Every year around this time, I am faced with the task...ok, more the insatiable drive to rake through our finances and find savings wherever possible. It's almost an exciting game for me. (That tells you how utterly exciting I am.) You see, although I am not the proverbial breadwinner of my household, I am the financial controller of the Benecke Family.
So, you may be asking, how does one begin to tackle savings? Do you have to commit to some crazy, messy couponing and bulk shopping in order to save twenty bucks here or there? You can, if that's what floats your boat. Some people find it to be a relaxing hobby,while I find it almost as enjoyable as a root canal. I choose the path of least resistance. If it requires constant busy work, I won't do it.
My first area of focus is insurance. I find this to be the area where you can make the biggest impact in savings. Yes, it requires some phone calls and busy work initially, but once you find what you're looking for and get the enrollment setup, all you have to do is watch while your bank balance stays higher than it was last year. This year, I was able to save $130 per month on health insurance alone! Many people think that health insurance "is what it is." No so by any means! Just because your employer offers health insurance, doesn't mean it is going to be your best bet financially. Certainly it may not be the best financial investment when it comes to insuring your family. Get a broker, shop around. A good broker will actually watch rates and call you if s/he finds a better plan for your family.
Next up, you got it, all other insurance. Always shop around for home, auto, and life insurance. Always. Don't assume that since you shopped last year and got the lowest rates, that those rates are your best bet this year. A couple phone calls could mean saving $100 plus monthly.
The next step, comb through all those regular monthly bills that you just pay without thought all year. Cancel any subscriptions and services you are not using, or are not using to their full capacity. This can be cable TV, monthly massage memberships, car wash memberships, gym memberships, tanning, cell phone app subscriptions, magazines, the list is endless. We cancelled cable a few years ago and cut $200 plus monthly. Not one single regret since giving it up. If you are a sucker for these types of memberships, you could find HUGE savings in this area.
Finally, the painful part. Look to see where you're spending regularly, but really don't need to be or could stand to cut back. This is where you resolve to cut your daily Starbucks habit to once a week, reduce the frequency in getting pedicures, start renting movies instead of purchasing every movie you'd like to see, instead of eating out everyday for lunch pack your lunch Monday through Thursday and treat yourself on Friday. Start a menu and make a food budget and STICK TO IT. If you're an impulse shopper, make a list and do not stray from the list. Get your groceries delivered instead of shopping at those stores that are brilliantly setup to ensure you impulse buy an average of $30 more than you plan on per shopping trip. You know those stores (and you know who you are.)
Once you've done all of this, you'll be shocked at how much per month you can actually save. Although it may require some sacrifice, it's much less painful than getting a second job! If you're one to spend more than you make, use this monthly savings to focus on paying down credit lines with the highest interest rates. Once you are able to live within your means, you will find the feeling of financial stability to be far more rewarding than any of the "material things" you were wasting your money on before.
