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Last updated on November 2nd, 2022 at 09:01 pm
Our economy ebbs and flows which means we could all use some reminders on how to save and manage our money better. Whether you are needing extra money to close the gap on inflation, saving for your next vacation, or getting ahead on your retirement goals, you can implement a few simple changes to your lifestyle and spending habits that work for the better. While these may seem like little things, it’s amazing how a few intentional changes can add up to impressive savings and improve your whole financial outlook. We’ve identified the 4 key areas where you can save your money by shopping smarter while increasing your money management skills.
Slash Your Food and Beverage Costs
According to the US Bureau of Labor Statistics, food is the 3rd largest expense in the average American’s budget. This is an easy area to pick up some extra savings without sacrificing your quality of life.
- Eat in. By cooking at home versus eating out at restaurants, you can save hundreds of dollars per year. Restaurant prepared foods cost more per person per meal than cooking at home. Don’t forget you can save even more by brown bagging your lunch.
Of course you can still eat out from time to time. You want to celebrate a birthday, or you’ve had a rough week and need to unwind. You’re not going to blow your budget if you eat out once in a while. But by significantly cutting back on the number of times you eat out, you will be able to save more money.
- Drink water. Soft drinks, energy drinks, and other bottled drinks are easy areas to cut back and save more. In general these beverages are expensive and unhealthy. Instead, replace with water or try brewing your own tea, lemonade, or iced coffees. By eliminating a daily stop at Starbucks, you can pocket $1,250 per year!
- Be a better shopper. Plan your meals for the week, make a list, and stick to the list. You can also order your groceries online to avoid being tempted to buy items you don’t need. This is also a huge timesaver when you have a busy schedule. Download and use our weekly meal planner with grocery list for free.
Other tips for shopping include using the In-Store App coupons or pair it up with a Cash-Back App like Fetch Rewards or Ibotta. These Apps let you earn cash back on certain items when you scan your receipt. We checked them out here and they are legit. Don’t be afraid to try generic or store brand foods. Sometimes the only difference between the generic and the name-brand food is the packaging. For example, the Member’s Mark Colby Jack Cheese Sticks at Sam’s Club are made by Sargento.
Be Smarter Around The House
- Clothes Shopping. Shop during sales or shop out of season to save money. Be sure to check for coupon codes when ordering online or before you go shopping. Ibotta also provides additional savings at clothing retailers but you must activate the savings before you purchase. Check labels and avoid ‘dry clean only’ items to reduce any additional cleaning expenses.
Or rather than buying all new clothes, you can trade gently used items with friends and family. There are great deals on designer and name-brand clothing at consignment shops like Clothes Mentor where you can also sell your clothes directly to them. They pay on the spot for items they accept. Other online marketplaces like eBay, Mercari and Poshmark are useful platforms to find a deal or sell any of your designer or name-brand clothes.
Another option is to hit the local thrift stores. Ask when your thrift store restocks to choose the best day to shop and get first dibs on new clothes as they are put on the floor. If you don’t want to go to the local thrift store, you can also shop online. ThredUp is a great option for those that don’t feel like braving the store. You will pay more for online thrift store purchases, but you can do it without ever leaving home and find great deals on secondhand clothes.
- Appliances, Electronics, Lighting: If you need appliances, electronics or lighting, ensure they are energy-star rated. Energy-Star products can save about $450 on energy bills according to energystar.gov. If you are not in a hurry to purchase these types of products, be sure to know the right time of year to purchase them. Follow our Buy This & Not That Series.
- Heating & Cooling:
- Insulate your home. If you have a drafty attic or crawl-space, it’s time to add more insulation.Use a programmable or smart thermostat. You can save money without sacrificing comfort by adjusting your temperature when you are away from home or asleep at night. The easiest way to accomplish this is with a programmable or smart thermostat which is projected to save about 8% off your heating and cooling bills.
- Change your furnace filter every month. Clogged filters cause your unit to use more power. This simple task could save you an additional $60 per year.
- Check your weatherstripping around exterior doors and windows. If you see light peeking through doors and windows, it’s time to grab some self-adhesive rubber foam weatherstripping and get to it.
Drive Down Your Vehicle Costs
- By combining your errands, you will save gas and mileage. Like with other areas of savings, this requires planning so group together those errands that can be accomplished in one loop.
- Keep your vehicle aligned and tires properly inflated. If your tires are out of alignment, even slightly, it can reduce your gas mileage, let alone wear out your tires sooner. The same goes for keeping your tires inflated which can wear your tires out twice as fast and cause your engine to work harder. It’s difficult to tell if they are underinflated, but you should check them monthly. Just check the decal on the inside of your driver’s door for the recommended air pressure. Several places will check your pressure for free so work that into one of your errand runs.
- Check your auto insurance costs and shop around especially if you haven’t switched carriers in a long time. Many times your current carrier will reduce or match costs if they know you are looking around. It’s a good time to let them know of any other changes. Do you drive less now because you work from home? Have you sold a vehicle? Had a change to drivers? These are all areas that could reduce your premiums.
Evaluate Your Subscriptions and Services
- You should drop any phone services you aren’t using. Are you paying for cell phones and a land line? You can also explore internet phone options as an alternative to a land line if you prefer to have a “house” phone.
- How many streaming apps are you using along with cable or satellite TV? Reassess these to see if there are any that can be cut. A solution to reduce streaming app costs is to rotate apps throughout the year. For example, subscribe to Netflix for 6 months and then subscribe to Disney+ the other 6 months or rotate 3 services over 4 month intervals. Find what works for you.
- It doesn’t hurt to shop around for the best deal on internet services in your area. Even your current provider will run deals for new and current subscribers but you must contact them. If there are new providers coming to your area, this is good leverage to get a good deal.
- Do you use a cleaning service? Maybe you can get by on your own. Or cut back on the frequency you are using the service. Think of the added benefit you’ll get from the extra exercise.
- For other projects around the house such as painting, minor repairs or yard work, consider if it is worthwhile to take on yourself. There are plenty of DIY and YouTube videos to help you out.
Comment to let us know your tricks for trimming the budget and saving money.
