What’s the most realistic way to get the most out of the money you earn? In a turbulent economy, consumers struggle to cover necessary expenses from month to month, save a small percentage of their pay, and end up with a few extra dollars when the first day of the following month rolls around. Fortunately, there are several techniques for maximizing personal spending power. Consider the following ideas and see which ones can deliver results that meet your financial goals.
Buy a Home
Making the most of your financial resources is an essential part of the home buying process. Not only are there multiple advantages to owning a home, but some of the tax deductions for homeowners can be substantial. Generally, owning a house is a wise financial strategy for investors and consumers alike. Many owners enjoy several tax benefits like deductions, credits, and special programs.
Before buying, it’s important to review a detailed guide that explains all the deductions homeowners can take when the tax filing season arrives. For investors in the real estate market, there are even more deductions available. Review all the pertinent information when filing taxes each year. That way, you won’t miss any of the savings and will be able to stretch each dollar as far as it can go.
Join a Loyalty Club for Fuel Purchases
With gasoline prices at all-time highs, one of the most effective ways to make every dollar count is to join a loyalty club through your grocery store or favorite service station. Most retail grocers now offer tie in deals with fuel sellers that let you use your shopper’s card to snag discounts on all fuel purchases. Plus, some of the service stations have their own programs, as do credit card companies. Explore your options regarding potential membership and choose the one that delivers the largest discount per gallon purchased. Typical wholesale clubs offer as much as 5% off the cost of gasoline if you fill up at their pumps and hold a membership card.
Use a Spend Tracker App
There’s great power in knowing your spending habits. For most consumers, it’s impossible to get the money situation under control without understanding the ways they use the funds they have. What are the leaks in your budget? In what categories do you tend to spend too much or too little? Are your percentages of rent, clothing, food, fuel, and savings in line with national averages? Learning those facts and a few more can help you get a grip on where all the dollars are going. The next step is to manage the flow of money.
Spending and financial tracking apps offer working adults the chance to keep a detailed log of all their income and expenses from day to day. You can download one of the many apps onto a phone for free or for a very small charge and start measuring financial activity immediately. Consider taking an hour or so to get familiar with your chosen app’s features. Then, do a one-month test to see weak spots in the budget. Most are surprised that they can cut out excess spending once they see their daily money habits on the app’s report.
Go Generic
Generic grocery items have been a staple of the neighborhood food store for decades. However, only in recent years, as inflation has crept to record high levels, have inconspicuous products become such popular choices for cost conscious consumers. Today, most grocers include hundreds of no brand name items right alongside familiar products like soups, cereals, snacks, milk, pet food, baked goods, and so many more. How much can you save by going generic? Find out by making some in-depth price comparisons on your next visit to the grocery store.
The final answer depends on your current shopping habits and commitment to slice a significant chunk off the monthly food bill. Most families discover that they can easily save between 10% and 15% by including as many generic products as possible in their weekly trips to the store. It’s possible to land on the high end of that range by making a rule to always substitute a generic whenever the store has one. Keep in mind that the average grocer sells generic products for about half of all product offerings.
