What Not to Cut from Your Budget when Money is Tight

f your family is like ours, cutting costs and saving money is the goal for 2011. While there's all sorts of great money saving tips out there for families who are struggling, there are certain costs that shouldn't be cut no matter what.

Don't stop contributing to your retirement savings plan. This advice comes from financial planners who make the point that social security will not be enough to meet basic needs at retirement. Even if $50 a month is all you can manage, keep contributing.

Don't neglect Medical & Dental care. For families without medical care (and even for those of us who do), it is important to keep up regular checkups with the dentist and family doctors. Dental schools are great place to get budget priced cleanings and exams. As far as health care, your local branch of Health & Welfare can help you sign up for programs such as CHiPs, Medicaid, and Medicare. (read this great article found at ehow.com for more information.) Don't forget to tap into the network of free health clinics in your town as well. Non-profits such as Salvation Army should be able to provide you with a directory of these services.

Don't cancel the cell phone. One thing I learned in my years of working with the homeless is that you can not find work without a phone. Prospective employers will not leave messages with an answering service which is why keeping a phone is so important. To cut back costs, scale back the bells and whistles and use the basic plan.

Don't sacrifice nutrition. Your body needs wholesome, nutritious food to stay healthy. Sacrificing nutrition results in loss of energy and poor health. Instead of cheap eats, fill your cupboard & frig with low cost fruits & vegetables, whole grains, milk and inexpensive meat cuts such as chicken or pot roast. A local food bank can also help with emergency groceries and provide resources for free summer meals for kids, free communities suppers, and other kind of assistance.

Don't eliminate insurance. Don't think you can afford insurance? You can't afford NOT to be insured. All it takes is one disaster to wipe out your finances for good. Talk to your agent/HR office about ways to lower your premium costs by switching plans or raising the deductibles.

Don't compromise education. Education is how you escape from poverty. Whether you are going to high school or getting a GED, attending a one year tech school or going to college, don't quit no matter what. There is a wide range of government programs out there to assist low income individuals. Fafsa.ed.gov can help with funding through trade schools and college. Jobcorps.gov will help young adults ages 16-24 get a GED and provide free career training.