Counting Pennies

Houston-based Erin Libranda feeds a family of four (plus two dogs!) on a budget of $800 a year. Not only that, but she does it in a way where she often gets more money back than what she actually spent at the grocery store. You can read about her efforts directly on her blog, but Erin was kind enough to answer some questions so readers could understand how she makes it work.

* Can you give readers a quick breakdown of what your plan is: how much money you started with, what made you chose that number and how you split it (paypal +cash)?

I started out with $800, $700 in cash and $100 in paypal. I picked this amount since there are 4 of us, it would come out to be $200 per person for the year. When I first started I had $100 in my PayPal account. I would use this for postage for trading coupons but also selling stuff on eBay. Then I decided not to include my eBay sales into my budget only because it was not really related to the whole grocery budget thing…with the exception of coupons. So I moved the money from my PayPal account into my savings to grow with the other money. So I still have the same amount but in one place instead of two.

* How much you used to spend on groceries before you put this plan into action?

I used to easily spend $2-300 a month before I started my budget plan.

* How many people do you feed on this budget?

I feed my 3 daughters (9, 10 and 17) as well as myself and our two dogs. We often have people over for dinner too, so that comes right from the budget too.

* How long does it take you to plan your shopping?

It used to take me about 4 hours a week for planning, looking at ads, cutting coupons and shopping. Now I do it all in under two hours. Since I have a massive stockpile I don’t have to shop near as often as I used to.

* Where do you get your coupons?

I get most of my coupons in trades from www.hotcouponworld.com, or find them in the stores in tearpads and hang tags. I very rarely will buy the paper to get coupons.

* If you stopped shopping right now, how long could you feed your family with what you already have accumulated?

I could feed my family for at least 6 months, but probably closer to a year. We would just have to do without the fresh fruit and veggies. Everything else I have stockpiled and put away.

* How difficult is it for others to get started on this system? Can anybody do it?

It is easy to get started, everyone should be doing it. I tell people to take an inventory of their panty, look and see what they use, not just brands, but items. From there, start to look at ads and collect coupons. With HotCouponWorld we often get advance notice of ads, so can begin looking for coupons before the sales even start. And once the sale starts, we have our ad, our list and our coupons. You get multiples of the same coupon so that you can stockpile things at rock bottom prices and won’t have to ever worry about paying full price again.

* Any tips to help readers get started?

Best tip: register with websites offering coupons. Read up on the store threads, ask questions, become a coupon trader. Once you do all that, you will be in the know and be able to shop like I do after some practice.

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