Bankrate recently listed their Top 10 Money Drains.
They are;
1. Coffee
2. Cigarettes
3. Alcohol
4. Bottled Water
5. Manicures
6. Car Washes
7. Weekday Lunches Out
8. Vending Machine Snacks
9. Interest Charges On Credit Cards
10. Unused Memberships
My personal policy on money drains is either plug the hole if the drain doesn’t add value or ensure that there’s money flowing in to cover the drain if it does add value.
Or do a combo. Reduce the cost of the money drain. In the case of coffee, bringing the coffee from home when possible. Or buying the bottled water in a club store rather than out of the vending machine.
What are my top money drains? Chocolate is one (deprive me of that and you’ll see some very angry posts). Romance novels is another (again keeps me sane). Travel could be considered one. To an outsider, all three of these may seem like a “waste” of money but to me, they’re the reason to accumulate cash.
My point is know your money drains and consciously decide how you want to deal with them. That way, a list like the above won’t be a wake up call.
Comments (5)
Great list of money drains, and so true!! Personally, I don't have to worry about the top three. However, I am sometimes guilty of #4, #7 and #10.
Posted by Laura | August 24, 2007 11:04 AM
Posted on August 24, 2007 11:04
Borrowing the novels from the library is an option... !
Posted by B | August 24, 2007 2:58 PM
Posted on August 24, 2007 14:58
B,
I do like borrowing books from the library. That's where I get most of my business books. I'll donate them and then order them back when I need them.
However, with romance, the library does not catalog them (only enters them in the system as misc paperback). That means that there is no way to order the romances I like and I'm limited in romance selection to my local libraries.
Posted by Kimber | August 25, 2007 7:32 AM
Posted on August 25, 2007 07:32
My biggest money drain? Health insurance. As a self-employed person, my family pays almost $700/month for insurance with a $2500 per person deductible.
It's my second-largest expense every single month.
We need healthcare reform. Now. Do you realize how much chocolate I could get for $700/month?
Posted by Angie Hartford | August 25, 2007 12:53 PM
Posted on August 25, 2007 12:53
Books, particularly romance novels, and weekend lunches out are a big part of the budget.
We compensate by easing up on other areas. Figure that the above rolls into our entertainment budget.
I'm planning on ordering more e copies of books, though, because there's a moderate savings, allowing me to get more bang for the buck.
Posted by Ursula | August 26, 2007 10:35 AM
Posted on August 26, 2007 10:35