Saving Cash

In today’s money environment, we’re all wondering what will be next.  For now, it looks like most Americans are halting their buying spree, paying down debt, and putting money in the bank. Figuring out where to invest now can be just as hard as saving money!

For some people, that’s easier said than done. I should know - after years of one financial mess after another, I am finally getting my financial act together, and just in time too. I officially got rid of my last credit card in January.   I tell you, it’s not easy living without a credit card, but when I don’t get that bill in the mail every month, and instead have the extra $100 or so to do something else with, I am soooo happy I am living with this “hardship” of having no credit cards!

I’m working on paying down a car loan and a student loan (I rent a home so far), and by the end of 24 months should be all paid up.  After that, I’m planing a big trip with my cash.  But the biggest question people ask me is, where does my extra money come from to pay off the debt?

It’s really a three step process: (1) Pay off debt, (2) make extra money to help with #1, and (3) Save in every way I can.  Now, that doesn’t mean I won’t be going out to dinner for two years!!  The heck with that! But I do stick to a budget, and I also cut costs everywhere - reducing my utilities, saving on food, cutting coupons for everything, and making the most of all of my investments, by investing in  mutual funds, money market accounts or online savings accounts that are safe and secure.

You can spend some time going around the Internet finding how to make extra money online, there are lots of interesting ideas out there. That’s one way that keeps you from having to take a second job you have to travel to.

Making sure I have those secure savings account set up, so that all my extra cash is put there to save for the future - for a house, for my son’s college, for my retirement - making sure my savings accounts and retirement accounts are there is a key part of the plan.  You can’t just cut coupons, and then spend the savings on more junk! You need to use your savings to get ahead.

So, for every month I come in under budget, whether it’s $5 or $50, that extra goes right into the bank at the end of the pay period. 

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