Less is More Budgeting Tips
Sometimes less really is
more. Consider subtracting some things from your budget and
adding both quality of life -- and some cash! Here's how:
Consider Cutting the
Cable
Who doesn’t wish they had
more time for activities like cooking, reading or spending
one-on-one time with loved ones? Cut your expanded cable package
back to basic, or cut the cable altogether to make room in your life
for more family time and enriching pursuits. You’ll improve your
quality of life and your bottom line at the same time.
TV junkies take heart:
If you have an internet connection, you’ll still be able to watch
recent episodes of many of your favorite shows online for free.
Check out sites like hulu.com, fancast.com and joost.com.
So Long, Soft Drinks!
According to the National
Soft Drink Association (NSDA), the average person consumes over 600
12-ounce soft drinks per year. While sodas and other designer
beverages seem harmless enough, they consist of nothing more than
empty calories. What’s the value in that?
Opt for water, which is
healthy and totally free. Think bottled water is safer than tap?
Think again. Not only does the EPA tightly regulate our tap water
supply, many communities have opted to include fluoride in their
water giving tap an advantage over bottled. Plus, by avoiding all
those plastic bottles you’re being kind to the environment as well
as your pocketbook. Add some ice and a twist of lemon and you’ll
really feel like you’re living large.
Ditch the Landline
According to a recent
survey commissioned by the mobile carrier Sprint, 18 percent of
respondents do not have landline phones; another 13 percent are
likely to give up their landlines soon. By my estimates, giving up
your landline can save your family up to $50 per month.
If you do ditch the
landline, look for a cell plan that works for everyone in your
household. Bundle your wireless plans under one family plan where
additional phones can be added at a nominal charge. Sprint
estimates such savings can amount to between $240 and $1,000 a year
on their family plans vs. other carriers. That’s not small change:
$240 represents a car payment, a couple of week’s worth of groceries
or savings for a college fund.
Credit Card Cutbacks
We’ve all heard the spiel
before, “Would you like to save 20% today by applying for a store
credit card?” That’s the line that reels us in and the special
promotions and discounts are often what keeps us hooked. Even so,
the cons of having multiple credit cards, especially store cards,
often outweigh the pros. Interest rates tend to be higher with
privately branded store cards than traditional credit cards, making
the money paid out in excess interest quickly negate savings.
Consider cutting back on
your credit cards in the coming year. Having all your records
arrive on one statement and paying only one bill can help you
simplify your financial life as well as help you save money.
The best way to do this
is to pay off the balances of every card but one. However, that
isn’t always an option if you carry more consumer debt than you can
pay off in a month. Tackle the card with the highest interest rate
first when paying them off. Instead of closing accounts when
balances are paid off, simply cut up the card.
Limit Errand Running
The less you drive, the
less you’ll spend on gas. That’s a no-brainer. However, staying
out of the stores and planning your errands will help you limit
impulse purchases, too. Think of it this way: how many times do
you run into a store and purchase something that wasn’t on your
list? Or, how often do you see something that you just can’t live
without while you’re there? The more you’re exposed to the
marketing machine the more you’ll be influenced by it.
Start out with a basic
strategy such as planning your meals for the week and then creating
a grocery list based on your menu. Plan according to what you have
already as well as what’s on sale at the store and you’ll maximize
savings even more.
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