There are lots of ways to save on food. Some will be appetizing to you, some won’t. But there are few things in life tastier than paying off debt and achieving your monetary objectives. Stacy Johnson from MoneyTalksNews.com shares his tips for saving dough at the supermarket.

1. Cook from scratch: Making meals from scratch is probably the single best way to save on food. Because the more prepared the food, the more it costs. Ironically, less expensive home-made is also normally better for you as well.

2. Generics: Sometimes generics aren’t as good as name brands. In those situations one might choose name brands. But for things like flour, sugar, salt, bleach or virtually dozens of other items you find in the grocery store, the only discernible difference is price. Paying more for an identical product is more than extravagant; it’s stupid.

3. Lists: Writing down what you came for and ignore everything that’s not on your list. This will save you money. It will also save time and fuel expense by preventing repeat trips to the store for things you forgot.

4. Stoop and bend: Smart merchants place the most profitable items at eye level and on end-caps. Stoop, bend and look around for the best values.

5. Coupons: For decades, coupons have been a shoppers best friend. These days online coupons have made them easier to find and use. If you haven’t used a coupon search engine yet, do so. It’s a new routine. Internet first, then store.

6. Warehouse stores: The savings you can find at warehouse stores are well-documented. Here’s a story we did on the five best deals.

7. Salvage grocery stores: these are harder to find, but if you happen to live near one, the savings are huge: up to 50%. Here’s a story we did on salvage stores and here’s a list of them by state.

8. Don’t shop hungry: It makes you buy more.

9. Shop alone: Kids, and spouses who act like kids, will often whine, cajole, or otherwise try to influence you into impulse buys. Leave ‘em at home.

10. Always overcook: then freeze. That saves the time you need to be able to cook from scratch.

11. Substitute cheaper ingredients: for more expensive ones.

12. Weigh pre-weighed produce: Use the handy scales in the produce department to weigh pre-weighed bags. For example, if you’re buying a 10-pound bag of potatoes, weigh them. Some will be 9 and a half pounds, but some might be 10 and a half for the same price.

13. Repackage: Put small quantities of leftover sour cream or other perishables in smaller containers; they’ll last longer. Cookies, crackers, and the like will also last longer if stored in glass jars.

14. Grate savings: You pay more to have someone else grate your cheese for you. You’ll also save by cutting up whole chickens, slicing your own pickles, slicing meat for cold cuts, and using a blender or rolling pin to make your own bread crumbs.

15. Save on starch: Fancy boil-in-bag or flavored rices routinely cost 10 times the amount of the old-fashioned kind. All it takes to make rice is the ability to boil water! Bags of smaller potatoes are often half the cost per pound of big baking potatoes. Bake two little ones instead of one big one. Your stomach won’t notice.

16. Save on protein: The simple proteins found in beans are better for you and obviously much cheaper than the complex ones in meat, fish and poultry. In other words, eat less meat!

17. Milk your budget: Milk about to expire? Freeze it. You can thaw it out and use it later. Same with things that might be rotting in your vegetable drawer: onions, parsley, tomatoes, garlic. Not only will freezing keep it from rotting, it will keep it from stinking.

18. Butter up the cheese: Lightly buttering the edge of semi-hard cheese makes it less likely to form mold or dry out.

19. Extend yourself: Adding cottage cheese to hamburger will enhance the flavor, add protein, and allow you to increase servings from four to six per pound.

20. New life for old bread: Leftover bread and rolls can be toasted in a toaster oven and chopped up into croutons.

21. Alter your recipes: Nobody will sue you if you alter your recipes a little. You can substitute cheaper veggies (sliced carrots) for more expensive ones (zucchini). You can also probably reduce the cheese or sugar in your baking slightly, without noticeably altering the taste. Keep in mind that recipes will often “round up” ingredients to make them easier to measure. When you read a recipe, look for ingredients that might just be included to enhance the color instead of taste, and try eliminating them. There are ways of stretching just about everything. Make your cookies and muffins a bit smaller and make more of them. Add a little more water to your concentrated juice. Add extra potatoes, beans, etc. to stretch casseroles and soups.

22. Make your own salad dressing: Mix 1/2 cup of vinegar, 1 1/2 teaspoons of salt, 1/4 teaspoon of pepper, 1/2 teaspoon of dry mustard, 1 minced garlic clove and 1 cup of salad oil. Voila! Delicious salad dressing at a fraction of the cost.

23. Grow your own! Next time you buy fresh garlic, save the four inner cloves. Plant them about 1/2 inch deep. In less than six months, you’ll be in garlic city! There are many other herbs and vegetables that you can grow yourself, so check ‘em out.

24. Don’t buy water. Ever. The fact that people pay for water is further proof that enough advertising can make people do just about anything. If you really have concerns about water quality, buy a cheap water filter and fill your own bottles.

25. Be a migrant worker: If you live near an area that grows fruit, vegetables or produce, go to a pick-it-yourself farm for bargain prices, fresh air, and a reminder of why you work in town.

26. Creative leftovers: Nearly every meal ends up with a few odds and ends that aren’t eaten. Keep two lidded plastic containers in your freezer. After every meal, put veggie bits in one and meat bits in another. You can then periodically sprinkle the bits of meat on your pizzas, or combine the two and make a great soup!

27. Keep lettuce longer: Wash your lettuce thoroughly, then go outside and swing it around in a pillowcase to get rid of the excess water (and to amuse your neighbors). When you’re done, put it in an airtight container and it will last at least two weeks in your refrigerator.

28. Remember, you are what you eat. Which would you rather be: an apple or a candy bar? One of the best things about saving on food is that what’s cheaper is often the same as what’s better for you. Apples cost less than candy, are more filling, and are much better for you. Water is not only healthier than soda, it’s nearly free (from the tap). Legumes are a cheaper source of protein than meat, and better for you as well.

source

Have you been eying your best friend’s outfit? Ready to get rid of some of that clutter in your closet? Check out this article on how to host a great clothing swap to reinvent your wardrobe!

What could be better than clearing the unwanted clutter from your closets, refreshing your wardrobe and saving big bucks all at the same time? Enter the clothing swap—the perfect antidote for those recession-savvy shoppers who still have the urge, but not the budget, to buy, buy, buy. Start by filling a bag with clean, hardly worn tops, skirts, pants, sweaters and jackets that you no longer want (or fit into), then read on to find out what you need for a successful swap where everyone finds something that’s new to them…without it costing a penny.

1. Give Advance Notice

Send electronic invites to potential swappers at least a month in advance so people have time to clean out their closets. A perfect size group for swapping is 10 to 15 people, although some believe the bigger, the better.

2. One Size Doesn’t Fit All

Be sure to invite women in a wide range of shapes and sizes. It’s no fun to swap clothes if you’re the one size 10 in a roomful of petite 2s and 4s.

3. Make Sure You Have Enough Space

All you really need is a large room or backyard. If you don’t have enough room at home, see if your local community center, school, church or synagogue will host the event if you open it up to the wider community. Make it more social by asking everyone to bring a potluck dish or a bottle of wine to make it a fun ladies’ day or night out.

4. Set Some Rules

“Our motto is don’t bring anything you wouldn’t give to a good, picky friend,” says Loren Silber, who runs the Five Boroughs Clothing Swap, a Meetup Group that holds swaps every other month in New York City. In other words, no stained, ripped or outdated clothing. She also suggests, “No swapping until everyone puts their stuff out so it’s not a mad free-for-all.”

5. Organize the Offerings

Have a system planned so everyone doesn’t just dump their stuff on the floor, says Lauren Weber, a regular swapper and author of In Cheap We Trust: The Story of a Misunderstood American Virtue. Have guests pre-sort their own items either by size or category. Supply boxes, tables, hangers and clothing racks labeled Tops, Pants, Dresses, etc. Weber has also been to swaps where the women “present” their offerings to a more intimate group, telling the story behind each item and then putting it up for grabs.

6. Don’t Forget the Mirrors

The key to a successful swap is good lighting and a few full-length mirrors so people can try on what they’re thinking of taking. Create a semi-private dressing area with a screen or by hanging a sheet to ensure a little bit of privacy. And, just in case, Weber suggests you wear your best undies. “It’s inevitable that you’ll be stripping down in front of total strangers to try things on.

7. Swap All Sorts of Stuff

Don’t limit your swaps to clothing, accessories and shoes. Broaden the offerings by having everyone bring household knickknacks, unopened cosmetics, books and unwanted holiday gifts to trade. Or hold a themed swap that features only dressy or vintage attire, or even kids clothing and toys.

8. Try Something New

If you’re usually a preppy dresser, don’t come home with a bagful of crewneck sweaters and khakis. It’s a great opportunity to let loose and try a whole new look. Hey, it’s all free, so what do you have to lose? asks Silber. If you’re unsure about whether something looks good on you, just hold an impromptu fashion show where everyone tries on their “iffy” finds. The group’s reaction will let you know if something is a keeper. And there’s no need to worry if you don’t wear that sexy hot-pink camisole you took home; you can always donate it next time.

9. Avoid Fights

So what do you do if two women each have hold of one sleeve of a designer sweater and no one is letting go? Or each claims ownership to a single shoe from the same pair? Keep the peace by having them take turns modeling the item and “let the group decide who wears it best,” says Weber.

10. Make a Charitable Donation

Arrange in advance to have a charity pick up any unclaimed items afterward, or contact a homeless shelter, thrift shop or similar nonprofit organization to make sure they accept drop-off donations. You can also plan for your next swap or charitable donation by making it a habit to keep a shopping bag right next to your closet for any clothes you try on that don’t make the cut, says Weber. “That way, you’re always ready for a last-minute swap.”

Do you find yourself constantly trying to make a dollar out of 2 cents? Here are a few tips to help you enjoy yourself while maintaining that much-needed budget!

I got the biggest shock of my life the day I realized that living on a budget wasn’t the straitjacket or rigid “diet” I assumed it would be. In fact, it was my life as a credit card junkie that put me in financial bondage. A budget saved my life because it allowed me to get out of debt. It gave me back my freedom. Want to know my secret for staying on a budget for so many years? I splurge. Seriously. And I do not feel guilty. I love nice things and I love to travel.

Even while I was getting out of debt, I didn’t banish all of these things from my life. In fact, my occasional guilt-free splurges are what helped me stay on a budget. Since I never felt deprived, I found it a whole lot easier to stick to my plan.

Calculated splurging is not difficult. In fact, I think you’ll find it makes a lot of sense. And the bigger payoff is the financial maturity that comes with delayed gratification. Planning and waiting really does make you more appreciative.

1. Make a List
This is the fun part. Think about your splurges of choice. A haircut and color at a great salon? A luxe lipstick? A big-ticket item like a new laptop? Write down all the things you want.

Get specific, but don’t worry if you can’t think of everything right now. You’ll be changing this list often in the future. The point is that slowly, one at a time, you can find a way to work these splurges into your budget.

2. Open an Account
Whether it’s a savings account at a bank or credit union, or an online savings account, you need a place to save for your splurges. Make it a place that you won’t be tempted to dip into yet is still convenient enough for you to make deposits.

No more living with regret paying 27.99 percent on a creditcard bill well into the next decade. You’ll simply postpone and anticipate the splurge until you’ve accumulated the cash to pay for it. See? No guilt.

3. Review Your Habits
Sure, you’ve always used that pricey salon shampoo, but it’s important to ask yourself whether that’s a meaningful splurge or just an old habit. Check the drugstore: You’ll find great brands for a lot less money. Same goes for the grocery store. Do you need a specific brand of canned veggies, flour or cereal? Probably not, so go for the cheapest.

Here’s a good rule of thumb: Say no to say yes. In other words, cut back where it doesn’t matter so you can buy the things that do.

4. Find the Cash
Start thinking of ways to bring in a little extra spending money to fund your account. Perhaps you can sell some things online. Determine to spend $10 less at the supermarket this week, and put that money into your account. Next week, make it $15.

Take your coupon savings in cash and add that to your splurge account. When you get a raise or pay off a bill, put some of it into the account. Even a dollar or two here and there will add up quickly if you’re consistent. In my house, she who does the laundry keeps the money that ends up in the bottom of the washer. And when I get money for my birthday or a refund on something I return, that money goes into the account, too.

5. Look for Deals
Buy on sale (your everyday stuff as well as your splurges) whenever you can. I am a big fan of Bath & Body Works’ line of body butter, which is a splurge for me. And I don’t deny myself. However, I wait until one of the store’s big sales (they happen several times a year), which makes the splurge that much sweeter.

6. Rethink Eating Out
You don’t have to banish eating out from your life because you’re on a budget. Just shift your thinking: A meal out shouldn’t be something you grab on the run, it should be something special that requires planning. Keep an envelope with restaurant coupons in your bag. Dine where the kids eat free on a specific night. Instead of an entire dinner at a fancy restaurant, splurge by going just for dessert and coffee. Or go for lunch, which is usually cheaper. (Same ambience, less money.)

7. Shop Smarter
Think about changing where you shop. Instead of the mall, head to a thrift store or a shop that benefits a certain charity, where prices will be a lot cheaper.

Stores that carry gently used items are exploding with business these days, and they’re bigger and better than you might imagine. Discover the joys of consignment clothing stores, where you’ll find better quality and beautifully displayed near-new clothing at hugely discounted prices.

Want to know the best fringe benefit of splurging on a budget? No more impulse shopping. You have time to breathe and to think. And even to change your mind altogether—you may decide to just skip the spa day so you can keep saving for the European vacation. It all depends on what matters most to you.

Source

Lisa Rogers-Cherry is the author of Lifting the Burdens of Debt: A Helpful Guide to Getting Your Debts Paid and Your Life Back on Track (2005; $14.95). Lisa writes monthly financial tips for www.bloggingblackmiami.com and writes articles for various newpapers and magazines. If you have a question or for more information go to www.redpenpress.com, e-mail her at Lisa@redpenpress.com, or write Lisa Rogers-Cherry, Red Pen Press, P.O. Box 1196, Dania Beach, FL 33004

You don’t need us to tell you that right now, it’s smart to function on a leaner, meaner budget. But it’s hard to do that when you’re oblivious to where all your cash goes. Well, stop scratching your head, and consult this list of innocent little expenses that may be siphoning off your bottom line— then save even more cash with these brilliant ideas.

1. IRS withholdings. Many people have money withheld from their paychecks in the hopes of getting a fat refund. But doing that is like giving the government an interest-free loan. Instead, change your W4 filing—just ask your employer for a new form—so that you get as much money as possible up front. Then discipline yourself to put that portion in the bank, where you’ll earn interest.

2. Dry cleaning. Dropping off your nice clothes at the cleaners can cost $5 or more per item…and that adds up. But thanks to such products as Tide Total Care and Dryel, you can give TLC to your finer duds while using your home washing machine and dryer. They both cost under $15, will clean at least 16 garments, and can be found at your local drugstore. While you’re there cash in on these great deals.

3. Eating out. Catching up with friends over dinner is something no girl should have to give up. But you can enjoy the fun vibe of a restaurant without racking up a big bill by eating bar food instead of pricey entrées. Start a dinner club with friends and eat for amazing meals for the price of one.

4. Movie rentals. Unless you’re pulling in a Jolie-Pitt–size salary, it’s a good idea to sign up with an online movie-rental company, such as Netflix. For $4.99, you can get two rentals a month, which is about what it costs you to check out just one flick at your local movie store. Or opt for the $8.99 plan and get unlimited rentals. Add these simple switches to your routine to save even more cash.

5. Manicures. Let’s do some grooming math: Getting a mani once a week can add up to $60 a month. That’s $720 a year! Stretch your nail maintenance to every two to three weeks by picking only light-colored polishes—when they chip, it’s not as noticeable. So learn how to do a pro job on your own.

Source: Cosmopolitan.com

Though the prices of certain designer items may seem higher and more ridiculous than ever, we have some surprising news for you: clothing is cheaper than ever before. In addition to that, Americans are spending far less of their disposable income on clothing and shoes than they have in the past.

Dr. Mark J. Perry, professor of economics and finance at the University of Michigan, found that Americans spent almost $326 billion on their wardrobes in 2009. Sounds like a ton of money, but that only made up 2.98% of their disposable incomes. That’s the lowest amount in U.S. history! In comparison, the average American spent 9% of their income on clothing and shoes back in 1950.

So does this mean we are shopping less? By the looks of our overstuffed closets we’d have to say no. With a far greater selection of garments and footwear to choose from than in the past, constantly fluctuating trends, increased materialism, and the advent of online shopping, we’re definitely greater consumers than previous generations. But since 1992, the price of clothing has dropped 8.5% even taking inflation into account. Isn’t that incredible? It’s nice to know, especially during a recession, that we are in fact spending less of our hard earned money.

Source: Yahoo Shine

These tax tips are excerpted from Ginita Wall’s booklet “150 Ways to Save Taxes Through Life’s Transitions.”

The booklet includes tax tips for eight major life events, including going to school, beginning a job, becoming a family, business ownership, divorce, and retirement, plus bonus sections on tax troubles and year-end planning.

Education

1. Withdraw penalty-free from your traditional IRA to pay higher education expenses for yourself, your children, or grandchildren. You’ll have to pay tax on the withdrawals at your regular income tax rate, but no early withdrawal penalty will apply.
2. File a tax return every year you are due a refund. If your earnings are so low that you are not required to file, you’ll need to file a return in order to claim a refund of withheld income taxes. If you wait more than two years to file, the IRS is not required to issue you a check.
3. Keep track of the cost of books and equipment you purchased while in school. When you begin working, you may be able to depreciate those items that you use for your career.

The Working World

1. Start investing in 401(k)s, stock purchase plans, employee stock options, and other tax-advantaged accounts as soon as possible. Small contributions made at an early age are much more valuable than large contributions made a few years before retirement.
2. Learn about your company’s fringe benefits. Large employers often have tuition assistance plans, free employee counseling, mass transit commuting assistance, and other tax-free perks that might not be common knowledge around the water cooler. Visit human resources for a chat about what your company offers, or check out your company’s website.
3. Consider paying your own disability premiums. If you become disabled, your disability benefits will be tax-free. If your employer pays your premiums as a tax-free perk, disability benefits will be taxable when received.
4. Only borrow from your 401(k) in an emergency. You have the option, if you really need the money, to borrow these funds without taxes or penalties. However, the interest you pay on the loan won’t be tax deductible, and you will miss out on the capital appreciation of the money if you’d left it invested it for growth in the plan.

Family Life

1. Set aside money in your employer’s dependent care plan. Although tax-free reimbursements by your employer reduce the child and dependent care credit you are allowed to take, they are still a good deal for taxpayers in the 20 percent tax bracket and above.
2. Claim the child tax credit. If your income is under $75,000 ($110,000 for joint filers) you are eligible to receive up to $1,000 for any child, stepchild, grandchild, adopted child, or foster child in your care.
3. Claim the adoption tax credit when you adopt a child, if your income is under $210,810. You can claim a tax credit of up to $11,390 for adoption fees, attorney services, court costs, and other expenses in the year the adoption is final.
4. If necessary, withdraw from your traditional IRA to meet medical emergencies, for education, or to buy a home. You can withdraw money from your IRA penalty-free (but not tax-free) before age 59-1/2 to pay for medical expenses that exceed 7-1/2 percent of your income, to pay for health insurance premiums if you are unemployed, to pay for higher education expenses, or to pay up to $10,000 of first-time home-buying expenses. If you desperately need money for one of these qualified expenses, your IRA is a place to start.

Business Ownership

1. Deduct 100 percent of the health insurance premiums for your entire family. If you employ your spouse in your business, you may cover him and deduct the entire premium as an employee benefit.
2. Deduct an office in your home. If you regularly and exclusively use part of your home to perform administrative or managerial activities for your business, you can claim a home office deduction for utilities, rent or mortgage interest, depreciation, phone use, cleaning, and the like. You can still take this deduction even if you provide products or services at other locations.
3. Read more. Subscriptions, books, and other materials related to your field are tax-deductible items. Ditto conferences, seminars, and courses related to your work.
4. Use consulting agreements when you buy or sell a business. For example, if the buyer hires the seller on an exclusive contract, the seller will be able to set up a Keogh plan, as well as deduct ordinary and necessary business expenses. The buyer will get a current tax deduction for salary paid to the seller.

Source: GalTime.com

1. Pay with actual cash when you can.

2. Set up an instant no-brainer budget. The “envelope” budgeting approach will help you get in tune with your spending in a snap. The idea is that you carry around just the amount of cash you want to devote to various spending categories (lunch, entertainment, cute shoes) for that week. Try it for the first couple of weeks in January and see how it affects your purchasing. Chances are it’ll keep you from frittering away your money so much so that you’ll tell the whole family to play along.

3. Keep your big wants/dreams in the forefront of your mind. Think of every financial decision in the context of your larger money goals (be it buying a new coat, paying cash for your next car, or securing your retirement). Before you toss a gossip magazine into your grocery cart while waiting in the checkout line or buy something just because it‘s on sale consider whether or not such purchases get you to that two-week cruise or covering Junior’s college costs.

No, I don’t advocate sacrificing all short-term pleasures (love those gingerbread lattes, by the way). But combined with the budgeting method above, this is a pretty powerful motivator to keep the mindless spending in check.

Write a list of your big money goals on a small index card and keep it in your wallet. This constant visual reminder of what you really want to do with your money will make you think before you buy anything that doesn’t align with your real wishes.

4. Always shop with a list. It may be cliché, but shopping with a list will keep you honest. Studies show that as much as 60% of supermarket purchases are unplanned. With the average family shelling out $5,000 for groceries each year, that’s $2,000 of unnecessary stuff running across the scanner.

Source: The Motley Fool

Eating out can add up very quickly and by the end of the month, we’re left wondering where the hundreds of dollars have gone. But just because we go out to eat doesn’t mean it has to break the bank. Here are five ways to dine cheaply (and no, it doesn’t mean you have to go to McDonalds), while eating well.

1. Restaurant.com will save you roughly 30 percent off your bill. The website offers $25 restaurant gift certificates for only $10, saving you $15 right off the bat. But there’s an even cheaper way to do this. About once a month, Slickdeals will post a great sale at Restaurant.com. It’s usually 80 percent off the already cheap price of $10, so you get a $25 gift certificate for just a few dollars. To find offers for restaurants in your area, simply type in your zip code.

2. Once you have your certificate, the next step is to watch what you order. The highest markup in restaurants is typically on drinks, especially alcohol. You can make that same drink at home for a tenth of what it costs in a restaurant and with little effort. To save money (of course, this doesn’t count special occasions), drink water with your meal.

3. Restaurant portions are often huge, so look into sharing a meal or ordering off the kid’s menu if you find yourself taking home a lot of leftovers. On the other hand, half portions often only cost 20 percent to 30 percent less than a full plate, so you might as well get the full version and eat leftovers for the next day or two. Regardless, as part of healthy eating, don’t overeat just because it’s there.

4. Order an extra side instead of an appetizer. Appetizers often carry a high markup for not a lot of food.

5. Lastly, go out to eat during happy hours. Food is generally cheaper during these times and many bars also offer drink specials. If you can’t make it for happy hour, try going out for lunch instead of dinner. The portions are more normally sized and lunch specials usually cost far less.

Source: Quizzle.com

1. Create A Holiday Shopping Budget And Stick With It.

First look at your overall budget to determine what you can and are willing to spend this holiday season. Remember that time is tough for many people, so it’s okay to not spend a lot of money this year. Be realistic. Next, sit down with your family and make a list of everyone you are going to buy gift for. Next to their name, write an amount you are going to spend on them.

After you finish going through the list, you may have to come back and readjust the amount next to each name so that the total fits into your overall budget.

2. Don’t Try To Outdo Others.

I know that some of you feel that you have to do better than the last year, or give gifts that are just as good as what you are receiving. Personally, I know that feeling and I also feel bad when my gift is not as good as others. But you have to remember that giving gift is not a competition, and it’s more important that you buy gifts within your means.

If you really want to give something that’s beyond your means, ask your friends and family to see if they are willing to split the cost. My family occasionally split the cost on really expensive items.

3. Buy Online.

I think buying online is a terrific way to save money when you are shopping for presents. I wrote about saving money online shopping by using sites like Ebates, RetailMeNot.com, and PriceProtectr. Additionally, Madison of My Dollar Plan has a great list of resources for online shopping.

Personally, I recommend using credit card for online shopping due to greater security and the small reward that you can get. However, if you are not comfortable using credit card, using your debit card is okay too.

If you don’t have a good reward card yet, here’s a database of the best reward credit cards.

4. Use Cash.

No, I am not a schizo. If you can’t handle credit card, or if you can’t afford to pay the credit card in full, please use cash. Some people claim that you’ll spend less money when you use cash as opposed to credit card.

For example, Lynnae at Being Frugal wrote about The Benefits of a Cash Christmas, and shared why she prefers not to use credit card for holiday shopping. Another blogger friend, Caveman also wrote about Controlling Spending with a Cash-Only Christmas, and shared why cash is good.

5. Don’t Buy On Impulse.

Remember that you have a list and a tight budget. It’s easy to get distracted regardless of whether you shop online or go to your local stores. These guys are rally good at putting “deals” and “specials” in front of you so that you’ll forget your list and budget.

Just resist the temptation, say no, and stick to your budget.

6. Don’t Open Store Credit Cards.

I know it’s tempting to get that 10% or 20% off your purchase for the day, but don’t do it! You’ll most likely blow your budget, buy stuff you don’t really need, and ended up paying interest with the payment is due.

Let’s think about it for a minute. These stores must be making a lot money on interest and late fees in order to offer you that special 10-20% off deal.

And yes, if you mess up with these store credit cards, your credit score and history will be affected.

7. Don’t Fall For The No Payment Financing Offers.

Yes, it’s great that you can buy something and don’t have to pay for it until 6 months later. But that’s another way these stores are getting you to spend more money than you have. Remember that you have a strict budget that you’re following, and you are planning to pay off the credit card in full (if you are using one). So these offers shouldn’t even matter to you.

Stores that offer this kind of deal make astronomical amount of money when you fail to make payment in full in the allotted time. When this happens, they charge you outlandish interest rate on the entire grace period — i.e., 6 months.

8. Don’t Buy Extended Warranties.

I think extended warranties are huge rip offs. First, if you calculate how much they cost as a percentage of the item you are buying, it’s a significant amount. Second, the manufacturer warranty protects you for up to one year against any defect, and that should take care of most problems. Based on my experience, if something is going to break, it will break during the first year. And if it breaks afterward, I probably want a new model by that time.

Pete at Bible Money Matters wrote a long article about how he took advantage of manufacturer’s warranties and why extended warranties should be avoided.

9. Give The Gift Of Savings

Last but not least, if you still cannot find the perfect gift for some folks on your list, you may consider giving cash. I know some people may think it’s lame, but in this economic condition, it may be more appreciated than you think. If you feel that giving cash is not the right move, you could also try the college fund contribution angle.

Source: Moolanomy