Useful conversions: Right now, one Australia dollar (AUD) converts to about $1.06 USD. One kilogram is about 2.2 lbs. Regarding sizing for women, an 8 is typically the smallest size found in shirts or dresses, and it is equivalent to a small or a US 4, where as a 20 is a US 16. Shoe sizing is generally the same, but taking the time to try items on will be worth your time.

You might be surprised by the high cost of food in Australia. I was reluctant to dine anywhere at all, until I realized all the prices were the same – expensive. Australia might be a good place to start going on a diet. It’s easier to skip the soda that you usually order with your dinner if they’re charging $3 for a small glass. Bananas can currently be found at a frighteningly high $17.00 per kilogram. At a farmer’s market, the prices were cheaper, but my sister was still unsuccessful in an attempt to buy banana with 2 AUD in hand. Granted, the recent flood in Queensland might have something to do with those high prices.

Do you have a Costco membership card? My family was surprised to find out that there was a Costco warehouse not far from the center of Melbourne. It offers a wonderful view of the Southern Star, an observation Ferris wheel currently under reconstruction (pictured to the right).  By July, there will also be warehouses open in Auburn, NSW, and Canberra, ACT. We saved money by buying some produce and breakfast items there, so we would eat in a few times.

Another way to save money in Australia is by asking locals about the cheaper malls in the area. One family in Perth advised us to check out the Garden City Shopping Centre and the Hay and Murray street malls, but to only buy items when in the Harbour Town Shopping Centre. It was fun to experience all three, but Harbour Town was by far the cheapest for the same quality.

Getting souvenirs? We regretted buying a few boomerangs at a market in Perth when we saw how cheap they were at the Queen Victoria’s Market, the largest open air market in the Southern Hemisphere, in Melbourne. Buy your souvenirs there in Melbourne if you get the chance.

Most likely, you’ll end up spending at least $500, but there are a few methods that you can use to shave off costs. By taking these tips to heart, you may end up saving at least $100 on your purchases.

Buy Secondhand

If you go to a secondhand store that specializes in furniture, you may be surprised by the quality you find there. When people think of secondhand, they think of furniture that belongs in the dumpster. Believe it or not, a lot of secondhand furniture looks like new.

Despite looking like new, most secondhand furniture is sold for less than half of its original cost. Many shun people who buy secondhand furniture, but what’s so bad about buying new furniture for less than half the price? Why pay $500 for something when you can get it for $200?

Wait for the Holidays

Most of time, homeowners can put off buying new furniture for their home a little bit longer. Instead of buying a set of furniture for full price, consider waiting until certain holidays/events, such as Black Friday, Christmas, and Thanksgiving. During these times, many furniture stores hold sales on their products. Sometimes, the discounts are as high as 50% off!

If it’s April and your furniture is in horrible condition, it might be better not to wait. But if you’re only one month away from a major holiday, by all means, wait.

Try Negotiating

During these bad economic times, many furniture stores are willing to negotiate with their customers if it means making a sale. If you really want a piece of furniture that you can’t afford, consider making a fair offer. Always ask for more off than what you really want. For example, if you want 20% off on a piece of furniture, ask for 25%. The more you ask for, the more room you have for negotiation.

Children like handling money. The younger ones usually show a preference for coins. They like to touch, taste, and jingle shiny coins. Coins can keep a child occupied for hours as they hide them, pretend to spend them, and trade them. As children develop, they are introduced to paper money. The higher value of the dollar bills, and its spending power, move the child’s feelings about coins to second place. At this stage, the child is learning that the coins have a lesser value. More coins than paper bills are needed to buy things. The paper money is better and more powerful.

But, if you want to become a person who has control over his or her shopping habits, it is imperative to shop with needs in mind. Here is a way to think about the concept of needs. Basically, we all need air to breathe, food to eat, water to drink, and shelter from the weather. With those needs met, we then strive for safety and comfort. (Remember Maslow’s hierarchy of needs?)

Don’t worry, I’m not going to enter into a deep discussion concerning which needs are most important; the point I’m trying to make is that in order to stick to a shopping budget, think about satisfying basic needs first, then addressing your wants. It’s all about patience and discipline.

Consider the following case:

A college student receives $200 at the beginning of each month from his family for miscellaneous living expenses. Since his room and board are already paid for, his basic needs for food and shelter are already met. The young man has trouble budgeting money, and by mid-month, he always seems to be out of cash. What keeps getting in his way are his wants – clothes from “hip” stores, drinks during happy hour with friends, dinners out, concert tickets, etc.

The need-based answer to the problem:

As one learns how to better handle money, budgeting with needs in mind is helpful. For example, since the student has $200 to live on, he must prioritize spending. He has a place to stay, and food to eat and water to drink, so he needs to purchase personal care items and any medications first. Next, he needs to consider haircuts (unless he has a friend who can do the job for free). Since he is in school, he should place a high priority on the supplies he needs for class as well. Those are the true needs of a college student. After he purchases those items with the money allotted, he then can move on to satisfying his wants, such as an occasional concert or new clothes.

Victory over cunning advertisements, as well as the pressure in society to “keep up with the Kardashian’s” comes when one knows how to take care of his or her basic needs first.  After you learn how to control your spending with an emphasis on needs, it’s OK to sometimes give in to your wants.

No, I haven’t purchased a Sham Wow, but I do indulge myself now and again. And when I do make a purchase that satisfies a want – my heart’s desire – it feels like the well deserved reward it truly is.

Instead of choosing not to go on a vacation this year, you can adopt and get rid of a few habits that will help you save money. Although many people are turned off by the fact that they have to make slight changes to their lifestyle, they might be willing to do so for a few months if it means saving up enough money for the perfect vacation.

Create a Separate Savings Account

A lot of Americans have a savings account in which they regularly deposit money. A few months before a vacation, many use their savings account to store the funds needed for a vacation. Unfortunately, many people get an unexplainable urge to buy something expensive. When these people finally submit to the urge, money in a savings account is often the first to go.

Instead of putting money for a vacation into your main savings account, you should create a savings account that is solely for vacations. When you put a lot of effort into something and have everything organized, you are more likely to stick to something. With a separate savings account, you’ll be less likely to dip into those funds.

When you’re on the actual vacation, you’ll be less likely to go over budget as well. If you only put what you plan to spend in the savings account, you’ll know what you can afford to purchase and what you can’t. It’s impossible to go over budget if you only give yourself what you’re allowed to spend.

Involve Your Entire Family

A vacation’s cost can quickly exceed $1,000 to $2,000 when you have your spouse and two kids in tow. Instead of paying for the vacation all by yourself, you should encourage everyone who will be vacationing with you to save as well. For example, if you give your children an allowance, tell them to save for any extra stuff that they want to buy. Inform everyone about what they must save for to make the trip a success.

Automatic Transfers

Many people vow to save a certain amount of money each day, week, month, or year. Unfortunately, plenty of these people never get around to actually depositing the money into their savings account. If you can’t trust yourself to remember to save, you should set up an automatic transfer to do this without you having to lift a finger.

An automatic transfer of five dollars each day may not seem like a lot, but it will eventually build up into a large sum of money. Believe it or not, all those five dollar bills will amount to $1,825 by the end of the year.

First, you need to make sure to have all the basics. Flour, oats, sugar, brown sugar, powdered sugar, baking soda, baking powder, vanilla, vinegar, shortening, and a variety of oils fit into this category. It is also wise to invest in a variety of spices beyond salt, pepper, and cinnamon. Of course, if you like to bake for your family, chocolate chips, coconut, and nuts are great to have on hand.

Next, think in terms of side dishes. Potatoes, rice, noodles, and canned vegetables remain side dish staples. I also keep a wide variety of cooking soups in the cupboard as well to help with making both side dishes and main dishes. Other canned goods that round out a well-stocked pantry include different kinds of sauces, gravies, and olives (both green and black). I always have a supply of re-fried beans, salsas, enchilada sauces for Mexican themed nights. You will also need to have canned meats on hand – salmon, tuna, chicken, crab – whatever your family likes. These meats help make quick lunches and suppers when you run out of fresh or frozen meats.

I consider the refrigerator as an extension of my pantry. In the freezer I keep a supply of frozen meats, bread dough, vegetables, and berries. I also always have a variety of cheeses, fresh fruits, root vegetables, lettuces, eggs, condiments, sour cream, milk, juices and cream cheese on hand in the fridge. What really helps to save money is making note of your family’s favorite quick meals. Have the ingredients for these meals available at all times. If you do, you will be able to resist the urge to order out.

Save Even More

1. Use coupons – remember those available on the Internet.

2. Stock up when items are on sale.

3. Visit a discount grocer (no frills) and buy reasonably priced canned foods in bulk.

4. Plant a garden and freeze or can the produce.

5. Make sure to use items before they expire so you don’t waste any food.

6. Consider purchasing air tight containers to store sugars and nuts in – this reduces the negative effects moisture can have on these items.

7. Take advantage of free berries. In my area black raspberries grow wild. I usually pick 10 quarts each July and enjoy them for the rest of the year. (Careful – some berries are poisonous).

You’ve probably heard of Habitat for Humanity, the non-profit society that helps low-income people all over the world build their own homes, but you may not have heard of ReStores, the retail outlets where Habitat sells new and used building materials, appliances, and other home necessities. The stock consists of donations that aren’t needed for the society’s current building projects, and the money raised goes to fund its work.

Shopping at a ReStore helps a good cause, but does it save you money? I visited my local ReStore to find out. As with many secondhand stores, the answer is not always, but often.

After making my way to the ReStore, a “temporary” looking metal building in an industrial area on the edge of a residential neighborhood, I had to talk myself out of snatching up the free light fixture sitting on a table outside the front entrance. It was less ugly than the one we’ve got in our kitchen now, but only slightly.

Inside, the first thing that caught my attention was a bin full of brand new towel racks for $1 each. Encouraged, I went on to find:

• used refrigerators for as little as $100
• a complete set of oak kitchen cabinets for $450 – at Ikea you’d pay that much for a couple of linear feet of kitchen cabinetry
• snap stone tiles, boxes of 12 for $24.50 – elsewhere, this can run over $30 for a pack of five
• tubes of sealant, $1 each – the cheapest one in the hardware store is over twice that
• a few new clothes – $5 for a shirt
• a full set of used banisters for $125
• anti-bacterial wipes, $2.50 a box
• new ceiling fans, $47.50
• new table lamps, $30 – about half the hardware store price
• used medicine cabinets, $50
• a large used mirror in a wooden frame, $40

To sum up, prices at the ReStore are at least as good as elsewhere, and in many cases much better.  Though you’re less likely to find exactly what you want, the selection is fair. So if there’s a ReStore near you, it’s worth checking out the next time you need something for your home.

You may even find what you need free.

Shopping store liquidations can be overwhelming if you have never done so before. The following tips should help ready you for the experience.

1. No returns
Remember, the store is closing for good, so returns are not an option. If you are purchasing clothing, make sure it fits before you buy it. Also, if you want an item in an open box, determine if all parts are included. If something’s missing, you will not be able to return the item for a new one.

2. Price reductions
Each store handles price reductions differently, but for the most part, the closer to the actual “last day of sale,” the lower the price for the items. Most offer percentages off beginning at 25% and gradually moving to as much as 90% off.

3. Limited merchandise
Because the store is closing, you need to realize that the stock will not be refreshed. For example, if you really want that unique DVD collection, and there’s only two left on the shelf, it’s better to buy it now than to wait to see if the price falls any lower. On the other hand, if there are 50 sets left, it may be prudent to wait a few more days so see if the price falls again.

4. How much to buy
I’ve learned that I’ve never wished I hadn’t bought so much. In fact, I always kick myself for not buying more. For instance, a few years ago a local card shop folded. I bought an assortment of gorgeous wrapping papers, colorful bows, and refined thank you cards – all at 75% off. You probably can guess that the supply lasted only a few months!

5. Bait and switch
Be careful of stores who say they are going-out-of-business when they are not. Some stores will use this tactic as a way to drum up business!

My most recent “score” was while on vacation in New Orleans. While there I visited two Borders bookstores, and found books for personal use, as well as for gifts. I also bought greeting cards and CD’s. You might be able to take advantage of this opportunity as well, because on March 24th, an additional 26 Borders stores across the nation began selling off merchandise and store fixtures. Items now available include: “books in every category, including new releases, best sellers, textbooks, rare and collectible books and children’s books. There are also significant price reductions on thousands of music CDs, video DVDs and Blu-Ray, arts and crafts items, language learning systems, games, puzzles and more.”

A quick visit to the following website will let you know if there’s store closing near you.

I was first introduced to AARP savings last year when my husband turned 50. While at an eye doctor appointment, he learned that AARP offers member discounts on the purchase of a complete pair of glasses. For a mere $16 membership fee, we were able to save approximately $45 on his bifocals. Since then, I’ve learned all the ways that the AARP card can save our family money. A quick review of the benefits and eligibility requirements listed below will tell you if membership might be right for you!

Shopping Discounts

Shopping discounts abound with the AARP card. Stores such as Borders, Dunham’s Sports, and Walgreens offer special savings for AARP cad holders. At Walgreen’s members just show their AARP membership card at time of purchase for an opportunity to receive exclusive offers available only to them. This month’s special is spend $20 at the store and receive $5 off your next purchase (valid 2/27/11 – 3/26/11).

Tanger Outlets also participate. Members receive a free Tanger Coupon Book including up to 20% discount offers when they show their AARP membership card at any Tanger Shopper Services Center or Management Office across America.

Reebock and Rockport Outlet Stores provide the following benefit: Members receive a 25% discount on the lowest ticketed price of each item when you show your AARP membership card at U.S. outlet locations; plus four member savings events throughout the year.

(These are just a few examples of the shopping discounts available through AARP. There are also many ways to save on online purchases. See the website for a complete listing of participating retailers).

Dining Discounts

Of course we’ve all heard about dining discounts for senior citizens, but the AARP card allows members to enjoy savings at 15,000 restaurants nationwide. One example of a participating restaurant is Denny’s, where card holders can save 20% off their total check every day from 4:00 PM – 10:00 PM.

Travel Benefits

Membership in AARP can save money on car rentals, hotels and resorts, and even cruises. An example given on the AARP website states that, “Alamo, Avis, Budget, Enterprise, Hertz and National offer members up to 25% off on car rentals, along with exclusive insurance benefits.” Specific hotels, resorts, and cruise lines also offer discounts, so it is well worth the time it takes to investigate the cost savings.

Health Products

AARP also offers savings on health-related products. Members can save on dental, vision, and prescription drugs. The company has also included discounts geared at keeping you fit. For instance, at Gold’s Gym, “Members save on a discount enrollment fee of $39 and up to 20% off monthly membership costs with no long term contracts.”

Insurance

Health, life, auto, and home insurance from respected companies, including New York Life and the Hartford, are also available through AARP.

Membership

Requirements for membership in AARP are simple, you must be 50 years or older, and pay a $16.00 membership fee; however, spouses receive membership benefits at no extra charge. Visit the AARP website for detailed information on joining and member benefits.

I’ll admit, it was difficult at first to use my AARP card, but now I smile each time I take the card out of my wallet. Turning 50 is a good thing when it comes to shopping.

Starting October 1st, 2010, Sheila began doing all her buying within the city limits of New Westminster, British Columbia, with the intention of going on for a year. On her blog, My Year of Shopping Locally, she shares spend reports, local businesses she’s discovered, and deep questions like whether there’s any other town of over 60,000 that has no hardware store.

Between early October and early December, Sheila’s average weekly spending went down by over $200. “I spend a lot less time shopping and less on gas,” she explains.

The time saved is the greatest benefit. She now goes to a store only to buy something specific, not to browse. There are no more trips out of town to big-box stores that end with Sheila buying more than she planned. (She does live near a Wal-Mart, but is avoiding making this “my year of shopping at Wal-Mart”.)  Keeping track of her spending has also turned out to be useful in keeping it down.

Though the price of gas has gone up, Sheila spent less on it in December 2010 than she had in December 2009 — $148.14, down from $202.99.

Online shopping is out, too. (You can shop locally online, but that’s another story.) Here, too, Sheila finds that the biggest saving is the time formerly wasted browsing.

Her advice to shoppers: “[D]on’t assume automatically that just because it’s a local product or just because it’s a small store means it will be more expensive . . . I also wouldn’t assume that shopping at a big store or a big mall will save you time or money. There are more distractions at a bigger store and more ways to spend both your time and money. At small stores, you really can just zip in and out for exactly what you need.”

The offers came from a couple of companies that specialize in tuangou, or group buying. When this method of bargain shopping began in Mainland China, it worked very simply: A group of buyers would approach a seller and offer to buy a certain number of items — if they got a large discount. The seller often agreed, at the prospect  of moving so much merchandise and maybe hooking some new customers.

In the past year or so, tuangou has gone online. After all, the Internet provides a quick and easy way to gather a group of people interested in the same product or service — even if it’s limited to one city. Companies like Groupon and SwarmJam see a chance to make money bringing together businesses and bargain hunters.

Typically, membership in an online tuangou group is free, and there’s no minimum purchase. Each day, you’re notified of a possible discount, usually from a business in your area. The discount will be offered only if enough people sign up for it. (In some groups, the more people who sign up, the larger the discount.) If this happens by the deadline, the deal is on. If you’re signed up, your credit card is charged, and you can print out your discount coupon.

This is probably the best way yet to find out about possible bargains and unadvertised specials in your town.

The restaurant discount I mentioned “tipped” before 7:30 this morning. The fitness offer still needs three more buyers, for some reason.

Deals like these can come your way, too.

1. Check out companies that offer free shipping. This is more common than you’d think, especially around Christmas. There may be a minimum purchase you have to make, but not necessarily. L.L. Bean, for example, charges no shipping for a short time before Christmas. (Google “free shipping” to find lots more offers.) Just enter the other person’s street address on the order form instead of your own. Most companies, when shipping a gift this way, will put in a gift receipt that shows no price but can be used to make a return. They may even gift-wrap the item for you, for a little more money.

2. Go digital. Buy and send your friends eBooks, or anything else that can be delivered by email or a download link. If you’re not sure what they’d like, send a digital gift certificate – lots of online businesses sell these. This is not only postage-free, it’s close to instant.

3. Redeem some points. Rewards programs that ship or courier items to your home, like Airmiles, do charge you shipping for heavier ones. But it’s not a problem with things like gift cards, which can travel in an envelope. If you have them ship gift cards directly to your friends, you won’t even have to spend the price of a stamp.

Bonus: All this can be done online. So something else you won’t have to spend is time in a crowded mall.

Print Out Lists: Go on the school’s official website and print out the dress codes and supplies list. Sit down and talk with your child about what they already have and what they need. If they still have last year’s notebooks or a spare box of unused pencils, check that off the list. Only buy what you need.

Sign Up For Store Emails: Do you have a favorite store or two that you regularly shop for clothes? If the answer is yes, sign up for sale emails from that one particular store to keep up with the latest deals.

Take Advantage Of Bargain Uniforms: Many public schools mandate that the students must wear uniforms which generally require preppy basics like polo shirts and khaki dress pants. The good news is that almost all apparel stores sell the items and you can buy cheap (and chic) versions at Target or Macy’s.

Don’t Buy Everything At One Store: Browse several stores before you buy. Make sure that you’re getting the lowest cost on everything, and oftentimes that means shopping several stores in one day.

Bring Your Child: You don’t want to be hassled with last minute returns, so do yourself a big favor and bring your child to try on uniforms and footwear before you purchase them. And do hang on to your receipts, just in case!

Free Offers For Children

If you’ve got a child aged 3 or under celebrating a birthday, capture their precious years with a free portrait package from Olan Mills.  Sign up and print out a coupon for a package that includes one 8 x 10, one 5 x 7, and four wallet sized photos.  If you’ve got a child aged 10 years or younger, sign them up for Geoffery’s Free Birthday Club so they can receive a free gift and birthday card among other perks.

Freebies For You

Join Sephora’s Beauty Insider to receive a free beauty gift for your birthday along with other fabulous perks which include insider access to sweepstakes and deluxe freebies. Get more freebies from Aveda when you register to become a member and receive a free exclusive offer on your birthday.

Free Treats For Everyone

No birthday is complete without ice cream, so sign up for Cold Stone Creamery’s Birthday Club and receive a coupon for a free ice cream creation. Coupon offer only good on the 14 days surrounding your birthday.  If you want cake too,  print a coupon for a free cake at Jack In The Box.  Offer valid on either Chocolate Overload Cake  or New York Cheesecake. Must bring valid ID to use coupon.

The IKEA product range focuses on good design and function at a low price. The basic thinking behind all IKEA products is that low prices make well-designed, functional home furnishings available to everyone. To make their prices low, they say that they “design the price tag first.” Their designers start their ideas by thinking about the production process, how to maximize the use of raw materials, the logistics, and labor and transport costs. To give you an example of this efficiency, they have a lamp that uses its lamp shade as the bucket for the lamp base during the packing process.

IKEA has a design for everyone. There are fancy designs, straightforward and simple designs, modern designs, and more. They focus on creating good designs that serve their function at an affordable price. I always walk into an IKEA store and marvel at the unique designs that they had to offer. I have seen some of the coolest furniture designs there that would minimize floor space, but still be so much more functional than most of the typical styles of that piece of furniture– like a futon or a desk.

The thing about IKEA is that they want you to put together what you buy– this is what also makes their goods cost less. Because their customers are willing to assemble products themselves, IKEA is able to pack everything in flat boxes, or “flat-packs,” and reduce labor, shipping, and storage costs.

IKEA is an international retailer that was was founded in 1943 by 17-year-old Ingvar Kamprad in Sweden.  This European history behind the store has been portrayed everywhere from the furniture designs to the colors of the logo (yellow and blue for the Swedish flag). If you haven’t been to an IKEA yet, you’re missing out!

We all have seen the commercials for Magic Jack.  It is a device you connect to your computer and run your phone line from.  For a small yearly fee, you are able to have a landline and all the perks you are used to without all the overhead.

The Magic Jack was just under $40 from Best Buy.  The yearly fee is only $24.95.  The quality of service is fantastic.  The savings per year are INSANE!  Let’s look at some numbers.  Most people pay between $30 and $50 a month for phone service.  We do this for our home alarm system and the convenience of having a land line.

I have wanted to get rid of my phone forever, but most VoIP companies, like Vonage, do not allow you to call 9-1-1.  Obviously, that is one number I want to work, and there is no way I will remove the alarm system from my home.  So, we were stuck.  That is $36o a year plus for peace of mind.  The cost was worth it to me.

Thankfully, $40 plus $24.95 is just a little more than the cost of two months’ service.  To make it even better is that next year I don’t have to buy any more equipment.  I just pay the yearly fee.  For the first year it is $5.41 per month, and each additional year it is $2.08 per month.

This covers unlimited long distance.  With my job, I find myself in some peculiar countries, and this surely will keep me in touch with the family.

Freecycle (TM) is sort of a virtual curb full of things people in your town want to give away. As freecycle.org says, the Freecycle Network (TM) is “a grassroots and entirely nonprofit movement of people who are giving (& getting) stuff for free”. There are over 4,000 groups with over seven million members worldwide.

It’s simple: You join your local group and post on its site (find it on freecycle.org) when you need something, or need to get rid of something.

What will you find on there? A sampling of the last month’s offers on one group shows a bag of cans and egg cartons, a double bed, a dryer, and a piano. At the same time, others asked for baseball gear for a child (who might not decided to stick with it, after all), large houseplants, and supplies for a poker tournament.

You won’t find anything illegal, of course, or any drugs or medication, legal or otherwise. Pets, maybe – it’s up to each group. There are other restrictions, aimed at keeping the program helpful and no-strings. Your group’s moderator can fill you in on the ground rules. For example, they may say your first posting should be an offer, not a request. We’ve all got something we don’t need.

Safety is something to keep in mind, too. You’ll need to take the same precautions you would when meeting any stranger at your home or theirs.

Freecycle can be a great resource that saves you money when you least expect it. It’s worth checking out.

For instance, when is the best time to buy a pair of shoes? You already may be buying them at the right time due to the fact that you really cannot buy them at any other time during the week if you are at school or if you work a typical workweek. You could go out for shoes on the weekend, but in any matter, the best time of the day to buy shoes is late afternoon. Why? Well, if you buy your shoes then, your feet will have swollen and they will be at their largest size.

What about shopping at a thrift store? Yes, there is a best time to do this as well! It is when the dry cleaners and clothing stores make their donations. In order to find out when your local thrift store gets these donations (which sometimes even happens twice per month), you should become friends with an employee. These times are the best to go to the store because you will either get brand new clothing or freshly laundered ones! If you are wondering why dry cleaners give away unclaimed articles of clothing so fast, it is because they typically do not have enough room to store everything that people forget to pick up.

Those are just a few of the examples of some things that should be bought at certain times in order for you to get the best deal. There are plenty more, but for now, I will leave you with these thoughts on bargain shopping. Maybe they will sparks some other ideas.

The newest phones are released exclusively to one or two of the big carriers (AT&T, Sprint, T-Mobile, and Verizon). Since many people switch or upgrade phones every few years, a 2-year contract makes sense, as it lets you upgrade your phone with every contract.  The biggest problem with contract phones is that it all adds up.  One trick that many cell phone companies like to use is offering the latest trendy cell phones for free or almost free, yet they get you with a contract and extra fees like activation fees, monthly fees, and often a separate data plan. If you take the time to add up the total cost for a two year service, you’ll find out that what you didn’t pay for the phone certainly will add up in the contract. And if something happened within the two years  you signed up for, you can pay heavily for breaking the contract.

Fortunately for us, prepaid phones have come a long way from basic. Many standard phones come with a  variety of fun features like MP3 playing abilities, web browsers, games, cameras, and more. In fact, some companies like Boost Mobile offer pre-paid versions of high end smart phones like the Blackberry, which will let you text, send instant messages, listen to music, watch videos, download apps, and more. The bad side is these phones cost over $200, but there is no contract or extra fees like early termination fees, which will save you more in the long run.  In the end you always should outweigh the costs and read the fine print before making any purchase.

The 3rd verse of the Tao, a concept found in Taoism, Confucianism, and more generally in ancient Chinese philosophy, seems to relate philosophy with shopping. It writes:

“Putting a value on status will create contentiousness. If you overvalue possessions, people begin to steal. By not displaying what is desirable, you will cause the people’s hearts to remain undisturbed. The sage governs by emptying minds and hearts, by weakening ambitions and strengthening bones.

Practice not doing….

When action is pure and selfless, everything settles into its own perfect place“

This 3rd verse of the Tao Te Ching advises one to rearrange priorities to ensure satisfaction. The Tao suggests that a drive to buy should be directed by something greater than ego-driven desires.

How can you apply Tao-based principles to your shopping techniques? Well, to start you off, think about the times when you are about to buy something. Take note of this desire and plan, and then decide to use the Tao to guide your buying process. The Tao would advise you to be grateful for the opportunity to buy something. Be thankful for the fact that you even have the choice to make the purchase, and then listen to yourself and think about the purpose of your purchase. Using your feelings, realize that you may not have to buy what you are about to buy. The Tao will help you reveal whether or not you really need to make the purchase or if there is another purpose to your desire. Can you maybe buy the item to give it to someone else, or donate it? Can you use the money that you were about to spend and give it to charity instead? Maybe you will be guided not to buy the item. And, of course, you always could be guided to purchase the item so that you can savor it within your life.

As one can see, it is a different view of how you go about shopping, but it may be one you could practice every so often to make your shopping experiences more meaningful.

Whether you love them or hate them, here are some of the ways credit cards can make your shopping a little bit safer.

Fraud Protection

If someone steals your cash, you’re out of luck. However if someone steals your credit card, you probably won’t be held liable for a cent. According to federal law, the most they can hold you accountable is $50 per occurrence. Although they’re entitled to the first fifty dollars, most credit cards don’t hold you liable for a penny. So, if someone steals your American Express Platinum card and takes a shopping spree at the mall, you won’t have to worry about it. The same can’t be said about cash.

Purchase Protection

Some of the top-tier cards (mainly American Express) offers free protection on your purchases. For example, the American Express Platinum Card will refund you for eligible purchases if they are a lost, stolen, or damaged during the first ninety days. Obviously this is a fantastic benefit to have, but unfortunately that card also carries an annual fee of $450… ouch!

Easier Returns

If you pay with cash and lose the receipt, you might be screwed if you want to do a return. The great thing about card transactions (both debit and credit) is that there is a paper trail on everything you buy. So, most stores can pull up proof of purchase, even if you’ve lost your receipt. Some department store credit cards will even take it a step further and allow their cardmembers to return merchandise that normally wouldn’t qualify. For example, the Dillards credit card is rumored to allow its cardmembers to return almost anything, for any reason (at least, that’s according to posts on Credit Card Forum.

There you have it; a few of the reasons why it’s sometimes smarter to pay with plastic. However, if you have a problem managing your spending with credit cards, then it’s probably best to stay away from them. Alternately, you can use your debit card; it may not offer as many benefits, but at least there is still some degree of fraud protection.

I am not a shopper.  I do not enjoy spending time inside of stores because I am an impulse buyer.  I want everything.  Do not let me loose in a grocery store because I will fill a cart in no time.  However, I like being able to pay the electric bill even more than giving into an impulse.  So, I am very methodical now.

Before I leave the home, I have a list (usually mental) of exactly what I am going to buy.  When I am there, I seek and destroy.  If I am buying jeans, I will look for the pair I want and not the one on sale.  My wife is baffled at this strategy because my clothes cost more than hers.  I get the brand and style I want and then hang onto them.

This works for me, and I actually spend much less money over the year, AND I never complain of having nothing to wear.  Contrast that to the old me.  I would go to the store and pick out some jeans.  While I am doing that, the sales girl lets me know about buy two shirts and get one free sale.  I check it out.  I only like one shirt but it is a waste to pass up this deal.  I spend an extra $70 for three shirts I didn’t need and the one I liked would have been $35.

My wife always is telling me similar stories as she unveils her killing after shopping.  As she is hanging clothes, which will never leave the hanger, I try to explain she really didn’t save money.  When you spend $100 more for something you didn’t set out to get, that’s a loss.

Go with a list or live in the dark.

1- Frequent Your Favorite Web sites

Many big name companies and stores often use freebies as a way of promoting a new product or service. Why not? It works! Favoritize your favorite links, and check them about every week or so, as they often change their promotions and offers on a regular basis.  Most often, you’ll find free shipping offers or free gifts with purchase promotions. There are even a few web sites (particularly beauty stores) that offer free samples with every order!

2- Search For Freebie Web sites and Blogs

Let me just start with there are a ton of these types of websites out there! One notable web site is mysavings.com, which essentially is an online directory listing a wide range of current freebies to choose from. While I advise Googling “freebie web sites” to find more like-minded sites, it’s important to know that many web sites will try to get you to sign up for a free daily or weekly newsletter to be sent to your inbox. While it may seem wise at first, it’s better just to favoritize the web site than to get extra spam.

3- Final Word of Caution

Many web sites and links will claim to give you a “free” designer handbag or high-end electronic item for nothing but shipping and handling. But in order to obtain such expensive item, you have to complete a series of offers that range from free offers to credit cards to expensive memberships. Essentially you’re purchasing from their third party sponsers to get the item, then have your friends do the same. Cut out the middleman, and just purchase the item yourself.

1. Bargain Hunters

To all the bargain hunters out there, be sure to drop by blogs like Good Deal Gal for information on good deals, coupons, free shipping info, etc. Don’t forget to take advantage of store coupons like Old Navy to get information on their latest sales and coupons.

2. Camera Enthusiasts

For camera enthusiasts, hobbyists and professionals, why not give them something they’ll appreciate without breaking the bank for you? Try Borrow Lenses, a website where you can borrow, rent or buy camera equipment you cannot afford to buy otherwise.Purchase a one-year membership for them (where they can get discounts every time they rent equipment) or purchase gift certificates (amount ranging from $10 to $500), so they can choose what to rent. If you’re in or near the San Francisco or San Mateo area, you can choose to pick up equipments at the store. Otherwise, you can choose to have the items shipped to your home.

3. Food Lovers – Coupon Mom

Use Coupon Mom to purchase restaurant gift certificates for 80% off. Give it as a gift or use it to treat other people out for lunch or dinner.

4. Low Deals – eBay

Never underestimate the power of eBay to give you the best choices for the best deals. Remember to be extra patient at this time, as a lot of people will be doing the same thing. And make sure to read all conditions. Sometimes, deals are too good to be true because you’ll be spending too much on shipping. So, be sure to read all the fine print.

5. Cheap Deals

Scour your area for the best deals on events, travel deals or attractions. In San Francisco, try Bay Area On The Cheap for discounts on museum and concert tickets, suggestions on cheap dates, happy hour sightings and farmers market locations.

If you’re resourceful enough, you’ll be able to find last minute ideas and deals for your Christmas gifts. Never give up.