7 Money Saving Tips that Actually Don't Pay
7 Money Saving Tips that Actually Don't Pay
By Reader's Digest Magazine | Work + Money – 12 hours ago
1. Getting suckered into buy-one-get-one (BOGO) deals. BOGO, when it's
genuine, is hard to resist. but even then, whether it's BOGO free or
BOGO half price, you have to stop and ask yourself, Would I really have
bought this much of this item at this price anyway? If you're shopping
for jam and see BOGO free on jam, that's probably a great time to stock
up. But if you're looking for a new pair of sneakers and see BOGO half
off, stop and think. You went out looking to spend $60 on sneakers. Now
you're spending about $100 after taxes. Did you even want two pairs?
Will you wear them both? Do you even like the second pair?
PLUS: 13 secrets to stop wasting cash now >>
2. Building an emergency fund but not contributing to a retirement plan.
It's essential these days to have an emergency fund. Financial experts
say you need six months' to one year's worth of expenses. But experts
also agree that you need to look after your financial future. If you're
squirreling money away into an emergency fund or savings account but not
putting money into a 401(k), IRA or other long-term plan, you're not
preparing for something you know is coming: old age. And with compound
interest being what it is, every day you put it off is dollars wasted.
If your employer has a 401(k) match, that's additional money you are
throwing away.
When it comes to saving, the simpler, the better. And what could be
simpler than "The $5 Savings Plan," i.e. stashing every $5 bill that
comes your way? It's a surprisingly effective way to put some money
aside. A Boston Globe writer who stuck with the plan saved $12,000 in
three years. That's a lot of Lincolns. (Source: lifehacker.com, mommysavers.com)
PLUS: 6 Oddball money making tips >>
3. Always choosing the cheapest price tag. I've said it before, I'll say
it again-buy cheap, buy twice. If you buy a screwdriver set for $1 at a
dollar store, or get your shoes for a few bucks at a flea market stall,
chances are you'll be buying them again real soon. Cheaply made,
poor-quality items may save you a few bucks in the short term, but
you'll only have to pay more later to replace them. And if you replace
them with more cheap junk, you'll be repeating the cycle. The only time
this is not true is when you're buying generic brands in the grocery
store-you're often getting the same product that's in the brand-name
packaging.
4. Taking store credit card offers for discounts but paying the minimum.
That 30 percent off is a good deal, if you actually pay off the balance
in full right away. Sadly, many people find it way too easy to pay the
much smaller minimum payment. Before long, you're paying the minimum
every month and adding more to the store card, and you're suddenly a
credit card revolver who is paying hefty interest charges.
5. Putting no money in the parking meter because "I'll be back quick!"
You may be a world-class speedy shopper or errand runner, but everyone's
luck runs out sometime. Chances are you'll eventually get a ticket,
which can run you anywhere from $10 to $65, depending on where you live.
So go ahead, spend a quarter.
PLUS: 13 weird tricks to clean your car >>
6. Buying food in bulk and throwing half of it away. When you see a
whole bunch of bananas on sale for less than half the regular price, you
grab them. Then you watch them turn black because you bought too many.
While buying in bulk is good for lots of things, be careful when buying
perishables. It's not a bargain if you throw them away.
7. Avoiding regular visits to the dentist. It's something I did in
college when money was tight. Well, after skipping regular cleanings and
check-ups for a few years, I needed a bunch of costly fillings. Now I
have a dental plan that covers free check-ups twice a year, but even if
you don't, get to the dentist. It's a lot better to pay for an office
visit now than to pay for major work later. -by Paul Michael
#7 fits me too....but not because I'm trying to avoid paying for a visit. I get very anxious when I'm in a dentist's chair, almost to the point of panic attacks. Lucky for me I have good teeth!
I tend to disagree with this one:
6. Buying food in bulk and throwing half of it away. When you see a whole bunch of bananas on sale for less than half the regular price, you grab them. Then you watch them turn black because you bought too many. While buying in bulk is good for lots of things, be careful when buying perishables. It's not a bargain if you throw them away.
I have to say that careful planning will allow you to use those perishables. Just about anything can be thrown in the freezer for later use.
Quoting michiganmom116:I tend to disagree with this one:
6. Buying food in bulk and throwing half of it away. When you see a
whole bunch of bananas on sale for less than half the regular price, you
grab them. Then you watch them turn black because you bought too many.
While buying in bulk is good for lots of things, be careful when buying
perishables. It's not a bargain if you throw them away.I have to say that careful planning will allow you to use those perishables. Just about anything can be thrown in the freezer for later use.
52 Week Money Saving Challenge (Week 20)
- michiganmom116
on Jun. 20, 2012 at 10:39 PM