The year of increasing the emergency fund

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partgypsy1
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Re: The year of increasing the emergency fund

Postby partgypsy1 » Thu Nov 01, 2012 7:31 am

Retrospective:
Jan ingo 4479 outgo 3392 (+1087)
Feb ingo 5500 outgo 5228(+272)
Mar ingo 6537 outgo 4800 (+1737)
Apr ingo 4474, outgo 4908 (-434)
May ingo 4273 outgo 4112(+161)
June ingo 3761 outgo 4024 (-263)
July ingo3779 ingo 4295 (-516)
Aug ingo 5875 outgo 5014 (+861)
Sep ingo 4033 outgo 4459 (-425), (NOT including 1400)
Oct ingo=4080, outgo =5382 (-1302)
If look at ingo/outgo since beginning of year, net ingo/outgo is +1119. But that does NOT include the 1400 couch. If include that, our net ingo/outgo for this year has been -281. Not acceptable. As far as idea of trying to save additional this year for the attic remodel, it is obvious that is not happening. I feel we can do better, but will we?

partgypsy1
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Re: The year of increasing the emergency fund

Postby partgypsy1 » Thu Nov 01, 2012 12:15 pm

I am psyched! Met with my supervisior for annual review. I myself rated myself as highly successful (met expectations) in all areas, because previous reviews with my supervisior, she let me know she does not rate employees higher than fully successful except in extraordinary situations.
The supervisior herself brought up she felt I went beyond usual duties and is going to rate me higher than fully successful in a couple areas. This makes me eligible for a cash bonus. She pointed out that this may not happen every year but felt it was appropriate this year.

What is interesting is that I feel as time goes on, I am communicating better with this supervisior. I don't know if I am changing or she is, or both, but it makes for better work flow (stress!) and efficacy.

alohabear
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Re: The year of increasing the emergency fund

Postby alohabear » Thu Nov 01, 2012 1:48 pm

Congrats on your awesome performance review!

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RICKLEE
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Re: The year of increasing the emergency fund

Postby RICKLEE » Thu Nov 01, 2012 7:45 pm

Congratulations on a memorable vacation - which will produce feelings and memories that last (while the cost data will fade into time's abyss of small details).

Good luck on the back-to-frugality.
RICKLEE

partgypsy1
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Re: The year of increasing the emergency fund

Postby partgypsy1 » Fri Nov 02, 2012 1:10 pm

Thanks everyone :) have a good weekend all.

partgypsy1
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Re: The year of increasing the emergency fund

Postby partgypsy1 » Mon Nov 05, 2012 2:10 pm

Refrigerator not working AGAIN! I am so tired of fighting about this issue. He did finally admit the fridge doesn't seem to be working, but there's "no hurry" about replacing this (even after us getting food poisoning symptoms).
If anyone knows of any good deals or sales for reliable energy efficient fridges, let me know. Don't want to pay more than 750 Max.

catchingup
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Re: The year of increasing the emergency fund

Postby catchingup » Mon Nov 05, 2012 2:56 pm

I bought my fridge (and stove and microwave) from one of those scratch and dent type of stores. It does have a couple of very minor blemishes but was brand new, I got a couple of free upgrades and paid $300-350 for a brand name mid-size fridge; a much better deal than what I found in regular stores. The service was good, the sales guy even told me exactly where the blemishes were on a few different fridges and let me pick which one I wanted, and they delivered (on time!). That same store also had in-box merchandise with no scratches or dents for good prices and were able to negotiate more than your regular department/hardware store. Just make sure you look up the company name first, there was one chain here that was shut down after too many complaints of people buying appliances that were never delivered.

partgypsy1
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Re: The year of increasing the emergency fund

Postby partgypsy1 » Tue Nov 06, 2012 3:37 pm

I don't mind a scratch and dent, just don't want a used fridge, unless it's from someone I personally know.

partgypsy1
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Re: The year of increasing the emergency fund

Postby partgypsy1 » Tue Nov 13, 2012 8:31 am

Bought a new fridge, bye buy $1300. Both a necessary purchase AND an example of lifestyle creep. OLD fridge was a pretty basic fridge. When it broke, we replaced it with a previously owned but nicer (probably 1400-1500) fridge; still top freezer, but stainless steel exterior, large capacity, glass shelves and movable side shelves. The problem was, the fridge just couldn't maintain a normal fridge temperature. It was especially bad when ice built up in the freezer (shooting up to 50 degrees or so) but even when the freezer was clear, it struggled to keep a 40 degree temp let alone anything below that.
Looking at fridges this weekend, the basic model we thought we would buy, looked chintzy and cheap so we kept creeping up in price. We ended up buying a 900 fridge (on sale from 1499) but also spent $300 on a 5 year inclusive warranty. Normally I think these kind of warranties are overkill, but I feel burned and paranoid by this experience with the used but nice fridge (we had repairmen out 2 times, plus us having to monitor the fridge constantly, clear out ice from freezer, on a relatively new, supposedly reliable brand fridge). On sale for 10% plus an additional 5% off or 12 months interest-free). Since I don't want all these overhangs on various credit cards, took the 5%, and we will use our emergency fund to pay the balance on the credit card next cycle.
Also, will be taking 400 from savings to help pay off credit card this month. Not quite kosher, but when I realized that I wasn't going to do the Greece trip, the money I saved for that I threw in the house and efund. So, will take a small portion of that to pay off the credit card.
As far as the couch on yet a seperate credit card, while we we originally agreed to pay off using house fund, the fridge takes precedence. Maybe we will go back to trying to pay off little by little, as we can.
Between the couch, the Disney trip, and the fridge, have no spare money for Christmas this year. However have 6 neices and nephews that each get 20-30 gifts, Mom and Dad at least $50 gifts. And we want to give a "nice" gift to the in-laws for treating us to the WDW trip. However everyone else, we will need to be modest with, including our own kids.

Northern light
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Re: The year of increasing the emergency fund

Postby Northern light » Tue Nov 13, 2012 10:38 am

I made such purshase this summer - new vacuum cleaner. Spent double the budget way to get confirmed good quality. This boring but important function is not anything I want to replace within 10, but preferably 15, years. In that perspective the $900 fridge instead of a $600 is not so bad ($3 a month on 10 years, 4,5% capital cost).

I think someone made $80 profit on your fridge, and $250 from the extended warranty. Those $300 was likely a bad deal. If it don´t break the first year, it will probably work for at least 10.

partgypsy1
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Re: The year of increasing the emergency fund

Postby partgypsy1 » Tue Nov 13, 2012 2:36 pm

Yeah I agree with you, the warranty purchase was an emotional decision on my part. Normally when a salesperson starts talking extended warranty I hear the word "SUCKER" in my mind and decline. The one year that came with the fridge seemed skimpy. The store offered 3 year or 5 year warranty. The 3 year was about $100 less, but it didn't include some things, including I believe the lemon clause, that if it had 4 repairs they would have to replace said unit. I am paying $300 to have peace of mind about not having to worry about this particular appliance for the next 5 years, which I'm sure many of the frugal minded would object to as excessive (and part of me agrees).

Since I purchased the warranty I fully believe I will have no problems with the unit, just as the times I carry an umbrella, to will insure it will not rain :D

Hmm I looked and repair likelihood for a top or bottom freezer fridge is supposed to be 17% over a 3 year period. Now I'm reconsidering.... Any feedback?

geoff_tewierik
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Re: The year of increasing the emergency fund

Postby geoff_tewierik » Tue Nov 13, 2012 5:49 pm

I put the money I would have spent for an extended warranty into the bank in my household expenses account, and add to it on a monthly basis, so I can have enough for a replacement if it turns out to be a dud unit and the standard warranty doesn't cover it.

Northern light
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Re: The year of increasing the emergency fund

Postby Northern light » Wed Nov 14, 2012 6:37 am

Whatever it is called it is not "warranty" - it´s insurance. Insurance should be bought to protect you against unlikely events that you can´t 100% stay away from, and can´t afford to pay for if they happens.

Unlikely?
Yes, because if it is likely to happen and you can´t afford it - you should change your way of life, not insure against it. Also, to insure against something that is likely to happen will in a short period of time cost you the equivalent of what you get if the event would happen.

100% stay away from?
You can stay away from mountain climbing. If that activity is not covered in your life insurance and you have a family who needs your income - don´t mountain climb.

Can´t afford to happen?
Face it, insurance is just collective sharing of cost, minus the cost to maintain the insurance company. Statistically, people loose on insurance the same way you loose on lottery. Therefore, if you can afford not to insure your car from fire (buy new car on your own), in the long run you win by not insuring it.


The event that your fridge will die within five years is small, you can´t skip having or using it or in any other way alter it´s lifespan. But you can afford a new one if this one breaks down after four years. Therefore - you should not insure it.

partgypsy1
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Re: The year of increasing the emergency fund

Postby partgypsy1 » Wed Nov 14, 2012 7:19 am

OK you convinced me. Now to find the phone number...

partgypsy1
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Re: The year of increasing the emergency fund

Postby partgypsy1 » Fri Nov 16, 2012 7:47 am

Whew, only had to talk to about 6 different people over 5 phone calls including 2 disconnections when I was being transfered to cancel the appliance protection plan. When I finally got to person who was could to help me, he said he needed to tell me some information that was a formality, and started rattling off this stuff including after a year if I wanted to cancel, then I could cancel it at no penalty. So if I agreed to what he was saying without listening, they would have NOT canceled the warranty. And so I interrupted "you mean the warranty I'm trying to cancel?" "Yes." "No, I want you to cancel the warranty now." And finally they did. Wow they REALLY don't want you to drop these things.

Feeling a little more at peace with "money". The fridge is on a new card (to get the discounts) that has some crazy interest rate (25%?) so we will pay it off next month from efund. Taking 400 from housefund (where I dumped most of the vacation money) to pay off Disney-induced credit card balance this month. And the couch, well, it's on a 12 month interest-free card. I've actually told the few people who buy me gifts that the number one thing I want for Christmas, is donations to pay off couch. I'm at the point in my life, if I need a pair of shoes for work, I buy them. I got a new winter coat last year. I don't wear makeup and love using my epson salts and vial of essential oil for baths. There's nothing I really need. Family also know the little things I enjoy (teas, marzipan, chocolates) if they need something to wrap up. So we'll see. The kid's list for gifts (so far) are modest. They are still a little young for expensive electronic gifts, yet the big gifts (like Barbie doll house, an American Girl doll) they already have. The last few years we have donated at Christmas (homeless shelter, needy families identified by social services, at need families at my kid's school). However this is the first year the kids asked about making a charity gift and are interested. I showed my daughter a number of options, and she is intrigued by the Heifer fund, so that is where we may go this year.


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