The big plan: become a cheapass.
Posted in Blogs on April 22nd, 2008 by Brian – Be the first to commentThe past month and a half has been a little weird. I’ve been occupied with plenty of things that could keep me from updating frequently.
At the beginning of March, Joe found out a pipe behind one of his kitchen walls was cracked and leaking. So I spent a few of my weekends helping him both tear a hole in his wall and repair that hole after the pipe had been fixed. It was a great experience to learn how to do some of this stuff with a little more than blind ambition, the advice of parents, and a book. Seeing as his house is roughly 100 years old, tearing it down and repairing it was somewhat awkward. The first layer of the wall was drywall, which would have been no big deal to replace if it was just that, but underneath was about 5 coats of ugly green paints, plaster, and lath. We kind of had to improvise on repairing the hole to ensure that that drywall we laid over it would be flush with the rest of the drywall. We couldn’t replace the lath because the replacement section of pipe stuck out too far. So essentially we got a piece of plywood that was the exact same thickness of the plaster, laid it into the hole as close as we could size-wise, and fit the drywall in. One edge was a little “distorted”, but after mudding it and painting it, it wasn’t even noticeable. Joe was really thankful for all the help I gave him in the process, and I offered to help him tear holes in his walls anytime he wants.
During the course of working on Joe’s kitchen and talking with him, I came to the realization of how much I want a house and how possible it is for me to have one by this time next year. I really spent some time thinking about it and I knew that my first course of action was to be in good shape financially. I started off figuring out my monthly budget rather than just blindly spending money. I closed most of the credit accounts that I never used and never really had a need for. I had a shell card that I hadn’t used in like… 5 years… I had a Dell account that had an APR of about 30%… thank God I wasn’t dumb enough to keep a balance on that… and a few other stupid accounts that I knew I didn’t need as long as I had one credit card.
Step two in my budgeting process was to see where I could cut the most money. I stopped eating out for lunches. To not see a new transaction on my account everyday was a big relief. My energy bill had been plaguing me all winter and even after programming my thermostat I was still paying about $100 for gas alone. (the furnace was the ONLY device using gas in my place.) I decided to just turn it off and see what happens. I was really surprised when the temperature never fell below 60. I could deal with that. I’m fine with bundling up… mom bought me an electric blanket back in January so I should be fine. I’m under the impression that because the doors in my place are really thin and there are lots of gaps in them that other people’s heat is keeping my place warm. Which explains both why my place stayed decent with the heat off and why it costs $100 to heat a 1 bedroom apartment. I’ve also been turning my computer off… I removed a light bulb from a socket in the basement that was wired to my electric line and the other tenants ALWAYS left on… that really annoyed me. My previous energy bill had fallen about $75 through all of this to a shade over $100… which only included 3 weeks of these methods. Hopefully the next one will be well below the $100 mark.
One of my other big costs was my car. It is by no means a gas guzzler, but my insurance was about $110/month, and with gas prices going up, that was another $75/month. I only have to fill up a little less than every two weeks, but that’s still a decent amount of money. The first thing I did was shop around for different insurance prices. Paying $1200 per year for car insurance on a car worth just about that is stupid. One company gave me a rate that would come out to about $120 every SIX months… so I took this rate and called up my insurance agent. I talked with him for a little bit and he helped explain things to me a bit better than the other site could. Joe recently left him when he got joint insurance with Kristen and I think he got the impression I was trying to do the same. His final rate was higher than the other guy, but he gave me better coverage and has never been a problem for me, so I stuck with him and essentially cut the costs of my insurance by more than half. Nothing but success so far.
Of course, with a lot of my bills lowered, the biggest of my bills more or less can’t be touched. $450 a month in rent. Now comes the twist in the plot. Mike came back the Thursday before Easter because he had a job interview. While being here, I think he realized how much he just wanted to come back, whether the job interview went well or not. Lo and behold, a week later Mike is living with me. I haven’t really talked to him about it before he came back, but I think he plans to stay with me at least for a while, and it would be awesome if he paid half of the rent. I have a living room in my place that has its own closet and is bigger than my bedroom. Assuming I could find a door for it, it’d make a perfect room, thus cutting my rent, internet and utility bills in half. We’ll see how that develops, though. So far the big idea here is that Mike gets a job.
So that’s more or less where I stand right now. I’ve been making some sacrifices here and there in terms of buying stupid crap for myself and finding reasons to NOT go out and spend money. Let’s hope it pays off in the end.