Family Finances: What are Things I Can Do to Save Money?

If you don't already have a savings account, go open one. Now.

There will come a time when you'll need extra cash. Something in the household is going to need repairs, or, worst case scenario, you could lose your job.

Sometimes it's hard to find the extra money to deposit into a savings account, but it's important to add money monthly.

Sure, you can tell yourself that you really need to buy lunch at work this week, or the kids just have to have the hottest, newest item that all their friends have.

So how much money should you put in a savings account? As much as your budget will allow.

Treat your savings just like any monthly bill. If your budget only allows you to save $25 every paycheck, then faithfully pay that $25 as if it were a bill.

Automatically have your bank transfer money from your checking account to a savings account.

If your bank does not offer that service, there are great online alternatives. SmartyPig by BBVA Compass Bank lets you set up an online savings account.

SmartyPig is fun, interactive, and easy to use. Simply sign up, link your bank account, set a savings goal, and tell SmartyPig how often and how much you want deducted from your checking account.

Nearly all of us have too much stuff, especially if you have children. Kids grow out of clothes nearly as fast as you buy it for them. I bet there are toys in great condition in their closet they no longer play with, too.

Don't just throw or give it away, sell it and get some cash.

Ebay

Make money selling stuff on Ebay. It's a great place to sell items, especially anything kid related. Ebay regularly offers free listings, which means you don't pay any fees until your items sell.

Yard Sales

Holding garage and yard sales are an easy way to get rid of things that are cluttering up your house. Even items that you think have no value can sell. The saying really is true, "One man's trash is another man's treasure."

I wanted to go on vacation to see family one year, but didn't have enough money for a ticket. I had a yard sale and raised enough money to buy my ticket. Yard sales can be very profitable.

If you live in an apartment or yard sales are not permitted in your area, a great alternative to yard sales are flea markets.

Consignment Shops

If you're a busy person who doesn't have time to list and ship items on Ebay or hold a yard sale, consignment shops are for you.

Save your newest looking items for consignment shops. Like new or gently worn clothing is what consignment shops are looking for.

Making money at consignment stores is easy. These shops sell your items for you and give you a percentage of the sales.

I sold a lot of my son's baby clothes and furniture this way. The money can quickly add up if you have good items and the shop is a busy one.

Your grocery bill can be one of the hardest to trim down. After all, a person's got to eat, right?

It's not impossible, you can save money on your food bill, you just have to get smart about it.

Free is good, so why would you want to turn down something that doesn't cost a dime?

A friend of mine has recently turned me on to a website, Freecycle. There are Freecycle groups all over the world.

The way the site works is people list items they don't want for free. You contact them and go pick it up. My friend has gotten swingsets, toys, and clothes for her girls, all without spending a dime.

Free entertainment can be found if you know where to look. Contact your local chamber of commerce and ask if there are any free community events.

In a town near where I live, they offer free movies in the park on summer nights. Museums and libraries will often host free events for kids, such as holiday parties, egg hunts, et cetera.

Credit cards can be useful if used correctly, but more often than not they can really get you into trouble.

Credit cards have facilitated the "I want it now" mentality in our society. Our parents were smart. They didn't buy something until they had saved up the cash to buy it.

Need a new television or go on a family vacation? Save for it. Allot a monthly amount to save and stick to it.

For example, you don't want to be paying for your Disney vacation six months after you've already returned. My son and I went on a two week vacation to Alaska and I paid cash for it. It took me a year to save up enough money for us to go, but it was worth it.

Using cash also eliminates interest payments and credit card fees. A $100 lamp can end up costing you $150 if you pay only the minimum balance or pay the bill late.