Save your savings
I love the challenge of finding the best price on something I’m going to buy. I needed new light bulbs for my saltwater aquarium yesterday. The initial price I found was around $40.00 per bulb. After a 1/2 hour or so reading through some forums, I found a site that carried the same bulb for $26.00. That’s a savings of $14.00 per bulb. I needed 4 of them equating to an overall savings of $56.00!
Last week I was talking with my Dad who had been looking at computer monitors at the local electronics store. He was about to buy one, but decided to go home and check prices online first. He went home and found the same monitor for sale at TigerDirect.com considerably cheaper and purchased it online instead.
Save your savings
I hear you saying: “So what, anyone that’s even slightly frugal knows to do this Glblguy.“ I agree, but here comes he great idea. While talking to my Dad about this, he says: “I’ve got a great idea for an article for you Glblson. How about instead of spending the money that you save when you find a great deal, save it instead. If you did this each time at the end of the year you would have a pretty good chunk of money.”
I thought this was a great idea and just had to share it with you. What if you took the money you saved each time you found a great deal and saved it, how much would you have? After all, it’s money that you most likely would have spent anyway had you not found the lower price. Frankly if you don’t save it, you’ll most likely just spend it somewhere else.
Here are just a few ideas of what you could do with those savings:
- Save the money – Each time you make a purchase for something at a lower cost, take the savings and immediately transfer it to your ING savings account (or which ever bank you use). Let’s just say you stash away $50/month, 12 months from now you would have $600.00, not counting the interest you would earn.
- Snowflake it – In debt? How about using that money to make snowflake payments against your debt? Over time, these small savings and payments could really make a big dent and significantly accelerate your debt snowball.
- Invest it – Already have a decent savings and are debt free? Take those savings and invest them. This option could really add up overtime, especially in you make smart investments. I prefer mutual funds.
Saving my savings
I started this weekend saving my savings. I took the $56 dollars I saved purchasing the aquarium lights and made a snowflake payment against one of my credit cards. I’m going to begin using this tactic on all of my savings and tracking the amounts in a spreadsheet (yes, I love spreadsheets). I’ll update you throughout he remainder of the year on how much I’ve been able to snowflake against my credit cards using this method.
I’ll challenge you to do the same, and when I post my updates it would be awesome if you could share your total savings as well. If you’re up to the challenge, add a comment and share with everyone else whether you’ll be saving yours, snowflaking it, investing it, or maybe even doing something else with it.
Let’s see how much money we can all save by just spending sometime deal shopping! Oh, and thanks Dad for the great idea!
This article is part of an ongoing series called Money Saving Monday. Each Monday, I share tips and techniques you can use to start saving money.
Photo by: voobie
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