Ramsey County

Making $ense of Dollars and Cents

February 25, 2008

Tips from America Saves

        America Saves is a national marketing campaign that encourages individuals to save money, reduce debt and build wealth.  This year’s theme of “Build Wealth- Not Debt” includes a multitude of money management tips.

        - Save your loose change.  Putting aside fifty cents a day over the course of a year will allow you to save nearly 40% of a $500 emergency fund.

        - Never purchase expensive items on impulse.  Think over each expensive purchase for at least 24 hours.  Acting on this principle will mean you have far fewer regrets about impulse purchases, and far more money for emergency savings.

        - Eat out one fewer time each month.  If it costs you $25 to eat out, but only $5 to eat in, then the $20 you save each month allows you to almost completely fund a $500 emergency savings account

        - Shop for food with a list and stick to it.  People who do food shopping with a list, and buy little else, spend much less money than those who decide what to buy when they get to the food market.  The annual savings could easily be hundreds of dollars.

        - Reduce credit card debt by $1,000.  That $1,000 debt reduction will probably save you $150-200 a year, and much more if you're paying penalty rates of 20-30%. 

        - Make your monthly credit card payment on time.  The $30-35 you save by not being charged a late fee each month on one card would save you most of the money you need for $500 in emergency savings

        - Use only the ATMs of your bank or credit union.  Using the ATM of another financial institution once a week could well cost you $3 a withdrawal, or more than $150 over the course of a year.

        - Raise the deductibles on auto and homeowners' insurance:  Being willing to pay $500-1,000 on a claim, rather than only $100-250, can reduce annual premiums by as much as several hundred dollars.

        - Consider dropping credit insurance coverage on installment loans.  Many consumers don't need credit insurance because they have sufficient assets to protect themselves in the event of death, disability, or unemployment.  Terminating this coverage often reduces financing costs by three percentage points, a savings of about $1,000 on a four-year $20,000 installment loan.

            -  Keep your car engine tuned and its tires inflated to their proper pressure.  Doing both can save you up to $100 a year in gas.

                - Live relatively near your workplace.  While this isn't always possible, driving 5,000 miles less a year can lower transportation costs by more than $1,000.

        -Weatherproof your home.  Caulk holes and cracks that let warm air escape in the winter and cold air escape in the summer.  Your local hardware store has materials, and quite possibly useful advice, about inexpensively stopping unwanted heat or cooling loss

      -Assess clothing in terms of quality as well as price.  An inexpensive shirt or coat is a poor bargain if it wears out in less than a year.  Consider fabric, stitching, wash ability, and other quality related factors in your selection of clothes

        -Be aware of your cell phone costs and how to reduce them.  Cell phone use has dramatically increased communications expenditures in many households.  Understand peak calling periods, area coverage, roaming, and termination charges.  Make sure your calling plan matches the pattern of calls you typically make

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524 4th Ave NE #5, 2nd Floor Ramsey County Courthouse
Devils Lake  ND  58301
701-662-7027
email - ramsey@ndsuext.nodak.edu