Saving money is not as difficult as we make it out to be, it all comes down to basically two things…Motivation and Commitment! What are the top reason or reasons you want to save money and are you commited enough to make it happen? In this post we are going to be discussing some simple and practical tips on how to save money for your financial future.
In addition to putting money into a retirement fund or savings account, there are hundreds of ways to save money. Although some ways of saving may not seem like much, once you add them up at the end of the year, you will see how substantial the savings really are. Keep in mind that saving is more than just putting a single lump sum of money away for a rainy day. Saving is something found in your everyday life by the way you live and the choices you make.
The following financial tips will no doubt be helpful and prove to increase your wealth over the next few months and continue into the years ahead:
1. Clearance Racks
Always head straight for the clearance rack where you will find amazing bargains. Sometimes you may have to dig a little to find the right item but the savings will be well-worth your time. Most clearance racks offer variety, current trends, and great value. For example, Bed, Bath & Beyond has a clearance section where you can find all kinds of wonderful household items for a fraction of the original cost. My wife recently went to this store and saved 75% off the original price and no where’s else that we know of could match the savings.
2. For the Love of Gardening
If you are considering creating a nice flower garden area, shopping for plants, even on sale, can be expensive. Before you go out and start spending, look around to see if you have other plants that can be split from your existing flowers. Something I have personally done these past few years is getting slips of plants from neighbors and planting those in my garden area. This is a great idea especially if you have a good relationship with any of your neighbors. Another great idea is to mulche leaves each fall and use this as mulche for your flower garden instead of buying it every year….I realize this will only work for those who have a way to properly store it over the winter but it is worth a mention and can be helpful in saving money as gardening can get expensive.
3. Insurance Costs
Shop around for insurance and work with a good agent that can provide information on discounts such as good student, multi-car discount, etc. Some people think the price of insurance is the same from one company to the next. However, prices can vary and to ensure you get the best deal, you need to consider all your options. This year I shopped around moreso than any other year and I did find my existing insurance agent was the best deal…that alone gives me peace of mind in knowing I am getting the best deal at this point.
4. Early Mortgage Payout
Paying one additional mortgage payment each year, whether in a lump sum or monthly increments, can lower a 30-year loan down to 18 years. If you pay more than one extra payment, the number of years will decrease even more. Since this additional payment will be applied only to the principal and not the interest, you end up saving thousands and thousands of dollars once the home is paid off. A buddy of mine did this and paid out a 25 year mortgage in 12 years saving thousands of dollars in interest charges.
You need to be aware of practical tips on how to save money as no one else is going to save money for you or no employer is going to give you a bonus every year specifically for savings. Therefore it is up to you to make your financial future work out in your best interest. For more financial news and strategies on being financially independent take a minute and signup to our financial community….the form is to your right…in exchange I will take you to a video which outlines some more money saving tips.