Lesson 1: When Not to DIY

In the past year, we only went out an average of 1-2 times per month to run errands and our garage door therefore got very little exercise. One day last month, when I was leaving for my monthly grocery shopping trip, the door wouldn’t close. I left it to Madoline to figure out, and when I got home I found the door stuck halfway down and slightly slanted, having come un-aligned and with 2 of the upper wheels fallen out of the track on one side. Being confirmed DIY-ers, we tried to see if we could fix it ourselves, which involved me standing on the back of a sofa we had purchased at Goodwill (with the plan of re-upholstering it) and wrestling with the door, but soon decided it was best left to a professional and we made to by putting the wheels back in the tracks to keep the door from sagging and damaging the entire contraption.

Our biological father came to visit last week, and although I told him we needed to call a professional repairman, he thought he could fix it to save us some money. One and a half hours later, the door was more crooked, we had lost 3 more wheels, the tracks had been knocked out of place and the door was literally hanging. Furthermore, I found out after the fact that my father had severely endangered his own life, and even worse, MY LIFE, by unwinding the tension cable. And worst of all, he had damaged the door further so that what might have been some minor repairs became major repair, including replacement of the tension rod.

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Originally posted 2008-05-15 22:10:22.

For years, savvy travelers have been booking flights as many as 6 months ahead of time to take advantage of early booking discounts. This year, however, what used to be a smart move could end up costing travelers more money as airlines begin to cut back and cancel flights this fall. According to Airline Cuts Hit Fliers Who Planned Early by Matt Phillips of the Wall Street Journal, many travelers have already been influenced by this situation.

Some of the ways in which these flight cancellations are affecting travelers’ plans and pocketbooks are: Read the rest of this entry »

Originally posted 2008-07-07 06:30:29.

Next to the TV, DVD, flushing toilet, hot shower, computer and properly working automatic garage door, the internet is one of the best inventions ever. In fact, living in the desert as I do, I couldn’t get along without the internet. Even with the rising cost of internet service, the number of things it allows me to do makes it totally worth the cost and actually helps me to save money. Here I will share over 30 links to my favorite websites that provide free products or services. I will also include my favorite shopping sites for saving money. (Note: All links open in a new window.)

Productivity

• Check out one of my earlier posts Save Hundreds with Open Source Software for a list of open source applications with short descriptions of their functions and links to the websites for free downloads. These are not free trials but completely free programs that stay free and upgrade for free.
• Google Calendar is a handy online calendar that can send alerts to you by email or pop-up reminders. The program allows you to share your calendar with friends and family who also use Google Calendar so you can coordinate schedules with each other.

Computer Protection

• ZoneAlarm Free Firewall can filter all traffic in and out of your computer. The most secure setting will warn you of even legitimate access to the internet and of every attempt by a program installed on your computer to access the internet to check for updates, etc.
• ZoneAlarm Spy Blocker Toolbar protects you from spyware while surfing the net.
• McAfee SiteAdvisor warns you of bad sites and has profiles for each tested site with details on downloads, spam email count, and user reviews. It also shows the safety rating for web search results with a small icon next to each link: green for safe, red for unsafe, yellow for caution, and gray for untested (you can submit a test request for gray sites).
  

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Originally posted 2008-05-26 12:33:47.

Now that tax time is coming around, I’ve noticed an increase in tax related scam emails in  my inbox and spam folder. They come in various forms with different sender names and subjects, claiming to be important notifications about your taxpayer account, your tax refund, and new this year, your economic stimulus or bailout check.

By now, most savvy internet users have seen enough phishing emails to know what to do about them — ignore or delete them, or if you want to make a difference, report them — but for those of you who are new to phishing schemes and internet scams, here is a heads-up.

Some of the fake IRS e-mails I have received look like this:

From the IRS website:

The IRS does not initiate taxpayer communications through e-mail.

• The IRS does not request detailed personal information through e-mail.
• The IRS does not send e-mail requesting your PIN numbers, passwords or similar access information for credit cards, banks or other financial accounts.

If you receive an e-mail from someone claiming to be the IRS or directing you to an IRS site,

• Do not reply.
• Do not open any attachments. Attachments may contain malicious code that will infect your computer.
• Do not click on any links. If you clicked on links in a suspicious e-mail or phishing Web site and entered confidential information, visit our Identity Theft page.

No matter how convincing the e-mail looks, do fall for it. Report it to the IRS.

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Originally posted 2009-02-24 07:00:55.

As most of you must know, the California wildfires have been getting worse with each passing year. According to Peter Sanders of the Wall Street Journal, fire season has barely begun, but in the past 3 weeks, the fires have consumed 631,000 acres of and $112 million in State funds. In the past 12 months, the State of California has spent an estimated $950 million in firefighting costs, a 41% increase from the previous year.

With a current budget deficit of $17.2 billion, the urgent issue of who should pick up the firefighting bill has arisen. Governor Arnold Schwarzenegger has proposed an insurance surcharge on all California home and property owners to help raise funds for firefighting.

But for those of us who have not chosen to build and live in the areas where these frequent seasonal fires occur, we can’t help but feel a little resentful of this proposal. The existence of homes in those areas drive firefighting costs up due to the necessity for differing procedures and additional resources. Not only does it cost more to have to use fire engines, airplanes and helicopters to defend these structures, but they take resources away from other remote fires that would otherwise be more quickly and easily contained.

According to Timothy Duane, professor of environmental planning and policy at UC Berkeley:

“When you are forced to move resources in defense of structures, it means you’re often taking resources away from other areas of the fire, or entirely separate fires, which means those fires are harder to contain with less resources. You have to deal with life, and property and natural resources, in that order, and when you’re dealing with the first two, it increases the extent of the fire and the time period before you can put the fire out.”

Yes, we do feel sorry for those who have lost their homes or whose homes are in danger, but they willingly purchased and/or built homes in areas that they knew were susceptible to seasonal fires. When we purchased our California home, we did so after researching the various environmental factors and comparing risks of natural disasters with other areas. With this sort of information readily available, as well as the fact that the wildfires are widely covered in the news each year, it’s hard to claim ignorance to the risk when they purchased or built their homes.

I know I should be more charitable and sympathetic, but frankly, with the daily inflation of food and gas prices, the heat wave increasing our electric bill, and decline in business putting a strain on our already modest lifestyle, I am not in the mood to pay a surcharge on my home insurance in order to make up for the poor home purchase decisions of others.

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Originally posted 2008-07-10 12:23:32.

It is not easy to be young, single and frugal these days when designer clothing and accessories, iPods and Blackberrys are king, and being cool and having fun is dependent on how much money you can spend. Frugal is not a word often associated with the first 2 traits – young and single – and frugality is something looked down upon as uncool, un-fun and downright unnatural.

So here are a few basic points and tips for the young and frugal. They may not help you climb the social ladder, but keeping them in mind and practicing them in whatever you do can keep you from falling off, and maybe help you to climb up, the financial ladder. And remember that basics are not just for beginners. They are taught first to beginners not because they are easy and therefore less important, but because they are the foundation upon which to build everything else.

Basics for the Young and Frugal

• Frugality is a Virtue
  This is not just another feel-good phrase to make you believe something that’s not true. The word frugal actually comes from the Latin word for “virtue” or “virtuous,” “valuable,” “worthy,” “deserving,” and many other good things. Check out my post and see for yourself. You should not be ashamed of being frugal; in fact, you should be proud that you are thinking ahead and planning and saving for the future – be it a down payment on a house or car, your retirement, a family, etc.
• Frugality entails sacrifice
  You will have to give up some luxuries if you truly want to save money. This doesn’t mean you have to give up every single joy in your life, but you will have to cut back.
• There is nothing wrong with staying home
  A little extra time to yourself at home is good. You’re paying rent or mortgage on your home, why not actually use it for something other than sleeping?
• It is never too late to take up a new hobby
  If you’ve always wished you could play a musical instrument, speak another language, sew or knit your own clothes, the sooner you start, the less time you’ll have for regrets and “if only’s” later. Invest in a useful hobby that will benefit you in later life as a professional or a parent, and stay home and practice it. For example, when you are a mother with a handful of children and not enough time in the day, you will be glad that you already know how to sew and mend clothing rather than having to learn to sew at that time.
• True friends will respect your choices
  If your friends put you down for your frugal lifestyle, then it’s time to find some new friends. Friends who really care about you will not repeatedly ask you to make sacrifices to feed their need to spend money. You don’t have to sever all ties with such friends, but there is nothing wrong with making new friends who share your values and can help you stay on track in your frugal lifestyle.
• It is never too early to think about your future
  Even if you are still 40 years from retirement age, you must start thinking about and take responsibility for your future. What if you’re lucky enough to live another 40 years after retirement? And this is assuming that all goes well and you do not need to take early retirement for any reason.
• A penny saved is a penny plus interest earned
  Check out my previous article and learn just how just a few dollars saved per day can turn into a small fortune over the course of 1-40 years.

Check back soon for suggestions for frugal activities and hobbies.

Originally posted 2008-03-25 16:36:19.

I’ve seen several threads on forums where individuals in debt have posted a general plea for help in reducing their debt and most people simply respond by telling them to cut spending. But how to cut spending and decide what to cut and what not to cut? This is where you have to discern luxuries from necessities.

A necessity is an item/service that you simply cannot do without in your everyday life and that is vital to your survival and situation.

A luxury is anything that is not a necessity.

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Originally posted 2008-04-25 00:59:12.