Money Overhaul!

So you know how I posted the other week about planning and trying to have it all figured out?? Well, I still don't, BUT I am trying something new.

After the whole tire debacle the hubs and I decided that it was time to make some changes.  FINANCIAL CHANGES.....ugh....really?!!?

In January our church offered the Financial Peace University by Dave Ramsey.  My first initial reaction was we don't have that much debt, we don't use credit cards, we are fine.  But the more I thought about it I realized, that while that might be true, there was something else we didn't have.  SAVINGS....we (like most families) live paycheck to paycheck. Yes we pay our bills on time....I'm a planner remember?!..and have money to buy the things that we need some extras, but does that really mean we have financial peace?

Even though the class had already started and we didn't sign-up; I started doing research online and watching YouTube videos of Dave Ramsey and realized that his methods all made sense to me and were "easy" to put into practice. 

SO....hubs and I sat down and started looking.....really looking at our finances.  Boy was that hard.  Every dollar we made had to be accounted for each month and be designated to a certain place. We budgeted everything out and decided to go for it!

Dave Ramsey uses an envelope system.  This means you use CASH to pay for anything that is not a standing monthly bill.  You make envelopes for all the areas that you would use money throughout the month and decide how much you are going to spend monthly in those areas.  You may use whatever cash is in the envelope but when its gone...its GONE and you have to wait until the next week/month until the money is added again.  So I made envelopes for our 7 designated areas.

           GROCERIES
           PRESENTS/GIFTS
           EATING OUT
           CAR NEEDS- this came so I will have money to replace a tire if needed :)
           ALLOWANCE- x2 (mine and hubs)
           EXTRAS

*I could have put one for GAS but we already only use a set amount per week for gas and its easier to pay at the pump than going inside (especially with 2 kids in tow)*

So this week when I got paid instead of depositing my whole paycheck I figured out how much cash I was going to need to fill my envelopes with our weekly budget.  I then had to figure out how many $20, $10 and $5 I would need so that each envelope got its set amount.  Whew, this was getting time consuming, but I was determined.

I went into the bank and handed the teller my deposit slip, the first thing she said to me was "You always come through the drive-through!"  I smiled and said I'm trying something new!  I was happy to think that I'm taking control of my money and not letting it control me.

Then I proceeded to the grocery store....now here it can become a bit tricky.  I had averaged out what I spent on groceries the past 2 months and went from there.  BUT this time I only had a set amount, I had to stick with my $70 allotment for the week.  I couldn't get $100 worth of groceries one week and $50 the next because I only had $70.  So my calculator in hand, I started out with my list.

I made it through Sharp Shopper and headed to Giant.  I had about $45 left and about half of my list was complete.  I was feeling pretty good.  I got to Giant and noticed that they had Stromboli BOGO FREE....whoohoo...I had Stromboli on my menu for Sunday.  I could buy 2 of those to eat for Sunday lunch and this way I wouldn't have to make one.  The cost was 6.71 for both and that was a good deal for a lunch for my family of 4!  I proceeded to find my chicken breasts on sale and some steak I wanted for Valentine Dinner marked down as well.  Alright, God was blessing me for being smart with my money!!

I went over to get some Chobani Yogurts for the hubs and put them in my cart...my list was almost done.  I added my coffee creamer and needed a few more items...BUT it was then I realized that I was over $45 on my calculator.  Now came the struggle, I needed green beans, hamburger buns, and kidney beans for my chili.  What to do?  What to do???  I decided that since the yogurt was 3.79 I would put it back and then put my steak back as well and it would all work out.  I mean, come-on....3.79 for 4 YOGURTS!!  My husband doesn't really NEED this yogurt does he??  OH and then comes, what am I going to make Saturday night for dinner if I don't get those steaks??  I wanted something special.

For a second fear crept in, could I do this??  But then I felt a gentle reminder that I CAN do this and that He will give me the strength to do it!  I'm not a quitter!!

I then realized if I put Jason's yogurts back that I really should put my coffee creamer back.  Yes, I may NEED coffee creamer, but Jason eats a yogurt EVERY morning for breakfast too.  They were the same price so I decided to keep them both....but now what do I put back???

Remember that Stromboli I was buying for convenience??  The one I thought was a great deal??  Well, I slowly pulled it out of my cart and realized that I had ham, cheese, and pepperoni at home.  I had a good recipe for pizza dough that I could make and while it may take a tad longer, at this time that was my best option.  I didn't NEED that Stromboli when I had all the ingredients to make it at home.  It was a heart change, I CAN do this WITH WHAT I HAD BEEN GIVEN.

I scooped my steak back up, got the rest of my items and headed for the checkout.  It may only be the first week, but you know what??  I came out with $1.72 extra for next week and a realization that this can work.

Will I eventually rob Peter to pay Paul??  Will the envelope system work out and let me put some money in savings and help pay off what little debt we do have?  I don't know, but for now what does it hurt?  The hubs and I are going in full force and being intentional with what we spend our money on and that's all I can really ask for!