Inflation and Everyday Expenses
Inflation is just one word, but it can create anxiety for consumers and strain budgets. This year has been challenging for many, and a common question is, “How can I make my money stretch further?”
With the holiday season approaching, this concern is more relevant than ever. Small spending adjustments can make a difference, like cutting back on unnecessary expenses (such as skipping your daily coffee run), starting holiday shopping earlier than usual, and keeping an eye out for sales.
This year, several major retailers have already launched pre-Black Friday sales, with more to come. Stay informed by following your favorite stores and brands on social media—you might find great deals on holiday gifts!
Taking Control of Your Finances
Even small money-saving steps add up over time. However, reviewing your finances and making bigger changes can be daunting. A good starting point is setting aside 15–30 minutes each week to focus on your budget.
Not sure where to begin? Mountain America Credit Union is here to help. Here are 39 financial tips, in no particular order, for you to consider. Review them and see where you can improve or what you’re already doing well.
1. Curb Overspending
Whatever your financial goals, following a spending plan is key. Many people have strong emotions tied to money, leading to overspending. Whether you’re drawn in by flashy ads or feel pressure to keep up with others, take the first step toward financial freedom by identifying areas where you can cut back.
2. Create a Budget
Unexpected expenses always come up. Plan ahead for holidays, birthdays, school-related costs, and potential income fluctuations.
3. Use a Budgeting App
Budgeting takes time and consistency. Choose a method that works for you—spreadsheets, apps, or manual tracking. Try an app like Mint, You Need a Budget, or Goodbudget. If one doesn’t work, try another. Also, check if your bank or credit union offers budgeting tools.
4. Make a Will
Estate planning isn’t just for the wealthy. A will ensures your wishes are carried out, no matter your financial situation. Review it annually or after major life changes like marriage or having children.
5. Protect Your Savings from Inflation
Inflation affects more than just groceries and gas—it can shrink your savings. Consider diversifying your investments, developing new skills for a side hustle, or working toward a raise to keep up with rising costs.
6. Plan for Interest Rate Increases
If you have a variable-rate mortgage, consider refinancing to lock in a lower rate. Higher interest rates also mean better returns on savings accounts and certificates, so explore laddering strategies to maximize earnings.
7. Prepare for Major Life Changes
Marriage, buying a home, or retirement? Each impacts your finances. Newly engaged? Talk with your partner about money habits and goals. Having a child? Look into college savings plans and childcare costs.
8. Increase Your Retirement Contributions
If you haven’t started saving for retirement, start now. Already saving? Consider increasing your contributions by 1%—small changes add up over time.
9. Get Ready for Tax Season
Tax laws change, and so do your financial circumstances. Research or consult a tax professional to ensure you’re maximizing deductions and credits.
10. Learn About Cryptocurrency
Crypto isn’t going away. Educate yourself on the best ways to invest and secure digital assets, and consider discussing them with a financial advisor.
11. Reflect on Past Financial Decisions
Looking back on your spending and saving habits can provide insight into future improvements, especially after economic disruptions like the pandemic.
12. Start a 529 College Savings Plan
College costs continue to rise. A 529 plan can help, and funds can also be used for K-12 tuition, trade schools, or room and board.
13. Commit to Paying Off Debt
Use the avalanche method (paying off high-interest debt first) or the snowball method (starting with small debts for quick wins) to make progress.
14. Be Cautious with Financial Trends
Research before jumping into investment fads like ETFs, NFTs, or other trendy financial products.
15. Choose a Power of Attorney
Designate someone to manage your finances in case of injury or incapacity.
16. Consider Gifting Money to Your Kids
Giving money now can be rewarding and may have tax advantages. Consult a financial expert before making large gifts.
17. Donate to Charity
Charitable donations can provide tax benefits. Research organizations before giving.
18. Build an Emergency Fund
Separate your emergency savings from your regular accounts. Aim for six months of expenses and increase contributions when possible.
19. Ask for a Raise
If your job responsibilities have grown, consider negotiating a raise.
20. Leave a Toxic Job
If your job is negatively affecting your well-being, create an exit plan and secure another position before quitting.
21. Find a Credit Card with Better Rewards
Compare perks, fees, and interest rates before switching.
22. Focus on Long-Term Wealth
Avoid constantly shifting investments. Take advantage of employer 401(k) matches.
23. Calculate Your Net Worth
Track your assets (cash, investments, real estate) minus liabilities (loans, debt) to assess financial progress.
24. Protect Yourself from Fraud
Monitor accounts and use alerts to detect suspicious activity.
25. Maximize a Health Savings Account (HSA)
HSAs provide tax advantages and can cover medical costs now and in retirement.
26. Start a Side Hustle
Freelancing or gig work can boost your income and potentially lead to a new career.
27. Take Advantage of Employer Benefits
Look beyond your salary—review life insurance, legal aid, mental health support, and other benefits.
28. Automate Bill Payments
Avoid late fees and interest charges by setting up automatic payments.
29. Cut Cable TV
With so many streaming options, you may save money by switching.
30. Automate Savings
Set up automatic transfers to your savings or investment accounts to make consistent progress.
31. Review Subscriptions
Cancel unused memberships and subscriptions to free up cash.
32. Talk About Money Regularly
Open conversations with your partner or family about finances to stay on the same page.
33. Avoid Extreme Money Strategies
Sustainable, small financial changes are more effective than drastic cutbacks.
34. Learn to Cook
Cooking at home saves money and can be healthier than eating out.
35. Keep Expanding Your Financial Knowledge
Read books, listen to podcasts, or follow financial experts to stay informed.
36. Try a Money Challenge
Small, fun challenges—like a pantry challenge or a savings roundup app—can help boost savings.
37. Review Your Insurance Coverage
Regularly update life, health, and auto insurance to ensure you have the right coverage at the best price.
38. Set Clear Money Goals
Define and break down financial goals into manageable steps.
39. Meet with a Financial Advisor
You don’t need a large fortune to benefit from financial advice. Regular check-ins can help keep your plan on track.
Final Thoughts
You don’t have to tackle everything at once. Start with a few changes, then build from there. Over time, you’ll develop a financial plan that works for you!
