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Figure Out How to Save Money

Figure Out How to Save Money

Figuring out How to Save Money

No matter what financial situation a person is in, it is always a good idea to try to save money. However, it is often difficult to figure out how to save money. Whether it is saving money for a retirement fund, or just trying to keep a few extra dollars, having extra money and being a careful spender is important in order to obtain financial success. 
Here are some helpful tips to help you figure out how to save money.

How to Save Money on Transportation
New cars
o Choose a model that has a low purchase price and a low depreciation, insurance, gas, maintenance, and financing cost. New car guides can often provide this information.
o After choosing a model, go comparison shopping with several dealers both over the phone and online.
Used cars
o Use a car guide, such as a “bluebook” to help compare the average retail price of the car with what the seller is asking.
o Have a mechanic check the car to find any potentially expensive problems.
Car leases
o When leasing a car, consider the price, trade-in allowance, monthly payments, down payments, and any other fees that will be involved.
Airline fares
o Look at internet travel sites and airline sites online to find special deals.
o Compare major carriers and low-cost carriers.

How to Save Money on Insurance
Car Insurance
o Make sure a new policy is already in effect before cancelling an old one.
o Purchase insurance from a licensed, low price insurance. Call at least four of these agencies to find the best deal.
Life Insurance
o Buy a term life insurance policy for just the protection without investments and savings services.
o When buying a universal life, whole life, or other case value policy, anticipate holding the plan for at least 15 years. Cancelling these plans early on can double the life insurance cost
Homeowner/Renter Insurance
How to Save Money on Banking/Credit

Debit Cards and Checking Accounts
o Use a free checking account that does not have a minimum balance requirement.
o Some banks provide lower checking costs through either direct depot or ATM use only.
Credit Cards
o Send payments 7-10 days in advance to avoid late fees and increases in interest rates.
o If the entire bill cannot be paid off, switch the balance to a credit card with a lower APR.
Savings Product
o Use a bank that is insured by the Federal government.
o Compare fees and rates of different banks and financial institutions.
o Consider U.S. Savings Bonds or Certificates of Deposit to earn the highest return.
How to Save Money on Housing Needs

Buying a Home
o Try negotiating a lower sale price through a buyer broker working for you and not the seller.
o Have a home inspected before purchasing it.
Renting a Home
o Find buildings and inquire about the availability.
o Do not sign a lease until you are sure you can be responsible for the monthly payments as agreed upon.
Home Improvement
o Look at established licensed contracted who give fixed-price bids for jobs.
o Do not sign contracts that require a full payment before finishing the work.
How to Save Money at the Store

o Shop at lower-priced food stores. Smaller convenience store are more likely to have higher prices.
o Compare the unit price of similar products and choose those with the lower one.
o Take advantages of sale items.
o Buy basic ingredients instead of pre-packaged or ready-made food items.
o Use generic equivalents of drugs when possible.
o Call a pharmacy in advance to ask for a price of a medicine.
Clothing stores
o Check online for any coupons or promotions the store may have.
How to Save Money for Retirement
Keep putting away money regularly and stick to a plan.
Understand your retirement needs.
Put money towards an employer’s retirement savings plan
Do not touch retirement savings.
Learn about an employer’s pension plan.