How To: Save More Money in 2009

Do you spend everything you make? If so, you can at least take comfort from the fact that you’re hardly alone. So, what gives?

“I believe it’s because people don’t pay themselves first they wait until they have paid all their expenses and then they save whatever is left over which turns out to be zero.”
-Jessica Cecere, Credit Counselor

So if that’s you, here’s some advice from budget professionals. Start with a goal…decide what you’re saving for. And treat that goal like any other bill you have to pay. First goal? An emergeny fund…

“What that means is you need to be able to pay your lights and buy food and pay your mortgage or rent and you need to have 3 months of that set aside.”
-Jessica Cecere, Credit Counselor

And remember to pick up any free money that might come your way: like money from your company retirement program…

“Many times it’s a matched account so you’re getting some money from your employer and then they’ll match whatever you give until a certain amount, well how can you not save that money it’s free!”
-Jessica Cecere, Credit Counselor

And last but certainly not least: saving soon is more important than saving big. Even it’s just $25 a month.

“25 dollars adds up, 25 dollars is 50 dollars and at the end of the year it’s 600 dollars and 600 dollars invested is a whole lot more than 600 dollars.”
-Jessica Cecere, Credit Counselor

Bottom line? If saving money is the goal, the key isn’t a big raise or big changes. It’s to find a few bucks a day… and start. Make it a habit this year.