The current financial climate means people are constantly on the lookout for ways that they can save money.

How to best control your personal income is often a topic of discussion. Through years of controlling my own finances, I have come across ‘rules’ or ‘guidelines’ that work wonders and others that simply don’t.

The current financial climate means people are constantly on the lookout for ways that they can save money. I’ve put together my top financial tips that I hope will prove useful for you all.

Budget! - Never spend more than you earn

Probably the simplest tip I can give you but budgeting is something that we all should do. Take a pen and write down your expenses for the month and work out how much you can afford to spend. By doing this, when you come to the end of the month you won’t have to worry about struggling to make payments.

Once you have noted down all your expenses, including your phone bill and any direct debits, think about the amount of money you would like to put aside for the month, it doesn’t have to be a lot, a little can go a long way. Then after deducting your expenses and how much you would like to put aside from your monthly income, you should try and not go over that amount. Budgeting works wonders because it gives you something to aim towards and helps keep you motivated.

Review Your Expenses – You could be paying too much

There are certain things, whether it is gas or electricity that we have to buy to survive. These necessities are the things that people often pay too much for. The easy way to avoid paying too much on the things we have to buy is to use price comparison websites. These websites do all the hard work for you as they compare all the market leaders for the likes of, insurance, money, utilities and even phone bills. These websites are a quick fire way to start you saving a lot of money.

Credit Cards – Reward Yourself

Many people often give credit cards a bad name. However, if used properly they can be a quick fire way to earning some decent rewards. There are so many credit cards on the market that they all offer something for everyone. If you’re a shopaholic then look for credit cards that will reward you with money off your next purchase, or if you’re a frequent jetsetter, take a look at airline credit cards, where you can build air miles depending on how much you spend on your card.

If you have the money to make a purchase and you look after your finances well, then you could always fund a big purchase on a reward card, so that you can reap the benefits, then just pay off the card straight away so you don’t pay any interest.

A few important things to remember if you use a credit card are, keep an eye on your finances, don’t overspend and always try and pay more than the minimum payment every month; doing these three things when using your card will help you save money.

Save – Open a savings account

People don’t get the best use out of savings accounts, but they are a sure way to save money. A good way to ensure you save a small amount each month is to set up a standing order. Set a small amount every month to go from your normal account into your designated saving account. By doing this every month your money in your savings account will build and build, and the more the money builds the more interest you will gain.

The Lifetime Savings Account for those of you situated in the US offers fantastic benefits. Whatever you put in your account is not tax-deductible, but any returns you earn from your LSA are tax-free.

If you like me are based in the UK, then using a cash ISA is the best way to save some cash. All interest is tax free and you can save up to £5,100 in the account every year.

I hope my top financial tips prove useful for you and remember, when looking at your finances; small changes can have a big impact.

About the Author:

This article was written by Andreas Nicolaides.

Andreas works as a financial writer for UK based MoneySupermarket.com.

Popularity: 47% [?]

Nobody want to be broke, right? We all want to make sure that we have enough money not only in the present, but also for the future.

For some people who are fortunate enough, this is never a major concern. But for the rest of us we have to struggle with the need to pay bills today and the desire to have a nest egg set aside for the future. Thankfully there are a few things that you can do to save for your future, no matter how tight your budget is.

Follow your budget

There’s a reason you set a budget for your money. It ensures that you don’t overspend and end up not having enough money to pay your bills. Sticking to your budget means that you won’t have to dip into your extra money.

Reevaluate your budget

Do you really need as much spending money as you’ve allotted yourself each month? And is each and every one of those 102 TV channels necessary? Review and tighten your budget and you’ll be surprised by how much money you’ll be able to put away monthly.

The 5-10% rule

As a rule of thumb you should be setting aside 5-10% of your weekly income for your retirement fund. If you are living on an extremely tight budget, try putting 5% into a savings account or RRSP. The more you can put away, the better. And you would be surprised by how little you miss the extra money once you don’t have access to it.

Little things add up

A lot of the time it’s not the large purchases that stop us from saving money, it’s the smaller ones. A dollar here, five dollars there can add up and you would be shocked at the amount of money yearly that slips away. Do you really need a coffee and donut from the local coffee shop every morning? Cutting out the little expenses like this can add up, and quickly.

Be careful with credit

While some forms of credit are inevitable (mortgage, car loan) others should be considered a luxury. And luxuries aren’t necessarily something you need. While it’s a good idea to have a credit card for emergencies, it’s easy to get sucked into the buy now pay later lifestyle. Too many people live off of credit and this is NEVER a good idea. You will end up with all of your money going towards minimum payments rather into your savings account. If you spend more than you can realistically pay you will end up in a vicious cycle of monthly payments that never see your debt go down.

About the author:

Vern Marker is an expert on a variety of topics including budgeting, marketing, and business. Want to ask an expert about something specific? Check out YoExpert.com

Popularity: 16% [?]

Often times we’re so busy in our daily lives that we forget that we can’t live like a rockstar, and need to budget and spend accordingly. Those little things you say like, “ohhhh it’s okay, I’ll make up for it somewhere else” or “I’m too lazy to send in that rebate” are actually hurting you in the long run. Here’s a few things you may want to consider when planning your budget and allotting spending money to yourself or your family.

1. Use online services like Mint

I’m saying this one in particular because I’m using it, and I absolutely love it. They just released a mobile phone app too, so you can track your budget and money on the road. You can separate your expenses, and Mint will automatically know what you are spending where. It will then alert you when you go over, as well as alert you when bills and credit card bills are due.

This will save you from 

• going over your budget and being more aware of your spending
• you’ll save because you won’t be wasting money on ridiculous late fees or overage fees

2. Being proactive with your car insurance companies

Actively seek our better insurance companies on both ends. There’s a TON of options out there and you want to make sure you aren’t losing out when you could be saving. For instance, some car insurance companies give you money back when you DON’T have an accident. Some health insurance companies give you a savings program with what you’re paying in. Do the research; you can actually end up saving a ton of money on these necessities.

3. Buying off Ebay/Etsy

Some people are afraid to use online auction websites for privacy reasons. That’s understandable, but when you can get a brand new TV for hundreds of dollars cheaper- I would say it’s time to take the dive and start using them. There are plenty of ways to track your auctions in Ebay, especially, to make sure you are only spending what you want to spend.

4. Get a credit card

This might sound like really dumb advice, especially if you’re trying to save money, but it’s probably the smartest thing you can do. When you don’t have revolving open credit accounts, it can actually hurt your credit. Put gas and groceries on your card (when you have the money) and pay it off at the end of the month, every month. This will keep revolving credit open as well as earn you rewards on certain cards. These rewards can be in the form of cash, gift certificates, travel etc.

5. Shop in bulk

Places like Sam’s Club and BJ’s Wholesale may cost more in the beginning, but they actually save you more in the long run. As you probably know, when you buy in bulk, prices go down. While you may not “need” a ton of beef, you’ll pay less for it up front and use it through-out the month.

6. Send in your rebates

 Many people will be too lazy to send in a rebate right away and then they miss the date. Rebates are sketchy enough to begin with (although they’ve gotten better with the issuance of debit cards for your rebate rather than waiting for a rebate check) but they’re technically money you’ve spent; you may as well get it back.

These are just a few small tips to make sure you are living frugally and saving money. Pretty much common sense, but not things that people think of everyday.

What are some budgeting/spending tips that you have?

Popularity: 9% [?]

It’s a vast financial jungle in these early days of the 21st Century and it’s never been more important to budget.

Money is hard to come by and even harder to keep. However the internet has a wealth of choice for easy ways to set up and maintain a personal budget. Here are the top five online budgeting tools.

5. SmartyPig.com

You get two for the price of one with SmartyPig. Not only is this software a great budgeting tool but it also throws in a high yield, FDIC-insured savings account. You can also enlist friends and family to help you save for your specific financial goal while protecting your personal information. It’s also free to sign up and use. Plus, once you’ve attained your financial goal, there are options as to what to do with the money. Transferring it to a store gift card can add up to an additional 12% to the amount being allocated.

4. Geezeo.com

Something of a bare bones online budgeting option, Geezeo provides the usual tools to help you manage your finances but the real treat here is the community aspect of the site. You set your financial goals and form groups with other site users who can encourage or advise you as you go. There is also expert advice available as well. Checking, credit and savings accounts can all be maintained here though the group aspect is the real selling point. If you’re looking for a more interactive way of handling your finances then you might want to give Geezeo a try.

3. Mint.com

Another free budgeting option, Mint allows you to see all your credit card and banking transactions side by side, giving you a clearer picture of exactly how much you are spending and where. Safe and reliable, you can easily keep an eye on your money and the handy cash vs. debit ratio as you can download your purchases to your Mint account. To use Mint, you will have to input some of your banking security codes, which is a genuine concern for most. However they use the same security company as Bank of America so you can breathe easier.

2. BudgetPulse.com

Simple, easy to use, comprehensive, and free! Now what budgeter doesn’t like that last one? This software is a great way to monitor one’s finances. You can create personal budgets quickly and the software does not link to bank account data or ask you for personal account numbers or passwords. Quick charts and graphs illustrate your expenditures in an easy to follow manner. Safe, secure… did I mention it was free?

1. Mvelopes Personal

This award-winning software is free to try but does cost a bit to use. However it boasts revolutionary and innovative financial software, which allows you to easily set up a comprehensive budget that helps you to live within your income. Again, ease of use and simple graphics show you where you are spending your money. Things are further simplified through the use of budgeting envelopes into which you transfer funds earmarked for specific expenditures.

About the author:

This was article was written by Andrew Salmon. He contributes blog posts about budgeting and the IVA debt solution for a number of websites.

Popularity: 11% [?]

You worked so hard to get to college, saving all through high school so you could attend the university of your choice. But now that you’re hit with the cold, hard reality of soaring tuition costs, the ridiculously high price of textbooks, and all the extras (no kitchen in the dorm means a lot of eating out), you just don’t know how you’re going to make it to graduation without assuming a ton of debt. Luckily, there are all kinds of helpful options available for college students seeking to cut costs.

Shop for the best student loan

First and foremost, compare banks to get the best student loans. One nice thing about the miserable state of our economy is that lenders now have to vie for your business. A college student is a good investment (especially if your parents can co-sign), and if you shop around, you may be able to negotiate a better interest rate than you imagine. And if you haven’t already signed up for federal student aid, it’s not too late to get help with your tuition and expenses. Just go to the FAFSA website to learn about the options available to you and how to get them.

Find a job (part-time)

Next, find a job. The choices aren’t exactly phenomenal for someone with only a high school education, but a great way to improve your odds is through internships. They rarely pay, but you can get college credit and if all goes well, it may lead to better opportunities for higher pay, and in a field you’re actually interested in (as opposed to, say, fast food service).

Student freebies and discounts

To stretch what little money you have, capitalize on your student status. You, as a student, can get all kinds of discounts (many redeemable simply by sporting your student I.D.). You can find reduced rates on food, movie tickets, and transportation, especially at vendors near campus that count on your student dollars to stay in business. And don’t forget to apply for a good student discount on your auto insurance. Your good grades can save you hundreds of dollars per year with many insurance providers.

Buy generic things

Another good way to save money is by buying generic (ditch the name brands and save on comparable products), buying in bulk (dry goods like cereal or stuff you use a lot like peanut butter), clipping coupons (this may sound time consuming, but you can find a lot of great coupon sites online) and getting a club card at your local supermarket (they’re free and can save you a lot if you look for weekly specials).

In summary

But these are just a few areas in which to save money. By surfing the web, you can find all kinds of deals on textbooks, items for your dorm room, and plane tickets home to visit your parents. Don’t underestimate the value of spending a little extra time walking with your fingers…it can save you money in the long run!

About the author

Guest post by Sarah Harris, of Zen College Life, the premier directory for online schools. Find out how you can get a psychology degree online.

Popularity: 13% [?]

First, I want to be clear that I’d rather find ways to earn more and make my money work than focus exclusively on reducing costs. However, I’m also a realist and in this economy many are in a position (some for the first time) of having to cut costs AND find a way to earn more.

I’ve been on a diet and I find there are parallels between cutting calories and cutting costs. Both surprise me in how small amounts add up to big differences over time! It’s much easier to prevent costs than to try to figure out a way to make up for them. All of this has to do with choices we make every single day, most seemingly insignificant.

I tried to address each tip from different perspectives. Comparing this to a diet again, if I told you to cut out all soda but you don’t drink it anyway, that advise wouldn’t be helpful. Also, I might have more luck getting you to cut it way down rather than getting rid of it altogether.

Don’t go to the Movies or Find Alternatives

Unless it’s a dollar theater, it’s best not to see new movies on the big screen. It’s gotten so expensive just to get in. Then you sit through ads for 20 mins. If you order popcorn and a drink for each person then you’re quickly paying a lot for the experience. However, some people will never cut this out, so I’ve given 3 options depending on your values.

1. You are an occasional movie goer: get movies on Netflix or Redbox movies.

2. You won’t give up going to see some movies in the theater.

Whether it’s your standard date night activity or you’re so into the experience that you’re willing to pay for it, some people aren’t going to cut here. So eat before the movie so you’re full. Go get dessert after rather than buying popcorn or treats there.

3. If you watch a lot of movies, get DISH Network or other subscription service so you can watch them more often without paying for each or the hassle of renting or sending movies one at a time. DISH claims to be the low price leader, with pricing lower than cable or DirecTV.

Facts: ABC News reported in July 2008 that even a small popcorn costs around $5.50. That’s more per ounce than filet mignon. University of California-Irvine professor Richard McKenzie says popcorn costs less than ten cents an ounce to produce. The markup for popcorn then is somewhere between 900%-1,300%!

Avoid Brand Name Prescription or Over the Counter Medication

Yahoo! Finance points out that the markup is around 60% for name brand medicine. Are name brand products superior? No (even though perception are that they are better, that’s just good advertising). Here’s some comfort for you: the law requires all generic drugs to be just as effective (and even use the exact same active ingredients) as the branded drugs they are modeled after.

1. You only have brand names to choose from – order in bulk (some insurance plans have this option). Ask the doctor for samples. Wait for the generic version or for the product (if it’s over the counter) to go on sale or look for coupons on the brand’s web site.

2. Buy generic drugs or store brand.

3. Change your lifestyle so you aren’t dependent on drugs (if this is realistic based on why you are taking the medication). The cost of a gym membership or a dietician could be cheap if you get healthier and no longer need the medication.

Bottle your own Water

LockerGnome.com reports that the claims that bottled water is superior to its free alternative, tap water, are essentially lies. Dasani, and Aquafina, for example are just bottled tap water. You can pay $1.25 for 1 bottle or pack your own in a reusable water bottle for under a cent for the same amount. Many public drinking fountains have been removed which correlates to higher sales of bottled water.

When I travel I always have an empty water bottle. Once I check in and pass security I fill it up at a drinking fountain. That way I avoid paying triple or more for bottled water and don’t have to wait for the stewardess to bring me water. Expect that at just about every event or trip you go on will necessitate water and plan ahead by bringing it with you.

1. If you must buy bottled water, get the store brand on sale. If you want the brand name, get it once then refill the bottle with tap water.

2. Don’t buy bottled water at all – plan ahead and always have water with you.

3. Order tap water instead of bottled water, soft drinks or alcohol when you eat out (make up a strong case for it in your head – you’re on a diet or the like).

Some cities have gone so far as to require restaurants to offer tap water because of the negative environmental impact of throw-away bottled water.

In conclusion

Overall, keep in mind that you can adjust to new habits and that they can make a big difference over time. Don’t think in restrictions, think of alternatives. You can still have the same quality of life for less if you’re willing to give up some ego or make some small changes.

Hat tip to Bill Shrink

About the Author

Janet Thaeler is an accomplished PR expert, blogger, and published author. She currently resides at OrangeSoda.com where she provides killer press releases and social media.

Popularity: 27% [?]

What is the wedding cost?

Did you know the average wedding costs $30,000-$40,000? That’s a real chunk of change and can really get out of hand without planning. The budget is something you need to create as soon as you start your planning. It will effect everything from your date to your flowers. It presents an outline for your planning, so you know you’re creating an event you can afford. Tradition dictates that the bride’s parents pay for the wedding. In today’s culture, however, that is often not the case.

Frankly, people are no longer saving as they used to, or the newly engaged couple is further along in life and it doesn’t make sense. Whether your parents have a set amount, or whether you’re paying it all yourself, you need a budgeted plan.

What is the whole total? Have discussions with your fiancé and parents. Decide on the total amount as a starting point. One good way of coming up with that number is to start out with a budget of $100 per guest. If you were thinking of having a 300 person wedding, that introduces some reality to the situation. The $100 per person includes catering. When you’re discussing a per head cost with reception venues and caterers, you’ll know how much you have left for the other things. It is absolutely possible to have a wedding on a shoestring or a million dollar shindig. Using a per person cost breaks down a large number into a manageable amount.

Do The Math

Create a spreadsheet to figure out the basics. You can also find templates and examples online if you need help getting started. List out each section (flowers, catering, church, reception hall, music, etc.) Fill in any numbers you already know. Prioritize what’s most important to you and your fiancé. Those are the areas you want to make sure you have plenty of funding for and then make sure you’re willing to compromise on the other sections.

If your wedding and reception are in the same place, than perhaps you don’t need to budget for transportation. If a friend is making your bouquets as a gift, you don’t need a flower budget. Take out the sections that you don’t need costs for.

Record every cost as you go (don’t forget the deposits!) Keep every receipt. Use your spreadsheet to see where you are, and what you have left, at a glance. Adjust as you go so there are never any surprises. The key to a wedding budget is to use it. Make it work as a tool to your advantage, rather than being a slave to the spreadsheet.

As with most things, if you have financial peace (knowing where the money’s going) the wedding itself? A piece of cake.

About The Author

Wedding Planning Advice is a blog for brides created to help them stress less by providing honest and unbiased wedding advice, ideas, and tips. Topics we focus on include wedding planning, wedding invitations, wedding dresses, wedding flowers, weddings on a budget, and of course the bride and groom.

Other posts on personal finance that you may be interested in:

• Investment linked insurance - the best of both worlds
• Powerful methods to get you out of your credit card debt
• The secret to having money
• How long does it take to double up your investment?
• 10 powerful steps for a financially sound retirement

Collection of Articles (Carnivals) on personal finance:

• Carnival of everything about personal finance – 2nd Edition
• Carnival of everything about personal finance - 3rd Edition
• Carnival of everything about personal finance - 4th Edition
• Carnival of everything about personal finance - 5th Edition
• Carnival of everything about personal finance - 6th Edition

…

…

Popularity: 14% [?]

In this post, Adam from RabbitFunds.com talks on his experience in budgetting for his financial goal.

So my wife and I were walking through the mall the other day when she noticed a sale at Bath & Body Works for hand soap. I asked her how our supply of hand soap and lotion was doing and she remarked that it was low. I immediately thought of our budget and asked myself if we had room in our budget. I then realized that we had a recurring problem, “Should purchases at Bath & Body Works go in the Grocery budget, the Personal Care budget, or some other more appropriate budget?”

Now, I imagine that you may be thinking that I am splitting hairs, and I probably am. But this brief conversation in my head gave way to a larger problem. We have purchases that don’t occur monthly that I don’t budget for since our budget is monthly. Some examples include my wife’s trip to the salon every 4 months (approx. $100), oil changes every 3000 miles (approx. $20), and clothes at the beginning of the school year (I have a monthly Clothing budget, but this exceeds it).

Since I am not budgeting for these infrequent purchases, we use savings to pay for them.

And maybe that’s what your savings are for and maybe not. My savings are intended for specific goals (retirement, vacations, large purchases, etc) and for emergencies. Don’t tell my wife, but her hair is not an emergency. So I hate using savings to pay for the trip to the salon.

I brought this issue up to my wife while we strolled through the mall. We currently don’t have an Other category, in part because I find it too non-descript for analysis purposes. However, “other” happens. Meaning, we need an Other budget category to cover purchases that occur on a less than monthly basis. If it happens monthly, then it should have a dedicated category.

How much should my “Other” budget category be?

Well, that’s a harder question to answer. We use Microsoft Money to budget so I can run a couple of reports and see how much I typically spend on Other. Though from month to month, the amount dedicated to this category is probably a moving target. So here is what I suggest. Make your best guess and start there. So for example, let’s say you estimate that on any given month, you have $75 in non-monthly, non-emergency purchases. After two or three months, evaluate what you actually spent. You should specifically look at two things. First, did you spend more or less than the $75. Second, did you need to spend the money. You may find that your Other spending isn’t really necessary.

So this category is my dump for miscellaneous purchases?

No. Be careful with this category. The purpose of a budget is to understand how much you spend and where you spend that money so you can minimize expenditures and maximize savings/investments. Be sure that you don’t use an Other category as a way to avoid facing the facts. If something can and should be tracked, then do so.

So what is in your budget’s Other category?

About the Author

Adam Williams is the founder and author for RabbitFunds.com, a blog with the purpose to help the average family better understand financial issues, financial planning techniques, and ultimately a delineated path to creating a personalized, comprehensive financial plan. Adam received a degree in Financial Planning from the Marriott School of Management, ranked 5th in the nation for undergraduate business programs by Business Week.

Other posts on Budgeting & Financial Goal:

• 10 powerful steps for a financially sound retirement
• 5 steps to set financial goals that you can achieve
• Simple tips to trim down you monthly expenses

Other posts that you may be interested in:

• Credit card debt - why you shouldn’t pay the minimum amount
• Powerful methods to get you out of your credit card debt
• The secret to having money

Collection of Articles On Personal Finance (Carnivals):

• Carnival of everything about personal finance - 9th Edition
• Carnival of everything about personal finance - 8th Edition
• Carnival of everything about personal finance - 7th Edition
• Carnival of everything about personal finance - 6th Edition
• Carnival of everything about personal finance - 5th Edition

…

…

Popularity: 10% [?]