Frugal Ideas For The Office

The other day I opened my office door after coming back from running an errand during my lunch break and someone asked about my lights being turned off.  “Do you always turn your lights out when you close your door?”  I laughed and explained it was just habit.  However, as I thought more about it I realized I had brought many of my frugal habits to the office, and that’s not necessarily a bad thing.  Here are a few ways to be a frugal employee, starting with the one that inspired reflection on the topic.

Turn off the lights when leaving an office or conference room.  This is by far the easiest solution to implement.  Just because you are not paying the electric bill it doesn’t mean you cannot take the same energy-saving approach at work as you do at home.  Flipping off a light switch requires very little effort, but it will reduce your company’s energy usage.  Not only is conserving power good for the environment, but things like this have a cumulative effect on decreasing your company’s overhead expenses.  This will help your boss look better by improving the company’s bottom line, and increase your chances for career success.

Try to eliminate printing to hard copy.  This one is easy for me, because if it winds up on my desk in paper format it is likely to get lost in the shuffle.  I would much rather have something electronically stored with an adequate backup system.  A good electronic file system is more searchable and secure than paper copies floating around the office.  It is also more friendly to the environment and cuts down on the overhead costs of stocking reams of paper.  I also like to order my own business cards, rather than take the 1,000 box supply that comes standard with a new job.  When I left my last job I had 996 left.

Repair or upgrade technology when possible.  Often times when a PC is bogging down a simple increase in RAM, a disk cleanup, or a defrag would to the trick.  But impatient employees, and spend-happy IT personnel often just replace the machines with a new one and “retire” the other machine.  Take time to investigate what the real problem is and make small corrections as long as possible to extend hardware’s useful life.  If a replacement is in order try to find ways to save money on your next computer.

Have a pot-luck lunch rather than going out as a team. Pot-luck lunches are like the ultimate brown bag at the office.  Create a theme, such as “Backyard BBQ,” and set up a sign-up sheet for team members to select something to bring.  If some team members aren’t up to cooking a dish ask for plates, forks, cups, drinks, etc.

Spend company money like you spend your own.  This idea assumes that you are a frugal spender at home.  At my last employer I was given a healthy per diem to cover food expenses while on the road, and if entertaining clients or going out as a group with fellow employees I could charge dining expenses to my company credit card.  I wasn’t much fun to go out with!  I didn’t see a need to eat steak and lobster every meal simply because someone else was paying for it.  My typical meals on the road looked like a continental breakfast in the hotel lobby, Subway for lunch, and a grilled chicken salad or similar for dinner.  I typically spent about half my daily food per diem, and rarely used the credit card for allowed entertainment purchases.

Don’t be cheap when it comes to raises.  One mistake frugal managers make is being cheap when it comes to handing out raises.  The people most valuable to an organization should be near the top of the pay scale, and it’s your job as a leader to recognize their value and compensate them accordingly.

What are some other ways to be frugal at the office?

Sunday Conversation #10 with Frugal Dad

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photo by OiMax

Welcome to Sunday Conversation #10! If you would like to participate in next week’s Sunday Conversation, simply ask your question in the comments section of today’s post and I will respond next Sunday. Remember, any subject is on the table (but keep it family-friendly). 

“I just found your blog and I am enjoying catching up on all your posts. I was wondering if you might have a suggestion for a website that tracks CD rates. My Mother is a widow who is watching her pennies very carefully now that Dad is gone. She has money that needs to be rolled over and I know that there is a better way than watching the paper.”

- Janelle

Janelle, I’m sorry to hear about the loss of your Dad.  I know this is a difficult time for your family, and having financial responsibilities thrust upon your Mom makes it even more stressful for her.  As a fellow reader (Maha) recommended, I also find BankRate.com to be one of the best online sources for finding rate information.  In fact, BankRate.com also offers rate information on credit cards, mortgages, and a variety of other financial products.  Here are a few other sites that offer CD rate information:

I hope one of these sites will provide some leads.  In a low-interest environment it is difficult find deposit products that offer high yields.  You may want to encourage her to check out a high-yield online savings account such as ING Direct to park money moving in and out of CDs, or other investments.  This way she is at least earning a decent rate in the interim.

Where do you get the pictures you use on your blog? I’m working my way up to starting one of my own, but I know stock photos are expensive.”

- Maha

Maha, nearly all of the photos you see here at Frugal Dad are used under the Creative Commons license at Flickr.com.  Occasionally, I take my own pictures, such as those you may have seen of our garden.  Check out this thread over in Frugal Dad Forums for more information on using pictures from Flickr.

“My other question is this, have you addressed or discussed separate spousal accounts? We do that, and we have a joint account to pay for household stuff. We each get an allowance to spend as we please. Just curious about what you and your readers might think of this.”

- Also from Maha

I know many couples who have separate accounts, and a joint account that they both contribute to for household bills, the mortgage, etc.  This scenario seems to work particularly well with couples who marry late, or who have been divorced before.  In other words, separate accounts seem to work better for those couples who have lived independently, financially, for some time prior to marriage.

My wife and I have had combined finances since the day we married.  All of our accounts are joint accounts, and we pay all expenses (except for those related to my freelance work) out of a single checking account.   I don’t think having separate accounts is a necessarily a problem, unless one partner is hiding finances from the other.  Hiding finances is a symptom of a dysfunctional relationship.  So if you maintain separate accounts make sure your partner knows about them.

Our Emergency Fund is Under Assault

hockey fight

photo by pointnshoot

It has been a rough month in our household.  It all started when my wife took a spill in a parking lot after rolling her ankle.  She severely sprained her ankle, and even did some ligament damage.  She was prescribed crutches for a couple days, and an AirCast for 4-6 weeks.  Fortunately, it appears she avoided the need for surgery, but we won’t know for sure until the boot comes off.  The medical bills for x-rays, the ER visit, the orthopedic follow up, the AirCast, and the crutches are starting to roll in.

When It Rains, It Pours

A few days after her fall, on the morning of July 4th, we awoke to an unusually hot house and a broken air conditioner.  It was a particularly hot day, and by noon it was already hovering near 85 inside our house.  Our service guy discovered a burned out fan motor on the unit outside our home and put on a temporary replacement.  Fortunately, the motor was still under warrantly (barely), but we still owed $125 for the labor.

Over the weekend I was mowing our lawn and the mower died about half way through the job.  The nearest service center is about twenty miles away, so I asked if they could come pick it up.  They said, “Sure, for a $150 fee!”  Of course I said no, and immediately thought about the stuff I had loaded on a trailer that I could use to transport the mower.  When it rains it pours.

Our home computer crashed last week.  I guess it is expected since the desktop is now close to eight years old, which is an eternity in PC years.  While downloading email the system froze, and upon restart it would not boot up, citing a missing or corrupted windows file as the culprit.  I did manage to salvage my wife’s pictures she had transferred from a digital camera, but not backed up (lesson learned).  When I get some time I plan on wiping the hard drive and reloading the operating system to see if we can’t squeeze a little more life out of it.  However, we will definitely be backing up anything we save to CDs and will probably keep an eye out for any good deals on a new PC in the interim.

The real icing on the cake came last Monday evening.  My wife had prepared a new dish that we were all looking forward to trying. We had gathered in the kitchen and the kids were telling me about their day when we heard a loud popping sound.  We looked at the oven and the inside glass panel in the oven door had shattered, spraying glass all over our meal and rendering the oven unusable. We let it cool down, cleaned up the mess, and headed to Subway for dinner.

Moral of the Story

There isn’t one.  I just wanted to vent.  No, I’m kidding.  The moral of the story is that all of these things would have been major, budget-busting events just a couple years ago.  However, with our emergency fund in place at ING Direct these strings of bad luck are just minor inconveniences.  Well, some are more inconvenient than others, but you know what I mean.  Having an emergency fund in place allows us to focus on making the situation right, rather than worrying about how we are going to pay for it.

I’m more convinced than ever that having a solid emergency fund in place should be priority one in any good financial plan.  Our mission over the next two or three paychecks will be to replenish the funds we’ve used over the last few weeks, and hope nothing else breaks for a while.

Weekly Roundup: Exploding Oven Edition

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photo by david55king

I would not believe it if I hadn’t been standing there next to the oven on Monday evening. My wife had just put in a new dish to bake and we were so looking forward to trying it.  Suddenly, we heard a horrible sound from the oven.  We spun around and were shocked to find the inside glass panel on our wall oven had shattered into a million pieces, spraying glass all over the inside of the oven.  I’ve since read that both glass panels can shatter, and we are lucky this didn’t happen because the flying glass at least would have caused a serious mess throughout the kitchen, and at worst could have hurt my wife or kids.  We cleaned up the mess and had to toss the chicken dish.  Another great reason for having a solid emergency fund!

The Roundup

101 Dirt Cheap Ways to Enjoy Yourself.  Proof that you don’t need a lot of money to have a good time!  @marc and angel

Undermining Your Frugality.  What good is being frugal for a long period of time if you only blow money on something frivolous later?  I’ve struggled with this myself at times.  I’ll scrimp and save five dollars here, ten dollars there, and then blow twenty dollars on a book I could have checked out at the library.  @the simple dollar

10 Reasons to Finish Your Degree Online.  I finished my degree online, and my only regret was that I didn’t start my degree online.  It makes for a much more flexible schedule, especially for us “non-traditional” students with full time jobs and a family.  Look for my own post on my online education experience next week.  @the wisdom journal

12 Tips to Prepare Your Finances for Vacation.  A great list of things to consider before hitting the road.  Often times we worry over our packing list, or our itinerary, and forget the financial responsibilities we’re leaving behind.  @my dollar plan

Save the Planet, Save Cash:  25 Best Ways to Green Your Green.  I really enjoyed this one as a “Frugal Dad” who also cares about the environment!  @ecosalon

7 Benefits of Imperfection.  Simple Mom was vacationing this week, but I caught this great post at her blog.  As the author states, being imperfect helps us show our children that they don’t have to be perfect either–a very powerful lesson.  @small notebook via simple mom

The Fine Art of Saying “No.”  It’s hard to say no.  It’s hard to tell yourself no, and it is hard to tell others no.  This post does a nice job of identifying why uttering those two little letters is so difficult, and provides some ideas on how to make it easier.  @my super-charged life

21 Ways to Make Your Blog or Website Sticky.  If you run your own blog, or are considering starting one up, this is a must-read.  I’ve implemented a few of these great ideas, but still have some work to do.  @problogger

The Dirty Secrets of Debt Reduction (and What to Do About Them).  Some of the best posts from personal finance bloggers are ones that tell the story of their triumph over debt.  This is a great post from J.D. sharing the story of how he beat debt.  @get rich slowly

Some lively discussions are happening over at Frugal Dad Forums.  Won’t you join us?

Lessons from Grandma’s Cookie Jar

Going over to Grandma’s house and knowing she had just baked some fresh, homemade chocolate chip cookies is one of the the highlights of childhood. The tantalizing aroma of sweetness and chocolate wafting through the screened door always dominated my mind as I walked up those back porch steps and I couldn’t think of anything else. Couple those warm and gooey cookies with a glass of icy cold milk and I just knew what heaven was going to be like. Even if they weren’t freshly baked, I knew where the cookie jar was, and I knew she would set me down at the kitchen table and watch me devour as many as I could…as quickly as I could. I always knew that the cookies were there until I (or my little brother) ate them, but when the cookie jar was empty, it was empty. There were no credit advances.
The beauty of Grandma’s cookie jar was that not only did it satisfy my sweet-tooth, but it taught this simple and effective approach to managing money: The cookie jar was not a bottomless pit. The outgo could NEVER surpass the income. There was no such thing as a cookie credit card. There was no “cookie debt.” Today, we can use the cookie jar as a method of budgeting. Some people use envelopes, but the principle is the same. What goes in is the only thing that comes out! The amount spent can never exceed the amount deposited. To make this system work, you need two elements:

  1. A plan for spending (a budget)
  2. A system of self-control

The problem in our families today, in our government, and in too many businesses is that we have lost sight of these basic elements — planning and self-control. We believe we are so sophisticated that the basic principles of budgeting and self-control are no longer necessary or even relevant in our daily lives. Deficit spending, at every level, has eroded the plan because financing is always available to go beyond what we planned to spend. Problems only surface when all sources of credit have dried up and a life-style of cookie consumption has been established that’s far beyond our ability to repay.

Credit allows us to live in the short term, as if the cookie jar were bottomless.

When credit is gone, the only available options are so devastating that many people face personal bankruptcy, severely strained marriages, wrecked retirements, and ruined financial lives. Assets must be liquidated, children removed from private schools, houses and cars must be sold, and life-styles must undergo dramatic and difficult adjustments.

What’s the solution? Remember to follow the basics of Grandma’s cookie jar. Never allow your outgo to exceed your income, and plan your cookie eating so that you can stretch the enjoyment over a longer period.

The world is bent on telling you that you can have everything NOW. It’s your job to resist through proper long range planning and a steady focus on your long term plans for financial independence.

This was a guest post from Ron at The Wisdom Journal. He blogs about personal finance, business ideas, and life in general. You can subscribe to his feed here.