The FREE Budget Stretcher Newsletter
November 20, 2006



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    The Budget Stretcher
    Week Of: November 20, 2006
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    Grandpa Terry's Quips

    Tip #27 - If you play the lottery for 4000 or 5000 years you
    only have to buy 1 ticket a week to be sure of winning.

    Answer To Last Week's Question

    Question - You have a credit card with a $2,000 balance
    at 15% interest.  Your current minimum payment is $40.  How much
    would you save by continuing to pay $40 each month instead of
    paying the declining minimum payment?

    1) $200 - Pay off 3 months earlier
    2) $400 - Pay off 6 months earlier
    3) $800 - Pay off 1 year 2 months earlier
    4)$1000 - Pay off 6 years 5 months earlier

    Answer:

    By making the minimum payment only, it will take you 13 years and
    11 months to pay off your credit card and you would expect to pay
    $2,126 in interest.

    If you were to continue to pay $40 per week instead of the minimum
    payment listed on your bill you would save over $1000 and pay it
    off 6 years and 5 months earlier.

    To learn more about paying off your credit cards visit the below
    web page:


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    ***What's Inside***

    Money Saving Tip
    Subscriber's Tip of the Week
    Coupon Savings
    Grandpa Terry's Update
    Credit Card Information
    Grandpa Terry's Tip of the Week
    Site of the Week
    Grandpa Terry's Email
    This Week's Articles
    Special Recipe - Fudge
    Everyday Savings from http://www.thefrugalshopper.com
    Visit Our Web Site Sponsors

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    Subscriber Tip

    Terry...as a former Walmart associate, who has seen firsthand, the
    craziness at the layaway counter on Black Friday...you may want to
    remind people that WALMART NO LONGER HAS LAYAWAY. PERIOD.

    Suzy

    All you have to do is submit a "Subscriber Tip" and if it
    appears in The Budget Stretcher you will get your choice of
    either The Complete Budget and Bill Organizer Download or 10 of
    my Budget and Credit Card Calculating Forms.

    Please use the form available at:


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    Coupon Savings
    by Michelle Jones

    For many years (in fact, as long as I can remember!) I've been
    using recycled envelopes to carry my grocery coupons to the
    store. First, I love the idea of actually getting some use out
    of those legal-size reply envelopes that come in the junk mail
    every week, and second, envelopes are great for carrying
    coupons. I simply fold the flap of the envelope to the inside so
    I can easily look through the coupons while in the store and, to
    make full use of the envelope, I even write my grocery list on
    the blank side! I am sure there are many of you savvy grocery
    shoppers out there who do the same thing so just think of all
    the envelopes we are recycling each year! :o)

    Save hundreds of dollars on your groceries each month, with or
    without using coupons! Read more of Michelle's FREE grocery

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    Grandpa Terry's Update

    (Quote - "Do It Now Before Your Future Becomes Your Past")

    I want to personally welcome you to this week's newsletter. If
    you are a new subscriber all you have to do is just sit back,
    read and enjoy.

    I know that many of you have some type of home-based business
    or web site that you would like for others to see.  So, starting
    this week, when you submit a tip you can also include a link to
    your web site, even if it's a personal site you would like to
    share.  All web sites will be checked before they are listed to
    ensure that they are appropriate for our family oriented
    newsletter.

    Speaking of tips, my supply is running low again.  Remember,
    you can get either a free Budget Organizer or my 10 Calculating
    forms if your tip is published so get them in now.  Here is
    where you can submit:


    I have an excellent article "SAVING TIME AND MONEY AT THE
    GROCERY STORE …in the electronic age By Paul Davis that I would
    like for you to read.  You can find it in the regular articles
    section below.  Also, make sure to click on the link at the end
    of the article to easily find the special offers in your area.

    Here is the second article that can help you get ready for
    winter:

    10 ways to winterize your home -- now
    By Christopher Solomon

    That's all for now. Remember, I really enjoy hearing from you
    folks. If you have any comments, complaints, suggestions or just
    want to say Hi, please send me an email to

    If you know someone that may be interested in subscribing to
    our newsletter just have them visit:


    All the best,
    Grandpa Terry

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    Support Our Sponsor

    100 Tips to Double Your Dollars is here. This 20-page e-book
    packed with terrific tips is totally *FREE* for a limited time
    only. When you purchase any of my e-books, including "Pump Up
    Your Prose, " I will send you 100 Tips to Double Your Dollars
    FREE! Or, if you would like to purchase it now, it is only $9.99


    Hurry-the free offer will be gone soon!

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    Credit Card Information

    Managing your cards: Introduction
    By Bankrate.com

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    Grandpa Terry's Tip of the Week

    I received an email from a subscriber and think it should be our
    Tip of the Week this week.  I believe Kathy has some great
    shopping tips.  Here is her email:

    Hey Terry,

    Thanks again for all the help you've sent my way and for all
    you do with the newsletter & site. I really do appreciate
    everything.

    I wanted to let you know of a site that your readers may
    benefit from. With Black Friday (the day after Thanksgiving)
    coming up, there will be some wonderful deals in the stores.

    It's important not to impulse buy that day, but a plan of attack
    can save some money on gifts or supplies that you may need
    around the house anyway. The website http://bfads.net has/will
    have the store circulars (some are already posted) for deals out
    there that day! If you don't get the paper or want to plan your
    moves ahead of time, visit the site and see what each place has
    to offer.

    A few tips...

    If you want the big ticket items (like PC's) you have to be
    there early, not when the door opens. Plan to stand outside in
    the cold for at least a couple of hours. This is for the
    limited/hot items though.

    Split up! Take an active friend/companion with you and split up
    inside the store. Let them get a few things and you go for the
    rest, then hightail it to the door and go to the next stop.

    Don't dawdle. This isn't the time to pick up gifts or look for
    anything that you don't have on the list (that isn't on BF
    morning sale). You can come back later in the day to do the more
    relaxed shopping.

    People are greedy and that's what usually leads to a fight. If
    you put something that's limited in your cart and turn your
    back, some will take it! If at all possible, carry it or keep a
    hand on it while it's in the cart.

    Make sure to keep your receipts and rebate forms! Fill these
    out once you get home and get them in the mail the next day.
    This is the best way to save money on BF (with the exception of
    staying home completely). Make sure to follow the rules to a T
    when filling those out.

    Many stores have sales online also. You might be able to stay
    home and shop in your pajamas. Visit the websites ahead of time
    to see if their sales are valid online also. If you have trouble
    finding this out, email the company.

    Last but not least... be polite, patient and smile at someone
    that day. I know it's crazy out and everyone is in a frenzy, but
    one small smile can make a persons day. Especially those working
    at the checkout.. lol.

    Hope this helps someone get a great bargain!

    Kathie

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    Site of the Week

    Frugal For Live Blogspot

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    Grandpa Terry's Email

    Terry, the budgeting organizer isn’t working for me with the
    percentages. We don’t pay any mortgage on our house (we now own
    it) so there are no Housing Expenses to warrant the 30%. Only
    Land Rates and House Insurance.

    I have purchased the Excel Budget Forms so the calculations
    aren’t working as I would want them to. Also, I use a credit card
    for our household expenses to help me keep a better track of my
    spending on each category. Yes, I realize you recommend using
    cash, but I don’t like having cash in my purse as its too easy to
    spend on other things. The CC works for me if I pay all my bills
    with it each week, then transfer this amount from my checking
    account to it.

    I was hoping to use the budget organizer as some weeks we have
    more bills to pay than we do income, hence using the credit
    card. I get paid fortnightly and my husband weekly, so I try to
    pay the bulk of our bills on my pay week. It makes it a bit
    complicated to work with.

    Hope this makes sense.

    Regards
    Jenny

    My Response:

    Hi Jenny,

    The budget organizer's percentages are simply targets and can
    be adjusted to fit your budget. It looks like the main problem
    that is causing you to use your credit cards to pay your bills
    is that you have too much coming out on given pay days. Using
    your credit cards, if you pay them off each month, is fine.
    However, if you carry a balance, this could lead to big problems
    in the future as the balances will increase significantly.

    Here is a tip that might help. Go to your budget organizer and
    use the Monthly Bill Summary Part 2. Organize your bills so that
    you have an equal amount coming out each payday and can still
    pay the bills on time. This should eliminate the need to use
    your credit cards to pay your bills.

    I hope this helps,
    Terry

    -------

    Hi Terry,

    Just wanted to drop you a quick note and tell you about my
    budget. It's a little strange, but it's working for me, and in 3
    months I have paid off over $1500 in debt. And I only bring home
    about $1200 a month from my job.

    Here's what I'm doing:

    I make payments to the credit card companies every 2 weeks when
    I get paid. First I write checks and pay the usual living
    expenses, rent, phone, electric, etc. I have no car payment.
    After that, I'm putting a small amount into savings, only about
    $20 a paycheck right now, but better than nothing. I have so
    much debt right now (about $18, 000 total) that I figure I'm
    actually saving money by putting most of my money towards the
    credit cards. After the savings, most of what's left of my check
    goes to pay off debt.

    As for spending, I'm still using the Discover Card for the
    cash back but I'm paying the full balance every month. I've been
    only buying essentials, such as groceries, gasoline, toiletries,
    and clothing, but now that the holidays are coming I'm trying to
    pick up a few gifts every couple weeks instead of buying them
    all at once. I work at a hospital, and I've discovered that
    eating in the hospital cafeteria is cheaper than groceries. It's
    a payroll deduction when I buy food there, but I'm going a full
    pay period spending only about $40 on food there, and maybe
    another $20 for a few essentials for home. (I'm single, with no
    kids, so this works for me!!)

    I'm also trying to find a part time job for the season to split
    between the credit card and the savings account.

    I have a home based business and earn another $100 or so a
    month, sometimes more. I also have rented out my spare bedroom,
    which brings me an additional $200 a month. Another thing, I
    actually tried debt consolidation, but found it would be cheaper
    to just negotiate with my credit card company. The card with the
    high balance is with Bank of America, formerly MBNA. I found
    that the only way to negotiate with them is by letter, every
    time I call I get told they can't help me. After the first time,
    I followed up with a letter and had my APR reduced from 24.99%
    to 2.99%!!!! So I guess what I have is sort of a non-budget. All
    I'm really doing is keeping track of my spending, paying my
    living expenses first, saving a little bit, and paying down my
    debt, paycheck by paycheck. It feels nice to finally be in
    control again!

    Take care, and have a great Thanksgiving.
    Kim

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    Subscriber Tip

    For readers looking to give away or receive something useful
    FREE, Freecycle on Yahoo Groups has a group in many major
    cities. It's a great resource for anything from Halloween
    costumes to food items to major appliances. We use it regularly
    and have given away various items as well as acquired a working
    computer monitor and microwave. Check it out.


    Leslie

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    Budget Stretcher Partners

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    Subscriber Tip

    To get at least two more goes of makeup after they (appear to
    be) are empty - put the bottle, jar, tube in a container of
    boiling water and leave until it cools. You will be amazed at
    how much is left around the sides. This applies to hand cream
    etc als. Another way with anything in tubes is to cut the
    bottom off the tube and cut up one side - quite a lot adheres to
    the sides of the tubes.

    Lorraine

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    This Week's Article Links

    Just click the links to view the article

    SAVING TIME AND MONEY AT THE GROCERY STORE
    …in the electronic age
    By Paul Davis

    Missed mortgage payment? Catch up, pronto
    The Debt Adviser by Steve Bucci • Bankrate.com

    How-To Warm up Your Thanksgiving Décor, with "Creativity, Not Cash!"
    By Kathleen Wilson

    To read more articles visit:

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    Join These Groups

    A_Simple_Life

    Frugal-Folks

    FrugalMomsNews

    FunOnABudget

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    Support Our Sponsors

    Debt Consolidation can:

    H - Help avoid filing bankruptcy
    E - Eliminate creditor harassment
    L - Lower debt payments up to 50%
    P - Provide one monthly payment


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    Special Recipe

    Holiday Cooking

    Fudge

    2 cups sugar
    3/4 cup milk
    1/2 cup cocoa, packed
    2 Tbsp. shortening
    2 Tbsp. light corn syrup
    1/4 tsp. salt
    2 Tbsp. butter
    1 tsp. vanilla

    Combine sugar, milk, cocoa, shortening, corn syrup
    and salt in a 2 quart saucepan.  Cook over medium
    heat, stirring constantly until mixture boils.  Cook,
    stirring occasionally to 234 degrees.  Remove from
    heat, add butter and vanilla.  Do not stir.  Allow
    fudge to cool at room temperature without stirring
    until it reaches 110 degrees.  Beat until fudge
    thickens and loses some of it's gloss.  Quickly, pour
    fudge into a lightly buttered 8x8 inch square pan.

    This recipe compliments of The Best Cookbook Anywhere Not Just

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    Everyday Savings

    These Tips provided by The Frugal Shopper

    Please show your appreciation for these great tips by visiting
    this site.

    SHOPPING TIPS

    WHILE SHOPPING

    ~~Always check the expiration date on dairy
    products.

    ~~Avoid anything disposable.

    ~~Convenience foods are more expensive, you are trading money
    for time. Slice, season, mix, and cook it yourself.

    ~~Always check the day old bread basket, and the reduced
    merchandise cart.

    ~~Always ask for a rain check if an advertised special is out
    of stock. While you are waiting for the product to come back in,
    look for more coupons for that product.

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    Contact Information:
    Budget Stretcher
    1203 Madison 228
    Fredericktown, MO  63645
    FAX:  573-783-5982

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    Disclaimer:  This newsletter is only intended to provide
    information on proper money management.  Budget Stretcher or
    Terry Rigg can not accept responsibility for any injury or
    damage that may be caused to yourself, others, or property when
    following any advice given.