I can't really give a great answer to your question - I'm still learning how to deal with woodworking on a limited budget myself, but I'm getting there. It's not always easy, but when I want something I can't afford, I am starting to remind myself more and more that someday my day will come when hopefully there will be more room in the budget for my woodworking hobby. I'm also hoping to start selling the occasional item within the next year to help bring in some extra money for woodworking related expenses. 

There are some basic things every woodworker needs to get started. Assuming you aren't the kind of person that does everything with hand tools, you'll first need a drill. Power drills come in many different styles and price ranges. The popular trend right now is for companies to make cordless tool systems that all run off of the same battery packs, and a drill is often the first tool a person gets in the set. Cordless drills are popular and handy for doing household tasks , such as hanging picture frames; but for serious woodworking, they can lack power and might die in the middle of a job. Corded drills are a less expensive option and often work better for the tasks you'll be doing in a wood shop; just get a cheap extension cord to go with it. You can easily find a corded drill of good quality for about $100.
In each case, we shuffled the bench, jointer, table saw, and band saw across to the top of the stairs, and then tied a rope around each to act as a safety while sliding the machines down the strapping on the stairs. Yeah, the table saw hit the wall, and the promise of a good mud and paint job saved my bacon. The rope worked well, and we were able to get everything down the stairs nice and slowly with­out any major issues.
Woodworking is a fun hobby, but can be expensive as well. With all the power tools, hand tools, shop setups and, of course, the wood, many people are turned off to woodworking because of the impact on their wallets. That doesn’t have to be the case though. With a little pre-planning and inside knowledge, you can set up a basic wood shop and start making your own items without breaking the bank.
Poplar is one of the less expensive hardwoods. It’s also fairly soft, considering it is a hardwood, which makes it easy to work with. Poplar is very light in color (almost “white”) with some green or brown streaks in the heartwood (the wood that comes from the center of the tree). Because poplar is not the most beautifully grained wood, it’s almost always painted as it does take to paint very nicely for a uniform finish. Poplar makes for great table bases (often painted, with a stained tabletop of a different wood), drawers, cabinets, hutches and more. Poplar is a very common wood that is versatile and cost efficient.

One of the most heavily used tools in your shop will be your table saw.  It is absolutely essential for ripping stock to size, working with composite material (like plywood and MDF), and venturing into the world of wood working jigs.  Budget is a limiting factor in a $500 build, but at $150 it is hard to pass up adding this Craftsman saw to your shop - even with limited funds.  
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Non-Standard Miter Slots - This one is a downer.  One of the primary advantages of having a table saw is access to jigs that expand the saws functionality.  This is a major issue if you plan on buying after market jigs.  Given that we are limiting the cost of this buildout to $500, I am guessing that after market jigs are probably low on the priority list.  Your going to want jigs once you start researching what they enable you to do, my advice is to build your own - there are plenty of plans online.  

If you’ve been reading my regular blog, unbrokenfurniture.com, then you already know that I’m a novice furniture upcycler. Up until now I’ve been repairing and refinishing existing furniture. Lately I’ve been picking up more and more reclaimed wood and other raw materials, so I’ve decided to learn to build some furniture from scratch. Because building furniture from scratch doesn’t really fit with the theme of unbrokenfurniture.com, I’ve decided to keep these projects on a separate space, hence woodworkingwednesdays.com was born. I’m planning to post one new project each week (hopefully Wednesday).

You can find a project for just about every room in your home. Table scape trays make perfect platforms for dining room decoration. Wooden plaques offer a blank slate for any saying or picture you want. If you want a unique table, we’ve got a few options to consider. Headboards and benches can give your bedroom a real transformation. You can find anything you want among these DIY wood craft projects.

Do you enjoy woodworking?  Do you have a budget that you have set aside just for your woodworking?  If you are not a millionaire, than more than likely you will have some sort of a budget.  Let me give you a little insight into why you are here and what you will find on this site.  Do you enjoy woodworking as a hobby, part-time job or side job, or a full time job?  Or maybe you are wanting to turn your hobby into a full time job.  If that sounds like you than  your in the right place.
Rob Cosman and Paul Sellers. Rob is damn near a genius when it comes to woodworking. He routinely comes up with methods and tools that sort of change the way we all do things in the shop. The guy is also an amazing instructor. Paul Sellers is also an amazing instructor. These are the kinds of guys that all the rest on your list learned how to woodwork from!

Fine Woodworking Tools and Supplies at Highland Woodworking – make us your woodworking tool supply source. Woodworking Hand Tools are one of our passions at Highland Woodworking so we sell the very best hand tool brands in production today. Handmade, high quality hand tool lines such as Auriou Rasps, Barr Forged Tools, Gransfors Axes, Lie Nielsen Tool Works, Woodpeckers Precision Tools and numerous other fine hand tool makers. We love fine Woodworking Power Tools too, so we sell Festool Power Tools and SawStop - the best power tool brands for woodworking. We've been offering fine woodworking tools and education since 1978, keeping woodworkers informed about the best woodworking tools, tips & techniques along the way. Purchases are backed by Highland Woodworking's 60-day money back guarantee, so you can shop us with confidence for high quality woodworking tools, equipment & supplies.
​In order to excel you are going to need to read up on jig building so that you can produce consistent repeatable cuts.  Ideas for jigs are a dime a dozen online and you could easily lose a couple of hours browsing the hundreds of ideas people think up.  A more economical approach would be to build your jigs as your projects demand them.  After you go through that exercise 4-5 times, you'll find you've accumulated quite the collection of jigs without even trying.
This is known as the “Scary Sharp” method and I first learned of it on Usenet back in the day. I’ve had pretty good luck only going up to 2000 grit automotive paper. That stuff is commonly available near the spraypaint at Wally-world. At this grit, I can easily shave the hair on my forearm. For a plate, I use a single 12×12 tile from a Big Box store.
Saws (I'm not a fan of Japanese saws, but you can buy good new ones pretty cheap.  ) - 1 crosscut handsaw (can be a Stanley "Sharktooth" toolbox saw from Home Depot or Lowes $15).  1 rip handsaw (used ones can be found at Antique stores for $20 or less.  Try to find one that is fairly sharp to start with).  Dovetail saw (Crown has a decent gent's saw for around $25 or get the Lee Valley Veritas Dovetail saw for around $70, Highland Woodworking carries both).  A crosscut backsaw and small miterbox is also handy to have, I can't give you a recoomendation for inexpensive ones though.
Ash is a white to pale brown wood with a straight grain. It’s pretty easy to work with, is a fairly hard and dense wood, and takes to stain quite nicely. Ash has a medium to coarse texture similar to oak. The grain is almost always straight and regular, though sometimes moderately curly or figured boards can be found. Ash is becoming harder and harder to find, so it ranks as an increasingly expensive material to use.

We've written about routers on the site before and my favorite is the Bosch 1617​.  It is light enough that you can control it when using it handheld, yet powerful enough that it won't have any problems when you mount it under a table.  On top of that, it comes with a plunge base which makes it significantly easier to use handheld.  The package clocks in at ~$190.
About Youtuber My name is Andrei. I live in Russia and run my small business. Woodworking is my passion. I am the only woodworker in the shop. It is my full time job. I make only end grain cutting boards. I've been making end grain cutting boards for years. Sometimes I make end grain chessboards, end grain jewelry boxes, etc. Also I prepare woodworking plans.
Whether you are a beginner or a DIY professional, if you have a love for the craft of woodworking The Home Depot has got you covered. We have all the essential tools for woodworking that let you hone your craft. Our huge selection of drill presses and miter saws will put the power in your hands to complete your projects faster and easier. And whether you are looking for the strength of a powerful router or the versatility of a lathe, you can find everything you need to help with projects, large and small. If your carpentry plans also include building materials, you don't need to look any further than The Home Depot. From wood and lumber to decking and fencing materials, it's all right here.
The circular saw is pretty much the first tool I grab for any project. You can use it for both rough cutting your lumber to get started on a project or making finish cuts before final assembly of your project. You can use it to make half lap joints and a variety of other joinery methods. While a table saw or stationary miter saw might make a certain task easier, it is hard to beat the cost, portability, and versatility of a circular saw. While most of these come with a blade, here is a good all-around blade that I use.
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