Where might you be spending too much?

Unstable is one of the more mild descriptions of our current economic climate. Tumultuous and chaotic are other descriptions that define an economy that’s sputtering. How long will it last? How bad will it get? Even the experts are uncertain. Meanwhile, consumers are having to take a serious look at their spending habits as so much uncertainty hangs over the economy.

Everyone is looking for ways to cut back on spending. Conditions dictate it. What can you do to ease some of the budget crunch on your household economy? There are a number of areas where you can work to cut back on spending.

Energy at home
Depending on the season, keeping your home comfortable is rarely inexpensive. But there are some steps you can take to help reduce the amount of energy you use:

• New windows—The latest replacement windows can really cut down on energy loss. If you can’t afford new windows, be sure to seal your present windows with caulk/weather-stripping. Plastic film kits are also available to help cut down on any air leaks you may have around your windows.
   
• Programmable thermostat—When your family is away from home, there’s no sense in keeping the comfort level at an optimum. With a programmable thermostat, you can set the temperature to a more energy-saving level while no one’s home. These devices more than pay for themselves in the course of a year.
   
• Light bulbs—While the new energy-efficient light bulbs cost more at purchase, they use two-thirds less energy and can last ten times longer than traditional bulbs.
   
• Efficiency—Helping things run more efficiently will save energy/money. Be sure you have a clean furnace air filter. Wrap your water heater with insulation; kits are available in home stores. Also, lower the water heater temperature to 130 degrees Fahrenheit. Seal ducts on air and heating systems.

Saving on the road
Gas prices have been up and down in the past few years, but everyone can save money on gas if they follow a few simple steps to help their vehicles run more efficiently.

• Slow down—Driving 55 mph instead of 70 mph can lower your fuel efficiency by as much as 17 percent. Don’t make fast stops or sudden starts. Avoid long warm-up periods.
   
• In tune—An engine that’s maintained runs smoother and burns less fuel. Be sure you keep your vehicle in good running order. Get regular tune-ups and keep up with routine maintenance.
   
• Tire inflation—Your tires can lose a pound of pressure each month. Tires that are underinflated by three pounds can drop fuel economy by one percent. They also wear faster.
   
• Clean the clutter—Is your vehicle filled with extra stuff? Cleaning it out could save you money. An extra 100 pounds in your vehicle could lower fuel efficiency by up to two percent.
   
• Gas grade—Most vehicles will run fine on regular octane gas. Unless your car knocks, stick with the lower grade gas. Fill up with premium, and you could be wasting hundreds of dollars a year. Check your owner’s manual for the grade recommended for your vehicle.
   
• Vehicle insurance—The gas your vehicle uses is not the only place where you can save money. How about insurance? By law you have it, but there are ways to save a little money on being covered. When was the last time you reviewed your policy? The National Association of Insurance Commissioners recommends you review your auto insurance once a year. Vantage offers AAA auto insurance with multiple discounts. Take a look.

Food for thought
Food is our bodies’ fuel; it’s something none of us can live without. The average American household spends over $6,000 a year on food. But by being selective in what and how much we purchase, there are ways to save money on groceries. The key is to shop smart. Store shelves are loaded with items that offer convenience over savings. You have to make a conscious effort to pick the items that offer savings.

• Make a list—Make a list and purchase all your groceries with a weekly menu in mind. According to experts, two-thirds of grocery store purchases are impulse buys.
   
• Comparison shop—Compare the ads of different stores and stock up on the deeply discounted “loss leader” items from each store. Be sure to make use of coupons. Some supermarkets double (or triple) coupons.
   
• Cash—Use cash to pay for your groceries. This usually helps you stick more closely to your list.
   
• Cheaper meals—Serving large portions of meat can be expensive. Instead, supplement smaller meat portions with larger portions of pasta or rice.
   
• Cost per item—The items with the highest mark-up are located chest-high on the shelves. Look higher or lower for the cheaper brands.

If you have a problem with a workable household budget, Vantage can help. We’ve teamed up with Accel to offer members free money-management and financial-education services.

Or call 877.33ACCEL (877.332.2235)