Six easy ways to save more in 2018
As this year comes to a close, let’s look ahead and make resolutions for positive changes in the new year.
I’m not suggesting losing weight, which is always at the top of the list. Let’s talk about gaining.
Adding to your nest egg should be a top priority, considering most of us don’t save much. More than 57 per cent have less than $1,000 in bank accounts, according to a GoBankingRates survey of 8,000 people. Worse, 39 per cent had a balance of zero.
It doesn’t have to be difficult to put away a little each month, especially if you lightly trim expenses. There’s always some fat in there. Here are six easy ways to save more in 2018.
1. Pay yourself first. This is the Golden Rule of savings. First, set a goal for the year.
Next, open a separate savings account and add money as soon as you get paid, before you pay bills or do anything else.
You can also create an automatic savings plan feature where you can set up regular transfers from other bank accounts. Set it and forget it. You’ll be amazed at how quickly the money grows.
2. Contribute to a retirement plan. There is no time like the present to plan for the future. If your employer offers a pension plan, you should be participating. If there is a company match, invest at least that much yourself.
3. Spend less on food. January is a good time to scrutinize your budget and see where the money goes. Aside from housing, food and fuel take the biggest bites out of monthly spending. A great place to trim the fat is by switching to a cheaper grocery store or shopping at multiple stores for sale items. While there, keep an eye out for deeply discounted manager specials (stocked on the top shelf ) that will soon expire.
4. Trim energy bills. Replace incandescent light bulbs with efficient LED bulbs. Replacing just four 60-watt bulbs with LEDs will net you $29 in savings a year. Imagine what you’ll save by replacing all those old bulbs. Install a smart thermostat to save $50 a year. Turn off ceiling fans when leaving the room to save $85 a year, and use cold water to wash clothes to net another $30.
5. Read a personal finance book. “The Total Money Makeover” by David Ramsey tells how to take control of your spending habits so you can maximize retirement investing, pay off credit card debt and build wealth. Another is the oldie but goody “Think and Grow Rich” by Napoleon Hill. Published in 1937, the author based his advice on interviews with Andrew Carnegie, Henry Ford, Thomas Edison and John D. Rockefeller, among other successful industrialists.
6. Cut the cable or satellite cord. This is a no-brainer. By making a small investment in a streaming device and cheap antenna, you’ll be on your way to saving $1,200 or more a year. .If you’re not ready for that step, then call your cable or satellite company and negotiate a lower rate by threatening to cancel. It works.