SAVING MONEY

Tips that may help...

Budget:

Yes I used the "B" word. I always think of budgets in the same light as diets. Everyone hates being on them, but we love the results. This is not rocket science, just draw up a list of all of your regular expenses, add your normal food costs, rent or mortgage, credit cards, car payments, etc. etc.etc. and then compare that to the total income for the household. Does it balance, is there anything left?

FREE WEEKLY BUDGET CALCULATOR

If you have Microsoft Excel the above calculator would be invaluable, but a sheet of paper can work just as well. Keep a track of all bills and just monitor what the cost of living really is. You may be amazed by the results. Work out ways of reducing costs, and perhaps increasing income. You don't know what you can achieve until you try. It's not easy, but you will help your situation by doing this. Good Luck.

Credit Cards:

These are a convenient way of carrying money for some, but a curse to others. The problem it is all too easy to spend money you don't have. If your one of the latter, then cut your card up and contact the bank or financial institution and cancel the account. You will have to repay the debt, but you can pay it off.

If you really must have one of these, keep your limits small. Credit Cards are one of the main reasons for default notations and personal bankruptcies.

Mobile Phones:

The world has gone mobile mad. We talk, sms, take photos, send photos, email, watch TV, and now we can watch who we are talking to. What an incredibly useful tool, but it costs money. Just be sensible with these, don't take the lowest plan if you intend to use it constantly, as it will cost you more in the end. Remember that it all costs money, and you may not have that money when the bill arrives. If you don't use common sense, you will have to pay big dollars. These gadgets are the biggest reasons for bankruptcies and default notations with adolecents.

Motor Vehicle Costs:

The price of petrol is not going down. so here are a few tips that may save you some motoring costs: -

• Wherever possible get rid of gas guzzlers such as V8's and large 4X4 (SUV's in the USA) and look for more fuel saving vehicles and that will halve your motoring costs. If you can afford hybrid fuel vehicles like the Toyota Prius and the Honda Civic Hybrid, you will drastically reduce your petrol costs again (about 4.6L/100klm).
• Are you a Rev Head? Just work out if you really can afford this indulgence. The cost in extra fuel, tyres, vehicle maintenance, and greater depreciation of your vehicle will be more significant than you realise.
• Car Insurance - shop around for lower prices. Try putting all of your policies (home, contents, and vehicle) with the one company and see if they will offer you a loyalty deal.
• Drive smoothly, avoid quick takeoffs and sudden braking. This just wastes fuel.
• Car pool to work wherever possible.

Telephone Costs:

You don't have to use Telstra or Optus for your home phone anymore. For broadband users there are new alternatives that will save you money.

• Try a VOIP phone provider (Voice Over Internet Protocol) In the past these have been poor quality, but the new generation technology has changed all of that. One option is Skype, but there are others. They will all save you 50% or more on your bill. Calls overseas can be either FREE or about 3.5cents per minute. Local and national calls are usually about 10cents untimed. If you call interstate or overseas then this will save you quite a lot. Calls to other Voip users is often FREE.
• If you have broadband and an up to date computer, you may as well download Skype video so that you can see your friends or relatives, and talk to them at the same time, regardless of where they are in the world. This is FREE. It can't come much cheaper than that. Don't stay in the 20th Century, move on up to the latest in communications at zero cost. You can be ahead of the pack and it won't cost you a cent. Check it out at http://www.skype.com/download/skype/windows/
• If you don't have broadband but are a heavy phone user (family elsewhere or overseas) it may pay you to instal ADSL or Cable to get the benefit of lower phone costs, as well as access to the ever popular internet.
• If you don't wish to instal broadband, then ask your phone company if they can give you a discount. They will usually bundle your phone and mobile together and give a loyalty discount of 5% or so on both phones. If you don't ask them for a discount, you won't get one.

Shopping:

Avoid impulse buys that will only add to your shopping bill. Whilst you should buy quality food at the best possible prices, expensive items or out of season fruit etc. should be avoided. Make a list of what you need, and stick to that list.

If you are internet savvy you may get some assistance out of a FREE shopping list site that allows you to draw up a shopping list online, and the either print, email, or send the list to a PDA so that you always have the list with you when you shop. The site is www.ishopezy.com and has been develpoed by Australian website developers. This site also has a sharing facility so that all members of a household can contribute to the list. This is ideal for busy households where everyone can be responsible for ordering their requirements.

Cigarettes:

What can I say? You must know about the risks, and you are still smoking? I'm not going to lecture, but for one week just count the cost of this habit, then multiply it by 52 to get the annual cost, and then make your own decision.

Would it help if you had that amount of money in your pocket now?

Do you want to live?

Alcohol:

In our society it is a bit hard to go without, but we can reduce the cost of what we drink by shopping around and looking for more modestly priced beer/wine/spirits. Truth be told we can also reduce the amount that we drink without becoming a wowser. Either way, or a combination of both methods will reduce our costs.

Take-Away Meals and Restaurants:

Make a special treat of these,takeaways once a week perhaps, and restaurants on special occasions, but don't use takeaway regularly. It is expensive, unhealthy if overused, and will add to your medical costs later in life.

Use BYO restaurants to reduce the cost of your alcoholic beveridges.

Did you say you can't cook? No Problem - go to a secondhand bookstore and buy a cook book for $2 and you will be an expert in no time.