Finding savings without sacrifice

Cash Flow 8 Saving without sacrificeBudgeting is usually surrounded with the idea of sacrifice, coupons and hardship.  However there are some great options to save money without these.  Here are a few ideas;

1.  Banking fees and high interest accounts.  Chequing accounts can be found for free, that’s right no fees (and even no minimum to qualify for no fees).  Cutting fees without losing a service is a great option.  Also if you carry a balance in your accounts, look at the interest rate. No fees and a interest deposit into your account can quickly add up.  Also reducing number of paid accounts if free is not a great option for your situation.

2.  Credit Card, loan and mortgage fees and insurance.  With free credit cards everywhere, if you are paying a fee, make sure it is worth it.  Credit cards can have an annual fees and some mortgages have monthly fees, both digging into your bottom line, often with no real benefit.  Also check for insurance premiums, these can add up quickly and if the insurance is needed there is usually a more cost-effective way to purchase better coverage.  If you are confident you do not pay these fees or insurance premiums, check again, more often than not people are surprised what they find.

3.  Review your bills.  Often by checking your cell phone plan, monthly house hold services such as internet and TV new options are available.  Making this change once can save you money for months to come, but beware of introductory offers that will only increase your costs long-term.  Reducing services that are not used is also a great way to reduce costs.

4.  Review the list of expenses organized by priority made in the last step.  Starting at the bottom look at if you can eliminate this expense, then move up to the next.  Often we have a few expenses that just hang around, even though they no longer have any importance to us.

5.  Reward points.  Using reward points can be a great way to save money, however many spend more chasing points than they are worth.  Many work out to less than a penny, however influence us to purchase things we normally won’t.  Adding even $20 a month to our budget for 20 cents in points doesn’t make sense.

6.  Look for savings on regular purchases.  Many companies offer savings if you look, these can help make things you already purchase easier on the wallet.  An example would be if you register a Starbucks card online many of the coffee options that would be extra are now included.

7.  Managing debt.  No debt is ideal, but for the rest of us where we hold our debt can make a big difference.  Make sure to pay everything on time, keep debt with low-interest rate no fee options.  Consider a variable rate mortgage, if possible pay off deductible debt last (money borrowed to make money can be tax deductible  and most important pay down your debt so you can stop wasting money on interest.

Saving money where it doesn’t take away from your lifestyle is a great way to free up money for other priorities.


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