There's a Whole New Generation of Frugal Living Folks

The Frugal Bank

Hello to my frugal friends, family and fellow money savers. It's been a while since we discussed household finances - too long, in fact! It's now come to my attention that I've been living this frugal lifestyule for so long that I've forgotten that an entirely new generation has joined us, many of whom haven't, yet, discovered the joys of frugaldom. But what, exactly, do I mean by 'frugaldom'? Read on and find out for yourselves.

What is a Budget?

A budget is probably the most important thing you can have, as far as your finances are concerned,. It is your budget that dictates the lifestyle you can comfortably afford to lead. It's as simple as looking at the overall amount of money you have coming into your household and deducting all of the regular payments you have going out - everything from your rent or mortgage to repaying debts, paying household bills, food shopping, holidays and everything in between. If you add up all your out-goings (be brutally honest with yourself about this) and deduct them from your overall income, whatever is left is what you can realistically afford to save or overpay any debts to clear those off first. If your regular out-goings are higher than your regular income, then the bank of you is broken and needs some emergency repairs. It doesn't matter if you have savings in the bank - if you are eating into those just to live from day to day, rather than for emergencies, then you need to stem the flow of cash and balance your books.

What to do if your bank is broken

1. Stop spending immediately
2. Prioritise - essential household bills and debt repayments need paying first
3. Make a list because lists are very versatile and help you focus
4. Needs not wants - you need food and water to survive so think survival! You don't need tobacco, alcohol, cosmetics, expensive toiletries, 1,000 TV channels, takeaway mealsm big brand names or the latest gadgets.
5. Reassess your budget in a more meaningful way - keep a spending diary and record every penny spent. Your role has now become that of accountant and manager of your own home, no matter what form your home takes.
6. You need to count in all costs - from the cost of living to the cost of working - have you ever counted up how much your job is costing you? Are you wasting money on travel, coffee breaks, lunches etc?
7. Look at ways of generating some emergency income - extra work, sell stuff you no longer need, decluttering your space can declutter your mind.
8. Analyse your overall debt total to start chipping away at that, paying whatever is commanding the highest interest rate first.
9. Become a frugalista in the kitchen and adopt a zero tolerance for waste. Believe it or not, it is still possible to live on an average of £1 per day for all your meals, based on £365 per person over the year. I'm not saying that it is easy and you may need to find your nearest food bank, community larder and Olio food hero, plus find a friend prepared to share so you can take better advantage of offers - it can be done.
10. Learn to make and love porridge, soups, stir fries, stews, curries and strange concoctions of leftovers.

How can I save money?

Get creative. Consider what you do as your daily and nightly routines: how much fuel, electricity or gas are you using, how often do you socialise, how far do you travel, what paid hobbies do you enjoy, do you buy takeaway food... the list is endless. Pay attention to how you feel and why you feel that way about giving up anything that is eating into your funds. Think of alternatives: do you like art, writing, blogging, reading, walking, cycling, crafting, gardening... anything that can get you through the toughest of times without costing you money. Keep warm with wool or fleece and a hot water bottle but keep your home aired to prevent condensation and dampness. When you boil water, fill a flask with any extra to use later. Cook from scratch, search this blog for simple soup recipes and challenge yourself to create magic meals from leftovers, free food or home grown fruit and vegetables. There are so many ways to save money so I hope you will spend some time reading past posts while I do my utmost to bring this blog up to date. I can only apologise for drifting but it's been full on chaos trying to keep up with everything since the Covid-Brexit combination saw off our Frugaldom volunteer exchange students and lost us previously agreed foster homes for rescue animals that still remain in our care. 

Find some like-minded friends who understand your financial situation by joining us online - just look for @Frugaldom on social media or search for '2023 Frugal Living Challenge' in the Moneysavingexpert.com forums. Together, we can fix this. 

Find your frugal living mojo and life may never be the same again.

How to Save to Buy a House

• #Frugal Living
• #Money Saving
• #Household Budgets
• #Money Challenges
• #Small Space Living
• #How to...

Home ownership for first time buyers can be a daunting prospect so this is a little bit about how frugal living can help you save to buy a house, or even save to rent to buy a house! The lifestyle affords the luxury of saving more of your cash for your dream home.

 

When I first began my quest to save for a house it was 'the done thing' – we were led to believe there were 3 options –

• get a mortgage
• get a council house
• find a live-in job

Initially, I opted for the live-in job. Looking back, it was possibly the best paid job I ever had – all bills, meals and car paid AND £40 a week into the bank. But at 18 you don't think about it until you need to move on and set up your own home.

And so the master plan began - only I got impatient and wanted an item that cost more than my savings, so I got a bank loan to pay for it! The loan was only £800 repayable over 12 months but getting it became a defining moment. It taught me, rightly or wrongly, that the easiest way to buy something major is to use someone else's money and pay it back over time, preferably with as little interest added on as possible. It all seemed so easy until interest rates rose to an incredible 15%, that's when things can go pear-shaped. It certainly taught many of us why we should pay more attention to financial and property-related news!

Since then, various Government initiatives have evolved and different home ownership possibilities introduced. There are affordable rent options, social housing, shared ownership and even social enterprises that incorporate housing.

Gentoo Group is one such social enterprise, based in North East of England, with "a vision to improve the Art of Living."

Their work is focused around three key areas to maximise impact: people, planet and property. They allow you to find a property you like, move in and pay rent, as a tenant, but your payments can also contribute towards buying the house – no need for a huge deposit or even a mortgage!

Social enterprises help further increase your chances of getting onto the property ladder and I suspect that this route may provide solutions to those who would, otherwise, have little possibility of ever owning their own home.

Long gone are the days of my three basic options and total exclusion from the property market if you find yourself with insufficient income to qualify for a mortgage. Now we also have:

• Help to Buy - Government backed scheme for first time buyers offering tax-free top-ups to mortgage deposit savings.
• Shared ownership - You can buy shares worth between 50% and 75% of the market value of the property and you pay rent on the remaining share.
• Rent to buy - 'Genie' properties are let at rates slightly above those of social tenancies, but they are still considerably below current market rents. Of course, due to their popularity they are allocated on a ‘first come, first served’ basis and on an Assured Shorthold Tenancy agreement.
• Part exchange - A bit like trading in your old car for a bigger or better one, you could start small and then work up to your dream home.

  

Whichever route you choose, you need savings to cover your costs. Most property transactions involve some form of legal fees, possibly surveys, moving costs, initial décor, floor coverings and furnishings and then all the little things that can be overlooked, especially if you are starting from scratch. Granny's insistence on starting a 'bottom drawer' as early as possible is as relevant now as it has ever been.

Take care of the pennies, don't spend the pounds foolishly, take advantage of meaningful bargains and bank your savings safely so they can't be frittered away on 'stuff'. Try to ensure your money is attracting the best possible interest, even when rates seem ridiculously low, and be prepared to move quickly if your dream home presents itself.

A LITTLE BIT EXTRA

To help me with my own savings plan, I charted a timeline. It began with house hunting, then progressed through house viewing, surveys, moving costs and then on to legal expenses. It wasn't until all of those costs, which were several thousand pounds, could be met that I started saving for the actual house! Each month the balance grew with tax-free ISA interest, I rounded it up to the nearest full pound. Pound-rounding became quite habit-forming, so it wasn't long before I was rounding up to the nearest £5, then the nearest £10, until it eventually got to the hundreds. It all took time. Social enterprise options could definitely provide many with far quicker results and it is something I fully intend to explore further. How about you?

Feel free to ask questions, comment, get involved in the frugal forums discussions or share these posts and good luck with your personal savings goals.

How to Become a Frugal Living Expert 01

• #Frugal Living
• #Money Saving
• #Household Budgets
• #Money Challenges

The first in a series of articles about how to become a frugal living expert.

The Frugal Living Challenge is an adaptation of my original 'Living on £4,000 for a Year' challenge, which has been running online since 2007. Join our frugal living experts now.

Learn how to save money on food shopping

Our money saving and frugal living challenges date back to the late 1990's so many of us have gathered a considerable amount of experience along the way. Whether it is balancing our own books, controlling the household budget or simply living within our own means, we have managed to gather together a fair team of frugal living experts who can offer free online help and moral support to help solve personal money problems. Everything here is done as economically as possible and much has been achieved on what some considered to be near impossible budgets.

I can say with confidence that living free from debt while earning a small income is 100% possible. You do, however, need to exercise will power and keep yourself focussed on your plans in order to achieve these otherwise impossible goals. Waste not, want not... if you take care of the pennies then the pounds will take care of themselves as long as you avoid the trap of becoming penny wise and pound foolish!

We have seen many changes over the years, so each stage in the development of our frugal living and working adventure takes us a step closer to self sustainability and financial freedom.

A budget is personal to you, it should fit in with your personal financial situation and it should result in something you are happy to achieve. If you can reach the point at which you spend less than you earn, then you are halfway there. Getting to the point that you are spending less than you are earning while also  becoming absolutely free from debt is very liberating. Having enough cash left over after that to carefully, conscientiously and successfully save for your own future is the ultimate goal. You just need to believe it is possible and stick to your plan, no matter what.

There are no sure-fire winners in investments but a combination of small savings can amass small fortunes - and these will continue to grow as you continue to save after any debts have gone.

Have you got what it takes to join the quest for financial freedom?

This is not about self-deprivation or self-imposed poverty just for the sake of it, it is about providing genuine, mutual support for those who are prepared to take on the challenge of making a real difference to their own lives while sorting out nasic money problems or even serious financial situations. Don't quit - get financially fit!

Once debts are gone and you are in full control of your own spending (or not spending, as the case may be), the world is your oyster. Whether you choose to invest, donate, explore, plant a forest, see the world or lead a comfortable life knowing you are financially secure is entirely up to you.

It's never too late to learn how to become a frugal living expert!

Newcomers, let's get started right now. Old hands, let's put in a bit more practise until we really are expert money savers who can afford to spend free time sharing hints and tips with fellow frugal folks.

Prioritising Spending

Getting the Household Budget to Work in Your Favour

Weather comes to us free in every way, shape and form possible. Here in Scotland, we can get everything in the one day - rain, hail, sleet, snow, fog, wind and sunshine. We can't control the weather but we can prioritise our spending to weather any financial storms.

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Hanging fairy lights along the washing line

As long time readers will know, we saved and bought a bargain basement fixy-up house that really did need fixing up, so we set about prioritising the spending to start with the absolute basics - fixing the roof over our heads and replacing basics like water and electricity supplies. We've no gas, no mains sewage or drainage system or anything as high-tech as mobile phone signals here, so a land line is essential to maintain contact with the outside world and work from home via the Internet. But we all feel the need to spend on things other than the absolute essentials, so I bought solar fairly lights and have hung the first string of them outside the back door, wrapped around the washing line.  The tree has been looked out and that will be decorated this weekend.

We call this guerrilla tree decorating!

We planned on completing the renovation over 5 years, which should mean we finish next year, but last year we blew the budget on buying the land that is now another 5-year project to turn it into Frugaldom. So, the priorities change, no matter how well you try to plan things. Frugaldom should be up and running fully by 2020 and the house should have been completed by 2016. Except we lost 18 months on the house project by throwing everything we had saved for home and retirement into the Frugaldom Project. Now it is time to take stock and get back to organising the renovation if we are to have any hope of completing it within the next 12 months.

The bathroom and kitchen were both given major repair work - absolute basics like replacing burst pipes so we had running water and rewiring so we had electricity - but we never fitted a new bathroom suite nor did we fit a kitchen. Instead, we made do. I've made do without an actual cooker for some time now, preferring to delay this until such times as I can see a way of fitting in the one I really like. Meanwhile, I make the most of my microwave, slow cooker, steamer, a small twin hot plate and a mini oven that cost £5 secondhand in 2007. The top element of that blew quite some time ago, so... I finally decided on the best course of action, seeing as I have family coming to stay over the Christmas holidays and I'll be cooking a turkey: I bought a brand new worktop mini cooker!

A new cooker for the Frugaldom household

Amazon has their winter 4 for 3 in home and garden offer on at the moment, so I treated myself to a brand new mini cooker and a set of pots and pans to go with it - the cooker arrived yesterday afternoon and I'm expecting the pan set today. Item three I chose is a large rug for the now renovated living room that was temporarily carpeted in the cheapest of the cheap cord carpet last year.

What about item 4, my 'freebie?, you may wonder? Well, that's already arrived and is waiting to be taken to Frugaldom - 100 metres of weed control fabric through which I will plant the first of the new willow beds in 2016! All of the above, complete with free delivery and excluding the 1% cash back I'll receive from paying by credit card (it gets cleared in full every month) amounted to less than the cost of the cheapest available freestanding cooker I could find. Sometimes more is better and size doesn't matter as long as you know you can fit in the Christmas turkey!

Knitting an odd ball woolly blanket - warm, functional and frugal

Now for some more knitting - I'm on to the fifth ball of wool and this is certainly going to be a very randomly coloured and textured throw, but who said woolly blankets need to be uniform? They're for keeping us extra warm during cold weather, not wearing out as fashion accessories. Although... I could be tempted if anyone nearby wants to throw a blanket party!

Whether you celebrate Christmas, Winter solstice or any other festive occasion, they shouldn't be about how much it drains your money resources, it should be about how much you can afford to share what's readily available while still managing the reserves that will be needed in the future.

Frugal Living from Scratch 2

 

Part 2 of 2: Getting right back to basics - Each step forward can be seen as another step back towards the starting line. Each tiny achievement marks the successful completion of part of your lifelong challenge, your quest for freedom. Along the way you will meet many sceptics, cynics and even a few cheats and liars whose only ploys are to get your money. As long as you have your 'get out of jail free' card then you know you'll be back in the game soon.

So here I am, sat in my latest home, looking out the window at a pretty grey and wet day with 'pretty' being the most important word in that sentence. The curtains are quite awful, but that's an easily remedied problem once I get around to making some new ones. Perhaps I'll add a pelmet or even some nets, who knows? I haven't decided yet. For now, the curtains serve the purpose of shutting out some of the cold at night.

Most of my days will now be spent between here and Frugaldom, planting and sowing, clearing and cleaning, plotting and planning and wading through all the meetings that these projects seem to involve. The site where we have the caravan is quite busy with fishermen, so I'm managing to hog the satellite wifi connection very easily from my makeshift office corner. It has great views and has all the facilities I could possibly need.

Buying a bigger caravan and siting in on a holiday park may seem like a major luxury to some - indeed, it has already been commented upon! However, this suits our needs and was within a strict budget. Now my new neighbours will know who and where I am, as this lot's sitting outside the caravan waiting to be built into the new decking. I can't wait to see it completed and then I'll be ready for welcoming visitors. I'm using this week as a trial run to work out what is needed, having come here on Friday with only the barest essentials. There's hot water and a heated towel rail, hand washing items of clothing isn't a problem. (Neighbours, if you happen to be reading this, come and introduce yourselves. Just make sure you get the right caravan, as I see several had decking delivered this week.)

This is frugal living! The little fridge is rather bare but I've cooked up some pasta salad, made some fruit jelly and strawberrry whip for desserts and will waste nothing - anything else is from a packet and most of it is vegetarian until I get the groceries brought over from the house. Meals are interesting! I had a box of individual milk portions at the office caravan that came free with an Approved Food order some time ago, so I decanted all of their contents into a jug and used it to bake some rice pudding with sultanas. Had some for lunch today and can have the rest as breakfast, snacks or pudding tomorrow.

Each of the tiny milk cartons has been washed and will be used to plant a single pea, so I can have some home produce. No point wasting good cartons when they can be put to good use. This is frugal living - waste not, want not. We'll grow what we can wherever we can and hope to have enough produce to swap and share. It's just a little chilly out to expect miracles at the moment.

This is my frugal life! The view of our barn dwarfed by the snowy Galloway Hills on the horizon is an awesome reminder of how small we all are in the grand scale of life. Only we can choose how we live and if we choose to live in a simple way then so be it. We don't own the land even when we buy it, the land ultimately owns us and will dictate what grows where, no matter what. Frugaldom is very much about watching the lie of the land and working out what might do best where and when in the future. Some people choose to spend their money on a big house, expensive jewellery, a luxury car, designer labels or visiting foreign and exotic places - we choose this.

Tree planting on a chilly but sunny day, overlooked by hills and snow, with the sheer joy of this being no more than a short walk from home - for some it is a nightmare they would never want to have but for others, it's their lives' work, investing in a better future.

Just to make sure we truly appreciated these days of walking, fetching, carrying, digging and tree planting, we were honoured by the presence of this beautiful bird in flight as it soared above us on our walk between field and caravan - the Red Kite has reached Frugaldom.

Believe it or not, in the beginning it is quite difficult to stop spending money when you're on a roll - no matter what you buy, it becomes a habit, just like smoking, drinking, gambling, even clothes, shoes, handbags or hobby stuff. We each justify our spending but any manner of excuses but we are wise to remember that the ends justify the means - and I'd rather end up with the freedom to soar wherever frugal life takes me. I'm sure I'm not alone in thinking that, but taking your first flight of fancy into your own future of freedom is like starting from scratch over and over again. You just need to quit spending on stuff that weighs you down, then spread your wings and work like crazy to reach each goal.

Join us in Frugaldom, give up spending on what you don't need and shape yourself a new and affordable lifestyle while you invest in your future.

Frugal Living from Scratch 2

Frugal Living from Scratch

Part 1 of 2: Getting right back to basics - this blog is about frugal living in a way that affords you a simple life of freedom from debts and the luxury to choose how and when you earn and spend your own money. You aren't completely free until every penny is your own. A complete, photo free 'rantathon' to get the penny rolling.

Let's get one thing straight - you don't own your own home if you have a mortgage, just as you don't own your own car if it was 'bought' on finance. It simply means you have borrowed these goods and made a personal pledge to pay over the odds for them while you use them and continue to pay over the odds for them even if you don't. It is a contractual obligation which is meant to keep you making payments that, in turn, bind you to earning whatever amount of money is needed to service the debts and live your life - whatever that may be. Likewise with everything you have in your possession - it isn't your own until you have zero debt and are no longer making payments of any description. It always baffles me how some folks can't see a mortgage as debt.

The battle cry I hear most often is that I (me, myself, I) cannot be frugal if I can afford to make major purchases for cash. Well, folks, it is by being frugal that we can afford such things in life and they are not so major when you look at the whole picture. I would go as far as declare myself a frugal living expert, having trained in the art for decades, learning by experience and honing my skills. Over and over again, I have show what does and does not work for me. Getting a 9 to 5 dead-end job and living in fear of interest rate or rent increases just doesn't cut it for me and I fail to understand why anyone in their right mind would want to torture themselves enduring that for fifty years of their life only to retire with nothing. Kudos to those of you who enjoy or endure that lifestyle, it's just not for me. I'm neither lucky nor privileged, I simply made a choice in my own life and stuck with it.

Absolute essentials, in my opinion, are shelter, suitable clothing and good basic nutrition that contributes towards your overall wellbeing. If you can get to a point that you can meet these needs with enough of your income left over to service all your debts, you have succeeded in the first step. The next step is to cut out absolutely everything, and I mean EVERYTHING, that you really don't need and start saving to invest in your own future. Some really tough choices need to be made - if you can't afford a car but really need one for work, can you relocate then  walk or cycle? Failing that, can you change jobs to one within walking or cycling distance? I don't really understand sentimentality towards bricks and mortar, it's a stupid concept to me. Yes, by all means love your home, but if it's just a millstone around your neck filled with memories, pack up those memories and take them with you to some place you can afford to relax indefinitely without checking your bank balance every other week.

Why worry about what others think of you? Something like that is learned behaviour and is a rather evil trait to instil in any child, in my opinion. It's also one that is really difficult to free yourself from, but it is worth it in the end. Learning one's own worth based on non-monetary values is far more revealing than finances and fripperies.

Very little money is needed to live my chosen lifestyle. For me, understanding how anyone ends up in debt when earning what I'd consider a small fortune is intriguing, despite having seen the facts and figures for myself. There really is nobody to blame but the individuals who got there in the first place and more shame them if they choose to ignore it or, worse still, pass on that burden to others.

This blog isn't about becoming a superstar, a guru or a celebrity, it's about sharing my own journey to freedom. Knowing where you want to be is the difficult part but once you have established that, everything becomes so much clearer and easier. It's all down to budgeting - knowing exactly what you need every penny to do and making it happen, come what may.

Home is where the heart is and the heart shouldn't give a stuff what friends, relatives or neighbours think. It may be a glorified shed, a caravan, a bed-sit, a tumbledown cottage, a boat or even an underground bunker conversion! For some obscure reason, people attribute worth and status to bricks and mortar, but that's not for the frugalers starting from scratch. Financial riches may come later, but in the beginning, you need to liquidate everything and clear your minds, your schedules and your debts so you can begin again, frugal living from scratch.

There are always excuses for why this 'can't' be done - but I'm telling you it can, even if it means finding someone with a spare room to rent while you work several crappy jobs and save your way out of the red and into the black. Room renting isn't ideal for families, I can appreciate that, but it isn't impossible if it gives you a base from which to establish your plan. Being free to control the vision of your own destiny is paramount to success but I would always recommend seeing much further beyond that, to the next challenge. Frugal living is a skill that absolutely anyone can afford to master - it cannot be bought, it has to be lived!

How long have you gone without buying a non-essential in an effort to pay every extra penny into the debt pot or savings plan?

NYK in Frugaldom

Frugal Living from Scratch

Join the Spending Revolution

Vendetta Against Debt! It's that time of year again, the time when we are planning ahead for 2015, renewing our vigour for the on-going battle against debt, building up our forces to thwart needless spending and fight for the right to protect our own financial security. This is a war against waste - financial and otherwise. Join us in our quest for financial freedom.

Frugaldom is no fairytale fantasy of mythical castles, dragons and miracles. You play your own part in this quest for freedom.

This is an adaptation of the original 'Living on £4,000 for a Year' challenge, which has been running online since 2007. Some of the NYK challenges date back to the late 90's, so I do have a considerable amount of experience in balancing my own books, while living within my own means, always done on a budget that some consider to be impossible. Utter nonsense! It is entirely possible and is an achievement of which I am particularly proud. I can say with confidence that living free from debt while on a small income is 100% possible. You do, however, need to exercise will power and keep yourself focussed on your plans in order to achieve these otherwise impossible goals.

We have seen many changes over the years, so each stage in the development of our frugal living and working plans takes us a step closer to the good life and beyond. Your budget is personal to you, it should fit with your personal financial situation and it should be something you are happy to achieve. If you can achieve a point at which you spend less than you have coming in, then you are halfway there. Getting to the point that you are spending less than you are earning while also absolutely free from debt is the ultimate goal. You just need to believe it is possible and stick to your plan no matter what.

This challenge is not about self-deprivation or self-imposed poverty just for the sake of it, it is about providing genuine support for those who are prepared to take on the challenge of making a real difference to their own lives while sorting out their own difficult financial situations. Once the debts are gone and you are in full command of your own spending (or not spending, as the case may be), the world is your oyster. Whether you choose to invest, explore, plant a forest, see the world or lead a comfortable life knowing you are financially secure is entirely up to you.

Many former and current challengers have achieved debt freedom and now follow frugal lifestyles in order to stay free from debt while pursuing better lives without the entrapment of credit. Others are tackling debts, including mortgages, while following a frugal lifestyle in an attempt to reach their debt-free or mortgage-free day. Whichever stage you are at, feel free to join us for 2015 and share your journey.
You can join us free by registering a username at www.frugalforums.co.uk

2015 sees the return of the live NYK Chat room, complete with scheduled chats for the purposes of additional support, plus live question time. The new platform has been trialled over the past couple of months within the members' section of our host site at Scottishmultimedia.co.uk and it is hoped that the increased potential for even more real time interactivity can help many more people who want to embark on their own money journeys to financial freedom.

This challenge is about establishing your true cost of living, sticking to your budget, clearing debts (if you have any) and making savings wherever and however you can to enable you to live the life you really want.

Frugal living isn't for everyone, but everyone is welcome to join us. Methods employed by frugalers include batch cooking, stockpiling, preserving, foraging, mending, shopping in charity shops, reducing, reusing, recycling, Local Exchange Trading Schemes (LETS), Vegetable and fruit growing, allotments, keeping hens, using cash-back sites and doing whatever it takes to become self sufficient in managing the cost of living without incurring debt.

For some it is about clearing debt, for others it's about increasing savings, buying property, becoming stay at home parents or paying off the mortgage early. Some choose the lifestyle on ethical grounds, others seek early retirement or self-sustainability. Above all, this is meant to be a fun and supportive way to manage a minimal budget so you have control of your own money.

It's about NEEDS and not WANTS.
Living on a budget = living within our means.

Frugal = thrifty, living without waste

Ideas to help you achieve and/or maintain debt free living:

Recognise the differences between needs from wants
Spend within your means
Set a proper budget
Quit expensive habits
Houseshare or get a lodger
Shop via cashback sites and always price compare
Buy reduced items in stores only if you need them
Stockpile & bulk buy
Batch cooking
Make the most of charity shops
Join Freecycle or other similar waste awareness and recycling associations
LETS trading - become active members of trading & exchange groups
Bartering
Grow your own herbs, fruit & vegetable
Preserving & wine-making
Bread-making & home baking
Card & gift making
Order splitting for better discounts & shared postal costs
Landsharing, allotments & frugal garden systems
Making the most of freebies
Develop your on home-based business
eBid and eBay trading
Monitoring and revising a budget is part of any frugal living plan. Gifts & cards could all to be homemade, livestock needs to pay its own keep, anything else needs to be cash neutral and pets are like people in a household - they need to be budgeted for in a 'what if' manner.

If you would like to be in contact with like-minded others while stretching your money further than you ever thought possible, join us online and be prepared to take the frugal ride of your life.

IMPORTANT

Please respect others' lifestyles and beliefs. We are not here to judge, we are here to support.

Thank you.

Join the Spending Revolution

Frugal Laundry and Fabric Conditioner

Frugal Laundry and Fabric Conditioner

"You may be well aware that domestic products have become very expensive recently and as a result it is more economical to buy in bulk from online cleaning suppliers and more importantly from those who are recognised and appreciated for their quality..." said the latest email request for inclusion in the frugal blog.

So, I took a closer look at some bulk buys. Mainly, I hasten to add, because white vinegar is becoming more difficult to source in any affordable manner anywhere near where I live. (As you know, I make my own laundry cleaner and previously used the vinegar as a fabric conditioner.)

If, like me, you use an assortment of vinegar, lemon juice, basic soap, oils and washing soda as the mainstay for your cleaning and laundry, then you will have noticed the escalating price changes in white vinegar. Everywhere seems to be moving to malt or else only offering small bottles, rather than the gallon containers we previously bought… Read more here

How will the Budget Affect Frugalers and Frugaleurs?

Let's Make a Point of Looking at the Budget

Here in the UK, we were treated to the latest Chancellor's speech by way of yesterday's budget. I will hold up my hands now and state that I did not listen to it all live, so I am still trying to find anything relevant to frugal living households with less than national minimum wage incomes... still looking!

Basic Income Tax thresholds, UK

As you'll can see by the above, the threshold for income tax is still climbing, apparently taking a further 288,000 out of the 'tax-payer' category. Personally, I can't imagine ever earning sufficient income to pay income tax if I pursue my current lifestyle. But how much of my £5,000 household budget actually goes to the Government?

Estimates

Council Tax - £1,000

General shopping - £25

Heating & lighting the house - £60

Telephone & Internet - £80

Television - £145.50

Travel/Deliveries - £48

Gifts - £70

Clothing & Footwear - £20

Everything else - £75

National Insurance (Class 2) - £140

Estimated total = £1,663.50 

In REAL terms, if I was earning £5,000 per year, as per my challenge budget for running a household that feeds 2 people, that would equate to almost a third of my income going to the Government in assorted taxes! Moving swiftly on... I'm leaving the budget to those who have pension funds and the financial capacity to aim for £15,000 saved into their ISAs.

Growing My Own Investments

Peas

 As previously discussed, I decided to try and save some of the damp, mouldy peas I rescued from the greenhouse a couple of weeks ago. They were planted into recycled tin cans and sat in the window to try and get whatever little heat they could from any brief glimmers of sunshine reached them - it hasn't been much! Still, 3 of the 4 tins containing peas now have little plants growing from them. Nothing to be seen from the beans but I won't give up hope just yet.

Red Cabbage

 Here is an up to date look at my cabbage experiment - I remembered to change the water and checked the base while doing so. As you can see, we now have some good strong roots and those are definitely cabbage leaves growing from the sliced off top.

Using up the Eggs

We now have 2 of the 3 ducks laying and 2 of the bantams, so eggs aplenty. I'll be sharing the surplus eggs with friends and neighbours who are kind enough to barter. This afternoon, I made a tray of sponges to use up the bantam eggs but today seems to have been one of those 'oops' days... those aren't chocolate sponges! Never mind, they'll taste just fine in trifle, under custard or even just scoffed with a cup of coffee. No point icing them for visitors, is there? Guess I'll need to make a lemon drizzle cake this weekend. :)

Being 20 days into 'Making it in March', I thought readers may like to see what a gew of the others have been making. My 'makes' have been restricted to the normal daily domestic stuff recently owing to the amount of work involved in resuscitating and rejuvenating my frugal business empire.

Making it in March

Visit the forums at www.frugalforums.co.uk to find out what others are making in March.

Day 10 of Extremely Frugal February - Gargoyles and Dragons

Day 10 of 28 - Green Men or Gargoyles?

Corner of our old chess board

Normal start to the day with porridge for breakfast. The sun was shining for a bit this morning so another washing went out on the line and partially dried before the rain returned. Fresh loaf baked in time for soup lunch, except H heated the rest of the roast pepper and onion pasta, so we were left to have soup and pudding for dinner! Not much more to report from the food department today. Pudding was tinned mandarins with custard.

I've taken a piece of beef out the freezer to defrost, so I'll attempt a marathon challenge to stretch it as far as possible this week. I bought it as part of a bulk discounted freezer pack so I'll call it £6 for a 600g piece of lean beef. According to recommended portion sizes, this little 'chunk' is supposed to provide us with 6 to 8 portions, depending on where you read the information, so keeping this within the realms of £1 per person per day for ALL meals is going to prove a major challenge!

This afternoon I prepared the last of a white cabbage, some sprouts that were handed in by a neighbour and a turnip, all for steaming. I'd just finished prepping everything when a friend arrived to borrow something, so I gave them all the vegetable scraps to take home for their pigs when they were leaving. Zero food waste! (Just remembered I also have 4 peppers in the fridge that need slicing and freezing;  must do that tomorrow!)

Having transferred my Nectar points into PayPal vouchers for eBay, I ended up spending an entire £3.84 from my household budget today when ordering 100 paper filters for the coffee machine and a set of three thermal travel mugs. Gardening time is fast approaching so the thermal mugs will come in really handy for a cuppa on the patio without fear of hot drinks going cold too quickly during winter months or cold drinks getting a fly in them during summer months!

The first of my seed potatoes arrived by courier tonight - a real treat this year, as I decided to invest in some 'pure breeds' rather than just planting whatever was left over from the kitchen. Shetland Blacks are here but no signs of my Salad Blues, so I hope they haven't gone astray; they were the main reason I ordered!

Now for my gargoyles or green men conundrum.

I think I already mentioned finding my chess set and that I was hoping H would drag out a table for the 'new' living room. Today, he retrieved the small table from the shed and did a quick fix to reattach it to its base. Since 2003, this little table has only ever been used with a cover over it for either the TV or the Christmas tree. Since moving here in 2011 it has been in the shed. I love the table and was adamant that I would clean it up and make the most of it. (As you may have guessed, it was a freebie that came our way rather than going to landfill.)

Gargoyle or green man?

A little vinegar and oil got mixed together with a splash of lemon juice and then I set about deep cleaning the table. To be honest, it's the first time I have really paid close attention to the finer details in what looks like a Chinese design. Up until now, I had seen birds, flowers, berries, dragons and four 'green man' type faces, one in each corner of the table. Since cleaning and polishing the table, I have now spotted what looks like butterflies among the foliage and, on a spookier note, the 'funny faces' aren't grinning at me - they look more like gargoyles or demons, each displaying a fearful set of fangs!

Having done some preliminary searches online to try and determine the origins of the pattern, I am almost certain these little faces could be Chinese demons, so I am now wondering if there is symbolic significance in the overall design of this checker board table with its entwined dragons, gargoyle-like corner features and the intricate network of flowers, foliage, birds, berries and flying insects all around the edges.

Any ideas or suggestions as to the meanings, or if this is, indeed, just an ornate little games table would be greatly appreciated.

NYK, Frugaldom

PS: Found my £1 bargain drip tray that I bought in 2001! I just need to find the ice bucket or mini-fridge, wine bottle tops and cocktail stirrers then the frugal bar is ready for fully stocking. Needless to say, no free spirits are heading my way!

The Origins of Frugaldom from 1998 - a Surprising Find!

I am NO GOOD at Decluttering!

Handwritten notes from 1998

Using January as my month of preparation for what 2014 has to bring, I'm going through old files in the hope of shredding accounts and paperwork that is no longer needed. The trouble is, I keep stopping to read it and then popping it back in the folder for future discussion!

Having just finished reading about the price of central heating oil in 2004 (it looks like 18.5p + 5% vat per litre) I set aside one folder and moved onto another folder... to find this!

This is my handwritten notes from 1998 when we were preparing to put all the challenges for our group of writers, artists, crafters, money-savers and debt-busters into print for the first time.

The notes are a little faded so I will retype some of them here, as I feel they are as relevant now as they were then.

Now You Know

1. What does a reader know after reading NYK that they didn't possibly know before...?
2. What makes you keep buying the same products and reading material?
3. What matters most to ordinary people now?
1. Growing families and setting up home
2. Finances
3. Household running costs
4. Car running costs
5. The benefits of the Internet
6. Entertainment
7. Health
8. Bargains to buy
9. Sports? (or sensationalism)
10. Humour and satire
11. Budget charts
12. Price comparisons
13. Earning potentials
14. How to...
15. Investments and savings

---------------------------------------------------------------------------------

 

There you have it - a glimpse into the past origins of NYK and what the aims were. The basic premise was simple: if you cannot afford to do something then, 

1. Do it anyway and accept the consequences
2. Don't do it
3. Find a way of making it affordable

My bank manager always saw a major flaw in my plan - it didn't involve profit, it simply involved making things affordable. This is still my way of thinking and this is probably also why I don't have a business, I'm merely self-employed.

 

Original is not always best?

Investments and savings

 

How we invest in our own, our families, our friends and even our acquaintances' lives is what is important. Savings should be pennies as well as information needed to make life good within our own budgets. I can't afford to employ anyone but I can afford to give people the chance to learn from my experiences and, in the process, find their own opportunity to fulfil their own potential.

 

To round off this impromptu post, the postman has just delivered me a bank letter informing me that my ISA cash savings interest rate is being reduced to 0.96%

 

Woopity-doo-dah-dae! That'll make my Interest Beater Challenge even easier!

Edited in: Just found the print contract - £435 per 5,000 copies and £60 per 1,000 thereafter. Haulage cost £50 back then. :)

 

NYK, Frugaldom

Frugal Bytes - Moneysaving Questions from Readers

Reader Questions about Money Saving and Frugal Living

Hi NYK,

Pennies make pounds

This seems a bit rude to ask, but as the saying goes, if you don't ask, you don't know! So apologies up front.

How did you manage to save your emergency savings?

Do you keep your 'emergency savings' separate from other savings?

Would you recommend a certain amount for emergencies?

Any advice on this would be gratefully appreciated!



NYK Answers

I love questions and am forever researching 'stuff', so thank you for asking and rest assured that I don't find it rude in the least, it is a huge pleasure to be able to answer. Apologies if I waffle on a bit, I'm rather passionate about frugal living. :)

Many years ago, while in debt, I got together a bunch of friends in similar situations and we compared our budgets. At that time, we all had very different household incomes, ranging from under £10,000 to over £30,000! The amazing fact that I learned from what became a regular get-together was that we practically all had the same amount of disposable income after paying everything we owed - mortgages, rent, council tax and all other debts!  It was amazing! The magic number worked out at £4,000, so that's the origin of my target budget. Now, in 2014, the figure is simply the amount I know I can comfortably live off and be happy to do so. It's also the minimum amount that I know I need to earn in order to live debt free! If push came to shove, I have sufficient flexibility within that budget to make alterations and also afford the Council Tax.

After living on the £4,000 budget for many years, the debts slowly and painstakingly reduced until, in 2007, I finally became completely debt free. At that point, I had two options for remaining debt-free:

• Live within my increased means or
• Continue as though I still had the debts, but pay the equivalent amount into savings. (At that point, I had no savings.)

2008 arrived and I had decided to stick to my previous budget and frugal lifestyle while starting to seriously save. (That's when I took the 'Living on £4,000' challenge onto the Moneysavingexpert forums.) With no debts, every penny over £4,000 got banked and all other spends had to be paid from extra income or else things made to pay for themselves.

Fast forward to 2011, we scraped up enough to buy this cheap fixy-up for cash, but it completely wiped out every penny of the savings - my son even chipped in all his coin savings!
Plus point - we had no savings left but nor had we any rent to pay, just council tax and insurance for our own house.

Sticking with the £4,000 household budget, we are now slowly renovating the place while also saving for emergencies. I know I need £4,000 to run my household for a year, I know I realistically need another £1,000 to cover Council Tax and I know that incidentals may be needed along the way, so my goal is to have at least £5,500 in emergency savings and increase that by at least the rate of inflation each year, seeing as bank interest no longer affords us that luxury! THis, again, is what has prompted the latest edition of the Interest Beater' challenge in the forums.

Emergency savings are totally separate from 'normal' savings, so no mistakes can be made and I can't be tempted to spend from this pot. Initially, I needed to invoke all my will power to ensure every penny was saved. In saying that, I am using an instant access ISA, 'just in case'.

I hope this helps explain the way I view my finances, both in the frugal forums and here on the blog.

Feel free to continue asking questions and I do hope you will join me in the latest frugaldom challenge, as we hatch another great Billy Can plan and prepare to do some money magic.

NYK, Frugaldom

Frugal Bytes

Bite-sized Updates from Frugaldom

Keeping everything up to date online is difficult, so I am going to begin sharing my 'Living on £4,000 for a year' personal challenge from www.frugalforums.co.uk to here by way of 'frugal bytes'. I hope you enjoy them.

My budget spreadsheet looks like this:  

The Frugaldom budget spreadsheet

My January spending already looks high at £475.60, however, the freezer has been filled, the electricity meter topped right up and I paid 12-months telephone line rental up front, which will save me about £45 overall. I cancelled the 'free' 1571 service some time ago, as we seldom made sufficient calls to qualify. There's a £10 allowance for 'mobile' just in case I go gallivanting further afield, otherwise no need for it as there's no signal here. Figures on the right are for my 'EEK' (Everything Else Kitty). Feel free to ask questions.

Managed a trip to Co-op with a friend and a second trip is scheduled for two weeks' time to ensure I can spend my £5 voucher before it expires. Logs have been ordered for delivery next week and the coal bunker will need to be refilled soon. The kindling has been well topped up thanks to another big bag of scrap wood from local yard by way of a bartering agreement we've struck between us.

23rd March 2013 - last winter's snow

Winter preparations are on-going in case the snow gets here. Last year we were completely snowed in and, at one stage, without power for about 4 days. Luckily we had the stove, fuel, plenty of food in stock and sufficient feed for the livestock - I am grateful for the fact that we were able to cook and share what we had with neighbours who didn't expect such a bad winter.

This is our local construction company, 3B, digging out the main road down to the village last winter - a reminder of what Mother Nature can throw at us, whenever she so desires.

Over a year, my household spending averages almost £11 per day, £76.71 per week or £333.33 per month and has done so for the past 7 years. Despite inflation, I seem to be improving my lifestyle with every year that passes. Strange, but true!


FREEZING TIP

If you have a power cut during a freezing winter and have no access to a generator - pack your freezer with bags of snow and ice! There is no point in risking losing good food for the sake of a few days without power. Throughout the year, I have zero available space in my freezer - all gaps get filled with tubs or tins of water. If you have just a fridge and it's colder outside than in your fridge, use a sealed box sunk into the snow or sat in a shaded corner.

NYK, Frugaldom

Food Prices Past, Present and Future

Food Prices Past, Present and Future

Having kept notes, I thought you might be interested in seeing my price comparisons. The average price increase in foodstuffs since 1999 to 2013, when comparing my 'shopping list' of cheapest available items, amounts to almost exactly 100% But of course this only holds true if you have easy, cost-free access to a modern, all singing, all dancing supermarket…

… But what does this mean in real terms to the supermarket shoppers of today? We keep on ploughing our energy, time and money into making ends meet, while feeding the household and saving what we can, in the hope that the sun shines and we don't have to afford too many rainy days. - Read more

20 Hints, Tips and Suggestions to Help you Save Money

How to Prepare for Frugal Living



As we fast approach the end of another year of challenging ourselves to living a productive yet frugal, life, many of us are turning, once again, to preparations for the new year. It may only be early November as I write this but the latest monthly challenge is under way - Novus Frugalus has begun! You can see how to take part here.

 It is a chance for newcomers to frugal living (frugalers) to give it a go, if you like, sampling the lifestyle before committing to taking part in our year-long challenge to cut costs and live well within our own means. It's much easier said than done, I might add, so I thought I would lay down a few hints and tips to help newcomers - 'novus' literally means 'new' - prepare for 2014. Are you sitting comfortably? You may be in for a rough and bumpy ride if you've never before tried this.

1. Decide exactly why you want to make your lifestyle more frugal - is it a financial necessity for the purposes of clearing debt, a savings exercise so you can afford something special, a major cost-cutting exercise to help safeguard your own financial future or simply because you are so rich that you can afford the extravagance of being eccentric? (Believe me, it will surprise you how many people think this may be the case!) In the beginning, my reasons were for debt-clearing and then gradually graduated onto buying a fixy-up house without a mortgage. Now it is so we can afford to renovate the fixy-up and I'd like to think that within the next couple of years that I'd graduate further towards safeguarding my own financial future. As for eccentricity, well... I continually aspire to that and put in as much practice as possible! If all else fails, I shall simply make myself a big, floppy hat for my own retirement.
2. Take a sheet of paper and a pen or pencil and draw a line down the middle of the paper. On one side write the heading 'NEEDS' and on the other, write 'WANTS'. Now take a close look around you at home and list what you can see in the appropriate columns. Needs are things that the human body simply cannot live without, whereas 'wants' are everything else. This, in itself, can be a real eye-opener once you see how little of the stuff that surrounds us has any impact on actual life. These are luxuries - whether it's a phone, a television, a games console, an electric gadget, cosmetics, fashionable shoes...
3. Imagine a sudden and complete loss of income - it doesn't matter the reason, it just matters that you are prepared to ride out that financial storm because for many, this could mean disaster.
4. List your outstanding debts - everything from the month's credit card bill, overdraft or loan repayment to catalogues, contracts, mortgage, membership fees, subscriptions, insurances and even regular savings plans that may be set up as regular standing orders or direct debits - if the payments are expected, then the companies and organisations concerned are going to attempt to collect them whether or not your income has stopped. If you don't have the financial wherewithal to cover them, banks and creditors are pretty rigid in their rules where fines, fees, penalties and increased interest rates are concerned. For how long could you cover your weekly or monthly outgoings if you suddenly lost your income?
5. Declutter to make space for storing absolute essentials.
6. Take advantage of bargains that can be stockpiled, but always remember that a bargain is only a bargain if you will actually use it.
7. Learn the basics of home cooking - cooking from scratch can save an absolute fortune and let's face it - if you suddenly lose your job, that could provide you with sufficient time to learn a whole load of new stuff.
8. Quit spending on anything that isn't 100% essential to life itself.
9. Assess how much your current job costs you - few ever analyse these interesting figures, so fail to see that spending £6,000 extra each year to go and work in a £20,000 job is the same as spending nothing and walking to a £14,000 job, or even one that involves fewer hours. How much do you spend on work-associated expense once you count in cars (or other transport) child care (where needed), lunches, coffees, cosmetics, extra grooming, suitable clothing and all the other little things that add up over the space of a year? Every mile you drive costs more than the price of the fuel you put into the tank.
10. Bin raking! This may sound like something the proverbial tramp on the street might do but I mean it in a slightly different way; I mean start looking at what is being binned in your household, because everything that goes into it has, most likely, been paid for out of your income. Even the packaging stuff comes in is paid for somewhere along the line and everything you bin is money wasted.
11. Quit buying takeaways - how many meals do you make and how many arrive in the house ready-made by way of supermarkets, takeaways or fast-food drive-through type places? Basing costs on my own £1 per person per day for ALL meals, it is fair to say that the cost of a takeaway meal for one can cost as much as some might spend on groceries to make meals for the full week. Frugal living while debt-busting does not include buying ready-made food.
12. Quit eating out - a single meal out in a hotel or restaurant can equate to a full month's worth of food supplies for one adult. Only the seriously affluent can afford to eat a month's worth of meal at one sitting.
13. Quit non-essential habits like smoking, alcohol or any other drugs, for that matter - even sweets and certain types of fizzy juice can be perceived as addictive and rack up a small fortune of spends! They simply aren't worth it if you are serious about becoming debt free, solvent and financially secure for the long-term.
14. Count up how much toilet paper your household gets through in a full year. This may sound ludicrous, but once you have calculated the true costs of what you're flushing down the drains, you'll understand the importance of being prepared to grab a bulk bargain when you see one.
15. How many loads of laundry do you do over the period of a year and at what cost? I was horrified to see some laundry detergents costing as much as 40p per wash and then some folks still needing to add on another 10p per load in fabric conditioner/softener without including the electrical costs of running a washing machine and, perhaps also a tumble dryer. Yes, this is the top end of the scale, but dyed in the wool frugalers will be washing at low temperatures, using white vinegar as the basis for their fabric softener and a soap/washing soda mix as their detergent. (See how to make homemade laundry detergent.)
16. Start saving good jars and bottles with screw top lids that will be suitable for jam, jelly, pickle and chutney making. Save plastic tubs for soup and other meals that can be frozen.
17. Start looking at what you have from the point of view - could I make that myself? Even clothing can be handmade easily and cheaply once you know how.
18. Get acquainted with your local charity shops, exchange trading groups, freecycling sites and like-minded others in your area. You might be surprised at how many are playing this moneysaving game and you'll also need an outlet for decluttering if you don't have the time or inclination to sell it to raise a few extra pounds.
19. Set aside a corner and a box to keep all those handy crafting essentials together - the world of make do and mend is a rather fascinating one that can lead you in many directions. For many, it opens up a whole new side of life that involves crafting. Handmade can equally mean individually designed and unique. What designer label can offer you that and at what cost, I ask?
20. If you need to spend, try to get cash or loyalty points back on all your purchases. Despite my living in a fairly rural location, I make the most of Topcashback, Approved Food, MuscleFood, Nectar card and a cash-back credit card.

There are so many ways to help you cut costs and save cash while going about your normal day-to-day life that no single post could ever cover them all. I'll post another list soon, so watch out for that. meanwhile, my suggestion is that you join us in the Novus Frugalus moneysaving challenge and take full advantage of everything that everyone has to offer by way of what they are doing in their own homes and workplaces, so you can prepare to launch headlong into a frugal lifestyle. It needn't be boring, nor need it be miserable, self-imposed poverty. Yes, it is a tough lifestyle to adapt into while desperately trying to claw your way out of a quagmire of debt, but the rewards are rich, in every sense of the word.

• If you don't like admitting to cost-cutting DIY, refer to your exploits as hobbies.
• If you don't like admitting to being skint, refer to it as austerity measures while saving for X, Y or Z - it was a good enough excuse for the Government!
• If you can't get out of gym membership then make the absolute most of it - shower and wash/blow dry your hair before you leave.
• If you don't like explaining to the kids why they can't go gallivanting with their friends to cinemas, fast food takeaways or whatever, make it fun for them - let them entertain at home on a budget
• If you can't go a month without a visit to the hairdresser or beautician's, ask yourself some serious questions!
• If you can't simply quit an expensive habit, start now and gradually phase it out between now and new year then say it's a New Year's resolution.
• If you want something, make it affordable to your budget rather than over-stretching your budget in an attempt to afford the unaffordable.

 

Moneysaving and Healthy Eating - The Food Budget

Can You Really Feed the Family a Healthy Diet on £1 per Person Per Day for all Meals?

Why do so many quake in their shoes when they suddenly realise that they are heading into debt or, worse still, sinking further into debt, and scratch their heads in disbelief at today's prices? This blog post came about after a recent (animated) discussion about the cost of living in today's modern British society. The other person failed to distinguish the difference between the cost of living and the cost of their personal lifestyle. (In my opinion, food, fuel and energy waste seem to play big parts in their lifestyle.)

Why do we see such ridiculous food waste in Britain when there are countries across Africa and Asia still susceptible to famine? On more than one occasion, I have been told that if it concerns me so much then I should go post the waste food to the starving people. This attitude makes my blood boil!

…

I set myself the challenge to spend no more than £1 per person per day for all meals and I have stuck with this for the past several years… What I have learned is…

Read more here and try out the free meal planner to ensure you get your 5-a-say even on a frugal budget.