Three Overlooked Ways to Save Money

In today's economy, thoughts turn to saving money and spending wisely. Because we are in the throes of a recession, according to some economy experts, does not mean all is lost, and that we throw up our hands in despair, and wait for the proverbial sky to fall. Even in this time of diminished value of the dollar and all the conditions associated with less available cash, money can be saved. Money experts have long championed the cause of saving three to six months salary to help stem the tide of loss of income due to unemployment. Many of us have not done so but it is never too late to take charge and change our spending and saving behaviors. There are three often overlooked but effective ways that we have found helpful in saving money.

SAVE RECEIPTS that detail the amount of money saved during shopping trips. Place the money saved in a bank account or money jar each time you shop and you will begin to realize the mounting savings. Instead of just verbally stating you saved a certain amount of money and being satisfied, actually place the money saved into your money jar or savings account and watch the savings accumulate. On many of your receipts, it clearly states how much money was saved on a particular shopping trip. Take that amount of money and put it into your piggy bank or money jar. If you cannot save the designated amount of money actually saved , keep the receipt, circle the amount and tuck the receipt away as an I.O.U. When you get paid or receive an unexpected payment or monetary gift, pay off the I.O.U. amount and then discard the receipt as being paid. The savings becomes a reality because you actually put into your money jar the actual amount of money saved. In our household, we have used this method and it has paid off handsomely in terms of seeing the actual dollar amount savings.

Birthday Bank Another effective way of saving money is to put away a minimum amount of money beginning with an initial deposit on your birthday. Each month deposit the same amount of money (or more if you can) into your money jar with the intent of not using it until one year later when you celebrate your birthday. While you are saving and to avoid the temptation of breaking the money jar to spend its contents, determine a plan of how you will spend the money a year later. Perhaps it will be used to fund a vacation getaway, maybe you have your heart set on a new computer or any of a thousand ways that you can treat yourself. This method as well as any savings plan requires discipline but once you start and have a serious focus, twelve months later you will enjoy the monetary rewards of disciplined and determined saving.

Designated Denomination Savings Plan Many of us have used this method and it can be successfully implemented within any budget. Choose the denomination you want to save consistently and stick to that plan. It can be silver coins or paper money, whatever works best for you. You may decide to combine denominations.
We have done quarters and dollars exclusively. Again, the denomination chosen matters not. The important
thing to remember is to choose a particular monetary denomination and save consistently. Save the denominations for a specified length of time, choose a time to break the bank and enjoy the financial rewards!
Do not be too concerned if you cannot save at the specified intervals. Remember: Consistent savings is key to successful savings no matter what plan you select. This particular savings plan is fun for the whole family and children can be taught valuable savings lessons even with pennies, nickels and dimes. It is never too early to teach our children the basic principles of savings.

These savings plans are not complicated and do not require a degree in business finance to reap the benefits of targeted saving. We have used all of these plans as a savings technique and especially like saving the receipts and putting the saved amount into the money jar. When you follow a consistent, planned savings plan, you feel empowered and do not feel helpless in today's economy. The important lesson: Choose a savings plan and stick to it. When unexpected expenses prevent you from making your usual contribution, do not become discouraged. Get back on track as soon as you can and continue your savings plan. You will never regret it and hopefully it will become a lifetime habit.