deal.

With that being said, FPU has finally taught us a great way to prioritize those expenditures on our to-do list and agree on them together. We now have a list that covers everything from a new dresser to new tires to totally re-hauling the kitchen. Starting at number one, we've decided what is the next most important item for us to purchase and we work towards that goal. It's really great to see goals being knocked off our list. We only add goals over $250 to our 'Work Towards' list. It's again, helped us have a better team mentality and work together for a common goal.

Sense of security!

No matter what anyone says, when you find out that lil' sweet baby blessing of a surprise...it really is an adjustment in your thinking. All of the sudden, everything we do and money we spend, we're already considering this tiny growing being in my tummy (whom I recently felt move for the first time, YIPPEE!) It was a joyous day when we found out and totally hilarious that it was the same day we became debt free (more on all that jazz that HERE.) Did we feel secure with where we were financially, even though we were debt free? Nope, nada...no way, jose!

I actually think, at first, we went into freak out mode. In our mind, the perfect plan was to spend 2011 saving, saving, saving. We wanted our 6 month emergency fund (six months of living expenses, totally liquid) totally furnished and full. Then we decided it was baby time. But God laughs at our planning and we now know how much it doesn't even matter.

FPU has taught us that this will always be something we strive towards, greater financial freedom. That we'll never totally be satisfied because even when you think you're kids are all taken care of, then they have their own kids and you start thinking about your grand babies. So yes, there comes a point in ones financially journey where you just have to sit back and appreciate all the strides you've made and the journey you've taken. We're really trying to do that now.

Do we have a sense of security? If you ask me...I'll say yes. If you ask Walt...he'd most likely say no. But we've discussed this over and over again because that's a big difference between a good man with strong work ethic. He says even if he was a millionaire he'd still worry about making sure he's always providing for us, etc. Bottom line, we're both trying to work towards a marriage where we celebrate our achievements. LIke recently we've already saved 2 of the 6 months and hope to have 3 months fully funded before the baby arrives! That means we have three months of total living expenses, just in case. Now, there's got to be some sense of security in that!

Changing lives...changing habits!

We are actually getting this great front row seat to some serious life changing, including our own. We have 11 people attending our FPU class and we are so impressed with their diligence, willingness to change, openness and resourcefulness too. We've heard stories that make our jaws drop and stories that make us squeal in delight. Oh ok, you're right, I'm the only squealer. We've seen spending habits and consumerism come to screeching halt in some marriages and one of the singles in our class has a paid off car now. I mean, these a mini milestones to some, but in the grand scheme of things...lives are changing!

What we hope to gain from FPU and for our marriage is a better understanding of money and how it can deeply hurt/hinder growth in a relationship. The statistics are staggering as it's one of the biggest divorce triggers/catalysts out there. Walt and I were raised in homes that discussed finances very differently and we're hoping to marriage some of those key core values and add in a whole bunch of our own for this beaner head, we've now strategically named...baby Malt, ha! No, don't worry...that's just a fun name for now!

What I hope you takeaway from today's post is to really take a good look at your relationship and your finances. Does it cause marital bliss or battles? Are you single and hate the fact that you aren't saving more? Or maybe your married and have no idea about any of your financials in the family? Open up the conversation, talk to your partner or seek someone in your life that's more financially savvy and have a heart to heart.

I know this is such a hard time on so many, financially, so I feel blessed that we're able to come out on top and still sock away savings...but I do think everyone is capable of always figuring out how to better their marriage/relationship/themselves through finding greater financial peace through making the right choices. Always feel free to email us with any questions or comment below! We love our readers and feel blessed to have you love, support and encouragement on a daily basis!

Personal Peek: Finances - We're Debt Free!!!! (Except the House)

I still can't even believe I'm typing this. The only debt we have to our names is...CasaCullen: our home. This is just bonkers and I'm still totally just trying to grasp it. We paid my last student loan payment on Saturday, April 2, 2011. I know that date will always mean something totally surreal and real for us.

We've worked really hard over the last two years, being super budget minded and thinking through every single expense. Before that, we spent about 2 years being semi-focused on our finances...but it's the last two years that really had us chugging along with our end in sight. Before those four semi-focused and intense years, we spent money like we were millionaires. Seriously, I laugh out loud looking back at the way we spent money when we were first married. Oh well, it was surely FUN!

If you're asking yourself why in the world am I sharing all this information with you it's because we want to really, truly inspire other young homeowners to do the same. I know this is a generation that lives beyond their means and doesn't even think twice about throwing thousands of dollars on a credit card (believe me, we've been there and pulled out the plastic) but we're here to tell you there's another way, another approach.

We really want you to know we're not wanting to come across as bragadocious but we're real life people with real life finances and real life fiscal struggles. We were totally able to live frugally, under our means, to pay off all of our debt. So how much have we paid off...well there's a few different schools of thought on this one:

Debts

My debt - When I met Walt in January 2005, I had nearly $21,000 in student loan debt.

His debt - He was debt free when we met and had even just paid off his/our Nissan Xterra. Uh yeah, are you thinking what I'm thinking...suh-weet! Totally a catch, that Hubby! He had a good amount of savings but spent a big chunk on my ring(s) and our honeymoon.

Our debt - We were married, in addition to my student loan, I took out a $10,000 business loan for a start-up wedding gown design company. We sat on these amounts for a few years and paid the minimal amount. Then we decided to move from St. Thomas to San Francisco. Unbeknownst to us, we chalked up a bit of credit card debt during that year we realized living expenses in San Francisco were more than St. Thomas so we needed to get things under wraps.

We had (I'm guessing) at that time, the below amounts. Even when I look at them they don't seem that high, compared to what some of my friends and family members have accrued. But I guess I now know the hardship and persistence that goes into paying down debt and living a frugal and fiscally responsible lifestyle.

$18,000 in student loans

$10,000 business bank loan

$5,000 in credit card debt

The long road: So how the heck did we pull this payoff off? I still don't fully know. I just know that I started reading and listening to Dave Ramsey religiously. I listen to his show online HERE (actually, they're gabbing in the background right now while I type up this post) and I know not everyone has the luxury of working from home like I do, but you can also download his podcasts too. I think the more you listen about smart spending, savvy saving and thrifty purchasing...the more you practice it in your everyday life. We also signed up for Mint too which helped show us, first hand, where we were spending in excess. Both of these finance sites we highlighted on THIS great post, so make sure to check that out.

The plan: First up, we paid off the bank loan. Why? It had an insanely high interest rate. Once that was paid off we kept paying off and re-purchasing items via our credit card. Ya know, I have to explain our spending habits. It wasn't that we didn't have self control, it was the fact that we had some serious curve balls/life changes that came our way. Hubster got laid off in San Francisco and we decided to move to Austin where construction was still strong.

That half-way across the country move, coupled with the fact that we went without working/searching for jobs, had us back in the hole and caused us to spend some of our savings. For more than two months neither of us worked and it was really hard. As soon as we both got jobs we were back on the wagon and made a huge turn for the better. We paid off our credit card quickly and started whittling away at my student loan. Every extra penny we got we put towards our debt. It's hard to get bonuses or pick up added freelance work and not just reward yourselves.

What we started doing was rewarding ourselves in ways that were still in our budget like eating out twice a week instead of only once. Well, fast forward a year and a half and that student loan is gone and we have some serious moolah back in our liquid savings/emergency fund. We were also recently blessed with a wonderful blessing, an inheritance from my Grandparents...that helped us make it through the last push!

From here on out

Pay it forward - First of all, I tip my hat to the fact that my Grandparents weren't only parents to five children and their spouses but they also had 14 grand-children that were all provided with a lump sum inheritance. All I kept saying to Walt was, 'How in the world did they save that much money? He was an optometrist and she stayed home with the kids! How did they do that?' What I would give to sit down with my Grand and pick his amazing fiscally successful brain. Unfortunately, we can only toast to them, their saving success and truly thank them, up above. But one thing we're absolutely certain we'll do is pay it forward. We'll be generous with our money once everything is in line and we're in the clear, that's for sure!

Our goals

Emergency Fund - For this year, we want to get our 5-6 month emergency fund totally filled up. That means we need to put 5-6 months of savings in a liquid account to easily be able to take the money out in case of an emergency. We've been through a layoff, we've moved twice in the last five years and we know what that can do to our pocketbook and savings. This strong savings foundation will be something really huge for us as neither of us are the best at saving money. We already have about 2 months, so we're getting there.

My retirement - We also have Walt's retirement funds in our savings portfolio which always make me so proud of all the years he's worked so hard and put so much aside for later. One thing we're focusing on over the next few years is we really need to boost my retirement/Roth IRA contributions. Don't get me wrong, it's such a joy being my own boss, owning my company, making my own hours...but if I'm not socking some of it aside for retirement, I'll be singing a very different tune later in life! So we also need to ramp that up now that we're debt free!

Mortgage - After we have these two scenarios locked in and figured out with our budget, then we'll start paying more every month towards our mortgage, so that we can pay this honkin' house off in way less than...30 years!

***

Again, we can't let the post go live without highlighting these two sites; Mint and Dave Ramsey. If you haven't signed up for Mint, do it now. And if you've never read Dave Ramsey's Total Money Makeover, go buy it on Amazon, state! These two have immensely led to our financial success, peace, teamwork and partnership. It was a hard road for Mr. Handsome Hubster because he's the more generous partner and I'm absolutely more apt to be our lifelong saver/frugal fannie. I do love how much we balance each other out in so many ways...I'm constantly reminded at times like this, that our counterbalance only means I've truly found my person.

Psst - We're I'm contemplating calling into the Dave Ramsey show on Friday and doing the debt free scream. If you're a listener, you know what I'm talking about so make sure to tune in this Friday...we'll really try to get on and give you a super loud scream!

Personal Peek: Six Ways We're Bettering Our Finances in 2011

We've tackled everything from culinary goals HERE to home remodeling plans HERE to possible home decor purchases we're hoping to make in 2011 HERE. Ok but honestly, how are we ever going to make these dreams a reality without some serious capital? Exactly, we aren't! So one of our biggest goals (which it is every year and every year we get better at it) for 2011 is getting our finances in better order. Check out the six sites below that have helped us create better financial freedom thus far:

1. Dave Ramsey

Why we love him: Umm, he's a money magician. But in all honesty, Ramsey has always been a top fave of CC's and we just did a quickie refresher course on his Total Money Makeover book and are elated, once again, with how much info is packed into those 245 pages! If you're new to the finance world and have some debt to eliminate, I'd highly suggest you start with Ramsey, especially his envelope system, which we've vowed to adopt in 2011.

Find him HERE

2. Suze Orman

Why we love her: Yep, Kristen Wiig does an awesome Orman on SNL and we laugh our lil' arses off, but this lady will revolutionize the way you spend and save. We've read her Young, Fabulous and Broke book and really walked away with some amazing knowledge on debt consolidation. Her book was a great guiding tool the year before we purchased good ol' CasaCullen. Definitely check her out if you want to learn how to save better and aren't sure where to put your extra money!

Find her HERE

3. Smart Cookies

Why we love them: So we just finished Smart Cookies book last night and love, love, love it! Their story is so unique and amazing (read more on that HERE) and can truly inspire any woman to take a good hard look at her financials. With real-life scenarios and great advice on not cutting out all spending, but how to better manage it, we give these five gals a high five to relatability!

Find them HERE

4. Daily Worth

Why we love it: Once again, we're oozing some financial girl power. I know, I know...we already told you about this site HERE. But we actually found out we only have one degree of separation from site creator Amanda Steinberg. Thanks for that, Sanja and yes we actually felt totally popular. Everyday, we eagerly await the informative email newsletter. Why? It's chock full of financial info that'll inspire you to get control and learn more about your finances, money management and investing. Daily Worth will surely have you on the road to financial freedom in no time!

Find them HERE

5. Mint

Why we love it: One word for you: join! No really, it's the first step to a more organized, budget minded and financially savvy 2011. You won't regret it! All of your accounts laid out in front of you and supreme user-ability create and infrastructure that just screams success! Do it, now...join, go! Ok, we'll stop pestering...for now!

Find them HERE

6. Five Love Languages

Why we love it: Hahaha, I know what you're thinking, this has nothing to do with finances. Oh friend, but it does, it really does. I'm a firm believer in communication patterns (both positive and negative) bleeding in to every aspect of your relationship/marriage. If you know how to communicate better, you'll ultimately communicate about finances better too (once of the biggest aggravators in marriages) which will result in surefire savings. We BOTH took the love language quiz as a refresher and were really surprised how much our love languages have changed after 4 1/2 years of marriage. Another must do, seriously!

Find them HERE

Sweet Site: Finances - Daily Worth

Image from HERE

Yeah, we know what you're thinking...'This is a home decor and cooking site so why in the world are we chatting about money?' Well, amazing readers, you can't get amazing decor and great culinary feasts without a bit of moolah so today's post does fall into place quite nicely. I recently signed up for the Daily Worth newsletter and am truly astounded by the amount of financial savvy advice it's overflowing with, so I just had to pass it along.

Something I've realized, over the 4 1/2 years of our marriage, about our spending habits and money lifestyle is that the more we're 'in the know' and open/communicative about our spending...the happier everyone is. Yes, some months are extremely tight and then others we actually take a week vacation and go on a cruise. It's actually those in between months where you can really whittle down your spending and be a better budgeter that I'm trying to get on top of.

I really encourage you to at least sign up for the Daily Worth emails HERE. If you're wondering what those emails will look like in your inbox, HERE's a great sampling and below. Make sure to find the Daily Worth team on Facebook HERE and also check out their budget calculators/quizzes HERE. And lastly, even though this site is geared towards women, I think there is financially savvy advice for both men and women. A snippet about Daily Worth via their site:

"DailyWorth is a community of women who talk money. Like Weight Watchers to dieting, and Cliff Notes to literature, DailyWorth makes complex financial concepts simple. DailyWorth stands out as the go-to source about personal finance for smart, ambitious, working women."

Sample Newsletter: