There are countless ways to spend money. In case you are the one person who hasn’t heard, Apple just released 4 new iPhones with mmWave 5G capability. Perhaps you are more excited about the new Series 6 Apple Watch. There is also a fancy new iPad Air with TouchID built directly into the power button for less money than the iPad Pro.
Google, Samsung, Microsoft, and Sony are also pulling out all the stops to get you to throw a little bit of holiday money their way with items such as new game consoles, gaming services, and smart speakers. ‘Tis the season for spending a lot of money you don’t really have, followed by the season of regret and hollow commitments to do better next time.
Here’s an idea: Skip the season of regret and hollow promises. Do better this time. Start the process of saving money. With that saved money, many opportunities open up to you. But is it even possible to have a happy holiday and a frugal holiday at the same time? It is. Here’s how:
Start by Reducing Your Debt Service
Debt is the result of transactions where you buy now and pay later. Debt service is the amount of money you pay monthly to meet the terms associated with that debt. Those terms might have you paying twice as much as the items cost. Every month, only a small amount of your payment goes to the principal. The rest is interest. The way most credit is set up, you pay the interest first, then the principal.
With this arrangement, it is very hard to get out of debt. Making minimum payments ensures you will be paying on that bill for a very long time. That’s where a company like Patriot Funding comes in. There, you can get a debt consolidation loan that reduces all your credit bills to a single payment with a lower interest rate. More money will be going to your principal every month along with more money in your pocket. You could save hundreds every month depending on your debt load. That is an excellent money-saving proposition.
Save Money on Every Purchase
Speaking of Apple, they offer a credit card with daily cash rewards. You can get 1%, 2%, or 3% back depending on what you buy. And those are not even great perks compared to other cards. Some offer as much as 5% on select purchases. By using a credit card strategically, you can save money when you shop.
The key is to make your purchases with a high-reward credit card and pay it off immediately with the money you would have used to make the purchase in the first place. You are spending the same money. But by going through a credit card first, you get the benefit of the reward. The key to making this work is to always pay the balance early so you never incur interest. Paying interest eliminates the reward benefit.
Save Money with Minor Home Improvements
If you want to save a little green, try going a little green. There are plenty of low-flow faucets and shower heads that can help the environment and save you money without a noticeable loss in water pressure or luxury. The typical family wastes a tremendous amount of money running water they don’t need. Even a simple water softener system could dramatically cut your bill because with soft water, you can do more with much less.
This is also a good time to switch off those incandescent lights from last century and switch on the new LED lights. In relative terms, the bulbs last forever and put out far less heat. They cost a fraction of the money to use than the old style of bulb. You start saving money instantly.
Saving money isn’t easy. But a few simple things can help. A debt consolidation loan will get you instant savings. Using the right shopping strategy will also save you money. Finally, the smallest bit of home improvement can not only save you money, but the planet in the process.