The common example of winter weight; for a thousand reasons (for me, cold mornings and the existence of pie), we tend to put on a couple of kilos over winter. The same is true of our finances. While we might have less events to attend than summer, which can improve our budget, we might also find ourselves not sticking to savings goals as closely, spending money a bit impulsively, procrastinating. So, caught in one of those moods, I checked out ways to change the story and get back in the groove. Here are 4 strategies I found, to get us back on the financial track.
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Tuesday, August 28, 2012
4 Strategies To Change Your Personal Finances & Thinking
I’m not entirely sure about how people in Scandinavian countries deal
with winter. Here in Australia, our relatively temperate winter (which
has included, I note, quite a few sunny days) is starting to drag on a
lot of people I know. The cold, the clouds- it can make sticking to the
chosen path trickier. Of course, this doesn’t mean everyone but for a
lot of people- myself included- it’s a bit harder to get things done
when it’s cold outside.
The common example of winter weight; for a thousand reasons (for me, cold mornings and the existence of pie), we tend to put on a couple of kilos over winter. The same is true of our finances. While we might have less events to attend than summer, which can improve our budget, we might also find ourselves not sticking to savings goals as closely, spending money a bit impulsively, procrastinating. So, caught in one of those moods, I checked out ways to change the story and get back in the groove. Here are 4 strategies I found, to get us back on the financial track.
The common example of winter weight; for a thousand reasons (for me, cold mornings and the existence of pie), we tend to put on a couple of kilos over winter. The same is true of our finances. While we might have less events to attend than summer, which can improve our budget, we might also find ourselves not sticking to savings goals as closely, spending money a bit impulsively, procrastinating. So, caught in one of those moods, I checked out ways to change the story and get back in the groove. Here are 4 strategies I found, to get us back on the financial track.
3 Ways To Save More Money
Nicole Pederson-McKinnon, at the Sydney Morning Herald, is a great
writer and a sound financial advisor. This week she wrote about the
saving mistakes many of us are making, and how eliminating them would
provide us with extra savings. It was a great read, and one I found
incredibly accurate. Here are her suggestions, with my thoughts on how
to use them to our savings advantage.
As mentioned in the article, it’s also crucial to consider whether your money is parked in the right place. I only recently re-checked the interest on my current saving account to find it was 3.5%. Ten minutes later, and I had the money parked with another account with the same bank and earning 6%. It’s very easy at the moment to take advantage of bank competition and earn some better interest.
Firstly, consolidate your debt and then look at a balance transfer to give you some space. If you have an emergency fund, look at a rate you can sustainably live on and put everything else towards the card. I moved home to get rid of my credit card debt- a tough year but one I will never, ever regret. Do whatever it takes, your long-term finances will thank you for it.
Pay Off Debt
It’s a big debate in personal finance circles- do you save or pay off debt first? Do you do both at once? What’s more important, an emergency fund or a couple of thousand of your credit card? Nicole P-M opts for the pay down debt approach, suggesting that the savings you will make from avoiding interest far outweigh the amount you will earn on your savings, though she agrees an emergency fund is a must. Personally, I think an emergency fund is the first port of call, urgently followed by paying of credit card debt. Once that is done, I think a strategy of saving and paying off asset debt simultaneously is positive, though a lot of people prefer to be without any debt whatsoever.Cut The Fees
Overdrawing fees, bank fees, late fees and ATM fees. They cost a significant amount of money and we pay them without blinking. A couple of steps work here. Firstly, always organise your day so you enough time to get to your bank and not have to use another ATM. Sit down and work out what fees you are paying, and whether you should consider consolidating some accounts. Remember, fees eat away at the interest you are earning, as does inflation. You might be sitting on 6% interest, but what are you sitting on in actual terms.As mentioned in the article, it’s also crucial to consider whether your money is parked in the right place. I only recently re-checked the interest on my current saving account to find it was 3.5%. Ten minutes later, and I had the money parked with another account with the same bank and earning 6%. It’s very easy at the moment to take advantage of bank competition and earn some better interest.
The Bare Minimum
If you’re reading this, then chances are you’re fairly interested in personal finance and by now are well aware that paying off your credit card at the minimum repayment rate is not a sound payment strategy. But it has recently become legally binding that lenders show exactly how long it will take should you pay at minimum rate, and often it’s around half a century. The interest you will pay over that time is often enough to cover the initial debt a couple of time over.Firstly, consolidate your debt and then look at a balance transfer to give you some space. If you have an emergency fund, look at a rate you can sustainably live on and put everything else towards the card. I moved home to get rid of my credit card debt- a tough year but one I will never, ever regret. Do whatever it takes, your long-term finances will thank you for it.
How To Save Money Around The House
Saving money around the house is one of those things
that anyone can do. It’s about creating a ‘tighter ship’ and looking
for quick wins to reduce your cost of living. The reason I love saving
money around the house is because a couple of hours work can save you
thousands over the course of one year.
So whether you are a stay at home mum or dad, someone who works full time or someone looking to move out – here are the best ways to save money around the house and create a financially sound home setup.
I am very guilty of this and end up buying the best of the best when it comes to home phone and internet, yet the reality is that each month I barely come close to using it.
So whether you are a stay at home mum or dad, someone who works full time or someone looking to move out – here are the best ways to save money around the house and create a financially sound home setup.
One week on, one week off
This is a little strategy I have put into place for myself. One week I will spend money on things I need, be it food, drink & going out – the following week I become a scrooge. I try and use only food items I already have (like canned goods) and find ways to not spend any money. If I do this for one year, it means 26 weeks of the year I am reducing my spending and looking to economise my cash flow. Great little tip to keep you motivated but still well rounded when it comes to spending.Food wastage
Learn to manage your home inventory better. Understand how much you eat and where the leaks occur in terms of food wastage. If you go out every Saturday for dinner, why are you buying 7 meals a week in the grocery shop? Look to understand your lifestyle and think about whether or not you are wasting food. For years I bought too many bananas, I knew I liked them but never got a chance to eat them all – what’s the point of that? It’s money down the drain.Paying other people to do stuff
All too often we get a little generous with our money. We start to pay people to clean our house or mow our lawns when times are good. Look to find ways to always do it yourself (except when it comes to tiling the roof, tried that, hurt myself). Aim to go one year without paying someone to do something for your household – e.g. fix the fence yourself, become a bit of a handy man/woman.Leaving lights on
As a kid my dad would always go up me for leaving the lights on. I now know why, it’s a complete waste of money. Every second you have a light on you are paying for it – so why leave it on for a 9 hour work day when you aren’t even at home? Make it a game and look to always turn a light off after you leave a room. Better yet, do you always need a light on when you enter a room? Open the curtains etc.Over committing to contracts
In the ups and downs of life we fail to realise just how many contracts we sign up to. Home phones, broadband, mobiles, Foxtel and more. Look to stop over committing to these outgoing expenses. Could you cancel pay TV for a year and save the money instead? Perhaps you could reduce your broadband plan that you never fully use.I am very guilty of this and end up buying the best of the best when it comes to home phone and internet, yet the reality is that each month I barely come close to using it.
Use a clothes line, avoid the dryer
Dryers use a heap of energy and in turn can sky rocket your electricity bill. Look to dry everything on racks or clothes lines for a complete year and watch the savings roll in. We use our guest bedroom as a Chinese laundry – things are hanging everywhere and don’t look pretty but it means that rain, hail or shine we have a place to dry our clothes.Stop buying brand name cleaning agents
I swapped the big brand names like ‘Mr Muscle’ and ‘Domestos’ for ALDI versions. The savings are beyond exciting. They do the exact same thing and cost me nearly an eighth of the original products.Shower for a maximum of two minutes
If everyone in your household decided to take quick showers, the savings would accumulate quickly. I can’t remember the number of litres that come out of a shower head per minute, but the figure is staggering. Also look to install water saving shower heads and tap fitting – these devices can restrict water flow to ensure you meet certain money saving criteria.What are some better ways to save money around the house?
Tell us your tips below in the comments section. This list is just the tip of the iceberg, we want to hear from you!Financial Lessons From The Top 1%
lot of us have no inclination to be numbered among the very wealthy.
I’m not saying I wouldn’t like a bit of extra money to throw into an
expensive pair of heels, or not have to eat in for six months in order
to go overseas.That must be enjoyable. Yet I can’t imagine ever wanting
to deal with debtexposure that can run into the millions, or running a
company of thousands ofpeople.
Yet, even if we don’t want to be numbered among the fabulously rich, I think most of us want to be secure in our finances, confident in our financial ability to live a comfortable retirement and able to provide for those closest to us. And in order to do that, there are some lessons we could pick up from the ultra-wealthy. Inspired by an article on Sydney Morning Herald.
Frugality isn’t something they adopt, it’s a cornerstone element of their personality. The article on the Herald suggests the wealthy always ask for discounts and try avoid paying retail. It’s one hundred percent true. The amount of times I’ve been asked for cheaper prices by the wealthy outnumbers any other demographic about 100 to one. Another characteristic is a strong belief in property. It might look like traders make a motza but long-term wealth often seems to be based in owning the roof over your head and using the equityto increase your wealth.
They’re not people to swipe a card every time they pick up milk at the supermarket and never know the price- they’ll be able to tell you down to the last cent.
Being able to turn any situation to your advantage is imperative, even the negative ones. Learning from previous mistakes, drawing value from a wrong decision, persevering despite the naysayers because you believe in it enough- they are all attributes shared by the super rich and the super successful.
Yet, even if we don’t want to be numbered among the fabulously rich, I think most of us want to be secure in our finances, confident in our financial ability to live a comfortable retirement and able to provide for those closest to us. And in order to do that, there are some lessons we could pick up from the ultra-wealthy. Inspired by an article on Sydney Morning Herald.
Thrift Is In
Do you know any really wealthy people? I only know a couple, but I have worked in customer service long enough to know this. People who are truly wealthy know the value of every dollar. They’re never the ones giving massive tips or spending impulsively; they become wealthy because they know the value of money, and ensure they keep tight control of it.Frugality isn’t something they adopt, it’s a cornerstone element of their personality. The article on the Herald suggests the wealthy always ask for discounts and try avoid paying retail. It’s one hundred percent true. The amount of times I’ve been asked for cheaper prices by the wealthy outnumbers any other demographic about 100 to one. Another characteristic is a strong belief in property. It might look like traders make a motza but long-term wealth often seems to be based in owning the roof over your head and using the equityto increase your wealth.
They Work Hard
How many people do you know who inherited massive amounts of wealth andnever did anything with it, just spent it and lived a life of luxury. We’ve all heard of them, but I’ve never met one. The wealthy people I know get up early,work ten and twelve hour days, and then spend nights networking and gladhanding. A successful person has an intrinsic work ethic, a capacity to push themselves and a detailed plan to achieve goals. Interestingly, experts suggest the super wealthy are also very aware of actual cost-of-living expenses.They’re not people to swipe a card every time they pick up milk at the supermarket and never know the price- they’ll be able to tell you down to the last cent.
Use The Best Of What’s Around
Opportunities, people, money- the rich are incredibly adept at capitalising on everything around them. You might think that’s only about who you know-and yes, networking is an essential skill- but it’s also about using a loan to invest in your own business if it makes sound financial sense, or asking and accepting help from a mentor when you’re just starting up.Being able to turn any situation to your advantage is imperative, even the negative ones. Learning from previous mistakes, drawing value from a wrong decision, persevering despite the naysayers because you believe in it enough- they are all attributes shared by the super rich and the super successful.
Saving money part 8
44. Take up a money-saving hobby
Hobbies not only open your mind to new experiences but they also take up your time - important if you would otherwise spend it in the pub drinking away your hard-earned money. If a painting takes 20 hours to complete, and you normally get through a pint an hour. That's a saving of a least 40 quid a picture. Think about it. Get painting. Go fishing.
Saving: £100+
45. Avoid the payment protection racket
Banks and other lenders are selling expensive insurance policies to cover loan repayments to people who don't need it. Don't be a victim of the hard-sell.
Saving: £100
46. Avoid extended warranties
Electrical goods are more reliable than ever. If your new radio won't last three years perhaps it's not worth buying in the first place. Think about it: how many times has your fridge broken down in the last five years? And do you really need the hassle of claiming for repairs to a £15 toaster?
Saving: £100
Link: Read our guide to extended warranties
47. Shop online
The internet is gradually taking over. Online grocery shopping is getting better all the time and there are plenty of comparison websites to help find the best prices for bigger items. Give it a try, unless of course you like fighting your way through supermarket crowds.
Saving: Your sanity
Links: Online grocery service rated; PriceRunner - price comparison site
48. The Citizen's Advice Bureau is your friend
If your debts are out of control please seek help immediately from your local CAB - their advisers can help you work out a sensible strategy to get you back on your feet.
Saving: It could save your life
Link: Find your local CAB
49. Have I missed any money-saving ideas?
You can now add your comments to the Money Saving Overflow
Link: Find out more at 50 more ways to save money
50. Save this article or send it to a friend
Use the links at the bottom of the page to send these money-saving tips to a friend or save it for yourself for later.
Hobbies not only open your mind to new experiences but they also take up your time - important if you would otherwise spend it in the pub drinking away your hard-earned money. If a painting takes 20 hours to complete, and you normally get through a pint an hour. That's a saving of a least 40 quid a picture. Think about it. Get painting. Go fishing.
Saving: £100+
45. Avoid the payment protection racket
Banks and other lenders are selling expensive insurance policies to cover loan repayments to people who don't need it. Don't be a victim of the hard-sell.
Saving: £100
46. Avoid extended warranties
Electrical goods are more reliable than ever. If your new radio won't last three years perhaps it's not worth buying in the first place. Think about it: how many times has your fridge broken down in the last five years? And do you really need the hassle of claiming for repairs to a £15 toaster?
Saving: £100
Link: Read our guide to extended warranties
47. Shop online
The internet is gradually taking over. Online grocery shopping is getting better all the time and there are plenty of comparison websites to help find the best prices for bigger items. Give it a try, unless of course you like fighting your way through supermarket crowds.
Saving: Your sanity
Links: Online grocery service rated; PriceRunner - price comparison site
48. The Citizen's Advice Bureau is your friend
If your debts are out of control please seek help immediately from your local CAB - their advisers can help you work out a sensible strategy to get you back on your feet.
Saving: It could save your life
Link: Find your local CAB
49. Have I missed any money-saving ideas?
You can now add your comments to the Money Saving Overflow
Link: Find out more at 50 more ways to save money
50. Save this article or send it to a friend
Use the links at the bottom of the page to send these money-saving tips to a friend or save it for yourself for later.
Saving money part 7
38. The National Lottery - it won't be you!
The odds of winning the Lotto jackpot are stacked 14m to 1 against each ticket. Some highly organised syndicates buy 14,000 tickets a week, which reduces the odds to 1,000 to 1 - but that's no guarantee of a win. For the rest of us, the difference to the odds between buying, say, 10 tickets and one is so insignificant that you should limit yourself to the one and save the extra money in a Cash mini Isa.
Saving: £100
Link: Are you sitting on a winning ticket?
39. Use your Isa allowances
If you're not already aware, you can save up to £3,000 a year in a tax-free savings account called an Isa (for the more financially savvy there's also a stocks and shares Isa). It means you don't pay any tax on the interest accrued so, if you have spare cash in your current account, this is the difference between earning next to no interest and up to £150 a year.
Saving: £100+
Link: Best Isa rates
40. Claim your benefits and tax credits
There was once a certain stigma in Britain attached to claiming benefits. Well, not any more. The Government has put benefits at the heart of the family budget and it's your money so make sure you're claiming it. That includes Child Benefit, Working Tax Credit, Child Tax Credit and other employee-related tax benefits.
Saving: £100s
Link: Confused? Ask a This is Money Expert
41. How saving £50 a month now can save you £120 next year
Do you pay your insurance premiums by monthly instalments? If you do, then consider this: you are probably being charged a premium of between 15% and 20% for the privilege. In other words, if your home and car insurance bill for the year is £600, you're paying up to £120 a year in interest by paying monthly. If you are in a position this year to save up for next year's premiums in advance, you can save money by paying the whole lot in one go.
Saving: £100+
Link: This is Money's best savings rates
42. Do you need all those TV channels?
Britain is switching to digital-only television and time is running out for you to choose your new digital TV provider. The choice is already bewildering and with telephone-based services now being launched it's going to get more complicated. Packages range from full the monty, including every sports and movie channel costing around £50 a month, down to Freeview, which is free. Choose wisely.
Saving: £100+
43. Bin the ready meals
If TV chefs such as Ainsley Harriott can knock up a meal from a bag of random groceries including an aubergine and a packet of sultanas - so can you. Ready meals may be convenient, but preparing your own food saves money. A visit to your library will reveal scores of books dedicated to cooking proper meals in minutes.
Saving: £100+
Read more: http://www.thisismoney.co.uk/money/bills/article-1591904/50-ways-save-money-.html#ixzz24qbiTLr3
The odds of winning the Lotto jackpot are stacked 14m to 1 against each ticket. Some highly organised syndicates buy 14,000 tickets a week, which reduces the odds to 1,000 to 1 - but that's no guarantee of a win. For the rest of us, the difference to the odds between buying, say, 10 tickets and one is so insignificant that you should limit yourself to the one and save the extra money in a Cash mini Isa.
Saving: £100
Link: Are you sitting on a winning ticket?
39. Use your Isa allowances
If you're not already aware, you can save up to £3,000 a year in a tax-free savings account called an Isa (for the more financially savvy there's also a stocks and shares Isa). It means you don't pay any tax on the interest accrued so, if you have spare cash in your current account, this is the difference between earning next to no interest and up to £150 a year.
Saving: £100+
Link: Best Isa rates
40. Claim your benefits and tax credits
There was once a certain stigma in Britain attached to claiming benefits. Well, not any more. The Government has put benefits at the heart of the family budget and it's your money so make sure you're claiming it. That includes Child Benefit, Working Tax Credit, Child Tax Credit and other employee-related tax benefits.
Saving: £100s
Link: Confused? Ask a This is Money Expert
41. How saving £50 a month now can save you £120 next year
Do you pay your insurance premiums by monthly instalments? If you do, then consider this: you are probably being charged a premium of between 15% and 20% for the privilege. In other words, if your home and car insurance bill for the year is £600, you're paying up to £120 a year in interest by paying monthly. If you are in a position this year to save up for next year's premiums in advance, you can save money by paying the whole lot in one go.
Saving: £100+
Link: This is Money's best savings rates
42. Do you need all those TV channels?
Britain is switching to digital-only television and time is running out for you to choose your new digital TV provider. The choice is already bewildering and with telephone-based services now being launched it's going to get more complicated. Packages range from full the monty, including every sports and movie channel costing around £50 a month, down to Freeview, which is free. Choose wisely.
Saving: £100+
43. Bin the ready meals
If TV chefs such as Ainsley Harriott can knock up a meal from a bag of random groceries including an aubergine and a packet of sultanas - so can you. Ready meals may be convenient, but preparing your own food saves money. A visit to your library will reveal scores of books dedicated to cooking proper meals in minutes.
Saving: £100+
Read more: http://www.thisismoney.co.uk/money/bills/article-1591904/50-ways-save-money-.html#ixzz24qbiTLr3
Saving money part 6
32. Cancel your gym membership
If you pay your £40 a month by direct debit and you use the gym three times a week, great. If not, cancel your membership immediately. You'll soon save enough to buy your own bike and, if you're so inclined, a rowing machine. Consider running home from work three times a week. It's free.
Saving: £100s
Link: Compare prices for rowing machines on Kelkoo
33. Use your library
The local library is a mecca for the money saver. You'll never need to buy another cookbook, guidebook or lifestyle manual again and if you can bear to wait a few weeks in the queue for the latest blockbuster, you never need to buy books again. CDs and videos are great value too.
Saving: £100
Link: www.whichbook.net - find a book and check if it's available at your local library
34. The three-for-two trick
Now, there's a lot to be said for buy-one-get-one-free deals, especially if they pass the 'Do I really need this?' test. Then there's three-for-twos; a particularly cynical way of stores to entice shoppers to buy an extra item they would not otherwise buy. The 'offer' is always priced into the deal so do your sums and shop around.
Saving: It's a principle at stake here
Link: Discuss deals and scams with other readers
35. Buy clothes and presents in the sales
So you need a new suit and the one you like comes in at a cool £300. Wait! The chances are that you can pick it up in the sale - and there's always a sale just around the corner - for £150. The same applies for birthday and Christmas presents. Buy in bulk in the sales and you not only save money, but you enjoy stress-free pre-Christmases and no last-minute birthday worries.
Saving: £100s
37. The Christmas lottery
Instead of trying to buy a present for every relative in your family, consider getting together beforehand and picking one name from the hat. You then buy one thoughtful gift for that one person rather than attempting to please everyone at considerable cost. Everyone gets a present, everyone saves money.
Saving: £100
If you pay your £40 a month by direct debit and you use the gym three times a week, great. If not, cancel your membership immediately. You'll soon save enough to buy your own bike and, if you're so inclined, a rowing machine. Consider running home from work three times a week. It's free.
Saving: £100s
Link: Compare prices for rowing machines on Kelkoo
33. Use your library
The local library is a mecca for the money saver. You'll never need to buy another cookbook, guidebook or lifestyle manual again and if you can bear to wait a few weeks in the queue for the latest blockbuster, you never need to buy books again. CDs and videos are great value too.
Saving: £100
Link: www.whichbook.net - find a book and check if it's available at your local library
34. The three-for-two trick
Now, there's a lot to be said for buy-one-get-one-free deals, especially if they pass the 'Do I really need this?' test. Then there's three-for-twos; a particularly cynical way of stores to entice shoppers to buy an extra item they would not otherwise buy. The 'offer' is always priced into the deal so do your sums and shop around.
Saving: It's a principle at stake here
Link: Discuss deals and scams with other readers
35. Buy clothes and presents in the sales
So you need a new suit and the one you like comes in at a cool £300. Wait! The chances are that you can pick it up in the sale - and there's always a sale just around the corner - for £150. The same applies for birthday and Christmas presents. Buy in bulk in the sales and you not only save money, but you enjoy stress-free pre-Christmases and no last-minute birthday worries.
Saving: £100s
37. The Christmas lottery
Instead of trying to buy a present for every relative in your family, consider getting together beforehand and picking one name from the hat. You then buy one thoughtful gift for that one person rather than attempting to please everyone at considerable cost. Everyone gets a present, everyone saves money.
Saving: £100
Saving money part 5
26. Trade down your car
So, you bought an American sports utility vehicle (SUV) that nets 15 miles to the gallon on a whim. Obviously we're all very impressed - especially by the personalised number plate. But can you honestly justify the ongoing expense? If not, get rid of it. Then visit a car supermarket, where you can choose from thousands of cars at knock-down prices. If you're a true money saver, consider an ex-rental model which you can pick up for a fraction of the cost of a new one.
Saving: £1,000s
Links: Daily Mail find a car service; Cargiant
27. Ask yourself: do I really need this?
Imagine the scenario. It's lunchtime and you've got an hour to kill. You find yourself in a department store and there's a sale on. You pick up a beautifully packaged selection of barbecue tools and associated garden paraphernalia. And it's half price. Now, stop! Ask yourself: Do I really need this? Exactly. Now, put it down and walk away.
Saving: £100
Link: This is Money's money savers' guides
28. Walk/cycle to the station/work
It maybe a bit of hippie notion to many people but it's free.
Saving: £100
Link: Cycle Campaign Network
29. Get off the station before your usual stop and walk
We may be creatures of habit but isn't it worth tinkering with the routine if it's costing more than £50 a month in unnecessary fares?
Saving: £100
Link: Living Streets
30. Cut down your drinking
A few beers after work a few nights a week is a financially debilitating state of affairs. Set limits and stick to them.
Saving: £100s
Link: Calculator: Pleasures v treasures
31. Pack up smoking
Never mind the health implications, the guilt and the smell, your 20-a-day habit is costing you nearly £2,000 a year. Pack it in.
Saving: Nearly £2,000
Link: Givingupsmoking.co.uk
So, you bought an American sports utility vehicle (SUV) that nets 15 miles to the gallon on a whim. Obviously we're all very impressed - especially by the personalised number plate. But can you honestly justify the ongoing expense? If not, get rid of it. Then visit a car supermarket, where you can choose from thousands of cars at knock-down prices. If you're a true money saver, consider an ex-rental model which you can pick up for a fraction of the cost of a new one.
Saving: £1,000s
Links: Daily Mail find a car service; Cargiant
27. Ask yourself: do I really need this?
Imagine the scenario. It's lunchtime and you've got an hour to kill. You find yourself in a department store and there's a sale on. You pick up a beautifully packaged selection of barbecue tools and associated garden paraphernalia. And it's half price. Now, stop! Ask yourself: Do I really need this? Exactly. Now, put it down and walk away.
Saving: £100
Link: This is Money's money savers' guides
28. Walk/cycle to the station/work
It maybe a bit of hippie notion to many people but it's free.
Saving: £100
Link: Cycle Campaign Network
29. Get off the station before your usual stop and walk
We may be creatures of habit but isn't it worth tinkering with the routine if it's costing more than £50 a month in unnecessary fares?
Saving: £100
Link: Living Streets
30. Cut down your drinking
A few beers after work a few nights a week is a financially debilitating state of affairs. Set limits and stick to them.
Saving: £100s
Link: Calculator: Pleasures v treasures
31. Pack up smoking
Never mind the health implications, the guilt and the smell, your 20-a-day habit is costing you nearly £2,000 a year. Pack it in.
Saving: Nearly £2,000
Link: Givingupsmoking.co.uk
Saving money part 4
19. Book your own 'package' holiday online
The popularity of High Street travel agents is waning as more and more people warm to the benefits of researching and putting together their own holidays on the internet. If your holiday consists of flights, accommodation, transfers and possibly car hire, then take this test. Order a brochure from a leading holiday company and work out the price of your holiday including all the complicated supplements. Now go online and, starting with the flights, try to put the same package together.
Saving: £100+
Links: This is flights, HotelClub.co.uk, Shuttle Direct, Holiday Autos
20. Learn to say 'no'
It's easy to capitulate to the demands of a screaming child in a packed Woolworths on a Saturday afternoon. But don't do it. Similarly, how often does a 'swift half' after work turn into a £40 drinking session? Saying 'no' a few times a year will do wonders for your bank account.
Saving: £100
23. Don't pay full price for theatre or theme park tickets
If you are prepared to tolerate the unwieldy website and hit-and-miss customer service, lastminute.com regularly boasts some amazing deals for London's theatres and the nation's theme parks. At the time of writing you can see top West End show The Producers plus a two-course meal for less than £20 a head, a saving of £60 per person, and tickets for Chessington World of Adventures cost from £12, a saving of nearly £50 for a day out for a family of four.
Saving: £100s
Link: www.lastminute.com
24. Beat the ticket touts
Ticket touts earn their living by getting hold of tickets that are 'otherwise unavailable'. Well, here's the news: they are available to everyone when they first go on sale. You just need to know when they go on sale. Simply sign up to for the free ticket alert newsletters from the main agents to ensure that you're first in the queue.
Saving: £100s
Links: Ticketline; Ticketmaster
25. Stop trying to keep up with the Joneses
Trying to keep up appearances is little more than a costly illness. Remember, you cannot judge someone by what they have because you don't know how they got it. Chances are they're in more debt than you are.
Saving: £1,000s
Link: This is Money's guide to getting out of debt
The popularity of High Street travel agents is waning as more and more people warm to the benefits of researching and putting together their own holidays on the internet. If your holiday consists of flights, accommodation, transfers and possibly car hire, then take this test. Order a brochure from a leading holiday company and work out the price of your holiday including all the complicated supplements. Now go online and, starting with the flights, try to put the same package together.
Saving: £100+
Links: This is flights, HotelClub.co.uk, Shuttle Direct, Holiday Autos
20. Learn to say 'no'
It's easy to capitulate to the demands of a screaming child in a packed Woolworths on a Saturday afternoon. But don't do it. Similarly, how often does a 'swift half' after work turn into a £40 drinking session? Saying 'no' a few times a year will do wonders for your bank account.
Saving: £100
23. Don't pay full price for theatre or theme park tickets
If you are prepared to tolerate the unwieldy website and hit-and-miss customer service, lastminute.com regularly boasts some amazing deals for London's theatres and the nation's theme parks. At the time of writing you can see top West End show The Producers plus a two-course meal for less than £20 a head, a saving of £60 per person, and tickets for Chessington World of Adventures cost from £12, a saving of nearly £50 for a day out for a family of four.
Saving: £100s
Link: www.lastminute.com
24. Beat the ticket touts
Ticket touts earn their living by getting hold of tickets that are 'otherwise unavailable'. Well, here's the news: they are available to everyone when they first go on sale. You just need to know when they go on sale. Simply sign up to for the free ticket alert newsletters from the main agents to ensure that you're first in the queue.
Saving: £100s
Links: Ticketline; Ticketmaster
25. Stop trying to keep up with the Joneses
Trying to keep up appearances is little more than a costly illness. Remember, you cannot judge someone by what they have because you don't know how they got it. Chances are they're in more debt than you are.
Saving: £1,000s
Link: This is Money's guide to getting out of debt
Saving money part 3
13. Do DIY
We're a nation of obsessive DIYers and for around £100 you can take a course at your local adult education college to improve the skills needed to tackle most household repairs. If the college runs plumbing courses you could soon be on track to wiping out costly call-out charges and extra insurance policies once and for all.
Saving: £100+
14. Shop around for the cheapest household insurance
Unless you drive - car insurance is mandatory - you don't need insurance. But it's strongly advisable. Can you afford to foot the bill if your house burns down? Probably not. Similarly, can you afford to pay over the odds for the same policy available elsewhere because you can't be bothered to shop around? Possibly, but it's not advisable. The internet has made finding cheaper insurance easy and you can compare hundreds of policies in minutes.
Saving: £100s
Link: This is Money's insurance finder
15. Don't automatically renew annual travel insurance
If your annual holiday insurance policy is about to expire and you don't have a holiday booked, DON'T renew the policy. You're handing your money over to cover an eventuality that won't happen. You wouldn't have car insurance if you didn't own a car. Simply restart the cover again the next time you book a trip.
Saving: £50
Link: This is Money's travel insurance finder
16. Choose cheaper breakdown insurance
The breakdown sector is dominated by big names such as the AA and RAC. But being towed home if your car breaks down is just another form of insurance like any other and there are scores of cheaper alternatives.
Saving: Up to £100 a year
Link: This is Money's breakdown insurance finder
17. Are you paying too much for your life insurance? We're living longer. As a result the cost of insuring the unthinkable is getting cheaper all the time. If you were sold a policy when you took out or mortgage you may have been under too much stress to shop around. You could be missing a trick.
Saving: £100
Link: This is Money's life insurance finder
18. Book early
Low-cost airlines have created a market in holidays for people prepared to fly to any destination provided it's cheap. You can benefit from this too. Just remember, only a few seats on each flight are sold at bargain-basement prices and once they're sold, the prices rise. So book early.
Saving: £100
Link: Skyscanner - the air fares comparison sit
Read more: http://www.thisismoney.co.uk/money/bills/article-1591904/50-ways-save-money-.html#ixzz24qbBUlYF
We're a nation of obsessive DIYers and for around £100 you can take a course at your local adult education college to improve the skills needed to tackle most household repairs. If the college runs plumbing courses you could soon be on track to wiping out costly call-out charges and extra insurance policies once and for all.
Saving: £100+
14. Shop around for the cheapest household insurance
Unless you drive - car insurance is mandatory - you don't need insurance. But it's strongly advisable. Can you afford to foot the bill if your house burns down? Probably not. Similarly, can you afford to pay over the odds for the same policy available elsewhere because you can't be bothered to shop around? Possibly, but it's not advisable. The internet has made finding cheaper insurance easy and you can compare hundreds of policies in minutes.
Saving: £100s
Link: This is Money's insurance finder
15. Don't automatically renew annual travel insurance
If your annual holiday insurance policy is about to expire and you don't have a holiday booked, DON'T renew the policy. You're handing your money over to cover an eventuality that won't happen. You wouldn't have car insurance if you didn't own a car. Simply restart the cover again the next time you book a trip.
Saving: £50
Link: This is Money's travel insurance finder
16. Choose cheaper breakdown insurance
The breakdown sector is dominated by big names such as the AA and RAC. But being towed home if your car breaks down is just another form of insurance like any other and there are scores of cheaper alternatives.
Saving: Up to £100 a year
Link: This is Money's breakdown insurance finder
17. Are you paying too much for your life insurance? We're living longer. As a result the cost of insuring the unthinkable is getting cheaper all the time. If you were sold a policy when you took out or mortgage you may have been under too much stress to shop around. You could be missing a trick.
Saving: £100
Link: This is Money's life insurance finder
18. Book early
Low-cost airlines have created a market in holidays for people prepared to fly to any destination provided it's cheap. You can benefit from this too. Just remember, only a few seats on each flight are sold at bargain-basement prices and once they're sold, the prices rise. So book early.
Saving: £100
Link: Skyscanner - the air fares comparison sit
Read more: http://www.thisismoney.co.uk/money/bills/article-1591904/50-ways-save-money-.html#ixzz24qbBUlYF
Saving money part 2
7. Make a shopping list
Food shopping forms a significant part of our monthly outgoings and the supermarket is where the bulk of the money is spent. Tesco takes £1 in every £8 spent by UK shoppers. But be warned, stores spend a small fortune studying ways of making us part with more of our money than we would otherwise intend to. Have you ever wondered why your favourite song is playing in the background as you navigate the aisles? Have you even noticed the background music? Possibly not, but you will have noticed at the checkout that the bill is often more than expected. To circumvent this, simply make a shopping list. Dig out the cookery books, plan a few meals and only buy what you need.
Saving: £10 a week = £520 a year
Link: Mysupermarket for price comparisons
8. When was the last time you went to the market?
One way to beat the supermarkets - that is, to eat healthily for less - is to use your local market stall. Lower overheads should mean lower prices. At the time of writing, cherries were on sale in Asda for £2.99 for 400g, the equivalent at the local market was going for just over £1.
Saving: £100+
9. Consider own-brand goods
You can buy a tin of Asda own-brand baked beans for 14p and a loaf bread at Asda, Tesco or Sainsbury's for 19p. Enough said.
Saving: £100
Link: Tesco, Asda, Sainsbury's
10. Don't buy designer labels
Celebrities are given expensive clothes to wear. You're not. At the end of the day, and let's face it you may only wear the outfit once, can you justify paying hundreds of pounds over the odds because a top designer has had his or her name sewn on the label? And can you honestly say you can tell the difference at a distance between a £600 designer bag and a £9.99 one from the market? Think about it.
Saving: £100s
Link: Prada - note the total lack of prices
ASOS.com offers discounted brands
11. Sell your clutter on eBay
Take this quick test: You're at home. Open a cupboard. Look inside. If it's full of clothes you haven't worn, or 'good ideas a the time' you haven't used, for, let's say, three years - you don't need them. So why not sell them to someone else who does? Ebay, the online auction house, has opened individual sellers to a world of buyers. And you can flog anything for the cost of a small commission. Tip: you may want to buy a few items first to build up your rating as a respectable eBayer before you start selling.
Income: Will depend on what's in your cupboard
Links: www.ebay.co.uk; 'I'm making money from eBay'
12. Use your talent to earn extra cash
Let's face it, if you're not a pop star by the time you reach your 20s you're never going to be. But you may be able to use your talent as a guitarist to teach other wannabes the rudiments of the 12-bar blues.
Income: It's not unreasonable to charge £20 an hour
Food shopping forms a significant part of our monthly outgoings and the supermarket is where the bulk of the money is spent. Tesco takes £1 in every £8 spent by UK shoppers. But be warned, stores spend a small fortune studying ways of making us part with more of our money than we would otherwise intend to. Have you ever wondered why your favourite song is playing in the background as you navigate the aisles? Have you even noticed the background music? Possibly not, but you will have noticed at the checkout that the bill is often more than expected. To circumvent this, simply make a shopping list. Dig out the cookery books, plan a few meals and only buy what you need.
Saving: £10 a week = £520 a year
Link: Mysupermarket for price comparisons
8. When was the last time you went to the market?
One way to beat the supermarkets - that is, to eat healthily for less - is to use your local market stall. Lower overheads should mean lower prices. At the time of writing, cherries were on sale in Asda for £2.99 for 400g, the equivalent at the local market was going for just over £1.
Saving: £100+
9. Consider own-brand goods
You can buy a tin of Asda own-brand baked beans for 14p and a loaf bread at Asda, Tesco or Sainsbury's for 19p. Enough said.
Saving: £100
Link: Tesco, Asda, Sainsbury's
10. Don't buy designer labels
Celebrities are given expensive clothes to wear. You're not. At the end of the day, and let's face it you may only wear the outfit once, can you justify paying hundreds of pounds over the odds because a top designer has had his or her name sewn on the label? And can you honestly say you can tell the difference at a distance between a £600 designer bag and a £9.99 one from the market? Think about it.
Saving: £100s
Link: Prada - note the total lack of prices
ASOS.com offers discounted brands
11. Sell your clutter on eBay
Take this quick test: You're at home. Open a cupboard. Look inside. If it's full of clothes you haven't worn, or 'good ideas a the time' you haven't used, for, let's say, three years - you don't need them. So why not sell them to someone else who does? Ebay, the online auction house, has opened individual sellers to a world of buyers. And you can flog anything for the cost of a small commission. Tip: you may want to buy a few items first to build up your rating as a respectable eBayer before you start selling.
Income: Will depend on what's in your cupboard
Links: www.ebay.co.uk; 'I'm making money from eBay'
12. Use your talent to earn extra cash
Let's face it, if you're not a pop star by the time you reach your 20s you're never going to be. But you may be able to use your talent as a guitarist to teach other wannabes the rudiments of the 12-bar blues.
Income: It's not unreasonable to charge £20 an hour
Saving money part 1
British credit card holders now owe an average of £2,200 on their
plastic and with retailers reporting a slump in sales not seen for two
decades, it is clear that shoppers are reining in their spending. In
short, it's payback time.
To clear a debt of £2,200 on a card that attracts an interest rate of around 15% will take more than two years assuming a monthly repayment of £100.
There are, however, plenty of simple ways to make significant savings on your regular spending that could clear the debt many times over in less than a year.
Here are This is Money's top 50 money-saving tips.
1. Change your attitude to your mortgage
The most expensive item you are ever likely to buy is your home. If you're not in the privileged position to pay cash, make sure the loan you use to finance it is the best available. For example, if you are paying your lender's full standard variable rate (SVR) you are probably paying hundreds of pounds a year more than you need to.
There are thousands of deals to choose from and while it is vital to check the small print for hidden catches, this is a relatively easy way to save a lot of money. Remember: loyalty to your bank benefits your bank, not you. Even better, if you can afford to make overpayments on your mortgage, you'll clear your debt several years early and make massive savings. For example, if you borrow £100,000 at 6% over 25 years, you'll pay it back at £643 a month. The total charge for credit will be £93,000. But if you can overpay by £100 a month you'll clear the loan in less than 19 years, giving you 6 years of mortgage-free living and saving a staggering £25,000 in interest.
Saving: £1,000s
Links: This is Money mortgage finder; mortgage calculators; mortgage guides
2. Clear your credit card debt
One of the golden rules of financial planning is to clear your most expensive debts first, in other words your credit cards. OK, credit cards offer a convenient way to pay for goods and services but if you can't clear the balance every month, consider a low-cost loan as an alternative. Do the sums: a credit card debt (APR 15%) of £2,200 over three years will cost £545 in interest. A loan at 6% will cost £209. A saving of £336.
Saving: £100s
Link: This is Money credit card finder
3. Cut the cost of your fuel bills
As the global demand for power threatens to outstrip supply, prices are rising. But that doesn't mean you need to be ripped off. The domestic market for fuel is a competitive one and you can change supplier with a few clicks of the mouse. Your new supplier will take care of the formalities - you just pay less every month.
Saving: £100
Link: Slash your fuel bills with This is Money
4. Consider installing a water meter
We take our tap water for granted. And why not? The companies behind the supply exist to make a profit, we pay them to supply water and have every right to expect it to flow from our taps. But if it doesn't rain, supply runs dry and the price goes up. So you may want to consider the possibility of installing a meter. If you have a big home with few occupants you may be surprised to learn you could halve your annual bill.
Saving: £100s
Link: water calculator
5. Cut your home phone bills
BT may seem to behave like a monopoly but it most definitely is not one. If you must use your phone there are scores of cheaper alternatives from cable companies that package your telephone, television and even broadband internet access to low-cost dial-up services that give you access to cheaper calls using your existing BT line.
Saving: £100
Link: Cut your phone bills with This is Money
6. Consider a pay-as-you go mobile
Ask yourself this: is your mobile phone absolutely necessary? If the answer is yes, then ask yourself whether you really need all those minutes and texts that come as part of your package. If you hand over £50 a month to your mobile phone company, that's £600 a year - or around £1,000 of your gross salary. But you can buy a pay-as-you-go phone for as little as £30 and only pay for the odd call as and when you need to.
Saving: £100s
Links: mobile phone deal finder
To clear a debt of £2,200 on a card that attracts an interest rate of around 15% will take more than two years assuming a monthly repayment of £100.
There are, however, plenty of simple ways to make significant savings on your regular spending that could clear the debt many times over in less than a year.
The frugal life: We've come up with 50 nifty tips to help you save money
1. Change your attitude to your mortgage
The most expensive item you are ever likely to buy is your home. If you're not in the privileged position to pay cash, make sure the loan you use to finance it is the best available. For example, if you are paying your lender's full standard variable rate (SVR) you are probably paying hundreds of pounds a year more than you need to.
There are thousands of deals to choose from and while it is vital to check the small print for hidden catches, this is a relatively easy way to save a lot of money. Remember: loyalty to your bank benefits your bank, not you. Even better, if you can afford to make overpayments on your mortgage, you'll clear your debt several years early and make massive savings. For example, if you borrow £100,000 at 6% over 25 years, you'll pay it back at £643 a month. The total charge for credit will be £93,000. But if you can overpay by £100 a month you'll clear the loan in less than 19 years, giving you 6 years of mortgage-free living and saving a staggering £25,000 in interest.
Saving: £1,000s
Links: This is Money mortgage finder; mortgage calculators; mortgage guides
2. Clear your credit card debt
One of the golden rules of financial planning is to clear your most expensive debts first, in other words your credit cards. OK, credit cards offer a convenient way to pay for goods and services but if you can't clear the balance every month, consider a low-cost loan as an alternative. Do the sums: a credit card debt (APR 15%) of £2,200 over three years will cost £545 in interest. A loan at 6% will cost £209. A saving of £336.
Saving: £100s
Link: This is Money credit card finder
3. Cut the cost of your fuel bills
As the global demand for power threatens to outstrip supply, prices are rising. But that doesn't mean you need to be ripped off. The domestic market for fuel is a competitive one and you can change supplier with a few clicks of the mouse. Your new supplier will take care of the formalities - you just pay less every month.
Saving: £100
Link: Slash your fuel bills with This is Money
4. Consider installing a water meter
We take our tap water for granted. And why not? The companies behind the supply exist to make a profit, we pay them to supply water and have every right to expect it to flow from our taps. But if it doesn't rain, supply runs dry and the price goes up. So you may want to consider the possibility of installing a meter. If you have a big home with few occupants you may be surprised to learn you could halve your annual bill.
Saving: £100s
Link: water calculator
5. Cut your home phone bills
BT may seem to behave like a monopoly but it most definitely is not one. If you must use your phone there are scores of cheaper alternatives from cable companies that package your telephone, television and even broadband internet access to low-cost dial-up services that give you access to cheaper calls using your existing BT line.
Saving: £100
Link: Cut your phone bills with This is Money
6. Consider a pay-as-you go mobile
Ask yourself this: is your mobile phone absolutely necessary? If the answer is yes, then ask yourself whether you really need all those minutes and texts that come as part of your package. If you hand over £50 a month to your mobile phone company, that's £600 a year - or around £1,000 of your gross salary. But you can buy a pay-as-you-go phone for as little as £30 and only pay for the odd call as and when you need to.
Saving: £100s
Links: mobile phone deal finder
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