Tag Archives: Spending habits

Savings Saturday! 20 Simple Ideas To Make Your Money Go The Distance!


Are you trying to increase your nest egg for retirement? Are you already putting money away into savings or a retirement account on a regular basis, but you know you could be doing more?  Or maybe you are living on a tight budget and you just need to find ways to make your money go father. Making simple changes to your lifestyle choices can make it easier to save more.

  1. Volunteer at a theatre. Often they will allow you to go in and watch the performance in-between your volunteer responsibilities. Check with the local theater in your area to see if they have this type of program. This way you provide a service and get to see a show for free!
  2. Reduce the number of times you eat out each month. Homemade food always tastes better than restaurant food, you know the ingredients are fresh and you don’t have to leave a tip!
  3. Party the old fashioned way. Have a potluck! Putting on a full-blown party can add up quickly in the cost department. Ask everyone to bring a dish to share and the beverage of their choice.  Everyone enjoys contributing to the event and feels part of the community. It’s a win-win!
  4. Skip the brand name foods and household products at the grocery store. Private labels products are generally made by the same manufacturers as the well known brands, but cost less.
  5. Save on gas. Combine your trips to run errands with other appointments. If you are close enough to walk to shopping, work or your volunteer activity, well, why not walk and get some exercise at the same time?
  6. Shop around for the best gas prices. Some gas stations offer a discount for paying cash or using a debit card for your purchase rather than using a credit card. Some grocery stores have an associated gas station and using their loyalty card will provide you an additional discount, and some of the big box stores have pumps with good prices right outside in their parking lot. But weigh the distance traveled to get the best price against the amount you would be saving. Check out the phone app, GasBuddy to find the cheapest gas on the go.  The prices shown in the app depend on a community of users updating gas prices, so I am not sure how current the information always is, but it’s worth checking it out.  It’s free!
  7. Go the inexpensive route when cleaning your clothes. Do it yourself vs. using a laundry service, and make it easy on yourself and buy the no-iron shirts.
  8. Shop at the outlet mall. If buying clothing in thrift stores or garage sales (some of my favorite items came from there!) are not for you, then find a local outlet mall near you. They carry brand names with greatly reduced prices.
  9. Get the basic cable package for your television viewing.  Many weekly TV shows can be watched on the computer the day after it airs on TV and some movies can be watched. Netflix can provide you the ability to watch movies with money left in your pocket. Cheaper than going to the movie theatre! If you like the idea of saving a few bucks a month then basic cable may be well worth it to you.
  10. Wait for the latest movies to come on TV, rather than heading to the theatre.  But if you do go to the movies, take a snack in with you.  The prices of food at the movies is out of this world.  OK, so you aren’t supposed to take your own snack in, so if you do get caught, don’t say you got the idea here!
  11. Skip those fast food chains. Although you may think that they save you money in the moment, a cheap meal on the run now can, in the long run, because of the lack of nutritional content and high fat and sugar content, be the cause of an increase to your medical expenses. Be smart. Eat well.
  12. Have snacks with you at all times! This will keep you from running to the fast food restaurant, local coffee chain or convenience store to buy something that won’t satisfy and isn’t good for you. Bring along a travel mug or jar with water, coffee, tea or juice when you head out for the day. A piece of fruit and a bag of chopped veggies, nuts, trail mix or granola will come in handy for those moments when you feel hungry.  Think picnic!
  13. Get a roommate if you live alone and if you have the space. Think of the savings on rent or mortgage payment and utilities and the potential fun! Golden Girls anyone?
  14. Learn what days and at what stores they offer senior discounts. Even the thrift store in my town has a senior discount day. Most shopping discounts for seniors are during the week.
  15. Do it yourself. Using a lawn maintenance service? Start mowing the lawn and weeding yourself. It’s great exercise and you will save a pretty penny.
  16. Sign up for those online sites that send emails of discounted services and activities in your area, such as Groupon, LivingSocial, and Amazon Local, to name a few.
  17. Be careful of the “it’s on sale, so I have to buy it” mentality. If you don’t really need it, then is it really a savings?
  18. Reducing the temperature on your thermostat in the winter just a few degrees can cut down your bill each month. Remember to weatherproof your home by caulking holes and cracks and replacing old weather stripping on the doors, if needed, before the cold weather hits.
  19. Skip the bookstores and head right to the library.  Books are expensive and the library is free.  It’s easy to see that this is a huge savings for rabid readers.
  20. Don’t window shop. It seldom works out well in terms of saving money. Don’t wander around a mall just to kill time.  Head to the mall only when you have something you need and that needed item is on your list. That way temptation doesn’t creep into the saving equation.

This is just a starter list.  Take some time to look at your lifestyle, your monthly expenditures, shopping habits and entertainment choices.  Ask yourself, is it important that I have more in my retirement account or savings as I move into retirement or now that I am living on a limited budget?  If you deem it important, then make the choice, make the change, and save some money!

What have you done to reduce your monthly expenditures?  Was it hard to make those changes?  What made it easier?  What other things have you done to cut costs?   Please share in comments below.

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3 Easy Steps To Saving An Additional $20K In Less Than 10 Years


Are you closing in on retirement and your nest egg could use a little boost?  Mine too, so I came up with a plan to increase my savings by just making a couple of small changes in my life.

Step 1. Take an honest look at your spending habits.

Most everyone I have talked with has lost a considerable about of their retirement nest egg over the past decade, or two, due to economic shifts. I know that I am right there with a lot of other hard working and hard saving people who got caught in the crossfire. The challenge for me was that without a huge increase in salary, or moving into a hut in the woods until I retire to cut down on housing expenses, I wasn’t sure how in the world I was going to increase my retirement savings.  What a dilemma, it seemed.  That’s where I took control of my future, taking an honest and detailed look at my spending habits.  What an eye opening exercise that was!  Yikes.  My money was slipping away like water through a sieve.  The next logical question was, what can I do about it?

So, this is what I did and it is going to result in a pretty nice payoff.

Step 2. Replace unnecessary spending with less expensive options. 

When looking at your monthly expenditures, find a daily expenditure of about $5, one that can be eliminated or decreased substantially.  I decided to say good-bye to coffee shop coffee and hello to coffee at home.

I started by cutting out the $5 cup of coffee, one day a week to start.  Overtime, I eliminated the number of trips I made to the local coffee shop during the week, and made my daily order of a grande, soy, extra hot, no whip mocha a special treat on the weekend.  Goodbye baristas!  Hello retirement savings!  I decided to replace those $5 daily trips to the coffee shop with a more cost effective morning coffee tradition.   Now, I make a nice cup of coffee in the morning at home.  It took me a while to find the perfect coffee combination that felt just as special as the one that my favorite barista would make for me, but I did!   I take my freshly brewed cup of joe, pour it into my favorite feel good ceramic mug, and top it with a splash of delicious hazelnut coconut creamer.  I get up just a little bit earlier in the morning,  and after preparing my new favorite coffee drink, I settle into my cozy recliner by the front window where I can watch the sky shift color as the day begins. It has become a lovely tradition and I wouldn’t trade it for waiting in line at a noisy coffee shop for anything!   At work, I switched to tea, just regular tea.  I got used to it.  It’s my new “habit.”  And, that new habit, plus my new morning coffee tradition, is saving me a lot of money.

Making My Morning Coffee At Home: 

Savings per week = $25.

 

Savings per year = $1300.

 

 

Amount saved by the time I retire in 8.2 years?  $10,660!!!

Next, find a $10 expense that you have on a daily, or almost daily basis. Maybe it’s buying bottled water and pop during the day and making a run to the vending machine for an afternoon pick-me-up snack.  For me, the next savings opportunity was not going out for lunch.

Let’s see what the savings amount to with this change.

I easily fell into the “Where do you want to go for lunch?” mode at work.  It is a social time for me, a time when I can sit and enjoy some good conversation and laughs with my co-workers.  The restaurants we go to are middle of the road with lunches running somewhere between $8-10. Usually, we go for Thai or Vietnamese, so the food is healthy, and that was part of my justification for eating out.  Healthy food!  Eating lunch out became a regular pattern for me, as not only was it a time to nourish my body, but also my social soul.  As I looked at my bank statement closely, I noticed just how many times I was going out for lunch each month.  It hits hard when you see the numbers in print!  So, I decided that I would started bringing my lunch, a good healthy, fill-me-up, well balanced lunch and only go out for lunch one day a week.

Making My Own Lunch:

 

Savings per week = $40.

 

Savings per year = $2080.

 

Now, for the grand total, the increase to my nest egg over the next 8.2 years?  Are you ready for this?

 

A whopping $17,056!!!!

Step 3. Redirect that money to an untouchable savings account.

Increased savings, the result of cutting down on coffee and lunches out over the next 8.2 years until my retirement begins, totals $27,716!!!  Woah!  That’s a nice chunk of change with just a couple of small lifestyle changes!

After identifying what expenses I could reduce or eliminate and putting those changes into action, the critical last step was to put that money away somewhere where I couldn’t easily access it.  Under the mattress or in a jar in the kitchen cupboard came to mind, but I knew I wouldn’t be able to keep myself from just “borrowing” a little of it and, well, you know, promising to put it back.  I had to chuckle to myself that I had even considered that might be an option!

It seemed to me that the best way to keep my hands off that money was to put it in a place where I couldn’t just open the jar and borrow a little of it.  So, I decided to have my payroll deductions adjusted to the amount I was now able to save, as a result of these small changes, and have that amount automatically deposited into my retirement account.  I was already spending it, now I am just redirecting it!

The end result of this redirection of funds gives me an increase of over $25,000 dollars in my retirement savings account when I retire.  The long term results make me smile, as I sit here in my cozy chair watching the sunrise, with my little dog, Maggie Mae and a delicious cup of coffee.

Redirected to Retirement Savings:

 

Coffee shop annual savings = $10,660!!!

 

Eating lunch out annual savings = $17,056!!!!

 

Money redirected to my retirement account in time for my retirement in 8.2 years = $27,716!!!

Have you taken a close look at how you spend your money? Maybe for you it is dinners out, getting snacks at the movies, daily visits to the vending machine, drinking sodas, bottled water or those expensive energy drinks.

What is your money sieve?  With a couple of small changes to your lifestyle, how much more money will you be able to contribute to your retirement savings?  Share your ideas and thoughts in the comment section below.

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