October 23, 2008 - "Find out how to save thousands of dollars"
Summary: Personal Finance is the most important investment in your portfolio. In tough times, consumers are looking to stretch their dollars further. Here are six simple ways to save thousands.
1. Strategic Shopping
Potential annual savings: $5,200
Stephanie Nelson, founder of couponmom.com, a site that tracks deals at
your local grocery store, says that shoppers can save an average of $50
to $100 a week on their groceries if they spend about 30 minutes once a
week planning out their supermarket trip.
Not only are there plenty of savings to be found in newspaper circulars and on online coupon sharing sites like coupons.com, but grocery stores like Safeway and Pathmark often have coupons on their sites. There are also coupons available direct from manufacturers. For example, SC Johnson offers printable coupons on its Web site for $2 off Windex and other popular household products. "People can save 50% on their grocery bill by using the store's sales, putting coupons on top of that and going to the Web for additional online coupons," Nelson said.
2. Skip Starbucks
Potential annual savings: $2,425
David Bach, the author of Go Green, Live Rich,
contends that it is easy to save a few thousand dollars a year and cut
down on waste simply by eliminating that morning coffee and a muffin.
That's what he calls the "latte factor," and you'd be surprised how
quickly that $5 breakfast-on-the-go every morning adds up.
The same goes for lunch. The average American worker who buys lunch
during the workweek spends $6.60 a day, according to a recent "Brown
Bag" survey by ConAgra. And they are eating up a substantial savings
opportunity. Buying enough ingredients to pack a lunch from home just
three days a week can save about $600 a year.
3. Upgrade Your Appliances
Potential annual savings: $150
While we're on the eco-friendly bandwagon, using compact fluorescent
light bulbs saves about $30 in electricity costs over each bulb's
lifetime.
But to really impact your bottom line, consider upgrading an old
appliance like a refrigerator or dishwasher. Newer energy efficient
appliances can save $50 to $150 a year in energy costs, according to
Energy Star.
4. Go Generic
Potential annual savings: $161.20
Generic brands of food and drugs can cost 20% to 50% less than the name
brand and you're not likely to tell the difference. "Don't be afraid to
try a cheaper brand," advises ShopSmart deputy editor Sue Perry.
For example, just buying the store's own brand of butter instead of
Land O'Lakes can save about 25%. If you switch to your supermarket's
generic brand of milk as well, that will translate into about $3 a week
in savings, and that does a wallet good.
5. Pay an Extra $1 On Your Credit Cards
Potential annual savings: $203.25
Everyone knows that carrying a credit card balance can be costly. But
if paying off that balance isn't in the cards, even the smallest change
can pay huge dividends. Instead of buying a soda from the vending
machine, Bill Hardekopf, CEO of LowCards.com, recommends putting that
dollar toward your credit card balance.
For example, if you typically pay $100 a month on a $5,000 balance with
a 14% APR, try upping that payment by just a dollar a day. By paying an
extra $30 a month, you'll pay off your balance in 52 months rather than
76 months, or cut your payments by two years. And you'll save $874 in
interest payments over that time.
6. Sitter Sharing
Potential annual savings: $780
Sheila Lirio Marcelo, CEO of Care.com, which helps families find local
caregivers, suggests teaming up with neighboring parents to share one
babysitter.
Although most providers pro-rate their fees according to the number of
children they are watching, families that pool together can still save
between 20% to 50% off the cost of childcare while they enjoy their
weekly date night.
