Money-Wize

Spreading financial freedom through wise money choices.

12 Ways to Keep Your EXPENSES Below your INCOME (Part 3)

saving license plateHere are the last 5 of 12 Lessons we have Learned about Living Within Our Income:

8) Make a List and Stick to it! Whether you are grocery shopping, or shopping for other items, take a list with you and only buy the things on the list. This will curb your impulse spending and you will still get everything that you need.

9) Stay at least a Year Behind the Technology Curve. Don’t buy the newest x-pad or cell phone. It will go down in price by at least 30% in the first year, or as soon as the next model comes out. If you stay one model behind the curve you will still have all the technology you need and a lot more of your money.

10) DON’T pay Unnecessary Fees (‘Stupid Fees’ per Dave Ramsey). ATM Fees (In 2013 banks collected $32 billion in ATM fees. What? Yes, because we’re too lazy to go to our bank’s ATM, they have $ to build big buildings!); Overdraft Fees (just as dumb as ATM Fees); late charges on bills; convenience fees; etc. They kill us.

11) Shop for the Best Values. Here are some items you should re-shop every year: health insurance, car/home insurance, cable/internet, utilities (where there are multiple providers), cell service, etc.
Don’t apologize for asking for rates if you are shopping for an attorney, a CPA, a counselor, etc.
And when making any consumer purchases compare prices on the internet. You’ll be shocked how much you can save!

12) Think in terms of How Much I Have to Work in order to purchase this. Yeah, that pair of shoes is only $70. If I make $10 an hour I probably bring home at the most $8 an hour after taxes. 70/8 = 8.75 hours. I have to work a day+ to buy those shoes. Are they worth it?
This helps keep me from buying many things that I really don’t need.

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