Frugal Five Meet Maggie from Southern California

Maggie is a frugal momma  of 2  teen age girls from Southern California

What is your financial life?

We are a 2  income family with 2 kids and 2 dogs. . I have always been fairly frugal due to my parents struggling with money growing up.  I kind of learned from them.  I told my husband when we were dating that I never wanted to really worry about money nor get into debt. We don't need the lastest toys or gadgets. I still have a simple flip cell phone  I feel like I can really stretch a dollar and never lived above my means.  Luckily my hubby and I have solid jobs and income which has really helped us through the years.

What is your budget buster?

My younger  daughter  13  just got braces.  I just paid it all up front in CASH and got a 20% discount.  My oldest daughter who is a junior in high school it is all about college right now so we are making sure we are saving some money for her as well.  

What is your favorite money saving tip?

I pay myself first.  My husband  is maxing out his 401k  at his job and I do 10% into my own 401k.    

Also  Mary Hunt of Debt proof living  rocked my world with a little concept called the ”Freedom Account which has really helped my budget.  The Freedom Account is a separate checking or savings account that you set up for irregular expenses. This is different from your emergency fund that I automatically transfer money each month.   Mary Hunt’s idea is to calculate your irregular expenses (the ones that are not  monthly) like auto insurance, clothing, medical expenses, car maintenance, , etc. and then divide the amount by 12. That amount is what you should be depositing into the Freedom Account each month . She suggests automatic withdrawal from your paycheck so you don’t have time to decide if you are going to spend it on something else.  I was able to take money out of the freedom account to pay for the braces.

If you had an extra $1000 what would you do with it?

We are planning a  family summer vacation up to San Francisco this year. This year might be our last summer to travel as family for all of us since my daughter will be heading off to college in  a year and half.  

What is your best resource for frugal living?

I love forums for people who are living a frugal life. I have learned so much from reading how others save money or are paying down debt. I enjoy Mary Hunt's forums.