Special to the Financial Independence Hub
With a new year come new resolutions and new hopes. You hope to have a better life by maintaining good health, having emotional stability and making yourself stronger financially. All these tasks are achievable, provided that you have proper guidance and will power.
To end up with a lot of savings at the end of the year is no easy feat. Anyone faced with loans, taxes, and insurance payments would want to save some money at the end of the year. There are a few steps that can be taken to maximize your savings and lead you to a better retirement plan than now.
If you have purchased a new car, it is worth having insurance against theft and accidents. But if your car has been in your possession for more than a 7-year period, it is better that you let go of that insurance. As the price of your car has already declined precipitously, it is no use insuring something that costs so much less. Your insurance will only add to the unwanted expenses since you could have most parts of it repaired for a lot less.
Food is the basic necessity of every human. Studies have found that people in America spend at least an average of $151 on food in a week. Eating at home is far more economical and healthier than eating out. To contain your food budget, allot yourself a fixed amount for every week and see if you can manage within the budget. If you are still left with enough money, indulge yourself in eating out. Moreover, to save on your grocery purchases, you can buy in bulk from a supermarket, which can save you money. Be sure to buy only those items that you use excessively and have a long shelf life. Plan your shopping on the days the store is known to give discounts.
The monthly energy bill varies for every household, but there is one thing in common: it goes higher in the coolest or warmest months. To minimize this cost you can use old-school methods. Having a low-flow shower may help you decrease your cost for running and heating excess water. You can start doing all the repairs in the parts of the house that have cracks. This simple method can save up to 10% of your heating/cooling bill. You can also unplug appliances that you are not using, which still conduct electricity, despite being in hibernation mode. You can also use lighting that is more cost efficient in the form of LED bulbs and lights.
Shopping on sale
You don’t always have to have the latest clothes and accessories from an outlet. Wait for the season sales to obtain the best benefits. To make the best of this opportunity, you can shop for upcoming holidays or birthdays from that particular sale. It’s wiser to shop on online stores, as they are less time consuming and more convenient. Many online stores will give you a discount on various occasions, and your credit card may provide a discount for particular stores. If you are looking for promotional supplies in bulk, online stores tend to give you a discounted price on that.
There are multiple ways that you can save money. Remember, every little effort counts and when you save little by little it can accumulate to a lot by the end of the year. Be careful in your expenses and always plan your costs for the week. It can help you stay in touch with your savings and finances.
Barney Whistance is a Finance and Economics blogger interested in the global economic climate. Apart from majoring in Finance, he is a Chartered Accountancy Student and planning to complete his Ph.D. in Finance before he turns 30. For more updates follow him on Twitter @barneywhistanc1