Wednesday, September 03, 2008
Save Money by Writing It Down
Many people don't realize this, but one very simple way to start saving money very quickly is to actually start tracking where you're spending money on a day-to-day basis. Pennies add up. And every time you stop for a quick coffee or soda, pick up an extra magazine, or even buy a pack of gum or some candy, it takes money out of your budget. Most people have no idea how much money they actually spend by buying a little bit of this and a little bit of that every day.
In fact, if you make a habit of always paying things with paper bills but never any change, and just start sticking the change in one spot regularly, you may be surprised at how fast that money adds up.
If you need to reduce your spending bill, then you need to get a handle on where your money is going. And the only way to do this is to write it down consistently. Save every receipt you get, and sit down every day with those to add up how much money was actually spent that day. You may be surprised to find, that even though you only spend a little bit here and there, the total amount is much more than you expected it to be.
Keep track of every expenditure you have. When you pay a bill, write down the exact amount you paid. If there were any additional expenses added to the bill such as credit card fees, you need to note those down too.
If you track where you're spending money every single day, and track exactly how much you're spending down to a penny, you will start knowing without a doubt where all of your money is going. Once you have an idea of where the money is going, it will then be much easier to sit down and create a spending budget for your household. You may choose to create a budget for each individual person as well as the house in general, or you might just want to create a general family budget which is separate from the necessities budget for the house.
Trying to make a budget without first knowing where all of the money is going though will not work. In fact it will just be an act of frustration. Because money will be flowing out, or it will be short in one area or another, and you won't be able to understand why. So by first writing down everything you're spending you can get a much more accurate picture of where the money's going. And you can also see where you may have some bad financial habits, so you can start working to correct those problems while also getting your budget working much more efficiently for your family.
In fact, if you make a habit of always paying things with paper bills but never any change, and just start sticking the change in one spot regularly, you may be surprised at how fast that money adds up.
If you need to reduce your spending bill, then you need to get a handle on where your money is going. And the only way to do this is to write it down consistently. Save every receipt you get, and sit down every day with those to add up how much money was actually spent that day. You may be surprised to find, that even though you only spend a little bit here and there, the total amount is much more than you expected it to be.
Keep track of every expenditure you have. When you pay a bill, write down the exact amount you paid. If there were any additional expenses added to the bill such as credit card fees, you need to note those down too.
If you track where you're spending money every single day, and track exactly how much you're spending down to a penny, you will start knowing without a doubt where all of your money is going. Once you have an idea of where the money is going, it will then be much easier to sit down and create a spending budget for your household. You may choose to create a budget for each individual person as well as the house in general, or you might just want to create a general family budget which is separate from the necessities budget for the house.
Trying to make a budget without first knowing where all of the money is going though will not work. In fact it will just be an act of frustration. Because money will be flowing out, or it will be short in one area or another, and you won't be able to understand why. So by first writing down everything you're spending you can get a much more accurate picture of where the money's going. And you can also see where you may have some bad financial habits, so you can start working to correct those problems while also getting your budget working much more efficiently for your family.
Tuesday, September 02, 2008
Save Money by Buying More
Did you know you can save money by buying more? Yes, this sounds contradictory, but it actually works quite well. Why? Because buying things in bulk actually makes them cost less individually.
For example, if you know that you usually have to buy a package of toilet paper about once a week for your family, then you can actually reduce the amount of money you're spending on that toilet paper by buying a bulk package instead. If you normally buy a four pack each week, that's about 16 rolls each month. If that four pack cost you three dollars each, then you're spending $12 a month on toilet paper. If you instead by one pack of 16 rolls once each month, you might only spend eight or nine dollars for that larger package. See the difference in how much you can spend?
There are many things that all of us use frequently which can usually be purchased in bulk sizes. Before selecting the items you will buy in bulk however, make a realistic assessment of how much space you have available in your home. If your home is quite small, you may not be able to buy too many items in bulk sizes because you will have no place to store them. If you do have some space though, or if you can make space, this is an excellent way to save money.
If possible, it's even more helpful when you have an extra freezer. This is most useful for families to save money on frozen goods. Here are some things you might want to consider buying in bulk to save money.
Laundry supplies. Instead of buying laundry soap every week, try buying a much larger box that will last an entire month. Do the same with your fabric softener, bleach, or any other laundry materials you use. When you compare the prices you'll usually find that the large boxes and containers are less expensive than multiples of the small ones.
Kitchen staples. If you have a family, chances are you cook quite frequently. And there are many food items that tend to stay in stock in your home regularly. Buying decent bulk can be much less expensive too. Staples usually include things like flour, sugar, rice, and potatoes. In some cases, other things are standard to. Spaghetti for example, or other types of pasta. Peanut butter. And more. These will vary somewhat from one family to another, but generally if you have children you tend to constantly buy these items at the store.
So if you buy a 5 pounds of potatoes every week, you can actually save money by buying a 20 pound bag once each month, or even a 50 pound bag if you use that much. You can buy bags of rice in five to 10 pound quantities, and sugar and flour or can be bought in 20 pound sacks as well. Again the compare the price difference is between the bulk purchase and multiples of the smaller purchases. You may be pleasantly surprised at how much money you can actually save by doing your shopping this way.
For example, if you know that you usually have to buy a package of toilet paper about once a week for your family, then you can actually reduce the amount of money you're spending on that toilet paper by buying a bulk package instead. If you normally buy a four pack each week, that's about 16 rolls each month. If that four pack cost you three dollars each, then you're spending $12 a month on toilet paper. If you instead by one pack of 16 rolls once each month, you might only spend eight or nine dollars for that larger package. See the difference in how much you can spend?
There are many things that all of us use frequently which can usually be purchased in bulk sizes. Before selecting the items you will buy in bulk however, make a realistic assessment of how much space you have available in your home. If your home is quite small, you may not be able to buy too many items in bulk sizes because you will have no place to store them. If you do have some space though, or if you can make space, this is an excellent way to save money.
If possible, it's even more helpful when you have an extra freezer. This is most useful for families to save money on frozen goods. Here are some things you might want to consider buying in bulk to save money.
Laundry supplies. Instead of buying laundry soap every week, try buying a much larger box that will last an entire month. Do the same with your fabric softener, bleach, or any other laundry materials you use. When you compare the prices you'll usually find that the large boxes and containers are less expensive than multiples of the small ones.
Kitchen staples. If you have a family, chances are you cook quite frequently. And there are many food items that tend to stay in stock in your home regularly. Buying decent bulk can be much less expensive too. Staples usually include things like flour, sugar, rice, and potatoes. In some cases, other things are standard to. Spaghetti for example, or other types of pasta. Peanut butter. And more. These will vary somewhat from one family to another, but generally if you have children you tend to constantly buy these items at the store.
So if you buy a 5 pounds of potatoes every week, you can actually save money by buying a 20 pound bag once each month, or even a 50 pound bag if you use that much. You can buy bags of rice in five to 10 pound quantities, and sugar and flour or can be bought in 20 pound sacks as well. Again the compare the price difference is between the bulk purchase and multiples of the smaller purchases. You may be pleasantly surprised at how much money you can actually save by doing your shopping this way.
Monday, September 01, 2008
Use the Internet to Save Money
Did you know? You can actually use your computer and the Internet to help you save money in many ways. Most people don't think of using their computer this way, but it's actually quite fun and you might be surprised at how much money you can save too.
For example, did you know that you can find coupons for almost everything online? It's true. Spend just a little time researching online, and you will come across discounts and coupons for almost everything you buy on a regular basis. Sometimes you can even find coupons for specific stores in your area too.
Books and reading can also be found online. As a matter of fact, there are literally tens of thousands of books you can legally read online. And in most cases, you can even download them to read on your computer when you're not connected to the Internet.
In addition to books, you'll also find digital reports, white papers, and many other reading materials too. Just some of the things you'll find to read online include children's books, classic literature and novels, instruction manuals, and more.
There are also some movies, TV shows, and music which can be enjoyed online legally too. The trick here, is to make sure that you're accessing legal materials. Many up-and-coming music artists will release their music for free for example, because they want to get noticed from as many people as possible. TV shows are starting to put some of their material online too, because it provides another place for them to sell advertising.
If you use directory assistance on your phone a lot, you can save quite a bit of money by simply using the online directories instead. Almost any phone number can be looked up these days, and it doesn't cost a thing.
The same applies to maps. Instead of buying a map at the store when you go on a trip, you can simply look up the directions online at no cost. And you can even print them out for reference while you're traveling too.
There are various other things that can be found online completely free. You can listen to radio stations, find recipes instead of buying cookbooks, printout coloring pages for your children, play computer games at no cost, make long distance phone calls, and much more. Getting into the habit of looking for something online before you spend money for it, is a great way to help you save money on your expenses each month.
For example, did you know that you can find coupons for almost everything online? It's true. Spend just a little time researching online, and you will come across discounts and coupons for almost everything you buy on a regular basis. Sometimes you can even find coupons for specific stores in your area too.
Books and reading can also be found online. As a matter of fact, there are literally tens of thousands of books you can legally read online. And in most cases, you can even download them to read on your computer when you're not connected to the Internet.
In addition to books, you'll also find digital reports, white papers, and many other reading materials too. Just some of the things you'll find to read online include children's books, classic literature and novels, instruction manuals, and more.
There are also some movies, TV shows, and music which can be enjoyed online legally too. The trick here, is to make sure that you're accessing legal materials. Many up-and-coming music artists will release their music for free for example, because they want to get noticed from as many people as possible. TV shows are starting to put some of their material online too, because it provides another place for them to sell advertising.
If you use directory assistance on your phone a lot, you can save quite a bit of money by simply using the online directories instead. Almost any phone number can be looked up these days, and it doesn't cost a thing.
The same applies to maps. Instead of buying a map at the store when you go on a trip, you can simply look up the directions online at no cost. And you can even print them out for reference while you're traveling too.
There are various other things that can be found online completely free. You can listen to radio stations, find recipes instead of buying cookbooks, printout coloring pages for your children, play computer games at no cost, make long distance phone calls, and much more. Getting into the habit of looking for something online before you spend money for it, is a great way to help you save money on your expenses each month.