Maggie S. - Shopping on a Shoestring

Most of us are interested in finding ways to shop without breaking the bank.  But did you ever think that shopping could actually be affordable?  Spending money carefully on items that are needed can save you money for the things that you want or that are fun.  The more you cut back in one area the more you’ll have to spend in another area.

This topic is supposed to inspire, encourage, and equip you.  St. Exubery said “If you want men to build a boat, don’t just teach them carpentry skills.  Give them a love of the sea.”

Shopping on a budget or saving money at the cash register isn’t the be-all and end-all of money management.  The overall goal is to make money management a life skill, and it’s never too late to learn a new skill.

· Be a comparison shopper.
· Hit the sale rack first.  It's better for you or your child to fall in love with something on sale than something that's not on sale.
· Keep an assessment or inventory of upcoming needs (kids outgrowing clothes, car about to poop out, summer camp, etc.).
· Make your Christmas list (for next year) early and start shopping the sales right after the holidays.  And consider limiting the number of gifts.
· Yard sales, barn sales, warehouse sales, closeout sales
· consignment shops
· internet
· outlet shops
· coupons

When preparing for a big purchase ask for incentives, consider used items, and shop around for the best deal.  Don’t be afraid to ask for a deal and don’t be afraid to say “you’ll have to do better” and then be silent.  Don’t hesitate to walk away if you’re not getting the deal you think is right.

Once a year it’s good to assess big needs; cell phone plans, credit cards, loans, insurance.  Use this time to rollover, refinance, and reorganize.

Before you get a big item, prepare.  Answering a few basic questions before you shop can help prevent buyer’s remorse.  Learn to buy not be sold.  Know what extras to ask for and have an understanding of what a “good deal” looks like for the item you’re shopping for.  Understand what the seller wants; this helps you be prepared for negotiating.

Maggie shares her story of the dream house that she didn’t get because she didn’t understand the seller’s motivation.  She wanted the house so bad that they were willing to offer a higher price than perhaps was appropriate, but the seller accepted a lower offer instead.  Why did they accept the lower offer?  The other offer came with a later “take possession” date that wouldn’t interfere with school.  The sellers didn’t want to move until the end of the school year.

Be prepared to negotiate.  Go as a team.  Take your husband and play “good cop, bad cop”.  “I really want it.”  “Okay, but only if the price is lower.”  Again, be willing to say "you’ll have to do better than that" or be prepared to walk away.  Let the seller have a chance to say ‘no’ to some things so that they feel like they have ‘won’ something.  And never say ‘yes’ to the first offer.  Never offer to split the difference, and leave a small concession.

Think of alternatives.  Buy the computer you want and ask for add ons, free shipping free or free upgrades.  Check the source.  If you’re buying a toy, see if the manufacturer offers a better price.  Look for price matches.  Sometimes you get can get discounts for paying cash rather than a credit card.  Look for membership rates, frequent shopper programs, etc.  Combine with neighbors and buy in bulk.  Maggie’s community buys mulch in bulk at a lower price than each neighbor could pay independently, then they have it delivered to the neighborhood and cart it away in wheelbarrows.  Use the power of volume to your advantage.  Be flexible; be willing to ask.

Remember, “People willing to ask for a better deal are subsidized by those who don’t.” –Corey Sandler, Secrets of the Savvy Consumer

When you’re traveling, pack a busy-bag for kids that includes snacks and drinks from home.  Airport food will kill any budget.  Buy your toiletries at home and take a collapsible cooler to store food items in the hotel room.  Take a little first aid kit.  All this stuff is almost always cheaper at home.

Do you have a birthday party to plan?  State house offers a free birthday party.  Plan your party well in advance and then watch for theme items at sales.  Consider a breakfast birthday...pancakes are cheap.  Make your own cake and make the gift bags one of the activities rather than just filling a bag full of stuff and giving it away.

Affordable family fun.  Go outside – God is still free.  Check out your community calendar, Kids VT.  Get together with friends and ask for a group rate.  Consider trial memberships.  Take advantage of high school programs (plays, band concerts, musicals, etc.)  Barter; Maggie traded house cleaning for driving lessons.  Partner up with a friend and do dinner and movie nights.  One time you make the dinner (times two) and your friend gets the dinner and movie.  The next time your friend makes the dinner (times two) and you get the dinner and movie.

Holidays.  Shop all year to get good deals on gifts.  Consider giving coupons (i.e., good for one snuggly movie with mom) and enjoy free community events and celebrations.  Plan a potluck or Yankee swap.  And consider limiting gifts to three – like Jesus received from the three wise men.

Maggie was asked to speak on this topic because she has real experience in having to make every dollar work hard.  During a year and a half of unemployment, Maggie learned some shopping lessons and some life lessons.  Here is some advice from the field:
· distinguish between a need and a want
· accept that even needs can be delayed
· teaching your children delayed gratification is a gift...
· take a friend with you when you shop and yard sale. Having someone who will be honest with you can help a great deal. (Do you really need that?  Where will you use that right now?   Is that really your color, or is it just cheap?)
· be radical; ask for help early if you find yourself taking on water.  People are out there who want to help, but they can't help if they don’t know.
· Resist the temptation to not give when things are tight,  Pay it forward.
· agree to live on less and agree to have less
· look for the Valentines.  Be thankful for the smallest gifts and the biggest.

Make peace with God, who is in control.  Philippians 4:11 (in the Bible) says “I am not saying this because I am in need, for I have learned to be content whatever the circumstances.”

Discontentment grows by the steady stream of marketing fertilizer, slowly and consistently.  Decide what makes you happy and be content with what you have.

1 Timothy 6:6-8 says “But godliness with contentment is great gain. For we brought nothing into the world, and we can take nothing out of it. But if we have food and clothing, we will be content with that.”

“Poverty consists not in the decrease of ones possessions or income but in the increase of ones greed.”  -Plato

Wealth is not what you have, but who you are.

Even in a year and a half o f unemployment, the Swanke family never wanted for as much as much of the rest of the world wants.  We live in an incredibly wealthy country.

Maggie tells the story of a Sunday sermon she once heard.  The pastor asked his young daughter to get up on the piano on stage, which she did.  He then, without making any indication of whether he would catch her or not, he asked her to jump.  Obviously he caught her.  But why did she jump?  Trust.  She trusted that her father would catch her.  God can catch you.  He wants to catch you.  And He knows what will completely burry you, and he also knows what will make you stronger.  He knows the beginning from the end, and He has  a plan and a purpose for our lives.  When you can talk to him He listens and answers.

Proverbs 3:5 says “Trust in the Lord with all your heart and lean not on your own understanding…”