How to Save Money in a BAD Economy: Top 7 Strategies

Election 08 was an excited ground breaking time for Americans and President Elect Barack Obama will have a lot to tackle: The Economy is #1. As a Main Street American there are many ways to save couple bucks at home but I am going to give you my top 7. If you are creative you can take these 7 ways and use them to give you ideas on many more.

Difficulty: Moderately Easy

Instructions

Things You'll Need:

• Your Credit Card Companies Phone Number
• The Sunday Newspaper
• Your house utility bills
• A computer
• A telephone
• A Positive Attitude!

1. 
   Call up your Credit Card Company and discuss your rate with a supervisor !

   Call up your Credit Card Company and ask for a lower rate. Paying 18% on your credit cards is absolutely ridiculous. The first customer service rep on the line will tell you that you have the best rate at this time. This is a normal response to your request. **Ask politely** to speak with a supervisor. Be persistent about this. Call back if you have to. If you have been a long time member and have a good track record with them you should be able to lower your rate to less than 10%

2. Stop going out to eat (or at least going out so much). If you do, order water instead of soda or an alcoholic beverage. Take a Doggie Bag on what you do not finish. it blows me away all the people I see who leave half the meal on their plate and don't take it home. But the best thing is to cook at home- its cheaper, healthier and you don't have to spend any gas to go out.

3. 
   Cut Coupons from your Sunday Paper- it can make a big difference in your grocery bill

   In your local national Sunday Paper, you will find loads of coupons. These coupons are good too- on regular household items that you use on everyday. Every week at your local grocery store they have sale on certain food products. Don’t be afraid to stock up on staples like pasta, flour , sugar, butter when it is on sale (you can freeze butter and use it when you need it). Sometimes there’s even a rack where they have older fruits and vegetables often more than 50% off or the day old bread etc.. Don't buy anything that looks bad of course, and I'm not saying become a "Freegan" but you can regularly save 20% off of your bill. Also, don't be afraid to us the no name brand items that are on sale regularly (they have less fruity tuity stuff in them as well)

4. Look at all your bills. Almost every couple of months you will catch a mistake the phone company made or the gas company made. Telephone them and get it fixed. Don't be afraid to ask questions. Mistakes happen all the time. It's very hard to save when you don't know where your money is going. Ask if there is any way you can save some money every month. Sometimes you can even say they don't have to send you a paper statement- you can check your bills online, saving you 8 bucks!

5. Stop using your credit cards !!!! It's amazing how much more careful you become when spending money when you have to shell out cold hard cash each time. Parting with it makes it harder and you think twice about you wants versus your needs.

6. Be more frugal. This kind of links to all of the list especially the last step (stop using your credit cards). Start being more observant of what you are buying or spending your money on. For example, instead of going to Borders books, go to the library. Instead of going to the movies, go to Block Buster. Instead of Going to Block Buster, go to the media section of the library (they have international movies too. Buy only what you really need, and research big decisions.

7. 
   Save a portion of your money every month automatically. $100-200 dollars is a good start!

   Lastly, have some money **automatically** withdrawn out of your check from work or your bank account every month. Have it go to your retirement account or savings account. That way you don't even think about it, its gets saved automatically. I guarantee that you won't miss $100 every month. You can also open up a ING Direct account.

Tips & Warnings

• Listen to what professionals (like Suze Orman) have to say- sometimes what they are saying may seem annoying- but you can get some real pearls of wisdom. For example, Suze Orman says you should not lease vehicles and also says if you do a lease, do no more than 3 years. There is a lot of widsom in what these people say.
• Making good money decisons affects your children too. Your children pick up your actions more than your words. Explain why you are making certain decisions.
• Don't make changes all at once- it can be easy and depressing to give up certain things all at once. Do it gradually. It will become easier after a while
• This has to be a family decision- If only one spouse is on board, then you are not going to successful and the whole situation can become very stressful. Don't be afraid to compromise on certain things.

Resources

• The Orange Savings Account

[0214CT]

on 11/10/2008 Thanks for the tips! Very informative!

[StarrySkye]

on 11/9/2008 Great tips! Everyone needs to read this in these times...thanks for posting!