You have probably heard about the first and foremost rule of wealth accumulation. It states that you should not lose money.
This rule is a direct consequence of the fact that it easy to maintain what you have versus controlling what is coming in. So do not be lazy and give your money away; start applying these money saving tips to help you accumulate wealth. Follow these tips to help you accomplish just that.
Do not procrastinate. That is a very general statement. Yes, procrastination at very level can be highly costly. Suppose that you have to mail a scholarship application that has a deadline. If you do procrastinate on that and wait until the last minute, you will most likely have to pay higher to mail it in order to make the deadline. See how you will lose some money because you procrastinated?
Always negotiate deals. Whatever deal you are making, you should always try to negotiate the price or else. Seriously, what do you have to lose by just asking for a better deal? Nothing. Absolutely nothing. In fact, if there’s anything, it is a gain. So why would you not ask for better deals?
It is a very simple question; just ask it. It does not matter what the deal is. For instance, if you are shopping for brand new car, make sure you are in talk with more than one dealership. Whichever dealership gives you the lower price, bring that to the dealership and ask if they are willing to match or beat it. You are a smart person, are you not?
Always mail in rebate offers. Rebate offers are not for lazy people. Why do you think companies create rebate offers in the first place? To cash in on lazy folks who are giving away money. Whatever you have to do in order to remember to mail in rebate offers, do it. Be it a calendar, online reminder, or whatever. Never forget to mail in rebates.
Never get into any financial deals whose ins and outs you do not fully understand. Can you imagine how people many with credit cards do not actually fully understand how credit cards work? Just because something sounds like a good deal does not necessarily mean it is a good deal. There are always fine prints.
If you have a credit card, make sure you fully understand how to use it in the most efficient way possible.
Pay close attention to and monitor promotional offers. Much like so many people, I have had credit cards with 0% financing for the first 6 months or so. And guess what? By the end of the promotional period, my balance is always ZERO. I always pay the full balance right before the promotional period ends. Failure to do so can be very costly.
In fact, here is a scenario to illustrate. You buy something for $2000 with a 12-month promotional period of 0% financing. After that, the interest rate will be 20%. Say you pay $1500 by the last week of the 12-month period and owe $500. Instead of paying 20% interest on the remaining $500, you will pay interest on the full amount of $2000. What can be more costly?!
Always look for better financial opportunities. You may not have heard of HSC Direct, EmmigrantDirect, etc. Those are online banking institutions, FDIC insured. What’s good or great about them?
Well, they give you higher interest rates on your accounts. Regular banks might give you interest rates around 0.75%, but those online institutions can give you as much as 2.15% in interest rates. You do not need sophisticated math skills to understand how much more you can earn on accounts from online banking institutions.
Avoid activities/practices with financial penalties/consequences. It is better be safe than sorry. Well, let us change that a bit: it is better be frugal than broke.
Do not take chances on your health; that can cost you money. Be very cautious in what you do. If you hurt yourself, that can cost you money. Do not get into habits such as oversleeping. You might be surprised to know that if you develop insomnia, your medication costs can be as high as $40 per month!
Eat healthy. Be safe. Maintain your body well.
Start planning your retirement early. The earlier you start saving for retirement, the better. So if you have no retirement accounts, open one today. Learn about the different options available. One of the most common type is a 401(k), which a lot of people get through their employer. So ask your employer about 401(k).
After all, would it not be foolish of you to throw away the money you have worked hard to earn? Now is the time to start control your spending habits, your financial endeavors, your lifestyle, etc. If you want to accumulate wealth, then you need to save money. Money saving is a major factor in accumulating wealth. So start saving money today!