Help Me How, Clark?

(Part 1 of 5)

It’s no secret that the economy is in much better shape than it was eight years ago, unemployment is down, etc…

Yet I am still in debt.

I’ve been thankful enough not to have any credit card debt… mostly because I was terrified of them for most of my twenties. It was a lesson my parents made sure I knew. Don’t buy anything unless you can afford it.

That did not apply to college though. I had to go to college. It was expected. It was what my sister and brother did right after high school. And even though I was not historically the best student, I was a decent athlete.

The result? A 3 year stint at a private college that did not result in a degree, but did leave me with over $40,000 in student loans.

Bummer… I know.

Since then, I’ve used a combination of Clark Howard and Dave Ramsey’s strategies to bring that number down, but it hasn’t always been easy.

There were periods in my life when I worked three jobs. Then there was the time I took an unnecessary trip to the emergency room. Then there was a span of about two and a half years where both of my parents had major health problems. The stress of it all definitely took a toll.

And… sometimes my debt-free tunnel vision got a little sidetracked. It happens. My last (and first) post on this blog was in 2017.

Then the other day I came across one of my mom’s books, Clark Howard’s Living Large in Lean Times. Published in 2011, it was at the height of the Great Recession and people were desperately trying to figure out how to save more money and spend less.

At the time, however, I was a happy go lucky college kid more concerned with friends, boyfriends, and such to worry about my finances.

Boy, I wish I had.

I’ll be thirty in January 2020, and I’d like to get out of debt by then… meaning I have about six months to reach my goal.

I also want to see how well Clark’s advice holds up in what I like to call #TheClarkChallenge.

Let’s begin.

HELP ME NOW, CLARK. IMPROVE YOUR PERSONAL FINANCES IN ONE WEEK, the first chapter boasts, although not in all caps. Clark would never use all caps. He’s known for his sound and thoughtful advice, not his larger than life personality.

I think that’s why people put their trust in Clark. He is a reasonable guy who lives modestly despite his vast wealth of knowledge.

His advice:

1. Search for unclaimed money in your name.

I went to missingmoney.com and was surprised to learn that my state does not participate. I went to the department of revenue website just to be sure, and I still didn’t find any money in my name.

Not that I expected to, but you never know!

2. Start enjoying free tv and movies.

I’ll admit, I don’t have cable. I don’t see the point. I think it’s overpriced and the ads are obnoxious. Besides, why should I watch a 42 minute episode over the course of an hour? That’s 18 minutes I could do something else with my time!

Clark’s advice here was to use a modestly priced digital converter box in order to watch cable for free. Overall, I’d say that this bit of advice is outdated. But he does mention several websites such as Hulu that can be used to watch TV.

That’s where he hit the jackpot. 

Streaming is such a huge part of our culture now – binge watching, Netflix and Chilling, and not to mention it’s got box offices scared silly. Why should people go out to the movies when they can wait for it to come to one of the various streaming platforms?

Besides, Hulu and Netflix are more cost-effective than cable. While Hulu does have a free option, I prefer the Unlimited version, which is currently a mere 11.99/month.

Add my Netflix subscription and you’ve got tons of shows and movies for much less than the cost of cable.

There is one area though that I need to address. Along with my Hulu package, I did have the HBO add-on. However, I no longer need it now that Game of Thrones is off the air! So I cancelled it. 

That alone saved me 14.99 per month!

3. Get unlimited texting and emailing for $10/month.

Back in 2011, Clark recommended a device called the Peek. In 2019, I had to Google it on my iPhone because I’d never heard of it… looks like it belongs in Clark’s Graveyard, where some of his favorite things go to rest in pieces.

Not all was lost, though. This section reminded me of something I knew I could save money on: cancelling my phone insurance.

Several months ago I upgraded to the latest iPhone and the employee who helped me that day said I’d need to come back and cancel the insurance on my phone after a month if I didn’t want to keep it on there. I’ve always tried to take excellent care of my phones, so I was fairly confident I wouldn’t need it after the required first month.

And then… I forgot about it until I picked up Clark’s book.

So I headed over to the nearest store and cancelled it, saving me approximately $15.00/month!

4. Get a 2% cash-back card with no strings attached.

I am not currently in the market for a new credit card, so I tried to take this bit of advice with a grain of salt. Besides, I am always skeptical of anything that says no strings are attached… because there’s almost always strings attached.

Pinnochio can vouch.

But I did call my credit card company and get my interest rates lowered. I don’t often run a balance. I usually pay in full every month… but in the event that I do have a balance, I know I’ll save some money this way!

It’s hard for me to put a price on how much I’ve saved since I haven’t spent anything in this area yet, so we’ll keep our tally the same for now.

5. Check all your monthly statements line by line.

I do this anyway. This is a timeless piece of advice, Clark! It pays to be vigilant. 10/10, my friend.

Again, the payoff for this might not be immediate, only in the event that a company tries to rip me off. 

6. Start a Roth IRA.

I know that this is one of Clark’s all time greats. He talks about it on the show to this day!

I am also a fan… I just don’t have one. Yet. I do plan on setting one up before my Dirty Thirty, so let’s just mark this one down as a way Clark will help me save money in the future.

7. Fire your bank and join a credit union.

Credit Unions vs. Banks. Everyone has an opinion on the subject! If I remember correctly, in 2011 mistrust of banks was still fairly common, a sentiment that has continued throughout the years. Especially with bank employees opening up accounts and credit cards in people’s names.

Again, I’ve got to give it to Clark. This is a sound piece of advice to this day. Credit unions still have better interest rates than banks… the downside being they are not always as convenient.

My goal is to open a savings account with a credit union. Until then, I’ll be researching the best ones!

8. Raise the deductible on your insurance.

In this section, Clark covers only home and auto insurance. I am not a homeowner, and my car is what he’d call… a beater. In the sense that it’s old enough to vote. So this may not be the section for me.

9. Avoid extended warranties.

I always do, Clark. I always do. I know firsthand from working in retail that the extended warranty is a ripoff. It never covers wear and tear and is a huge hassle. Plus, people never seem to know where the heck they put their paperwork anyway!

To quote Clark, “You never want to insure a rapidly depreciating asset.”

Too true.

10. Switch to a cheap no-contract cell phone provider.

Cell phone contracts seem to be a thing of the past. Now it’s all about leasing. Leasing that smartphone for approximately 18-24 months. Not to mention your data plan. Unlimited talk and text is the norm, anyway.

However, providers are still ultra competitive when it comes to getting your business. 

This prompted me to call Sprint and see if they could reduce my bill for being a longstanding customer.

11. Change your landline service to POTS.

I… don’t… even…

Sorry Clark, even in 2011, I think most people begun ditching their landlines. Hope you did, too.

I did buy a corded phone the other day at Target. It was a replacement work phone. I wasn’t even sure if they still sold those.

12. Get free phone service for life for $200.

Again, I don’t have a landline, and this section specifically mentions a Voice over Internet Protocol (VoIP) service called Ooma that uses the internet. Like Skype, I guess.

Ooma does appear to still exist, but I think I’m going to pass. No offense.

13. Exit a cell phone contract without early termination fees.

Oops. Yeah, again, not really a thing anymore. Now if you want out of your lease, you have to pay the phone off in full. It’s just the way of the world now.

14. Supplement your income with a legitimate work-at-home-job.

I love this advice, but nowadays it’s getting harder and harder to know what constitutes a legitimate work-at-home-job. Make sure what you’re doing is legit!

Clark has an updated list on his website for anyone interested, and in the book he mentions Fiverr, which is still going strong!

I would rather spend my time writing as an additional source of income than anything else so I will stick with the blog for now.

15. Reduce your withholding.

This is something my dad taught me as well. It’s going to keep more money in your pocket in the long term. Besides, there’s less of a temptation to spend your refund if you don’t get one.

Again, timeless, Clark. Timeless.

16. Lower your student loan payment.

Hey! Another one I already follow religiously. I have an Income-Based Repayment Plan (IBR). I renew it every spring and it helps lower my payment!

It’s been a huge help.

17. Comparison shop for health care.

I get health insurance through my employer, but it never hurts to shop around! I may do this in the future, but for now I am going to stick with my current plan. I’ll keep you posted when/if I do!

18. Let online pharmacies bid for your business.

I trust Clark, but I don’t know how I feel about ordering my prescriptions in the mail. I think I’ll stick to picking up my (generic, as always) prescriptions at the pharmacy.

19. Consider medical tourism.

The logic behind this premise is that you can get a reduced price for a surgery in a country other than United States.

However, Clark does warn of the downsides.

Way to cover your bases, but maybe not the most feasible piece of advice. I feel like the risks outweigh the rewards on this one.

20. Buy prescription eyeglasses for as little as $7.

This blurb is about Zenni, a popular glasses website! I’ve never used it, and I’m not in the market for any glasses at this time, but I’ve heard overwhelmingly good things about it. 

Always good advice to hang onto.

21. Enroll at a hospital gym.

I actually receive a free gym membership through my employer. It’s a great incentive to get in the gym.

I don’t know much about hospital gyms in particular, but Clark’s point here is to make sure you don’t get involved in a money-sucking gym contract. And that’s something we agree on!

22. Use coupon code sites to save when shopping online.

I don’t do a lot of online shopping so I don’t know how accurate this still is, but I have had issues with some of the coupon codes not working. Either they are old and outdated or just flat out wrong.

Maybe other people have had better luck, but if it saves money, I think it’s worth a try!

23. Buy three copies of the Sunday newspaper.

I know coupons save money. I know that some people use them religiously. I have never been such a person… but I am going to give it a try.

Clark has several great pieces of advice in this segment, but the biggest is probably to know the store’s coupon policy.

He also mentions the switch from paper to electronic coupons, but we are still at the point where there seems to be a good mix of both available.

24. Buy private label groceries at the supermarket.

Store brand. Brand name. Which should we choose? Well, I know Clark’s opinion on the subject. You’ll save more money on store brand.

It is such a practical tip… again, I am willing to give it a try. Unless of course, the brand name is cheaper with my coupons!

Check back later and see how my first shopping trip with my coupons and store brand items goes.

25. Make your razor blades last longer.

I always laugh when I see this one because I probably don’t shave as often as I should, which means my razors tend to last longer than normal anyway. But Clark has a point. Disposable razors can last a long time – if you take care of them!

I make sure I always put it in a dry location and that seems to help it last longer. I don’t do anything else.

I don’t know if I could use just one razor per year like Clark did though!

 

Total money saved:
Approximately $29.99/month

Overall, I’d give this section a solid 9.5/10. There are definitely a few things that no longer apply in this day and age, but the majority of his advice is practical and easily applicable.

Check back for Part 2 of #TheClarkChallenge soon. In the meantime, leave your favorite money saving tips on the comments below!

Disclaimer: I was not paid to review this book. I don’t know what else to say… I just like Clark’s advice and decided to do this last night.