Holy Mackerel - Saving Money Now Adds Up BIG!

As twenty-something newlyweds, Mr. Thrifty and I find it as hard as most people to put aside savings in our 401K and other investments each month. However, a recent article on MSN Money confirms that saving money in our twenties is going to pay off big when we're older.

"Consider this scenario: If you begin saving for retirement at 25, putting away $2,000 a year for just 40 years, you'll have around $560,000, assuming earnings grow at 8% annually. Now, let's say you wait until you're 35 to start saving. You put away the same $2,000 a year, but for three decades instead, and earnings grow at 8% a year. When you're 65 you'll wind up with around $245,000 -- less than half the money."

WHOA.

Hard to believe that if we were to wait just ten years, we could be losing out on half of the money we'll see since we're starting to save at a young age. The savings/year numbers used above seem fairly conservative, and if you are fortunate enough to have a company that has a matching program, it makes saving over time even more fruitful. I realize that a half million in 2048 won't be the same as a half million in 2008, but if you're able to save more and more each year, that puts you in an even better position.

However, like I mentioned above, most twenty-somethings don't realize the importance of starting to save now. Human resources consultant Hewitt Associates conducted a study and found only 31% of Generation Y workers who are eligible to put money into a 401(k) retirement savings plan do so. That's less than half of the 63% of workers between ages 26 and 41 who do invest in employer-sponsored savings accounts.

One book that may help young investors is Getting Started: The Financial Guide for a Younger Generation by Brian Jones. The book breaks down different stages of life, and offers suggestions on how to make the best financial decisions at each stage.

As a gentle reminder, we're not claiming to be financial advisors, we just do our best to pass along information that we find helpful as we make financial decisions. We always recommend doing your own research, and enlisting the help of a financial planner when appropriate.

Mrs. Thrifty

Editor's Note

**From now on, to make it easier for ourselves and our readers, we will be signing our entries Mr. Thrifty, Mrs. Thrifty, or The Thrifty Suburbanies. Hope this helps! **

Flying For Less

You can get some great deals on airfare these days, but you definitely need to do your homework! These days comparing flights is easier than ever, with sites like Expedia, Orbitz, Farecast, and my favorite - Kayak. However, most websites charge some type of service fee, so you have to do your research and see if the end price is really saving you money.

With the arrival of no-frills airlines like Southwest and JetBlue, you can often be guaranteed a lower rate than traditional airlines, if you're willing to skip the 'frills' (like having your seat assignment ahead of time....if that can be considered a frill!). Just make sure to check in online early so that you don't get stuck in the last seating group and end up in the middle seat!

If the cold weather's got you down, and you need an escape, we've found a few great deals (through InternationalLiving.com) that can get you to warmer weather without breaking the bank (and have also listed flights to avoid). Even if you don't live in one of these cities, it may be worth it to catch a connecting flight, or take a bus to get these great deals!


1. New York JFK to Puerto Vallarta

Best deal: Mexicana Airlines through kayak.com--$421 roundtrip, connecting through Juarez International, flying out March 31, returning April 2.

One to avoid: Delta--$1,064 for same dates and connection. Yikes

2. LAX to Rio de Janeiro to Salvador to Recife to Fortaleza to Rio

Best deal: Delta for the international flight (LAX to Rio)--$754 roundtrip, connecting through Atlanta, flying out May 24, returning June 4. TAM's Brazil Airpass for the four internal flights--$599. Total cost: $1,353.

One to avoid: Northwest for the international portion--$1,053 for same dates and connection. To get the internal flights without the Airpass, even booking the cheapest individual flights, would cost $915. Total cost: $1,968.

3. New York to Paris direct

Best Deal: American Airlines 7.5-hour flight--$522 roundtrip, flying out April 12, returning April 19.

One to avoid: Air France--$682, plus an extra four hours as you connect through Dulles International.

And for those of you flying domestically, here's a flight we wouldn't mind taking...
4. Detroit to Tampa Bay, 1 Layover each way

Best Deal: Southwest Airlines -- $212 if you book on their site.

One to avoid: Anything Northwest this day - you'll be paying upwards of $350, most with layovers.

Do you still need cable? Maybe not.

Hello fellow cable lovers. If you're anything like us, you're tuned in to the TV almost every night of the week. You might even be so bad that you have two shows recording on the DVR, so you have to watch a third show on a different TV (guilty as charged, but in our defense, on the rare chance this happens, we're watching different shows). As much as we love TV, every time we get the cable bill we think, "Why do we pay so much for this?"

Thanks to a few new sites on the internet, cable may be becoming a thing of the past. One of those websites has a pretty funny name. Hulu.com is a website where you can watch your favorite TV shows and movies for free. Yes, absolutely free. The site is also completely legal, and NBC is actually one of the site's co-owners.

Our initial assumption was that this was just a place to watch old re-runs of Seinfeld and Friends, but we were quickly proven wrong. Hulu hosts hits from NBC, Fox, Universal, Warner Brothers, MGM, Sony Picture Television, and more.

We had been considering buying or renting DVDs of Arrested Development, as it came highly recommended by many friends. Instead, we Googled, "Watch Arrested Development Online" and were pleasantly surprised to find the entire series available for free on Hulu. Another time, our DVR stopped working, but new episodes of Chuck were right there on Hulu so we could quickly catch up in time for next week's episode.

So, how does this thing generate a profit? Short, 30 seconds commercials placed throughout the videos. And though you can't skip through the commercials, they're much shorter than the ones you would see if you were watching on live TV.

In addition to Hulu, most TV networks host episodes online the day after they air. You can watch them by visiting their website. However, the streaming isn't quite as seamless as Hulu, and you may have to wait while the video buffers, which can be annoying.

For you sports lovers, cutting the cable may not be an option yet (unless you can deal with listening to everything on the radio).

If we cancelled our cable and relied on Hulu and other sources, we would save about $60-$70 a month (more than $700 a year). Keep in mind that with the digital transition coming, you can get many local channels with a digital converter box. Digital converter boxes cost anywhere from $50 to $100. To offset the cost, each household is eligible for two coupons valued at $40 apiece to purchase digital converer boxes. For more information on the digital transition, visit http://www.dtv.gov/.

Jay Leno's Stimulus Plan

Late night talk show host Jay Leno says he wants to do his part to lift the spirits of Detroit area residents by hosting a free comedy show April 7, at the Palace of Auburn Hills. "I like Detroit. I think it gets a bad rap," Leno told Reuters. "Most people don't have money to spend, or waste, on entertainment. So the idea is come out -- everything's free -- and get your mind off your troubles for an hour and a half."

Leno's generous offer is coming at a time when many Metro Detroiters could really use something to smile about. With one of the nation's highest unemployment rates and a crumbling auto industry, there are few of us who can't think of a friend or family member not feeling the affects of tough times.



There has been a great deal of controversy surrounding the reactions of many Detroit city council members, particularly Martha Reeves, and President Monica Conyers, who are both upset that the show won't be hosted within Detroit city limits. Coincidentally, the show will occur on the same weekend that Detroit will be hosting the Final Four Playoffs, which will affect nearly every venue in the city. Reeves adamantly suggested the event occur at Ford Field, and seemed oblivious to the fact that one of the nation's biggest sporting events will be occuring there that weekend.

While this isn't a political blog, we find it hard to ignore the ridiculous nature of these council member's complaints. If Detroit ever wants to regain any respect in this country, council members will need to shape up and gratefully accept help from it's friends without making demands. Residents of the city don't have the patent on tough times, and residents and venues of outlying cities are all feeling the affects of this economy.

Getting back to business...Tickets for Leno's show are available at 10 am Monday, March 16 at the Palace Box Office. You can get in line as early as 8 am, and will be asked to show photo ID. You can get up to four tickets, which will be given out on the honor system.

Thanks Jay!

Cash In With Coupon Codes

Our motto: never shop online without a coupon! There's just no reason to, especially with sites like RetailMeNot.com out there! This site, along with other online coupon sites allows you to search by store, and then give you a coupon code to use at purchase. This site relies on users to pass along coupon codes they've received from frequent buyer or cardholder programs, to share the savings with other bargain hunters! After entering a stores name you'll see any coupon codes (usually listed with an expiration date), and comments from users who've used the code (sometimes they list restricitions, like minimum price)

A few examples of great savings coupons going on now:
Urban Outfitters: WELCOME 4109 will save you 10% and eliminate sales tax.
DSW: LOVE will save you 10% off any order over $50.
REI: GMNSJ9 will get you 15% off REI brand items.
Borders: IPL1255 saves you 25% off the list price of one item.

There are codes to almost everything: apparel, handbags, toys, gifts, sporting goods, and more. There are also quirky clues to get free things....visit the site to learn how to get a free whopper in a tough economy!

Another quick way to find coupon codes is simply Google 'store name + coupon codes' and you'll likely be taken to a savings site. Happy shopping - but be careful - buy too much and you'll blow the savings from the coupons!

Welcome!

Hi! We're The Thrifty Suburbanites - a newly married couple living in a suburb of Detroit. Stick around, and we'll bring you loads of money saving tips that will allow you to have fun and save money at the same time! We'll also be looking for ideas, so feel free to post comments and we'll do our best to take your requests!

**While we think we're pretty thrifty, and have some financial training, neither of us are licensed to give formal financial advice, and advise you all to speak with a financial advisor before making any major decisions. This blog is simply intended to find easy ways to save money so that you're not strapped for cash!