2014 Expenses vs. 2013 Expenses

This is the fourth year (see last year's post) I've looked at how my spending by category compares from one year to another.  This is a critical exercise that helps me spot lifestyle creep and identify areas where more attention is needed.

In 2014 my total spending was $53,563.  This was 35.3% more than my 2013 spending.  It's never a good thing to increase spending by so much, but most of this is non-recurring spending on remodeling the foreclosure we moved into last year.  Here's an overview of how my spending changed year over year:

• I sold the 2002 S-10 and replaced it with a 2011 Chevrolet Aveo.  In 2013 I used the S-10 for a cross-country mystery shopping trip.  I did significantly less shopping in 2014, and used a more efficient vehicle.  The latter part of 2014 saw a decline in gas prices.  My 2014 vehicle expenses were half what they were in 2013, dropping from $10,954 to $5,579, a reduction of $5,375.
• Entertainment Expenses decreased by 33%.  I gambled less in 2014.
• I invested in the foreclosure we bought last summer.  I purposely say "invested" because we paid cash for the house.  Once we finish the repairs, my housing costs should drop significantly with the absence of a mortgage.
• The cost of utilities increased noticeably.  We bought two new smartphones ($649) and paid utility deposits for the new house.  I expect to pay less for utilities in 2015.
• Spending on Medical & Dental increased.  Insurance premiums went up, I replaced two root canals, and an emergency room visit in Las Vegas are all to blame.

My Frugal Miser's Spending By Category

Category	2012	2013	2014	YoY Difference
Auto	$3,099	$10,954	$5,579	-$5,375
Bank Charge	$33	$462	$849	$387
Clothing	$71	$361	$317	-$44
Computer	$0	$354	$437	$83
Entertainment	$2,543	$3,262	$2,188	-$1,074
Food	$2,598	$2,844	$3,719	$875
Gifts Given	$295	$430	$407	-$23
Home Expenses	$4,070	$6,898	$21,628	$14,730
Insurance	$2,269	$1,907	$3,740	$1,833
Investment Expense	$0	$295	$0	-$295
Medical	$154	$663	$2,280	$1,617
Misc	$52	-$80	$462	$543
Personal Care	$19	$110	$1,057	$947
Recreation	$0	$84	$4	-$80
Subscriptions	$0	$62	$7	-$55
Taxes	$198	$2,277	$790	-$1,486
Utilities	$2,760	$1,071	$2,435	$1,364
Vacation	$2,050	$2,563	$7,476	$4,914
OVERALL TOTAL	$20,291	$34,636	$53,563	$18,927

In 2015 my goal is to spend $1,250/month net of Vacations and Home Repairs.  Last year I averaged $2,038/month.  Here's how I will reduce spending:

• I changed health insurance plans effective 2/1/15.  Insurance costs and out of pocket expenses for treatment should drop considerably.
• Lower gas prices, coupled with less overall driving, will reduce auto expenses even further.
• I spent $10.19/day to feed the two of us in 2014.  I will reduce our food costs by eating at home more.