01/24/2024
As we start the new year the question we hear the most is ‘how do we save money’. The MOST important thing to do here is to start AND stick to a budget (we can provide help in this area). As part of that, you need to use accurate numbers in your budget.
One of the places we find that people don’t realize how much they spend is with their vehicle(s). At best, people figure what the gas mileage is for their car and how many miles they drive – and that is the number they use to figure out their vehicle spending. That is NOT even close to an accurate number. Your car needs tires, windshield wipers, windshield wiper fluid, oil changes, filter changes, spark plugs, light bulbs, blinker fluid, muffler bearings (ok, just making sure you’re still paying attention on those last 2) … the list goes on. A good number to start with is $.60 a mile (keep insurance separate from this number – insurance should be a separate category and is a more static number). So if you’re making regular trips to the grocery store, and that grocery store is 6 miles away – that’s costing you an additional $7.20 each time you go. Now, if you go to that grocery store just once a week … that’s $374.40 a year. Think about that when taking car rides – taking the kids around – making that trip to the store for just 1 thing multiple times a week … figure out how many miles it takes to get there, double it (you have to come back home), and then multiple by .60 – that’s how much your trip is costing you at minimum. It ALL adds up. How do we save here? Plan your trips whenever possible. Make lists for the grocery store, clothing, makeup, tools, household products etc. Watch the shelves and closets and when you’re CLOSE to needing something (not when you actually need it), add it to the list so that the next time you go to the store you can get that. Also in planning, plan trips to the same area and make multiple stops instead of making individual trips. Say you’re dropping your teenager off at work – she works 15 miles away. That’s $18.00 per trip just to get there and back (.60 x 15 x 2). Is there anything else in the area that you also need to get done to save yet another trip to the area? The teenager can also chip in too (make it a learning experience – they may even own their own car some day – even if you have the money to cover the trips, the teenager needs to begin to learn about monetary responsibility as well – even if only covering a portion of the cost). Finally, what about car pooling? Are there other people going to that area and everyone can switch off on driving. There’s even places set up online so you can find other people in your area going to the same place regularly (you need to judge safety in here as well). There are many options – but the most important thing, is to make sure that you’re using an accurate number in your budget.
Stay tuned for more ‘how do we save money’ tips. These tips will all begin the same – scroll down to ‘paragraph 2’ for the tip.
