With so many people struggling to save money, I thought it was a good idea to ask a few personal finance bloggers to get their thoughts on how someone could get started on their journey to build their savings. So I sent emails to a few friends and asked “What’s your ultimate money saving tips?” Below, you will see a variety of responses from them. The answers are very interesting and you’ll see some commonalities among them.
Photo by voobie via Flickr
Jeff from Good Financial Cents:
When you’re in the market to buy a product or service, don’t always go for the first option. It’s sometimes the most convenient, but it always pays (literally) to shop around and get a few price quotes. We found that out first hand when we were moving to our new house. By asking around, we were able to save at least $500 on the total cost of moving our entire home. That savings helped us pick out a few things we needed for the new home.
FFB from Free From Broke:
Make it a priority and do it consistently no matter what. It doesn’t matter if its only a small amount, put some portion of your money into savings every week or month. Soon enough it will add up to something substantial. Putting it into a high yield savings account is an extra bonus.
PT from PT Money:
My ultimate money saving tip is three-fold: start small, make it automatic, and keep it separate.
What most people want and need is a bit of cushion in their finances. Yet there are many of us who never seem to get that small saving account built up. That’s why I always advise people to just start small. Start with $25 a month going into savings. That’s easy, right? Now to make it stick, set up an automatic direct deposit from your paycheck to a separate savings account. Make sure it’s not an account attached to your checking. Then, forget about it. Use this approach with your short-term and emergency savings, as well as your retirement. Just start!
Also take a look at my article: The Best Way I’ve Found To Truly Save Money.
Matt from Debt Free Adventure:
There are three basic tips that I’d like to offer:
- Budget your money. Tell your money where to go instead of wondering where it went. I started with a hand written budget, and once I had the hang of it created a simple family budget spreadsheet. When you form your spending plan make sure you appropriately budget for non-monthly expenses – if you don’t they’ll bust your budget.
- Earn side income. Start doing things you love to earn income on the side. It is just as important to diversify your income as it is your investments.
- Be faithful. Follow through with your plan by focusing on small steps to achieve big goals.
Lynnae from Being Frugal:
My ultimate money saving tips are twofold. First, create a budget and live by it. When you make a plan for your money through budgeting, you’re better able to make sure your money is being used effectively, rather than mindlessly whittled away.
Once you have a budget, live frugally to make your money stretch. When you spend less on groceries, for instance, you have more money to put towards savings. And if you make frugal living a game to see how much you can save, it doesn’t seem like work at all.
Mike from ABC of Investing:
Lower the cost of your investments. At one time I only owned high-priced mutual funds but after doing some reading of books like the “Four Pillars of Investing“, I realized that I could get the same performance for a lot less money.
If you can save 1% per year on your investment costs then this will add up over your lifetime to be one of your bigger savings. If you are young and don’t have much in the way of retirement savings then this tip may not seem very useful but if you save regularly (another tip) then eventually your investment assets will be quite large and the potential cost savings, quite large as well.
Ron from The Wisdom Journal:
Educate yourself before making any major purchase. You decide what constitutes “major” but taking the time to gather pros and cons about whatever you’re buying will help alleviate buyer’s remorse later on as well as insure that you knew what you were getting into. Education will also insulate you from sales pitches and make your negotiations over pricing have a lot more weight.
Well, I hope you enjoyed hearing from all these bloggers about their money savings tips. I am sure there are a few things from this list that you’ll find helpful in your quest to save more money. And if you need more ideas, don’t forget about our 1,001 how to save money tips.