The Home Budget – The Three Basic Essentials – Part II

The Three Basic Essentials 

1.                   You need a roof over your head

2.                  You need food in your stomach

3.                  You need clothes on your back 

Everything after that is just gravy. 

Home 

Unfortunately many people got caught upside down in their home mortgages.  Adjustable mortgage rates made ballooning house payments unaffordable.  To compound the problem homeowners couldn’t sell their homes for what they owed due to a sudden and dramatic decline in the real estate market.  Foreclosure rates and short sales soared and the problem still exists today. 

We can learn a lot from this experience.  The biggest lesson is to buy only as much house as you can afford.  To this I would add that you buy only as much home as you truly need.  If you need a larger home to store your boat, RV, four wheelers and a mountain of stuff then you might want to rethink things a bit.  The primary function of your home is store your family not your stuff. 

If you need a larger home because you need more room for your family that is one thing.  But, if you need a larger home because you have too much stuff then that is where common sense makes a hasty departure. 

Food 

You need to healthfully from the four basic food groups.  Every meal needs to include a protein, fruits and vegetables, whole grains and some dairy.  There are inexpensive items you can purchase to fulfill this need.  To curb your grocery bill consider all your options: 

Proteins – peanut butter, legumes, tofu, inexpensive cuts of lean meats and poultry. 

Fruits & Vegetable – fresh produce, frozen vegetables, canned fruits and vegetables 

Whole grains – fortified cereals, bran, whole wheat breads and pastas. 

Dairy – cheese, cottage cheese, milk and yogurt. 

Simple basic nutrition doesn’t have to be expensive.  Compare prices, check the markdown bins, go to a day old bakery or bake your own bread. 

Clothing

Most of us have plenty of clothing in our closets already.  Probably more than we need.  Children tend to outgrow and wear things out faster than adults.  If money is tight consider clothing swaps with friends and relatives.  Fill in the gaps by shopping the clearance racks and thrift stores.  Mend items that need to be sewn, patched or are missing a button.

If you are struggling to meet your basic needs than ask for help, there is no shame in that.  Friends and family may be in a position to gladly offer assistance or assist you to find the help you need.  There are many resources available but sometimes it is difficult to know exactly what they are without asking for help first. 

Know that whatever assistance you need at the moment is only temporary.  Once you are in a better position make sure to pay it forward and lend support when you encounter someone in need no matter how small your contribution may be.