It Just Makes Cents

“A penny saved is a penny earned.”
Ben Franklin

That Ben Franklin, he was as good with the financial advice as he was with all the Founding Father business. No wonder his face wound up on our $100 bill. And yes, as Ben said, every penny you save may as well be a penny earned. But you have to save it to earn it!

Yes, saving money should always be an important part of your financial life. We’ve already touched on saving in a more generic sense when we talked about choices for a healthy financial New Year. Well, let’s explore a few more specific ways to save. This time we’ll look at ways to save money on things you do or use every day. There’s nothing tricky or difficult about any of these options. The only thing you’ll need is a good dose of “stick-to-it-ness.” Let’s get started...

1. Change your thermostat setting. Mother Nature is turning a cold shoulder this time of year. It’s nice to have a warm, toasty house, but it’s also fairly expensive to keep things really toasty. Save money by reducing the temperature in your home. The U.S. Department of Energy suggests you pay an additional 2% to 3% for every degree of heating you use. Lower the temp and add a sweater. The same goes for the summer months...except set the temp higher and don’t wear a sweater!
    
2. Seal your home from outside conditions. In the same vein as watching your thermostat, when you seal such places as windows, doors and electrical outlets with caulk and weather stripping, you could save up to 20% on energy bills. For an average household, that would be more than $400 annually.
    
3. Clip coupons. With many stores offering Double Coupons these days, clipping coupons can be a real money saver. In addition, be sure to check store circulars for ad items. Make a list and take only the coupons you’ll be using. This will save time and help you resist the urge to spend extra.
    
4. Pay cash. The convenience of a buy-now-pay-later scenario may lead you to spend more. Using cash may make you think twice about additional purchases. Carry a set amount of cash, and your budget is set by the amount you’ve chosen. Or, if you prefer to use your debit card, make sure you know exactly how much money you have available so you don’t accidentally overspend.
    
5. Split your raises. Every raise you receive at work, cut it in half and put one half into a savings account. Or, if you have debt you’re working to pay off, use it to pay it off faster.
    
6. Shop insurance. When was the last time you priced/compared auto insurance? You could literally save hundreds of dollars a year if you do a little shopping around. What should you look for? Well, price, of course. But don’t let that be your only guide. Saving a little money loses its luster when you can’t get timely action on a claim, so be sure to check out the customer service of any company you might be giving consideration. Vantage offers AAA auto and home insurance options. You can also research online to learn more about how insurance companies compare.
    
7. Eat out, smartly. You heard right! While limiting your meals eaten out will definitely help the family budget, if you have to eat out, there are places that now offer menus on the cheap. Pizza is an example, with advertised specials and available coupons. There’s even a website that offers gift cards for discounted dining at over 13,000 restaurants across the country. Find our more at www.restaurants.com.
    
8. Haggle. Few prices are set in stone. Many companies would rather have merchandise/services head out the door at a cheaper price than not at all. Be sure to ask for any specials, or just a lower price.
    
9. Rent rather than purchase. Netflix is convenient for when you’re in the mood for watching a DVD, but the service does cost money. What doesn’t, you ask? Your friendly neighborhood public library! Local libraries offer a wide selection of books, DVDs and CDs for the price of a library card … which is FREE!

“If you would be wealthy, think of saving as well as getting.”
Ben Franklin

There’s that Benjamin Franklin character again, with another word or two of financial wisdom. When Mr. Franklin talks, we’d all do well to listen and take to heart his accumulated knowledge. So, with that in mind, how about we all make a real effort to make 2010 the year we take a stand for smart spending? Let’s make our lists of workable ways to save and really concentrate on putting away some of our hard-earned money. It’ll come with the added benefit of helping you sleep at night!