All posts by Jacob A Irwin
20 Ways You Can Save Money on Gas
My Personal Finance Journey Homepage
Today’s guest post comes to us from Bailey Harris. Bailey writes for www.carinsurancequotes.net, a car insurance comparison site. Visit their site to find out more!
20 Ways You Can Save Money on Gas
The rising price of gas has created financial hardship for almost everyone. Prices at the pump seem to spike day by day. While there may be no way for you to control the gas prices, there are a few tips and tricks that can be employed to help save money at the pump. Here are 20 to try.
1. Compare Gas Prices
Instead of just pulling into the nearest station and filling up, you may want to consider shopping around to find the cheapest gas price possible. Prices can vary as much as 20% in a ten-mile radius. To figure out which stations consistently have lower gas prices, keep an eye out as you drive around. If you need help remembering prices and stations, track your findings in writing. After a week or two, you will have a list of the cheapest filling stations in your area.
2. Conduct Price Checks Online
If you don’t have time to compare gas prices manually, you can also use the Internet to find out more about prices in your neighborhood. The following websites are dedicated to helping consumers find the cheapest gas possible:
3. Don’t Drive Too Far for Gas
Shopping around for the cheapest gas is smart, but driving too far out of the way to get the gas isn’t. The goal is to save money, not waste gas. Depending on your vehicle’s gas mileage, driving out of your way may add up to more than the savings that you achieve. If you find a station that offers significant savings, but is out of your way, you may want to consider planning trips in that direction.
4. Take Advantage of Rewards
Consider getting a gas card or credit card that offers rewards or rebates on gas purchases. Depending on the rebate percentages and the amount of gas you buy every year, this could save you hundreds, maybe even thousands of dollars.
5. Utilize Gas Coupons
Certain retail outlets, such as Meijer and Wal-Mart, also own and operate gas stations. These stores often give coupons out to their customers that can be used to save money on gas. For example, when you purchase certain grocery items, Meijer provides you with a coupon that lets you save $0.03 on each gallon of gas that you buy from their gas station.
6. Buy Gas in the Morning or Evening
Gas pumps measure the volume of gas, not the density. Because gas becomes denser in colder temperatures, pumping gas in the cool morning or evening hours will provide you with better gas price economy.
7. Buy Gas During the Week
Gas prices are usually higher on the weekend. They typically begin their climb on Thursday or Friday, but may begin as early as Wednesday. Filling up late Monday or early Tuesday is usually the most cost efficient option.
8. Don’t Run Your Car on Empty
You should never let the gas get too low in the tank. Running on empty, or close to it, makes your vehicle work harder to accelerate and decelerate in the usual fashion. Try to keep at least a 1/4 of a tank at all times. This will help improve gas mileage.
9. Don’t Shortchange Yourself
When you quit pumping gas into your car, some fuel is left in the nozzle. This fuel can amount to as much as half of a cup and is nothing but a bonus for the next customer. To make sure you get all of the gas that you paid for, tip the nozzle 180 degrees after you finish pumping so that all of the fuel drains into your tank. Though it only seems like a small amount, it can really add up in the course of a year.
10. Have Your Vehicle Serviced Regularly
Mechanical problems may result in higher gas consumption. Studies have shown that vehicles that have not been properly maintained use 10 to 20 percent more gas. According to www.fueleconomy.gov, servicing your car regularly can improve your gas mileage by as much as 4.1 percent.
11. Get Oil Changes
Changing the oil in your vehicle on a regular basis is one of the most essential aspects of vehicle maintenance. Clean oil helps reduce the wear and tear on the engine and helps to maintain your vehicle’s fuel economy. Unless the owner’s manual of your vehicle says otherwise, oil should be changed every three months or every 3,000 miles, whichever comes first.
12. Change Your Air Filter Regularly
Replacing the air filter in your vehicle regularly can improve your gas mileage by as much as 10 percent. Depending on the current gas price, that can be anywhere from $0.25 to $0.40 per gallon. Most air filters are inexpensive and can be changed with little mechanical knowledge. If you are hesitant to change the air filter yourself, it can be done at a service garage or an oil change facility.
13. Change Your Fuel Filter
In addition to changing the air filter regularly, you should also change your vehicle’s fuel filter whenever necessary. A clean fuel filter can dramatically improve your gas mileage and will help your car run smoother and more efficiently. If you cannot change the fuel filter yourself, you can have it done at a service garage or an oil change facility.
14. Check Your Tires
If your tires are not properly inflated, it can have a dramatic effect on your gas mileage. Under-inflated tires can lower the mileage by 0.4 percent for every 1 PSI drop in pressure. Tires should be checked with a tire gauge at least once per month. The best time to check the tire pressure is during cool weather or after your car has been parked for several hours. To learn more about how much pressure should be in your tires, consult the owner’s manual for your vehicle or check the tire itself for information.
15. Remove Snow Tires ASAP
Many people use tires that are specially designed to drive in snow. Though these tires make it easier to drive through winter weather, they also have a damaging effect on your vehicle’s fuel economy. Snow tires have thick tread and use more gasoline than summer or all-season radials. As soon as the snow quits flying, you should remove the snow tires and replace them with a more fuel efficient option.
16. Remove Snow and Ice
In the winter, snow and ice can quickly accumulate on vehicles that are exposed to the elements. Heavy snow and ice can add as much as 100 pounds to the weight of your vehicle. This weight slows you down and wastes gas. Always try to remove as much of the snow and ice as you can before heading out on the road.
17. Accelerate Slowly
The faster you accelerate from a dead stop, the more gas your vehicle will use.
Apply pressure to the gas pedal slowly and gradually every time you take off. This one little act will improve your vehicle’s gas mileage significantly.
18. Utilize the Cruise Control
If your vehicle is equipped with cruise control, you should utilize this option every time you are driving on the highway. Cruise control helps you maintain a steady pace, which in turn helps stabilize your vehicle’s gas consumption.
19. Use Fuel Saving Products
Although most studies have been inconclusive, the EPA has tested several fuel saving products that are meant to decrease your vehicle’s fuel consumption. Here are just a few of the products that have been tested:
- Air Bleed Devices
- Vapor Bleed Devices
- Ignition Devices
- Fuel Line Devices
- Liquid Fuel Injection Products
To learn more about these products and devices, speak with your mechanic or visit www.epa.gov.
20. Drive Less
Driving less is the easiest way to save gas. Try carpooling, get a bike, or walk short distances. You could also consider using public transportation whenever possible. You may have to pay a small fee to take the bus or subway, but such fees are almost always less than the cost of gas.
How about you all? Have you used these tips or others to save money on gas?! Share your experiences by commenting below!
Did you like this article? You can get the complete text of all the latest articles at My Personal Finance Journey in your email inbox each evening by clicking the link below and entering your email address. Your address will only be used for mailing you the articles, and each one will include a link so you can unsubscribe at any time.
Subscribe to My Personal Finance Journey via Email
***Photo courtesy of http://thesmarterwallet.com/images/save-money-on-gas3.jpg
How To Compare Business Loans
My Personal Finance Journey Homepage
Today’s guest post comes to us from Andrew. Andrew has been working in the finance industry for several years. He helps people to refinance their home loans and provides advice on debt consolidation.
How To Compare Business Loans
Business owners occasionally need financial assistance to assist in start-up costs, working capital, business expansion, or renovations (i.e to make money in the long run). For each of these reasons and many more, there’s a countless amount of loan options available. In order to make an efficient decision on a business loan, business owners need to understand how to assess loans and what the differences can mean for their business.
The following questions will help you, as a business owner, to differentiate the options available and give you a better understanding of the loans offered.
There are two types of interest rates that are used in a business loan; fixed and variable. A fixed interest rate is a finance charge that stays the same throughout the life of the loan. This charge is independent of the market which is the opposite for variable rates. A variable interest rate is one that may change depending on the index published each quarter nationally. This rate may assist your payments in decreasing, but could also be increased abruptly. An advantage of variable rates is the tendency to have more flexibility with the loan and the payment schedule; though the stability and security of a fixed rate is not there.
2. What are the exit fees and penalties?
A possibility with many loans is an added stipulation that if you pay out the loan early, there is an additional fee. If a loan is repaid before the term ends, the lender will lose some of the interest payments. For this reason, lenders choose to put a fee on ending early to minimise the loss of interest. Before agreeing to a loan, make sure you ask about the hidden fees and it is written out clearly.
3. Is the loan secured or unsecured?
Secured loans use some sort of equity (such as real estate property or a car), as collateral to ensure the lenders money is covered. Secured loans are more popular and typically carry lower interest rates; longer loan terms and higher loan amounts will be made available to you. If you do not have equity available to secure a loan, an option is an unsecured loan. This type of loan carries a much higher risk for the lender, therefore is hard to obtain, especially in today’s economic climate.
4. What is the maximum or minimum loan term available?
The loan term refers to the range of time the funds are lent to you. Loan terms are highly dependent on the amount of money borrowed. Typically, small amounts of money range no longer than a few years; while large loans (i.e. home loans) range up to 30 years.
5. What are the lender’s requirements specific to business loans?
If a company is a start-up or in the infant stages of its business there could be additional requirements or stipulations; as the risk is higher than it would be if the lender was lending to a well established firm. There may be higher collateral required or the interest rate may be adjusted. Adversely, there are some lenders who specifically lend to the young businesses.
How about you all? What specific questions and/or considerations do you make when assessment a potential loan?
Share your experiences by commenting below!
Did you like this article? You can get the complete text of all the latest articles at My Personal Finance Journey in your email inbox each evening by clicking the link below and entering your email address. Your address will only be used for mailing you the articles, and each one will include a link so you can unsubscribe at any time.
Subscribe to My Personal Finance Journey via Email
***Photo courtesy of http://farm1.static.flickr.com/138/323966496_481679d370.jpg
Regulation 60 in the Life Insurance Industry
My Personal Finance Journey Homepage
Today’s guest post comes to us from Denise Manchini. Denise is a manager with AccuQuote.com, a leading Life Insurance Quotes company, providing free term life insurance quotes from some of the top-rated insurance companies in the United States. To learn more about her website, please visit the link above.
Regulation 60 in the Life Insurance Industry
Insurance companies are regulated both by the federal government and the state government. These regulations are designed to protect the integrity of a company as well as consumer rights.
Regulation 60 is a consumer protection law in the State of New York that pertains to the replacement of life insurance and annuity contracts. Regulation 60 requires that insurance companies give out specific information and disclosure to consumers wanting to replace their existing policy with a new one.
Agents are required to submit a “Definition of Replacement” form for every life insurance or life annuity sale. When a replacement is proposed that would cause the buyer to surrender, lapse or change the status of an existing policy, the replacing company must prepare a comparative analysis of the existing and proposed life insurance policies for the buyer. The process usually takes about three weeks. The agent and policy holder must review the form and both parties must sign the disclosure to verify that all parties have understood the requirements and have signed off in agreement.
Regulation 60 Protects Consumers
The main goal of Regulation 60 is to make sure consumers understand why they are replacing their existing policy for a new one. Life insurance jargon is, typically, difficult for the average consumer to understand. Regulation 60 enables consumers to make a side-by-side comparative study of the features of the existing life insurance product against the features of the proposed policy, in a format that is easy to read and understand. Regulation 60 includes projections and additional disclosures that include the main reason why the policy is being replaced and why the existing policy does not meet the applicant’s needs.
With recent cases of abuse of investors’ interest being reported, Regulation 60 protects buyers from making an unwise decision choice. It protects the consumer from misrepresentation of a policy, misleading sale tactics, ambiguous terms, and falsified comparisons. Regulation 60 forces insurers to inform their clients about the pros and cons of a life policy so that consumers are able to make an informed decision.
Before You Replace Your Old Life Insurance Policy
While it is good to review your life insurance policy periodically, frequent changing of life insurance policies is not usually recommended since insurance products incur heavy upfront expenses. Very often, your existing life insurance carrier may be able to incorporate the changes you desire into your existing contract. In any case, you should consult your tax advisor to check if there are any unfavorable implications associated with the replacing of your existing life insurance policy with a new one.
Get Great Life Insurance Quotes Online and Compare
With that said, there may be life insurance products that can offer you significantly better benefits than your existing policy. With online life insurance quote providers, you can easily check out multiple life insurance quotes from the best life insurance carriers, for free and without any obligations. Comparative studies make it easier for you to review product features and make an informed decision.
Replacing your existing life policy with a new one may be a good decision, or it may be a bad one. Make sure you understand the facts and study carefully the disclosure statement to comprehend the advantages and the disadvantages a change in policy would entail.
How about you all? Were you aware of this regulation in the life insurance industry? Are you satisfied with your current life insurance provider/policy? Share your experiences by commenting below!
Did you like this article? You can get the complete text of all the latest articles at My Personal Finance Journey in your email inbox each evening by clicking the link below and entering your email address. Your address will only be used for mailing you the articles, and each one will include a link so you can unsubscribe at any time.
***Photo courtesy of http://www.godirect.co.uk/images/life_policies.jpg
Debt Free Christmas: Saving You Time and Money
Today’s guest post comes to us from Elias Cortez. Elias is the editor of topnetbookpicks.com and provides reviews and information for netbooks computer products, such as the toshiba nb305 review . You can read all his mini netbook reviews and other popular netbooks information at his website.
Debt Free Christmas: Saving You Time and Money
As time has passed, I’ve discovered that the holidays often end with a large amount of holiday debt incurred because of large gift purchases for friends, family, extended family, teachers, coaches, and everyone else. Each year, the budget for Christmas gifts seems to get smaller and smaller and the list gets larger and larger. The list gets longer and the kids get older and their participation grows. Sharing your appreciation with everyone who contributed to the success of your previous year doesn’t mean that you have to go over budget. Incorporating your children and friends into making inexpensive holidays gifts is a great way to laugh and play while taking it easy on your checkbook.
Debt free living during Christmas time begins with setting your budget ahead of time so that you don’t overspend. By starting the saving process early in the year, set aside in a bank account or a sock drawer, you will find that paying for Christmas doesn’t make you cringe. While there are numerous volunteers, co-workers, coaches, and teachers, they don’t all need an individual gift to express your gratitude. A hand-written card will make anyone’s heart smile. Also, purchase a bulk of small tealight candles and attach a note that says something such as “you light up my world” or “you light up our lives” or even “you light up the office”.
Personalized Gifts:
-
With your home computer and a few decent photos of the family, friends, or sceneries, you can personalize calendars, photo collages, or cards through a free photoshop program, through an online program such as Shutterfly, or through store photo centers at Target or Walmart.
-
Target also has a dollar bin section which is great for smaller gifts of appreciation for volunteers, coaches, teachers, and instructors. These dollar sections are conducive to themed gift baskets, as a majority of the contents available match other content.
-
For example, for friends or significant others you could buy a dollar or five dollar movie with popcorn and an individual popcorn bowl from these dollar sections and make it into a themed gift appropriate for whole families or couples.
- For coffee lovers, a coffee cup filled with beans is the perfect gift.
Friends:
-
Close friends always appreciate reminders of shared moments which can be done through scrapbooks. As an annual theme, you could easily make one or two scrapbook pages for each holiday/birthday/special occasion which you bound together at the end of the year as a Christmas gift.
- For those adult couples with whom you are acquainted, painting customized wine glasses and complementing it with a bottle of wine makes for the perfect holiday party.
Family:
-
As far as extended family goes, there can be a lot of them. Making personalized Christmas ornaments is an easy way to check them all off of the list. By mixing flour, salt, and water you can make dough which can be shaped into ornaments and left out to dry and solidify. By poking a hole in the top, once it is dry you can paint or decorate the gifts and run a small hook through it.
-
A video or DVD compilation of the family activities having taken place over the last year is a great idea for grandparents or aunts and uncles who live far away. Collecting filmed bits throughout the year of performances, soccer matches, recitals, can all be clipped and combined using DVD software and a home computer.
- Framing a family photo makes an easy and inexpensive gift for extended family members as well.
Themed Kits:
-
Those who enjoy sewing can be given a small kit full of needles, pins, and threads in their favorite color.
-
An inexpensive red and white plastic table cover with red plastic utensils provides for an endearing picnic pack.
-
The outdoorsman or woman in the family would greatly benefit from a gardening pack including a packet of seeds and a gardening tool inside of a small bucket.
- A car wash kit can also be made with dollar section sponges, car soap, and or a tire brush.
Cooking Kits:
-
For anyone who isn’t on a diet or watching their holiday weight cookies, pies, cakes, breads, and desserts are great gifts. Everyone loves baked goods.
-
Breakfast packs can be made for multiple people by purchasing large bags of pancake mix or waffle mix with chocolate chips and a box of ziplock bags. You can separate small quantities for each gift and place them inside of a ziplock bag with a note that instructs them to add water, oil, and eggs.
-
A BBQ kit would include a single BBQ utensil with a bottle of sauce. You can purchase a set of BBQ utensils with multiple bottles of sauce and simply divide one utensil from each with a single bottle and distribute them to the men in the family.
-
A chocolate kit can be made by purchasing large bags of fun size chocolates in different kinds such as bars, truffles, kisses, etc… and mixing and matching handfuls placed inside waxed paper, tied off with string.
-
If you are better at cooking than your friend, offer to come over and cook for them as a gift.
- If you have a printer, download and print a variety of recipes from the internet and place them on 3 X 5 cards, then place them inside a small plastic box usually found in the dollar section at Target.
Gift Cards:
-
For any of the aforementioned kits, a small gift card can be purchased and included.
-
A Starbucks gift card can be placed inside of a coffee mug or an itunes gift card on the inside of the book on their favorite band.
- A movie theater gift card complements a popcorn bowl perfectly.
No matter which online gift cards you want, be sure never to pay full price for them. There are websites which sell unwanted gift cards from consumers at a discount such as giftcards.com or plastic jungle. Halfoffdeals.com is one of many half price websites which offer gift cards for restaurants, trips, shows, and stores at great deals. Warehouse stores such as Costco or Sam’s Club also offer gift cards at a rate of 15-20% less than the face value for places like Baja Fresh, iTunes, Regal Cinemas, and AMC Theaters.
How about you all? What techniques do you use to save money around Christmas time? Share your experiences by commenting below!
Did you like this article? You can get the complete text of all the latest articles at My Personal Finance Journey in your email inbox each evening by clicking the link below and entering your email address. Your address will only be used for mailing you the articles, and each one will include a link so you can unsubscribe at any time.
Subscribe to My Personal Finance Journey via Email
***Photo courtesy of http://pictures.directnews.co.uk/liveimages/Christmas+_1737_18906593_0_0_7007855_300.jpg
Withholdings and Estimated Taxes: Avoid A Big Surprise At Tax Time!
My Personal Finance Journey Homepage
Today’s guest posting comes to us from Alan T. Hostetler, CPA. Alan’s accounting practice, Hostetler Stott, CPA, provides tax preparation and planning for individuals, small businesses, and informational returns for non-profits.
Visit his website at the following link to find out more! Hostetler Stott, CPA.
Withholdings and Estimated Taxes: Avoid a big surprise at tax time!
Tax filing season is right around the corner and many taxpayers dread this annual ritual. Not only can filing a tax return be a tedious administrative chore; it can also lead to an unpleasant surprise if a tax liability is due. Sending in extra money with your return is always a bummer, but the opposite can be upsetting as well. If you end up with a large refund you may be wondering why you effectively let the government borrow your money while you struggled with cash flow throughout the year. The following are some common questions I hear from taxpayers regarding withholdings and payments and some explanation that I hope you will find useful.
My employer takes out my taxes for me so isn’t it their fault if my withholdings are wrong?
Occasionally employers do make mistakes in withholding and it is important that you communicate with them if you feel something was done in error. However, employees are responsible for providing correct information on their form W-4 Employee’s Withholding Allowance Certificate and the equivalent form for state withholdings when they are hired. If your address, marital status, or allowance information changes at any time, make sure you inform your employer. Providing fraudulent information (or failing to provide the required information) on your W-4 form may result in penalties of up to $1,000 or imprisonment, so you really don’t want to lie on this form.
If you itemize your taxes, it is a good idea to update this form on an annual basis. Page two of the form W-4 includes a worksheet to more closely figure your withholding amounts for taxpayers who expect to itemize their taxes. Ask your employer for this form or find it on the IRS website.
If I am self-employed, who takes out my taxes?
Self employed taxpayers, and those who are owners in a partnership usually need to withhold their own taxes and pay them in the form of estimated tax payments. The IRS provides 4 payment vouchers on form 1040-ES, which you will send in four times per year with payment on a portion of your expected year-end tax liability. The IRS divides the year up into 4 periods: 1/01-3/31, 4/01-5/31, 6/01-8/31, and 9/01-12/31. At each of these cutoff dates, you should calculate your estimated taxable net income from your business (and personal income statement) and compute the amount of tax you expect to pay on this income. 15 days after the end of each period, you need to send in your payment to the address in the instructions on the form. Alternatively, you may make secure payments online on the IRS’s EFTPS website (www.eftps.gov).
Why can’t I just wait until year end to pay all my taxes?
Even if you are extremely disciplined financially and are able to save up enough to pay your taxes at the end of the year, you should pay throughout the year because you will otherwise likely end up paying penalties on top of your taxes. The previous paragraph described how to calculate your estimated taxes. If you do not make adequate estimated tax payments each period, you will be penalized at an annual rate of 4% of the amount you underpaid each period, prorated for the number of days you underpaid your estimated tax payment.
How can we make sure that we pay in enough to cover our taxes and avoid a penalty?
It is nearly impossible to predict your exact yearend tax liability before year end. Not only can your income and deduction expectations change, but the tax laws affecting your liability may not be fully determined until after year end! In 2010, we are still waiting to hear from Congress whether or not certain tax deductions will continue. With all this uncertainty, we can expect to miss the mark a little, but by making careful projections and understanding the rules for tax payments we can avoid big surprises come tax time.
There is relief for some newly self-employed taxpayers. The penalty for underpayment of estimated taxes can be avoided by ensuring that your total estimated payments plus any withholdings for the tax year exceed the lower of:
- 90% of your current year tax minus credits
- 100% of your prior year tax minus credits (for those making more than $150,000, or $75,000 if married filing separately, this figure increases to 110% of your prior year tax minus credits)
In other words, plan to pay in at least the amount of tax you paid the prior year (10% more if you have high income) and you won’t need to worry about the penalty. Just be sure you have enough saved up to cover the additional taxes if you have an exceptionally profitable year!
Where can I find more information on estimated taxes and withholdings?
The IRS makes all of their forms, instructions, and publications available online at www.irs.gov. Here are a few useful links to information on this topic:
2010 Form W-4 and instructions: http://www.irs.ustreas.gov/pub/irs-pdf/fw4.pdf
2010 form 1040-ES and instructions: http://www.irs.gov/pub/irs-pdf/f1040es.pdf
EFTPS online federal tax payments: https://www.eftps.gov/eftps/
IRS Publication 505 “Tax Withholding and Estimated Tax”: http://www.irs.gov/publications/p505/index.html
How about you all? Have you ever had any big surprises around tax time? If so, how did you handle them? What is the most difficult aspect of tax filing in your opinion?
Share your experiences by commenting below!
Did you like this article? You can get the complete text of all the latest articles at My Personal Finance Journey in your email inbox each evening by clicking the link below and entering your email address. Your address will only be used for mailing you the articles, and each one will include a link so you can unsubscribe at any time.
Subscribe to My Personal Finance Journey via Email
***Photo courtesy of http://cdn.moneyfunk.net/wp-content/uploads/2009/11/death-and-taxes.jpg
7 Ways to Save Money Driving
My Personal Finance Journey Homepage
Today’s guest post comes to us from Alban. Alban is a personal finance writer at Home Loan Finder, a free home loan comparison website. Click on his website to find out more!
7 Ways to Save Money Driving
It can seem that gas stations have us by the fuel caps the way prices can fluctuate from day to day and week to week. While there is no getting around our need to fill up, you can put more time between each visit to the gas station, and save money when driving with just seven steps which are easy to implement in your life.
1 – Choosing the car
You may not see a boost in your savings account balance if you go out and upgrade your car when you weren’t planning to, or couldn’t afford to. However if you’re in the market for a new vehicle, you should pay as much attention to its fuel consumption as to the number of seats and whether you like the color.
When you are comparing a new car, look for the fuel consumption rating. This will tell you how many litres/gallons of fuel are used per 100 kilometres so you can compare each vehicle across a level playing field. This fuel consumption figure will be an average of the consumption during city driving, and the consumption during country or suburban driving, therefore make sure to compare the consumption which relates to the type of driving you’ll be doing most.
2 – Regularly servicing your car
New or old, every vehicle can be made more fuel efficient through regular servicing. With clean filters and regular oil changes your vehicle will run more efficiently and use less fuel, you’re also able to pick up on any maintenance issues and rectify wear and tear of parts which can make your car have to work harder.
At your periodic services, your mechanic should also rotate and check your tires. Tires with a good tread, and at the right pressure will ensure your car uses fuel efficiently when you’re on the road.
3 – Save your driving habits
Even driving the most fuel efficient car erratically can use excessive amounts of fuel, and to save money when driving aim to drive in a more measured way. For example, quick acceleration from the lights gains you little ground even if you feel speedy, and will cause a sudden and significant surge from your fuel tank too. Driving above the speed limit also makes your car work harder to go faster in most cases, as can rapid changes in speed if you speed up and slow down repeatedly to try and fit through a break in traffic.
Instead, use your cruise control wherever you can to maintain a constant speed and conserve fuel. If you drive a manual, make sure you change gears at the correct rpm for each gear range, rather than maxing out the lower gears.
4 – Change your type of fuel
Gasoline is one of the most expensive types of fuels you can be putting into your car, unfortunately a diesel vehicle or a gas conversion can be just as costly as filling your tank every second day. Therefore, before you consider buying a diesel car to make your fuel consumption more efficient, or converting to gas to pay less per litre, look at the savings you would make from the conversion, and whether they would be outweighed by the cost of the fuel change. If you do a lot of driving then the cost could be outweighed fairly quickly, but if you only drive around the city, it could be some time before you break even.
5 – Plan your drives
If you can do more than one thing each time you’re out in the car, you can save another trip at another time. For example if you return a video at the video store around the corner from your child’s school on the way to pick them up in the afternoon, you’re saving the fuel of another car trip, to almost the same destination.
Planning your trips in this way does require you to be more organized. Therefore, always make sure to take a shopping list to the supermarket, so you don’t have to make return trips for forgotten items. You can aim to car pool, picking up other children in your child’s class on the way to school, and saving when their parents drop your child home. Also make sure to plan your trips using a GPS system or maps, to save time in getting lost, and potentially travelling further, or retracing your steps.
6 – Get smart with your air-conditioner use
We all know our cars use more fuel when we have the air-conditioner running, and you don’t have to melt on hot days just to save a little in fuel money. Instead, just be aware that when you are driving around 60 km/h it is more fuel efficient to have the windows down to cool off. However, if you are travelling faster than 60 km/h it is more fuel efficient to roll the windows up and use the air-conditioning due to the reduced wind drag.
7 – There’s an app for that
If all of this fuel watching and habit changing seems like a lot to remember when you should have your eyes on the road and your mind focussed on driving, then your iPhone can help. There are several apps available which can help you drive more efficiently, and save money on fuel.
- GasBag. The GasBag app keeps track of fuel prices and will be able to find the cheapest fuel station, the shortest distance from you, so you don’t use up those fuel savings in getting to the pump. GasBag also has a log book function which allows you to track each time you fill up, and the mileage you are getting.
- EcoDriveEd. The EcoDriveEd app actually teaches you how to drive more fuel efficiently. The app uses your iPhone’s built in accelerometer to teach you driving techniques which will reduce your emissions and help you save on fuel costs. You will even receive real time feedback from the training programs, so you can adjust your habits as you drive.
How about you all? What techniques do you use to save money on the road or with your car?
Share your experiences by commenting below!
Did you like this article? You can get the complete text of all the latest articles at My Personal Finance Journey in your email inbox each evening by clicking the link below and entering your email address. Your address will only be used for mailing you the articles, and each one will include a link so you can unsubscribe at any time.
Subscribe to My Personal Finance Journey via Email
***Photo courtesy of http://www.thedailygreen.com/cm/thedailygreen/images/car-save-gas-2-lg.jpg
Why I Sold Out of My Actively Managed Mutual Fund
My Personal Finance Journey Homepage
Hello everyone! It’s Jacob! I am happy to report that I am emerging from the dead of my first semester PhD in Chemical Engineering program to bring you my first post since 24-Aug-2010 (see link below for the last post I authored).
Let’s get up to speed with each other shall we?!
- Since my last posting, we had the pleasure of featuring 15 great guest posts.
- My Personal Finance Journey hosted the 247th Festival of Frugality.
- On Nov 1st, the good folks over at Yakezie.com put up with hearing the gruesome details about how I started this blog.
- Since my last posting, we have moved from an Alexa ranking of 569,000 to 496,000.
- More importantly, we have had ~5,000 more visitors read and benefit from the site! This is great news!
- I have a backlog of >100 post topics that I am eager to unload for the blogosphere! You can’t shut me up forever! haha
Selling My Actively Managed Mutual Fund Holdings
Along with having many changes to my personal finances since quitting my full time engineering job and returning to graduate school (making 67% less), one of the actions steps I have taken is that I sold my holdings in my only actively managed mutual fund (CGM Focus Fund), and rolled over the Roth IRA assets to passively managed index funds with Vanguard.
This was done as a follow up to some research I performed in writing the post below about why following hot fund managers does not work. See the link below for more information.
Why Following “Hot” Mutual Fund Managers Does Not Work
In the previous post, I had mentioned that I needed to perform some additional research in a future post before making the final decision.
However, this semester when I really got down to thinking about it, I realized that I was only postponing the inevitable: eventually, I would have to concede my loses, acknowledge my mistake, and sell my holdings in the actively managed mutual fund.
Thinking further about this predicament, I realized that this is a very common mistake that investors make. That is, they fail to acknowledge their losses (especially with individual stocks), sell their holdings, and move on with life! And, here I was falling for it!
Counting Up My Losses
As a starting point, I should reveal that my holdings in the CGM Focus Fund totaled ~$4,400. Shameful, I know to hold so much money in an actively managed mutual fund! But, bear with me please!
- From the time when I bought the CGM Focus Fund in December of 2007 until 29-October-2010 when my holdings were sold, the fund decreased 48.33%. Fun!
- During this same time, the S&P500 index decreased only 22%. Fantastic! I am feeling better all of the time.
- Furthermore, the Vanguard S&P500 index fund has an expense ratio of 0.18%, while CGM Focus fund has an expense ratio of 1.23%.
- Adding it all up, assuming that I invested all of my assets at once, my money was worth only $2,112 in the CGM Focus Fund vs. $3,405 if I had invested my money with Vanguard’s index fund.
This is quite an astounding difference, isn’t it!?
What’s more is that another excuse that I kept coming up with was that the asset transfer process would be cumbersome, and it would be time consuming. It was just the opposite, actually.
It only took two phone calls (one to Vanguard and one to CGM to set up the asset transfer). Additionally, there were no fees at either end to transfer the funds.
I feel safe to know that my funds are no safely resting in a Vanguard Short Term Bond Index Fund (since rebalancing to my asset allocation percentages dictated that I invest more in fixed-income securities due to the recent market upturn).
How about you all? Do you all invest in any actively managed mutual funds? How has the performance been? Are you thinking about selling your holdings? Share your experiences by commenting below!
Did you like this article? You can get the complete text of all the latest articles at My Personal Finance Journey in your email inbox each evening by clicking the link below and entering your email address. Your address will only be used for mailing you the articles, and each one will include a link so you can unsubscribe at any time.
The Best Grocery Coupon Sites Online
My Personal Finance Journey Homepage
The Best Grocery Coupon Sites Online
Today’s guest post is brought to us by Edward Stern. Edward is a guest blogger for My Dog Ate My Blog and a writer on distance learning for the Guide to Online Schools.
Out of all of a person’s expenses every month, groceries are certainly up there as far as cost goes. Frugal families save money by cooking at home rather than eating out, but the costs still add up. However, groceries are one of the places where serious savings can be found, especially when buying store rather than name brand and using coupons. The days of looking through the newspaper with scissors handy are nearing an end, as online money-saving grocery coupon sites are en vogue. Here are some of the best ones to help you find those key discounts at major grocery chains, without a whole lot of hassle.
Coupons.com: The first is still the best. Many sites feed off coupons.com for their discounts, so cut out the middleman and just go straight to the source. There’s no sign up required, and coupons are non-location specific, meaning they are available nationally. Coupons.com is any discount hunter’s first stop among the online coupon circuit.
Coupons Mom: Featured on Oprah, the Today Show, CNN, and other major media outlets, Coupons Mom boasts over 3 million members and counting. Just sign up for free and started saving. While not the prettiest looking site in the world, Coupons Mom is serious about discounts. Check out their tutorials for learning how to be a super shopper and save even more at the register.
Krazy Coupon Lady: The tech-savvy moms of Krazy Coupon Lady won’t stop until everyone is saving 50-90% at the register. Their site, formatted in an up-to-date blog style, offers printable discounts at major chains like CVS, Safeway, Albertsons, and Target, among others. Just look around, find a deal for what you need, and print it off. Coupon hunting has never been so easy.
Mambo Sprouts: For green-minded shoppers looking for organic goods, Mambo Sprouts is the place to go. The site offers discounts on healthy, green eating to help you save a healthy amount of green. Additonally, Mambo Sprouts is a community, featuring recipes, reviews of new products, and a section where visitors can link up with other like-minded shoppers and share tips and secrets.
Penny Pincher Gazette: The good folks at PP Gazette have gone to the trouble of taking all the best deals from many of the sites listed here and more and bringing them to one simple place. Membership is free, and PP Gazette also features discounts found in newspaper circulars in your area.
Red Plum: Red Plum is the new kid on the block and is making major waves. It’s super easy to use format is attractive. Just select all the coupons you want and hit print. Red Plum offers national deals and location-specific ones as well. Make sure to enter your zip code to see what deals are lurking in your neighborhood.
Smart Source: Smart Source has thousands of coupons ready to print, free of charge with no sign up required. Get discounts on groceries and all sorts of household items. Sign up for their e-mail list to get notices for new deals and to get exclusive discounts. Smart Source also searches for deals around your area after you enter your zip code. Now isn’t that smart?
How about you all? Have you used any of these or other good sites for finding grocery coupons? Share your experiences by commenting below!
Did you like this article? You can get the complete text of all the latest articles at My Personal Finance Journey in your email inbox each evening by clicking the link below and entering your email address. Your address will only be used for mailing you the articles, and each one will include a link so you can unsubscribe at any time.
Subscribe to My Personal Finance Journey via Email
**Photo courtesy of http://bestfoodcoupons.com/images/grocery_coupons/grocery_coupons_250x251.jpg
Investing Outside The Box
My Personal Finance Journey Homepage
Today’s guest post comes to us from Richard Adams. Richard blogs about his own personal finance experiences at Debt Assistance Guru (http://www.debtassistanceguru.com). Stop by his website to learn more on the topics he writes about!
When many people consider the subject of investing they think of topics such as futures, foreign currency trading, digital currency trading, shares and/or bonds. In the case of all of these investments, the hope is that they will pay off over the long term.
And while there’s nothing inherently wrong with this view of investing, there are a few downsides worth considering.
One example of this is the risk to reward ratio. Nice, safe, sensible investments tend to offer relatively small potential returns. In contrast investments which offer far higher potential returns are often far more risky and put you in a position where you could lose a considerable sum of money if things go wrong.
Then there is the amount of research needed to order to invest smartly in the stock market and find the best investments of 2011. Reading company reports, competitor analysis, charting and so on can all come with the territory which means considerable time will be required if you are to invest wisely. But it’s not just the time factor but also the effort – quite simply many people find the idea of doing this kind of research just plain dull.
Which is why today I would like to discuss the concept of “investing outside the box”. Of getting more entrepreneurial and creative when it comes to finding ways to make your money work for you.
Over the last decade or so my entrepreneurial streak has led me to try out all sorts of unusual investment ideas to see what sort of results I can generate – and some of the results have been far more exciting (and in my opinion lower risk) than handing my cash to a stock broker.
One example of this is website flipping. Did you know there is a growing market for pre-built websites? I didn’t until not to long ago. It seems there are wealthy investors looking for new ways to leverage their capital and one way they are doing this is buying up existing, profitable websites.
It’s rather like buying up apartments with sitting tennants so you know you have income from day one, but transferred into the internet age.
A few years ago I set up a website from scratch and spent some time marketing it in my free time and on a very limited budget. I then went on to sell it for a five figure profit. Putting aside the time invested for a moment, I would realistically say I invested less than $1000 in cash into the venture and multiplied that by 15-20 times in the space of a couple of years. Now that’s what I call an exciting return on investment!
Here’s another idea I tried. I spent a small amount of money last Spring buying some compost, flower seeds and seed trays. When the plants had germinated and grown to a decent size I placed the flower plants into attractive pots and spent some time at local farmers markets and boot sales selling them as the perfect Mothers Day gift.
The costs were virtually nothing (how much does a pack of seeds cost?) but they sold for up to $10 each for the larger containers filled with a range of flowering plants. Again, we’re talking returns of several hundred – if not thousand – percent.
I could go on but the point here is simply to encourage you to think about investing (some of) your money into rather more exciting vehicles than treasury bonds. Think outside the box. Make a list of ideas to test and see just how much fun (and how much of a return you can make) when you get creative with your investment decisions.
How about you all? What sort of creative investments have you done in the past? Share your experiences by commenting below!
Did you like this article? You can get the complete text of all the latest articles at My Personal Finance Journey in your email inbox each evening by clicking the link below and entering your email address. Your address will only be used for mailing you the articles, and each one will include a link so you can unsubscribe at any time.
Subscribe to My Personal Finance Journey via Email
**Photo courtesy of http://www.diddleyzworld.com/thinking-outside-the-box.jpg
The Frugal Lifestyle: What It Is and What It Isn’t
My Personal Finance Journey Homepage
Today’s guest post comes to us from Maria Rainier. Maria is a freelance writer and blog junkie. She is currently a resident blogger at First in Education and performs research surrounding online schools. In her spare time, she enjoys square-foot gardening, swimming, and avoiding her laptop (one of my favorite activities as well!).
The Frugal Lifestyle: What It Is and What It Isn’t
Frugal is the new F word (sorry, Gordon Ramsey), and everyone thinks they know what it means. It means something different, however, for everyone. There are many who have misconceptions of those who call themselves frugalists. Their varied philosophy is a surprisingly inspirational one.
Frugal versus Cheap
Being frugal isn’t always about being cheap. Just because something is marked 20% down doesn’t mean the frugal individual will stock up on a cartload of it and consider it a day well spent. He or she might not buy any of it at all, even if it is cheap. He or she may have already found a way to do away with the product entirely.
The frugal individual finds ways to make do without many items that others take for granted—paper towels, dryer sheets, designer clothing, microwave popcorn—because they have learned that not only do they not need these items, they don’t even miss them once they’re gone. True, it might take time getting used to not having rolls of paper towels available for every spill and stain, but frugal people know that they can simply opt to use, wash, and reuse cloth towels and save $10 a month on a 6-pack of Scott paper towels. In this way, being frugal is often being eco-friendly.
Frugal versus Penny-Pinching
By spending less on things they have decided they don’t need, frugalists have more money left over to pay off debts, save, or invest. Some individuals insist that they’d simply rather increase their income rather than worry about penny-pinching. Feel free to increase your income, but if you’re still spending more than you make, you’re still going to be in debt.
Frugalism isn’t about pinching pennies. In a way, it’s minimalism in action. Capitalism has flooded most American houses with mountains and mountains of junk that never see the light of day. Frugalists aim to spend less on products that could end up in this junk pile. By keeping in mind what really matters—family, friends, hobbies, etc.— frugalists find ways to do without junk and live focused, truly enjoyable lives.
Frugal versus Fun
Frugal people aren’t necessarily extremists, and it’s a common misconception that they don’t have fun because they won’t spend money. These people have obviously never heard about the idea of cheap fun! Frugalists know that there are countless ways to have fun on a shoestring. For example, while others might cringe at the idea of cutting out cable, some frugalists choose to pay $10 a month for Netflix to get unlimited movies and TV shows rather than spending as much on a single movie ticket every weekend. Instead of going out to restaurants, they try out new recipes at home and invite friends to come over with a bottle of wine. Instead of playing the newest video games, they play soccer outdoors or learn new languages.
Frugalists insist that one of the perks of being frugal is being reminded daily of what’s important in life. Just as they have decided that they don’t need or even miss spending hundreds of dollars a year on designer clothes or spending hours shopping online, they have decided that they’d rather spend time with their significant others or volunteering in the community. Instead of holding their kids’ hands throughout the day at the mall shopping for holiday gifts, they’d rather spend a day with them in the yard or living room DIYing holiday cards, ornaments, and even homemade gifts. Grandparents like heartfelt gifts more than retail items, anyway.
Frugalists aren’t reborn overnight; it takes time to learn what individuals value and what we need versus what we want. No one is telling you to sell your car and ride a bicycle everywhere you go, even to your business trip across the country. Small changes made daily, however, can change your life.
How about you all? Are you a frugalist? Do you know any frugalists? What are they like? What do they have in common/different about them? Do they drive you up the wall or do you not mind them?
Share your experiences by commenting below!
Did you like this article? You can get the complete text of all the latest articles at My Personal Finance Journey in your email inbox each evening by clicking the link below and entering your email address. Your address will only be used for mailing you the articles, and each one will include a link so you can unsubscribe at any time.
Subscribe to My Personal Finance Journey via Email
**Photo courtesy of http://thetimes-tribune.com/polopoly_fs/1.675883!/image/974262778.jpg_gen/derivatives/landscape_490/974262778.jpg