Where Should You Cut Money?

In the current economic climate, everyone is looking for ways to cut money out of their budgets. The difficult part when budgeting is to know which areas you can cut without feeling the pinch too severely. If you are looking to save money, follow these tips to create savings in your monthly budget that will be as pain-free as possible:

Insurance

Everyone needs insurance, but there are ways you can save money. You can raise your claim deductible to lower you monthly rates. One of the best ways to save money is to combine auto insurance and home insurance into one company. Most companies will give you a discount if you have more than one policy with them. Also, be sure to ask your insurance agent what things they offer discounts for. You may be eligible for discounts that you don’t even know about.

Banking

This is an easy area to cut expenses. No one should be paying any money for their checking accounts. There are loads of free checking accounts out there that offer all the services the typical consumer needs. Also, stop paying ATM fees. If your bank charges you for using another bank’s ATM, then it is time to find a bank that doesn’t. There are even banks out there that will reimburse their customers if another bank’s ATM charges them a fee. And let’s not discuss the high fees they charge for international money transfers. Even if you send it to the same banking institution but to another country. Why?

TV

Most people are paying for cable or satellite television service. Ask yourself if you really need to. You can watch most programs online these days, including live sporting events. There is no sense paying for a service when you can get the programming free online. If you decide you want to keep satellite or cable, call them up and tell them you want to cancel anyway. Most television providers will offer customers a discount on their monthly bills to keep their business.

Phone

Most younger people have already made the move to simply using their cell phones for all their needs. If you still have a landline, consider dropping it to save money. Also, review your cell phone use. Many people are paying for more minutes than they actually need. Look to see if you can switch to a plan with fewer minutes that is more affordable.

Go Generic

When you are shopping, try to buy the generic brands of items. They are often just as good as the name brand items, but they cost a lot less money. You may not think that the small savings on a generic can of corn will make a difference, but it is the cumulative effect that buying generic has. If you switch all or most of your purchases from name brand to generic items, you will save yourself hundreds of dollars a month.

Carry Snacks and Water with You

Way too many people spend money on snacks and bottled water during the curse of their days. When you are spending a dollar here and there on these things, it does not seem like a big deal, but it is a big deal in the big picture. These little purchases can add up to a lot of money at the end of the month.

If you follow these simple tips for saving money, you will be amazed at how much you can save. Saving money with these methods will not feel like a sacrifice. You will trim lots of money off your monthly budget without changing your quality-of-living.

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Insurance Deductibles are a good place to start cutting expenses. You then essentially take the risk of self insuring. Buying in bulk is also something to consider. That could save you real money.

I think cutting phone and TV bills can save people lots of money. At least I saved some that way. And it’s not difficult to do it either.

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