When it comes to making financial changes, are you better at making the big changes or the little ones?

Mr. and I have opposite talents here, which can clash if one of us tries to make decisions in the other’s domain. I am definitely better at micro-managing the household expenses, but Mr is much better at dealing wrapping his head around the big numbers of things like our mortgage. Not that I would run out and buy a Porsche or Mr doesn’t know what a coupon is, but we definitely work better if we utilize our talents on separate issues.

For example, I drink A LOT of milk, and Mr harps on me for buying the second gallon and the fact that I leave about an ounce of yucky, crumby milk in the bottom of my bowl when I eat cereal. I actually calculated it out once, and I’m wasting about $.50 in milk a week. Meanwhile, he managed to completely miss the fact that his insistence on meat at every meal and refusal to eat any vegetarian options (beans, tofu, etc.) tacks on an extra $10-15 a week.

On the other hand, I get frustrated that we can’t buy some of the big household and baby items we need without waiting until the next month, but Mr has our credit card bills (everything goes on them and they’re paid off every month) down to an exact science. I know I’d end up over budget on some months.

Are you better at one or the other? Do you split financial management if you have a significant other?

Popularity: 13% [?]

I apologize for today’s post. I’ve got babies on the brain (if you are a regular reader, you know why) and my messed up hormones have been giving me all sorts of crazy brainstorms. Anyway, put on your tin foil hat, it’s time for Auntie Katie’s crazy theory show.

The decision to have a baby is, of course, not to be taken lightly. Ask anyone who has children and they will tell you that kids are expensive, even when you are doing everything in your power to do things frugally.

But when does biology trump your financial situation?

More and more evidence shows that women over the age of 35 having a higher risk of everything from miscarriage to Down Syndrome. Scientists are also starting to prove that the age of dad matters as well. We like to blame the rise of autism, allergies and other problems on all sorts of environmental factors, but sometimes I wonder if it has more to do with aging genetic material.

Please note that I’m not trying to attack older parents here. My own parents married late and then waited until they had purchased a house and got their finances in order. Mama Urbanite turned 37 two months after she had me. Having a kid later in life doesn’t mean it’s the end of the world.

It’s just that I’ve watched many of my cousins struggle with age and children. One spent hundreds of thousands of dollars on fertility treatments after she turned 40 in order to have her twins. I’m sure she’d happily give away all she had for those little girls, but it was a very long, very draining, and very expensive journey for her to give birth. On the other hand, she and her husband are more than financially settled (even with those huge medical bills) so there is no danger that those little ones will go hungry.

I don’t know. Sometimes I think that Mr. and I should wait until we’ve got a bigger emergency fund socked away or until we pay off his studen loans or until the car is paid off or until my business takes off. But then I wonder if we’re going to be that couple taking thousands of dollars of hormones so we can have a baby. I’ve already proven that miscarriages can happen to anyone, and I don’t want to find out that my ‘last chance’ pregnancy ended at week 10.

Ugh. Not an easy choice at all. No one wants to pop out a baby at 18 that they can’t support and no one wants to be filthy rich and find out it’s too late for them to have a healthy baby.

Popularity: 21% [?]

The more I poke around the frugal blogosphere, the more I realize that I’m the antithesis of the the average, frugal housewife.

I’m not religious, we live in an apartment, we have student debt and aren’t obsessed with paying it off, we bought our ‘new’ (used) car with a loan, we have multiple credit cards and use them, I think working the CVS bonus bucks is too much work…

I guess it just goes to show that there really are a million ways to live frugally. And since I’m the odd (wo)man out, I think I’m going to start blogging about how we handle our finances. I don’t think Dave Ramsey is the best thing since sliced bread and I’d like to be a voice of dissent.

That said, we just reached $14k mark on our savings for a house. We’re choosing to buy a house before we pay off our other loans because we feel that our monthly rent is just ridiculous, and if we’re going to spend that kind of money, we might as well get equity out of it.

Popularity: unranked [?]

How many times have you read the screen on an ATM telling you that there’s a $2 fee and still took out money? Little fees and charges like that can add up, especially over the course of a year. If you take out cash once a week, you’re wasting over $100 for no apparent reason. If you have to use regularly use an ATM from another bank, try taking out enough cash to last you for a few weeks (or spend less and make that cash last!)

Credit cards are another minefield of little charges. First off, pay off the balance in full every month to avoid paying the ridiculous interest charges. Examine every purchase you make if you find yourself carrying over a balance. If you are paying down an existing debt, give the credit card company a call and see if they will lower your interest rate. They will often accommodate good customer’s requests.

Whenever you get paperwork with a bill, make sure you read it over. A favorite tactic of companies is to shorten the ‘grace period’ before your bill is due. If you’re not paying attention, your bill could come due in 15 days rather than the 20 it was when you signed up, leaving you with a hefty late fee.

Read the terms on your bank accounts. You could be assessed a fee for transferring money too many times, writing too many checks or not having the minimum balanced depending on the type of account you have. And, of course, don’t end up in the overdraft or bouncing checks! Many banks allow you to check your balance online in real-time, so double check before you write that check.

Anytime you sign up for something, read the terms of use. Yes, it’s boring. Yes, it’s annoying. But you’ll be more annoyed to find out that the free trial isn’t really free or that there’s a hidden service charge on that contract you just signed.

Popularity: 7% [?]

No one likes getting bills in the mail, but you’ll like them even less if you open them up and find late charges. Keeping your monthly bills in order will help you save money and help you better manage your budget.

Personally, I don’t recommend auto-payments for anything except essential items (rent for example.) I want to see where all the money is going so I don’t get any delusions about having more than I do. This is my method for keeping everything under control.

I find it’s easier to work with bills on a weekly basis, so whenever I get a bill, I open it up, check the due date, record that date in my ledger and file the bill (in a cardboard box with 3 dividers) according to the week it’s due. Every Sunday (pick a day and be consistent) I pick out the bills due that week and go over them. I check each bill for accuracy (are there any weird charges?) and policy changes (was an interest rate changed?) before writing out a check and recording the payment in the ledger (and my checkbook!) Then, the bill goes into my filing cabinet.

Every month I check my ledger and see where the majority of my money is going. Is my credit card eating up my money? What are the charges on it? Can I cut out any unnecessary spending? Are my utilities suddenly suspiciously high? If I notice a trend, I can adjust the budget or adjust my spending. The ledger is also good for discussing the budget my husband. Giving concrete examples of how spending habits are warping the budget is a lot more constructive than just saying ‘you spend too much on lunches.’

Of course, everyone has their own methods, so if you’ve got a different organizational system, I’d love to here it.

Popularity: 3% [?]