Bargain Puzzler: Which is the Cheaper Scenario?

Bargain Puzzler of the Week:

 With or Without Coupon, Which is Cheaper?

I need a tattoo that says "Always Follow Your Money".  I seem to post this again and again. But, it is pretty important. There is so much to distract and dazzle us these days, we seem to forget this simple fact. Like when you go to one store and go "WHOA! I am NOT paying $12 for THAT!" But then, we go into a higher end retailer, see the same thing or something similar and it is MARKED DOWN to $12, and suddenly, that same item is a steal... whew. That gets me sometimes!  If $12 is too expensive in one place, it is STILL too expensive in the place that was selling it for $40 originally, you know? Follow the money, lose the dazzle.

Anyway, along the lines of following the money, I present you with the Bargain Puzzler of the Week:

A)  You see an item that was $5 originally, but it is marked down to $2.  AND you don't have a coupon to use to buy it, so it would be a straightforward $2 cost on the item.

B)  You see an item that is $5.  You have a coupon that makes it  $2.  

Which scenario is the better deal? Which one comes out cheaper? Or, are they both the same... you know, 6 of one, half dozen of the other? 

Answer:  A is USUALLY the Cheaper scenario.  Yep. Shopping WITHOUT coupons to get the same price can be cheaper.

Here's why: An item selling for $2 gets taxed on the $2 amount.  So, you spend $2.14 in scenario A.

In scenario B, SOMETIMES and MOST TIMES, you get taxed on the PRE Coupon amount. Your taxable total, even though you got the item down to $2 using a coupon, is $5. You usually will pay tax on the $5 amount.  So, you will pay $2.35 for the same item you would pay $2.14 otherwise.

In this example, it isn't so much of a big deal.  BUT, you just need to stay savvy.

Quick Tip:  See those discount sites like Zulilly and such? There prices seem pretty low sometimes... Then, look at the shipping.  Many times you can go to like Amazon.com or somewhere else and see a higher price, but lower shipping. Then, it actually works out that regular sites can BEAT the discount sites once you add in all the costs.. shipping,etc.  Follow Your Money, Folks!!! :)