Saving on Taxes

It's scary how much of our money disappears through the cracks. I've discovered that one of the really big cracks in my finances is that of sales tax. Here in Nova Scotia we pay 14% sales tax on most things. (Books have a lower tax rate.) That adds up to literally hundreds of dollars ever year. It surprised me when I realized just how much we pay out in taxes, between sales tax, income tax, etc.

Now, I'm not saying we should avoid paying them, because for one it's illegal and there are stiff penalties, and because the Bible tells us specifically that we ARE to pay our taxes. But I've started looking for ways to reduce the amount of money that I "nickel and dime" out of my budget. With baby #2 on the way and me looking ahead to a cut in income, it's something that is weighing more on my mind lately.

One very easy way I've found to reduce the amount of money that goes out in sales tax is to pay closer attention to what I'm buying. For example - if I buy a bag of grapes, there is no tax. If I buy them washed and stemmed, then there is tax payable on it. Ground beef has no tax, but pre-made patties do. Flour, sugar, eggs, milk, chocolate chips - no tax. Chocolate bars - tax. The tax is payable on things that have had extra processing, convenience foods, etc. So just by cutting out the extra services, and the extra junk food, from my grocery shopping, I am quickly saving $5, $10, even $20 and I haven't really *done* anything. It might mean a little more work when I get home, but it might also mean I have a little extra left over to buy something special. :-)

Save Money and Calories - Eat from the kids' menu!

Such a simple thing to do, this is. Except that the restaurants make it more difficult than it needs to be. But if you're going through a drive-through, just order yourself a kid's meal. It costs less, and it has much less food, although what's in a kid's meal today really is enough for an adult. Eat slower, don't just gulp it down, and you'll see I'm right. The same goes for ice cream shops - most of the places I've been recently serve as much on a kid's cone as any adult needs to have! And you'll save yourself a couple of dollars just like that. That's actually what put this on my mind today. C and I went out for an ice cream cone at DQ, and instead of a small I ordered a kid's cone for myself. The order total went from 5.37 for a kiddie and a small down to 3.00 for two kiddie cones. Which means I have enough change left to go through the car wash later on. :-)

If you're eating in, this is trickier because most place won't let an adult eat from the kid's menu. If that's the case then just put a little more thought into your meal. See if they will do half-size servings. If they won't, then ask them to box up half of your entree before they even bring it out to you. Bring the other half home and you've got lunch for tomorrow! Or simply split a regular entree with your dinner partner.

Eating out doesn't have to blow your budget - either in cash or calories!

Tithing from your small business

Do you tithe on your business income? I admit it's something that I have personally been really bad at in the past. I always find myself paying the bills first and then hoping there will be a little something left over - unfortunately there never really is.

So... how to overcome this tendency? I think it comes down to being decisive and also if you tend to slip, it's important to set up a plan that's really hard to fail at.

I opened a separate bank account, and every time I make a deposit I transfer 10% to that account right there at the ATM. It's an account that I cannot access using my bank card, and I have to request a withdrawal to my chequing account a day ahead. Since I've started doing this consistently, I have literally seen an explosion in my business. I have several new clients, and also some new projects for old clients.

It doesn't always work this way, but I have often seen an immediate response to my little steps of faith. Financially I have seen very clear answers - there have been several times that I've gotten back exactly ten times what I offered.

God says clearly in the Scriptures, in Malachi 3:10:

Bring all the tithes into the storehouse,
That there may be food in My house,
And try Me now in this,”
Says the LORD of hosts,
“ If I will not open for you the windows of heaven
And pour out for you such blessing
That there will not be room enough to receive it.

Which makes me wonder why on earth I tend to fall back into my wishy-washy patterns so easily.