Find a Penny, Save It Up

When the economy is turbulent and the costs of the items you buy every day are rising, it may seem impossible to save more for your long-term goals. Yet making a few changes to your daily routine may help you uncover some money you could start saving instead of spending. Saving just a little more now could make a big difference over time.

Food on the Go — Away Goes Your Money

Mindless spending on food can eat up a big chunk of your pocket money. If you get coffee on the way to work, lunch at a sandwich shop, a snack at the vending machine, and a pizza on the way home, food could be costing you $30 a day or more. You’ll be better off if you plan your meals, grocery shop with a list, brown bag it at work a few days a week, and bring coffee from home.

Driving Hither, Thither, and Yon

Are you in the habit of running out in the evening to pick up a loaf of bread or driving your child to and from soccer practice? Cut down on your driving and you’ll save gas. Stopping at the store on the way home from work could reduce the miles you drive — so could carpooling with at least one other parent to your kids’ activities. You may even be able to walk or bike to nearby events.

Lower Your Monthly Bills

You don’t have to look too hard to find deals on phone, cable, and Internet services. Sometimes you can save money just by switching to a new provider. You can lower your insurance costs by increasing car insurance deductibles and having the same company cover both your car and home. Insulating your home and adjusting your thermostat at night or when no one is home can help lower your energy bills.

Saving Those Pennies

Individually, these suggestions may not seem like they’ll make much of a difference. But if you take all the money you’re not spending and instead save it for long-term goals, over time it could have a significant impact on the amount you’re able to save. If you participate in an employer’s retirement plan that matches your contributions, you may want to put your additional money in your plan so that you’ll benefit from tax deferral on your savings and investment earnings and receive the matching contributions.

Source: DST

Janney Montgomery Scott LLC, its affiliates, and its employees are not in the business of providing tax, regulatory, accounting, or legal advice. These materials and any taxrelated statements are not intended or written to be used, and cannot be used or relied upon, by any taxpayer for the purpose of avoiding tax penalties. Any such taxpayer should seek advice based on the taxpayer’s particular circumstances from an independent tax advisor.