Friday, October 24, 2014


Tip No. 1

Never spend your change. 

When I first began my savings program to build up money for investing, one of the easiest ways I found to trick myself into saving more money was to stop spending my change. I made a habit of paying for all my purchases with bills and pocketing the change. At the end of the day, all the spare change goes in a jar and when the jar is full, I take it to the bank and deposit it in my savings account. You'll be pleasantly surprised how much money you will accumulate this way. I purchased all my shares in Hawthorn Bank with pocket change.

Tip No. 2

Shop for the best deal on your car insurance.

I was astounded at the difference in prices and the huge amount I saved by switching my insurance. And no it isn't the company you might be thinking of, but I still have my insurance with a nationally recognized company for a whole lot less money.

Tip No. 3

Take your lunch to work.

I used to buy my lunch at work every day. While I got by cheap, usually around $5 and I only work 4 days a week (10 hour days), that still amounted to $1,040 per year. I found that if I took soup and crackers (one of my favorite lunches) it only cost me $1.70 per day, or $343.60 per year. A savings of $696.40 per year! As an added bonus, I lost 20 lbs.!

Tip No. 4

Use your coupons and motor club discounts.

Manufacturers coupons are the same as having extra cash instantly. The trick is to use only the ones for items you already purchase. I didn't realize how much I could save this way until I tried it out for a few weeks. I have also had a membership with a national motor club for years and yet never took advantage of the discounts offered on auto service, motel stays and entertainment. Now that's the first thing I look for when needing my car serviced or when planning a trip. 

Tip No. 5

Adjust your thermostat.

In the fall of the year I set my thermostat at 60 degrees and leave it there until spring. If it gets a little cold, I dress warmly. In the spring I shut the heat off and open the windows until the heat or my allergies make me turn on the air conditioning. Then I set the thermostat on 78 degrees and leave it alone. The point is, adjust the heat down as low as is comfortable for you and the air up so your utility bills stay low.  Use the money you save on utilities to buy a few shares of a good utility company, collect the dividends to help pay for future utilities.

Tip No. 6

Shop out of season.

I love doing this. I get most of my clothes this way. I'm really big on brand name clothing, but I nearly go in to cardiac arrest when I see the full priced items. Now I buy my spring and summer clothing in the fall and winter clothing in January through March. I get the same brand names for anywhere from 50% to 90% off the original price. 

Tip No. 7

Buy your cars used.

It's always better to purchase a good low mileage car that's been maintained than to purchase new. New cars depreciate in value faster or almost as fast as you make the payments. If you can pay cash for the car and save having to pay interest on a loan, all the better. Wouldn't you much rather be putting that money in to something that's going to pay you instead of making car payments?  (My car has been paid off for 7 years, it's still in great shape and I plan on keeping it at least another 2 years.)  

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