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Quote from Paul Graham

“That was a big problem for me when I had no money. I felt poor, and stuff seemed valuable, so almost instinctively I accumulated it.”

Paul Graham, “Stuff”

Can we talk?

I know that when you’re starting out with PearBudget (or any kind of budgeting), it’s easy to have questions — “I get a paycheck every two weeks, not once a month … how do I handle that?”; “does PearBudget have a mobile / iPhone / Android interface?”; “how do I handle refunds?” These types of questions come up all the time, and I suspect that many of our users have these questions, but aren’t sure where to turn for answers.

I want to be super-available to any of you have questions about PearBudget, about budgeting in general, or about anything else that I might be able to help you with. To that end, I’m now available for one-on-one instant message chatting, via Gchat. Just send me a chat request, at charlie@pearbudget.com, and we can chat about whatever you’re wondering about. If you’d like to video chat (or IM) via Skype, just send a chat request to “charlieandsarahpark” and we can talk that way.

Basically, whatever format of conversation you want to have, I’m up for it. Whatever I can do to help you with your budgeting, I want to do it. Just let me know how to best get in touch with you! I’m here to help you be awesome.

Also, I’m going to be enhancing our Frequently-Asked Questions over the next few weeks. If there are any questions you have that you’d like to see me add in there, either send me a tweet (@pearbudget), a chat request, or an e-mail (again, charlie@pearbudget.com).

Thanks!

Shopping Effectively Means Shopping Like My Mom

The following copy isn’t actually mine (Charlie’s). It was first posted at a men’s clothing/style blog called Put This On, here. I don’t agree with it 100%, but I thought it was really good, and wanted to share it with all of you. I especially like the section about not confusing price and value. Here you go:

In honor of Mothers’ Day, a reprint of a piece I originally wrote for my mom’s birthday about six months ago.

putthison:

(me and my mom, 1981)

My mom’s current (modest) salary, as a Junior College professor, is the most she’s made in her life, and living alone in San Francisco it still barely qualifies her for the middle class.  Despite that, her home is filled to the gills with beautiful things, and her wardrobe is, too.  Our home was always full of beautiful things, even when I was eight or nine, and she was working her way through graduate school as a single mother in her 40s.

Partly, it’s because she’s got taste, which she’s developed over many years.  In large part, though, it’s because she’s a truly great shopper.  She’s taught me a lot about how to get a lot for a little, and how never to want, even when you’re broke.

What I’ve learned from her can help you build a wardrobe, no matter what your income level is.

Here’s how you can shop like my mom:

Know what you need. My dad can only shop for one thing at a time.  He can shop for a new Accord and find a good deal, but if he was on his way to buy lettuce and saw a mint ‘56 Chevy for sale for $1200, he wouldn’t be able to wrap his head around buying it.  My mom always knows what she needs, and what she’s going to need… and, for that matter, what everyone close to her needs.  I can tell her that my wife and I need some napkins, and two months later, a bag appears at my doorstep full of linen napkins from the 50s that my mom bought for a dollar.  My mom keeps a running tally in her head of what she’s low on, what might need replacing, what holes have sprung up in her material world… and when the opportunity presents itself, she strikes.

Accept that you might not get it now. If you look at your purchasing decisions as a problem that needs an immediate solution, you’ll always end up at Target or Ikea.  When you actually give some consideration to what really is a “must have it now” item (roof repairs) and what’s a “when it comes along item” (new sweater), you can buy from a position of strength.

Plan ahead. A reader emailed today asking about where he could get a good, affordable winter hat.  It’s November right now,  and winter hat prices are at their peak.  If the reader had bought a hat in February, he could have shopped at Saks instead of H&M.  It’s even OK to have a little surplus of things that won’t go bad — you can buy the big box of Bisquick, or and you can buy two classic cashmere toques when they’re marked down to $19.

Used is your friend.  Remember that the biggest drop in value comes when you drive that new car off the lot.  The time investment may be slightly greater, but the savings is huge when you buy used, and if you know how to buy things that aren’t “used up,” (either functionally, as in pilling sweaters, or aesthetically, as in out-of-style clothes), you will benefit.  You want things that are worn in, not worn out.

Buy things for less than they’re worth. My mom is a hustler.  When she sees a chance to buy low, she does – when you’ve got things of value you can always trade or sell them.  Don’t confuse this with buying cheap things, or even things that are marked down.  A high-school friend’s dad used to buy marked-down VHS movies at the Wherehouse.  He had a house full of videos, and they were all cheap, but none of them were good enough to watch, to say nothing of being good enough to sell.  I know when I buy an Oxxford suit at the thrift store that if I decide I don’t like it, I can always sell it for more than I bought it for.

Buy things that hold their value.  Generally I’d say buy things that increase in value, as good art or furniture does, but with clothes, that’s tough.  Fashions change, and clothes are easy to damage.  Remember, though, that when you tear the tags off of that shirt from H&M, its value goes from $20 to $1 in an instant.  The naval peacoat I bought at a garage sale in high school is still worth two or three times the $20 I paid for it.

Buy things that are repairable. Good shirts can have their collars and cuffs replaced.  Good shoes can get new soles.  Good luggage can have straps replaced.  Whenever possible, buy things that can be fixed, rather than discarded.

Don’t confuse price and value. Quality correlates to price, but it certainly doesn’t correlate to price directly.  There’s plenty of expensive crap out there, and there are plenty of big markdowns that aren’t very useful to you.  It can be tough to resist that orange cashmere sweater marked from $490 to $49 – that’s 90% off.  But how valuable is an orange cashmere sweater to you?  Unless you’re in a community theater production of It’s The Great Pumpkin, Charlie Brown, it may be less than $49, no matter what the original price sticker says.  Similarly, brand has gone from a shorthand for quality to a shorthand for, well, brand.  A tag that says “Coach” used to mean the best in leather goods.  Now it means you can afford to buy Coach branded leather goods.  Or knockoffs thereof.

Put yourself in a position to win. My mom’s a creative shopper.  She gets up early to go to estate sales.  She has tons of saved searches on Ebay.  She stops at garage sales.  She puts herself in a position to find something amazing, and when it comes up, she’s ready to buy.  Serendipity is the child of persistence.

Know what’s good. This one’s about skill.  Skill’s about talent, in part.  My mom has a great natural aesthetic sense.  But it’s also about knowledge.  She can evaluate whether the piece of pottery in front of her really is pre-Columbian, and she knows the names of the best leather goods makers in England.  What’s great is that her knowledge and experience don’t just make her a walking reference book, they also make her guesses much better.  Memorizing the best makers can help you spot pieces by those makers, but learning to spot quality means that you can be confident in your own assessments.

Don’t confuse quantity and quality.  When you get an $1800 sportcoat for $300, you have not bought the right to buy five $300 sportcoats.  You’re living within your budget, or you’re saving money for another day.  You don’t want to end up with a house full of VHS copies of Prayer of the Rollerboys.

Move up the ladder. If you have something decent, don’t buy another piece of comparable quality.  It’s redundant.  Buy one that’s better.  You don’t want more: you want better.

Buy amazing things.  My mom looks at a lot of things in a given month.  When she sees something – once or twice a year – that she truly loves, she buys it.  Even if it’s expensive.  Then she figures out how to pay for it.  If something really speaks to you, it’s worth the money.

So… think about what your ideal wardrobe is.  Learn about quality.  Put yourself in a position to catch lightning in a bottle.  Be patient.  And make it happen.

How Visa Predicts Divorce

How Visa Predicts Divorce (via jonathan-deamer > caterpillarcowboy)

PearBudget mentioned in PC World!

Hi, friends!

It’s been a while since we’ve written, hasn’t it? Sorry about that. If you’re on the Twitters, you can follow us over there (@pearbudget), where we tend to post more frequently.

I wanted to post a quick link here, though, to an article in PC World magazine that mentions us as one of 16 web services that can help you get your life in order. Sweet!

Here’s what they said about us:

Would you spend $3 per month to get your finances under control? The simple PearBudget online budgeting app offers a drag-and-drop interface for organizing all of your expenses and tracking them against your income. You can create custom categories, enter receipts, and review your spending from any computer. PearBudget also lets you print what it calls GoCards, 3-by-5-inch cards that you can toss in your wallet to keep track of how much you have left in your budget for any given expense category. It’s a great way to avoid overspending, with no high-priced gadgets required.

Pretty neat that they saw the GoCards! That’s a hidden gem that hasn’t gotten a ton of press so far.

Thanks, PC World, for that write-up! We’re honored to have made the cut! For those of you interested in seeing their whole list, you can do that here: 16 Productivity-Enhancing Websites

You’ve Got a Budget, Now What?

Link: You’ve Got a Budget, Now What?

Small Notebook has a really good (and not-too-long) post talking about how Rachel and her husband, Doug, sat down this past weekend to look at their budget and their expenses, and to make a plan for the next month: You’ve Got a Budget, Now What?

I especially like her encouragement at the bottom: “If you had a budget previously but it’s been a while since you looked at it, pull it out and take a look. Don’t feel like you need to catch up with receipts from six months ago. It’s a new month and you can start fresh!”

Happy customer!

“I just finished my trial month and then signed up. I have to tell you that using PearBudget has already changed our spending. In 10 years of marriage we have never been so aware of our spending as we are now! We really feel like this has given us a plan and a realistic idea of what we can do with our money. Thanks!!”

Deb from Soldotna, Ak.

And now, for a poem

And now, for a poem, via Kelly at Almost Frugal (which you should subscribe to if you haven’t yet).

For Our Anniversary
Jason Tandon

Now that the flowers have dried and withered,

I will tell you that they were a re-wrapped

bouquet—severely discounted—

which allowed me to purchase

those two salmon fillets I glazed

with a bottle of maple dressing,

the crab cakes I served with a spoonful

of spicy mustard from the housewarming sampler

your mother had gifted us,

the package of pre-mixed chocolate chunk

cookie dough I baked from scratch,

and from a fundraising ballet troupe,

that banana nut votive candle

which lasted just the one night.


Nice, right? Relatable. To me, at least.

A few notes: This is by Jason Tandon, from his new-ish collection, Give Over the Heckler and Everyone Gets Hurt. On a personal note, I can’t stand “gift” as a verb, but I’m letting it slide this time, Jason Tandon.

Quote from Scott Simpson

“Another way the credit card companies get you: apparently they take all of your little charges and add them up into one big bill”

Scott Simpson

Another PearBudget Giveaway!

Another blog is giving away a year-long subscription to PearBudget, and we wanted to be sure to share it with you so you can check it out!

SimpleMarriage.net is a really great blog, written by a marriage and family therapist, Corey Allan. He writes about a number of things — skewering myths about marriage, giving advice on how to have incredible sex, and covering a number of other issues regarding marriage — like money, power, adventure, responsibility, and, well, more sex.

In addition to the giveaway I’ll link to in a second, Corey’s also giving away a Victoria’s Secret gift certificate, a “couples” board game, and a variety of other resources for strengthening your marriage. Where does PearBudget come into that? Right here: The Simple Marriage’s Valentine’s Week of Giveaways: PearBudget.

(Honestly, I’d rather win the Victoria’s Secret gift card. But if PearBudget comes in close behind that, that’s fine by me. And you can enter to win them both!)

The Simple Marriage giveaway only lasts for two more days, so if you want to have a chance at winning, head on over and check the blog out, sign up for their RSS feed, and submit a comment on the post to enter.

In the next day or two, I’ll post about another blog that’s giving away a PearBudget subscription. But I wanted to make sure to not bunch them up too closely. Go check out Simple Marriage!