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- Herausgeber: John Wiley & Sons
- Kategorie: Ratgeber
- Sprache: Englisch
Get smart and start saving--without sacrificing the things you love With high prices for everything from food to gas, how can you make ends meet--and still have enough for the things you love? 500 Great Ways to Save For Dummies is packed with creative ideas for cutting costs in small and big ways, in dozens of categories, ranging from groceries and healthcare to education, travel, and major purchases. This fun book helps you get into a saving mindset, know where your money goes, and whittle down debt. These quick tips are so easy you can start saving today! * Reduce everyday costs of groceries, restaurant meals, gas, utilities, home maintenance, healthcare, and insurance * Save money on fitness, pet care, entertainment, and all your hobbies * Cut costs on big-ticket items including vacations, cars, and appliances * Find free stuff, special discounts, and money-saving apps This is the only book you need to save money throughout the year!
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Seitenzahl: 241
Veröffentlichungsjahr: 2023
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500 Great Ways to Save For Dummies®
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Library of Congress Control Number: 2023936059
ISBN: 978-1-394-18399-9 (pbk); ISBN: 978-1-394-18400-2 (ebk); ISBN: 978-1-394-18401-9 (ebk)
500 Great Ways to Save For Dummies®
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Table of Contents
Cover
Title Page
Copyright
Introduction
About This Book
Foolish Assumptions
Icons Used in This Book
Where to Go from Here
Chapter 1: Managing Your Money
Seeing Where Your Money Goes: Your Expenses
Knowing Where Your Money Comes From: Your Income
You Gotta Have Dreams: Financial Goals
Creating Your Budget
Slashing Your Food Bill
Saving at the Grocery Store
Making Your Money Go Further
Shopping in Bulk
Eating Out
Tech to Save You Money
Cashing In on Car Savings
Saving on Gas
Extending the Life of Your Car
Staying Safe and Protected
Selling and Buying a Car
Tech to Save You Money
Saving Cold Cash on Utilities
Watching Water Costs
Zapping Your Electricity Bill
Lowering Heating and Cooling Costs
Tech to Save You Money
Fixing Up Your Home on the Cheap
Saving on Cleaning Supplies
Painting, Decorating, and Repairing Your Home
Finding Great Deals on Home Goods
Landscaping for (Nearly) Free
Shopping with Savvy
Saving with Discounts, Coupons, Gift Cards, and Cash Back
Getting First-Rate Stuff Secondhand
Buying Certain Items at Certain Times of the Year
Saving Even More Money
Tech to Save You Money
Being Clever about Clothes Shopping
Shopping Strategically
Shopping Secondhand
Tech to Save You Money
Saving on Hair, Beauty, and Personal Care
Cutting Costs on Hair and Massage Services
Spending Less on Hair and Beauty Products
Making Your Own Health and Beauty Supplies
Tech to Save You Money
Getting Quality Healthcare (Including Insurance) for Less
Saving on Healthcare and Insurance
Maximizing Your Medicare Benefits
Cutting Your Prescription Costs
Taking Care of Your Teeth
Looking for Savings on Eye Care and Glasses
Hearing Better for Less
Tapping into Technology Bargains
Getting Deals on TVs, Laptops, Computers, and Other Gear
Cutting Costs on Cellphones
Saving on Streaming, Cable, and Internet Services
Tech to Save You Money
Going Out without Breaking the Bank
Pinching Pennies at the Movies
Saving on Sporting Events
Enjoying Concerts, Theater, and Dance Performances on the Cheap
Tech to Save You Money
Studying Education Costs
Keeping Tuition Low
Seeking Financial Assistance
Cutting Travel Expenses
Getting Ready for Your Trip
Taking Flights
Using Rental Cars and Trains
Looking for Less Expensive Lodging
Eating Good Food for Less
Sightseeing at Your Destination
Timing Your Trip to Save Big Bucks
Tech to Save You Money
Enjoying Hobbies for Less
Reading for Less
Gardening While Growing Your Savings
Trying Other Fun Pastimes
Focusing on Fitness
Saving on Gym Memberships and Training
Exercising for Free (or Cheaply)
Saving on Sports Equipment
Tech to Save You Money
Having a Ball: Parties and Holidays
Hosting Parties and Other Gatherings
Enjoying Holidays and Birthdays on the Cheap
Giving Gifts
Tech to Save You Money
Providing for Your Pets
Adopting and Taking Care of a Pet
Visiting the Vet and Getting Pet Health Insurance
Tech to Save You Money
Turning Your Personal Finances Around
Saving on Home, Auto, and Life Insurance
Paying Less on Credit Cards — or Letting Them Pay You
Getting Help with Mortgages
Keeping More of Your Money
Tech to Save You Money
Investing for the Long Term
Finding the Right Advisor
Making the Most of Your Investments
Participating in Retirement Accounts
Tech to Save You Money
Index
Connect with Dummies
End User License Agreement
List of Illustrations
Chapter 1
FIGURE 1-1: Spending categories that are considered fixed expenses.
FIGURE 1-2: Spending categories that are variable expenses.
Guide
Cover
Title Page
Copyright
Table of Contents
Begin Reading
Index
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Introduction
As prices climb for nearly everything, from food to gas to healthcare and beyond, what can you do to spend less and save more? That’s where 500 Great Ways to Save For Dummies comes in. Here, experts reveal simple, secret, and successful ways to get more for your money. Taking off from “99 Great Ways to Save,” the AARP Bulletin’s most popular annual series published each July, we asked experts in their field for their top tips — and they told us.
About This Book
500 Great Ways to Save For Dummies is chock-full of ideas for slashing expenses in a variety of categories, including cars, clothes, technology, pets, entertainment, education, fitness, and much more. You’ll discover loads of insider tips for finding freebies. And experts offer pointers on turning around your personal finances and making the most of your long-term investments. Plus you’ll find handy apps and websites that can help you save big bucks!
But be a cautious consumer. While most websites and apps highlighted in this book are free, not all are. Check the fine print. And beware of privacy policies of any websites where you provide sensitive information. Also be cautious when using apps.
Here are eight tips for app safety:
In this book, you may note that some web addresses break across two lines of text. If you’re reading this book in print and want to visit one of these web pages, simply key in the address exactly as it’s noted in the text, as though the line break doesn’t exist. If you’re reading this text as an e-book, you’ve got it easy — just click the address to be taken directly to the page.
Foolish Assumptions
This book assumes that you want to keep more of your hard-earned money in your pocket, whether the economy is contracting or booming. You can find help in these pages if you want to do any of the following:
Get into a saving mindset even as prices rise.
Figure out your finances and prepare a budget.
Eliminate debt.
Cut car, home maintenance, and utility costs.
Save on food, healthcare, fitness, and other regular expenses as well as major purchases.
Go out on the town, pursue hobbies, and care for pets without breaking the bank.
Travel far and near without going into debt.
Icons Used in This Book
Icons are those fun drawings you see in the page margins now and again. Here’s what they mean.
This icon highlights money-saving benefits that are available to AARP members. Note: Please note that AARP discounts may change; we highlight those in effect when we went to press. If the URL is no longer active, or if you’re interested in even more discounts, visit aarp.org and search “member benefits,” or if you’re already a member, browse aarp.org/memberdiscounts.
Find deals specifically for active military and veterans marked with this icon.
If you’re 65 or older — whether or not you’re an AARP member! — you can save big bucks on tips designated with this icon.
Are you a student or do you have a student in your life? Discover discounts meant for students with this icon.
Where to Go from Here
You don’t have to read this book from cover to cover, but feel free to do so! If you just want to find tips in a specific subject, take a look at the table of contents or the index, and then dive into the chapter or section that interests you. For example:
Want to slash your food bills? Start with
Chapter 2
.
Eager to become a savvy shopper, even when you’re making major purchases? Check out
Chapters 6
,
7
, and
8
.
Don’t know how to save money on healthcare and insurance?
Chapter 9
shows you the way.
Looking to enjoy fun stuff like going out, hosting parties, and celebrating holidays for less? Get the scoop in
Chapters 11
and
16
.
Interested in strengthening your personal finances and investing for the long term? You’ll find lots of pointers in
Chapters 18
and
19
.
No matter what the economy is doing, saving money never goes out of style. Find ways to save on practically everything! And if you want even more tips, check out the AARP Bulletin’s “99 Great Ways to Save,” published each July.
Chapter 1
Managing Your Money
IN THIS CHAPTER
Tracking your expenses
Calculating your income
Exploring your financial goals
Creating a budget to help you manage your money
A budget is the first step to living within your means and, even more important, living the life you choose. Knowing your expenses, your income, and your financial goals is the foundation. In this chapter, we ask you to grab a notebook — or create an easy spreadsheet on your computer — to find out just where you stand financially so that you can move forward with financial awareness and stability.
We start by taking a look at expenses. How much do you spend each month? What are fixed expenses — those bills you pay regularly? What about variable expenses — those that fluctuate? Think about the difference between basic necessities and luxuries — needs versus wants.
Next, we look at income. How much do you earn? Do you have investments? Other streams of income? If you’re older, do you have retirement income?
Plus, we set our sights on the future. What are your financial goals? Going out to dinner more often? Fixing the roof? Visiting family more often or going on that dream vacation?
These are the types of questions you look at in this chapter. And, with the answers to these questions, you can begin to create a budget. When you become financially aware, your life can change in ways small and big. You can make room for things that matter so you’re living life on your terms.
Seeing Where Your Money Goes: Your Expenses
Tracking your expenses for a month or longer can show you exactly where your money is going. Write down what you spend in cash, by check, and through payment services such as CashApp, PayPal, and Venmo. Review your debit and credit card expenditures. Then look at periodic — including quarterly and annual — expenditures such as taxes, homeowners or renters insurance, and vacations. You’ll most likely discover spending patterns, some of which may surprise you. Perhaps you realize you’re spending way too much in a category, like takeout meals or multiple streaming services. Or maybe you find that your medications are depleting your income, and you want to look at discount cards or different insurance options.
Identifying fixed expenses
Fixed expenses are approximately the same amount of money every billing period, such as your rent or mortgage and car payments. Fixed expenses are paid weekly, monthly, quarterly, or annually. For example, you may pay for your car registration every year or two and your car insurance monthly or quarterly. Weekly fixed expenses may include things like a parking or commuter pass. Figure 1-1 shows various examples of fixed expenses.
FIGURE 1-1: Spending categories that are considered fixed expenses.
Allowing for variable expenses
Variable expenses, or variable costs, unlike fixed expenses, vary from month to month and may be items you regularly purchase or ones you buy only occasionally (see Figure 1-2). Common variable expenses include areas like the following:
Groceries
Gas for your car
Food for your pets
Items for any hobbies
Personal care items like hygiene products or makeup
FIGURE 1-2: Spending categories that are variable expenses.
These types of expenses can be more challenging for you to track. Depending on the time of year or stage of your life, your spending in these categories can fluctuate. You may spend nearly nothing in a category like household items one month and then easily spend a few hundred dollars there the next month. You may spend a lot more money during the holiday season between vacations and gifts.
Once you’ve tracked variable expenses for a few months, you’ll have an easier time assigning a monetary value to them. A category may occasionally spike, initially throwing everything you had planned off course. You’re going to figure this all out.
Calculating your total spending
Now you’re ready to evaluate what you spend every month. Grab your notebook or open up your spreadsheet and follow these steps:
Make a list of your fixed expenses.
In addition to your housing expenses, list car payments and fun things like gym memberships, subscription boxes, and streaming services. Divide these into categories. For instance, under housing you’d put mortgage or rent, homeowners or renters insurance, and utilities.
Make a list of your variable expenses.
Just as you did for fixed expenses, put your variable expenses in categories.
Add up the total monthly costs for fixed expenses each month.
You now clearly see how much you spend every month on your fixed expenses. Once you’ve done this for a few months, compare your fixed expenses month over month.
Add up the total annual costs for variable expenses.
Because these are periodic, not monthly, you’ll need to gather your expenses over time to see your annual costs. To get a monthly estimate, divide by 12.
Evaluate whether you need those expenses.
Consider whether all your expenses are necessary. Do you need to spend money on a gym membership every month, or can you find a cheaper way to work out, such as walking on local trails? If you’ve signed up to get monthly items or deliveries, do you have the option to pause them and work through your current supply instead?
Assess your larger expenses, too — not just the minor ones. For example: You realize rent may be costing you more of your take-home pay than you’re comfortable with. Moving can be expensive, but make a note to research other living arrangements when you get closer to the end of your lease.
Understanding needs versus wants
Fixed and variable expenses can include both needs and wants:
Generally speaking,
needs
include categories such as rent or mortgage payments, food, gas to get to and from work if you commute, and health care, including medicine.
Wants
are things like eating out, getting a new cellphone when your current one works fine, and going to concerts and movies.
Consider ways to save on both needs and wants. For instance, on needs, look for weekly specials at the grocery store. For wants, find deals at the cosmetic counter.
The difference between needs and wants can get murky quickly, especially because one person’s want may genuinely be another person’s need. Spending money on your wants is perfectly okay; you just need to figure out how to budget for them.
Be realistic when determining your wants and needs. Suppose you have a specific life situation that requires you to spend a bit more on your variable expenses. If so, budget for it. Perhaps you have a busy, stressful job. Maybe getting a massage once a month and ordering takeout a few times a week makes your own and your family’s life manageable. Perhaps you pay more in a specific category, like eating out, than people say you should. But being realistic about your spending will help keep you on budget.
Knowing Where Your Money Comes From: Your Income
Your income is an essential component of your budget. Knowing how much money you have coming in helps you make sure your expenses don’t exceed your income. It can also help you set realistic goals for all areas that relate to your finances and perhaps even quality of life. When tracking your income, you may realize you have more than you initially thought you had. On the other hand, when you look at your income and expenses, you may find you have a spending deficit, which means you need to find ways to either cut back or earn more.
When discussing your work income, one dollar amount you need to keep in mind is your net pay. Net pay is the amount of money left after any withholdings you may be subjected to, such as federal and state taxes, FICA taxes (supporting Social Security and Medicare), health insurance, and any wage garnishments you may be paying off. Your net pay is the money you have to pay your fixed and variable expenses and put toward savings and your goals.
Your income may also include earnings from your investments and other sources such as, if you’re older, retirement income.
Depending on a monthly income
The first type of income you should consider is what you earn monthly to cover all your expenses. Monthly income can come from various sources. While it can be consistent, it can also be different from month to month. Here’s a list of different types of monthly income you can earn:
Income from full-time and/or part-time employment:
This is income you receive from an employer that has you on its payroll. Some jobs pay a
salary
— a flat amount of money per paycheck — and others pay an hourly
wage.
Unlike a salary, hourly income can fluctuate because the number of hours you work may vary.
Income as a self-employed freelancer or consultant:
Freelancers and contractors are considered self-employed, but the main difference is that
freelancers
generally balance more than one client and work on projects with a short timeline.
Contractors
often work with one main client on a longer time frame. (For tax purposes, there is no distinction between the two.)
Pensions and other paid retirement plans:
A
pension
is a type of retirement program that an employee, an employer, or both pay into. The plan pays a fixed sum to the employee at regular intervals upon retirement. Some pensions require you to work for the company for a certain number of years before you’re eligible (or
vested
). Federal, state, and local government or other public sectors also allow for paid retirement plans.
Self-funded retirement plans:
Outside of traditional pensions or government-paid retirement plans, you may receive payments from retirement accounts, such as 401(k)s, 403(b)s, and IRAs. These types of retirement accounts allow you to save for retirement by investing.
Social Security retirement benefits:
When people talk about receiving Social Security, they’re usually referring to retirement benefits. Every year you remain in the workforce, you can receive up to four work credits. After you’ve earned 40 credits, you’re eligible to collect benefits. When you can start receiving Social Security retirement benefits depends on when you were born. The longer you wait to receive benefits, up to age 70, the larger your payments. For up-to-date information, visit
www.ssa.gov/retirement
or see AARP’s
Social Security For Dummies.
Social Security Disability Benefits, Supplemental Security Income, and survivors benefits: Social Security has three other benefits. If you’re disabled, you can receive two different types of benefits.
Social Security Disability Insurance (SSDI)
benefits are granted when you meet the Social Security Administration’s definition of having a disability and you have earned enough workforce credits, depending on the age you become disabled.
If you’ve never worked due to a disability, you can qualify for
Supplemental Security Income (SSI)
.
Last but not least, if you’re a child, spouse, or parent who relies on someone in the workforce to support you and that person dies, you may be eligible for survivors benefits.
You can create a Social Security account at www.ssa.gov/myaccount. Doing so allows you to check your workforce credits and the money you’ve paid into Social Security and to get an estimate of your retirement benefit payment. You can also check to see what other Social Security benefits may be available to you, such as disability insurance or survivors benefits, along with the amount you or a loved one would qualify for. This information can help you budget better for life circumstances and save for retirement.
Cash benefits from the state:
You may qualify for cash assistance in some states, depending on your situation. Temporary Assistance for Needy Families (TANF) is one example. Along with cash assistance, other benefits you may be eligible for are work assistance, specific training to enter back into the workforce, and help with childcare. Find out more at
www.benefits.gov/benefit/613
.
You Gotta Have Dreams: Financial Goals
You’ll want to set aside money for emergency expenses. But you’ll also want to set financial goals. Goals can be simple, like going to a concert once a month. They can be moderate, like treating the family for dinner every Sunday or saving enough so you can retire comfortably. They can also be ambitious, like taking a dream vacation. After you’re clear on your financial goals, figuring out the steps to get you there is easier.
Setting financial goals can help you live a better quality of life, which can mean the difference in where you can afford to live, what you do in your free time, whether you can take a leave of absence due to a life-changing emergency, and when you can retire.
Saving for your future
Life is short, and putting money aside for your future sets you up for long-term financial security — and happiness. In addition to retirement accounts, you may need a new car for transportation to and from work. Maybe the perfect home of your dreams hits the housing market, and you see yourself establishing some roots! You may have kids or grandkids heading off to college — or you may want to go back to school yourself to make more money so you can have an even sounder budget than before. Somedays can turn into your current day, so you may as well plan for them.
Saving for the future can also include fabulous trips you want to experience, like sightseeing in Europe or wine tasting in Napa. Maybe it’s establishing a scholarship fund in someone’s name at a local nonprofit, redecorating your house, or buying a muscle car to restore. Your future needs to include fun, and your budget helps you do just that.
Make sure your goal is actually yours. You may hear, for example, that the way to make the most money is to become your own boss. It may not be as easy as some people claim. Many people quit their jobs to become entrepreneurs but don’t have a clear plan or realize they aren’t suited for self-employment at all. Make sure whatever financial goal you choose is one that you want to achieve, so you’ll put in the hard work to make it your reality.
Paying down your debt
Another financial goal you may want to set is paying down your debt. Debt isn’t evil if you use it strategically. But having even
