The following is a guest post.
Saving Tips and Advice
When it comes to saving money, every little bit helps. People often assume that they have to make big, dramatic changes in order to save cash, but the truth is that a series of small but important changes can produce exciting results in your high yield savings account. There is generally no need to completely upend one's life in order to get ahead financially. By implementing a few basic tips and tricks, it's possible to spend less and save more. A few exceptional examples are outlined below.
Quick and Easy Money-Saving Tips
By spending less money, it's possible to save more of it for a rainy day. A few great tips include:
• Track Spending – People who track their spending have a much easier time saving money. Without knowing where money is going, it's nearly impossible to get ahead. There are many websites and apps that make short work of the process. Another option is to sit down and enter the day's expenses into a computer spreadsheet or into a register. After doing so for awhile, it's easy to pinpoint places where spending can be slashed.
• Shop Around for Car Insurance – It's easy to pay too much for vehicle insurance. Without periodically shopping around for a new policy, there's no way to know whether a better deal is out there or not. Another thing to keep in mind is that many insurance companies offer discounts to people who buy multiple policies. For example, drivers can spend less on auto insurance by getting their homeowner's insurance policies from the same company.
• Hold Off on Large Purchases – Impulse buys can wreak havoc on a carefully planned budget. As tempting as it may be to whip out a credit card or fork over a large amount of cash, it's much smarter to step away and cool off before making a big purchase. Most of the time, people realize that they didn't really need that fancy gadget or nice pair of shoes after all.
• Avoid Overdraft Fees – This tip dovetails nicely with the one about tracking spending. People who don't keep track of their financial situation tend to get slapped with overdraft fees and other charges. It's easy to fall into a really vicious cycle. A good habit to get into is to check account balances daily. Many banks will also alert customers when their balances fall below certain thresholds.
• Use Cash – Debit cards and credit cards are convenient, but they also make it easier to spend way too much. With actual cash in hand, a person is less likely to break the bank. One great idea is to withdraw a specific amount of cash each week. When it is gone, it is gone. The money can be used for small, daily expenses. Some folks even divvy up cash into separate envelopes for categories like food, transportation and utilities. By doing so, they're able to track what they spend and actually see when they are exceeding their budgets.
• Keep Food Costs in Check – A daily stop at the local coffee shop can add up quickly. The same thing goes for buying lunch every day. Filling a thermos with coffee every morning is a lot less expensive than buying a latte from a coffee chain, and bringing a lunch to work is a budget-friendly option as well. Over time, these small measures can add up to a lot of savings.
• Spend Less on Energy – Gas and electricity are expensive, but there are ways to slash those energy costs. One option is to have the local utility company come out and perform an energy audit. During such an audit, useful ways to slash energy costs will be provided. By implementing those tips and tricks, a family's monthly heating and cooling costs are sure to drop considerably.
These tips are just the tip of the iceberg. There are many other terrific ways to spend less and save more. There is no need to feel overwhelmed. These techniques can be introduced slowly. Over time, they are sure to produce a much healthier savings account balance.