Smart Simple Ways to Save Money

Stay Within Budget With Caution, Restraint and Planning

Feb 13, 2009

Traffic tickets can wreck budget., Click Art

Pinching pennies isn't the only way to survive a recession. Some families need professional help, but here are a few simple things they can do to save money.

Judging from the fines, late fees and high interest rates paid every year, Americans waste millions of dollars through carelessness and lack of fundamental planning. The losses result not only from paying too much for needed items and wasteful impulse buying, but also from expenses that pop up without warning.

Here are a few steps to cut some expenses which do not provide any value.

Surprise Expenses Wreck Budgets

Surprise expenses, like traffic tickets and accidents which can wreck even well planned budgets, cannot always be avoided. But families can decrease the likelihood if they:

Pay close attention to traffic laws. Traffic tickets often cost $100 or more and insurance companies usually increase premiums following moving violations. Even parking tickets can be pricey.
Drive defensively. Just the time and costs involved in settling an accident case can wreck a budget. Safety experts strongly warn against using cell phones or applying makeup while driving.
To avoid home and work accidents, focus tightly on the task at hand. Follow equipment safety instructions
Take care of small health problems, especially among children. The problems cost more when they get worse.

Also: Impress the boss. Jobs are precious during a recession, and losing one is the greatest budget buster of all. In layoffs, dedicated workers are more likely to be retained than others.

Guard Against Late Fees

Consumers can also save significantly by guarding against increased late fees, penalties and interest rates, non of which provide anything of value. Pay bills on time. Monitor bank accounts carefully. Instruct the bank to send warnings about low account balances and unusually high withdrawals.

Student credit cards carry extremely higher interest rates. Consider using parental credit sources to establish bank accounts and debit cards for the student. They’re also easier to control than credit cards.

Look for Retailer’s Brands

Shop smarter. Look for retailer brands. In one of the hottest marketing movements across the country, retailers are often offering lower prices for their own bands than the established manufacturers’ brands. Other smart shopping suggestions:

Shop without a credit card occasionally. Retailers count on credit cards to stimulate impulse buying. Taking cash out of the wallet or purse gives consumers more time to decide if they really need certain items.
Prepare a shopping list ahead of time. Stick to it.
Buy generic drugs whenever possible. If the prescription doesn’t specify a generic, check with the doctor about its availability.
Use coupons from the daily paper, the mail and the Internet. Coupons are hot again. People are even conducting coupon parties to capitalize on these grocery savers.
Consider barter. Some service people may be willing to swap their services for a skill or item you can provide.
Visit the Salvation Army or Goodwill store occasionally.

Vehicles OfferSaving Opportunities

Although gasoline prices dropped below $2 per gallon in late 2008, vehicles still have a heavy impact on family budgets and offer significant saving opportunities. Examples:

Don’t waste gas idling in bank and fast food drive-through lines. Studies show it’s more efficient to stop and start the vehicle rather than idle 11 seconds or more. Park and walk inside. Burn a few calories instead of more gasoline.

Drive slower. Gasoline efficiency drops after 55 mpg. Slower speeds are safer and less likely to draw traffic tickets.

Plan family driving. The IRS estimates the average cost of driving a car at 55 cents per mile. Shop together instead of taking individual cars. Plan trips to cover as many stops as possible. This saves gas as well as wear and tear on cars.

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The copyright of the article Smart Simple Ways to Save Money in Home Owner Tips is owned by Carroll Trosclair. Permission to republish Smart Simple Ways to Save Money in print or online must be granted by the author in writing.