People considering taking advantage of the federal plan to get an $8,000 tax credit for a home need to act soon. The program ends December 1.

For anyone who has not owned a home in the past three years, this is a good deal and can also be combined with any other programs.

“It’s just like Cash for Clunkers,” said Robert Dye, a senior economist for PNC Financial Services Group. “It runs the risk of a let-down as the program runs its course.”

Anyone considering purchasing a home should already have their finances together and not jump into anything just because they can get the additional $8,000. For some, the additional money will help increase the cost o f the home a person may be able to purchase. The program is a bonus to those who were intending to buy a home anyway.

Only about 90 days until the program ends; serious homebuyers, get moving.

I received this in my personal email account today and thought – this sounds great. If we pay attention to our label and make minor changes in our purchasing habits then we will make a greater economic impact than just buying things that are cheaper. Here is the email in its entirety.

“One light bulb at a time…  this is a good read…Check your labels

Check this out.  I can verify this because I was in Lowe’s the other day for some reason and just for the heck of it I was looking at the hose attachments.  They were all made in China .  The next day I was in Ace Hardware and just for the heck of it I checked the hose attachments there.  They were made in USA .  Start looking.

In our current economic situation, every little thing we buy or do affects someone else – even their job.  So, after reading this email, I think this lady is on the right track.  Let’s get behind her!

My grandson likes Hershey’s candy.  I noticed, though, that it is marked made in Mexico now.  I do not buy it any more.  My favorite toothpaste Colgate is made in Mexico now.   I have switched to Crest.  You have to read the labels on everything.

This past weekend I was at Kroger.  I needed 60W light bulbs and Bounce dryer sheets.  I was in the light bulb aisle, and right next to the GE brand I normally buy was an off brand labeled, “Everyday Value.”  I picked up both types of bulbs and compared the stats – they were the same except for the price.  The GE bulbs were more money than the Everyday Value brand but the thing that surprised me the most was the fact that GE was made in MEXICO and the Everyday Value brand was made in – get ready for this – the USA in a company in Cleveland , Ohio .

So throw out the myth that you cannot find products you use every day that are made right here.

So on to another aisle – Bounce Dryer Sheets….yep, you guessed it, Bounce cost more money and is made in Canada.  The Everyday Value brand was less money and MADE IN THE USA!  I did laundry yesterday and the dryer sheets performed just like the Bounce Free I have been using for years and at almost half the price!

My challenge to you is to start reading the labels when you shop for everyday things and see what you can find that is made in the USA – the job you save may be your own or your neighbors!

If you accept the challenge, pass this on to others in your address book so we can all start buying American, one light bulb at a time!  Stop buying from overseas companies!
(We should have awakened a decade ago……)

Let’s get with the program….  help our fellow Americans keep their jobs and create more jobs here in the U.S.A.”

Not every purchase has to be from American companies but if you are really trying to make an effort you can buy more things that are made in America. Even buying 10 or 25% more items from U.S. companies would make a difference. Other countries buy their own goods, whey can’t we?

Is it always wise to stock up?

I was having a conversation with a new acquaintance about Sam’s Club vs. Costco. I said that both had quantities that were too large for me for most items. Except things like toilet paper or paper towels.

Stocking up when items are cheap, a deal or a good price seems like a great thing to do, unless you don’t have enough space or won’t use the item. I have yet to meet a person who has regretted stocking up on toilet paper but have met many people who bought a larger quantity of an item that they couldn’t use.  If someone gave you something you don’t feel like you made as great a mistake with your money, but when you have spent your own money purchasing a product, it makes it difficult.

Non perishable items are the best to stock up on, within reason. A great del on stationery or wrapping paper that you will never use is not such a bargain. If you send a lot of thank you cards or wrap gifts for a large family then those items would come in handy.

When stocking up on items, you need to have space to store it. A 36-roll pack of toilet paper or an 18-roll of paper towels may not be easily stored in a studio apartment, but may be easily hidden in a larger apartment provided there is space.

Even if you have some items that you can freeze at the peak of freshness, overstuffing your freezer to the point where  you cannot put anything else in it is not wise. Filling a freezer until it’s brimming over doesn’t allow you to find things easily or add items that you need and can cause you to overpurchase, because you can’t find what you have.

People with school aged children, or even adult students themselves, might want to consider buying extra school supplies  – enough to last them throughout the school year. In several months, when paper, folders and other items are not on sale, using items from a personal stash will definitely save money.

Know what you will use and stock up on those items within reason.

What has someone given you that you like but can’t seem to use up? When you receive a 100 yard roll of paper that’s one thing, but when you receive a large bag of produce, then that’s another.

Someone gave me a big bag of carrots. By big, I mean a huge 5 lb bag of baby carrots. Instead of buying lettuce for salads this week, I will enjoy some crudités with dip. The lady who gave me the carrots told me that I could freeze some or cook them. The only way I like carrots is raw – dip is optional.

Having this large bag of carrots has made me think that hopefully I can get through them before they turn. To get rid of the carrots I will probably eat them at almost every meal or at least at lunch and dinner. Plus I can try out some new sauces. Instead of ranch dressing I can add a little horseradish to the ranch for an added zip or horseradish to balsamic vinegar for a different taste.

At least by using items I have at home, or altering dressings I already have this will make the carrots go by faster, though I am open to suggestions for zesty dips.

Consumer confidence is on a roller coaster. One month it is up another it is down. Since the information is based on a small survey of 5000 people this only gives a small amount of people who are confident that the economy is improving.

Consumer confidence “appears to be back on the mend,” said Lynn Franco, head of the consumer research center at the Conference Board, which is a private research group.

If the majority of the people who were surveyed were in an economically depressed area, I think the responses and numbers might be higher. Though the increased consumer confidence is a positive economic boost since 2/3 of our economy is based on consumer spending, the more people spend, the better the economy will fare. Also announced today people have been paying their credit cards off, but not their mortgages. More mortgages have been entering the 90-day delinquency stage but credit card debt is decreasing.

This is also how the economy became troubled initially, too much consumer spending that people couldn’t afford.

Confidence also depends on employment status as well. For those who are employed and able to pay all of their bills there is more likelihood that they will see the economy improving. The un- and underemployed might have a different take on the economy if they cannot afford to buy what they really need (or even affordable nonessentials).

This month the consumer confidence is up and it may keep rising. Consumer confidence is personal. Those who can afford what they need and some of their wants are those who are most confident.

While you’re saving money, you might need more ideas about saving change or small bills in banks.

Cash for Clunkers is ending on Monday. The plan was so popular that it is running out of money again and there seems to be no extension of the program.

In theory this sounded like a great plan and has definitely stimulated the car industry because people were interested in purchasing a new car that would be more fuel efficient. One problem I had with the program is that people were allowed to buy any car, instead of just offering the program for more fuel efficient American made cars. Another issue, is will the people who are buying the new cars really be able to afford the car?

When the program ends will people still be as eager to buy a new car?

“The effectivenessof the ‘cash-for-clunkers’ program will be judged in a number of ways, but a key measure will be how does the automotive market respond to the absence of the ‘clunkers’ incentive to buy now?” said Jack Nerad, editorial director at auto pricing trackers Kelley Blue Book, in a statement.

The Cash for Clunkers program is similar to loss leaders for general merchandise stores. When there are no sales or incentives for consumers to buy anything will they still want to buy items? Temporarily, car manufacturers needed to go ahead and make more cars but will this resurgence make a big difference in a few weeks or month when the incentive is not available?

The recession is ending, depending on whose opinion you believe, but even though economists and business people may want you to believe that the recession is over, there is still a problem that hasn’t reached its peak – foreclosures. Money.com reports that about 9% of homeowners are delinquent on their mortgages and the number is intended to rise in the fall.

What the rate does not include, however, are loans already in foreclosure. Some 4.3% of all the mortgages are in that stage, up from 3.85% three months earlier and 1.55 percentage points from one year ago.

Even if all of the people who are unemployed or underemployed try to recover and begin paying their mortgages again, it may take a while for people to recover if they haven’t already entered into the foreclosure.

The Mortgage Bankers Association also notes that “The states of California, Florida, Arizona and Nevada continue to have a disproportionately high share of foreclosure starts, although the share has fallen slightly from last quarter. Those four states had 44 percent of all of the nation’s new foreclosures during the second quarter of this year, down from 46 percent in the first quarter.”

Just because the numbers are dropping on the foreclosure rates doesn’t mean that the problem is over.  The delinquency rates are breaking records and being the highest ever since the MBA began keeping records in 1972.

The MBA’s final statement says it all…

“As for the outlook, it is unlikely we will see meaningful reductions in the foreclosure and delinquency rates until the employment situation improves. In addition, in some areas where a number of borrowers have mortgages that are larger than the current value of their homes, any life events such a divorce or loss of a job are likely to translate into foreclosures until prices in those areas recover, not just flatten.

For those who think that eating for $50 a week is too expensive.
Here is something that might be more in your price range – $1 a day.

A couple of social justice teachers decided to live off of $1 a day since many people in the world do it. For a month long experiment, they set up rules for themselves and a budget. Meals for a day would cost no more than a dollar. No free food or donated food unless it was available to everyone.

They had a vegetarian diet and for those who do like meat, even in moderation, it is difficult to buy meat for $1 a serving.

Eating for a dollar a meal is challenging enough, but a day? The couple does acknowledge that their experiment wasn’t exactly the healthiest because they couldn’t always get fresh vegetables and produce.

The experiment highlights that number of people in the world who must survive on a dollar a day or less. The quality and amount of food that people can consume for 100 pennies isn’t always the healthiest.

Prior to this experiment, the couple said they were spending about $56 a person for food a week and that after their experiment they have become more aware of their eating habits. Even for $50 a person a week, buying fresh produce, seafood and meat is difficult.

Creative budgeting and spending very little for meals is an issue that many face in this country. Especially when faced with dollar value and 99¢ meals eating healthy is something that is a challenge.

For a person who is not experimenting a dollar a meal could be possible and still have a healthy meal. Dining out would not be an option on a dollar a day diet, even on a dollar a meal dining out would be a challenge. Buying in bulk, and shopping the sales can also help, but also being aware of portion size and snacking less. A couple of commenters mentioned that if the challenge was to eat for a month for $30 that would give more leeway and then also allow buying more expensive items that could be split among several meals – such a chicken or roast.  The couple admits that they did lose weight on this experiment and have a book chronicling their experiences due out next year.

Could you really cut your grocery bill to $1 a day and be healthy?

A story about a “frugal immigrant” caught my eye today. An Austrian lady whose monthly income was approximately $2000 a month but expenditures were only $500 was remarkable. Some of the things that she did to save money were more than frugal. They were just cheap. Instead of buying a card for someone else, she would cross the name off the card and write hers before sending the greeting card on to someone else. She paid very little in rent because she reported code violations and the landlord was not able to have his rent increases approved. Also, she had her phone number listed under someone else’s name instead of paying for an unlisted number. When her neighbor took her to a meal at a local diner she would take sugar and cream packets, and bring jars to take coffee home, in addition to taking the rest of her meal home. In the end this lady was able to amass a small fortune of $300,000, half of which she gave to charity and the remainder to friends.

Another story also highlighted younger peopletaking advantage of amenities. This is not very unusual, though some younger (and unemployed) people who are affected by the recession are finding that they are unable to get free WiFi in coffee shops or the hours that they can get free WiFi are limited because they are taking space from actual patrons who are spending money not nursing a coffee all day long.

Being frugal is great!But many of the things that the immigrant did and free WiFi users do are not frugal – they are just downright cheap.

There is nothing wrong with taking the rest of your meal home from restaurants, or using free WiFi if you are a customer, it is when you abuse privileges that the rest of the customers suffer. Just like free WiFi is limited at some cafes to an hour or so per person or not at all during certain hours, in some restaurants you must ask for Equal because too many people were taking the extras home with them.

Frugality also means taking what you will use. If you are at a restaurant and they bring something you won’t use, tell them. Why do you think water isn’t automatically served in all restaurants any longer? It is an extra cost and some people didn’t drink the water.

There is frugal and there is cheap and the line can be too easily crossed just to save a few bucks.