June 20th, 2011 14:43 EST
10 Tips on How to Save Money in Tough Times
The Confidence Coach Keith Johnson says, `Don`t throw away your money!`
The following are my top 10 coaching tips on how to save money in tough times:
Debt: Debt is proof that your desires are bigger than your income. You may buy a new outfit on sale, but with the interest you pay, you could have bought two outfits. Using your credit cards cause you to squander your hard-earned money.
Cable TV: My billionaire friend says, If you are in debt, you cannot afford cable television. " His comment is not only referring to the large monthly cost but also the time you waste watching television instead of spending that time on activities to increase your income (education, building your business, networking, innovation thinking, etc.).
Auto: The average family owns more than two cars. Do you really need two or even three vehicles? Are you able to get by with one or two? Eliminating a car (or two) will save you thousands of dollars per year.
Gas: With the price of gas, carpooling is an easy way to save money. Carpool with other work associates who live in your area. Carpool with other parents to ball games, dance classes, etc. Preplan your shopping and errand trips to eliminate duplicate runs.
Grocery Shopping: Preplan your meals for the week and then write your grocery list. Cut coupons and look in the newspaper and online for special deals. Remember: Coupons = Money. Also remember: Junk food is expensive, increases your weight, and is unhealthy.
Addictions: Addictions are expensive. Addictions lead you to poverty and poor health. Don`t squander your money on alcohol, drugs, cigarettes, gambling, and lottery tickets. These additions are not stress reducers, they, in fact, add stress to your life and deplete your bank accounts.
Telephone: Long distance calls can add up over a month. Check to see if your phone company has an inclusive plan. If not, set a timer to keep calls short. What about cell phones? Is your cell phone making you money or just costing you money for pleasure and convenience? Do you really need a cell phone? Do your children really need a cell phone?
Eating Out: Most restaurants serve you enough food for two people. Consider splitting one meal. If you have a large family, eating out can be very expensive. Plan a nice dinner at home and save the leftovers for lunch the next day.
Starbucks: How many trips do you make to Starbucks each day? Two? Three? Four? Remember, two trips a day to Starbucks cost you over $300 a month on coffee. Make your own at home, buy a $10 travel mug "and put that $300 in the bank.
Electricity: Shut off vents and close doors to rooms you are not using. Use air conditioning and heating only when necessary. Use ceiling fans when possible. Turn off lights, fans, and televisions when no one is in the room.
Confidence Coaching Tips for Saving and Spending in Touch Economic Times
Tip 1 - Get Confident Enough to Face the Facts! Your journey to a new financial future starts with dealing with the current realities of your starting place. To build a map, you must first know where you are.
Tip 2 - A Budget Empowers You With Financial Confidence. You can save a minimum 10-30% of your income every year if you set a budget and stick to it.
Tip 3 - Have the Confidence to Pay Yourself First. Pay yourself 10% of your income into a savings account each month. Internal financial harmony for wealth creation happens when your desire to save becomes greater than your desire to spend.
Tip 4 - Confident People Live Below Their Means. Confident people do not measure themselves by what they possess. You are not what you own! If you can afford a Mercedes, buy a Cadillac. If you can afford a Cadillac, buy a Buick. If you can afford a $200,000 house, buy a $100,000 house.
Tip 5 - Have the Confidence to Stop Spending. Confident people dominate their internal voices. Product marketing plays on your lust. Why do people get into debt? They desire to live a lifestyle that is beyond what they can currently afford.
Tip 6 - Have the Confidence to Plan Your Future Purchases. Preplanning prevents emotional overspending.
Tip 7 - Have the Confidence to Evaluate Each Purchase. Use this four-step formula before you buy anything:
1. Do I really need it?
2. Can I afford it?
3. Is it really a bargain?
4. Is it the right time to buy?
The Confidence Coach Keith Johnson says, Ignore the barking dogs that want you to spend your money! "
About the author:
Keith Johnson has dedicated the past fifteen years to training leaders around the world on how to increase their confidence and maximize their effectiveness. He is the founder and CEO of Keith Johnson International, through which he speaks to hundreds of entrepreneur groups, church assemblies, and business organizations each year.
THE CONFIDENCE SOLUTION is a Tarcher Master Mind Edition. Created to inspire, instruct, and motivate, the series showcases books that focus on a specific and essential life skill.
THE CONFIDENCE SOLUTION
Reinvent Yourself, Explode Your Business, Skyrocket Your Income
By Keith Johnson
Tarcher / Penguin, paperback
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