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How does Organizing save you Money?

Whose New Year’s resolution is to get more organized?  Quite a few Americans, in fact.  It is the 2nd most popular resolution.  And this is the best: Getting organized will actually save you money!  (Saving money is the 3rd most common resolution.)

Not only that, but having an organized home brings peace of mind, helps you feel in control of life, and generally makes life more enjoyable.

In America, a capitalist economy, accumulation is a problem.  We buy things we don’t need, they take up space in our home, and eventually we donate them or throw them out.

So, how exactly does spending money to get organized SAVE money?

  1. You can see what you have. If your clothes closet is jam-packed or your office supplies are stuffed willy-nilly in a cabinet, it is difficult to see what you have on hand. Often, you will go out and buy more file folders, staples, or another pink top because you don’t realize you already have one.

Just last week, I worked with a client in his office closet and we purged 4 boxes of mostly office supplies, which I donated to a thrift store for him.  Now, he does get tax credit for the donation, but it is not even close to those supplies’ original cost of about $200. Another client has spent HUNDREDS of dollars replacing power tools he already owned because the original tool was buried!

  1. You use what you have: Our grandparents/parents are good at this because they lived through the Depression. They made do; they used things up.

For example, how many times have you gone out to buy travel-sized shampoo, conditioner or lotion when you have a drawer full of hotel samples at home?

Cha-ching!  Another great example of this is using the food you have.  How much produce, meat and other perishables do you throw out per month?  Instead, if you make a menu, shop for that, and cook the meals planned, you will seldom have to throw out spoiled food.

  1. Organize your finances:  This is an obvious one.  When you have a SYSTEM for bill paying, you know which bills get paid at the beginning of the month, which get paid on the 15th, for example.  Organizing your bills starts with organizing your mail.

One thing professional organizers excel at is creating a SYSTEM for incoming mail.  That means mail :

  1. Always goes in the same place (doesn’t have to be fancy)
  2. Gets sorted into categories like File, Respond, Pay
  3. To complete your SYSTEM, include another 2 or 3 categories: Bills paid on 1st , bills paid on 15th, bills paid on 30th

This SYSTEM lets you see at a glance what gets paid when, and takes so much stress from monthly bill-paying!

Not only that, stick with your SYSTEM and you will never have a late fee again. That is definitely worth the time or money spent!

  1. Actually find money! I can’t tell you how many times I have actually found money while sifting through a client’s papers. Uncashed checks especially.  Once, as I sorted through a box of newspapers and discarded magazines, I found a $350 check from my client’s Grandmother.  He had convinced himself he had already deposited it.  Other organizers tell about finding thousands of dollars in one home!
  1. Get back your time: Time is money, after all.  Think about all the times you have had to go searching for a tool like the duct tape or Philips head screwdriver and spend an hour looking for it?

Think about the frustration, the missed opportunities the delay in your project—you could be exercising, moving to another project, having family time, reading, etc. And your weekend time is valuable, just like your billable time.

It does pay to be organized.  The savings are worth the extra effort and expense, if you need help. An expert like me will help you get the job done faster and create a SYSTEM with lasting results!

Resources:     http://www.statisticbrain.com/new-years-resolution-statistics/,http://www.goodhousekeeping.com/life/money/advice/a19197/organizing-save-money/,  http://www1.cbn.com/family/get-organized-%09%09-to-%09%09-save-money,  http://www.moneyunder30.com/how-being-organized-can-save-money

Related links:  http://www.goodhousekeeping.com/home/organizing/tips/a19589/paying-bills/

‘Tis the season to spend wisely

Now, even though I have been guilty of over-buying, especially when it’s a ‘good deal,’ the only thing I’ve over-bought lately is paper towels.  You can never have too many paper towels, right?  That’s what my Dad believes, and his philosophy rubbed off on me.  But seriously.  I asked my 8 year old boy to inventory the paper products before I went to Costco.  Serious error on my part. Now we have close to 40 paper towel rolls in the garage.

But I digress.  My intent here is not to talk about buying habits, but to give some solid advice about NOT accumulating ‘stuff.’  I’ve gathered 6 helpful tips for staying within your means for the Holidays.

  1. Establish a Holiday Budget — Decide what you can afford, together with your spouse/family, and stick to it.  Try to plan for everything: gifts, meals out, travel expenses, special ingredients, wrapping materials, etc.
  2. When you are out shopping, make sure to have a list with you — Stick to your list. Now, you can allow yourself some impulse buys, just make sure it’s something you had in mind.  Not something the store has in mind for you.  Retailers are so good at placing the good deals on endcaps or pricing their surplus attractively, and we tend to fall for it. Beware of wandering through malls and other stores, and DON’T bring your children, they will fall for the marketing and displays too!
  3. Before you bring an item home, or even put it on the cart, think about it — Is it something you need or is it just something you want?  Can you afford it, will it fit in your home,  will it be on sale after Christmas, etc….

In the past, I have fallen for marketing lures.  I remember the time years ago at Christmas when I really over-bought everything from wrapping paper to presents. I’m really glad my husband didn’t do the numbers like the accountant in “Skipping Christmas” to find out how much I spent that year.  I am especially vulnerable to marketing at that time of year, wanting everything to be ‘perfect’ for the special day.

  1. Focus on making memories — Remember, trying to buy the perfect Christmas gift is not realistic.  The things we remember best are the memories we make as we bake together, do crafts, sing carols, create a Nativity play, and serve others together.  It’s the traditions or activities that mean the most, not the number of presents under the tree.  One of my best Christmases, almost everything we received was homemade by my mother; red flannel nightgowns, puppets and a puppet theater.  We spent the day putting together puppet shows and had a ball.
  2. Encourage gratitude — Instead of a spirit of entitlement, as many children have these days, let’s teach gratitude and giving by encouraging them to either make or buy gifts for others, including their teacher.  Also, have each child write a thank you note to grandparents, aunts and uncles they received a gift from.  We tried this last year and it caused the children to think about the generosity of others and their own gratitude.  An added benefit: the grandparents were so tickled!
  3. Start a family tradition that helps someone in need — Whether they need companionship (the elderly) food, or something fun under the tree, you can easily find a family service opportunity.  Last Christmas, we used the money from our Christmas jar (which we put change in throughout the year) to buy presents for elderly.  The gym had a “senior” tree with items they needed.  Many of the things were actual needs, like pajamas, winter gloves, and so on.  We took the kids shopping with us and they were surprised by how quickly our money dwindled.

To sum up, be careful this season, don’t go into debt for the Holidays!  Know what you have to spend, use your list, don’t fall for marketing lures, and spend time making memories and focusing on others. These are the ingredients for a truly memorable Holiday season.

Resources:

http://money.usnews.com/money/blogs/my-money/2014/10/22/6-tips-to-steer-clear-of-holiday-debt

The Christmas Jar by Jason Wright

https://www.mainstreet.com/article/10-best-ways-to-avoid-holiday-debt-beware-the-spending-danger-zone/page/3

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