10 tips for saving money resolution
If you follow through on just one or two of these, you can not help but improve your bottom line
A. Cut spending. Carefully read through any of your credit card statements, staying on the lookout for ongoing monthly expenses that you may have completely forgotten. Cancel membership of any club you do not use and do not read your magazine subscriptions. And if necessary, decide to stop spending hard-earned money on lottery tickets.
2. Pay yourself first. This is a good time for honest self-analysis: What has been your habit of saving has been like a year ago? If it seems like all the money you make falls straight through your finger and it will gobble up with bills and other expenses, think hard about a reasonable amount you can begin to see yet another monthly bill. Can you handle one more $ 50 bills? What about the money $ 200? Even if you can only handle one more $ 15 or $ 20 bill, it's better than nothing. Start squirreling money for yourself, pronto.
3.Decide where to put that 'payment. "If you plan to sock money away for a few years until you reach a certain savings goal, you" pay yourself-first "money could become automatic contributions to a mutual fund or stock-oriented funds. If you need money to be more liquid than that, consider an online savings or money market account that will connect to your current checking account. Many of the online-only accounts are insured by the Federal Deposit Insurance Corp (FDIC) and pay the annual percentage rate of between 4 percent and 5 percent or even higher, compared with paltry results of about 0.2 percent to 0.5 percent for traditional savings. To find such an account, go to Bankrate.com (www.bankrate.com), find the "Compare rates" on the home page, select "Checking & Savings," and then "MMAs / Savings." (Keep choosing MMAs and savings that you click.)
4. Pay ahead on your mortgage. By paying an additional $ 100 per month toward the principal on the mortgage $ 150,000, 30-year fixed rate of 6.5 percent, you would save more than $ 51,000 in interest and be able to retire your mortgage nearly seven years earlier. An additional monthly payment of $ 20 or even $ 25 can make a surprising difference. Indeed, you will benefit more if you could invest that extra payment on account of interest that offer a higher level of guaranteed return on your mortgage rate. And pay off the mortgage early means you will not have the tax benefits of home ownership for the same number of years. But if you're after the psychological benefits of owning your home immediately and spend far less interest from time to time, the extra-payment approach is the way to go.
5. Shed of credit card debt. Of course, the best way to avoid creating problems for yourself in the year 2007 is to use your credit card carefully and sparingly, always make sure to pay the entire balance of the full-time and on a monthly basis. But if you're already in a serious pickle credit card in 2006 in the wind to a close - like millions of people - try this: Transfer your credit card balances to a card with a lower interest rate ASAP. You'll save $ 730 if you transfer $ 2,000 from the card balance 18-percent to 8.25 percent card and then pay off your balance at $ 50 a month. Better yet, transfer balances to cards with the percent 0, 1 or 2 and pay it off entirely, while concentrating on the low rates last.
6. Say goodbye to late fees. If you continually find yourself starting to hit with extra finance charges because your credit card bills regularly due before you receive your paycheck, contact your credit card company and ask to have your due date changed. It may take several months for changes to kick in, but it was worth the wait.
7. Take your last puff. Depending on the punch packed by the "sin tax" in which you live, you can save more than $ 2,000 a year if you go from being a pack a day smoker to a smoker who did not. You will also qualify for significantly cheaper life insurance rates after you quit.
8. Max out your retirement savings. Contribute as much as you can for 401 (k) or 403 (b) tax deferred retirement plan. You will get an automatic tax breaks, plus your employer may match part of your contribution - often 50 cents for every dollar you contribute up to 6 percent of your salary. If your employer does not offer these benefits, opening a traditional individual retirement account or Roth IRA and start saving money as well.
9. Review your estate plan. Do you have a will or living trust? If not, get treated this year! If you already have a document is created, make sure they are up to date. This is especially important if you recently had a child or children, if possible in your future - but no matter what, this is an important step for everyone to take regardless of marital or family status.
10. Analyzing the cost of your workday. Instead of eating in restaurants every day, bringing lunch to work from home as often as possible. Clothes to the cleaners early to avoid paying extra for same-day service. If it's feasible where you live, try commuting to work by bus or other forms of public transport. Can save money and provide additional reading and relaxation time.
immediately save money for long-term investment
If you follow through on just one or two of these, you can not help but improve your bottom line
A. Cut spending. Carefully read through any of your credit card statements, staying on the lookout for ongoing monthly expenses that you may have completely forgotten. Cancel membership of any club you do not use and do not read your magazine subscriptions. And if necessary, decide to stop spending hard-earned money on lottery tickets.
2. Pay yourself first. This is a good time for honest self-analysis: What has been your habit of saving has been like a year ago? If it seems like all the money you make falls straight through your finger and it will gobble up with bills and other expenses, think hard about a reasonable amount you can begin to see yet another monthly bill. Can you handle one more $ 50 bills? What about the money $ 200? Even if you can only handle one more $ 15 or $ 20 bill, it's better than nothing. Start squirreling money for yourself, pronto.
3.Decide where to put that 'payment. "If you plan to sock money away for a few years until you reach a certain savings goal, you" pay yourself-first "money could become automatic contributions to a mutual fund or stock-oriented funds. If you need money to be more liquid than that, consider an online savings or money market account that will connect to your current checking account. Many of the online-only accounts are insured by the Federal Deposit Insurance Corp (FDIC) and pay the annual percentage rate of between 4 percent and 5 percent or even higher, compared with paltry results of about 0.2 percent to 0.5 percent for traditional savings. To find such an account, go to Bankrate.com (www.bankrate.com), find the "Compare rates" on the home page, select "Checking & Savings," and then "MMAs / Savings." (Keep choosing MMAs and savings that you click.)
4. Pay ahead on your mortgage. By paying an additional $ 100 per month toward the principal on the mortgage $ 150,000, 30-year fixed rate of 6.5 percent, you would save more than $ 51,000 in interest and be able to retire your mortgage nearly seven years earlier. An additional monthly payment of $ 20 or even $ 25 can make a surprising difference. Indeed, you will benefit more if you could invest that extra payment on account of interest that offer a higher level of guaranteed return on your mortgage rate. And pay off the mortgage early means you will not have the tax benefits of home ownership for the same number of years. But if you're after the psychological benefits of owning your home immediately and spend far less interest from time to time, the extra-payment approach is the way to go.
5. Shed of credit card debt. Of course, the best way to avoid creating problems for yourself in the year 2007 is to use your credit card carefully and sparingly, always make sure to pay the entire balance of the full-time and on a monthly basis. But if you're already in a serious pickle credit card in 2006 in the wind to a close - like millions of people - try this: Transfer your credit card balances to a card with a lower interest rate ASAP. You'll save $ 730 if you transfer $ 2,000 from the card balance 18-percent to 8.25 percent card and then pay off your balance at $ 50 a month. Better yet, transfer balances to cards with the percent 0, 1 or 2 and pay it off entirely, while concentrating on the low rates last.
6. Say goodbye to late fees. If you continually find yourself starting to hit with extra finance charges because your credit card bills regularly due before you receive your paycheck, contact your credit card company and ask to have your due date changed. It may take several months for changes to kick in, but it was worth the wait.
7. Take your last puff. Depending on the punch packed by the "sin tax" in which you live, you can save more than $ 2,000 a year if you go from being a pack a day smoker to a smoker who did not. You will also qualify for significantly cheaper life insurance rates after you quit.
8. Max out your retirement savings. Contribute as much as you can for 401 (k) or 403 (b) tax deferred retirement plan. You will get an automatic tax breaks, plus your employer may match part of your contribution - often 50 cents for every dollar you contribute up to 6 percent of your salary. If your employer does not offer these benefits, opening a traditional individual retirement account or Roth IRA and start saving money as well.
9. Review your estate plan. Do you have a will or living trust? If not, get treated this year! If you already have a document is created, make sure they are up to date. This is especially important if you recently had a child or children, if possible in your future - but no matter what, this is an important step for everyone to take regardless of marital or family status.
10. Analyzing the cost of your workday. Instead of eating in restaurants every day, bringing lunch to work from home as often as possible. Clothes to the cleaners early to avoid paying extra for same-day service. If it's feasible where you live, try commuting to work by bus or other forms of public transport. Can save money and provide additional reading and relaxation time.
immediately save money for long-term investment