Archive for saving money

Credit Crunch: A Survivor’s Guide – Downgrade your expenditure

Posted in Life..., Personal Finance, Uncategorized with tags , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , on March 30, 2010 by stanleyriiks

There are two simple ways downgrade your grocery shopping.

The first is by downgrading your supermarket. If you shop at Waitrose (you rich bastards!), you need to start shopping at Marks and Spencer. If you shop at Marks you need to start shopping at Sainsbury. If Sainsbury then Tesco. If Tesco then Asda. If Asda then move to Morrisons. Morrisons to Iceland, Iceland to Lidl/Aldi/Netto. If you have the misfortunate to shop at Lidl/Aldi/Netto you need to get a big stick and start mugging homeless people!

Ok, Morrisons might be above Asda, and its unlikely you’ll have all of those options in your area, but remember online shopping.

If you haven’t got the choice of which supermarket you can go to then you can always downgrade your label. A store-branded product can replace a brand name product. All the major supermarkets are getting in on the store value-brand now, even Waitrose. Both Tesco and Sainsbury have three levels of products, Tesco Finest and Taste the Difference being the top level, and the nicest, although sometimes only slightly. But also the most expensive.

The thing to remember when purchasing your food if that no matter how nice and yummy and delicious it is when you put it in your mouth, it all comes out the same at the other end. If that doesn’t induce you to purchase a Tesco’s value lasagne for 89p than I doubt anything will.

But seriously, downgrading your shopping should be taken slowly. Dropping down from a regular Tesco’s Finest menu to the value range will leave you feeling hard-down-by. Ease yourself down the range in small easily manageable increments.

Also, look at other things that can be downgraded. Your mobile contract can be downgraded as long as you are far enough into it, normally about 9 months. If you’re not using your current allowance give your mobile company a ring and reduce your contract.

Insurance can be downgraded, although check carefully that you are still covered for the things that you want to be covered for.

Downgrade your car. Sometimes this can work the opposite way too. A friend of mine purchased a newer car that had a slightly smaller diesel engine, the lower cost of insurance, lower tax and lower fuel meant that it cost £14.00 a month less to run than the older car. That’s including the more expensive hire-purchase costs. Obviously I cannot recommend getting into higher levels of debt, but in this case I can see the advantage. But debt is still bad.

Start downgrading now.

Credit Crunch: A Survivor’s Guide – Shopping Intelligently: False Economy, it’s not cheaper!

Posted in Life..., Personal Finance, Uncategorized with tags , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , on January 21, 2010 by stanleyriiks

Don’t buy smaller than you can use.

A small tub of butter/spread is more expensive than a large one in terms of weight (per gram the smaller tub is more expensive). If you’re going to use a kilo tub before it goes off, which is fairly likely, then you are better off buying the larger one.  Buying the smaller one because it’s cheaper (although more expensive per gram, and therefore worse value) is false economy.

This works for almost all products, and supermarkets are now being quite helpful by giving the price of items and the grams, rolls, sheets, litres, cost.

Buy sixteen or eighteen rolls of toilet paper rather than four. (Can save £2.00 a month on average)

Buy a five-litre bottle of mineral water, or a six-pack instead of individual bottles. If you need to use smaller bottles for work or ease of use, buy a big one and a funnel and pour it in. Ok, so it’s slightly more work, but it’s less money. The average family can save over £100.00 a year by giving their kids small bottles filled with water from larger bottles. (Of course investing in a water filter jug and several filters will be even cheaper, it costs about 2p a litre. If you live in London and have to drink the hideously cloudy and foul-tasting recycled liquid, it may take a while to get used to it after Evian [trust me!]).

This also uses less packaging, which is good for the environment. Good for the environment can be good for you!

Use this technique for everything that doesn’t have a short shelf life, soft drinks, bottled water, toilet rolls, butter/spread, tinned goods, frozen goods. Doesn’t work so well for short-life products like milk, but work it out. If you can use a six pint bottle then it’s still better value than a four and a two pint, or three two pints.

You can save hundreds of pounds shopping this way.

Credit Crunch: A Survivor’s Guide

Posted in Life..., Personal Finance, Uncategorized with tags , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , on December 8, 2009 by stanleyriiks

The credit crunch has hit me hard. I haven’t lost my job (so far), but my income has decreased significantly (about 25%), the threat of redundancy has loomed over me for the whole of 2009 and is likely to be an issue again in 2010. During this time of difficulties I’ve had to tighten my belt, to cut costs, I’ve had to crunch my own credit, look at my needs and expenses and try to put together a back-up fund for emergencies.

It has been hard. The credit crunch was unexpected by most people, including me, and because there was no warning I found myself unprepared.

To give you some background, I have a full-time job (the joy!), I live in rented accommodation (which until recently I enjoyed alone). I enjoy good food, regular holidays, lots of tv channels, unrestricted broadband internet access, buying things when I want them, not having to save forever to get an iPod touch, and being in control of my money.

That is until I realised how precariously balanced I was on the financial divide. The divide between the haves and have-nots. Because of the credit-crisis it’s not so much of a divide any more, and there’s no border patrol stopping you going over to the other side now.

I plan to put together a series of articles aimed at making you look at your money and getting you to think about how you spend it. This isn’t a get rich quick scheme, it’s not a 12-step debt removal system, it’s just a common-sense way of looking at money and how you use it. The idea is to take in this information and use it to save yourself some money without having to go without too much.

Next time: Budgeting