Monthly Archives: February 2021

Reduce. Reuse. Recycle.

Reduce. Reuse. Recycle.  These are the steps we are supposed to keep in mind to reduce waste in the landfills.  But they are also the steps I use to spend less money.

Reduce.  Before you buy it, make sure it is something you need.  Do inventory before grocery shopping so you don’t end up with too much of something that will go bad before you use it.  When you see that super cute pair of shoes on sale, really think before you buy.  Can you think of at least 3 outfits you would wear them with?  Are they appropriate for multiple situations?  Are they comfortable enough to wear on a work from home day?  Do you already have something similar? If you don’t need it….don’t buy it!

Reuse.  Before something goes to the trash, think about whether it has another purpose.  We joke that middle age is when you do mental battle with the fact that you should get rid of that empty box, but it’s a struggle because it’s, you know, a REALLY nice box.  If you see yourself using something within a three-month window, it may be worth keeping.  Those takeout food containers work great to freeze leftovers for future quick meals.  Those plastic grocery bags are perfect for disposing of pet waste.  That carcass left after you eat the rotisserie chicken can easily be turned into chicken stock.  I’m not saying that you should save absolutely everything and become a hoarder.  But definitely take a few minutes to think about whether you can potentially use something again.  And if you can’t use it again, think about whether someone else would want to.  When it comes to clothing and home goods, I purchase a LOT of things secondhand.  And when I want to get rid of clothing or home goods, I’ll first decide whether I want to try to sell it.  If I don’t want to sell, I’ll donate if it’s something that someone would want.  (Don’t donate the stained shirt with holes in it—turn that into a rag instead.)

Recycle.  I’m not just talking about putting your cans and bottles into the curbside pickup bin.  I’m also talking about the more extreme, crafty upcycling.  Like those mittens Bernie Sanders made famous that were made from an old sweater.  Like that beat-up dresser that can look brand new if refinished.  Like the sofa with a hole in the cushion that looks amazing with a new (to you) slipcover.  The possibilities are endless (and can suck you down the Pinterest hole for countless hours if you’re not careful).  Before you relegate something to the trash, do a quick tour of the internet to see if you can make something useful of it!

Reduce.  Reuse.  Recycle.  And save money in the process!

Cost and Value

This week I had one of those experiences when spending more money makes more sense.

My longtime readers know that I love my Instant Pot.  Lately I’ve taken to making my own yogurt in it.  I’ve found that for relatively little effort, I get nearly twice as much yogurt for the same money, and it tastes better than what I buy in the stores.  The downside is that it ties up the inner pot of my Instant Pot for the better part of a day (6 to 8 hours of cook time, plus at least another 6 hours sitting in the fridge to set).  I started thinking that it might be a worthwhile investment to buy a second inner pot to give myself more freedom to cook on the weekends.  My research found that the going rate on an inner pot for my 6 quart cooker is between $20 and $25.  Not a bad investment, considering that the money I’m saving on yogurt will pay for it in less than 2 months.

It seemed like a plan.  Until the little voice in the back of my head reminded me that there are times that I wish I had TWO Instant Pots.  Every time I roast a chicken in my magic pot, I wish that I could be making mashed potatoes in the same pot at the same time.  Or rice at the same time as chicken and broccoli.  If I had two, I would be able to make a main dish in one and a side dish in the other.  A second Instant Pot would solve both the yogurt issue and the side dish issue.  So back to the internet I went.  How cheap could I find a second-hand second Instant Pot?

A quick trip through eBay yielded exactly what I wanted—a nearly new 3 quart Instant Pot (a fancier model than my other one) that sells new for $100.  It has all of the pieces I need and has just one very tiny ding on the side of it.  And it was $40.  Only $15 to $20 more than just the inner pot for my existing cooker.  I took the plunge.  It arrived this past Friday and I’m tickled.  The ding is barely noticeable.  It works perfectly.  I can hardly wait to make chicken and mashed potatoes next weekend!

Did I spend more money than was necessary?  Yes.  Do I get additional value from that extra investment? Absolutely!  To quote a friend, “Cost and value are often confused, but seldom related.”  I got a value this week that to me was absolutely worth the cost.

This Is Why I Don’t Work In Finance

I was trying hard to find a way to write an explanation of the crazy stock market thing that happened with Game Stop and hedge funds and Reddit.  But the reality is I don’t really understand how it worked.  Corporate Finance was a class I hated when I took it.  It’s really complicated and somehow the Reddit people caused the hedge fund people to lose a lot of money.  The hedge fund people were trying to make money by betting on the failure of Game Stop.  And the Reddit people ganged up on the hedge fund people and drove the price of the stock up by buying a lot of it, which made the hedge fund people lose a lot of money because Game Stop stock went up instead of down.  I don’t really understand the details of it beyond that.  But it seems like the hedge fund people were mean to Game Stop because they were rooting for the stock to fail.  And the Reddit people were mean to the hedge fund people because they orchestrated this attack to cause the hedge funds to fail.  Who wins?  Only the 10 year old kid who sold his shares of Game Stock when the price was really high.

The whole story makes me worry a little bit.  My retirement savings is mostly in stock investments.  It’s frightening that this sort of planned attack can work.  Are my savings (and the savings of nearly all Americans saving for retirement) at risk?  Will something like this happen again?  Why are investors betting on failure?  Why can’t we all just get along?

As the weird year that is 2021 continues, I guess we just have to buckle our seatbelts and hope for the best.  I wonder what February will bring?  Yes….it’s really only early February….