Saving money in 2009

I have been home with the kids the last few weeks and have just been a spending machine. My free time has led me to find more time to spend money. Much has been on entertaining. We've caught up with lots of friends and I also took the kids on some outings. I'm not one to spend much money on clothes, but a few shopping trips fit into my schedule over my break. I also found a few household projects that needed attention.

This is another reason why I am glad to be working. We would be broke if I was at home full-time. Not just becuse of my loss of income, but also because of the time available to spend money. Working keeps me too busy to think about things I "think" I need. Instead, I minimize time spent shopping and as a result, minimize my spending.

As many families face tough financial times, the new year is a good chance to review spending habits. Here are a few ideas on cutting back:

- Think Used. In a time that we are all trying to recycle more, why not consider buying more used items? From cars to clothes- you can find pretty much anything used these days. One of my best dressed friends finds many of her clothes at a consignment shop. I often find books for my kids at library book sales. You can find kids clothes at garage sales and special kids re-sale events.

- Look for the deals. Take some time to read through store fliers and clip coupons to find the better prices. We have a friend who treats grocery shopping like a deal finding challenge. Each week he makes his list and then reads the grocery fliers to see who has the best deals on his needs. He also puts his pre-teen daughters to work clipping coupons and organizing their shopping. They usually have to hit 2 or more grocery stores, but he estimates that they save $50-100 a week on their grocery bills.

- Pack your lunch. Eating lunch out, even if it is just fast-food, can add up quickly. Packing your lunch just a couple of days each week can save you hundreds each month.

- Borrow instead of buy. How many times have you thought you needed something, only to spend the money and realize you don't? For example, my mom was thinking about buying a portable CD player to listen to audio books while she worked around the house. Instead of buying one, I suggested she borrow mine for a few weeks to see if she liked it. She found out that she never really used it and saved herself from an unnecessary expense. The library is also a good source of savings. You can borrow books, DVD's, CD's and sometimes even toys. The kids get the variety they want without you purchasing items that would eventually be set aside anyway.

- Go to the store with a list. Browsing while shopping leads to poor decicions. Make your list of what you need and stick to it. I just made this mistake today. I had a gift certificate to use and went to the store to buy a new sweater for work. I found myself checking out the jewelry and of course found something I couldn't live with out. Had I stuck to the sweater department, I wouldn't have spent the extra money.

- Pay with cash. If you use cash instead of credit so you pay closer attention to how much you spend. You also don't spend money that you don't have. I have been doing this lately and it really does affect how you think about spending. I've put needless items back on the shelf at the grocery because I know I do not have enough cash with me.

These are just a few ideas. The key is to be consciences of what you are spending. You would be suprised at how much money you can save if you just pay attention and make an effort.