Saving Money

Before you can start reworking your finances, you'll most likely have to start saving money to fund investments or to place in an interest-bearing account. Saving money is something everyone wants to do, and fortunately it’s something everyone can do. There are all kinds of sites dedicated to saving money and thousands of tips floating around. What follows is a list of tips from other sites I found to be most helpful to the average person.

1. Eliminate your debt first

Through the power of compounding interest, credit cards and other high interest debts can kill you financially. Perhaps the most important thing you want to do is get rid of all that debt that’s eating you alive. If you have a lot of debt spread out on several different cards and loans, you’ll want to tackle the lower amounts first. This will help you clear out the debt from the bottom up and will provide you with enough inspiration to handle the rest of it.

2. Stop using credit cards

Once you get rid of your debt you’ll want it to stay gone and not using credit cards anymore is a great way to do it. Start using debit cards and cash only. When you can actually see your cash being spent, it becomes a lot harder to let it go. If you need to use credit cards, exercise some self-control. It’s easy to let spending get away from you if you know you don’t have to pay the money right away. If you have trouble avoiding the temptation to use credit cards, leave a note in your wallet reminding you of your savings goals. Or freeze your card in a block of ice. It’s up to you.

3. Master the thirty day rule

Whenever you’re considering making an unnecessary purchase, wait thirty days and then ask yourself if you still want that item. Quite often, you’ll find that the urge to buy has passed and you’ll have saved yourself some money by simply waiting. If you want, you can even keep a “thirty day list” where you write down the item and the day you’ll reconsider it, but I prefer just to keep this one in my head – that way, I often just forget about the unimportant things.

4. Give up expensive habits, like cigarettes, alcohol, and drugs.

Those habits cause money to flow away from you with nothing in return. Call up your fortitude and work hard to kick the habits and you’ll find that money staying in your pocket instead of burning up and floating away. In addition to the financial benefits, you’ll find some great health benefits thrown in at no extra charge. Like being able to run a mile and waking up not feeling like your head is about explode.

 5. Be diligent about turning off lights before you leave

If you spend one minute turning off lights before a two hour trip, that’s the equivalent of earning $50 an hour. That’s some impressive savings, particularly if you do it before longer trips. The key is to use less energy, particularly when you’re not using the device.

6. Plan your meals around your grocery store’s flyer.

Instead of just planning your meals based on a cookbook or whatever you can dream up, plan all your meals around what’s on sale in your grocery store’s flyer. Look at the biggest sales, then plan meals based on those ingredients and what you have on hand, and you’ll find yourself with a much smaller food bill than you’re used to.

7. Get rid of your home telephone

This is a great way to save money. Many don’t do it because of the 911 service, and that’s understandable. But if you’re comfortable relying on a cell phone, there’s no reason to keep a land line. If you do, consider reducing your service to the minimum and only use the phone in an emergency.

8. Pass on extended warranties

A $129 two year extension on a $300 product is just not worth it. Warranties are insurance, and we rarely need to insure such a small amount.

9. Buy energy efficient appliances

Look for the Energy Star on appliances and consider the annual energy cost before buying. More efficient appliances cost more, but you make up the extra cost and then some over the life of the product.

10. Buy store brands

When you go grocery shopping, you can save a lot of extra money by simply buying the store brand instead of the national brand. In most cases the difference in quality is negligible, while the difference in price is dramatic.

There is a ton of more ways to save money; all you have to do to find them is google “saving money” and you’ll find a treasure trove of tips and ideas. To close, here are some not so ordinary ways to save money, courtesy of www.cracked.com.

10. Sleep in the airport

9. Separate two-ply toilet paper into one-ply

8.  Make your own cat food

7. Don’t eat on Monday

6. Don’t wash your clothes

5. Use your dryer lint as toy stuffing, insulation, etc.

4.  Make dog hair sweaters

3. Visit Mexican dentists

2. Make reusable panty liners

1. Skip on the embalming when a loved one passes away

You can find the full (profane, but hilarious) article here.