Pinching pennies
Local folks share tips on what you can do to stretch your finances
Jaime Valdez
Richard Klesh of Beaverton recently put himself on a $55-a-week spending limit after the recession hit. He and his wife eat at home more, use coupons, compare store values when purchasing items and have stopped any kind of frivolous spending.
That includes denying his sweet tooth.
“I’ve stopped spending money on desserts … it’s been difficult,” Klesh said.
He also plans where he needs to drive each week and fills his tank only halfway to cut down on gas costs and vehicle use.
Sound extreme? Not these days.
According to the U.S. Bureau of Labor Statistics, employment across the country fell by 240,000 in October — resulting in a 6.5 percent unemployment rate. The last three months have actually accounted for more than half the 1.2 million jobs lost since the beginning of 2008.
And that’s just jobs. People are losing their homes, their retirement funds and their faith in the financial and economic system.
That’s the bad news. If there is any good news, it’s that people are learning how to weather the economic slump by being frugal and smart — and a little creative. Putting on a sweater rather than turning up the thermostat is one example. Pinching pennies is another way to put it.
And with the holiday season just around the corner, spending money wisely is just as important as saving it.
The Times has researched various penny-pinching techniques people can use to ride out these hard times, from Web sites that offer sneak peeks on Black Friday deals to saving money on life’s little luxuries.
Be a “deal hound”
Thrift shops are a great place to find bargains and don’t always sacrifice quality. Just because someone donated a shirt or pair of pants doesn’t mean they are worthless — the person could have grown out of them or gotten them as a gift.
Fashion trends last anywhere from a couple of weeks to a year, and consignment shops and stores such as Value Village, Goodwill and the Salvation Army usually have a decade worth of fashion styles at major savings.
Lauri Tutor, manager for Value Village in Tigard said the store offers daily, weekly, monthly and even yearly deals from 20 percent off coupons for those who bring in donations to 99-cent colored price tags on selected items every other day of the week.
As for little luxuries that you’re used to, they don’t have to go away — just be smart about them. Rather than go to a late-night movie, see a matinee. Or instead of buying movies, CDs or a new hardback bestseller, check them out at the library for free.
An American Library Association study in 2002 found that during slow economic times library usage went up. Washington County libraries also offer free Internet, magazines, books-on-tape and various classes.
Grocery shopping
Karen Painter of Beaverton pushes a cart through Tigard’s Cash & Carry store, filling up on everything she might need for the next few weeks. She switched to buying in bulk after realizing it’s cheaper than going to the grocery store every week and spending money on gas — plus those impulse items pile up.
“I’ll also write out a list beforehand and try to stick to it,” she said.
According to BCSalliance.com, an online resource to debt and credit solutions, people who don’t know how much they spend on groceries each month are 20 times more likely to get into debt. The site suggests drawing up a food budget and keeping a record of how much you or your family spends on food, including eating out.
For those who aren’t a fan of monitoring every penny spent, here are some other money-saving food tips:
Saving for the holidays
When it comes to saving that extra cash for gifts for family and friends (and perhaps a gracious employer), it comes down to willpower. Usually that means cutting back on food purchases and personal habits.
That $3 latte you always buy on the way to work is one example of something you don’t need, just really, really want. Caffeine or extra money for presents? You decide.
As for getting great holiday deals, Sharon Colburn of Hillsboro suggests the age-old tactic of using coupons. When buying presents for her grandchildren at Toys “R” Us in Tigard, she goes to the giant store knowing exactly what she wants and how much it will cost.
“I’m not one to buy something because there’s a coupon for it, I use coupons for things I already know I want to buy,” she said.
Saving $10 on a $70 gift doesn’t sound like much, but it adds up. Good places to find coupons include newspapers, store mailers and Web sites such as coolsavings.com, coupons.com and startsampling.com.
More holiday-savings tips include:
At the pump and on the road
According to AAA, the Oregon state average for a gallon of unleaded gas is $2.37 — that’s almost half of what it was in July. A substantial drop, but not enough to even out a recession.
Conrad Van Nostrand, manager of the Tigard Chevron station at 13970 S.W. Pacific Highway, said he sees customers drop $5 to $10 worth of gas on a regular basis rather than fill up their tanks.
“If you don’t drive much, it will actually save you money,” he said.
But what about those who have long commutes to work and don’t feel like riding a bike in the rain, what money-saving tactics can they latch on to?
The U.S. Department of Energy’s Office of Energy Efficiency and Renewable Energy and the U.S. Environmental Protection Agency have several tips on their Web site www.fueleconomy.com: