Wikipedia describes bartering as a type of trade that does not use any medium of exchange (money), in which goods or services are exchanged for other goods and services. Bartering dates back to times before there monetary currency.
I was discussing with one of my friends and coworkers about how much I hated to iron my pants. No matter how I do it, I can never get them right. I can never get the creases like I want them and they are usually still wrinkled in some spots. Instead of trying to iron my pants, I would take them to the dry cleaners. The dry cleaner I use charges about $2 per pant with light starch. I only take my khaki's that I wear to work to the dry cleaners; my jeans I still try to iron or I just fold them up out of the dryer.
My friend was talking about how much she hated to balance her to checkbook and how she did not know how to budget. She made a joke a couple of weeks ago about needing me to balance her checkbook and helping her with a budget. I know she makes more money than I do, yet she still manages to live paycheck to paycheck.
I asked her today if she would be willing to iron my pants in exchange for me balancing her checkbook weekly and helping her with a budget. She thought it was a great idea! I never thought she would go for it and was actually just joking. We agreed that I would balance her checkbook once a week and help her setup a budget with Mvelopes and she will iron 5 pairs of pants and 5 shirts (enough for a week of work) for me.
I'll be doing something I don't mind doing and she will be doing something that she does all the time and will save us both alot of money. No longer will I be spending up to $100 a month in dry cleaning bills and she will be able to save money by not paying overdraft fees. With her new budget in place, she should be able to bulk up her emergency fund which is currently about $22.
At lunch today, we went out and she opened a new checking and high yield savings account with Washington Mutual. They are currently paying 4.25% on a high yield savings account which is much better than the 1.01% she was getting at her old bank.
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Yes! This is awesome!
My parents bartered all kinds of goods and services when I was a kid. This thread leads to memories of helping out neighbors repair their barn in exchange for fresh milk from their cows. For some reason, their cows smelled worse than most, but the milk was delicious! Bartering is one of the best forms of insurance that you can get out of something you hate (like ironing, in this case) by doing something you like/tolerate that someone ELSE hates! Great stuff. And I hate ironing, too.
Jerry
www.leads4insurance.com
(let's try this again with correct spelling!)
I think bartering is a lost art. My spouse and I do it constantly, but beyond that, I never really think to ask anyone else.
this is great! i have never thought about doing anything like that. what a way to save money!
Sorry, I couldn't resist. You might have to call your blog "No Longer Single Guy Money" soon :-)
Excellent post.
Pinyo - I was thinking the same thing...
Mike
I was thinking the same thing as Pinyo!!!
Don't forget, though. No matter how much you don't want it to be, bartering is considered taxable income. The fair market value of goods and services exchanged must be included in the income of both parties. Sorry!
link to IRS page: http://www.irs.gov/taxtopics/tc420.html
@Pinyo, Four Pillars and Patrick: Unfortunately, she is not that kind of friend. LOL
@Patrick: Thanks for spoiling it for me. Thanks though, I didn't even think about that.