Tuesday, 5 January 2010 13:37
by
Jacki
Saving money is one of the top New Year’s Resolutions along with losing weight, quitting smoking, and exercising. Here are 5 tips to help you save in 2010.
1. Get organized
You may have a new year’s resolution to organize your house to gain peace of mind, and the same goes for your financial “house.” If you aren’t organized from the get-go, you won’t be able to stay on track with your finances. Make sure you set-up a system for paying bills. If you clip coupons, make sure you have a system for that too. Another way to organize is planning out your meals for the week which will not only save you money but help you with that being healthy goal you may have.
2. Make a budget
Along with organizing is making a budget. You have to know what is “coming in” and what’s “going out” before you can determine what you can save. There are lots of budgeting software out there that you can use, or if you have a trustworthy friend who you know manages money well, ask for their help. You can also ask your credit union branch representative to help you establish a budget.
3. Start an emergency fund
With such uncertainty in the job market, it is important to build up an emergency fund in case you or your spouse looses their job. Also, people are keeping their cars longer, and you never know when you will have repairs. The rule of thumb is to set aside 3 to 6 months worth of living expenses. When determining your budget, make sure you incorporate building up an emergency fund even if it’s only $10 a week.
4. Reduce debt
Sometimes it’s important to put saving on hold, especially if you are paying high interest credit cards. Set-up your bill payment to pay toward your credit card every time you are paid. Don’t wait to get the bill; if you have extra money, make a payment. Don’t get in the habit of paying down a card just to put charges back on it; the point is to get rid of ALL credit card debt.
5. Quit smoking, eating out, etc.
Making new year’s resolutions to quit smoking, eat out less, and drop the caffeine habit are all worthy causes that can also help save you money. Instead of buying soda or expensive coffee, switch to water; buy a filter and save even more. Make it a point to cook at home more often by planning out a week or month’s worth of meals.
Happy New Year and good luck!
P.S. Check out FORUM's new SaveItUp Challenge to help you save even more this year!