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Reward Me — by Sam
I LOVE fresh & easy! Just printed my “$8 off a $40 purchase” coupon and transferred my reward points over to my card so they can be applied to that same purchase (another $6), so I am about to go to the grocery store and get $40 worth of groceries for $26. I think I’m a little giddy.
I also think it is important to learn to “work” whatever reward systems your favourite stores have. I touched on this before, but I think it’s worth revisiting. Sign up for your store’s rewards program. Most grocery and drug stores have free programs. I don’t usually pay to join reward programs, but that’s up to you. If you think you will use a program enough to justify a fee ~ in other words, will it pay for itself and then some ~ it might be worth it to you. For instance, the Kids Bowl Free program about which Hallie recently posted offers an option to buy a family pass that allows up to 4 adults to bowl 2 games every time the kids bowl. I think the pass cost me $25. So far, my friend Priya and I have used it twice, and I have used it one additional time when the girls and I went bowling on our own. Shane plans to take a long lunch or two in order to bowl with us this week. I think that purchase has paid for itself.
I like programs that give me coupons for specific products I already use (I currently have one for 75¢ off Morningstar Farms products at Target); but what I really love are the programs that give me cash back or credit to apply to future purchases. Fresh & easy (our grocery store) gives me points for my purchases, which I can convert into credit to be applied to future purchases. How cool is that? All I have to do is buy groceries to earn money toward more groceries. As if that were not enough, they regularly send me coupons for a dollar amount off a purchase (like the one I mentioned above). So far, they win the “Best Rewards Program Ever” award, as far as I’m concerned.
Our Costco American Express Card has been a case of an annual fee that more than pays for itself (when I do it correctly). Because I earn cash back for purchases made with my Costco AmEx, I end up essentially getting a free Costco membership plus some cash to spend. The great is that, when I use my reward check to make a purchase at Costco, they give my change in cash, which I can spend anywhere I want. I’m not locked in to spending all of my cash back at Costco, which is awesome, because there are really only a few things I buy there. There are many other credit cards that offer valuable rewards. If you decide to use credit cards, check them out and see which one(s) you think make the most sense for your family.
Here’s the caveat: If you want to come out ahead, you can’t let a balance sit on your reward-earning credit card running up interest. If that happens, you could end up not so far ahead as you thought you might be. Worse yet, you might end up in the hole, which is not our goal here. I find I have to be extremely careful about this. It is easy to think, “Oh, I don’t have the money for that, but I really need (want) it. I could use my card, earn the reward points and then just pay it off next week, when the check comes in!” The next thing I am going to say is very important: The check does not always come in. Even when you’ve been assured that it’s “in the mail.” Trust me on this.
So, here’s what you have to do. It’s very simple, but you absolutely must do it this way: pay off your balance in full every time you use your card. Do this as soon as possible, and without fail. I wish I could say I have always succeeded in this department, but I can admit I have not. Right now, there’s a balance on my AmEx, and I need to pay it off TODAY (yesterday or last week would have been better). It happens. You go on vacation, find yourself stranded somewhere unable to get home to eat all of that food you already paid for that is just sitting at your house, plan a trip far in advance not knowing that you’ll be out of work for two weeks before you leave…yeah. Forrest Gump was right: It happens.
I’m passing on this tip mostly because I hope it is something my kids “get” and carry with them into their adult lives. (Kids, you’re reading this, right?):
As much as possible, we try to spend cash. Or, using our debit card, spend real, physical money that we actually have in our possession, anyway. My, how the times have changed. Basically, you don’t want to spend money you don’t have. That seems like a no-brainer, but our economy is so dependent upon a credit system of buying, that I think we just do it without thinking. There are some things that are really only feasible for most of us to buy that way: homes, cars, college educations… But, for the things that don’t fall into that category — things like shoes, toys, dinner out — we try to only spend money we have. I wish we had done that right from the start. We definitely got ourselves into trouble when we were younger and poorer and the credit card companies seemed like our salvation. We are still digging ourselves out of that pit. Part of the way we are accomplishing that is by trying to do things right in the here and now. However, I have found that a) it’s a good idea to use credit cards to establish and maintain a favourable credit history and b) some credit cards offer great rewards, if you manage them well.
That means, for instance, that every time I shop at Target I use my “Red Card” to pay, so I can get the 5% discount on my purchases. Then, I immediately walk to the customer service desk, receipt in hand, and pay off the exact amount I have spent. It’s not always that easy. I had been using my Costco Amex to pay for gas, dining out and Costco purchases. In this case, I have to remember to immediately go home and pay off my balance online. Alas, I do not always remember. *sigh* So, after I pay it off this time, I am going to take a break from using it for a while, and then try again. I think the most important for me to remember is to use a card only if I have the money in the bank to cover the purchase. If I don’t, then I have no business making a purchase at all.
Well, I guess that’s it for now. Off to enjoy my rewards at the grocery store. Then, I might take the kids bowling for next to nothing (we still have to pay for shoe rental, which, at $3/pop really isn’t much for two games).
How much do you think a family of five can survive on? We're not canceling the kids music and dance lessons or anything. That's the stuff that really makes a life. What we want to do here is cut down all of our unnecessary spending (think coffee at Starbucks, clothes, frequent snacks and meals out) so that we can do more of the things we love and make a really good life for ourselves.
So, here's the plan:
In 2012, the Ross Family is committed to challenging ourselves to be more mindful about our spending. We are going to examine the ways in which we use our money, and try to save as much on the superfluous stuff as possible, so we can do more of the things we love, and achieve some family dreams.
The point is to stop and think about where we are throwing our money, and why; and maybe, as a family, start to make better, more responsible choices that will benefit us all. Why "The Low Life?" We are striving toward low cost, low impact, low stress, low maintenance family living. Being vegetarian, we eat low on the food chain. Some people say we're just a bunch of lowlifes :)
Follow us as we embark on our journey. Will it be an experiment, or will it become a major lifestyle change for us? We honestly don't know. We know it will be tough sometimes, and we know it will be rewarding. Most importantly, we know that we will be doing it together. Wish us luck!
With contributions by Sam, Shane, Justice, Hallie and Kaia.
ABOUT THE AUTHORS:
Sam: Sam (a.k.a. "Mama") is a wife, mother of 3 and part-time elementary school drama teacher. Originally from the D.C./Metro Area, she met Shane on a roadtrip in 1994. When he was crazy enough to ask her to marry him, she agreed, moving with him first to Arizona (to finish earning her college degree) and then to Los Angeles, where he works in television post-production. She has been vegetarian since she was 14 years old. Sam fancies herself a Frugal Fashionista, frequenting yard sales and thrift stores and cutting up crappy old clothes to make fabulous new ones. She loves all things free (samples, books, speech, etc.) and has been known to rescue abandoned furniture from the side of the road in order to give it a happy new home. In her spare time, Sam likes to point and laugh at people who think mamas have "spare time." When she manages to steal a minute or two, she enjoys good, loud, live music, dancing (yes, she's that person who dances in L.A.) and not looking very cool. She is learning to knit, and enjoys sewing, gardening, cooking, graffiti, body art and dyeing her hair unusual colours. She wears combat boots. To church.
She would like to waste less food and save up enough money to put a down payment on a house and get health insurance for her family, as well as pay off the family's debt. In her dreams, she imagines taking another family vacation to Amsterdam, but will settle for planting tulips in the backyard.
Shane: Shane Ross is a television editor who specializes in documentaries, but been known to dabble in children's programming on occasion. He is from Western Montana, and Western Oregon, and then moved to Phoenix, AZ in the name of love. After a short while he relocated to Los Angeles, CA forcing his wife to move, in the name of love. He is an avid bicyclist, movie fan, and TV junkie…who skis on occasion (on the mountains, not the water). Been known to consider a can of corn "dinner."
He is hoping to save money so that he can buy a house, and a motor scooter…in that order.
Hallie (age 11): Hi, my name's Hallie Kay Erin Ross. I love writing, drawing, performing, and writing comics. I am also fascinated by ancient Egypt, and when I grow up I want to write comics and novels, but I also want to become an Egyptologist. When I perform I like to do plays. I am a drummer, and I play a little violin, flute and guitar, too. I want to learn how to play every instrument in existence and I like to make my own clothes, because no stores have exactly what I like, or alter my old clothes and turn them into new ones. I think the idea of trying to live off a $50 budget is a smart idea, and a good way to save money. I want to be able to buy a house, but I also hope we can save enough money to take a family trip to Egypt, and maybe to go to Berlin's Neues Museum in Germany to see the Bust of Nefertiti.
Justice (age 14): Hey there, world! I’m Justice Camille Noel Nem Sitscuit “Peanut Butter” “Kisa-chan” “Justi” Ross, and a whole lot of other things, too. I’m 14 years old and am in 9th grade as of spring 2012. I play the acoustice and electric bass, and I plan to pursue music proffessionally, in teaching, performing, or music therapy. I pass my time listening to music, dancing, playing bass, singing, reading, and making TONS of crafts. I am craft crazy. I especially making my own jewelry, usually made out of my own clay beads. I started making clay beads in about 5th grade, and I hope to open an etsy page to start selling, so keep an eye out! Plus, I love making anything to do with duct tape. I’m working on a skirt and plan to make a dress.
Also, I am a complete fashionista and I play by my own rules. One day, a turtleneck and slacks; the next, a plastic necklace, saddle shoes rock-n-roll gauntlets and a dress. I’m obsessed with accessories and interesting haircuts: right now my hair is in a very steeply angled bob, before that I looked like Ramona Flowers (in book one). I also love restyling clothes, which is part of how I plan to contribute to our project. If I see a cute skirt or shirt in a boutique, chances are I can get a thrift store T-shirt and make something that looks practically identical. This would save loads of money.
Another thing I’ve been cutting down on is snacks from the student store – I used to spend maybe $10-$15 per month, which is just a whole lot of cash down the drain. And I’m trying a lot of cheap brands with my family – you wouldn’t believe how good cheap food can be. Or how bad it can be. So, here’s to a sense of adventure and a picky pallette!
One thing I’m working on: tomatoes. They fit right into our budget we ca even grow them, abundantly, in our own backyard. And I like them! But ever since I was little, I’ve convinced myself that they are disgusting, and so now I gag every time I come near them even though I enjoy the taste. It must be a food aversion or something. Don’t laugh, this is serious! So, yeah, just thought that would be an interesting tidbit there.
And about that – our garden. We grow a bunch of food, and I plan to help the family effort a lot by weeding and planting (and digging and tilling and burying and picking. . .). not long ago I cut a bunch of rosemary. We probably won’t use it all in a year. Lettuce too. Anyone want to trade? Pretty pretty please with a dozen cherries? Same if you want lemons or oranges, let my mom know!
I really hope that with this money, we can do a lot of things we’ve been wanting to do. I want to take my family to Magic Mountain, Hallie and Daddy would love Tatsu. And maybe Seaworld, too. I haven’t been to the zoo forever, and Disneyland, or Universal Studios, are also definately on my list. But in addition to that, I found a few charities that I really want to be able to help out. One is called Gifts of Hope. There, you can donate money and chose where it goes, you can give a family a goat, a grove of mango trees, baby blankets, disaster kits, or even school uniforms. I also would love to be able to give to MEND – Meet Each Need with Dignity. It helps people in need. . . do what the name implies. (Even if you can’t donate, you can volunteer – check it out!) NRDC, the National Resources Defence Council, has been sending me petitions since I was ten, but sometimes they need donations – and we just haven’t had enough to spare. And I also hope that one day, if I get asked to prom, I can get a nice dress without breaking the bank. The last one seems silly, and of course I don’t plan to buy a thousand dollar dress anyway, but it is true. The same goes for college funds, assuming I’d have to take a huge loan otherwise.
So, that’s the down and dirty. Who I am, what I do, what I want to do. How I plan to help. And how I plan to spend my time livin’ The Low Life.
Charity Sites:
http://www.mendpoverty.org/ - MEND
http://www.planusa.org/giftsofhope/search.php - Gifts of Hope
http://www.nrdc.org/ - NRDC
Kaia (age 8) My name is Kaia (KI-uh) and I am 8 years old. My favorite subjects are Math & Science; my favorite color is purple.I play the trumpet and I have a purple hippo that I've had since I was 1 year old. I think The project is a good idea because we won't be spending so much money. The big thing we're all aiming to save enough money for is a house. One of the things I want us to save up for is 5 tickets to Disneyland. We all agreed to sometimes have Sunday Treat at home. I think how I could help is by donating my allowance toward what we're aiming for. It wouldn't exactly be SAVING UP, but it would help the cause.
