With costs rising do you look for ways to make more?

Beeman · #21 04/11/08, 12:54 AM

Quote:

Originally Posted by DJ in WA

Okay, here's a question to go along with this.

Sure, prices of things go up, but don't wages also? I mean, a hundred years ago, weren't people making about a buck a day?

Maybe wages lag behind price increases, but it seems that in general, people are more affluent than they've ever been. Average house size has gone way up, more gadgets, cars, food, obesity, etc. Energy is apparently still cheap considering how we waste it.

Wages go up, but not in line with many basic costs. Look at the increase in energy and taxes alone then throw in health care costs both insurance and actual medical. Health care costs are up 78% in the last decade and projected to go up 100% in the next decade. I'd like to see wages keep pace with that. Electric company just announced a 9.1% increase, I don't think I'm getting a 9% raise any time soon.

100 years ago I would most likely be dead already or have lived past my prime.

Bartering with a hospital or electric company doesn't work neither does barter for your property taxes. I never advocated not enjoying your life as I've done plenty of that too. As the saying goes make hay while the sun shines I can say it's easier to make money before your back hurts.

michiganfarmer · #22 04/11/08, 05:56 AM

Quote:

Originally Posted by JV

I think part of the answer to that question depends on how much you earn. If you earn minimum wage, you would naturally look for ways to reduce spending. If you make $50/hour, then you may want to look for ways to make more money rather than spend your time/energy reducing spending.

that sounds completely backward. Mabey I am just missing something

JV · #23 04/11/08, 09:40 AM

Quote:

Originally Posted by michiganfarmer

that sounds completely backward. Mabey I am just missing something

Well, say you are finding yourself behind $100/month or just say you want to save an extra $100/month:

If you are making $8/hour, you could work for 12 more hours a month to make that $100. If you spend those 12 hours on doing things to reduce your costs, you will probably come out more ahead than $100 in savings, especially when that time is compounded.

If you make $50/hour, it may just be easier to work an extra 2 hours a month because you won't be able to reduce your spending by that much with 2 hours a month.

When you think about taxes, this becomes even more true. Of course it is a very utilitarian way of thinking about things - and does not take into account what we would rather do with our time. I know I have worked some jobs where I would rather spend 12 hours reducing expenses rather than 2 more hours on the job.

michiganfarmer · #24 04/11/08, 10:50 AM

I keep looking for ways to increace the amount of things I can make for myself on my own property

Sparticle · #25 04/11/08, 11:11 AM

our company gives a maximum raise of 2% once you are beyond probation period. that doesn't come close to the cost of living increases. I'm doing like many others, looking for ways to get further away from the need for cash. Every time I start running out of something that i usually buy at the store, well it's that item's turn to be duplicated at home if possible. I'm learning how to make more and more of things that I used to buy pre-made at the store. sure I have to buy some bulk ingredients, but some of those you can get semi-locally and greatly reduce the amount of money spent.

If you look at everything you buy (laundry detergent, cleaning agents, lotions etc) and try to come up with cheaper (also usually healthier) products you can make your self, it can be overwhelming. So I am trying to spread it out into smaller "projects" and learn how to make just one or a few things at a time.

I don't want to increase my indentured service to "the man" so that I can afford to pay him more for the goods he sells me.

JV · #26 04/11/08, 11:12 AM

Quote:

Originally Posted by michiganfarmer

I keep looking for ways to increace the amount of things I can make for myself on my own property

By far this is the best long-term strategy if you want to be in control of your life as much as possible.

There is often a conflict between short-term needs and long-term needs. Managing that conflict intelligently is probably the definition of wisdom.

michiganfarmer · #27 04/11/08, 11:13 AM

Quote:

Originally Posted by JV

Well, say you are finding yourself behind $100/month or just say you want to save an extra $100/month:

If you are making $8/hour, you could work for 12 more hours a month to make that $100. If you spend those 12 hours on doing things to reduce your costs, you will probably come out more ahead than $100 in savings, especially when that time is compounded.

If you make $50/hour, it may just be easier to work an extra 2 hours a month because you won't be able to reduce your spending by that much with 2 hours a month.

When you think about taxes, this becomes even more true. Of course it is a very utilitarian way of thinking about things - and does not take into account what we would rather do with our time. I know I have worked some jobs where I would rather spend 12 hours reducing expenses rather than 2 more hours on the job.

gotcha

Wildwood Flower · #28 04/11/08, 11:20 AM

I'm taking out another booth in my antique mall. I have a bunch of old furniture in the barn plus a bunch of other things I'm going to try to sell.

I thought I'd go to the auction and get more to refinish.

Basically we need 2-$300 more a month to be more comfortable. I thought about getting another part/time job, but don't really want to.

Beeman · #29 04/11/08, 12:59 PM

Quote:

Originally Posted by JV

Well, say you are finding yourself behind $100/month or just say you want to save an extra $100/month:

If you are making $8/hour, you could work for 12 more hours a month to make that $100. If you spend those 12 hours on doing things to reduce your costs, you will probably come out more ahead than $100 in savings, especially when that time is compounded.

If you make $50/hour, it may just be easier to work an extra 2 hours a month because you won't be able to reduce your spending by that much with 2 hours a month.

When you think about taxes, this becomes even more true. Of course it is a very utilitarian way of thinking about things - and does not take into account what we would rather do with our time. I know I have worked some jobs where I would rather spend 12 hours reducing expenses rather than 2 more hours on the job.

If you're making $8 an hour your time would be much better figuring out how to make more per hr. Any type of side venture should net much more than $8 per hr. plus give you tax advantages if you're serious in any way.

neolady · #30 04/11/08, 07:41 PM

A bit of a wierd view, but I'll try and explain it right.

With the rising costs of transportation, I will not go in to work on the weekend to work OT - if I can't stay the extra time at night and do it, I am not going in for two or three or even four hours on the weekend to do it. My logic runs that first, my employer only pays OT at straight time rates, and the cost of the travel, parking, and tolls don't make it worth while going in for anything less than a full day's pay. I'm better off staying at home and making some decent meals and freezing them for the week so that I don't have to stop and pick up some take-out food for those nights that I am late getting homg.

Beeman · #31 04/14/08, 08:47 PM

Just priced a battery for an older Ford pickup, $95-$115 with tax. I don't see how cutting back or doing yourself is going to buy extravagances like this.

cheapskate · #32 04/14/08, 09:19 PM

[QUOTE=Beeman;3015591]Just priced a battery for an older Ford pickup, $95-$115 with tax. I don't see how cutting back or doing yourself is going to buy extravagances like this.[/QUOT

WOW! I have a warehouse full of batteries that would work great for your old truck. I retail them at $40.00 exchange. 1150 cca, handles on them....the works. Brand new too, not factory seconds or refurbished.

Blu_Sky · #33 04/14/08, 09:42 PM

When I read the name of this thread I first thought more homemade stuff. I am increasing that in a big way. Just switched to all homemade bread. We rarely ever eat out. Have been makeing own laudry soap for about 8 mo. now. Keep looking for ways to make things/do with out. better to plan for a time when things are tight (not yet for us thank goodness) than to have tough times hit and wish we had been better stewards of what we had.

Beeman · #34 04/15/08, 07:42 AM

[QUOTE=cheapskate;3015699]

Quote:

Originally Posted by Beeman

Just priced a battery for an older Ford pickup, $95-$115 with tax. I don't see how cutting back or doing yourself is going to buy extravagances like this.[/QUOT

WOW! I have a warehouse full of batteries that would work great for your old truck. I retail them at $40.00 exchange. 1150 cca, handles on them....the works. Brand new too, not factory seconds or refurbished.

That's great, next time I'm in Munchkinland I'll look you up. Do I have to click my red shoes 3 times to het there? At over $3 a gal. for gas I hope that's how you get there.

Sparticle · #35 04/15/08, 08:20 AM

Quote:

Originally Posted by Beeman

Just priced a battery for an older Ford pickup, $95-$115 with tax. I don't see how cutting back or doing yourself is going to buy extravagances like this.

cutting back on all the non-essentials means you can use the money you already make to buy things like this.

Rowdy · #36 04/15/08, 09:09 AM

Well, I already work 50 hours a week, with the option to work 24 more hours of overtime if I want each week. I usually do not work the optional overtime because I work in a stressful place, and the extra 24 hours cuts into my time to work around the hacienda... So, I've been trimming costs where I can instead of hunting more work.
However, I do some custom tractor work here and there, and now that the price of eggs is pretty high I might expand my chicken operation to sell to the people that are always asking about buying eggs from me.

I doubt I can find a second job, enough odd jobs, or produce anything here on the homestead that could equal the $1500 extra a month I'd make if I worked all the overtime that I'm allowed each month... but right now the extra stress is not worth it.

whinnyninny · #37 04/15/08, 11:57 AM

Quote:

Originally Posted by Windy in Kansas

I lean toward finding new ways to trim expenses instead of raising income.

I think it's better to look for a way to cut expenses, too, if at all possible. How can I expect to make a few extra dollars when other peoples' budgets are getting tighter too, and they don't have any extra money to spend?

whinnyninny · #38 04/15/08, 12:03 PM

Quote:

Originally Posted by JV

Well, say you are finding yourself behind $100/month or just say you want to save an extra $100/month:

If you are making $8/hour, you could work for 12 more hours a month to make that $100. If you spend those 12 hours on doing things to reduce your costs, you will probably come out more ahead than $100 in savings, especially when that time is compounded.

If you make $50/hour, it may just be easier to work an extra 2 hours a month because you won't be able to reduce your spending by that much with 2 hours a month.

When you think about taxes, this becomes even more true. Of course it is a very utilitarian way of thinking about things - and does not take into account what we would rather do with our time. I know I have worked some jobs where I would rather spend 12 hours reducing expenses rather than 2 more hours on the job.

I assume most people living (or trying to live) on $8/hr have their budgets stretched just as far as they'll go!!! When DH and I got married 10 years ago we made $13/hr between the two of us, and the cheapest place we could find to live cost us 1/2 our monthly take-home pay. Our budget was stretched so tight you could've strummed it like a guitar. So what did my DH do, he looked for a way to make more money (took out student loans to go to school... now he makes 4 times as much money by himself as both of us made back then... too bad he had to take out student loans though, because the monthly payments on them are an entire weeks' pay now!) Now that he makes that much, we look for ways to reduce spending... he's started working more hours per day, but less days per week, to save money on gas (3-4 days per week instead of 5-6). He makes enough for me to stay at home, so I cook mostly from scratch and try to save money where I can. We have only 1 vehicle payment (only because we needed a reliable truck), we never go out to eat, we never go to the movies, we don't buy junk like soda or convenience foods, we haven't bought new clothes for ourselves in at least 2 years...

I heard a woman the other day griping about gas expenses, and how much extra it's going to cost her to drive their year-old Land Rover to their vacation home once a month this summer, for vacation... I wonder if she has room in her expenses to try cutting back.

cheapskate · #39 04/15/08, 02:01 PM

[QUOTE=Beeman;3016238]

Quote:

Originally Posted by cheapskate

That's great, next time I'm in Munchkinland I'll look you up. Do I have to click my red shoes 3 times to het there? At over $3 a gal. for gas I hope that's how you get there.

I didn't mean to sound flippant. If you ever are through this part of the country, central Kansas, you'd be more than welcome at our table.

OntarioMan · #40 04/15/08, 03:02 PM

Always looking for ways to spend smarter and earn smarter, but I think everyone needs to find their own balance. You may choose to work more hours, but I'd have to agree with whoever said "live life now" and "tomorrow may be too late".

I'd rather be poor and free than a rich slave - but its not always that easy, and sometimes you do what has to be done.

.