Cereal vs. Space Planes

Economics for a Three-Year-Old

Teaching Kids About Opportunity Cost

Today, while grocery shopping, I had the wonderful opportunity to teach my 3 year-old about the economic principle of opportunity cost (every dollar spent is a dollar that can't be spent on something else).

Dictionary.com defines Opportunity Cost as:

the money or other benefits lost when pursuing a particular course of action instead of a mutually-exclusive alternative

Or the British Definition:

the benefit that could have been gained from an alternative use of the same resource.

Basically, if we spend money on one thing, we can not spend that money on something else, the cost is the benefit of making the alternate choice.

A few examples:

If I buy a cheeseburger for lunch, I cannot use that same money to buy ice cream for dessert.

The cost of the cheeseburger is losing the opportunity to enjoy the calming sugar rush I get when I eat ice cream.

If I get a loan for a car, the money paid in interest cannot be used to go on a vacation.

The Opportunity cost of financing the car is not being able to use that money to relax, play and see something new.

Our lesson:

As I was walking down the cereal aisle, unbeknownst to me a little hand stealthily reached out and grabbed a box of cereal, a few minutes and an aisle later, I reached to place something in the cart and glimpsed something that I didn't put there, a box of Reeses' Puffs. 

My initial reaction was to remind him that he can't just grab things and put them in the cart (something he hasn't tried to do in months), but as I was scrambling for an appropriate consequence, I paused and realized there was a much better way to handle this.

Yesterday when I was giving him his allowance he told me he wanted to use his money to buy space airplanes, Echo and Bravo from the movie Planes, which cost about $6-8.

I bent down so I was looking him right in the eye and asked him if he wanted to use his money to buy that box of cereal, he said Yes.

I then asked if he wanted to buy a new airplane, he got really excited, "Yes, a space airplane......."

Next I explained that the box of cereal cost the same amount as a new airplane (not quite accurate, but reasonably close), and asked if he would rather use his money for cereal or an airplane, he firmly replied "A space airplane!" so we walked back to the cereal aisle and he happily put the box back.

In that instant he made the decision that the benefit of a new airplane outweighed the cost of not getting a box of Reeses' Puffs.

It doesn't mean cereal would have been a bad decision, it means he's choosing something he wants more.

He doesn't know it but he just had a lesson in Opportunity Cost, Delayed Gratification, and Budgeting.

Helping children understand the principle of opportunity cost while they are young, can help them make decisions that align with their values and goals when they are older and the decisions carry more weight.

BUT.... 

It seems overwhelming, even to someone who's spent a good amount of time studying this very concept...

I'm going to break it down into 3 steps:

1. Stop (or cut back on) buying things for your kids and instead give them the money to buy those things themselves.

Whether they do chores for they money or you give them an allowance (read my thoughts on Allowance here), kids need to have their own money so they can have opportunity to make decisions with it.

When they want something at a store, event, etc. the empowering response sounds something like:

Did you bring your money?

Do you have enough money?

Is that what you want to spend your money on?

2. Guide them, but let them make their own choices.

You might suggest:

That costs $xx.xx if you wait you could get it for less at _____.

You might want to wait and look at some other things before you decide.

Weren't you saving money for _____? Would you rather have this or _____?

That's XX weeks worth of allowance or XX jobs, is it worth it?

If my 3 year-old had decided to buy cereal, I would have let him.

3. Allow them to Make Mistakes

Nothing helps kids learn financial responsibility better than a toy that breaks after 10 minutes, 

Or a drink that disappears while a brother is still enjoying a toy, 

Or watching a sister enjoy a whole new wardrobe for the price of your one pair of designer jeans,

Or watching your sibling go to a movie on Friday night AND Ice Skating on Saturday night, when you only get to go to the movie because you spent $10 on concessions.

It doesn't mean that any of the decisions were "BAD", though they may be "SAD", OR maybe that buttery popcorn, or those jeans that look great and fit perfectly were worth it.

It's not about making decisions that please mom and dad, it's about teaching children how to make decisions that align with their values and goals. 

It's about making sure that the lost opportunity is a price they're willing to pay. 

If you found this post interesting, you might also enjoy 

Six Things My Parents Did Right When Teaching Me About Money

and

Allowance: Money without Work

I also highly recommend the book Piggybanking for more ideas on how to teach kids about money, it's a quick easy read and quite entertaining.

Three Ways to Protect Your Identity and Your Finances in Less Than an Hour

1. Take a look at what's in your wallet

One time a college professor (you can visit her blog here) told us to pull out a piece of paper and write down EVERYTHING in our wallet. When we were done with our list we were then to pull out our wallet and compare the contents to our list, the point being that if we didn't know it was there it shouldn't be there.
That store credit card you signed up for 3 years ago to get a great deal, but have only used once or twice since? Imagine if your wallet got stolen and you forgot that card was in there because you've forgotten you have it. You responsibly cancel all your other credit cards, but the thief can still max that one out.
If you don't know you have it, perhaps reevaluate whether or not you should have it.

2. Cancel cards you don't need and relocate items you need but don't use regularly 

Place infrequently used items in a safe-deposit box, a safe, a locking drawer, or some sort of safe place.
These might include an HSA or FSA card, a debit card for a second account, a credit card you only use for large purchases, a store card, etc.

AND if you're still carrying your Social Security card in your wallet, STOP IT!

You're making yourself an easy target for identity theft.

3. Pull a copy of your credit report here.

Not your credit score, they're two different things.

A Credit Score is basically a grade of how you use credit that is available to you, it's only important to know your credit score if you're considering borrowing money.

A Credit Report is a record of your financial dealings.
It will show all the lenders who have extended credit or loans to you.
It will show whether you pay on time, the amount of your payments, the total amount of your loan or credit limit.
It may show current or previous employers.
It will show short-sales, foreclosures, bankruptcy and other matters of public record.

Federal law entitles you to one free copy of your credit report from each credit bureau every twelve months.
There are 3 credit bureaus
Experian
Equifax    and
TransUnion
So that's a total of 3 reports per year.

If it's your first time pulling your credit report, the recommendation is to pull all 3 at the same time.
Look over all of them and make sure there are no errors.

If you've looked at your report before then it's a great idea to pull one report every 4 months, start with one credit bureau now and then in 4 months pull the next, and so forth until you're back to the one you started with, this allows you to regularly monitor your credit for errors or signs of identity theft, for FREE.

Many websites will give you access to your "Free" credit report and "Free" credit score, but you end up paying for credit monitoring.
AnnualCreditReport.com is actually free. It is set up by the 3 credit bureaus to provide you with your Federally Mandated FREE access to your credit report.
DO NOT GO ANYWHERE ELSE.

Saving Money: Birthday Edition (Part Three)

Spend Less, Give More

The gift that keeps on giving

As parents, it can be very tempting to want to give children lots of STUFF. Stuff they need, stuff they want, stuff you want, stuff they don't even know they want. Fulfilling my 3 year-old's wish list this year, would have cost roughly $1,000,000. 

Nope, not a typo. Along with a squirt gun, toy cars, a Buzz Lightyear with wings and a laser, a golf glove, a birthday cake, and plenty of other things I don't remember. 

He also wanted a four-wheeler, a tractor, and a combine, and he didn't mean toys or power wheels. 

I purchased a few of the things that were reasonable, but less than I could have, and far less than he wanted.

He did get the "Red Combine" cake he wanted, thanks to a little spray paint:).

Most of us have financial constraints that limit what, and how much we purchase for our children. 

I'd like to suggest setting a budget of how much you can spend on your child, and then spending less than that. If possible, significantly less.

Before you draw the conclusion that it doesn't seem NICE or FAIR or GENEROUS. Hear me out.

Buy a couple of things that will make your child very happy, but stop before you hit your spending limit, and put the rest into savings for that child.

I started this when my oldest turned One. There aren't many things a one-year-old really wants or needs, but there can be many things a parent wants for their one-year-old. I decided rather than fall into that trap I would buy a few presents and then put the rest of the money I had budgeted into his UESP education fund. It continues to motivate me to shop sales and limit my overall spending, knowing that I am giving him a far more valuable gift than another toy or shirt he doesn't need. We may not be able to pay for much of our kids schooling, I don't know what our financial future will hold, but something is better than nothing.

The type of savings you choose for your child may vary based on your values, goals, abilities, and the age of your child, some people don't want to pay for college or trade school.

Other savings goals may include:

First Car

Down Payment on a Home

Mission

Wedding

Custodial IRA (if your child has earned income. This money could be used for education, retirement or a first home. If you choose to go this route discuss the pros/cons and risks thoroughly with a financial adviser.)

Remember, small amounts add up. Investing just $20 twice a year (Birthday and Christmas), for 18 years at a 6% rate of return, would yield about $1200 upon graduating from high school. Now that's a gift.

More than anything, this gift can teach them the power of sacrifice, self-control, and delayed gratification, and that's a gift that keeps on giving.

View my disclosure here.

Saving Money: Birthday Edition (Part Two)

Yesterday I posted about saving money on birthdays, specifically pictures.
Today I'm moving on to the second item on my list, make the birthday cake yourself.

The first birthday cake I made for my son was one of the most embarrassing failures of my life.

EVERY time I bake a cake we laugh about that cake.

The cake was very moist. 

The frosting was real buttercream.

 It was about 2 feet tall.

 I had no idea what I was doing. 

The cake crumbled. The frosting melted. 

It was definitely an event to remember.

My husband still swears it was the most delicious cake he's ever had.

I've tried repeatedly to re-create it (the flavor, that is, not the beautiful creation itself). I really think it was the Duncan Hines Red Velvet Cake Mix, other brands I've tried since haven't been nearly as good.
Since the above disaster, I've become a bit less ambitious. Single layer cakes only for now:)
However, for only a few dollars I've been able to create cakes for only a few dollars that make my birthday crowd just as happy as one from the grocery store bakery.

I search for decorating ideas on Pinterest and then choose a single layer cake that I'm confident I can make without fondant. I bake the cake the day before and then start decorating it first thing that morning so that I have time to come up with a backup plan if it fails.
Below are the links to the original cakes:
Basketball cake
Golf Cake
Combine Cake using these instructions to make the No. 3.

My other secret, is I use a springform pan (the kind used for cheesecake) to bake thick/tall cakes without having to bake multiples and stack them. I use this set, but any springform pan would work, I use the medium size for a single cake, but for the No. 3 I baked 2 cakes in the smaller sized pan.
I just use a cake mix and use the classic Pinterest hack to make a boxed cake mix taste like one from a bakery.
Add an extra egg.
Use Melted Butter instead of Oil and double the amount
Use Milk instead of Water.
(I can't figure out the original source to link to, if you know, I'd love to give proper credit to the person who came up with this idea)

Happy Baking!

Saving Money: Birthday Edition

We recently had a birthday at our house and, since that's what I've been focusing on, I thought I would share a few birthday related money saving ideas.

1. Take pictures of the birthday kid yourself.

2. Make the birthday cake yourself.
3. Set a budget, spend within that budget and put anything left over into savings for that child.

I'll be focusing on pictures in this post, be watching for the next 2 installments.

1. Take pictures of the birthday kid yourself.

I love pictures.

I love the ability to freeze time.
There are times when I like video, but for the most part I prefer still shots. I love looking back on pictures from when I was little. They invoke so many positive memories of my childhood. -
In my dreams I would hire a photographer 4 times a year, OK probably more. But financial constraints make it so that in reality can only hire a professional photographer about once a year, or less.
Having already hired a photographer six months ago for Newborn/Family pictures, and wanting Birthday pictures for my toddler (I refuse to use the word pre-schooler yet) and six month pictures for my baby in the same month, I decided to try taking my own. I had nothing to lose. If they turned out horrible, I would simply donate plasma and pay for a photographer.
Not so simple since I have 2 children and the nearest place to donate plasma is 30 minutes away. Oh and I don't like having blood drawn, and I think I might be anemic again.

Oh yes, pictures...

I grabbed my camera (a point and shoot) and we visited the farm.

I ended up with about a dozen that I like.
They're not perfect.
The coloring isn't perfect.
It's better than the times I've skipped pictures altogether.

I used PicMonkey to do some minor editing on a few of them, though not much because, I don't know what I'm doing.

PicMonkey is a great resource, there are lots of free actions to get you started, and if you find you want more, their "Royale" version is $4.99 for a month with a subscription that you can cancel at any time, far less expensive than purchasing Photoshop, especially if you're not sure the "Momtography" thing is for you.

The best thing about taking pictures myself was that when he became fed up we took a thirty minute treat break and then tried again

 

My Wild Thing

I'm going to leave you with one photography tip, it's the only one I know, and it may be really obvious to everyone reading this, but just in case it helps someone, here it is:
Move Back and Zoom In
Zooming in causes the background to slightly blur, creating a softening effect and making your subject the focal point.
It also does something with the proportions of the face so your picture will look less like a snapshot.
Yep, super technical, life altering photography tips, hope you enjoyed them.And if you're in Northern Utah and taking your own pictures is not for you, I'd love to give a shout-out to two awesome and reasonably priced photographers in the area.
I hope they don't mind.
Leslie Miller Photography

and
Brian Mickelson Photography

Instead Of...

Using Alternatives to Save Money on Baby Gear

Instead Of...

A baby bathtub typically costing $20-30

Choose...

the Summer Infant Bath Sponge

It costs less than half as much and can be used in the sink or the regular bathtub, whichever you prefer. This is easily one of my favorite baby products.

Instead Of...
A Diaper Genie with Expensive Refills
Try...
A metal trashcan with a lid


Instead Of...

A changing table $$$ a pad $20+ a pad cover $8+

Try...

The JJ Cole Diaper Caddy

For around $30 it contains baby's necessities and can easily be moved from room to room.
(If baby's room is not on the main living level in your home you'll love that you can keep one in your living room and not have it be an eyesore).

Instead Of...

A Maternity Pillow costing $50-100

Use...

A regular body pillow

Walmart has one right now for $10.88, you can also find them on Amazon for about $25


Instead Of...
Sticking with Walmart, Target and Amazon
Check out...
Ikea's baby department if you live near one, they have some great items that might save significant money. I love their toys, bibs, dishes, and I strongly considered buying one of their cribs. Ikea cribs are smaller than most, which some might find to be very convenient.

Instead Of...
Buying an expensive name brand nursing pillow
Visit...
NursingPillow.com and enter promo code BBFAC1 which will make the pillow free when you pay for shipping&processing. You'll end up with a nursing pillow for $12.95.




 The same code will work at their sister sites:
www.uddercovers.com
www.sevenslings.com
www.carseatcanopy.com
www.milkbands.com
www.bellybuttonband.com
www.babyleggings.com
www.hotslings.com

I have personally used their nursing cover, milkbands, nursing pads, and sling and have been very pleased with every product.

Instead Of...
Buying a bunch of expensive baby toys that just end up being clutter.
Purchase...
An Exersaucer or Jumparoo (As a side note, at $55 and $75 these are both good prices right now)
It's convenient because it provides a safe place to set your baby and the toys don't get lost. I prefer the Exersaucer over the Jumparoo because, in my experience, when they're little it's easier for them to turn the seat in the Exersaucer and when they get bigger it helps them practice their balance. My babies have started loving them between 4-5 months when they are strong enough to hold themselves up, and I use them until after they start walking to keep them contained.

If you Really want to save money...
Instead Of...
An infant carseat and stroller
Consider...
A Convertible Carseat and a baby carrier.
Chances are you will need to buy a convertible car-seat anyway in order to keep baby rear-facing until age two as is recommended, so perhaps it would make more sense to start out with a convertible.
Find out everything you need to know about choosing and using a convertible for a newborn Here.
The Maxi Cosi Pria with Tiny Fit, and the Combi Coccoro are even recommended for preemies! See the link above for other great seat recommendations and information
I'm considering doing this if/when I have another child. Instead of clicking their car-seat into the stroller, or setting it on a shopping cart, or lugging around that painfully heavy thing, I'll put baby in a baby carrier and have my hands free to manage the other two.
A great, inexpensive baby carrier I would recommend is the Infantino Sash Mei Tai Carrier. I tried it out with newborn number two and was very impressed, especially for the price. It lends the comfort, support and versatility of a wrap, but is easier to put on.
 


Instead Of...
Sticking with a Traditional In-Store Baby Registry
Start an Amazon Baby Registry Here
30 days before your due-date you are eligible to purchase remaining items for an extra 10% off (15% if you're an AmazonMom member)!!! And you can add products from other websites so if you've shopped around and found great deals it's a good way to pass those deals on to people who want to purchase gifts for baby.


Instead Of...
Buying Diapers Ahead of Time
Wait...
And find out which diapers actually work for your baby.
I regularly hear the suggestion to buy a box of diapers every month until your baby gets here to ease the financial burden once he or she is born. While this may seem great, it really makes no sense to me. In my experience, I've always been pre-paying medical bills (hundreds of dollars a month, so life's not really less expensive before my babies arrive) Why not open a separate savings account, take the money you would be spending on those diapers and stash it away. Then you don't risk buying boxes and boxes of diapers that won't work for your little one. What of your baby is allergic to the diapers you bought? My first baby could use any diapers, though for those first couple of months I preferred Huggies Little Snugglers. For my second, I bought Little Snugglers and he leaked out of them, constantly. The only diapers he didn't leak out of were Pampers Swaddlers, until he was 4 months old, and then his BM's changed and we can now use any diapers, yay for Sam's Club and Target brand diapers!!!
If you've saved that money instead of buying diapers with it, you can try different brands without having to try and exchange them, or, since you've already worked diapers into your budget you can use that money for other baby necessities, pictures (newborn pictures are the best!), or a babysitter for a night out (or grocery shopping)!!!

Visit brianmickelsonphotography.com to check out an awesome photographer with awesome prices!

How have You saved on Baby Gear?



This Post Contains Affiliate Links to help you locate great items at great prices. I haven't recommended anything I wouldn't choose myself. Click Here to view my Disclosure.

Soft and Fluffy 100% Whole Wheat Rolls

I LOVE BREAD.
A LOT.
However, I'm terrified of yeast.
I have failed at frozen roll dough more times than I've succeeded. Yep.
But, I LOVE BREAD, and I LOVE Saving Money, and I enjoy cooking. Therefore, I set out on a mission a year ago to conquer 100% whole wheat sandwich bread. I made two attempts and failed at both, so I gave up that mission and decided to just work on conquering something that involves yeast.
I succeeded at breadsticks for the first time in my life, and then I started trying to make rolls. The problem is, most recipes were a blend of whole wheat flour and all-purpose flour, or involved honey and butter, which gets EXPENSIVE. I'm not knocking honey or butter, but I just didn't really want to fork out that kind of money for my ingredients and then have to do all the work.

Yep, I'm that cheap.

So after a few failed attempts I combined elements I liked from a few different recipes and came up with my own using whole wheat flour, oil and sugar.
It's simple, cost-effective, and delicious.
Give it a try and let me know what you think.

24 Rolls:

4 Tbsp.  Yeast
1/2 c. Sugar
2 1/4 c. Warm Water

Combine. Let sit for 15 min.


Add
1 tsp. salt
2/3 c. canola oil
2 eggs
1/2 c. vital wheat gluten (improves texture)
                     This can be found in the baking aisle of most grocery stores by the flour and yeast or Amazon carries it in bulk: Vital Wheat Gluten - 3.5 Pound Can


Mix.

5-6 c. whole wheat flour

Add flour 1 cup at a time, until dough just pulls away from the sides of the mixing bowl and dough is moist but not sticky.

Knead about 5 min. in a stand mixer.

Form dough into 24 balls and place in 2 9x13 pans.

Let Raise until approx. double in size.

Bake 15 min at 400*F

Saving $$$ on Back to School

I know it's only midway through summer, and no one wants to think about going back to school yet, but the best deals come from planning ahead, and I found a good one!

CLOTHING!

Smith's and Kroger stores have digital coupons you can load onto your shopper card for:

$5 off a $25 Old Navy gift card

$15 off two $25 Gap Options gift cards (Gap, Old Navy, etc.)

$10 off a $50 Children's Place gift Card

$10 off two $25 Aeropostale gift cards

$10 off a $50 Guess gift card

If you plan to purchase items from ANY of these stores, buy the gift cards now and it will essentially give you an extra 20-30% off your purchase on top of any other great deals or discounts.

PLUS...

If you purchase the gift cards this weekend there's also a digital coupon to give you 4x fuel reward points on your gift card purchases (instead of the normal 2x). 

And...

If you don't need these gift cards for Back-to-School Shopping, they can also be given as Christmas gifts, or used to purchase Christmas gifts

Plan ahead and SAVE

Then use
 !!!
I Love EBATES!
Before you shop online you go to Ebates and search for the store you plan to shop at, then click on the link to the store and start earning cash back.
So, purchase that Children's Place gift card then go to Ebates and shop online to earn an extra 2.5% cash back on your purchases, you'll have spent $40 to buy $50 worth of merchandise and then you'll get an extra 2.5% cash back, and every few months Ebates will send you a check for the cash back you've accrued. EASY!

Backpacks 

Amazon's Deal of the Day today is 50%or more off Backpacks!

 There's something for everyone

 

Textbooks

Amazon is a great way to save money on renting and buying textbooks, or even selling ones that are no longer eligible for buyback at your school. Use the list of ISBN's from the bookstore to check prices and compare deals.

Plus you may be eligible to sign up for a free trial of Amazon Student and get free two day shipping on all orders. This is so helpful when setting up an apartment and getting ready for the first days of class.

Budgeting Simplified

If I've managed to convince you to TRY budgeting, you're probably wondering where to start.

Keep it simple. 

Start with just a few categories, then break them down into smaller categories as you find it's necessary/helpful

If you've never budgeted before, start tracking how much you spend in each of your predetermined categories. Next use the amount you're currently spending to determine an appropriate budget for those categories.

There are many ways to budget, try one, if it doesn't work, try another one.
In the last 8 years, I've used 6 Budgeting Methods. 

If needed, try a combination of methods.

There are 4 main components to a budget:

1.  Fixed Expenses: The things that don't change (or don't change often)
This may (or may not) include:
Mortgage/Rent
Auto Insurance
Health Insurance (If you pay for it yourself)
Life Insurance
Internet
Cell Phones
Spending Money

2. Variable Expenses
Groceries
Utilities
Water/Sewer/Garbage
Gas (Heat)
Home Improvement
Charitable Contributions
Auto Insurance
Gas (Car)
Entertainment

3. Irregular Expenses
Medical Expenses
Auto Service and Parts
Clothing
Birthdays
Car Registration
Service/Parts
Home Repairs
School Related Expenses
Christmas

4. Goals/Savings
Retirement
Emergency Fund
Education
New Vehicles
Down Payment on a Home

Debt
This may be a fixed expense if it's a mortgage or car payment, or in variable expense if it's credit card payment or Home Equity Line of Credit that fluctuates. It may show up in your goals category if you are trying to get debt paid off, or it may not be part of your budget at all [insert virtual applause here!]

Budgeting seems simple, estimate your monthly income, estimate your monthly expenses, designate how much income should go to each expense then adjust the allotted amount until all your categories fit within your income.

So why isn't it simple?

What makes Budgeting difficult for you?

The difficulty of budgeting typically stems from one (or more) of three difficulties:

Irregular Expenses like car registrations, birthdays, swim lessons, soccer, school clothes, Christmas, auto insurance, oil changes, tuition, on and on, it can seem impossible.
Surprise Expenses/Emergencies: a car breaks down, the water heater dies, broken bones, chipped teeth...

OR

The Budgeting Method you're using just doesn't work for you.

Here are some possible solutions:

Irregular Expenses

Write down all those expenses and the amount you expect to spend on them.

It might be easier to remember them all if you list them by month

Here's an example:

January

  Birthday               $XX

February

  Birthday                $XX

  Valentine's Day     $XX

  Birthday                $XX

March

  Birthday                $XX

  Birthday                $XX

April

  Car #1 Reg.           $XXX

May

  Mother's Day        $XX

June

  Father's Day          $XX

Then add all the expenses up and divide the total by 12(months).

This is the amount you will need to put away each month(either build it up in your checking account or open a separate savings account for just this money) to cover those irregular expenses.

There is a great FREE website that will do this electronically:

savingyourfuture.org

Try it out and see if it helps you keep your budget on track.

Emergencies:
Start building an emergency fund. The typical recommendation is 3-6 months of expenses, but if you don't have anything I recommend starting with a goal of a 1 month emergency fund.
By saving 10% of your income every month, after 10 months you will have acquired a 1 month emergency fund. However your income is probably more than your basic necessary expenses so really by saving 10% for 10 months, or 5% for 20 months, you'll have surpassed your goal, especially when you add in earned interest.
[Speaking of interest, we all know that interest rates are low right now, great if you're a borrower, not so great when you're trying to save. Try opening an online/high yield savings account for a slightly better interest rate, it also makes your money slightly less accessible (it typically takes 2-3 days for funds to transfer to your checking account) so you're more likely to only use that money in an emergency. Some companies that offer High Yield Savings Accounts include HSBC, American Express, ING, and Ally]                                    
***This is not an endorsement for any particular bank, compare interest rates and policies to decide if one of these accounts works for your situation.
Establishing an emergency fund will protect your budget from hardships such as car repairs, home repairs, or job loss.

Budgeting Method:
If your budgeting method is too complicated, confusing, time consuming, or overly confining, chances are you'll fail. There is no one budgeting option that will work for everyone, and just because you find one that works now, doesn't mean it will always work for you. If it doesn't work, try another option.
I'll address budgeting methods more in depth in another post, but for now here are 2 ideas to try:

The Envelope Method is a great, simple way to start budgeting. It's visual and it's easy.
1. Gather a stack of envelopes (one for each budgeting category)
2. Write the name of each category on an envelope
3. Fill each envelope with the amount of money you've budgeted for that category.
4. At the end of the month or pay period, however you decide to budget, you can save what's left or leave it in the envelope to rollover to the next month.
            If you prefer to buy a  professional envelope system, Amazon has a couple of great options here and here.

Mint.com is a free, and quite user friendly, online option.
I currently use Mint.com to manage my budget online.
Mint automatically pulls all of my credit card transactions and allows me to easily categorize those transactions so I always know where I stand within each Budget Category.

Homemade Baby Food Made Simple

A Great Way to Save Money

When I had my first baby I knew I wanted to try making his food. It seemed like a great way to save money while allowing me to provide him with the best nutrition possible. However, most of the information I found made it seem complicated and overwhelming.

The Truth:

It's no more difficult than making dinner.

Really.

The easiest way to make baby food:
Cook foods in a small slow cooker.
Puree with an immersion blender
Freeze individual servings in small disposable containers.

Yes, it really is that Simple.


Some Basic Guidelines:
Look for "OverRipe" fruit for better prices or use fruit that's getting too ripe for you to enjoy.

Cherries, which were on the verge of going bad, and an Apple

I loved using Baby Carrots: They're already peeled and roughly chopped. They are a great food to start with because carrots are hard to overcook and most babies love them.

Try using frozen fruits/veggies: Because frozen produce is typically picked and frozen at it's peak the nutritional content is optimal, plus it's less prep-work for you

For Older Babies:
Start mixing multiple flavors together
Add Meats, Beans and Grains
Brown Rice, Quinoa, Dried Beans(cook overnight in crockpot): High in fiber and very inexpensive.
Chicken Thighs: Dark meat contains more iron than light meat, babies need Iron.
Leftover Pot Roast.
Whole Grain Pasta
Spices: Adding mild spices to Baby's food can make it more palatable and help prepare them to transition to the flavors of table food. Avoid salt (and bouillons), sugar and butter. The goal is to help Baby begin life with optimal nutrition, not acclimate Him/Her to eating potato chips

Carrots and Celery. I mixed some of this up with leftover Pot Roast, and some with Chicken Thighs and Brown Rice

Avoid highly fibrous foods such as Broccoli, Celery, and Grapes until Baby is transitioning more to solids. Those "stringy things" can be tough to chew and swallow.
***Keep in mind that homemade baby food will be much higher in fiber than store-bought food, unless you strain it. If you switch from one to the other quickly it could make Baby constipated or give Him/Her the runs. No Fun.

Recipes? No need.
Use your own meals or store-bought baby food for guidelines.
ex. Beef and Vegetable baby food: Roast, Peas, Carrots, Onion
Keep in mind that Baby needs lots of fruits/veggies, some grains, and after 8 months some meat, poultry, fish, beans, eggs, yogurt and cottage cheese. 
Most fruits should be cooked to make them easier to digest and kill any bacteria or mold spores.

Other methods:
If you prefer just blending up what you're eating for dinner that night and feeding immediately a
Magic Bullet or Baby Bullet might be a good option. There are also inexpensive food mills for smaller amounts.

Of course, a regular blender or food processor will work just fine. I prefer the immersion style because it's easier to clean up.
Many people prefer to freeze food in ice cube trays, because a typical cube size is 1 oz. and you can thaw as many or as few cubes as you'd like.

Happy Cooking.

Leave a Comment if you have Questions, or Share a combination your little person enjoyed.

If you want specific recipes and more detailed instructions try visiting http://wholesomebabyfood.momtastic.com/

Four EASY Ways to Improve Cash Flow

 Four EASY Things You Can Do TODAY to Improve Your Budget

1. Compare Insurance Premiums
When was the last time you shopped insurance rates? If it has been more than a year call 2-3 different insurance providers and ask for quotes on your auto and homeowners/renters insurance. It should take less than 30 minutes and can save you money almost immediately.


2.  Sign up for Swagbucks
Swagbucks is a search engine that shares its ad profits with its users. Download the toolbar, use it as your search engine, and it will randomly award you with points called SwagBucks, these SwagBucks can be redeemed for Amazon gift cards, PayPal credits, and other great things. I signed up about 3 years ago and use the Amazon gift cards I've earned to buy books for my Kindle and Christmas presents for my family, as well as diapers and other non-exciting things.

Sign Up Here
 

3.  Take A Survey
Surveys are a great way to bring in a little extra cash in your spare time. The company I've found the most success with is MyView. Earnings can be redeemed for prepaid credit cards or gift cards to Amazon and other great retailers.



4.  Spend More on Groceries
WHAT???
This is supposed to be about SAVING money! I don't mean always spend more on groceries, I advocate shopping sales and using coupons, BUT... I have found that buying a few more expensive items at the grocery store can reduce the temptation to eat out, thereby keeping more cash in my pocket. If eating out is a budget buster for you, increasing your grocery budget could help your overall financial picture.
Care for an example or two?
It's easier to skip the sandwich shop and make your own at home if you have great bread, high quality lunchmeat and delicious add-ons.
I'm happy to make my own fried rice and orange chicken, but I'm more satisfied and less likely to splurge on eating out if I splurge on a bag of pot-stickers from the frozen food aisle to go with it.

This Post May Contain Affiliate Links, View My Disclosure Policy Here.