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Bryce

in what ways do u save money?

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Bryce

title asks it all...ill post mine later

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Minikillers

I wish I could, but I'm married (to a woman).

Edited by Dechael

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Isurugi Noe
6 minutes ago, Dechael said:

I wish I could, but I'm married (to a woman).

Oh wow.

 

I buy the cheapest available food, no snacks/candy. I also avoid eating out unless forced too.

And I don't buy things I don't need :p

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Deathcon

honestly i don't buy anything. i just pay insurance/bills etc maybe the occasional fast food, holidays are the exception where i end up spending  on stuff.

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Cam L

Basically what Dcon said; I eat out once or twice a week, don't buy anything expensive very often, and when I do I research it extensively so that I know whatever I'm buying is going to be of high quality and last a long time. 

 

This goes a bit beyond the basics, but I also take advantage of all tax-advantaged policies that I reasonably can - things like stashing away enough earned income in tax-exempt accounts to drop me into a lower income tax bracket, etc.

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Wolf

I don't know I use it all on hookers and blow :lol: 

 

but for real just put a % every paycheque away and it adds up eventually

or so they say aha

 

just become a lawyer and bill people at 300/hr and you'll be a okay :P 

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Sansa
6 hours ago, Dechael said:

I wish I could, but I'm married (to a woman).

 

Yikes. 

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Dnovelta

I'm no financial planner or anything, but I manage my money/savings by having my paychecks split up between two accounts:

1) My 'rent' account

2) My 'everyday' account

 

My 'savings' account is also associated with my 'rent' account, so when I get paid I've got it set up so that between two deposits (I get paid every other week) I've got enough to cover rent and I've set aside what I want to save. Every time I get paid I also have it set up so that after money is deposited to my 'rent' account, it siphons a certain amount to be put into my savings account. So, say for example my rent is $1000 per month, and I want to save $500 per month, I'd set things up so that every paycheck $750 gets put into my 'rent' account, and at the same time $250 gets put specifically into my savings account. This way at the end of the month, I've got $1000 in the 'rent' portion, and $500 in the 'savings' portion.

 

This means that I'm only really able to 'spend' what gets put into my 'everyday' account. I've got a car payment and a Roth IRA both with the bank that my 'everyday' account is associated with, so I've got automatic payments and deposits set up so I don't have to think about it. I've got things set up so that I max out my Roth contributions over the course of a year and pay $150 more on my car payment each month - all automatic.

 

All of this is after I take into consideration what my actual take-home pay would be (so after 401(k) contributions, and after taxes).

 

All in all, I'm making maximum contributions to my 401(k), maximum contributions to my Roth IRA, and then a non-negligible contribution to a personal savings account.

 

What makes it all work for me is I don't ever 'see' the 'extra' money. My regular daily expenses are pretty low, so that gives me a lot of disposable income, which I could save, but I also want to be able to live in the moment while I'm still able to (before I have child expenses, or home owner expenses, etc.).

 

For anyone looking to save more, I'd start first with making the minimum contribution to any retirement plan that your company provides in order to take full advantage of their match - if applicable (my employer matches 50% of the first 6% so I should at a minimum contribute 6%). Then figure out what your actual take-home pay would be after all taxes, deductions, and any mandatory expenses (rent, phone bill, car payment, etc.) so you have an accurate representation of how much money you actually have available to you. What you have left is what you allocate to everything else (food, fun, additional savings, etc.). As you make more, focus on building up a safety fund (3-6 months of expenses) and then start to up your pre-tax retirement contributions. Once you max those out, look to other savings/retirement opportunities.

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Cam L
50 minutes ago, Dnovelta said:

All in all, I'm making maximum contributions to my 401(k), maximum contributions to my Roth IRA

Kids, do this/put as much money into these accounts as you can afford to.

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Edem

Don't have kids until you can afford it

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Isurugi Noe
1 hour ago, Cam L said:

Kids, do this/put as much money into these accounts as you can afford to.

What are those accounts? As a non-native I don't recognize them.

Is it similar to your pension?

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Cam L
41 minutes ago, Isurugi Noe said:

What are those accounts? As a non-native I don't recognize them.

Is it similar to your pension?

Similar. A pension is funded by an employer, a 401(k) plan is funded by the employee (but employers may also contribute some amount). You, as the employee, have control over how your 401(k) is invested, while with a pension you do not. There are two options for putting money into your 401(k): pre-tax and Roth (post-tax). Pre-tax contributions are taxed at whatever tax rate you fall into when you withdraw the money (in retirement), while Roth contributions are taxed as a part of your regular income and are tax-free when withdrawn. There is a maximum that an individual can contribute each year - in 2019 it will be $19,000, although contributions that your employer makes can put you past that number. 

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Edward987

As a college student, I don't have many costs but I work a job with tips and a paycheck every 2 weeks. Generally, tips are my spending money and paychecks go into my savings account.

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Ethan

#1 rule to saving money - make your own food. Going out for most of your meals will deplete your bank account quicker than you realize it. Also, avoid convenience stores and/or coffee shops. Paying for drinks/snacks/coffee over and over really adds up. 

If you're a coffee drinker, get a thermos. I drink way too much coffee on a daily basis, and going out for it would be expensive. I make a 51 ounce french press of coffee every morning. I fill a 32 oz thermos and a 20 oz thermos then pour it into my mug at work to drink throughout the morning/afternoon. 

If you're a soda drinker, just stop. Drink water. Ween yourself off with sparkling water like Klarbrunn. 

 

But over the past year, the biggest money savings move I made was quit smoking. Haven't had a cigarette since Easter. The extra $250 a month has been an incredible feeling. 

On top of this, don't pay too much for your car. I'm the #2 at my company, but drive the oldest car (thankfully it's a Toyota 4Runner - so I've had little to no repair bills). I spent 10 years with $200 car payments on various vehicles. No longer having one, paired with quitting smoking, has been the greatest financial move I've made in recent years. 

 

Also - unless you need to make something immediately, wait until it goes on sale. I rarely buy anything that isn't on sale anymore unless I need it immediately. The money saved there adds up in the long run. I've also taken a habit to downloading big-box store app's. The other day, I saved an additional $50 at Target because I scanned the products in my cart and found additional coupons that could be used at checkout. 

 

Beyond that, just live within your means. Budgeting like @Dnovelta posted will go a long way. Don't rack up credit card debt - because you have to pay them back with interest. Just buy things that you can afford, and save up for things that you ultimately cannot afford. Think before you make a purchase. Categorize it as a need or as a want. Think about it for a day, and then you'll realize that what you thought you needed yesterday, ends up being something that you just don't need.

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Dnovelta
20 minutes ago, Ethan said:

Just buy things that you can afford, and save up for things that you ultimately cannot afford. Think before you make a purchase. Categorize it as a need or as a want. Think about it for a day, and then you'll realize that what you thought you needed yesterday, ends up being something that you just don't need.

To piggyback off this, think about exactly what it is you won't be able to do if you spend money on "that thing" you want right now. If it causes you to do some reallocating of funds - it's probably best not to buy it. This, for me, is specifically how I handle impulse purchases. If I'm wanting to eat out one additional night, or buy some snacks that I haven't really budgeted for, I think about whether or not the money spent is actually going to impact my ability to do other things (especially pay bills). If it won't (ie: me "losing" this $10 doesn't really prevent me from doing anything else I want to do for the week/month) then I'm OK with the purchase, but if I'm thinking I might not be able to go out with the buddies for a drink or two because this $10 might put me in a tough spot, then it's an automatic "Nope."

 

Also, there's a difference between finally buying something because its on sale, and buying something simply because its on sale. The classic example for me is Apple products (specifically the laptops, but realistically all of them fall under this for me) on Black Friday. Apple's discount is so pathetic that you might as well buy the item full price. If the $50-$100 is what pushes it to "affordable" for you, then I'm of the opinion that it really isn't.

 

Honestly the most important part of budgeting is identifying what really matters to you once all your bills are taken care of. Saving isn't hard if you're busy enjoying the rest of your life. Saving becomes a "burden" when all you can think about is all the fun you're not having because you "can't" spend any of your money. If you really enjoy spending time at the bar with your friends, make that a part of your budget. If you're a foodie and like going to nice restaurants, budget so that you can go to a nice restaurant every week. This allows you to still live your life doing the things you enjoy while still saving for the future.

 

Because I know how much I have available to myself each month after all my bills and recurring expenses are paid (things like Netflix, Apple Music, metro card, groceries, etc.) I'm able to think of my leftover disposable income in terms of 'me' money. I divide that by four and then I can tell myself easily, "I can spend $X this week, on whatever the fuck I want."

 

Obviously not everyone can do that from the get-go, but scale everything back and tailor it to your income and you'll be set.

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James

Raising my own meat has been a big help. A full hog gives me 200 pounds of pork at 2 bucks a pound (keep in mind cost of living in Alaska is high).  It also forces me to learn how to cook cuts of meat I'm not familiar with which can help save money in the long run. 

 

Buy things when they're on sale, and pay attention to certain bits of produce that you can reuse. Make stocks out of veggie scraps, but also don't just throw away the white parts of green onions. put them in a cup with water and they'll regrow 8-9 times over before they start to go bad. Little stuff like that adds up. My biggest cost where I live is food and gas. I drive a car that gets 32 miles to the gallon so I'm good on that front. 

 

 

Oh. One other little thing that can make a big difference. Don't be afraid to hit multiple stores. On my way home from work if I'm tired I tend to shop at Safeway because it's on the way. The prices are much more expensive there than at Walmart (which is 10 minutes out of my way) for the same item. I started tracking my finances and found that I would often buy +100 items a month during these lazy trips to Safeway because it was "faster and easier" only to realize that Walmart had all of the exact same food items for a dollar or more cheaper per item. Laziness can really add up. 

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Isurugi Noe
1 hour ago, James said:

Oh. One other little thing that can make a big difference. Don't be afraid to hit multiple stores. On my way home from work if I'm tired I tend to shop at Safeway because it's on the way. The prices are much more expensive there than at Walmart (which is 10 minutes out of my way) for the same item. I started tracking my finances and found that I would often buy +100 items a month during these lazy trips to Safeway because it was "faster and easier" only to realize that Walmart had all of the exact same food items for a dollar or more cheaper per item. Laziness can really add up. 

I want to add to this.

When I lived in Japan I had a strict budget which forced me to be really economic. So to be able to afford what I wanted I had a grocery store list of 5 stores. I would check these stores daily for sales and compare prices. I would also buy different things at different stores because of they were cheaper there. It took a lot of time but it also made me afford other things that I wanted to do.

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Rafi

I think my biggest money saver over the years has been avoiding bar culture or getting drinks out like all my friends do. Just as it’s cheaper to cook at home, it’s ahout 75% cheaper to drink at home. 

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Khloesmam

Savings are a myth in my household I have 3 kids and a man child to keep haha. I'll still  be paying this Xmas off by next Xmas. I'm going to get a savings tin give it to my mam and give her money everytime I see her to keep for me. I can't trust myself with my own money as there's always a cute pair of shoes or coat I could pick the kids up even though they have a million lol. 

I'm starting off my cutting down on nights out, takeaways and being more efficient with my food shop. The amount of fresh produce I waste is unreal going to invest in a chest freezer and hopefully reduce waste on food and buying food that goes off in a day or two. I'm really not good at this adulting stuff lol. 

Edited by Khloesmam

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Edem
10 hours ago, James said:

Raising my own meat has been a big help. A full hog gives me 200 pounds of pork at 2 bucks a pound (keep in mind cost of living in Alaska is high).  It also forces me to learn how to cook cuts of meat I'm not familiar with which can help save money in the long run. 

 

Oh ya, this is a big money saver for me as well. I hunt and usually get an Elk and Deer every year, plus we buy half a pig and half a cow. I further save a ton of money by butchering and packaging myself.

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