Major Money Saving Tips

Including the power of “Timing it Right”
By Joseph Faust
 

Here are four powerful ways to transform your finances:

1. Call your insurance agent and ask about all possible policy discounts you may qualify for! 
Discover if you have the appropriate coverage for your current situation; for example, regarding car insurance; are you currently driving less or does your car have anti-lock brakes, etc. Benefit: your cost of insurance coverage may go down for this year and for following years.
Action item: I explored this option; money saved, so far:  $_________
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2. Looking for trends and making deliberate informed decisions tends to give a winning result.
Buy needed things with awareness of price trends, so your savings average improves.
Sale cycles are predictable;
some North American examples to consider:
 

Annual sale cycle (estimated):
January: linens, furniture, winter coats, cookware                 February: digital cameras             March: computers
April: electronics             May athletic apparel, small appliances              June: tools, computers
July: computers           August: patio furniture, camping equipment           September: shrubs, trees            December: cars


About the above strategy:   What if one spends $4,000 on some combination of the above items each year for the next 20 years; that adds up to a cash expense of $80,000. If you save 20% of the $80,000, because you made your purchases during certain months, that equals $16.000. in direct savings, direct savings which, if invested well, might become a down payment on a house.
Action item: I explored this option; money saved, so far:   $_________
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Here is a strategy for some people to save money on mortgage payments and to lower to credit card payments! 
3. Pay mortgage and credit card payments twice a month vs. once a month.
 
The strategy works like this; pay half of your monthly payment twice a month totaling the same amount of payments by the monthly due date. The result: less total interest payments, because your principal drops faster and therefore the interest on the account balance is less. This one change can be many thousands of dollars over the course of a mortgage or credit card repayment plan.

It can also reduce the number of years you have to make payments. 
If you set up the twice a month payments on your monthly online bill pay account, you save money and it does not take any more of your time to do it. Note: Some mortgage payment agreements will not accept double or early payments without additional penalties so check with your CPA or other licensed financial professional first! The point is to increase your financial education so you can make wiser choices!
Action item: I explored this option; money saved, so far:  $_________
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4. Join a money mastermind group; ask us about availability. Alternatively, have a conversation with a coach about increasing your “financial fitness”. Joseph is currently working on developing The Financial Fitness Toolkit. See complimentary samples at www.FinancialFitnessToolkit.com
Action item: I explored this option; money saved, so far: $_________
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As always, your financial actions are your responsibility. Speaking with the appropriate professionals on your situation is wise.  

Please offer your comments, questions and feedback to Joseph Faust at www.FinancialFitnessToolkit.com             
© 2010 Joseph Faust