First thing first, I’m not a financial expert. Actually, I’m, the furthest thing from and I’ve had past credit reports to prove it.
However, over the past year or so, I’ve been making strong efforts on not only improving my credit, but also just saving more money, in general.
Since we are in the midst of income tax return season, some of you might have received you return money and don’t have any idea what to do with it..other than spend it. So, I thought this would be a good time to share some of my favorite quick and easy tips for saving money.
If you want to save money, one of the first things you need to do is open a savings account. You wouldn’t believe how many people don’t have a savings account. Once you open a savings account, you will have a safe and convenient spot to place and save money.
However, there are some things to keep in mind when opening your savings account. Compare interest rates for your savings account for an high interest account. The monthly interest might seem like chump change, but the more you save and get in the long run. There are also various tax advantages go along with savings accounts, as well as a number of free tax calcs to alleviate some of the tedious complications often associated with taxes.
A plus about savings accounts, is that if you open them at the same bank as your checking account, they can be synced together. You will have the ease of transferring money from one account to the next.
Unfortunately, this can also be a hinder to some, because just as easy as it is to move money to your savings account, it can be just as easy to move money from your savings to your checking. This was an issue that I was initially having when trying to save and keep money in my savings. With the ultra convenience of my online banking app, I could and would move money back and forth between accounts. I would nothing to show except an ridiculously high fee, because my bank would charge for transactions from my savings.
So, I decided to open an account at a different credit union. Therefore, I wouldn’t be easy to get the money. This small move has helped my increase my savings tremendously.
One of the hardest things I had to learn how to do was assess where I was spending my money. Here I was thinking that just buying a tall caramel macchiato instead of a venti was being financially responsible. Instead, you multiple $3.75 (price of tall caramel macchiato) by 5 (times a week) and you will quickly realize that you are spending almost $1000 a year on something that you finish drinking before you pull into the parking garage at your job.
Once you’ve assessed all of your expenses, you might realize that you can save quite a bit of money with just a few minor spending changes. Cut back on the trips to Starbucks, eliminate cable, and cancelling one or two premium streaming services and you will notice just how much more money you have to put into your savings account.
At the end of the year, you will be quite pleased and estatic about having an extra grand in your account just by simple making your coffee at home before heading to work.
Create Additional Income
It’s been said that the average millionaire generates at least 7 sources of income. Imagine just what one additional source can do for us typical people who would just like a little extra to have for a rainy day or yearly family vacation.
In today’s world of online businesses and constant need to for various services, you can generate extra income by simple selling items you no longer use around the house on ebay, sign up to be a part-time Uber driver, or even create your own online shop selling teas or what ever you have a knack for creating.
Do you have any tips you use to save extra money?