Saving money can seem such a daunting task for many but here is the good news, it can be done. It’s extremely important to have at least 6 months worth of emergency savings set aside, life is unpredictable. Here are some tips and tricks that I’ve done myself or in the process of doing and so far it has worked:
1) Savings can start by getting new quotes for homeowner’s, auto, renter’s insurance etc… many people tend to be loyal to their insurance providers which can cost them money in the long run. It can be well worth it to set aside some time to call around and get quotes, you may be surprised by how much money you can save and get the same or better coverage than you are current getting. Make sure you have your insurance declaration pages in front of you when you call because you would want to compare what coverage the new company is offering you versus what you are currently getting.
2) Set up a separate savings account, have a goal in mind of the amount of money that you would like to save within a specific time period and work towards that goal. Side tip: you can transfer the money that you save from switching insurance providers , so this way you see the savings. Also, set up a weekly, bi-weekly or monthly automatic transfer from your checking to your savings it does not matter how small, what matters is diligence. Once your paycheck gets direct deposited pay yourself first by having a small portion go into savings and do not touch it.
3) This is one of my favorites, open up a CD (once you have the money) and you can put as little as 500.00 in it for at least a year. When that money is in the CD you cannot touch it unless you want to pay an early withdrawal penalty. After the CD matures at the end of the year add some more money to it, it does not matter how small the amount, 25.00, 50.00, 100.00 or more and rollover the CD for another year. It is such a good feeling knowing that money is there in case if an emergency. Side tip: look for an online bank that pays decent interest and one that would reinvest the interest into the CD so you will earn interest on top of interest. My favorite bank right now for interest rates is Ally Bank. I love to take money from my savings that I’ve saved all year and when my CD matures I just move some of my savings account money into it and roll it over for another year.
4) Finally, as I don’t want to overwhelm you, pack your own lunch to take to work and drink water. Everyday I take my own lunch to work, I take the time to pack my snacks, which typically consist of fruit and nuts and I pack left overs from dinner the night before and if I did not make dinner the night before, then I pack a sandwich for lunch, I also take a large water bottle filled with water and drink that throughout the day. Eating out is way too expensive as it adds up and I’m all about saving my money.
If you decide to try these please let me know how it works out for you.
So, your turn, I’m always open to learning new ways to save and trust me I have many. Please share your tips and tricks….
Thanks for reading!