How to be a Wise Consumer

Getting Started

Make a simple budget:

1) Add up all the "keep my credit record clean" payments (rent/mortgage, utilities, car payment, phone, credit card payments, public transportation, child care, taxes, etc.).

2) Subtract from your monthly income.

3) Consider the remainder as you then tally up other necessities/near-necessities (groceries, food, savings for emergencies/future, oil changes/basic maintenance for car, insurance - car, health, renter's/homeowner's, etc.) Note: To get monthly amount of some of these you will have to figure out the yearly cost and divide by 12.

4) Subtract your total from #3 from the income remaining after you subtracted the first group of bills and what's left is what you have for entertainment, cable, clothing, eating out, gifts and other discretionary items.

5) Discipline yourself enough to STAY on the budget (avoid impulse buying, use cash if you are not able to pay off your credit card each month, etc.).

General Shopping Tips for One-Time Purchases

• Talk to someone you consider to be a savvy shopper to get his/her suggestions.
  
  
• Research what a good price range for the item might be well ahead of time (the Web can be helpful here) so that you have time to wait for the item to hit your "target." Then put the item and its target price range on your "wants" list and watch for sales, etc. so that you can buy when the "target" price is offered.
  
  
• If you don't have time to research and wait, comparison shop at least three different places (by phone is a time-saver).

Grocery Cost-Cutting Tips

• Make a list of all the things you typically need to buy at the grocery and then window-shop at three different stores in your area and list their base price (not sale price) on each of your items. Compare and go to the least costly, but carry your price list with you so you can always be sure the current price is still good.
  
  
• Make a two week meal plan of quick, easy meals, check your cupboards, then make a list of needed items and stick to your list at the grocery.
  
  
• Buy ground coffee and your favorite breakfast food at the grocery and fix your own rather than going to the coffee shop.
  
  
• Stop using the vending machines at work/school for pop, candy, chips. Either give up the item for health reasons or bring in a stash purchased at the grocery (if you have a place to keep it) or take along in your backpack/purse/briefcase.
  
  
• Eat in, not out. Pack your lunch, and eat breakfast/dinner at home.
  
  
• Use coupons (but ONLY if it is what you need and the price is fair).
  
  
• Watch for sales, but make sure the price is really a sale price.
  
  
• Cut down on cleaning costs by using vinegar and water or baking soda and water instead of all the expensive specialty products. Just type in "vinegar and baking soda cleaning" on the internet and you'll get plenty of ideas.
  
  
• If you can afford to, it's an item you use a lot and you have a place to store it, buy in bulk when you find a good sale.
  
  
• Be wary of convenience foods (mixes, etc.). Does it really take that much more time to mix up flour, sugar and baking powder on your own?
  
  
• Plan your meals for the week, make a list of what you'll need and then stick to it.

Here are some books, recommended by the Indianapolis Star, that might help: On Your Own: Advice for Young Adults Leaving Home for the First Time," by Jeffrey R. Caponigro, or "The Everything After College Book: Real-World Advice for Surviving and Thriving on Your Own," by Elina and Leah Furman.