I like stuff - gadgets, gizmos, and thingamajigs. I also like saving money. So, I’ve created the $100-A-Day-Rule.

For every $100 that I want to spend on the purchase of a new product, I must wait one day before I make the purchase. This creates a self-imposed ‘cooling-off’ period.

If a new gadget costs $100, I have to wait one day until I can purchase the gadget.

If a new gizmo costs $400, I have to wait four days until I can purchase the gizmo.

If a new thingamajig costs $1400, I have to wait two weeks until I can purchase the thingamajig.

I tend to live ‘in-the-moment’, which is just a fancy way to say, I like to impulse buy. In the past, when I wanted something, I just went out and bought it. And, in the past, I’d be stuck with payments, long after the desire for the product had gone away. I once purchased a video game console - because a good buddy had one - and I don’t even like video games. I used my credit card, bought the console, played a few games of Madden, and then never touched it again. A $250 gaming console sat, unused, in my entertainment center, for three years.

Now, when I want something, I use the $100-A-Day-Rule. I spend time researching, looking for cheaper alternatives, and deciding if I really want the item.

Since implementing the $100-A-Day-Rule, I have seen a dramatic reduction in the number of things that I actually want to buy. In fact, in most cases, once I leave the store and get home, I forget why I ever wanted a particular item in the first place. But, if I do find that I still want a particular item, I have built-in system which allows me to take time to do some research and find the item at an affordable price.

At $100-a-day, it would take about 3 1/2 months to decide on whether or not to purchase a $10,000 automobile. 3 1/2 months is long time to ‘cool off’ from ‘new-car fever’. Imagine if every person, when they went to the lot to purchase a new car, were required to wait 3 1/2 months before they could make a purchase? Might we see some dramatic changes in shopping/buying habits?

Side note: As the numbers move higher and higher, the cooling-off period grows longer and longer. There is a point at which the length of time gets a bit ridiculous - shopping 2.5 years for a $200,000 home might drive anyone crazy. So, I’ve capped my cooling-off period at 6 months. If I want/need an expensive item, and I’ve shopped for it for six months, and if it’s in our budget, I go ahead and purchase it.

Here are a few recent examples of how using the $100-A-Day-Rule worked for me:

Wanted: $500 set of golf clubs. Waited: 5 days, purchased a different set for under $300.

Wanted: $1,400 lawn mower. Waited: 14 days, decided not to purchase but to look for alternatives.

Wanted: $1000 HDTV. Waited: 10 days, decided I needed more information, waited additional 2 months, purchased similar HDTV for under $900.

Wanted: $400 driver to match new clubs. Waited: 4 days, decided that my golf game does not merit the purchase of a $400 driver. Heck, my golf game does not merit the purchase of a $40 driver!

Want: A new laptop. Waiting: 10 days, and counting. I want/need a new laptop, so I am spending some time, looking for a good deal on a new laptop. I can’t decide if I want to spend $400 on a cheap model or $1500 on a better system, so I’m using the higher price as my guide and looking at all options.

Final notes: I have found that the MORE I want an item, the LONGER the cooling off period needs to be. I never want to be in the position where I am making a purchase, based on my emotions. So, if I really, really, really want something, I double the time that I have to wait, and then I make my purchase.

Edit: I want to thank JD over at Get Rich Slowly for sharing the story of Joshua, one of his readers, and how Joshua used this technique to avoid a an impulse purchase.

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As many of you know, I not only blog about personal finance, I also blog about health and fitness, over at No. Calories Needed.  I recently started a new eating plan and I’m down 8 pounds.  Not only has my diet affected my waistline, it’s beginning to affect my wallet.

Areas where I’m now saving money -

Lower food bills -

The eating plan calls for the slow, conscious consumption of food.  Now, instead of eating twenty bites quickly, I eat six bites slowly.  As a result, I eat less food.  The plan also allows for the consumption of foods that I actually enjoy - so I no longer feel the pressure to buy high-priced, packaged ‘diet foods’.

Lower restaurant bills -

I recently visited on of my favorite restaurants, where I would normally spend $20 to $30, and my total bill was $9.  While we rarely eat out, when we do, I like to eat what I want to eat.  But, due to the fact that I’m now eating far less food than I did in the past, I was able to order an appetizer and a baked potato, along with my beverage, and leave the restaurant satisfied.

Areas where I’m now spending more money -

Higher clothing costs -

I have begun to run, so I’ve ordered a new pair of correctly-fitted running shoes.  The shoes cost more than I would normally pay, but they are designed specifically for my feet.  Also, even though I’ve only lost 8 pounds (so far), I can tell that I’ll need a new pair of pants or two, in the next few months.  And, as anyone who has ever lost weight knows, once you shed a few pounds, there’s a desire to get rid of the ‘fat’ clothes and replace them with new, nicer items.  Of course, I have a closet full of clothes from my slightly thinner days, and I’ll begin to wear them, as I lose weight.  For now, the new clothing costs consist of the new pair of running shoes, two pairs of workout shorts, and some socks.

Areas where I will save money, in the future -

Life Insurance -

In October, my current term life policy expires.  I recently priced two new policies, one at my current weight and one at my goal weight.  The savings were rather significant, especially if you consider that I’ll be paying premiums for the next 20+ years.

Health Care Costs -

I have sleep apnea - a sleeping condition that requires that I wear a mask while I sleep.  The mask is uncomfortable and should be replaced every 6 to 12 months.  My goal is to lose a total of 80 pounds, at which point I might be able to get rid of the mask.  I’m not sure if I’ll ever be able to sleep without it, but if I could, the costs associated with the mask would disappear.  Also, due to the fact that sleep apnea can be fatal, my long-term disability insurance costs are sky high.  Getting rid of the mask - and taking a sleep test to verify that the sleep apnea is gone - would go a long ways towards reducing long-term disability insurance costs.

Areas where I will spend more money, in the future -

Running Event Fees -

As I mentioned, I’ve started running.  Inspired by my little sister, who ran in a 10k a few weeks ago, I’ve decided to sign up for a local 5k.  As I get more involved in the ’scene’, I’m sure that I’ll want to run in more events.  So, I’ll have to figure the cost to enter those events and the cost of gasoline to travel to and from those events.  Plus, I’m sure that I’ll want to buy more running gear.

I’m sure, as I lose weight, that I’ll find other areas of my budget that need to be tweaked.  If you have lost a significant amount of weight, I’d love to hear how it changed your financial life.

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As many of you know, my wife and I are going to have a new baby in less than one month. A few nights ago, while washing some ‘onesies’ for out little girl, I noticed something about the laundry detergent cap.

On the back of the detergent bottle, there are ‘recommended’ amounts for various types of ‘laundry loads’. For a medium-sized load, the manufacturer suggested that I fill the cap to line “1″. I looked on the outside of the cap and I couldn’t find any numbers. But, on the inside, there they were. Very faintly, there were three lines - 1, 2, and 3.

Here’s a picture of the cap -

The ‘red arrow’ is pointing to ‘line 1′ - The recommended amount for a ‘medium load’.

The ‘black arrow’ is pointing to ‘line 2′ - The recommended amount for a ‘large load’.

The blue line (with no arrow) is pointing to ‘line 3′ - This line is not mentioned in the instructions. Why? I have no idea. But, I assure you, there is a ‘line 3′.

Now, for the interesting part. The ‘natural line’ - marked in green - and the point to where I’ve always filled the laundry cap in the past - is well above the ‘recommended line’.

As you can see, the recommended amount for a medium load is equal to less than 1/4 of a cup. But, the line to which the eye is naturally ‘drawn’ - the green line - is almost 1/2 of a cup.

The bottle states that there are 16 loads per bottle - But, that’s ONLY true if you use ‘line 1′ - the line suggested for medium loads. Use any line above ‘line 1′ and you’ll get less than 16 loads per bottle. Use the ‘green line’ and you’ll only get 8!

I took a look at two other bottles of laundry detergent that we had in the house - and both of them showed remarkably similar characteristics. So, when washing your clothes, and using store-bought detergents, be sure that you are using the ‘recommended’ amounts - and that you are using the right ‘line’.

By the way - For any and all who read this - While this post is meant to point out a useful money-saving tip, I am fully aware that taking the time to photograph, highlight, and post a picture of a laundry cap (and then write a blog post about it) is a ‘wee bit’ insane. But, then again, so is living in 2008 and not using a credit card.

Edit:  This article has been ’stumbled’.  If you’d like to help others find this article - and spread the word - please click here to stumble this post.  Thanks!

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A few nights ago, I couldn’t fall asleep.  So, I got out of bed and did a little ‘channel surfing’.

Between reruns of Sports Center and The Andy Griffith Show, I spent a few hours watching a couple of ‘television shopping networks’.

Now, I’m hooked.  Not on the products - but on the way that the products are presented and promoted.

Here’s what I have learned -

Every product was presented as a ’special value’ or ‘amazing deal’.

As each host introduced a new product, a little box, with product details, would appear on the left-hand side of the screen.  And, inevitably, the text would state - ’special value’ or ‘first time offer’ or something similar.

Each product was promoted by a product specific ‘host’ and a product-specific ‘guest’.

It was amazing.  As a new product was introduced, a special ‘guest’ would appear to talk about and promote the product.  The host and the guest would interact and exclaim how ’special’ or ‘nice’ or ‘breathtaking’ or ‘unique’ each product was.

Callers would call in - and want to talk to the host, like they were old friends.

Callers called in and spoke to either the host or the guest, or both.  And, inevitably, the caller would say something nice - really nice - about the PERSON to whom they were talking.  Yes, the caller would mention the product - and how they ‘loved it’ - but, the key to the whole ‘call in’ segment appeared to be the callers’ desires to talk to the various hosts.  It was amazing.

Products were always available ‘at a special price’ or ‘via flex pay’.

No matter what the product was - a set of pillow cases, a pair of earrings, a power tool - the host would mention that it was on ’sale’.  And, sure enough, on the graphic, the ‘original price’ would have a ’strike through’ and the ‘value price’ would be highlighted.  On top of that, most items were available on ‘flex pay’ - where they charge your credit card for 1/2 or 1/3 of the payment, two or three months in a row.  Again, callers ‘loved!” this feature - and many remarked how ‘easy this made it for me to purchase’.

The setting for each product was custom-designed to evoke a specific mood and reaction.

I noticed, for instance, that when they sold a particular toilet cleaning product, the entire ’stage’ became a well-lit, beautifully decorated bathroom.  When they were selling clothing, each item was shown on a different size model.  In fact, ‘plus size’ models were featured.  The entire production evoked a sense of ‘connection’ between the customer and the product.

Each host had her / his own way of promoting the product, but all of them knew how to steer the conversation back to the ‘wonderful product’.

Again, no matter what the ‘guest’ or ‘caller’ might say, the host had an uncanny ability to promote the product.  Over and over and over again, the product was ‘my favorite’ or ‘the third one I’ve owned’ or ‘my mom’s perfect gift’.  Not only did they sell the product, they sold their ‘love’ for the product.

Every item was ‘almost sold out’ or ‘available in limited supply’.

No matter the item, the color, the size, or the quantity - Near the end of each segment, it would be ‘nearly sold out’.  And, as the host talked to the ‘producer’ - she’d be informed that those who ‘called right now’ could be assured that the product would be available, but they needed to call ‘right now’.

Some thoughts -

I have never purchased anything from a ‘home shopping network’.

I find it fascinating (perplexing, and a bit sad) that the callers seemed to consider the hosts to be their ‘friends’.

I wish that I could promote ‘debt reduction’ with the same fervor that these folks promote ‘products’.

I find it odd that after years of selling products via television, these networks still ‘run out’ of items to sell.

Surely, they really are running out?  Right?  They wouldn’t, you know, lie to us?  Would they?

Put the card away, be thankful for the stuff you already own, and call your real friends -

Tell THEM how wonderful THEY are.

You’ll save money, you won’t have to make payments, and you’ll be talking to someone who really wants to hear from YOU!

And, late at night, when you can’t sleep, come back here and read through the No Credit Needed archives!

But, hurry!

Supplies are limited!

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I have been a Sirius Satellite Radio subscriber for more than four years. But, yesterday, I canceled both of my subscriptions. Why? Let’s just leave it at - bad customer service.

I really like the service, but I will not miss the expense. I’ll replace the music with free (legal to download) music and I’ll replace the talk shows with various podcasts.

Tonight, I’ll list my receivers on eBay. I doubt I’ll make much money, but selling them will remove a bit of clutter - and it will remove the temptation to reactivate them.

In a strange way, it feels good to get rid of the receivers. Plus, having an extra $20 a month in my pocket sounds pretty nice.

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