Finance

8 Tips for Saving Money

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It’s no secret that the economy has been tough over the past few years. But that doesn’t mean you have to sit back and take it! There are things you can do to help save money and manage your finances. Here are eight tips compliments of balance, a nonprofit financial counseling organization.

1. Keep track of your spending.

This may seem like a no-brainer, but you’d be surprised how many people don’t actually know where their money goes each month. Keep a budget or track your spending using a app like Mint so you have a better idea of where your money is going.

2. Separate wants from needs.

Separate your wants from your needs. Just because you want something doesn’t mean you need it. When making a purchase, ask yourself if it’s something you really need or if you can live without it. You may be surprised how often you can answer no to that question!

3. Avoid using credit to pay your bills

This only digs you into a deeper hole of debt. Make a budget and stick to it so you can see where your money is going each month.

4. Save regularly

One of the best things you can do for your finances is to develop a habit of saving money. Set up a regular transfer from your checking account to your savings account, and make sure you don’t touch it! You’ll be surprised how quickly the money will add up.

5. Check your insurance policies

You may be paying for coverage you no longer need or that duplicates coverage you have elsewhere.

6. Be careful about spending a significant amount of money on periodic purchases,

Be careful about spending a significant amount of money on periodic purchases, like Christmas gifts or new tires for your car. Try to set aside money little by little throughout the year so you don’t have to come up with a large sum all at once.

7. Try lowering your energy bill. 

Try lowering your energy bill. You may be surprised how much you can save simply by making a few changes around your home, like turning off lights when you leave a room or investing in energy-efficient appliances.

8. Cut down on take-out ordering.

This is one of the easiest ways to save money. If you’re eating out less, you’re automatically saving money.