Category: Saving Money

The act or process by an individual, a family or small business, of taking a portion or percentage of weekly or monthly income and setting it aside by placing it in a savings account or other account such as a IRA to be used at some future date. Reasons for saving might include paying for unexpected events, medical expenses, child’s education, retirement lifestyle and other future purchases.

Practical Steps to Cutting Your Medical Expenses

Treatment isn’t free

I begin this post by invoking a phrase that often sends a direct, and sometimes rather harsh, message to particular audiences: “there is no such thing as a free lunch.” The same thing can be said about medical attention, meaning, there is no such thing as free medical treatments or medication.

Some time or another, all of us will need medical treatment. Whether it would be for simple colds and flus or for more serious illnesses. Whatever the circumstance, these incidents would hurt us and hit our pockets hard.

According to various studies, Americans spend more money on medical expenses than any other nationality in the world. As prices get higher and life gets harder, saving some money off your medical expenses will definitely be beneficial to you. In view of that reality there are some pointers discussed in the following paragraphs that could prove helpful, so read on.

Take care of your health

Prevention is always better than treatment. Being fit and healthy might seem to be a 21st century fad but it wouldn’t hurt us to jump on that bandwagon. An analysis of the 1987 National Medical Expenditures Survey revealed that people who are more active spend less on medical expenses than those who live lethargic lives. This analysis equated the benefit of being physically active to $330 (1987 dollar value) per person.

For smokers and drinkers, reducing cigarette and alcohol consumption is an option which you may find feasible. You will not only reduce future medical costs but also reduce direct costs from purchasing these products. This about this simple calculation: At $5.00 per pack of cigarettes per day, your cost per month just for cigarettes is, $140.00 which is enough to pay at least one utility bill and perhaps two.

Buy generic

These days generic drugs are just as effective as the brand names; so true is this that major supermarket chains and Chain Drug Stores like, Rite Aid and Walgreens are producing their own brands and competing with the traditional brand name manufacturers. Patents have been used by manufacturers to to set a price so as to recover their costs in developing their products.

However, these patents don’t last forever and generic versions of the drugs have been made available in more varieties. Fact of the matter is, generic drugs are basically the same as the brand name drugs in the sense that ingredients and quality are very much the same.

Going generic can save you a lot of money. According to the Association of Chain Drug Stores, the generic drugs are priced at $24 on the average in 2004, while the average price of the branded ones is $96 dollars. That’s a significant difference for any consumer, but especially to those who are on fixed incomes or others trying to adhere to a budget.

Heed your doctor’s advise

Take time out to discuss things with your doctor, since exercise this can also save you a lot of cash. Don’t be shy to ask your doctor about possible alternative drugs you can ingest. Ask if there is a generic drug that you can take if s/he prescribes a branded drug for you. If you are going to have surgery, try to schedule wisely, so as to prevent overstaying in the hospital.

And most importantly, do as you are told by your medical expert. If s/he asks you to quit your vice, quit it. If s/he tells you to be active, then you’d better be! Medical expenses can really dig a hole in your pocket. Try to be wise in your medical transactions and more importantly, take care of your health.




Savvy Money-Saving Gift Ideas

Are you a spendthrift?

Giving gifts does not necessarily make you a spendthrift. Most of us are familiar with the old adage, “It’s the thought that counts”. This saying can be interpreted a number of ways, but the most practical interpretation is, “don’t worry about getting me anything (special), I thank you for being so considerate as to think of getting me something.”

If this interpretation is adopted by a majority of gift givers more people can start cutting back on gifts that would cost them hundreds of dollars. That having been said, it really is best to choose items that may not be that expensive but would definitely bring joy and amusement to the one who will receive your gift.

The gift card

So, if you want to give gifts but you have a tight budget, don’t worry too much because there are many ways to cut back on the prices but still be able to give gifts that will be deeply appreciated. Here are a few ideas that might help you bring smile to someone’s face during the holidays without having to break your bank.

Consider for a moment that, the trade-off between a gift certificate with which the recipient can buy exactly what s/he wants and a more expensive item that is really not the ideal gift may just be a more acceptable exchange and as well as a appreciated gift.

What not a gift closet?

Gift Closet is a really cool idea…Start one! If you have not done this before, try to do it now. Shop for gifts the whole year-round. This would mean less hassle and less expense, a definite money-saver. The point here is that if you do not plan in advance, you will end up spending more.

You could try buying gifts at bazaars, special sales, and out-of-town trips, which you can deposit in your gift closet. In this way, you can buy the items at a much lower price than it would be sold for during the holidays.

However, to make sure that you do not give the same gift twice, you should make an inventory of all your gifts. This will also allow you to keep tabs on what you have in your stock.

Alternatively, and in addition to stockpiling gifts, collect wrapping paper, ribbons, and other trimmings, adornments and other supporting items as well. A gift is better appreciated when it is beautifully wrapped.

Creativity & organization

Let the creative juices flow because nothing could be more amusing than a gift that was specially made by the person who gave the gift. Personalizing you gifts is far better than commercially made items. In this way, you do not only create a smile to the one who will receive the gift but you would also cut your gift-giving expenses by a large amount.

One of the best ways of saving money on gifts is to be organized with the process. That is, before going to the store or mall to shop for gifts, always bring with you a shopping list. It should be stated there, the names of persons to whom you will give gifts and the budget for each person.

The bottom line is that gifts should not be expensive. What matters most is that you have thought of the person on that very special day and that’s usually enough to make them feel they are special to you. However, this does not mean that you shouldn’t get a modestly priced item for that person.