Everyday Cheapskate

Saving money is a curious term with two meanings: 1) to spend less, as in, “I buy things on sale to save money,” and 2) to physically place money where it is safe from being spent.

It’s easy to trick yourself into thinking that 1) and 2) are the same. They are not, unless of course you stop by the bank to deposit the difference between what you would have spent had the item not been on sale into your savings account. That’s one clever way to boost your cash stash this year. Here are seven more:

1. Tax yourself. This year, assess yourself a specific “tax” each time you make an ATM withdrawal. It might be $5 or $10. You decide. Whatever the amount, make sure you become a tough tax collector. No slacking, no IOUs.

2. Impose a moratorium. Select a specific denomination of currency, like the $1 or $5 bill, that you will not spend this year, but save instead. Forbid yourself, and get very strict. Why not go with the $5? Your stash will grow so much faster if you absolutely refuse to spend any Abe Lincolns this year.

3. Hoard the coupon savings. When you grocery shop, ask the clerk to total your order prior to handing over your coupons. That’s the amount you’re going to pay. After you hand her the coupons, you’ll watch as your total plummets. The clerk will hand back the cash equal to your coupon savings. If available, open a savings account at the bank branch located in the supermarket. It’s easy to stop on your way out to make a savings deposit — even if it’s small.

4. Rack up rebates. They’re coming back in a big way as manufacturers and retailers want to make their products appear cheaper without actually reducing the price. They offer rebates, knowing full well only a small percentage of consumers who buy the item will ever carry through. No matter how small the rebate or complicated the process, promise you will not be among the lazy bunch in 2012. Apply for, follow up and then stash those rebates as they arrive.

5. Drink water. Pay yourself a bonus like a dollar or two each time you eat out and opt for water instead of a pricey beverage. Don’t be a slacker in your obligation to pay up. And remember, no IOUs allowed.

6. Give it up. Pick one thing that you will sacrifice this year — just cut it out. Stash the amount you would have spent on whatever it is — manicures, french fries, gourmet coffee, cigarettes — into your savings. You could always do your own manicures, swear off the junk food or brew your own coffee for a year. As for that smoking habit, just imagine all the dough in your stash if you give that up.

7. Trick yourself. Whenever you write a check, record the amount rounded up to the next dollar. Then deduct it from the balance. At the end of the month, reconcile and stash the “oops!” overage.

Mary Hunt is the founder of www.DebtProofLiving.com and author of 19 books, including her January 2012 release, “7 Money Rules for Life.” You can email her at mary@everydaycheapskate.com, or write to Everyday Cheapskate, P.O. Box 2135, Paramount, CA 90723. To find out more about Mary Hunt and read her past columns, please visit the Creators Syndicate Web page at www.creators.com.

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