Sunday, September 2, 2012

How to Save Money Effectively – Things You Must Know

saving and spendingsaving and spending (Photo credit: 401(K) 2012)It doesn’t really matter how much fortune you own, the ability to save is always an important one to have. Even if you are filthy rich, your fortune will slowly melt away if the only thing you do is spend away on things that you will probably not even use. For normal households with a limited budget, saving up is also important because they must think their funds smartly in order to have enough to live a decent life as well as educate their children and have a security fund for their future.

The first and most obvious way of saving would be to always watch what you buy. Buying unnecessary objects or commodities that may not be used and stay on a drawer collecting dust is not a way of saving, but instead is a way of throwing money out the window. Think your more important purchases and only buy what you need or what you know you will use.

Another money saving tip is always keeping an eye open for sales. Anywhere from supermarkets and designer shoe stores to corner shops, there will eventually be a sale. Taking a look on the supermarket catalogues now and then will keep you up-to-date with the best buys. If you see a sale on an article that you think you are spending too much on, go ahead and stock up! If you saw a piece of clothing that you think is too expensive but that you really want, you may want to keep an eye out for any price cuts that may occur on the said clothes, or even look for something similar at a lower price. Seasonal sales are also the place to be. Even if the saving is only a few cents, they will slowly add up to noticeable amounts. Try writing down your savings and you will see that in a few months your savings will go up to an impressive level.

On a side note, try looking for the “buy x, get one free” sort of sale rather than the “x%” off type of one, since the latter tend to be more of a bargain. However, the second ones are not to be underestimated either, since they still mean that you’re saving on an item that you would’ve otherwise paid more for.

Before buying something, make sure you look around. There is fierce competition between stores selling the same articles, and most of the time one of them will try to attract customers by lowering prices in comparison with the stores they are in competition with. This is an opportunity for you to get a better price on just about anything, so make sure you check the prices for the things you want to buy in several places before making a larger purchase. This is at the basics an advanced method of walking around the market looking for the best price throughout the dozens of stands. Again, supermarket catalogues are your best friends since you probably won’t like to go inside two or even more supermarkets to check the prices yourself.

Always remember to deposit your savings and not only in a bank so they pick up interest. This is arguably the easiest way of saving. You simply put your money somewhere safe and let it rest. When you will take the deposit back, it will have produced a small interest which is all yours to spend. If you’re speaking about a long-term deposit such as a college fund, the interest will be far more noticeable. Once again, check the competition for the best interest rates, as banks are just as bitter in competition as the stores we have described.

Buying items second-use may also be a way to save money. If you require car parts, that doesn’t necessarily mean that you have to pay the car company exorbitant prices for a single, new part. If you’re talking a normal car and not an old classic you will most likely find such parts in specialized stores or online. The second-user method also applies to many other objects such as clothing and furniture, so keep your eyes open and your brain thinking.

Follow these simple money saving tips and you will notice that your savings will slowly add up.

This is a guest post from Lewis Hooker, Who is an Internet marketer and SEO specialist. He currently works with debt relief organizations. You can find him at gtalk : LewisHookerOnline

No comments:

Post a Comment

Join 1000's of People Following 50 Plus Finance
Real Time Web Analytics