Before I go any further let me say that I love my little VW Jetta. It's a 2001, and although we bought it used with a relatively large amount of miles on it, I love the thing. Lately, however, it's been the bane of this Challenge.

Right as this challenge commenced in October of this year (actually, a week or so before then), the dreaded check engine light appeared. Usually I give it a couple days to see if it's a fluke, but this one did not want to go out. Three weeks later, I took it to a mechanic, and we not only needed to replace our timing belt, but an assortment of air hoses. Subtract $1200-ish from our banking account... and things are back to normal. Except for that missing money of course!

Well, a week after getting this fixed, somewhere in November, the light jumped on again, this time including the "low coolant" light. Apparently there was a radiator hose leak (how the mechanics didn't notice it last time they checked the engine is beyond me). Three hundred dollars or so are gone.

And now, after driving a for a couple weeks of automotive bliss, my check engine light is on once again. We finally took it in and hopefully after another $350 of repairs things should be fine. This time it was an oxygen sensor on the back of the car or something. I hate to admit that I know very little about cars.

As much as I love the Jetta, and as much as I love foreign cars overall (they last MUCH longer, their mpg is usually much higher, etc.), be careful. I'm not sure about BMW or Mercedes or so on, but Volkswagen parts can be pretty expensive.

And is it just me, or does it seem like everything goes wrong around the time you most need it not to?

I hope that your Christmas was one of hope and silence this year. Beth and I had a wonderful holiday and had enough time off to visit relatives from both sides. We tried as hard as we could to get as many people gifts as possible, and we both think it turned out well. Here are some things we did to save during the holidays:

* Discover Card Bonus Points -- Not to completely endorse credit cards, as I've mentioned in past posts, Beth and I have a couple credit cards and use them a lot of the time. We make sure to never spend more than we have and pay off the entire amount every month. Discover has a pretty good program and we were able to redeem points for gift cards and moolah. We were able to get a lot of gifts with this and didn't have to pay a thing!
* Woot.com -- I was surprised to meet people who had never heard of this website. You may know all about it. It's an online store that sells only one product a day. It sells this particular item until they run out of that particular item. Occasionally, about once or twice a month, they will host a "Woot Off," where for a period of a couple days they sell one product after another-- once an item sells out immediately another item is on sale. A majority of the time the deals on this site are pretty worthwhile. I found some perfect Christmas gifts here and saved a ton of money!
* Quality over Quantity -- We really wanted to personalize our gifts. Our focus this time around wasn't necessarily on how much the item was, but more of how it would impact and what it meant to the person we were getting it for.
* Not Worrying About It -- This how we saved our sanity during Christmas. We didn't get too worked up or stressed about what we were getting people. We had fun with it. Beth and I enjoyed getting gifts for people together. We didn't throw ourselves into hour-long lines or become part of the mall mania leading up to Christmas Day. We (and by "we" I mean Beth) were very efficient with not only our time but our wallet and made sure to enjoy the time we spent.

I hope you all had an awesome Christmas. What all did you get? One thing I got (although expensive) was an iPod Touch. It was costly but will prove to be very useful when it comes to time management and organizing. Of course I love the games and the fun that it is (after all, my motto is: "Books are fun; video games are more funner"), but its a pretty incredible piece of technology.

And also, to appease the music lover in me, I received the book "1,000 Recordings To Hear Before You Die" by Tom Moon. I'm not far into it at all but I already love it.

I'm certainly going to echo Phil in this post. I've been blessed with so much this past year and can't believe all of the events that have unfolded.

The Pay Yourself First Challenge has certainly been a high point of the year. I'm not one to win contests. So becoming a finalist in the PYF Challenge definitely was a surprise. Because of the contest Beth and I have improved our budgeting, and we opened our first savings account! (We've even had some friends open up a FNBO Direct Savings Account) Not only are we on our way to paying off my student loan debt, but we are also putting a way as much savings as we possibly can!

We've seen quite a shift in the economy over the past year. Our sense of entitlement has been shaken. This contest could not have come at a better time. Now I'm no fan of recessions. I know many people are suffering because of it. But to play the optimist, I really believe that this can have a lasting effect where frugality and saving for the future is the norm. And I know that's really hard to do. But it's something that needs to be done. And it's exciting to know that FNBO Direct encourages that. I couldn't be more proud to be a part of the Pay Yourself First Challenge.

Thank you all for sticking through this and keep voting! I am overwhelmed and thankful for all the support and encouragement.

MERRY CHRISTMAS!

Your Friends,
The Rhodes

Sorry for the lack of posts, I just got back from Washington. That personal jet plane can sure wear a person out. But I've managed to have time to fill you in on all that has been happening. Many of you do not know this, but I decided to take my debt problem to Congress. Where else can you get bailed out for problems that are your own fault?

Times have been tough lately. With my student loans topping off at around $23,000, and my current income dropping because of inefficiency and lack of growth and development in an ever-increasingly competitive market, I decided that there was nowhere else I could turn to except for the government. Some call it a bailout, some call it Communism, but I like to call it a "Rescue Plan." Why should I be stuck with the consequences of mismanagement?? This kind of responsibility is not my area of expertise. Competition is just so hard. How was I supposed to know that I'd actually have to work and compete to make a living?

I instead choose to blame the economy, and not my lack of wisdom and efficiency. It's so much easier!

So I gave my argument to Congress, and even made a Youtube/Google video to convince my constituents and detractors alike. Let me know what you think!

The bottom line is this: I NEED to pay off my debt. And I cannot be expected to be responsible enough to do it on my own. Not only do I need it, but America needs it. If I go under, this whole nation is going to fall apart! Search your soul, and you will realize how important I am to the welfare of this great nation.

Glucose Intolerant

Dude!!! The wombat made it

Monkey

I bet you're wondering, like me, how I can possibly be in fourth place. Well, a few days ago I probably made my biggest splurge in a long time-- I bought a Macbook Pro. But wait! There's more to the story!

Beth and I have been thinking about selling my iMac and downsizing to something smaller, like a laptop. I love my iMac, and although I am a big fan of Apple, I'm just as much a PC as well. I'm not trying to be all hipster by getting a Mac, I just think it's a great computer, intelligently made, and it's the best out there for what I do (video editing and etc.). They're stinking expensive, but ultimately I think worth it. But I digress.

So lately I've been scouring the web for deals on a Macbook Pro. On Black Friday, although we avoided shopping physically, I did pay close attention to online deals. Nothing really struck us in the Macbook area, so we decided just to wait and keep a close eye on eBay and Craigslist. Over the weekend, I found an ad for a brand new 2.53 ghz Macbook Pro for $1950. Now, that's expensive for me, but in comparison to the usual price of $2499, it's not a bad deal at all.

Naturally I was skeptical. This seemed way to good to be true. But I wanted to give it a shot. I got in touch with the seller and agreed on a location. After a few days of worry and doubt, I'm the proud owner of a new Macbook Pro. Not only that, he threw in Apple Care (a $239 value). I probably saved around $800, which helps me justify the hefty prictag.

And it gets better--I'm going to sell my iMac to make up for a majority of the purchase. So in the end, it will mostly even out. I promise! :-)

Have you splurged on anything recently?

Mac is Whack! In a good way!

Good Choice

Probably a good idea to swap

Beth and I were recently interviewed by the Atlanta Journal Constitution!

Here's the article:

Snellville couple are finalists in money-saving contest
Can they scrounge enough bucks to win Internet bank challenge?

By GRACIE BONDS STAPLES

The Atlanta Journal-Constitution

Saturday, November 29, 2008

Back in June, Tim Rhodes sought out a guest on the FamilyNet television for some financial advice.

With $25,000 in student loans and a new wife, he wanted to pay off his debt — and he wanted to start paying himself first.

What would you recommend for a savings account, he asked the financial adviser that day.

The man offered a few tips and suggested Rhodes check out his Web site. The 23-year-old production assistant from Snellville was comparing rates when a FNBO Direct ad popped up touting its "Pay Yourself First Challenge." If selected, the Internet bank would match his and four other finalists' savings dollar for dollar up to $5,000. The winner and a guest also will receive an all-expenses-paid vacation.

The competition invited people to create a video detailing what they wanted to save and why. It could be serious, funny or anything in between.

That seemed simple enough. Producing video is part of Rhodes' job, so creating a 60-second spot about saving would be a snap.

"I went for funny," he said.

He and his wife sat on the living room sofa, and Rhodes talked about his $25,000 in outstanding student loans.

"I thought you had $15,000," interrupted his wife, Beth, before leaving him alone on the sofa. He continued to nervously explain how he intended to save enough to pare his loan debt down.

In September, he learned he was one of five finalists for the national challenge: He had six months to achieve his personal savings goal.

The grand prize winner will be chosen based on:

• Saving the most money — based on percentage increase, rather than dollar amount saved.

• Ranking by financial experts based on challenger's saving skill level.

• Voting by American public via poll on www.pyfchallenge.com.

• Adhering to contest requirements.

Anyone can meet the challengers, watch their video entry, follow their savings blogs and vote for their favorite at www.pyfchallenge.com. The challenge ends in April.

According to the National Bureau of Economic Research, Americans' savings rate — as a percentage of disposable personal income — exceeded 10 percent in the mid-1980s. Since 2004, the rate has averaged less than 1 percent.

Liz Pulliam Weston, a columnist for MSNMoney, said there was less motivation to save because of a strong real estate and stock market the past two decades.

"Wealth was going up whether people saved or not," she said.

In addition, Weston said that credit was easy to get.

Now it appears, people are going old school: saving more and spending less."I think we are going back to the old days," said Weston. "People are scared to spend money. It's not good for the economy but people are making the decision to take care of themselves and their families first."

That's the whole idea behind FNBO Direct's Pay Yourself Challenge. They hope the competition will help reverse the trend and encourage Americans to save more.

Like many newlyweds, the Rhodes are struggling to live on a budget while paying off debt, especially in these economic times.

Rhodes wanted to save $6,000, and to meet his goal he intended to work as much overtime as he could. He'd take on as many jobs as he could find making videos for weddings and businesses, and the couple clipped coupons and ate out less often.

He questioned whether he was really up to the challenge. The harder it seemed, Rhodes said, the more determined he became.

In late November, he was about halfway to his goal.

"I'm striving to win, but I feel like just being a finalist, I've already won," Rhodes said. "Because of this we've found we have more to save than we thought. Budgeting is huge."

But will he be able to stick to it after the challenge?

"That's going to be the tough part," he said. "I don't know if we'll be [able to] save as much, but we'll try to be careful with our money and be very aware of where it's going."

Last blog about food I focused on restaurants and eating out. This time I want to focus on groceries and what we do to save money while shopping! Here are some tips and tricks we've learned and discovered along the way. I know some of these have been mentioned in the past, but they're pretty important.

Eat Food at Home First: I know this is sort of a "pre-grocery" tip, but make sure to eat all your food at home before it goes bad. One thing I've noticed at home is that Beth and I tend to let food go bad every once in a while. It's a waste of money. And although it's not intentional on either of our parts, it's something we can definitely be more aware of.

Shop on a Full Stomach: There have been many times where I've gone to a grocery store with intentions on particular items--and if I'm especially hungry, I'll pretty much grab any appealing food item in sight. Make sure you've eaten a nice, hearty meal before going on a shopping spree!

Lists, Lists, LISTS: Another tip to not buy everything that your heart desires. Make a list of everything needed. It actually helps me save time too. Without a list I tend to wander aimlessly throughout the store, potentially taking up hours unintentionally. List just seem to work better for me. Beth making the lists seem to work better for me too! :-D

Coupons!: This was mentioned when eating out, but I believe this probably works better when it comes to grocery shopping. It's usually not much, but every little thing adds up. And some stores offer double (and even triple!) coupons. You gotta love the competition of the free market!

Generic Brands: When it comes to food, name brands and generic brands are virtually the same-- except for the price. Generic brands can be drastically lower in price, and it all adds up to save you a ton of money!

No Organics: Nothing against organic food, but it can get expensive sometimes. It's expensive sometimes just because it costs more to produce, but I believe that its sometimes it costs more simply because it has the word "organic" plastered on it. And you can get healthy food that's non-organic. And I think practically, if we want to be able to feed every person in the world, organic is not the way to go. I think leaps and bounds are being made in genetic engineering where we can feed more people by growing larger crops on the same space of land. I know there's a lot of fear behind the words "genetic engineering," but the fact is it really is safe and one of the more highly regulated food products. Not to go off on a tangent, organic or non-organic is fine. But if you are in a bind, know that non-organic can be just as healthy as organic, and most of the time it's cheaper.

Awareness: I only emphasize this because it's had such an impact in my own life. But awareness of what you buy and eat will help so much in not only the amount of food you purchase and eat (helping your diet), but it will help you save money. Whether it's using lists or past receipts, pay attention to your purchases and see where you can make changes here and there. There's always a way to save in areas--food is definitely one of those areas for me!

In the spirit of Thanksgiving (and food), I hope we all remember this quote I read recently:

"Every moment is a feast of grace."

Thanks!

Farmer's Market!!!

A decent amount of our monthly budget (at least for Beth) comes out for clothes. After a lot of thinking, it dawned on me that clothing is a luxury that is simply not needed. That amount of cash could easily go into our savings account and do so much more for us (after all, clothes eventually become worthless or wear out) with a 3.25% APY attached to it. That's like a t-shirt eventually becoming a jacket, eventually becoming a suit, eventually becoming a tuxedo, and so on! What a no brainer!

So in order to further save money, Beth and I decided to join a nudist colony and have already noticed a difference in our expenses! Not only do we save money on clothes, but we no longer have to buy laundry detergent, or use water and electricity to wash and dry clothes. We couldn't recommend it more highly!

I know most have already posted on food, but I wanted to go ahead and add a little to the conversation. Some of the things I write about may have already been mentioned, but hopefully not all of it! :-)

I'm not going to lie--Beth and I LOVE food. We love trying new things. Eating is a pasttime. And much like Phil's post, one of our big problems is eating out. It's easy, and after a busy day, Beth and I love the word easy. By the time we get home we're both ready to collapse and we are lazier than we should be.

But while Beth and I are trying to curb our eating out, there are a few ways we can curb our spending when we do:

Drink Water: I know this is redundant (Phil mentioned it as well), but it makes so much sense. Beth and I save probably around $2-$5 whenever we order water eating out, and every little bit helps. Also, it's just so much healthier! It's hard sometimes, because I love the usual Coke, Dr. Pepper, or sweet tea, but water is so much better for you.
Split the Meal: Seth (Alexa's husband) pointed this out in his blog about eating out, as well did Phil. Nowadays meals at restaurants are ENORMOUS. It's just more than enough food. As Seth pointed out there is this fear when dealing with servers, but we just have to take that risk. 90% of the time everything is cool, but there have been a few times where the servers because less courteous once we ordered a meal to split. Ultimately it's their loss. During college, one of my many jobs was a server at a restaurant. Because of that I'm a notoriously high tipper. But at the same time, if service is downright awful, I let them know it.
Steer Clear of the Appetizers:Except for the occasional Bloomin' Onion and Fried Mushroom Treat, avoid the appetizers at all costs. Of course this is a completely subjective observation, but it seems the prices of the appetizers are rising incredibly, and sometimes are the same price as the meal itself. Unless the appetizer is going to be your meal, it's a good idea to stay away from them. And not only that, appetizers are usually MUCH worse for you!
Coupons and Other Deals: Phil pointed out a great website, but never fear carrying some coupons around and deciding to eat based on what sort of discounts you have. Some places have daily deals or specials. If you're somewhere touristy, just ask for the locals discount (that may or may not work).
Two Words - Dollar Menus: During college, a group of friends banded together to unofficially form "The Wendy's Club." As obvious as the name makes it, we frequented Wendy's and pretty much ordered only things from the 99 cent menu. And on top of that we got a 10% college student discount. We were able to get a filling meal for around $2.90. That is not bad at all.
Complain A Lot: Just complain about your entire meal every step of the way and you're likely to get it for free! Just kidding on this one.
Savor It:This may sound a bit silly but I think it's a really good idea. If you're like me, you tend to get rushed and eat your meals pretty quickly. What I've been trying to do lately is just stop. Eat. Enjoy. I know life is insane for pretty much everybody, but we should be able to enjoy the food we're eating. When we stop and actually savor what we're shoving down our throats, it becomes so much more delicious (usually, at least). Not only will it be more pleasant, but we'll eat less, not only saving us extra calories that we don't need, but hopefully saving us money. We're so blessed to be able to eat. We're so blessed to be able to choose what we eat. We are so blessed to be able to eat food that is prepared correctly. We are so blessed to not have to worry about sanitation risks when we eat. We are so blessed to be able to TURN DOWN FOOD. Think about that. We can turn down food. The ability to be "full" after a meal is a luxury in itself that most of the world does not have.

Saving money is definitely a goal in my life. It is a smart thing to do, and very important. But ultimately, my life is not going to be measured by how much money I saved, or how successful I am. I want us to be aware of all that we have around us--even during these seemingly difficult times--and see how much we take things for granted that a large majority of the world doesn't have. Because this awareness brings about a responsibility in us for those who do not have so much. Besides, that's just another reason for frugality--perhaps the most important reason. To save money and conserve resources in order to give to those around us.

Besides, it's easy to save money; it's a lot harder to save the world.

Great Post

Awareness brings about a responsibility....

Yum... Stokes...

Stokes?