“A penny saved is a penny earned” is a common phrase passed down through the generations along with a host of others. How many of us have taken these tips and turned them into cash? Self Magazine recently ran an article called The Best Money Tip I’ve Ever Gotten. That got us thinking and we came up with this list of the 10 best money tips to consider:
1. Save 10% of every dollar earned and teach your kids to do the same. You and you children will have rainy day funds available for purchases, vacations or emergencies. They will learn the value of money and you will have less sleepless nights worried about how to pay for the unexpected.
2. Did you know paying half your total mortgage amount bi-weekly will result in the loan being paid off early? It is because you are actually sending an extra payment every year resulting in as much as five years in early payments!
3. Don’t loan money to friends. If you are so inclined, consider it a gift. If they don’t pay it back it won’t create bad feelings between you and your friend.
4. Never pay retail. Did you know there are coupons and discount codes for just about anything you need or want? Google the name of the item and the words “promo code.” A friend recently purchased a queen size air mattress for $75, a $40 discount with the promo code.
5. Combine coupons & sales for maximum grocery store savings. Refrain from paying for a membership to a coupon club and find the savings yourself. Use the store’s loyalty card, coupons and sales to maximize the family budget.
6. Start a retirement account when you get your first job out of college will maximize your return. If you can, contribute the maximum amount and watch your money grow until you need it.
7. Lead a healthy lifestyle and save on health care costs. Healthy people go to the doctor less and therefore have the money some spend on doctor’s visits and prescriptions to add to their savings.
8. Save on utilities such as electricity with time of use or flat rate plans. What does that mean? It means using appliances when rates are lowest. You don’t want to be running a clothes dryer in the heat of the day when the air conditioner is cooling the house.
9. Insurance coverage review will bring to light benefits you are paying for and may not need.
10. Pay off debt. The younger you are when you learn this lesson the better your financial life will be. Paying credit cards in full is a good habit.
We know there are more ideas for how we can make best use of our money. We would love to hear from you!
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- 8 ways to spend (or save) your tax refund (bascexpertise.com)