10 Ways to Find Money for Investing
Hello, welcome to Finance Speaks. Today I am here today to talk to you about 10 ways to find money for investing. Now, being that this is just a video and I’m not actually sitting with an individual or couple, looking at their budget. I have devised some common money finding tips.
I know, this is an issue that I hear from a lot of people. Kyle, I have all these bills – I can’t find money to put aside. Kyle, I barely make ends meet – how am I going to be able to invest money? Well, I hope that with these 10 steps you will see that you CAN find the money to invest. It is for your future and as I have said in past videos – you DO NOT want to wait!
#1: Cut the Cable
Wait, what? You want me to get rid of my cable? Are you insane? No, I am not insane. In 2015, the average cable TV subscriber spent $1,476! Nowadays, there are so many other options that you can get for cheaper. Most of the options are under $9.99 a month. There’s Hulu, Netflix, Amazon Prime, and some of the channels even offer subscriptions. There are also your local channels that are free with the help of a digital antenna.
So cut the cable! That is about $1300 you can save by canceling cable and using an online streaming service. That is insane! I personally spend about $150 a year and I probably have as many channels and am getting the same shows most of you have.
#2: Falling for Gimmicks
We have all seen those advertisements for “What Doctors Don’t want you to Know” or “This is a Millionaire’s Biggest Kept Secret”. Oh yeah and those late night infomercials about how you can make your skin look 20 years younger for 10 payments of $39.99. Don’t waste your money on stuff like that. There are so many products out in the world that cost big bucks and make big promises but there is probably a product that does the exact same thing for a fraction of the cost. If you see something that sounds interesting to you, do some research! Google is free and quite possibly the biggest resource in the world for information and products.
#3: Buy a Used Car
I may have mentioned this one a few times in our videos but do not buy a new car. A new car starts to depreciate as soon you drive off that car lot. I’ve heard statistics of 20% just driving it off the lot. You can save thousands of dollars by buying a good used car and invest that other money.
#4: Stop doing your Taxes on your own
With about 56 million Americans doing their taxes without third party help, there are billions of dollars in refunds that go unclaimed. Maximize your refund! I have a degree in accounting and I don’t do my taxes anymore because I can’t keep up with the current income tax deductions and credits. We have a great accountant as a part of our team and she would love to sit down with you. Give us a call and we will gladly refer you to her.
#5: Sip less Sugar
Here I am saying crazy things again but did you know that the average American household spends $628 on soda a year. Water is better for your health AND it’s free. “But, I need my caffeine!” Try tea! Most teas are even healthier than sodas.
#6: Bank on an Existing Relationship
One of the biggest ways that money is lost is by using out-of-network ATMs for withdrawals. In 2014, the average fee for using one of these ATMs was $4.35. If you visited an out-of-network ATM 25 times in a year, you would spend $108.75 that you could have saved by going to an in-network ATM.
#7: No Starbucks!
First I told you to cut the soda and now I am going after the coffee. A medium coffee at that big chain can cost you about $6.00 a visit. If you went and got coffee every day for a year, you would spend about $2,190! But Kyle, I love my coffee, I can’t give that up. Trust me, I understand, I love my coffee too. So how can you save money AND get your coffee fix? Buy a regular old coffee maker. There are some fancy flavored creamers at the grocery store that will make it extra yummy. You can also switch it up sometimes and make some tea.
#8: Kick the Habit
If you are a smoker, this one is for you. Studies have shown that the typical smoker will spend about $1.1 million from age 18 to age 69 on cigarette-related expenses. If you quit smoking and put that pack a day money into savings, think about how much you could save over your lifetime. The sooner you quit the more money you can save. And on the topic of lifetime, as a former tobacco user, let’s not only save money but also add year back to our lifetime.
#9: Use paper, not plastic
No, I am not suggesting that you use paper bags instead of plastic bags. I am suggesting you use cash instead of credit! I have said it before and I will continue to say it – you have to make debt reduction a priority. I ran across a study that said the average American household owes $7,283 in credit card debt. That money that you are using to pay off that credit card can be saved once that credit card is gone. Do not live beyond your means. It hurts more when you pull out a Benjamin then a piece of plastic!
#10: Eat it, Don’t Toss It
I am guilty of this. We buy too much food and then it sits in the refrigerator or pantry until it is bad and it gets thrown away. Make a food plan and shop for what you need for that week. A good way to empty out that pantry and refrigerator is to make a list of what you have and cook it. But Kyle, I have a whole bunch of random stuff in my pantry. Did you know that there are actually websites where you can put in what you have and it will give you recipes? Inventory and use what is in your pantry, save a trip to the grocery store, and you save money.
Those were 10 ways to find money for investing! If you have questions or concerns about this video or any others that we have produced, please do not hesitate to contact us. Have a suggestion for a topic, please, I would be more than happy to shoot a video because I know that you are not the only one with that question.
For Finance Speaks, this is Kyle Sadler headed out until next time. Be blessed and have a superb day!