Comments on: Dominate Economic Fear With Frugality

By: Daphne

Daphne — Wed, 08 Oct 2008 01:15:35 +0000

Thankfully I live in a warm climate and don’t have heating bills. But we have big air-conditioning bills instead! In recent years I use the fan instead of air-con and it helps when the savings add up over time.

Yes it’s much easier to control spending than increase income, and there’s no reason we can’t do both at the same time!

By: Jenn @ Frugal Upstate

Jenn @ Frugal Upstate — Tue, 07 Oct 2008 16:34:31 +0000

Lynnae is great isn’t she? I’m so glad to be on the Walmart 11Moms program with her! I agree with her point about frugality becoming more mainstream-I’m hoping that “frugal” will stop being a “dirty word” in some people’s vocabulary! I’ve already noticed it popping up on tv commercials and in the print media more and more.

And I disagree with Curt-sure, putting on a sweater and turning down the heat won’t FIX everything immediately, but you have to start SOMETIME in order to make a difference. And little things do add up rather quickly. Like the good old “latte factor”-cutting out that $1.89 cup of coffee (not even a latte) each week day 50 weeks a year (giving you 2 weeks of vacation there) comes out to a savings of over $450 a year. 4 or 5 changes like that (bringing lunch, cutting out a few nights out etc) could really make a big difference in the long term.

By: Until Debt Do US Part

Until Debt Do US Part — Thu, 02 Oct 2008 14:10:23 +0000

Great advice. Control what you can and forget the rest. By being frugal you are insulating yourself from the worst of the economic shocks.

For someone who is not used to being frugal the change can be difficult but in the end being frugal is one of the best ways to gain control over your finances.

Easy? No way. Necessary? absolutely!

By: Patrick

Patrick — Thu, 02 Oct 2008 11:31:20 +0000

Most Americans are impatient and want things immediately. Making meals on your own instead of going out to most is considered “wasting time” and are not patient enough. The same goes with buying stuff on sale. Instead of waiting for a product to go on sale, people have to buy it immediately. Hopefully many Americans will start to see that they cannot continue to spend so frivolously.

By: Jackson

Jackson — Wed, 01 Oct 2008 21:05:53 +0000

Luckily I’ve always being frugal so not much will change for me. However it’s so tempting to start buying up stocks right now since the prices are so low!

By: jim

jim — Tue, 30 Sep 2008 16:26:15 +0000

Erica: That is a good point but people are inherently selfish and saving kind of goes against that selfish mantra.

Curt: But it’s better to do that than panic about the stock market!

By: Curt

Curt — Tue, 30 Sep 2008 15:55:07 +0000

Sure, we can all put on a sweater and turn down the heat. But unless you have been doing that for the last ten years and paying down your debts, it’s too little and too late.

In order to get out of debt, many are going to have to turn the heat OFF and put on there winter coats for a few years before they can get back to wearing a sweater.

By: Erica Douglass

Erica Douglass — Tue, 30 Sep 2008 15:49:33 +0000

Whoops, previous comment should say “…much of the $700 billion…” Sorry about that.

By: Erica Douglass

Erica Douglass — Tue, 30 Sep 2008 15:48:56 +0000

Hi Jim,

Thank you for highlighting frugality. I believe that if we all directed our focus on saving, there would be no need for the current bailout. We can solve the credit crisis ourselves by putting our money in savings accounts, thus giving banks the liquidity they need to lend out to other banks, businesses, and consumers.

America has 300 million people. If 200 million of us put $100 in a savings account, we’d give the banks $20 billion. If those same 200 million people set up an automatic transfer to save $100 every month for three years, banks would have more than the $7 billion they need to solve this problem — and, instead of paying extra taxes for that money, we’d be earning interest on it.

I just wish more people espoused this theory that we can fix the credit crisis on our own!

-Erica

By: jim

jim — Tue, 30 Sep 2008 12:32:37 +0000

To some it may sound stupid – the stock market tanks 10% and you’re telling me to put on a sweater and turn down the heat to save a few bucks? Sure, it sounds silly when you say it like that but ultimately it’s about doing what you can to control your life and letting the things you can’t control do what they will.

By: Ron

Ron — Tue, 30 Sep 2008 12:26:47 +0000

Great ideas Jim. They key, in my opinion, is to do what you can and not worry about things beyond your control. I CAN drive less. I CAN maintain good health. I CAN do well on my job (so I get to keep it!). I CAN put on a sweater and turn down the heat. I CAN learn the lost art of contentment so I don’t spend every dime I make to buy stuff.