Debt Free Life Hacks

Hey, my friends! So, let’s chat about something on my mind: is it time to think about getting a new car 🚗? With car prices and interest rates being what they are right now, jumping into a car purchase might not be the smartest financial move. But don't worry—it doesn't mean you can't start saving for that next ride! I’m not in a rush to take on a car loan myself, but I have been pondering when the right time might be to snag a new vehicle. This gives me a great opportunity to build my savings so I can put down a solid down payment, which definitely helps in keeping my future loan manageable. I also want to chat a bit about the whole car loan mentality. Sometimes, it's easy to get into a rhythm of paying off one car and immediately jumping into another loan. It's like a never-ending cycle! But here’s the thing: you don’t have to go down that path🙅. If your current car is running well and reliable, why not enjoy it?   On the flip side, if having a car note has becom...

Have you been building your emergency fund? Is that money in your account ready to take action when needed? That's a huge accomplishment! Celebrate! 👏 I have a few more questions. Is your emergency fund separate from your everyday expense account?  If not, consider opening a savings account to hold those funds. Separating these accounts is a good idea to avoid the temptation to use emergency/rainy day funds for non-emergencies.   Does your account grow even when you're not contributing?  So you have been putting your emergency fund in a savings account. Great! Now what? Is this account growing even when you're not contributing? If you're earning interest at laughable rates such as what you see below or any percent starting with 0.0 (i.e.,.01),  it's time to make a change.  😒 😒 My savings account earned literal pennies on the dollar for many years. It's one of those things that hurts to even think about 😢. We will not dwell on the past. I encourage ...

There is a good chance you are paying for something you could get for free. What do I mean? Many companies are beginning to offer bundled products and services which means there may be some opportunities to save on some of your reoccurring expenses.  Ways to Save We all have expenses in our lives that are reoccurring. Think of some subscription services or apps that you pay for every month. First, it's a good idea to evaluate what subscriptions and apps you are actually using. Do you pay for several streaming services but only primarily watch one? If so, maybe it's time to cut the ones you're not watching and save a little dough. That's one way you can bring down your monthly expenses, but not the focus of today. Let's talk about saving using existing connections. T-Mobile Offers Service providers are now tacking on additional bonus items to entice customers. For example, with some T-Mobile plans, you can get Netflix. Do you know what that means? That means you may ...

Saving is hard. Especially if it isn't something that you're used to doing.  Maybe you don't have much to save, don't know how to save, or don't see the point in saving. All of these things can make it even more challenging or make it seem impossible. Let's address each of these reasons one may choose not to save. I don't have much to save: Guess what? It is okay to start small. If you're barely making ends meet, you may have to get creative to save, but it is not impossible. Look at your budget and spending and determine what a reasonable savings goal could be. Maybe you'd start off by saving an extra $5 each payday. If you get paid once a week, that's about $20 a month, which adds to $240 a year.  I don't know how to save: I get it; sometimes, we're lucky to just have something left over after paying all the bills and taking care of responsibilities. At that point, if you have something remaining, you may be inclined to go ahead and ...

What if I told you you could buy something without spending any money? You'd probably look at me crazy, but just hear me out. Here's an idea that may work if you are patient. Say you had a laptop that you were looking to replace by the end of the year.  Instead of earning money and saving or putting the laptop on your credit card, you could take a different approach. We'll call this approach the Buy Without Spending Challenge .  Buy Without Spending Challenge 👀 Instead of using earned income to make a purchase for the Buy Without Spending Challenge , you would use the money you already spent to pay for the new purchase. Stay with me now. You'll determine how much you need to save for the purchase and then sell items you own and no longer use until you've saved up enough to purchase the new item. It's like recycling ♲ your dollars; you already paid for the item(s) and so whatever profit you make is like having a second chance to use some of the money you spent. ...

 In one of the previous posts, I talked about some DIY automobile maintenance. This video is an example of one simple car maintenance item that can save you a little money on labor.  In this video, I change my engine air filter for the first time. I purchased my engine air filter from the dealership, but you could save even more if purchased elsewhere. Enjoy! Managing your Money Like a Boss sometimes means getting your hands a little dirty (in a good way ) to save more and spend less! 

There are some things that we have no choice but to spend money on. If you want your car to get you from point A to point B, you have to keep it fueled. The same thing with your body; if you want it to perform, you must feed it. Just because we must spend money on these necessities doesn't mean we can't still save money. Here are some ways to save on everyday spending. Save on Gas While gas prices have been low for a good while, we know that gas doesn't go on sale. There are still ways to save. It's your duty to take advantage when you can. For example, as a T-Mobile customer, I benefit from T-Mobile Tuesdays . It's a weekly opportunity to get free stuff and other deals. One of the frequent deals is 10 cents off per gallon of gas using the Shell Fuel Rewards app. This is just one example of how you can save on everyday expenses. Now, of course, you'd still compare prices. If the gas station across the street is cheaper even after the savings, your best bet is to...

So it's settled; another round of stimulus checks are making way to the mailboxes and bank accounts of eligible individuals. Don't know if you're eligible? Find out more by visiting the Economic Impact Payments page on the IRS website.  Extra Money, How will you spend it? Depending on your circumstances, this extra check can help in various ways. If you suffered a job loss or a cut in hours, the extra money could help you make ends meet. If you are fortunate to still be doing okay during these trying times, the check could help you in other areas. The key is not to be wasteful.  Here are some ideas on how to spend your stimulus check for those without an urgent need: Emergency Fund  💰- If you do not already have a fully-funded emergency fund, consider putting some or all of your stimulus check into an existing emergency fund. If you do not have one, start one with these funds.  Pay Down Debt ➖- Have some bills or debt you need to take care of? This is an excellent o...

The holidays are near, and during this time a year, there is a lot of shopping. There are plenty of sales to choose from - Black Friday, Cyber Monday, and general holiday sales. Even more, with the pandemic, stores have extended their sales over multiple days, weeks, months even! One thing you can count on is promotions that pressure you to buy and to buy now.  Buy Now! Phrases like "limited time offer," "lowest prices of the season," and "while supplies last" can invoke a sense of urgency and give the illusion that you'll miss out if you do not act fast. Sometimes this is true, but often times it is not. While you may feel pressured to buy now to get the best price, just make sure that you really are getting the best price. Sales come, and sales go, but you'll almost always be able to get the item at a good price on more than one occasion. Do your research and try not to shop impulsively. It's almost always a recipe for disaster. When a store ...

 Saving money and budgeting may come easy for some but can be a struggle for others. While you may have no problem restraining yourself from spending or overspending, there are some people who are very good at spending - and sometimes blowing money. Find an Accountability Partner No matter which category you fall into, I bet you know someone who is just the opposite. Maybe it's a spouse, a relative, a friend. These individuals can serve as  accountability partners . Wikipedia describes an accountability partner as "a person who coaches another person in terms of helping the other person keep a commitment."  If you are a spender, having an accountability partner who is more so a saver could benefit you greatly. If you are a saver, reach out to a spender you know and offer to be their accountability partner. What a wonderful opportunity to help yourself or someone else! What does an Accountability Partner do? You establish the rules. Say the spender has a goal to spend less...

A year ago, I decided that as a birthday gift for myself, I would get a one year certificate of deposit. After doing a little research, I found one that offered a 2% interest rate for a minimum deposit of $2,000. Well, I definitely wasn't going to make a fortune with this rate, however, I knew for one year I'd have $2,000 put away that couldn't be touched ( without a penalty ) and it would grow a little during that period. Since penalties are a no-no, I moved forward, confident I would not touch that money for a year. What is a Certificate of Deposit (CD)? A certificate of deposit is defined as "a certificate issued by a bank to a person depositing money for a specified length of time." The money earns an interest rate premium in exchange for investing for that set period of time. Should I get a CD? Perhaps you have a little extra money sitting aside and you are trying to figure out what to do with it. If all your bills are paid, your emergency fund is fully funde...

Many car insurance companies are providing a discount for policyholders due to the COVID-19 pandemic. Discounts or reductions vary by the company as well as how the credit is applied or will be applied. You may have received a letter or email with the details and there may not be any action required on your part as it will likely apply automatically.  Take advantage of this opportunity to either pay your policy in full or in fewer payments. This will help save you even more money! Find out what your insurance company is offering or has offered in response to COVID-19. Below are links to details for some of the major providers. If your insurance company is not listed, just do a quick search online for your company and COVID-19. Allstate Insurance GEICO Insurance Nationwide Insurance Progressive Insurance State Farm Insurance

Maybe the best motivation to get your finances in order is when you really take a look at your finances. Knowing how much you make and how much you spend is only a piece of that puzzle. Considering all of your assets and liabilities, are you looking at a positive or a negative difference? If  the difference is negative, than that is motivation to pay down debts. If the difference is 0, that’s good because you have no debt, but motivation to build assets up.  If the difference is positive, you’re definitely headed in the right direction. Keep it up! What is net worth? Most simply speaking, net worth is the difference between your assets and liabilities. If all your loans and debts were paid, how much money remains? Consider that your net worth.  Examples:  Betty has a total of $10,000 in savings, $40,000 in retirement, $30,000 in student loans, and a $10,000 car loan. Betty’s net worth is $10,000 ($50,000 - $40,000). Jackie has a total of $50,000 in ...

Right now during the COVID-19 pandemic, people are spending a lot of time at home. While I'm sure there is plenty that can be done while home,  sometimes boredom sets in. When this happens, some people tend to do a lot of extra snacking, others do a lot of extra spending.  Snap out of it! The time spent at home is a great opportunity to put your money on a diet. An opportunity to slow the spending, to focus on saving and investing. Instead of wastefully spending money online ( which only lowers your net worth ) focus on finding ways to increase your bottom line.  Potential Saving Opportunities as a Result of Being Home Savings on Gas With many people now working from home, or temporarily home, you're likely to do less driving which means less money spent on gas. For essential workers, gas prices are low right now so there are still some savings, as a result.  More time at home If you're an on-the-go type of person, being home for so long can be...

Budgeting and saving can be challenging at times, but here are some tips to get you started! Create a budget - you telling your money what to do.  Stick to the budget - really use it to limit extraneous spending. Watch out for wasteful spending . Do you need that? Put it back! Try to go a week without making extra purchases - During a typical week, I'm back and forth to work. I rarely spend any money during the week.  Bring your lunch and snacks to work -  limit going out to eat and trips to the vending machine.  Buy Groceries - While you may be spending money on groceries, grocery shopping can amount to big savings. This typically means that you're cooking and eating at home which usually is less than money you would spend in restaurants.  Stay home some weekends -  If you're anything like me, a day out usually means spending money. Picking up items here and there, going out to eat, throw in a movie and drinks and there goes your money! Find fre...

Do you Remember Layaway?  As a child, I remember the ability to put things on layaway. It was a way to make larger purchases and pay a little at a time. That can be helpful to a lot of people when it comes to spending and budgeting. Lower-income families sometimes use it for big purchases like holidays and other special occasions. You could take a little from your check and pay down your debt. I know my mom may have used it at some point, but I don't have all the details.  Was there a fee? Did she pay interest? I don't know! Convenience Comes at a Cost With layaway, you didn't get the item until it was paid off. These days, many services allow you to take the item home and pay on it later. This comes at a price. A Word of Caution While it is maybe helpful to break a big purchase into smaller payments, do so with caution. Often, there are some heavy penalties for not making payments on time.  Be sure to read the fine print.  I was recently online doing a ...

This year, I'm trying a new savings strategy. I'm still doing the 52-Week Money Challenge but also trying another that I saw online. Saving Strategy - Multiply the Month by Number of Days It is quite simple. You take the month number times the number of days in the month and that is the amount you save. For Example: January is the first month (1) and has 31 days. 1* 31= 31 so you save $31. February is the second month (2) and there are 29 day this year. 2*29=58 so you save $58.  This pattern continues through December. It's just that simple! A little savings every month and by the end of the year you have an extra $2,382.  The strategy may not work for everyone, but find one that works and stick to it. This year your challenge is to make saving a priority! 

Time is our most valuable asset, and once lost, we can never get it back. That’s why it’s so important to spend your time wisely and make sure your efforts are not in vain. In order to truly manage your money like a boss, you must be vigilant about knowing what goes in and what goes out. Having auto-bill pay is easy and convenient, just as long as you’re actually looking at the bills. It’s easy to miss a charge or charges otherwise. I recently made a call to my internet provider because a bill that is normally $50, was over two times higher, nearly $130. This HAD to be a mistake. There were charges for items and services that should have not been charged. While valuable time had to be spent calling the company, in the long run it was worth it. When all was said and done, the bill ended up being under $7. Had I not been paying attention,   I would have automatically paid the unusually high bill and that would have been the end. The point is to not be too busy being busy th...

The end of the year is near! It's a great time to make final contributions, finish up challenges, and reflect on your money journey. Did you save as much as you wanted to save? Did you spend more than intended? What challenges did you face? What unexpected expenses threw you off track? Were you able to get back on track? Did you pay off one or more debts? What stands out? As we plan and set goals, we must be reasonable and flexible. Life happens, that's just a fact. Recognizing what went well and what did not allows us to plan for the future. If this year car troubles hit the budget hard, it may be time to budget more for future repairs and maintenance or even create a savings plan for a new car. As mentioned in a previous post, I took part in the 52-Week Money Challenge for the second year in a row. I've made my final payment and have successfully reached this year's goal. It's so rewarding to set a goal, work towards reaching that goal, and finally reach...

Saving is great and should always be the goal. Sometimes there are everyday items that we must purchase or pay for that don't come with any real savings. As consumers, we must keep our eyes open for opportunities to save (big and small). Coupons Coupons are a great way to get discounts on all sorts of things. Coupons can help you save on car repairs, on groceries, on household items and more. One does not have to be an "extreme couponer" or fanatic to benefit from the use of coupons. It doesn't hurt to do a quick check for a coupon prior to making a purchase for something you want or need. If you were going to buy it anyway, a savings (big or small), never hurts.  Recently, I picked up a coupon next to the security desk at work for a FREE carwash. It was a new carwash at a local gas station. The card had 4 coupons total. With two cars in the household, we were able to both get free car washes which ended up being one less expense for the month. With a car was...