Struggling with budgeting in 2008? Share your experience!

[buzz26]

Last night I did my expense report and mileage report. After everything, I kept 1/4 off what I made from september-December. I was so bummed. I spent too much money on needless things. I've commited myself to a budget for supplies, show expenses, postage. I need to be more cautious or else I'm not making any money.

anybody else have this problem?

 

[wadesgirl]

I was pretty shocked to see what I made last year and trying to figure out where it all went! I know I am paying down my CC so I don't even see that money and I didn't put a single Christmas present on my CC, I just took money out of my PC account. I still feel like I should have more!

 

[KellyTheChef]

Beth~

About a year ago, DH and I sat down to discuss the commission check. Here's what I do:
10% goes directly to tithe
10% gets set aside for taxes
30% gets to go back into PC, or for whatever I want
50% goes into the "family" money

Hope this helps!

 

[heat123]

Me too! I went overboard on supplies, products, and gifts last year, and barely broke even comparing to my income vs. spending! I soo need to budget better in 2008!

 

[Kristina21]

I work at Staples and I swear I buy something "unneeded" every other day. I just keep seeing things I think would be neat for my business...sigh. I've spent WAY too much on crap!

 

[pampchefrhondab]

I agree! I will be filing a loss this year. I would have last year too, but I won a shopping spree that made my income a lot more!

I'm going through all of my supplies and trying not to buy more then I need.

I have already decided I will not be mailing out invites or buying food for shows anymore. It seems I always spend more then I should on feed and then I usually only charge the host $15. It is so much easier for me not to pack the food or worry about keeping it hot or cold! I'm just going to be more clear on the phone of the products they need to purchase during host coaching to try and prevent them buying the wrong products.

I'm going to put a lot less in the host packets. I've learned most of them don't read it.

 

[PamperedDor]

Beth~

About a year ago, DH and I sat down to discuss the commission check. Here's what I do:
10% goes directly to tithe
20% gets set aside for taxes
30% gets to go back into PC, or for whatever I want
50% goes into the "family" money

Hope this helps!

Ok - I don't get it - isnt that 110 instead of 100?? I love that idea but am not sure of the percent thing -

 

[JAE]

Ok - I don't get it - isnt that 110 instead of 100?? I love that idea but am not sure of the percent thing -

That is so funny! I, too, would like to know how you get the extra 10%!

 

[janetupnorth]

She probably meant:
10%
20%
30%
40%
Because I know she wouldn't skip her 10% tithes.

 

[KellyTheChef]

She probably meant:
10%
20%
30%
40%
Because I know she wouldn't skip her 10% tithes.

Janet-

You were close on your guess! My 2008 is definately going to be great...God is coming FIRST in my business and my personal life! He can help my 90% go further than if I don't tithe and keep 100%. I have found this out in soooooo many different ways! Plus, each day I am giving over my life and my business to Him. I am so excited to see what He does this year!!

Ok - I don't get it - isnt that 110 instead of 100?? I love that idea but am not sure of the percent thing -

Doh! I am sure you can see by my hair color...
I edited my post!!

 

[buzz26]

Beth~

About a year ago, DH and I sat down to discuss the commission check. Here's what I do:
10% goes directly to tithe
10% gets set aside for taxes
30% gets to go back into PC, or for whatever I want
50% goes into the "family" money

Hope this helps!

That's great Kelly. I need a budget like that. Thanks!

Someone else said they were going to put less stuff in the host packet. I'm doing the same. If I do have to mail it, it cost atleast $3 and more depending on how much I put in it.
I want to mail the invitations, but postage is killer. That's one thing I want to "study" a bit more before I make a final decision.

My biggest problem is Merrill Corp & all those DHS sites. I see things and think "That is so cute" I need that. I've got to stop and keep it simple!!!

No more stickers in my books. It's cute, but I really don't think it makes enough of a difference.

And, I'm going to be really picky with handing out catalogs. I think I'll give out mini-catalogs and have my website address.

Any other ideas are welcome!!

 

[fruit76loop]

One question...for those of you who are saying your showing a loss. Is that including your home office deductions(% of mortgage, power, water etc) and your groceries for practicing your PC recipes? Just wondering because so many of my team members get discouraged the first year they do taxes and show a loss. Remember that these expenses are expenses you would be spending whether you did PC or not. You would still have to pay all your household bills and you still have to feed your family!

I am happy when I don't show much profit or when I showed a loss!!! One of my major right offs is my mileage. Remember everytime you get in your car to do something for PC, whether it is drop off a host packet, a catalog or buy a pack of pens when you are at the store. By doing this I am able to write off 95% of my miles and that is a deduction over $6000! So this always helps me not show much profit. This year I think I will show about $500 or so...let you know after I get back from the accountant TODAY!!!

Now, of course I understand about spending too much money on Junk!!!:grumpy: Just wanted to comment on the items above!

 

[fikibiff]

Marlene -

How much do you deduct for home office? Many people have said that it's really difficult to deduct for those things because that area has to be almost exclusive for the office.

Niki

 

[pampchefrhondab]

I don't deduct for my home office. My office is in the living room so I can't deduct it. A lot of mine is mileage, but I also spent over $1,300 on business supplies. This included paper, printer cartridges, folders, envelopes, etc.

 

[hperschnick]

I just looked at mine last night and I show about $100 in income. Mileage was a lot of mine because my shows are about 60 mi round trip from my home. I have been sending invitations and buying ingredients which I decided to stop doing at the first of the year anyway but now I am glad I did. I always forgot to charge it back to my hosts anyway (dumb on my part... but oh well).

I am cutting back on my business this year anyway so I really need to budget. I am also going to be more picky about the products, samples, and office supplies I purchase. I am doing this to make some money, not show a loss. It will probably help our taxes this year though!

 

[buzz26]

Last night I sat down and listed everything I need for one show--it added up to about $30 a show. I whittled it down to $20, then multiplied it by 8 (that's how many shows I want a month--yes, I'm crazy) So, for 1 month I need $160 in supplies. That sounds like alot, but if my show average is $700 then its not so bad. (All this assuming of course). Then I made a list of the things I need to buy per month, per 6 months, per year. It helped alot!!! I love the quote under "Cathyskitchens" name. PC offers us plenty and I need to use it and stop wasting money of other things. If you'd like a copy of my sheet, I'd be glad to send it to you.