In today’s financial climate how is it possible for the average wage earner to save money? There was a day when we may have had a financial emergency or uncertainty once in a while but now we seem to be hammered with emergency after emergency every month, for some every week and it never seems to give us a rest. Ie: car repairs, overdue bills, medical expenses, daycare and the list goes on.
Over the next few days I will be sharing money saving tips with you. My goal is to help you with ideas you never thought of before giving you the ability to use one or more tips to help you grow your savings. In this article you will find 7 money saving tips which will help you to reduce your expenses and start putting a little extra away for you:
- Holiday Gift Giving
This tip can be especially helpful for larger based families….buying for a large family can be very rewarding and fun but it really hits the pocket book hard. One of things we have done in our family is agree to buy for the younger children only and leave the adults out of the equation during holiday spending. It doesn’t mean we don’t care but realistically your dollar can only go so far. This way the children are not disappointed and you can spend a little more on one or two people rather than spreading your money thin. For the members that you did not pick to exchange with, bake a loaf of their favorite homemade bread or cookies
- Thrift / Surplus Stores
Unfortunately, thrift and surplus stores have been given a bad rap over the years. Many of these stores are filled with hundreds of top quality items. It takes time to pick through but if you are willing to put some time into it you can find quality merchandise. Find a thrift or surplus store close to where you live and then plan spending some time to find those outstanding bargains. My wife located such a store about 20 minutes from our home and after shopping through every isle over the period of two hours, she walked out of the store with a retail value of over $600 in merchandise, all purchased for a mere $75. There were designer clothes for her and the children, many with the original tags still attached. I was impressed and hooked on Surplus shopping….”A Dollar Saved is a Dollar Earned”.
It is important for everyone to create a budget. If you are not sure how or just not good with money, there are many free resources on the internet which offer budgeting templates which can be designed to meet your needs. Knowing where you are spending your money is by far the best way to save. You may be shocked to find you have no idea where your money is really going and once you see it on paper, not only are you surprised but you will be eager to change your spending habits. Once you do have a picture of your finances for more in-depth help hire a financial coach to sort through your budget and get you on the right track.
- Plan Your Next Move
Planning is a great way to save. Before you go to the grocery store, make a list and stick with it and more importantly make sure your not hungry. 🙂 If considering a vacation, plan everything. Heading out with no set direction will certainly lead you to impulsive spending….you will be like a ship with no sail on a windy day.
- Set Financial Goals
Break your financial goals into short-term, intermediate, and long-term goals. Being able to see your accomplishments is a great motivator for you to work hard at saving. If you set a short-term goal of saving for tickets to the symphony and reach that goal, you will be encouraged to keep saving for the intermediate and long-term goals. There is a phychology in saving, once you reach milestones of $500, $1000 and so on, you will start challenging yourself to save more and make a game out of it. All of a sudden you will start questioning expenditures…Do you really need xyz?
- Be Realistic in Your Plan
Setting goals is a necessary exercise in order to be successful however when it comes to saving money, make sure the goals you set for yourself are realistic. If you earn $50,000 a year, saving $20,000 would be nice but it is very unrealistic. Make your goals attainable or you will give up before you ever start to save.
I would like to end this article with one very important tips….”Be patient when it comes to saving”. This means that you need to accept that it will take time to save and good planning. Be patient and remember that just because you want something, do not rush to buy just to satisfy your urge. Instead, wait for sales in order to get the best price, which in turn will save you money. Regardless of your age or situation when it comes to saving….”NEVER GIVE UP”
The price of everything has gone up, requiring people to be more conscientious about money. The problem is that by the time the mortgage, car, utilities, and credit cards are paid, there is little money to put aside. Saving money is not that hard, just a matter of learning all the different options and being creative.
I would like to stay in touch with you and give you more money saving tips which can be very helpful….take a minute and enter your name and email address in the form in the top right of this page and we will keep you up to date on the latest and greatest financial news, tips and strategies so you can have the life you have been dreaming about.