Most families are spending more and more money every year (and not just because the cost of living rose) while also saving less and less. One reason is that few household managers spend much time reviewing expenses and expenditures to find ways they can save money. However almost every family has places where costs can be cut and pennies can be pinched -- and if those freed up funds are then used to pay down debt and save for the future it could have a dramatic impact on their quality of life.
Food is one big area where many families could be more thrifty. Families spend an average of $2,434 on food away from home, according to the Consumer Expenditure Survey from the U.S. Bureau of Labor Statistics. If you (and your spouse and your children) eat lunch out every day of the week then try brown-bagging at least one of those days. If just one of you does it you may save up to $400 a year and if you can double or triple that savings you could finance a family vacation with it.
Another major expense is your home. When was the last time you looked at refinancing? Can you find a lower interest rate? Can you renegotiate to a shorter time frame? Even if you can't change your mortgage payment you may be able to pay a bit extra each month which over time will help pay down your mortgage faster. Also, don't overlook your utilities. There are ways to save in this area as well including updating your insulation and weather stripping, keeping up-to-date with maintenance and cleaning of your furnace and air conditioner or using a programmable thermostat to take advantage of those times when your house is empty or the family is asleep.
Transportation is another major expense for many families. Not only are vehicles expensive to buy but also to maintain and operate especially with gasoline prices at such high levels. Is carpooling an option for any members of the family on at least a part-time basis? Make sure to combine errands and trips to cut down on your travel and save money when buying gasoline by taking advantage of special programs and discounts and remaining vigilant about gas prices. In addition, following a regular maintenance schedule and proper tire inflation can also help you achieve maximum gas mileage for your vehicle.
Choosing your bank wisely can be another way to save money. Make sure the bank you use offers free (or at least low cost) checking as well as electronic bill-paying. Electronic bill-paying and a debit card can cut down on your need to use checks and postage which will save you in the long run as well as help you better manage payments so you will avoid fees, penalties, and higher interest rates.
Cutting your credit card costs can be another major savings. This means making sure you are using the best possible credit card with a low interest rate and low or no annual fee. Shop around until you find your perfect match and don't forget to cancel and cut up those rejected suitors.
Health care is not really an area where you can cut expenses but you can save money by taking advantage of special offers and programs. For example, many employers offer a Flexible Spending Account where you can save money before taxes for out-of-pocket medical expenses for prescription and nonprescription drugs, dental expenses, and eye care.
Tuning up your insurance policies can also help you save money. When did you last compare rates for your home, your vehicles, and yourself? Some other ways to cut costs are to raise your deductible level or using the same company for multiple coverage (your home and vehicles). When you are shopping around make sure to give your current company a shot at keeping you. Sometimes they can offer a better rate too.
Another major expense for many families is the cost of communication including local and long distance phone service, cell phones, cable or satellite television, and Internet access. Review your expenditures and cut out the services you don't need. Can some of these expenses be bundled to save money? Are there better plans for your needs?
When looking to save money it is important to become an aggressive shopper. The Internet makes it possible today to compare prices and product reviews while not spending a lot of time and money driving from store to store. Any big ticket item (and that includes your weekly groceries, cleaning products and health and beauty aids) deserves a closer study.
Over the next, month take time to review your family expenses and expenditures in each of these nine areas. Making a few alterations in your family's spending habits will soon make a difference in the overall household budget. You can raise your family's quality of life by making just a few changes in your monthly budget.
Related Articles
Credit Card Debt: Do You Need Credit Help?
By: Deanna Mascle | 16/12/2006 | Finance
If you have credit card debt it is important to take its measure from time-to-time to determine whether or not you have a problem with your debt. If you are carrying a balance on more than one card (or simply a sizable balance on one card) then you could have...
How To Save Money: 3 Key Strategies To Save Money
By: Deanna Mascle | 04/12/2006 | Advice
How to save money is a key concern for many individuals and families. Learning to save money is not about buying books or software. It is not about joining programs. Saving money is about a mindset.
Buy A Used Car: 3 Reasons To Say In With The Old
By: Deanna Mascle | 04/12/2006 | Advice
Why you should buy a used car. You know it is time to buy a replacement for your vehicle. Repair bills are looming on the horizon or eating into your checking account.
Credit Repair: Repair Bad Credit Card Debt Yourself
By: Deanna Mascle | 06/12/2006 | Advice
Credit repair and eliminating your credit card debt does not mean that you have to hire an expensive credit repair service. In fact, if you want to fix your credit you can do it yourself for free.
4 Keys To Freeing Yourself From Debt
By: Deanna Mascle | 05/07/2006 | Advice
Debt is a way of life for many Americans. We owe money on our homes, our cars, our possessions (from furniture to clothes), and our education.
Life After Bankruptcy
By: Fred Appleton | 12/04/2008 | Debt Consolidation
Declaring bankruptcy is a traumatic and difficult decision, but for many people it is a way forward. This article explains some of the more common aspects of bankruptcy such as bankrupt's allowable income, assets and tools of trade you can keep, and the regulations regarding vehicles and dependents.
Florida Mortgage Broker Discusses the Value of Patience
By: Jim Kemish | 15/03/2007 | Mortgage
Do you plan to buy a new home soon? Have you been thinking of refinancing your current mortgage? Here are some thoughts from a leading mortgage expert that could save you thousands of dollars.
Different Debt Consolidation Loans
By: Walter Shkolnik | 11/04/2007 | Debt Consolidation
Many people that have credit card debt, auto loans, student loans, and other type of financial obligations would probably be interested in consolidating all of their financial obligations in to one monthly payment, as long as it was cost effective and easy to do. Debt Consolidation Loan is the way to save time and money.
Got a Question? Ask.
Ask the community a question about this article:
Frequently Asked Questions
Need help with a badget.
By: Maria Carmen Linford | 02-08-2008
We are separating, He has a job in Brazil and I'm here in USA with a 17 , and 14 years old teen. We just came to USA a month ago, I need to make a badget for us in USA, and a place to live in NJ, Please do you have a form os bdget for me to take as a modle?
Can i use Western Union for my Business,i want to ...
By: solomon | 02-08-2008
Can i use Western Union for my Business,i want to transfer money from USA to INDIA...
Can a judgement for a posession of property by a ...
By: Val | 02-08-2008
Can a judgement for a posession of property by a landlord be removed from your credit report
How far is Westmount IL. From Franklin,IN.46131
By: Erich | 01-08-2008
How far is Westmont IL. From Franklin, IN. 46131?qt=q
Small business financing
By: theredsarecoming | 01-08-2008
How do I get financing for my small business idea?
Home ownership in Ohio
By: Heather | 01-08-2008
What are the details or options for a land contract, rent to own or other deals for people wanting to own a home who have bad credit?
Q&A Powered by:
Latest Advice Articles
10 Tips for Better Communication
By: William Lee | 05/09/2008
We all know that being uncomfortable speaking in groups, or for that matter being uncomfortable speaking to anyone at all is never a good feeling. It can make the working day go by so much worse and make you dread and stress times when you will need to use your communication skills.
Here are just a few ways for you to improve your communication skills, just by knowing they person closest to you: yourself.
The Benefits of Customer Service Training
By: sheila Mulrennan | 04/09/2008
There are a growing number of business services that offer customer service training for other companies and establishments. Some of these trainings are done in an actual institutional setting. Others are available as a purely virtual learning experience via the Internet.
What to Expect in a Customer Service Course
By: sheila Mulrennan | 04/09/2008
Businesses that allow their personnel to undergo a customer service course have an advantage over those that do not bother to provide adequate training to their customer service staff.
9 Ways to a Successful Mindset
By: David Schaefer | 03/09/2008
Learning how to focus and nurture the mind to achieve goals is a primary path for successful results. Understanding and implementing proper techniques for a success mindset can reap huge benefits. Learn about the 9 ways to achieve a mindset for success.
Escaping Meditation?? Here’s the Door to Bliss
By: Vijay kumar Raisinghani | 02/09/2008
Who said Meditation was easy? Meditation is not easy. It takes time and it takes energy also, lots of it initially. Besides that, it also demands grit, determination and discipline. Why bother about meditation after all?
How Boomers Can Sing Rock & Roll Instead of the Blues
By: Phyllis Goldberg | 01/09/2008
The new Pew Research Center Social and Demographic Trends survey measured dissatisfaction and pessimism in close to 2500 participants. The data indicates that Baby Boomers worry more than any other generation.
The Straight and Narrow
By: Bill Nelson | 01/09/2008
Over the last few months I have been working with a lot of our clients in the area of accountability for their team. Specifically how to develop a system of accountability that allows the job to be done where the leader is not playing police person 24 hours a day and the team takes responsibility and accountability for what they are required to do.
What Do You Do When Your Best Plans Don’t Happen?
By: Bo Sanchez | 01/09/2008
That’s my hard question to you.
More from Deanna Mascle
Good Parenting Tips - Do Not Put Education On Summer Vacation
By: Deanna Mascle | 04/07/2008 | Parenting
The words "Schools Out For Summer" strike joy into the hearts of children and often a sigh of relief for parents who are just as eager to take a break from homework as their progeny. However taking a complete break from the books for the entire summer can be problematic.
Studies...
Good Parenting Advice - How Do You Learn To Be A Parent?
By: Deanna Mascle | 15/05/2008 | Parenting
Parenting is the toughest, most important job most people will ever encounter and yet there is no license required, no training required, and no 24/7 hotline. This is rather short-sighted on the part of society as the cost of bad parenting is immense, but in truth the situation is not...
Why Developing An Individual Writing Process Is Key To Your Writing Sucess
By: Deanna Mascle | 13/05/2008 | Writing
Developing an individual writing process is key to your success as a writer. Studies of struggling writers show that one of the reasons they struggle is that they focus on only one aspect of writing.
So what is the writing process? First it is important to note that there is no...
Writing Tips - Understanding Discourse Community And Its Importance
By: Deanna Mascle | 13/05/2008 | Writing
As an experienced conversationalist who has been wielding verbal words since toddlerhood, you easily move from one group of people to another adjusting your tone, your vocabulary, and your syntax accordingly. Often without thinking about it, you speak differently to your parents than you do to your teachers and differently...
6 Reasons Why I Squidoo And You Should Too!
By: Deanna Mascle | 08/05/2008 | Internet
Do you Squidoo? Perhaps you are not familiar with that little orange creature with one big blue eye, but Squidoo is a social networking site utilizing a different system and framework than many free social networking sites. Squidoo allows each account to create as many unique web pages as they...
Good Parenting Advice - Are You Giving Your Child The Edge At School?
By: Deanna Mascle | 11/02/2008 | Parenting
Today the pressure to succeed at school begins even earlier than ever. Children in kindergarten and first grade are held to a standard of success that their parents never had to worry about. While in the past those first few years of schooling were pressure free and simply intended to...
Adult Education - 5 Tips For How You Can Learn More
By: Deanna Mascle | 04/02/2008 | Education
There are a number of reasons why we should be lifelong learners. Continuing education reaps us professional, personal and health benefits that are too numerous to list. However if you do not want to enter another classroom as long as you live then take heart as there are other ways...
College Degree? 4 Reasons Why It Might Be A Good Idea To Postpone College
By: Deanna Mascle | 04/02/2008 | Education
Every high school junior and senior understands the pressure well. It seems everyone is asking that all-important question -- "Where are you going to college?" For some students the answer is easy. They know what they want to study and where they want to do it, but there are a...
Self Improvement 
