Spend Now or Pay Later

Are you a gambler?  Is your vehicle or home insurance up to par?  You take a risk of paying for insurance that you may never need, but are you covered in the event that a disaster or accident occurs?

In simplest terms, insurance is taking a chance against the risk of a loss.  Are you willing to take that chance?  The premium is money placed into a "pool" that is available if and when it is needed during an emergency.  When one person has a loss, it is major to them, but minimal in the grand scheme of things.   During a major disaster like Hurricane Sandy, the destruction is seen and the total amount of the loss in the billions!

Everyday commercials are on television for insurance.  It is one of America's largest industries, one that is confusing to many.  We all hope and pray that we never have a claim to file for a loss.  In a sense, it is a necessary evil - something that we need but do not want to pay for.  Many states require a minimum by law for vehicular coverage.  If you rent an apartment or own a condominium, your landlord or homeowners association may require a certain amount of coverage.

Insurance is protection.  Here are a few basic points to consider when shopping:

1.  Discounts are given for bundling.  By using one company to purchase both property and vehicle polices, money can be saved.  Spend time soliciting competitive quotes.  Look at the companies track record.  Their rate may be great, but if their claims process is slow is it worth it?  Check out insurance company ratings at www.moodys.com.  Register for this free service.

2.  Decide how much insurance is needed.  What is the value of your residence along with your possessions?  When working with an agent, have them visit your property to take measurements of your property to gather a concise picture of what you own.

3.  Riders can add coverage to specialty collections such as antiques, jewelry, or collectibles.  Due to their value, they may not be covered under a normal property policy.

4.  Replacement cost vs. actual cash value makes a difference.  Actual cash value is the value of an item today based upon the depreciation of the item.  Replacement cost will allow you to replace personal items at their cost to purchase it new today.

5.  In automobile insurance if you are in an accident, your ability to sue may be limited if you chose limited tort over full tort.  Also consider how much coverage you want with the levels of insurance such as uninsured and underinsured motorist.  Special options like towing are also available.

6.  Make an inventory of your possessions.  Document it with photos or a video.  Store them in a location off site that can be accessed in the event of a fire or flood if your paper documents, photographs, or the computer are damaged.

7.  Consider a higher deductible can lower your premium.  Payment options for monthly and quarterly are good for budgeting, but can add a few extra dollars to the bill.  An annual payment offers the lowest premium option.

8.  Owning certain breeds of dogs, a pool, or trampoline are extra liabilities.  Include these items when obtaining quotes.  Paying for an injury lawsuit may cost thousands vs. a few dollars in the premium.  Rightfully so, if these items are no longer in your possession, contact your agent to have your policy reevaluated.


A yearly review is good idea to make sure you have the correct amount of insurance as life situations change.  Make a list of questions to ask your agent.  Do not feel forced to take options you do not want.  Make sure you understand what will be lost if you opt out on certain coverage.

Escape, Getting Away

In the cold days of winter, most people cannot help but think about getting away to a warmer climate.  Even if your vacation is months away, it is not too soon to plan where to go.

Some people go to the same location each year, while others love to explore new places.  In planning your vacation, recommendations from family and friends is useful if you are planning to go to a new locale.  There are many amazing places to visit, both in here and abroad.  Looking for deals is important, as saving money can allow you to have more spending money.  Be cautious to make sure what you book is what you get.

One of the most important decisions is where you will sleep each night.  No matter where you go there are many lodging options – camping, hotel, bed and breakfast, and renting a condo or home.

Options for vacation rentals have increased with the inception of web sites devoted to not a particular locale, but to assisting people in choosing a home away from home almost anywhere.  Searching the keyword “vacation rentals” comes up with a large return.  A few of the better known sites include homeaway.com, vacationrentals.com, and vrbo.com.

A rental has many perks not available with other lodging decisions.  With some good planning, you can find a vacation rental where you can stretch out, relax, and enjoy your vacation.

As you perform your search, take the time to carefully read the property description on the web site, view the photos, rental rates and fees, read the reviews from previous customers, and check the availability on their calendar.  Contact the vacation home's owner or rental agent directly from the listing page with any questions you have about the rental.  There should be a link for "Contact Owner."  Some listings may only list an email address, while others include a phone number.

When you are ready to book a place, read the whole contract to understand what is expected of you as a renter (liability) and what the owner is offering for the money that will be exchanged.

Keep in mind the costs that may be added such as utilities, Internet, phone service, cable, cleaning/housekeeping, propane/gas - if outdoor grilling is available.  If linens and towels are included for an extra fee, considering bringing your own (verify the bed sizes).

What amount is due upon signing of the lease?  When is the remainder due?

What forms of payment are accepted - check, PayPal, credit cards?  Is there a processing fee for paying with any of the formats?  If traveling outside of the US, are the costs listed in US dollars or the local currency?

What taxes will be charged – city, county, state?  These fees are normally added at the end after all other charges are totaled.

Is there a broker or rental agent fees?

Is a security deposit required?  When will it be refunded (know how long they will retain it as it could be a few days or a few weeks) provided the unit is left clean and without loss or damage?  Can you purchase non-refundable damage waiver insurance in lieu of a security deposit?

What is the policy about pets?

Do they offer the option of travel insurance in the event you need to cancel due to illness or for weather related cancellations such as a hurricane?

When are the check-in and the check-out times?

How you are to receive the keys upon arrival?

The rental option can allow you to stay in an apartment in a large city like New York or rent an oceanfront home on a beautiful beach.  The leasing options are endless and can be found just about anywhere.

Yes, there are scams out there.  The optional travel insurance can protect you if you fall victim.  Sometimes you may need to be a detective to be protected - pay with a credit card, book through a reputable site, and use your intuition in making your final decision - look on a map for the location, asking for references, and check what other comparable units are leasing for in that area with similar amenities.

We have rented twice through two of the web sites listed above.  Both stays were very nice, allowing us to stay in luxurious places that were more than we expected.  By booking this way, we were able to save money by staying an entire week, cooking most of our meals, and taking advantage of free and low cost activities we found through researching the local area.  Now if it was only time for this years vacation!

Resolution diet

As 2013 begins, we all are continuing to look for ways to save money as we stand on the edge of the fiscal cliff.  Although a deal is looming, as this is written, we do not know what all of the governmental changes will mean in our lives.  There are many things we must have to survive like housing and food.  We must all re-evaluate what we do to help ourselves live comfortably in 2013.  Like many others, our income has dropped so re-evaluating how we live is top priority.

We already know that there is a major expense that need to be made in 2013.  When one vehicle is paid off, we will be replacing the older one.  We hope to keep the payment as close to or less than the payment as possible.  Another major change in our financial future is the 6-fold increase in our medical deductible.

Here is what we are planning to do to adjust.

1.  Create an expense spreadsheet to review income and expenses every month.

2.  Review insurances and obtain quotes to look for ways to save.  This should be done at least every year or two.  We will always maintain Full Tort on the auto insurance and Replacement Value on the house and contents.

3.  Plan more meals around what is in the pantry, fridge, and freezer.  When shopping, base purchases upon the sale advertisements.  Get rain checks, use coupons, and store loyalty cards.

4.  Take more local day trips to low cost and free places when we want to go away for a day.  We will also pack our lunch and take our own drinks.  Charter Day to the state museum sites is scheduled for March 10th in Pennsylvania.

5.  Use free resources whenever possible.  Videos, books on CD, and books we want to read can be borrowed for FREE from the local libraries.

6.  Increase garden plantings for more homegrown summer foods.

7.  Reconsider purchasing items that may not be needed immediately.  If something can wait, looking for it on sale would be helpful.  Also doing research before making such a purchase.

8.  Sell items no longer needed or used.  Our local newspaper allows for free ads for items under $150.  E-Bay is another consideration as a place to sell household and craft items which would bring in a larger clientele.


This list will indeed grow and change as the year progresses.  All we can do is be proactive and watchful for the bottom line.  Here's to a prosperous and healthy Happy New Year!  Let's see if we can live a thrifty but wonderful life in 2013!

Food Storage

As the colder weather is now here in the northeast, we often think of spending more time indoors and travelling less as the weather may be treacherous in some areas of the country.  We long for warm meals, comfort foods, and often stock our pantry and freezer with items that can be kept for a long time.

That is why food safety is very important no matter the time of year, especially when many will be entertaining during the Christmas and New Year holidays.  No one wants the food to go bad.  Consuming spoiled food can lead to physical discomfort with a possible trip to the urgent care center.  Knowing how long it is safe to store foods his highly recommended.

In the last blog entry, the difference in "Use By," "Sell By," and "Best By Date" were explained.  It is also important to know how long to keep food in the fridge before it is considered unsafe or in the freezer before the taste would be compromised due to spoilage.

It all begins with selecting foods at the store or farmers market that are of the best quality, then safely transporting them home in a timely manner to not compromise their quality.  Before freezing meats, check that the packaging is properly sealed.  The shrink wrap may not maintain the "cling."  Placing the item in a freezer storage bag can extend the life.  Knowing how to store an item in the refrigerator - whether the item should be placed in the crisper bin or not washing until it will be used can cause it to spoil sooner than later if not cared for properly.

For example, did you know how to prevent moldy berries?  Before storing, prepare a mixture of one part white vinegar to ten parts water. Place the berries into the mixture and swirl around. Drain, rinse, if you want, (though the mixture is so diluted I find you can't taste the vinegar,) and pop in the fridge.

The vinegar kills any mold spores and other bacteria that might be on the surface of the fruit, and voila! Raspberries will last a week or more, and strawberries go almost two weeks without getting moldy and s and place in the fridge.  The vinegar kills mold spores and other bacteria, allowing the fruit to last a week or more without getting moldy.

The following web site will allow you to look up additional information on different types of foods, including how long they should be stored in the refrigerator or freezer.  http://www.foodsafety.gov/keep/charts/storagetimes.html

*** You may notice that I did not post an entry since October 1.  Due to a potential medical issue, I chose to take a short hiatus from writing this blog.  As I refocus my life on what is most important, I will be resuming the entries, but on a monthly basis.  Look forward to upcoming posts in 2013 about travel, birthday celebrations, and helping out a local charity. ***

Shelf Life - Expired or Not?

Have you ever pulled something out of the fridge or cabinet only to discover that the manufacturer's date stamped on it has passed?  While some products might be fine to use, others are definitely not.

I know that I have used a product beyond the date listed, but with caution.  At times it is safe but there is that little voice in the back of my head warning me to be careful.  Some items are obviously bad - smell, discolored, or texture once the date arrives, while other products might appear to be fine. Sometimes it's a judgement call.  I opt for the better safe than sorry whenever possible.

Check for the dates on your purchases when you shop.   The employees stocking the shelves should be rotating the items to place those with the upcoming dates at the front and the items they are just placing on the shelves at the rear.

With the date are the words such as Use By or Sell By.   What do these terms mean?   This blog entry is devoted to answering that quandary based upon 4 types of dates.

 

Let's begin with the one that is most stringent, the "Sell By Date."  If you are shopping in a store and see this date is passed, the product should NOT be purchased.   This is the last date the item should be on a store's shelf.   This is often seen on products that go bad quickly like milk, yogurt, fresh meat, and poultry.

 

The "Use By" is a date for which you should use the product for it's best quality.  Many of these items have preservative in them and a short shelf life.   It often appears on eggs, pretzels, bread, and baked goods.  This date may be a few weeks or a few months away.

 

Next in the hierarchy is the "Best By Date."  This is not the date to purchase the item by, abide by this date to be finished with the product for the best flavor and quality.  Some of these items may have preservatives in them, but their expiration date is months from their production date.  Products can include soda, cereal, salad dressings, and pasta.

The final category is used for items in jars and cans, an "Expiration Date."  The manufacturer stamps this date on their packaging and this date is normally the one that can be stored for the longest amount of time.  Items like pickles, tuna fish, vegetables, and spaghetti sauce have a long shelf life.  There are also similar expiration dates found on medications and cosmetics.

 

There are also other factors that can affect the items both before you purchase them and once you get them home.

• Store the item at the correct temperature.  Too much heat or cold may damage the item, as can humidity.  Set up your grocery store stop to be the last things you do before heading home.  Then select the proper storage location.
• Environmental factors like air and exposure to light may altered the product, particularly oils.  Look for special storage recommendations.
• Damaged packaging such as a dent in a can, a torn package, or a broken seal can compromise the integrity of the contents due to microorganisms.  Once opened an item needs to be repackaged in a plastic container or a new plastic bag.  Folding the bag over and using a clip may be fine for a day or two, but items like pretzels can go stale easily.

Here is the United States, there are few federal regulations for food safety.  To help protect the consumer, a few states have set up laws, but the manufacturer and retail stores are the ones who are the most responsible for maintaining safe food on the shelves.  The U.S. Department of Agriculture has a page that expands on the information in this blog at http://www.fsis.usda.gov/factsheets/Food_Product_Dating/index.asp.

 

More coupons sites and not paying for coupons

Have you ever paid for a coupon that you could get for free?  It is not recommended and was featured on Good Morning America during the weekend of July 15 about people in Arizona being arrested for producing and selling counterfeit coupons.

A quick search this weekend of “coupons” on Ebay had more than 71,000 results.  As I scrolled down, I saw many coupons from the Sunday coupon inserts, as well as other coupons that are free like the one I received recently from Kohl’s for a percentage off a purchase during a particular time period.  Although I found many valid coupons, but by the time you add the cost of the coupon (some were Buy It Now, others were part of an auction), shipping fees, and the amount of time necessary for the transaction to conclude, you could either be paying too much for the coupon or it could be expired.

There are also counterfeit coupons advertised on web sites like Ebay.  Just like counterfeit money, some are better reproductions than others.  If you are caught using a counterfeit coupon, you could be subject to arrest for fraud.  Contact authorities if someone asks you to sell or buy these coupons, as they are illegal.

My discussion here does not include legitimate coupons that you pay for, like the promotional booklets that schools and athletic associations sell as fund raisers.  These are coupons that are available for free, some by purchasing a product and mailing in your receipt or others that are available online.  For additional information, go to the Coupon Information Corporation at www.couponinformationcenter.com.  They have more tips and articles about couponing.

Some legitimate web sites where you can obtain coupons, sign up for freebies (many are sample size, but allow you to try a product), or even obtain codes for discounts (most to purchase items online) are:

     retailmenot.com – codes for web sites

     couponcabin.com

     couponnetwork.com

Remember, be careful of offers that seem “too good to be true.”   Be a friend and share this with your friends.

 

Some couponing mistakes and more ideas

There are so many things to remember when you start couponing.  You will learn through trial and error.  What one couponer does may not work for you, so adapt to your needs and organizational abilities.  There are also many ways to gather and organize coupons, but one of the biggest mistakes we all make is forgetting to use your coupons.

There are different systems for storing coupons, determine which way you want to keep yours.  It could be in a 3”x5” index card box; a 3-ring binder with sleeves used for baseball or postcards; an envelope; or some other method.  Some people like to set their coupons up based upon the layout of the grocery store they shop the most often.  I use a zippered coupon holder I purchased many years ago (possibly from Current) and divide my coupons into categories based upon 6 major categories (there are 6 sections):

•             Baking/Pasta/Condiments
•             Cleaning/Laundry/Paper Products
•             Health and Beauty/Pet Supplies
•             Breakfast/Snacks/Beverages
•             Misc. – this includes coupons for batteries, restaurants, and other
•             Dairy/Frozen/Meats

Each week, I cut coupons and place them in the appropriate section.  At least once a month I pull out the expired coupons (I have noticed the expiration date appears to come faster as many expire within a month).  As I review the sale ads and make my list, I pull the appropriate coupons and place an “*” on the right side of my shopping list.  I also list the sale price with initials for the store so that I can get a good deal.  For example my list might look like:

                       Ice cream  W 3.00  OD 2.99                                   *
                       Paper towels OD 1.19  R 1.09                                *
                       Yogurt R .33  W .39

After coupons that have expired I believe the second mistake we make is forgetting to take your coupons with you.  Why spend all the time to cut, organize, and create your lists if you do not use them?  In a way, this is a trick question.  At times, the coupon may not be the best deal.

Carefully look at the size and quantity on the coupon and determine if the deal using the coupon will save you money.  There are many store brand items that I purchase because we like them more than the name brand not only for the price, but for the quality.  Sometimes using a coupon because you have it is not a deal.  Coupon inserts are designed to appeal to the general population, not you specifically, which means that you won’t use all the coupons in each insert.  Yes, that $2 coupon off some random product is a great deal, but is it something you want and will use?  Don’t pay for something you don’t actually want, no matter the bargain.

Coupons can be found everywhere.  Not only are they delivered to your home in the Sunday newspaper (none on Labor Day weekend due to the holiday - here is the insert schedule for the year www.sundaycouponpreview.com/2012- sunday-coupon-insert-schedule); they come in your mailbox in the format of Valpak (also online at www.valpak.com/coupons/home) and publications like Clipper Magazine (also online at www.couponclipper.com); they can be found in some stores at their customer service desk or on their bulletin board; and are on the Internet including store web sites (Target - www.target.com/coupons); and sites specifically designed for coupon users.

Here are just a few sites I either use or have checked out:

•             coupons.com
•             shopathome.com 
•             couponmom.com

Please feel free to share unique places you have found coupons or your favorite place to get that deal.  In a few weeks, I will continue with more ideas on where to find coupons, including one key tip about coupons that are not free.