Planner offers 5 tips for saving money
Tracy Edwards, Special to the Gazette
Thursday, February 26, 2009
There are many reasons for our nation’s recent financial turmoil, but certainly some of the blame lies with uncontrolled consumer spending.
This is a perfect time to become more fiscally responsible and improve your personal balance sheet and protect your financial future.
Here are six tips to help you spend less and free yourself from the consequences of overspending.
Trim fat from budget
Take a close look at where your money goes every month. Do you really need both a home phone and a cell phone? What about cable? Are you taking advantage of bundled services?
Are you paying for a health club membership that you’re not using? If you are going to the health club, are you going often enough to qualify for a discount from your health insurance plan?
You may be able to cut back simply by suspending magazine and newspaper subscriptions and streamlining entertainment expenses.
If you need to make more significant budget reductions, you may need to re-evaluate how much you spend on your home and your car.
Reduce debt
If you are carrying a balance on one or more credit cards, put as much as you can each month to reduce your debt. Make every effort to avoid late payments, which will be met by hefty late fees and allow your credit card company to levy the highest possible interest rate.
Keep lines of communication open with your credit card company. If you have a good payment history, ask for a reduced interest rate.
If you are having difficulty making your payments, find out how they are able to help you meet your obligation.
For example, you may be eligible for a grace period during which your interest rate is greatly reduced in exchange for automatic monthly payments.
Shop less
Successful dieters stay away from bakeries. In the same way, you can reduce temptation by avoiding environments that trigger excess spending.
Change the way you think about window shopping, which many Americans consider harmless entertainment. Put down the catalogs and quit surfing for bargains.
By limiting your shopping excursions and making a list before you head out the door, you will create fewer opportunities to make unnecessary purchases.
Think green
Find ways to reduce your energy consumption and you’ll save money in the process. Drive less, carpool, walk or take public transportation.
If you’re investing in a new car, make fuel economy a priority. Turn off home lights when they are not in use. Take shorter showers and use cold water for the wash cycle on your washing machine.
Pay your bills online and save on stamps (and reduce the carbon footprint of the transaction).
Be creative
If you typically contribute a significant part of your monthly budget to gifts, you don’t have to turn into the Grinch to cut gift costs. The only requirement is a willingness to invest some time and thought.
Consider old-fashioned ways of giving. Make your own cards, bake gifts, write thoughtful notes and if you’re tech-savvy then create a photo collage or burn a CD of music. Or, offer babysitting or pet sitting services.
You can find more ideas on the many Web sites dedicated to living simply.
Start today
Approach 2009 with a commitment to your budget and stick to your new-found cost saving techniques.
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jewely33 (anonymous) says...
Great Article Tracy! There are some practical suggestions that everyone should be able to implement into their budgets!
February 27, 2009 at 6:18 a.m. ( permalink | suggest removal )