Everyday Cheapskate

Dear Mary: I've been reading your Debt-Proof Living newsletter and blog for some time now. The problem I continually run into is where to begin. I don't have enough money to pay all my bills each month. So how do I begin to save money? My bills come to $2,440 a month, whereas my income is only $2,700. This does not include food, gas or any other "incidentals" that may crop up. I have two mortgages (totaling $1,500 a month), two credit cards and a $10,000 loan that we are trying to pay. I do all the things that you suggest. I only buy things that are on sale or at yard sales or consignment shops. We have done away with all extras except for basic cable. I don't know what not to pay in order to free up some money to get started. Any ideas or suggestions? — Sue T., Pennsylvania

Dear Sue: With the limited information you've given me, I conclude that your situation is dire. Shopping at consignment shops is not going to fix a situation in which your mortgages alone consume more than 50 percent of your net income. With your current income, you simply cannot afford this house. Unless the other part of the "we" in your letter can contribute a second income to your household, you need to sell. Move in with friends or family, or find a really cheap apartment. Debt has put you in an untenable situation. As for what to do right this moment, pick up the phone and call the National Foundation for Credit Counseling, at 800-388-2227.

Dear Mary: I love the soft texture of whipped butter with olive oil, but the stuff in the tubs costs a fortune when compared with stick butter. How can I make my own whipped butter? I have no idea what type of proportions I would need or whether a third ingredient is necessary so it will spread easily. — Sara S., e-mail

Dear Sara: You'll need 2 sticks of real butter (1 cup, and please do not substitute with margarine), 1 cup of canola oil or olive oil, 1/2 teaspoon of salt and an electric mixer. Allow the butter to come to room temperature in a medium-sized mixing bowl. Mix it with the electric mixer on low speed for about 30 seconds, or until it becomes creamy. Keep the mixer running and add the oil in a small, steady stream. Add the salt. Keep mixing until it looks very light and fluffy. Store the whipped butter in an airtight container in the refrigerator. Enjoy its spreadability even straight from the refrigerator. By the way, the nutritional values of canola oil and olive oil are almost identical. It is more cost-effective to use canola oil.

Do you have a question for Mary? E-mail her at mary@everydaycheapskate.com, or write to Everyday Cheapskate, P.O. Box 2135, Paramount, CA 90723. Mary Hunt is the founder of www.DebtProofLiving.com and author of 18 books, including "Can I Pay My Credit Card Bill With a Credit Card?" To find out more about Mary and read her past columns, please visit the Creators Syndicate Web page at www.creators.com.

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