Let’s Talk Money, Saving That is…

After the holidays pass and the gifts are unwrapped, many people resolve to scale back on spending. January is a great time to start fresh and get out of debt. If your credit card statements are making you realize you spent a little too freely this past December, read on for tips on how to make 2013 the year you regain a grip on your finances and save more money. We know you don’t want to, but let’s talk money saving!

Review. Gather together your last six months’ bank statements, together with your latest credit card bills. If you have credit card debt, look over your card’s statements and calculate the amount you need to pay to become debt free in three years. Then, make a plan and tighten the reigns on your spending, especially your credit card use, along the way. Also, review your credit cards’ policies. If your credit card company offers significant cash back rewards in categories such as grocery or drug stores, you may be able to save money by purchasing gift cards at these stores to extend cash back rewards. If not, you can still concentrate your purchases at these locations. Make sure to read the fine print.

Revise. Be honest with yourself. If you haven’t hit the gym more than a few times a year since 2004, but you keep paying for a membership at the East Bank Club, it’s time to admit you’re wasting your money. The same goes for unused magazine subscriptions (you keep meaning to read all those issues of National Geographic), data plans, or Netflix subscriptions. If you barely use the services you’re paying for, just cut the cords.

Reorganize. At Adon Solutions, we know that being organized is a key ingredient in helping people save time and money. If you need help monitoring your spending and saving, start keeping track with an app or a computer-based budgeting program. Many banks and websites like Mint.com can help you aggregate your spending, debt, and investments all in place.

Another good way to monitor your spending is by keeping a log of everything you spend for at least two weeks. If you realize too much money is going toward gourmet souffle at lunch, for example, start brown bagging it. If you truly can’t live without your triple iced Americano in the morning, compare it to another spending indulgence, like your 4 p.m. doughnut. Weed out the greater of two evils. Follow Immanual Kant’s pleasure principle (loosely) and cut out the one that gives you the least. You can do it!

Recycle. If it’s mid-January, and your holiday gifts still need a home, it may be time to get rid of some clutter. Find the items that are collecting dust and try putting them up for sale on ebay. You’ll be helping the planet and might make some money along the way. Happy saving! Adon Solutions joins you in reviewing, revising and recycling in 2013!