Five Quick Tips to Save $1000 a Month
For most people figuring how to save enough money to retire early to sail around the world is a bit of a challenge. You are living paycheck to paycheck, raising kids, or paying off student loans. Even if you are managing to save, you wish you knew how to manage to save money a little better. Here are 5 quick steps to help you save $1000 a month without really trying. And more importantly, without impacting you while still managing to enjoy your life while you save.
1. Cancel The Small Stuff
Take your checking account and credit card bills and go through them with a fine-tooth comb. Like the pounds of extra weight, we gain over the years from not paying attention to our diet and exercise the same thing happens to our finances. We end up with a load of spending bloat.
Over the years we end up with dozens of little small monthly charges for subscriptions and services we don’t use. Common expenses found in most people’s spending:
- Monthly software subscription fees
- Antivirus protection products
- Identity theft insurance
- Loss of income insurance
- Credit score monitoring
- Membership fees
- in-app purchases
- App subscriptions for apps you have deleted long ago
- Online movie services
- Cloud storage
The list goes on and on. Look for the small expenses. Search for all expenses under $30 each. carefully evaluate each one, cancel the ones you no longer use or do not need.
Do the same with Paypal. Many people do not know that PayPal has a subscription service and many services you order online will automatically sign you up for a monthly or annual subscription.
You have to manually go into Paypal and look next to each item in your Activity feed. Paypal recurring charges are listed in small print on the bottom right-hand corner of each expense as “Recurring Payment.
You need to click on each charge and manually cancel the automatic payment by clicking the “Manage Payments” link within the charge.
By carefully examining your bank statements and PayPal activity you can save hundreds of dollars each month by cancelling the small little recurring expenses that you do not need. Getting Rid of your small recurring expenses will put you firmly on the path to save $1000 a month with very little effort.
2. Get Rid Of Cable to Save Money
If you haven’t cancelled cable already this is a great way to save money. By cancelling cable especially if you have subscribed to a bunch of speciality sports channels can easily save you $100-$200 per month.
Everything you are looking for, including live news and sports, are available online for a much lower cost than cable.
Before going cruising, I called our cable company about three years out and said I would like to cancel our cable. The operator immediately gave me all the premium channels and a year free. The cable companies know that once they lose you, they lose you, and you won’t be coming back.
They also know that the younger generation is not signing up for cable, so they will do anything to keep you. Even if it means giving you a year free in the hopes that you don’t cancel after the year is over.
I set a reminder to call the cable company a week before the end of the offer. And every year they gave me a free year without even having to ask for it!
3. Renegotiate Your Cell Phone Contract
Research competing plans from other service providers to see what they are offering. Next, take a look at what you are paying for and what you really need. Finally, call your provider armed with your research on their competitor’s plans and tell them you would like to cancel your plan.
Before they will let you cancel, the operator will try to give you a slightly sweeter offering. Don’t fall for it. Ask to speak to their ‘Retentions Department’. The Retentions Department has the authority to try to match or beat competitors’ offers to retain customers. If you’re not offered something fantastic, and there is a better plan at a competitor, switch to them.
Better yet switch to a low cost mobile phone service provider (USA/ UK/ Germany).
4. Renegotiate Car and Home Insurance Premiums
Shop around, get quotes on different levels of deductible, and you could easily save $100-200 a month from your insurance premiums.
Assess what your car is worth and insure it accordingly. Make sure your deductible is reasonable for the value of the car.
5. Eat Out Less
Have a look at your credit card statements and write down the number of times you eat out per month. Breakfasts, lunches, and dinners. Forget the dollar value for a moment. Just write down the number to get a feeling of how often you eat out.
Now try to cut out one or two meals a week or even a month, and you will see a dramatic drop in your monthly spending. Again it is easy to save $200-$500 a month by cutting out a few meals per month.
It’s Easy to Save $1000 a Month Without Really Trying
The key to saving $1000 a month every month, without much effort at all, is to eliminate the small monthly expenses. The charges you don’t normally pay attention to, the ones that fly under the radar. Start by focussing on recurring charges, and before you know it, you will be well on your way to saving to Become a Cruiser.