Everyone is always looking to save a buck or two. Here are five more tips to help you keep more money in your pocket.
1. Pay yourself first
Before spending, you should set aside a certain amount of money every month. The amount you save can be used as an emergency fund, for retirement, or for a down payment on a home. If you need the money in the short term, a high-interest savings account is a better option than a typical savings account because you’ll earn more interest. If you’re investing for the long term, you’ll want to consider ETFs, index funds, or a robo-advisor.
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2. Use price comparison apps
Comparison shopping is one of the best ways to spend less on items you plan to buy anyway. Instead of checking numerous sites for the best deals, you can search for the items you want using Flipp (available on iOS and Android). And here’s a shameless plug: If you want to reduce the amount of interest you pay on your mortgage, don’t forget to check the best mortgage rates on Ratehub.ca.
3. Stop buying overpriced stuff
Are you buying bottled water or pre-cut fruits and vegetables? There are cheaper alternatives. According to a CBC News article, a 500 ml bottle of water can cost anywhere from $0.08 cents (if bought in bulk) to $2.50 (if bought individually) for a higher-end brand. On the other hand, tap water costs tenths of a cent per litre. A package of pre-cut fruit at the grocery store certainly is convenient. But it can cost three or four times as much as buying regular fruit and cutting it up yourself.
And what about that 4K TV you’re eyeing? CNET reports that ultra 4K HD TVs are stupid. Why? At typical TV sizes, there’s no difference in picture quality and they’re not worth the extra price.
4. Take public transportation
The better way is also the cheaper way. Let’s say you’re visiting Toronto and want to get from the Distillery District to the Royal Ontario Museum. Taking a cab is convenient and the trip will take approximately 16 to 18 minutes. The total cost will be about $19 to $20, according to Taxi Fare Finder. A trip on the TTC could take between 26 and 28 minutes while the cost of a single fare is just $3.25. In this example, a cab is quicker but it will cost about 500% more.
5. Cook at home
Eating out is fun but it also costs a lot of money. Imagine you spend just $50 a week. After one year, that’s $2,600. After two years, that’s $5,200. After five years, that’s $13,000. You get the point. Making a meal at home doesn’t take as much time as you think and it won’t cost as much. Here are four tips to eat well on $4 a day and 20 dinners under $2 to help get you started.
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Flickr: Alex Vakulenko