Expert Savings Advice

Cut back on groceries and gas expense to save money

Groceries:

If our body did not require food, we would have more money. However, our body needs nutrition so we must learn how to save money. Groceries are very expensive these days and prices are going up every day. All these high-rising expenses are because of changes in our economy.

We can save money by making changes in how we buy and eat. It takes a few changes but we can learn how to save money by changing our grocery spending habits and taste buds.

You can save coupons to save money, check out the Internet to find free coupons. The coupons that come in newspapers and magazines are free so take advantage to save money. It only takes minutes to cut or print them.

You will find there are many coupons that offer you various saving options. Watch for different ways; some will offer you money back on certain products. These are called rebate coupons. You will find some coupons that say buy one get one free. When you buy, one you will be saving the full price on the next item.

Buy ahead when you use coupons and watch for sales. Save money by using your coupons and buying items in cases rather than one item at a time. Buying a case on sale can save you a bundle of money.

Change brand names to save. Most items you buy in a can are all made by the same company only have different labels. Watch for savings by reading labels and prices to save you in the future. Maybe one-week buy a case of something and the next week buy a case of something else that is on sale.

You will be saving money by using coupons and buying cases of items when on sale. Stocking up can also be good if you can’t get to the store every time you need something. This will save money on car expense by buying ahead when on sale.

Car Expense:

Save gas money, wear, and tear on your vehicle at the same time by buying groceries ahead. With the way gasoline is today, we all need to save on gas expense.

Don’t make a trip to town everyday to buy something you need for supper. When you buy groceries ahead, you will have extra items such as spaghetti sauce, mushrooms and extra vegetables for a side dish.

Save car expense by buying groceries ahead when they are on sale to save gasoline, tires, and food. Start learning how to save money today by buying sale items ahead.

Emergency funds are considered to be a necessity as far as financial security is concerned, since it can provide one with financial resources that one can resort to and depend on when an emergency arises such that when one is sick and have the burden of paying huge medical bills, or unexpected home or major car repair.

When one has no emergency fund, one can be obliged to acquire debt on your credit card that might take several years to repay with interest that would later cost so much more.

However by putting an extra thirty to fifty dollars every month in an individual emergency savings account one can be secured with what emergency the future may bring. In doing this, it is recommended that one regards the emergency fund as an additional bill, to be punctually paid each month.

Yes, one can and should budget and allocate the extra money for emergency fund, as this is very significant when one refers to his financial future. Here, the goal is to create savings from budgeting your income; the emergency savings should ideally be equal to at least three months your living expenditures.

What’s important is that you should steadily put a certain amount of money aside, and only use it for real emergencies.

Not like an investment, the success of ones long-term savings funds does not really count on the amount of return or interests but on placing a fixed amount of money away constantly and steadily so to have immediate access to it at all times.

In spite of ones financial status, the initial step in the process of constructing an emergency fund is by knowing where your money is presently being consumed or spent.

When one recognizes and determines where ones earnings are spent, then it will be easy for one to choose and make a decision where to trim down expenses. In other words, budget.

Budgeting is putting or setting aside money for anticipated and unanticipated future use. It is here that one sets up a goal so as to save. So set an emergency fund as your goal.

Checking, savings, money market accounts and certificates of deposits, are great places to keep ones cash that might be needed on quick notice.

The amount saved from budgeting can either go to your savings goal, emergency fund or both. One could utilize the money saved from budgeting financial expenses by saving half of it to your savings account and half of it for emergencies. This way, you achieve your goals in savings and at the same time put in funds for emergency use. Its your choice.

The best savings account

Savings accounts are the best idea for putting away a set amount of money each week or month depending on your circumstances. You would be surprised at how quickly this money can add up if you are contributing a set amount from your paycheck every payday.
When shopping around for the best savings account, find one that pays a good interest rate and has a minimal amount for opening the account. A lot of banks only require a dollar to open an account while others may want you to deposit anywhere from 5 dollars to 50.

The convenience of having money automatically withdrawn from your paycheck and placed in your savings account is great for some. However others may not put a set amount in each payday and may want to choose how much they deposit into their savings account.

The best type of savings account will pay a comparable interest rate, be easily accessible to your home or work, will not charge a fee for withdrawals from your account, has on-line availability, and does not require a large deposit to open. If you have a bank account and access it online you should be able to transfer money to and from your savings account. You should try not to transfer from it unless it is an emergency because this defeats the purpose of having the savings account in the first place.

Some types of savings accounts are geared towards the holiday season. This allows you to save money for Christmas. If you start it early enough in the year by the time Christmas rolls around you can have a nice amount for your holiday shopping.

Another type of savings account featured by some banks link your debit card with your savings account. Every time you make a purchase using your debit card the amount is rounded up to the next dollar and the extra is deposited into your savings account. Some of these banks will even match the amount deposited by a certain percentage.

Savings accounts are great ways to start your children out learning how to be responsible when it comes to money. Open a savings account and let them deposit birthday money or Christmas money for themselves. All the change that gets thrown in a jar every day can become a savings account deposit for them. They will love to go to the bank and deposit their own money and in the process you are teaching them the importance of saving.

Another advantage to a savings account is establishing credit. If you borrow money from your bank using the money in your savings to secure the loan, when you pay the loan back you will have established credit with your bank. This can make it easier to get an unsecured loan should you need it.

It is important to have a savings account and add to it regularly. For that unexpected expense that crops up, having the money to cover without having to borrow the money is great. With everything today being based on credit-worthiness, establishing a good relationship with your bank or credit union can make a big difference when it comes to buying a home or a car.

For more info visit
{open an online saving account}

Andrew Hagger Head of News and Press at Moneyfacts.co.uk looks at the performance of Child Trust Funds, one year on.

April 6 2006 marked the first birthday for the Child Trust Fund (CTF), and there are undoubtedly some mums and dads out there who are feeling pretty smug with the performance of the investment that they have chosen.

One year on from launch, those who have opted for one of the riskier options will have seen their initial 250 deposit grow to over 370 if they had opted for the F & C Global Smaller Companies investment trust. This level of growth dwarfs the returns for cash based investments where parents will have seen their 250 become approximately 262 during the last 12 months.

Although the cash return may seem small beer when compared with the dramatic increases seen in some of the equity based CTFs, the situation could have been worse, i.e. they could have been one of the half a million parents who have failed to use their voucher to open an account, thus depriving their siblings of any return whatsoever.

For those who have failed to open an account, it is worth remembering that Gordon Brown confirmed in his recent budget that the Government would contribute a further 250 (up to 500 in some cases) to your chosen fund on your childs seventh birthday.

Both Abbey and Nationwide BS report that over 60% of CTFs opened have been cash based; however when parents see the types of return that have been made in some of the non-stakeholder equity based funds, they may be tempted to switch.

However a word of caution before anyone hastily decides to make the move. The funds that offer the potential for greater returns are also those that in more turbulent times are the funds that could lose the most money, so dont be blinded by just one years performance, think of the CTF for what they are a long term savings and investment account.

There is a middle ground that falls somewhere between the cash and investment trust CTFs, namely stakeholder equity based funds that will offer potential of higher returns than cash CTF, but less risky than the non-stakeholder investment trusts.

If you are in doubt about what is the best option for your childs savings, time spent now discussing with an independent financial adviser could prove to have been a worthwhile exercise when your son or daughter gains access to their nest egg on their 18th birthday.

Have you sat down and really thought about your financial future? I know people are busy these days and you think “well I’m young now and I’ll have time to do it later.” You’re dead wrong. You are NEVER too young to start saving for retirement!

They say if a 25 year old puts in $2.00 a day into a savings account ($60.00 a month), buy the time he reaches 65 he’ll have a million dollars. However, what is a million dollars these days – really? It’s practically chump change with rising housing and cost of living expenses.

So you have to make a budget to save for the future. Don’t expect Social Security to kick in, they’re having problems already – much less when you get to be that age!

Here are some strategies to help you save for the future and your retirement:

1. Make a list of your monthly income. Include everything from your wages to gambling winnings, child support receive, alimony, and any other income you get every month.

2. Then make a list of your expenses. List everything you spend from your utilities to your cell phone bill. Also your child’s violin lessons, pet expenses – everything.

3. Subtract your expenses from your income. Hopefully you are coming out ahead! If not, then you need to make smart decisions on which expenses are a necessity or a luxury. Do you really need a cell phone, or is it just convenient? Discipline yourself now and you’ll thank yourself later!

4. Do this for several months. And then at the end of each month, figure out where your money went that was unnecessary. Did you go out to eat more than once a week? Did you buy your lunch instead of making a sandwich from home?

5. Put 10% of your income into a savings plan. This is the “rule of thumb” amongst investors on just how much you should be saving a month. If you make $3000/mo. then you should be saving $300. Pay yourself first!

6. Consider other options besides savings. Perhaps invest in a 401k or an IRA savings plan. Check with your banker to see which one would suit your needs and financial situation the best.

Really that’s all there is to it! Never take money out of your savings for frivilous purchases like a new pair of shoes or to go to a movie. That is for your future! However if your car needs a new transmission, this nest egg is there for you!

It just takes a lot of self-discipline and the desire to want to have financial independence. Just apply these easy techniques and you’ll be on your way!

Besides staying cool when the warm weather rolls in, not getting hot under the collar when the utility bills arrive can be a challenge. The goal is to find an air-conditioning system that looks nice, makes you feel good and operates efficiently.

How To Measure

Cooling Efficiency

Recently enacted federal legislation helps with the efficiency issue. All central air conditioners manufactured after January 23, 2006, must have a seasonal energy efficiency ratio (SEER) of at least 13 SEER. This increase in the measure of cooling efficiency from 10 to 13 SEER means savings on your utility bills.

As manufacturers of air-conditioning systems work to meet this new efficiency standard, some are also incorporating improved comfort features in their designs. For example, the Acclimate™ Series of air conditioners from Luxaire Heating and Cooling, a brand of the Unitary Products Group of York-a Johnson Controls company, meets or exceeds the efficiency challenge with 13 and 15 SEER units that also address important comfort issues.

These air conditioners are available with two-stage compressor technology to reduce operating cost without sacrificing comfort. On-off cycles are kept to a minimum for even, quiet, more comfortable cooling.

Cool And Quiet

The unit’s exclusive SilentDrive™ System further reduces sound. A swept-wing fan design enables air to flow smoothly off the blade, reducing air turbulence and significantly reducing noise. The system also incorporates an isolated compressor compartment and a composite base pan for more quiet operation. In fact, an Acclimate air conditioner records sound levels as low as 69 decibels (dB). This is quieter than competitive units and much quieter than a typical hair dryer, which operates in the range of 76 dB.

Acclimate’s quiet, comfortable, efficient operation is easy on the ears and easy on the pocketbook. The unit is also easy on the eyes, with a sleek contemporary look that brings style to home cooling.

If you are currently thinking about starting your own check cashing business, there are things that you first need to consider. The path leading from conceptualization to realization can be a scary and uncertain route, and it is difficult for most people to know the proper steps to take. In this article, we will give you the information that you need to know before starting your own check cashing business.

The first and often most difficult hurdle in starting your own check cashing business is the initial investment. On average, the start-up costs for a check cashing business can range anywhere from $50,000 to $150,000, and unless you have a substantial savings, you will need to have solid credit in order to secure financing. In addition to paying for a location and having funds available to actually cash checks, there are many other expenses that you may not think of initially. For example, you need to figure in the cost of computers, furniture, monthly expenses (electricity, heat, etc.), employees, insurance, rent, advertising, licenses, and fees just to name a few. In addition, by the very nature of dealing with money, a check cashing business needs to have certain security measures in place to keep both your assets and employees safe. This may require hiring the services of a check-scanning company (such as TeleCheck), security cameras, alarms, and special glass to protect your workers. As you can see, your start up investment will play a large role in determining future success.

The second thing that you must do before starting your own check cashing business is to acquire all of the proper licenses and permits. It is advisable that you check with your local and state authorities to make certain that you possess all the necessary documentation needed to operate a business. It is also worth mentioning that you will have to comply with the federal and state governments usury laws, which are in place to prevent financial outlets from charging exorbitant interest rates.

Lets say that you have cleared these first two obstacles; what step should you take next? You should now turn your attention towards hiring responsible, and more importantly, honest employees. It is crucial in a check cashing business to hire only the most trustworthy of people, so you should take any safeguard necessary to ensure this. This step should include an extensive interview as well as background and credit checks. Do not rush this part of the process just so you can open up your doors to the public. This is one instance where your patience and sound judgment will definitely pay off, and it could end up saving you a lot of money that could otherwise be lost to employee theft.

Starting your own check cashing business is a difficult and involved process. By covering all of your bases and following through on the information provided above, you should find yourself well on the way towards operating a successful and profitable check cashing business.

There is a simple money saving exercise that everyone should do at least once in their lives. It is ultimately one of the best ways to save money, because it is not about pinching pennies, but about discovering what you really want and getting it. It is so simple you may hesitate to try it. Just try it. Here it is:

List everything that you have spent money on, are currently spending money on, or might spend money on.

Don’t just read this and think of a few things. Take the time to actually write it all down. Review your bank statements if you have to, in order to remember and include everything.

Now go through the list, and carefully consider each item. Take the most time on the big items – past, present and future possibilities. If your timeshare on the beach is worth half what you paid, costs $1,000 per year in expenses, and is rarely used, you need to learn from that – not to punish yourself, but to have a richer life.

If you think honestly about the number of times you will use that Recreational Vehicle, and the cost, it may be $250 for each day of use. That’s okay if that is worth it to you, but maybe you really would enjoy $100 hotels more. Or maybe you can rent an RV for less overall cost, thus freeing up money for other important goals.

You see, saving money isn’t about sacrifice. We all are aware of the scrooges in life that pinch their pennies, bank the savings, and then do nothing with it. The point should be to save money in one area of life so you can use it in ways that make your whole life richer.

Suppose you notice you’re spending $8 per month on subscriptions to magazine you don’t read, or on insurance for a motorcycle you almost never ride? Cancel the subscriptions or sell the
motorcycle, and what have you lost? Is it a big deal? What will that $8 get you instead?

- Bank it for ten years, and use the $1200 to take a second honeymoon.

- Use it to pay for a day off work once a year, to spend with the kids.

- Invest it, to have an extra $50 per month during your retirement years.

- Buy six good books a year, to learn something new.

- Make banana splits for the family once a month.

- Give $100 per year to a worthy cause.

$8 per month can do a lot if used wisely. Imagine what you could do if you stopped wasting $200 per month. That’s why it is so important to discover what you really want – and what you don’t want. This is one of the most intelligent ways to save money.

A successful retirement depends largely on the steps you take during different stages of your life. Here are some moves to consider. Note: Investment portfolios shown are illustrations only. You must decide what percentages and investments are right for you.

Your 20s and 30s (Early Career)

Contribute as much as you can to IRAs, 401(K), Keoghs and other retirement savings while meeting other goals, such as buying a home or starting a family.

Keep your debt from credit cards and other sources manageable.

If you don’t already own a home, consider if this is a good option for you. While a home purchase can be expensive, it also can be an excellent investment and source of tax breaks.

Given your years until retirement, you probably can afford to be fairly aggressive with your investments. Possible portfolio: 60 to 80 percent in stocks or stock mutual funds and most of the rest in certificates of deposit (CDs), bonds, bond funds or money market accounts.

Your 40s and 50s (Mid-Career)

Continue putting as much as you can into IRAs, 401(K), Keoghs and other retirement savings accounts. Once you reach age 50, you can make “catch-up” (extra) contributions to IRAs, 401(K), and other retirement savings accounts.

If you haven’t bought a house already, consider doing so as a source of equity and a place to live in retirement. If you have a mortgage, periodically compare your interest rate to current market rates. If current rates are better, consider refinancing.

As you get closer to retirement, consider reducing stock investments and adding more conservative, income-producing investments. Possible portfolio: 50 to 70 percent in stocks or stock mutual funds and most of the rest in CDs, bonds, bond funds or money market accounts.

Your Early 60s (Late Career)

Ask the Social Security Administration, your accountant or your employer’s personnel office to help you determine how much Social Security and pension income you’d get if you “retire early” and how much you’d lose compared to holding off on retirement.

Discuss with a financial advisor when to withdraw money from your tax-deferred retirement accounts, such as employer-sponsored retirement plans and traditional IRAs. After age 59 , you can withdraw your money without penalty but subject to income taxes. Under IRS rules, you must withdraw a minimum amount from 401(K), traditional IRAs and certain other retirement savings plans by April 1 of the year after you reach age 70 and each year after that. There is an exception to the rules for someone still working for the employer who sponsors the plan.

Consult with your legal or financial advisors about estate planning organizing your financial affairs so that your money, property and other assets can go to your heirs with a minimum of costs, taxes and hassles.

You may need or want to buy health insurance or long-term care (including nursing home) insurance. Consider the need for disability (wage replacement) or life insurance coverage.

Reduce your consumer debt as much as possible and consider the pros and cons of paying off your mortgage early. But if you think you’ll need to borrow money during retirement, determine whether you want to refinance your mortgage, take out a home-equity loan, apply for a credit card or otherwise take out a loan before you retire. You might have more options for getting a loan when you still have employment income. No matter what loans you have or how old you are, it’s important to keep your debts manageable.

Consider reducing your stock ownership and increasing your conservative investments. Possible portfolio: 30 to 60 percent in stocks or stock mutual funds and most of the rest in CDs, bonds, bond funds or money market accounts.

Your Retirement

The rules governing retirement can be complicated. So, about a year before you plan to retire, discuss your situation with a Social Security Administration claims representative. After you decide on a retirement date, apply for your Social Security benefits and other pensions about three months in advance. If you plan to work part-time, find out how this will affect your Social Security income or taxes.

Arrange to have your periodic payments, such as Social Security benefits, directly deposited into your checking account. Ask your personnel department or financial advisor about whether to receive your 401(K) money in a lump sum or periodic payments.

Reduce your debts as much as possible. Be careful before taking on new debt, such as a home-equity loan or a reverse mortgage.

Lean toward conservative, income-producing investments, but don’t rule out stocks or stock funds. Possible portfolio: 20 to 40 percent in stock or stock mutual funds and most of the rest in CDs, bonds, bond funds or money market accounts.

Sometimes you need extra money for unexpected expenses like car repairs, unexpected bills, health expenses, school expenses, or a myriad of other reasons. Where do you go to get money for these unplanned expenses? Personal loans are available from many different companies and lenders for consumers today whether you have good or bad credit.

Your first place to try to get a personal loan is from a bank or credit union. Many times, they can offer you a loan based on your credit record. Personal loans from a bank or credit union usually do not have collateral attached to them and they are loans based on your name and credit record. Banks and credit unions are a great place to go for a personal loan if you have comparatively good credit.

Another place that you can get a personal loan is from a personal loan company. There are many of these places that will give you a loan. They usually need you to list some sort of collateral, but if you have a job and a consistent home, then they will normally approve you. This is a good option if you cannot get a loan at a bank or credit union but you need to be a smart consumer and ask questions before signing any loan papers. You need to know the interest rate, the length of the loan, and the monthly or weekly payment amount. Make sure that you can meet the requirements of the loan or you will end up in a worsened financial situation.

There are other options available if the above two choice do not work out. You can take items from your home to a pawnshop to get a loan. This will be a higher interest rate, but if you do not have any other options, this is a good choice. A car title loan is an option, but you need to keep in mind that you will lose your car if you do not make timely payments. A payday loan company is also an option but you need to be sure that you understand the terms of the loan. You need to understand the terms of any loan that you take out to make sure that you can make the payments and pay the loan off. Some of these options are a last resort, but if you need the money for a necessity, it may be your only choice. Just be sure that you go into the loan process knowledgeable about the details of the loan.

There are times in your life that you will need extra money for unexpected or unplanned expenses. It is always best to plan ahead and have a savings account for these expenses, but sometimes it is just not possible. If you do not have any other options, then you may have to take out a loan to cover these expenses. Getting a personal loan can be stressful and difficult at times, but if you do your research and know what you are getting into, then you are sure to be satisfied with the result!