Did you know waiting to save will cost you much more in the future. By waiting just 5 years on saving 100 dollars a month with a 5% return over 20 years, you will give up $14,000 dollars after the 20 years by waiting 5 years to save. |
Quote of the Day
| Budgeting |
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| Written by Administrator |
| Tuesday, 02 February 2010 17:53 |
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The key to saving is knowing how much you spend each month and then coming up with a monthly budget. You've heard the term "pay yourself first". You also hear people say I wish I would have saved more after an event in their life causes the situation to the front of their minds. You'll be suprised that many people don't know what they spend each month thus they can't look at ways to reduce their monthly expenses. You can easily figure out how much you spend each month by keeping track of your daily expenses. Saving You have a variety of ways to save money if you take the time and effort to look for better deals. Many people think saving a dollar isn't worth the efforts but if you do this 20 times a month you just saved 240 bucks a year. The following are ways to save that can really add up.
1) Credit Cards - Credit card interest and fees can really bite into your savings. Even on small balances, the interest charges can really add up. You should look for credit cards that have low interest rates and fees and transfer balances from higher interest rate credit cards. Many of these low interest rate cards have teaser rates so you should work on paying the balances off and this means paying more than the minimum. 2) Insurance - Each renewal period, insurance companies will typically raise you rates a little bit each renewal period. Eventually, this will add up and cost you a lot of money. Each renewal period, get quotes from other companies to make sure you're not paying to much. This goes for car and home owner's insurance. 3) Convenience stores and Starbucks - Each time you buy a Coke or water at a convenience store, you're paying about 5-10 times more than you could buy the product in a grocery store in bulk. You do this a few times a week and this really adds up. 4) Buy larger quanities when on sale - If you walk into a grocery store and you buy a 12 pack of Coke, you'll pay $4.99 or more. If you just monitor the weekly fliers you can buy the same 12 pack for 2 bucks. This is a good time to load up and buy more on the next sale. |
| Last Updated on Saturday, 20 March 2010 19:42 |