Economic crisis has left no one untouched. In this post, I am going to amaze you by explaining that how much could you save in a year by following the advice mentioned here. You can end up saving up to $7,500 after reading this article. It is based on real facts and pragmatic assumptions. This figure might vary from case to case but the upside is its power to save money.
- Walk whenever possible instead of driving car. It is good for health and pocket.
- Smart driving and Green driving is good for us as well as for the environment.
- Cut down on winter heating bills by practicing simple energy efficient measures.
- Start cooking food from fresh groceries instead of buying cooked or going out to a restaurant. This is good for your health as well as pocket.
- Be your own stylist. Instead of visiting parlors and spending hundreds of dollars learn to do it yourself. Cut your hair, apply makeup, do manicures and pedicures. Ask your friend to help you out with this and you can help her.
- Start making your coffee instead of spending at Dunkin Donuts or Starbucks.
- Stop going to malls unless absolutely necessary. At mall, people tend to buy things which they really do not need.
- Say good bye to gyms. Start exercising outdoors. Healthy people are more immune to diseases. This will reduce your medical bills.
- Get rid of cable TV. Instead visit your friend’s place if you want to watch a game.
- Cut on mobile and telephone bills. Get you on the lowest plan with minimal features. You can read nytimes on your laptop than iphone. Buy magicjack.
- Cut your lawn grass on your own.
- Cut down on your electricity bills. Save electricity and make money – Be environmental friendly.
- Cut down on your water bills. Save water and make money – Be environmental friendly.
1. Walk if you could instead of driving car. It is good for your health and pocket. (16 Dollars)
Assuming that the nearest stores are 0.5 miles away from your home:
0.5 miles (to and fro) @ thrice a week for groceries and other small stuff
= 3 miles per week
= 3 x 52 miles in a year
= 156 miles / year
= 7.8 gallons of gas (@ 20 miles/gallon)
= 16 dollars/year (@ 2 dollars/ gallon)
Total Saving in a Year = $16
2. Smart driving and green driving is good for you and environment. (100 Dollars)
http://www.eot.state.ma.us/gastips/default.asp
http://www.eot.state.ma.us/gastips/hypermiler.asp
http://abcnews.go.com/wnt/story?id=3005890
….This saved UPS over 3.3 million gallons of fuel and 30 million miles in 2007. ... The company puts almost 92,000 trucks on the road every day. Switching off DRLs where their safety contribution is minimal (e.g., driving on a ... An example: approaching a fresh red traffic light that had no other .... For greater efficiency, switch the A/C on when under light engine loads or ...Let us work out the maths:
Miles Saved: 30,000,00 = 150,000 Dollars (@ 20 miles/gallon)
Gas saved (gallons): 3,300,000 = 6,600,000 Dollars (@ 2 dollars/gallon)
Total Savings ($) = 150,000 + 6,600,000 = 6,750,000
Gas saved per truck: 6,750,000/92,000 = 73.36 Dollars
Dollars saved by smart driving and car pooling in a year = 73.36 + 25
Total Saving in a Year = $100
3. Cut your winter heating bills by practicing simple energy efficient measures (75 Dollars)
http://www.independent.co.uk/money/invest-save/how-to-cut-heating-bills-and-stay-warm-547513.html
…A family of four could save up to almost £200 a year on their bills…
If it could work in UK, it should work in US too.
Total Saving in a Year: $300 = $75 Dollars per person
4. Start cooking food from fresh groceries instead of buying readymade or going out (3000 Dollars)
http://www.bls.gov/cex/
…An average American spent $2,668 in 2007 on food outside the home and $3,468 at home…Obviously, you cannot cut outside food to zero but how about spending only $668 and saving $2,000. For food at home, start eating cooking fresh instead of packed foods. This would certainly cut at least $1000. I am being very pragmatic while cutting down these numbers on food. It is not about sleeping hungry but staying healthy intelligently and smartly.
Total Saving in a Year: 2000 + 1000 = $3000
5. Be your own stylist (240 Dollars)
Hair cutting and visiting to a parlor for makeup is expensive. Ladies can save on their pedicure, manicure, facials, etc. by taking friend’s help. Since, your skin is on stake I am not even counting that dollars but hair can certainly be tried at home.Total Saving in a Year: $240 (For Haircutting @20 Dollars/Month)
6. Start making your coffee at home (1000 Dollars)
I notice so many people around me spending lots of dollars on coffee. On an average people drink at least two cups of coffee everyday.Regular medium coffee at Dunkin costs $1.5. Two cups a day cost $3.
Total Saving in a Year: $3 x 356 Days = $1,068
7. Stop going to malls unless absolutely necessary (500 Dollars)
http://www.kacperwrzesniewski.com/how-to-restrain-from-unnecessary-shopping/
http://www.thesimpledollar.com/2007/04/05/15-ways-department-stores-try-to-trick-you-into-spending-more-than-you-need-to-and-10-ways-to-fight-back/
People tend to buy the item more for convenience than need, even when the item is not really needed in near future*. Focus on essentials only. Saving per year depends from person to person. I can save at least 500 dollars by not buying unnecessary stuff. (*www.metrosuburbia.com/2006NAAConference/How%20America%20Shops%20and%20Spends_stahl.pdf)Total Saving in a Year: $500
8. Say Bye to Gyms (500 Dollars)
Gyms are good for health but not absolutely necessary. There are ways to stay healthy without going to gyms. Exercising outside in a park or jogging on a road is a good option to save money on gyms. The other option is to buy a DVD on fun aerobics.Total Saving in a Year: $500 (Average gym yearly membership)
9. Get rid of cable TV (480 Dollars)
Cable TV is waste of time as well as expensive. Instead of being a couch potato, get up on your ass and start socializing, blogging, writing, etc. Find your hobby and start working on it.Monthly cable expense: $40 (with two packages)
Yearly expense: $40 x 12 = $480
Total Saving in a Year: $480
10. Save on Phone bills (580 Dollars)
Don’t pick up calls on your mobile and wait until you reach home to use magicjack. It is an amazing device to eliminate your phone bills.Before ($1020)
Monthly rental on mobile with added features: $50
Yearly rental = $50 x 12 = $600
Monthly rental on home phone: $35
Yearly rental = $35 x 12 = $420
After ($440)
Monthly rental on mobile without added features: $35
Yearly rental = $35 x 12 = $420
Monthly rental on home phone: $1.7
Yearly rental = $1.7 x 12 = $20
Total Saving in a Year: $1020 - $440 = $ 580
11. Cut lawn grass on your own (300 Dollars)
Cost of outsourcing to maintain your lawn grass: $50/month (Assuming that the lawn requires maintenance for at least six months)
Total Saving in a Year: $50 x 6 = $300
12. Cut down on bills ($240)
www.eei.org/industry_issues/retail_services_and_delivery/wise_energy_use/how_to_save_electricity_in_your_home
www.costofelectricity.com/10-Ways-to-Save-Electricity-at-Home.html
Go through the links above and the measures explained could save up to 40 dollars per month.
Total Saving in a Year: $20 x 12 = $240
13. Cut down on bills (120 Dollars)
www.eartheasy.com/live_water_saving.htm
http://www.h2ouse.org/
www.frugalliving.about.com/od/householdsavings/tp/Save_Money_On_Water_Bill.01.htm
http://www.moneysavingexpert.com/utilities/cut-water-bills
Minimum monthly saving on water bill after following the advice in the above links: $10
Total Saving in a Year: $10 x 12 = $120
14. Cut down on entertainment ($500)
Movies, video games, theatre, casinos, lotteries, clubs, etc. contribute to lot of dollars in a year.
Average movies per month = 2 movies
Expenses in a year on movies = 25 movies x $8 = $ 200
Expenses on other entertainment modes = $300
Total Saving in a Year: $200 + $300 = $500
