Save Money and Stop Paying for Useless Stuff
Save Your Money
We’ve all done it…fess up! We’ve bought that utterly useless gadget or trinket. Next year’s garage sale fodder, I like to call it. Last summer when Geri, myself and a couple other close friends spread out all our useless stuff on my driveway for our now annual garage sale, it’s easier to see how much money we’ve wasted on things we really either didn’t need or didn’t use.
Garage sales will net you usually 25% of the original cost of the item. Imagine how much cash you’d have right now if you hadn’t purchased it in the first place? In these economic times, we all need to learn a hard lesson about impulse buying. And think of all the extra money you’d have over your lifetime? I’d be a wealthy woman.
This last year, I’ve learned that there are lots of “nice-to-own” things that I really don’t need. Look through my closet…five pairs of black shoes…I admit it. If we can avoid these extra purchases, we’ll have more money to put to really useful purposes like retirement or paying down debt.
Here are just a few ideas to get you started:
Landline phone
I did it. I finally got rid of my landline phone. Each family member had a cellphone anyway, and we found that 95% of all our landline calls were from telemarketers. Savings = $40/month or $480/year. If you’re not ready for such a big step, cut out the landline extras like call forwarding, call waiting, long distance (use your cellphone), or extra phone book listings. Really look at your bill, and call customer service. Pair down to only what’s necessary.
Cell phone apps and ringtones
My son thinks it’s cool to have a different ringtone for each friend and family member. So does the cellphone company who collects 99 cents per month per ringtone. All these fun add-ons can increase your bill as much as $10/month. Times 12 months, and that’s $120. Steel yourself to only add what’s free on the internet. Check websites like Phonezoo.com or Myxer.com. Or make your own ringtone from any MP3 that’s already on your iPod.
Fast food and Starbucks/coffee shops
Expensive Coffee
Who boy, that’s a big one with my three sons. Just yesterday my youngest teenager told me he regularly goes to the local coffee shop to buy this great cup of tea…for $3 a cup! For hot water and a teaspoon of loose tea! Now think…go to Starbucks every day at $3-4 per latte for a year. $4 x 365 days = $1460 per year spent on drinks alone. And fast food is even more expensive and bad for you too. Even a lowly bagel and smear cost $3 these days. Save yourself lots of cash and pack yourself a lunch and make your own tea or coffee. Save these outings for special treats.
Gym memberships
How many of us have paid for memberships with the good intentions of getting into shape, then letting that membership languish? Normally, you need to go to the gym at least 3-4 times a week to break even. Most of us don’t which is how they make money. Even if we do exercise faithfully, then find a recreation center or gym that will let you pay as you go. Or better yet, don’t pay at all. Go for a walk, or visit a park with a set of outdoor exercise stations. Find great workouts on TV for free or “On Demand”.
Cancel unused memberships
I’ve heard this countless times. You sign up for a self-renewing plan and never cancel it even after you no longer use it. Some of the plans I’ve heard about are Xbox Live, Pet Care plans (even after you no longer have the pet), self renewing gym memberships (see above), or computer protection plans that you don’t use anymore. Keep an eye on these credit card bills, call the number, and cancel!
Extended warranties
Extended warranties are big business for companies and with good reason. They rarely used within the time allotted, and therefore cost you plenty and the company nothing. Research tells us most appliances fail either within the manufacturer’s warranty or long after the extended warranty runs out. A better way to handle this is take the money that you would have spent (anywhere from $10 a month to hundreds of dollars) and put it in a saving account. Use this if you need to, but more likely than not, you’ll have that money when the warranty expires. Note: the only item I would purchase extended warranty on is a laptop computer. It’s so easy to drop, or spill something on.
Rental car insurance
No need for this…waive that puppy. Your normal car insurance, if it includes collision and comprehensive coverage for rentals, usually covers any car you drive. Not sure if your insurance plan does this, just give them a call. Also many credit cards offer rental car insurance as a bonus. This simple step can save you $9 to $30 per day of rental.
Computer software
Microsoft word can cost hundreds of dollars; Photoshop can cost hundreds of dollars. There are so many free software products on the internet, there’s no reason to buy for any of these unless you’re a professional. Online there are games, graphic studios, office suites, fonts, all with no money to spend. Visiting FreewareHome.com is a good place to start for a list of more than 5,500 free software programs. I recently uploaded Hornil StylePix from there for graphic design and it’s very much like Photoshop but without the cost.
Bottled water
Bottled Water = Bad for the Environment
So bad for the environment and bad for your wallet. My company quit buying individual bottles of water, and so should you. We’re fortunate to live in the US where our tap water is safe to drink. Do you really believe the bottled water is any different from your filtered, treated tap water? I recently was driving in a particularly nasty part of Denver, and lo and behold, passed a very well-known bottled water company. Let’s do some math. A bottle of water costs about $1 each, but 16 cups of water from the tap costs about a penny. Take some of your saved money and buy a water filter for your tap and a nice refillable water bottle.
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