10 Money Saving Tips.

When it comes to saving money, there are a lot of little things you can do that add up to make a big difference! Here are 10 doable money-saving tips:

1. Automatic savings: Are one of the most effective ways to save because you can’t spend what you can’t access! Instruct your employer to transfer a certain amount from your paycheck each pay period into an RRSP or savings account (or both) or set up automatic transfers in your banking account to coincide with your payday. I had my company do this for three years and was able to save up the money towards the down payment on the house.
2. Consolidating debt: Will result in a single monthly payment and lower interest costs! Many people don’t realize just how much money they are wasting on interest each month, especially if you have multiple loans or credit cards. Consolidating debt can help you gain control and maximize spending on the principal amounts to pay off the loans faster. Go thru your statements for one month, then for the year and see just how much is being wasted on service fees and interest charges.
3. Budget with cash: If you have trouble with overspending or find it too easy to use your card. After your bills are paid, take out the remaining cash (spending money) and only use that. Once the cash is gone, you’re out of money until next payday! Having physical cash in hand can also help you think twice when making purchases.  Keep your credit cards off your phone and at home so when you are out, your not tempted to tap that purchase.
4. Buying in bulk: Is a great way to save a bit here, and a bit there, when doing your regular grocery shop or purchasing other items. If you know  you’ll need more, stock up at once for bulk savings, which will help you in the long run! With the prices of groceries at record levels, stock up on items that can be stored easily and without issue of going bad. Keep an eye on your local flyers!!
5. Before Buying:  There are two things you should always do. The first is to wait at least 24 hours, and the second is to shop around! If you still want to buy something the next day, make sure you get the best price available!
6. Plan Your Meals: Most of us don’t have time to make breakfast (let alone lunch!) before we fly out the door for work.  What if I told you that getting up an hour earlier could save you over $100 a week! Even just making your lunch the night before, if your not an early riser,  that’s big savings!  Just think about how much you spend going out for breakfast AND lunch each day? Groceries are a lot cheaper, and you can even prep a few days worth of meals on your day off as part of your prep for the week. Get a thermos for your coffee or tea.  Add that expense up for the month! How much can you save just by doing that.
7. Think in Hours versus Dollars:  Every time you are looking to make a purchase, especially large ones to help you understand the TIME value of money. A new $24 Blu-Ray = 1 hour of work. A brand-new mattress = 41.67 hours of work. Understanding the time that went into earning money for a purchase can help with reconsidering frivolous items, or encourage you to look for the best deal on necessary products.
8. Utility Savings:  Can help you save each month! Don’t blast your A/C with all the doors in your house open, don’t pump the heat without sealing cracks and consider things like installing water-saving toilets and running cold-water wash cycles to save energy (and money!) every day. Turn off lights that don’t need to be on. Change your bulbs to a lower watt.  Run the dishwasher at night when the cost per gallon is less. Flush the toilet only when needed.
9. Master DIY:  While sometimes you can spend $120 to make a $20 item yourself, there are some things that do benefit from DIY, such as installing dimmer switches, that can help save you money in the long run.
10. Save Windfalls and Tax Refunds:  For a rainy day. A good rule of thumb is to put 50% of bonuses, tax refunds or other windfalls into your savings account and put the rest against loans owing. While you might want to go on a shopping spree or plan a vacation, paying off your debt NOW will free you up in the future.

I hope you find these tips useful. I thought they were real common sense habits you can do that don’t hurt too much. If your debt is beyond these quick little fixes and you own your home, with some equity built into it, perhaps a reverse mortgage is something to look at as a solution.

If you would like to brainstorm a strategy on getting your debt under control, or on getting that down payment saved, please feel free to contact me and we can work together to find a solution that works for you.

Written by the DLC Marketing Team