8 Ways to Saving Money On Purpose

Last weekend, I had the privilege of presenting at a church about managing your finances on purpose.  During the question and answer section at the end, one person wanted to know a few more ways that he can save money.  Getting $1000 into an emergency fund is the first step in managing your finances on purpose.  So here is a short list of ways to save money.

1.       Use consignment shops to sell your old clothes, and get clothes for your kids, or find friends to clothes swap with.

2.       In general you will save more by focusing on the front and back pages of the store flyer than on the inside pages.  Buy food in bulk and then split with friends and family is also a great way to lower the overall yearly food budget.

3.       Your local library may be the best-kept savings secret in town.  Besides the usual best selling and award winning books, patrons can check out DVD’s (often for free or nominal cost), magazines, CD’s, newspaper, internet, E-books, and cameras. I recently called our Florida Library and found out that they also have Family Museum Passes. 

4.       Become auto-smart.  Purchase your next used (2-4 year old) car for an amount between loans value and wholesale (get a copy of NADA from banker), but only after a reliable mechanic gives his or her approval. Wait until the end of the month when quotas need to be filled.

5.       Imagine your yard as you’ve always wanted it…. Without paying for a landscaper service? The National Arbor Day Foundation will send you an assortment of trees or bushes for free upon receipt of the small membership fee.

6.       Free is the key.  When your doctor prescribes a medication, ask if he or she has received any free samples of the drug from the pharmaceutical company (a common occurrence).

7.       Prolong the life of your car by getting regular oil changes (see owner’s manual for frequency).  At that time check and fill if necessary, brake and transmission fluids as well.

8.       Garage sales are a great way to buy almost anything from household items to used tools and furniture.  If you need to send a student off to college or furnish a basement, without breaking the budget, this is a wonderful way to do it.  Sell drinks and snacks at your own garage sale.

In all these suggestions, use the power of cash and ask for a bargain or discount.    Dave Ramsey says to look for the win-win scenarios in all your negotiating.  Find out what would make the other person want to give you a deal.  This is extremely effective during the garage sale season so have some fun and enjoy the process.  Make it your goal to save $1000 by the end of summer.  If you already have that, use the extra money you’ve saved to start paying off your debt.  Let me know how you saved money over the last few months.   Send your response to ed@finnertyfinancialcoaching.com.