Money Saving 101: That Expensive Cup of Coffee

If you've been reading this blog on a regular basis, you'll know that I have a Starbucks addiction. I cannot resist a Caramel Latte or a Chai Latte.

A grande Caramel Latte costs me $4.33 here in the Pittsburgh area. I'm sure their prices vary by area as I once paid over $5 for the same drink in New York City, and that was a few years ago.

The price of that Caramel Latte is mind-boggling to me and to most people, I'm sure. Why does one cup of "fancy" coffee cost SO MUCH MONEY and why am I willing to pay THAT MUCH MONEY!?

The answer to both of those questions is: I'm not entirely sure. I really don't know why I am so awed by a latte in a white paper cup with a sleeve. In fact, I worked for a Starbucks in college for over a year, so I know how that delicious little cup of coffee is made from start to finish. I love the taste, but that's about it.

As I've stated before, I try to limit myself to 3-4 Starbucks coffees per month. That equals between $12.99-17.32 per month. That's a lot of money I could spend on something else!

I've thought of some alternatives for my Starbucks addiction and have been trying them since we started the 30 Day No Restaurant Challenge. Listed below are my alternatives and thoughts about them:

Maxwell House Caramel Latte Instant Coffee: This brand comes in 8.7 ounce containers which cost around $3.50 here in PA. I can make approximately 10 cups of coffee with this brand for a total of 35 cents per cup of coffee. This brand is delicious and fairly inexpensive.

Hills Bros. Instant Cappuccino: This brand comes in 16 ounce containers and costs around $3.15. I can make approximately 25 cups of coffee with one container for a total of 12 cents per cup of coffee. I find this brand much more delicious than the Maxwell House brand, and it is quite a bit cheaper (always good in my book!).

Keurig K-Cups of Different Flavored Coffees: A box of 12 K-Cups is around $10. If I make my coffee to take along with me to work, I use our Keurig at home. This costs me 83 cents per cup of coffee plus minimal costs for cream and sugar. Fairly delicious and more customizable.

Coffee Machine at Work: We have a coffee machine here at FSWP that costs 35 cents for a regular cup of coffee and 50 cents for a "latte." This isn't too terrible of a price, but the coffee is HORRENDOUS. It might be THE worst cup of coffee I've ever had. This is the coffee of last resort.

For me, it is easier, more delicious, and cheaper, to keep a box of the Hills Bros. coffee in my desk at work and make my cup (or two or three) of coffee when I get here. If I have my coffee at work, I'm less likely to want a Starbucks when I go home and if I know I have an awesome cup of coffee waiting for me when I get here, I'm less likely to stop and get a Starbucks.

What is one thing that you are addicted to? Are there any acceptable alternatives that you've found?

Money Saving 101: Gyms

(Please welcome back Lindsey this week!)

We all know the scene from Bridesmaids where the main actors are hiding in the park, freeloading on an exercise class because they don’t want to pay for one. While funny, perhaps there is a ring of truth to how much gyms are actually costing us! 

As I looked into the cost of gyms, I found they can range from $10 dollars a month (a local Planet Fitness) to almost $70 (my parents’ local YMCA). The location, amenities and services all seem to play a part in the cost of membership. My personal gym is located downtown (I’m a city dweller). It is a basic gym: no pool, sauna or tennis/basketball courts. It is $60 for a monthly membership for my husband and me. This includes full use of the gym and classes as well as free parking at the parking garage near the gym (this is huge bonus). While this is a fairly reasonable price to us, we have been asking the question – do we go to the gym enough to make another $60 a month worth it? 

Gyms do provide many things exercising at home simply cannot. There is a social aspect at the gym.  My husband has his ‘lifting buddies’ and I go to spinning classes and yoga with my girlfriends. It can be more motivating to work out around other people! You have access to much more equipment that you would at home. From weights to ellipticals to saunas, pools or basketball courts, you can keep your regiment from getting boring but switching it up. You also have numerous classes if your gym offers them (some may charge an additional cost). 

While we went religiously when we first joined, our attendance has fallen off to almost, well, never. We have found that once summer comes around we want to be outside and enjoying the weather instead of inside a gym all evening. We also do other activities in addition to the gym membership, like golfing, which costs us money in addition to our gym. Therefore, we decided to cut the gym and save that $60 for something else! 

Is a gym right for you or not? Consider the following when looking at possible gyms:

How much does it cost? There are many gyms out there and finding one within your budget is important.

Does it have everything I want? If you don’t need a pool, maybe try looking at a gym that does not have one – it may cost less!

Is the only thing I am going to be doing a class? It may be cheaper to just take the class and forgo the whole gym.

Will I actually go? Diligently going is the key to making the price of the gym worth it. If you are never going to go, then you may want to use the gym money to invest in a piece of equipment you can use at home!

Are you only using one piece of equipment at the gym? If you’re only using the treadmill, you’d be able to buy your own using the $60/month you spend going to the gym. $60/month for one year totals $720. You could buy a treadmill for that!

See what it costs to use the local college or university gym. Many schools will offer non-student rates that can be cheaper.

Did I read the contract? Most gyms will make you sign a contract. Make sure you read and agree! If you are unsure about a year long commitment, see if there is a gym you can pay month to month at.

If a gym doesn’t seem like the best option, there are several ways to exercise without joining a gym:

Take individual or a package of classes. If the weights and treadmills are not important to you, you may want to look into take just classes at the gym or a local studio. You can also look into DVDs of classes you want to take like yoga, kick boxing or Zumba.

Want to run? Go outside! For almost three seasons you could take the trails at your local parks or neighborhoods. When it gets cold outside you could look into a local free track at a park or community center (or just run outside if you are hardcore).

Purchase home gym equipment. I found an elliptical on sale at Dick’s Sporting Goods for under $200 and you can purchase different sized weights for fairly cheap. This may be a better alternative to a gym if you know you are going to only be using a few items.

Of course, check out Groupon! Many, many studios and athletic associations are starting to offer deals for bundles of classes. If you love yoga or are into ‘Boot Camp’ keep an eye out for a great deal and maybe try something new!

Happy exercising!

Money Saving 101: Thrift Store Shopping

A couple years ago, I was at my local thrift store and found a brand new Burberry polo shirt for 2 dollars. You read that correctly, TWO DOLLARS for a shirt that retails at around $125.00. That’s a savings of $123!

I’d like to share with you the wisdom of a thrift store shopper as I have been one for quite some time. (Working in the social service industry, it behooves one to shop at thrift stores and seek bargains whenever possible.) 

1.  If you live near an affluent neighborhood or city, and you’re looking for name brand clothing, this is the place to go. Lots of times, I’ve found basically brand new items (some with the tags still on) at thrift shops in affluent areas. 

2. If you live in a college town, which I did for 15 years, wait until the students go home for the summer. Two weeks after school lets out is the best time to visit your local thrift shop. They’re overrun with items from students that don’t want to take the time to ship or drag their clothes back home with them. This is how I got my Burberry shirt.

3. Thrift shops are also good for furniture and other household items. Big stores like Target send their slightly damaged items or items that have been returned for various reasons to thrift stores in their local area. I got a set of throw pillows that I had been eyeing at my local Target for $2 per pillow. The pillows at Target had been $12-15 per pillow.

4. Coats. I’ve found some pretty awesome jackets. I have several blazers from Goodwill that I get compliments on a regular basis on.

5. Take cash. By taking cash only, you’ve got a budget on how much you can spend. This keeps you from overspending. A lot of local thrift shops only take cash/check.

I encourage everyone to check out their local thrift shops. You never know when you’ll find a Burberry shirt or a gorgeous skirt for basically nothing!

Money Saving 101: The Cost of a Habit

Most of us don’t realize how much our habits are costing us. I notice a lot of people complaining about how broke they are on Facebook or just in general. Another thing I notice is how they are tan, or have perfect (fake) nails, or always have a Starbucks coffee. It made me wonder if these folks realize just how much they’re spending every month or even every year on their vices/habits.

My personal vice is Starbucks, so I’ll start with that.

A grande caramel latte cost me $4.33 yesterday.  I tend to visit my local Starbucks 3-4 times per month, so it costs me between $12.99 and $17.32 per month.  In a year, this would cost me between $155.88 and $207.84.

If you’re into tanning (I’m not), a single ten minute tan can costs $7.00 here for the lowest level bed. If you go three times per week, that’s $21 or $84 per month. Some people will say that they get the unlimited monthly plan, which is around $45 here (give or take depending on where you go, this is an average). If you go with the first instance, $84 per month, you’ll be paying $1,008 per year! That’s three car payments for me. If you go with the monthly tanning package, that’s $540 per year! That’s a car payment and four months of insurance for me. It’s worthwhile, if you’re tanning obsessed, to go with the monthly package, but still, that’s a lot of money for something you can do outside for free during the sunny months.  Not to mention the health risks associated with tanning in general, but this is a finance blog, so I’ll let that one go.

If you’re into having acrylic nails done (I’m not anymore, but I liked to get them done occasionally in college), that’s typically $35-40 to get them put on and then you’ve got to get them filled every 3-4 weeks, depending on how fast your nails grow and how long you can put up with the gap that shows when your fingernails are growing. A typical fill is around $15. Usually someone can go around three months before the nails start to yellow or crack and you need to get all new acrylics put on (another $35-40).

$35 initial investment + 4 fill ins ($15) in three months = $95 x four = $380.00 for the year

I have a feeling that this is a fairly low estimate for acrylics as some people I know get their acrylics redone more often. Also, that doesn’t include if you crack a nail and have to go get a new one put on between other fill ins and things like that. $380 is a car payment plus a month of car insurance for me.

How about pedicures? An average pedicure around here costs about $25. If you go once per month, that’s $300 per year.

How about getting your hair colored? It costs around $60 to get your hair colored at an average salon. If you go every two months, that’s $360 plus tip for the year.  If you insist on going to an upscale, or as I like to call them “fancy,” salon, that could cost you somewhere in the neighborhood of $120 every two months or $720 per year.

How about cable packages? Mine cost me $75/month when I bundled it with my internet through Comcast (for the first year, of course). That totals out to be$900/year! When Comcast decided my year was up for my bundle, I dropped the cable, but kept the internet. I really didn’t watch that much TV anyway, but dropping the cable ended up saving me $30 per month or $360 per year. The internet cost me $45 per month, but I got a lot more use out of the internet than I did out of the cable, and I could even watch TV on the internet if I really wanted to see a show. (Hulu is free and a lot of other networks stream their TV shows for free if you can wait a few days.)

I hope this gets you thinking on how much your habits cost. I’m not saying you shouldn’t go get a Starbucks or get your hair done or even go get a pedicure. Sometimes it is just hard to see how much you’re actually spending on something until you put it all down on paper. When it’s all down on paper, it’s a lot easier to budget for that habit/vice. I know my Starbucks is included under “fun money” on my budget.

30 Day Challenge: We Made It!

Well, we’ve made it through 30 days of no restaurants! 30 days turned out to be a lot easier than I expected. 

Check in on rules and goals:

Rules:

1. We will cook all dinners at home for 30 days beginning Feb 19 and ending Mar 18. DONE!

2. We will use all items possible from our already busting pantry and fridge/freezer. DONE!

3. We will eat leftovers at least one a week. DONE! We actually ended up eating leftovers more than once a week. The boyfriend requested that I cook more so he can have more leftovers. That was a pretty easy request for me to do.

4. This also means NO Starbucks for me. I can get a box of instant coffee at the grocery store for $3.39 that makes about 15 cups of coffee. That’s cheaper than 1 Starbucks Caramel Latte. DONE! I’ve also discovered another brand of instant coffee that’s $3.50 for twice as much coffee as the other stuff I was buying.

5. I will keep a menu for 30 days. This will help me stay on track. DONE! It was difficult for me to stick to it, but I did my best.

6. I will update this blog at least once per week to update you all on how we’re doing. We both love our sushi. Done! I actually discovered that people were really enjoying my blog, so I’ve been updating this 3-4 times per week.

Goals:

1. I would like to put all the money we aren’t using into our respective savings. DONE!

2. Learn to cook different meals and find new recipes. DONE!

3. Challenge myself. DONE! It was hard to fight cravings and plan a menu, but we did it!

4. Learn to be creative on our date nights besides a dinner out. We live together, so we see each other every day. Date night has become a staple of my week and something to look forward to. Let’s see what we can do without spending a ton of money on sushi. DONE! We’ve gotten Redbox rentals, gone to the zoo, and gone to a county park for a hike and picnic. I think doing things outside is much more fun than going out to dinner.

I think we did really well with our goals and rules. Sometimes we had to tell each other “no” in order to keep on track, but we did it! 

So, most people want to know how much we spent and how much we saved. We spent approximately $325 this month for groceries (rounded up to an easier number to work with). One of my rules was to use as many ingredients from our pantry and freezer as possible and this was something I really wanted to make sure I stuck to. We didn’t go to the grocery store more than three times during the month and we quit doing little stops that turn into $20-30 spent at the grocery store for items we didn’t really need.  In my original post, I estimated that we spent around $750-$860 on food both at the grocery store and eating out.  That means we’ve saved between $425-535 this month! I waited to do the math until I wrote this posting and I’m stunned! By sticking to a grocery list the best I could and using what we had in the pantry, we actually cut our grocery spending as well, which is something I thought would increase as we weren’t eating out. 

Things We’ve Learned:

It turns out that I’m pretty good at cooking/baking and coming up with new and exciting dishes to try (i.e. Cheez It Chicken). 

I like to spend time with my boyfriend in the kitchen. He tends to sit and talk with me while I cook and sometimes helps me cook. (He’s really great about asking if he can help.)

We both enjoy sitting down and eating a meal together.

We both enjoy saving money that we aren’t spending on food.

I can cook filet mignon from Walmart that’s better than any restaurant I’ve been too for a fraction of the price (see my first 30 day blog for the pricing).

I can cook for myself and my family for a fraction of the price. I cooked dinner for my boyfriend and his parents (again, the filet mignon from Walmart) and it was delicious and inexpensive. I really enjoyed being able to cook for them and have them over to our house. We also just enjoyed being together.  We will have to continue doing this one. :)

It was pretty easy to figure out what I could make from the ingredients I already had in the pantry and freezer. I typically start with one ingredient and figure out what I can add to that one ingredient to make a meal. Chicken plus stale Cheez It crackers = amazing Cheez It Chicken!

Things That We Struggled With:

Filet-o-fish: My boyfriend LOVES Filet-o-Fish and French fries during lent. It was really tough for him to not be able to just go grab his beloved Filet-o-Fish whenever he wanted.

Starbucks: I’m a Starbucks addict. I had a really difficult time not getting a Starbucks. I don’t typically get Starbucks more than once a week, but it was really hard driving by the local Starbucks without getting something. I’m going to try to continue not to get Starbucks as long as I can. (I do have a meeting at a Starbucks for work next week though, so I’m assuming that my Starbucks fast will come to an end.)

Menus: I have a hard time sticking to a menu. I am one of those people that gets a craving for something and that’s what I want. So if I planned chicken for Tuesday night and I get a craving for tacos, chances are we’re going to have tacos instead.

I hope our challenge has inspired you to try your own challenge. Whether it’s not eating out at all for a week or a month or just no Starbucks for a couple week, it is amazing what you’ll save. You can certainly use the money you didn’t spend to start that emergency fund or to save for that trip you have always wanted to go on or whatever you want to save for.

30 Day Challenge: 20 Free or Cheap Date Ideas

When I started the 30 Day No Restaurant Challenge, one of my goals was to find cheaper date ideas. I’ve compiled a list of 20 things to do with your significant other that are cheap or free. 

1.       Visit your local/county/state parks. Most parks don’t cost a dime to visit. The occasional state park charges admission, but you can sometimes find free days to parks if you’re willing to check out websites such as the NorthernCheapskate or That Freebie Site.

2.       Go for a walk in your downtown area. There are a lot of neat buildings in the downtowns of cities and towns nationwide. Grab your significant other and see what there is to see in your downtown.

3.       Stay home and make dinner together. Cooking with a loved one is a fun activity. See if you can find a new recipe to enjoy together and make it romantic by sharing a glass of wine or just sitting at the table talking during dinner without any distractions.

4.       Go to the library. I love to go to the bookstore with a significant other. Why not check out the library instead? There are just as many books and the books there are FREE.

5.       Go to the zoo. Going to our local zoo before it becomes busy during the summer months means we got a discount. We spent all day at the zoo for a total of $20. A two hour movie costs at least 8 dollars per person plus 3 dollars per drink and almost 7 dollars for a popcorn.  You may even find that your zoo has a free day or two during the year that you can take advantage of.

6.       Visit your local Redbox. A rental from Redbox costs $1.25. The only catch is that you have to return it the next day. However, this is a lot cheaper than going to a movie and they tend to have the latest releases at the kiosks. You can even check their website and reserve a movie before you go to the kiosk to ensure someone else doesn’t rent it. We found a code on That Freebie Site for a free rental day, so we rented a movie for free.

7.       Visit an art gallery. 

8.       Drive out into the country and find a place to lie down and stargaze. 

9.       Volunteer for your community. Find a Boys & Girls Club, food pantry or other place where you can spend some time helping others. This will make you both feel good and you’ll have contributed to your community at the same time.

10.   Go to the museum. The Carnegie Museums in Pittsburgh offer a free night during the week (Thursday). It’s typically a weeknight. Check with your local museum to see if they have a free night.

11.   Is it winter? Go sledding or build a snowman. Let your inner child out and just have some fun.

12.   Poetry/Reading Nights at local coffee shops. The Lemon Grove in Youngstown, Ohio, is a great example of a great local coffee shops that has several readings during the month.

13.   Free Wine Tasting! Check with your local winery to see if they have tastings. You can usually sample 6-8 wines for free.

14.   Go on a bike ride. We have a lot of rails to trails around here. They make for nice flat riding for an inexperienced person like me. Also check for local parks that have biking trails. My boyfriend is a more experienced biker and he is a fan of the true hilly and challenging terrain that you can find at a local park or state park.

15.   Go canoeing or kayaking. A lot of state parks and county parks rent canoes and other boats for fairly cheap. For a few dollars, you can rent a canoe or kayak for a few hours and enjoy doing something outdoors together.

16.   Go for a drive. Pick a scenic route and take a nice drive with the windows down.

17.   Don’t like the outdoors? Play some board games. The Settlers of Catan, Yahtzee and Ticket to Ride are just a few of my favorites.

18.   Go to a Farmers Market. This is one of my favorite things to do on Saturdays in the summer time.

19.   Go to a playground. I’ll be the first to admit that I’m still 8 years old inside sometimes. Go to a local playground and let that inner child out!

20.   Go to an amateur theater for a play or musical. You’ll see some amazing shows for a quarter the price of a professional show. Heck, maybe you’ll decide you want to be a thespian!

Hopefully these 20 ideas will give you some inspiration to enjoy each other without spending all your hard earned cash on a fancy dinner! Do you have any other ideas?

Money Saving 101: Warehouse Stores

(This blog was written by Lindsey, one of our Financial Wellness trainers.)

We have all noticed it: grocery prices are climbing. We have talked about one way to save money while shopping – buying generic. There is also another way many (myself included) have found to save money – buying in bulk. 

With stores like Sam’s Club or Costco, buying in bulk is easier than ever today and can make a lot of sense for people. Membership in such a place is usually around $50 a year. This allows you to shop in the store, buy things online and gets various other discounts. However, how much are you really saving and are there things that are not such a great deal as you think?  I decided to really compare how much I was saving on some of the items I buy at Costco and those same item prices at my local supermarket.

For household necessities such as Ziploc Brand bags for lunches, toilet paper, coffee filters, styrofoam plates for the summer time barbeque, there seemed to be no comparison. Not only was I getting a much larger quantity, it was cheaper. For example:

   Supermarket: $6.09 for 40 Ziploc bags or 15 cents per bag

   Costco: $8.05 for 500 Ziploc bags or 1.6 cents per bag

   Savings: 13.4 cents per bag!

   Supermarket: $10.49 for 12 rolls of toilet paper or 87 cents per roll

            Costco: $17.99 for 36 rolls of toilet paper or 49 cents per roll

            Savings: 38 cents per roll!

           

            Supermarket: $2.99 for 24 foam plates or 12 cents per plate

            Costco: $10.39 for 200 foam plates or 5 cents per plate

            Savings: 7 cents per plate!

That is a HUGE difference! The great thing about buying these items is that there is no expiration date. You may have 500 sandwich bags lying around, but if those kind of bags are something you use on a regular basis, then you will use them eventually!

Another place I found the savings to be great at was when buying frozen or canned/boxed items like pasta or vegetables.

             Supermarket: $7.50 for 2.5 lbs of frozen chicken breasts or $3.00 per pound

   Costco: $19.99 for 10lbs frozen chicken breasts or $1.99 per pound

   Savings: $1.01 per pound

              

             Supermarket: $1.85 for 1 14oz box of pasta

             Costco: $9.39 for 8 14oz boxes of pasta or $1.17 per box

             Savings: 68 cents per pound

             Supermarket: $1.25 per can for organic green beans

             Costco: $7.79 for 12 cans of organic green beans or 65 cents per can

             Savings: 60 cents per can

The savings in this area is tremendous. Just ensure that you pay attention to expiration dates and don’t buy more than you can actually eat before that expiration date because “it’s such a good deal!”

Areas that can be tricky to buy in bulk are dairy and produce. Buying larger quantities and having less time to eat it can prove to be a problem for some people. We usually will buy a gallon of milk and whatever fruits we can find on sale once a week at the local supermarket due to the fact that there is no way we can eat the larger quantities sold at the discount stores. However, if you find there is something you and your family can finish before the expiration date then try it! We have started to do it with lettuce:

           

Supermarket: $3.69 for 9oz of salad mix or 41 cents per ounce

Costco: $3.79 for 1lb of organic salad mix or 23 cents per ounce

Savings: 18 cents per ounce

A pound of salad is a lot, but we find we can finish it by having salads a few nights a week with dinner, making salads for lunches, and using it in meals like tacos. The key to buying perishables is knowing what you are going to eat and making sure it makes sense for you to buy it in a large quanitity!

While in general, the data shows overwhelmingly that food can be cheaper at such ‘bulk’ stores, some things are not. Furniture, clothes, accessories like sporting equipment, while all cheap, could more than likely be found cheaper during a sale at a department store or your local Walmart/Target. This can be true of food as well. While all the main items we use in my household were cheaper at Costco, my local supermarket has weekly deals and specials on various foods and products which can sometimes be cheaper than buying things in bulk at a warehouse type store. Again, it is a matter of doing your research and seeing what makes since!

In conclusion, buying in bulk can be a very money smart move for you and your family to make. Just keep in mind what you are going to eat and what you will actually use. There is nothing worse than buying a gallon of Greek yogurt only to discover you hate Greek yogurt – a life lesson I also had to learn.