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Save and Invest Like This to Become Financially Independent

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Financially Independent

Unfortunately, many Americans feel obtaining financial independence is impossible, so they don’t try to achieve it.  Instead, they live day to day, buying their cars, furniture, clothes, and everything else on credit.  They have debt and think that it’s just a way of life.  But it doesn’t have to be.  If you want to live differently, save and invest like this to become financially independent.

How to Save to Become Financially Independent

One of the first steps on the path to financial independence is to stay out of debt.  However, that’s not enough to get you where you want to be in a few decades.  You must also learn to save regularly.  Try these strategies:

Always Pay Yourself First

If you put money in savings whenever there’s leftover money, you’ll probably never put money in savings.  Instead, flip that way of thinking.  Save money first.  When you start saving, go ahead and start small.  Maybe you only set aside $20 per paycheck.  The important quality here is establishing a habit of saving.  As your finances improve and you earn more, start saving more.

One of the best ways to save is to use an app that automatically saves. Here are some apps you can use. Start by signing up to one of these and it’ll change your financial situation forever.

AppFess and minimum:Best for:
Digit30-day free trial period. $5 per month Setting aside automatically
Acorns$1 per monthSpare change investing.
Qapital$3 membershipLetting you set rules to automate savings.

Make Some Sacrifices

Financially Independent
Photo by Wynand van Poortvliet on Unsplash

For many people, achieving financial independence requires some sacrifices.  For instance, for the first 14 years of our marriage, we had only one car.  My husband took the train to work every day.  Sure, doing that was sometimes inconvenient for him, but we saved so much money not paying for a second car and the additional insurance premium, maintenance, and gas.  If we ever move to a location with good public transportation again, we’ll likely go down to one car again.

Delay Gratification

In addition to making sacrifices, those who achieve financial independence also learn to delay gratification.  You’ll likely not make too many impulse buys.  If you want a new dishwasher, for example, you’ll save to pay cash and take the time to shop around and pay the best price.  If you want a nice new car, you might way a decade or more to buy it, instead driving the car you currently have until it dies.  That’s okay.  Once you achieve financial independence, you’ll find your sacrifice and ability to delay gratification worthwhile.

Create Sinking Funds & an Emergency Fund

One of the most important things you can do to keep yourself out of perpetual debt is to create sinking funds and an emergency fund.

Sinking Funds

Sinking funds should be set aside for the yearly and semi-yearly expenses like house insurance, car insurance, property taxes, HOA dues, and other budget items that are paid ever six months or yearly.  Likewise, you should have sinking funds for random expenses that don’t occur at a set time such as medical bills, car repairs, home repairs, etc.  When you create these funds, you can easily pay the bill when it’s due without it affecting your regular monthly budget.

Emergency Fund

When you have sinking funds, when you’ve planned for the irregular expenses you face every year, your emergency fund can then be used for true emergencies.  Depending on the stability of your job, experts recommend that you have three to six months’ living expenses in your emergency fund.  This fund is only used for true disasters such as job loss or medical bills should someone in your family face a serious illness.

By having both sinking funds and an emergency fund, you buffer yourself from the unexpected expenses that can derail so many budgets.

Try These Savings Apps

AppFess and minimum:Best for:
Digit30-day free trial period. $5 per month Setting aside automatically
Acorns$1 per monthSpare change investing.
Qapital$3 membershipLetting you set rules to automate savings.

How to Invest to Become Financially Independent

While saving is important, investing is equally important on your path to become financially independent.

Use Apps

Be smart. Use these apps to get you started on investing. Some of these are for beginners while others are for seasoned investors. Start by signing up.

Platforms:Fees and Minimum:Best for:
RobinhoodFreeBeginner investing
Acorns$1 per month
Spare change investing
Ellevest$1-$9 per month
no account minimum
Investing for the future.
The Motley Fool$99 for the first year.Stock advising

Start Early

Financially Independent
Photo by MayoFi on Unsplash

The single best thing you can do to become financially independent is to start investing early.  Teens can even invest in a Roth IRA if they have a regular job.  The amount you need to invest, should you start at a very young age, is much less than if you start investing twenty years later.  However, if you are older and haven’t actively invested much, now is the time.  There’s no better time than now.

Take Advantage of a Company Match

An easy way to begin investing is to take advantage of your company’s retirement match.  This is essentially free money to help you become financially independent!  For instance, if you’re employer matches the first 4% of your salary that you invest, that means you should invest at least 4% because then with the employer’s match, you’re investing 8% of your salary for the price of 4%.  If you make $100,000 and invest $4,000 a year (4% of your income), and your employer matches that, you’re now investing $8,000 a year.  That is a huge bonus!

Always Rollover Your IRA

If you leave a job, always rollover your IRA.  When you’re young or you only have a small amount in your IRA, cashing out the money is tempting.  After all, you have plenty of time for saving for retirement.  However, that money can grow and grow if you take it with you and roll it over.  You’ve already done the hard work of investing.  Now, roll it over so it can keep working for you.

Hire a Professional If Need Be

For many people, the idea of investing is scary or intimidating, so they just don’t do it.  However, you can never achieve financial independence if you don’t invest.

There are plenty of free resources available to teach you about the many different investing options, but if you still don’t feel comfortable investing, hire a financial planner.  Yes, you will pay money in fees, which isn’t ideal, but paying fees is better than not investing at all.

Invest No Matter the Economy

Likewise, many people invest money, but then, when the economy crashes, they panic and pull out their money.  This is a sure strategy to avoid financial independence.

The savvy investor ignores the highs and lows of the market and stays the course with investments.  There will always be ebbs and flows, but remember that overall, through the years, people make money by investing.

You’ll do even better if you train yourself to see the stock market lows not as proof you’re losing your money, but as a perfect opportunity to invest more.  You’re likely able to buy stock at the lowest price.  When the economy rebounds, you’ll make more money.

Apps To Try

Platforms:Fees and Minimum:Best for:
RobinhoodFreeBeginner investing
Acorns$1 per month
Spare change investing
Ellevest$1-$9 per month
no account minimum
Investing for the future.
The Motley Fool$99 for the first year.Stock advising

Final Thoughts

Achieving financial independence isn’t easy.  However, follow these steps, and you’ll be well on your way.

What would you add to this list to help people gain financial independence?

Read More

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Passive Vs. Active Investing

Saving Money: Four Mistakes To Avoid Like The Plague

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new year savings goal

Are you interested in saving money? Here are some mistakes you should avoid like the plague starting with the failure to save any money at all. In my own life, I have learned that when you aren’t putting something away for the inevitable flat tire, dead battery, chipped tooth, broken toe, or even a car accident, you leave yourself at the mercy of all these variables and more.

Step one toward saving money the smart way and not the hard way? Start as early as you can even if you are only putting a small amount of cash aside for contingencies. If you don’t plan for trouble in your life, you may find yourself financially wiped out by problems you can easily anticipate later.

The following advice is all based on mistakes I have personally made and would like YOU to see coming and prepare accordingly. The situations this advice is based on can happen to all of us eventually–be warned and prepare early!

Mistakes To Avoid When Saving Money: Failing To Prioritize

Some people start putting money aside to go camping, surfing, or for getaway weekends. Others sock money away to purchase equipment to help them do their hobbies. But if you haven’t created a savings “cushion” to act as an emergency fund, your vacation or hobbies are in jeopardy the first time an unexpected expense comes along you don’t quite have enough cash to cover otherwise.

Create a rainy day fund first–you can get a LOT of mileage out of it when you start thinking about the most likely surprise expenses you may encounter as part of your daily routine. Do you drive a great deal? Expect to have to replace your tired and battery–save up money to cover these expenses and keep growing that fund. One day, you’ll need it and when the time comes you want to have to raid your vacation account to get back to normal.

Money Mistakes: Setting Your Insurance Deductibles Too High Or Too Low

The emergency fund we just talked about? It won’t help you at all if you don’t plan accordingly with areas such as your insurance deductibles. For example, if you get into a car accident and have to pay for a new windshield, how does your deductible affect your need to dip into your emergency fund? Set your insurance deductible too high and your policy will force you to pay for the majority or all the repairs out of your emergency fund.

Conversely, setting the deductible too low costs more per month and may hinder your chances to save more money in any way. Strike a balance between your deductibles and your ability to pay in cash for better results.

Failing To Set Goals

This article leads with encouragement to set goals for your savings efforts starting with an emergency fund but what other things do you want to do with your savings? Making goals and a plan on how to deal with your non-emergency savings sets you up to succeed when the chips are down.

Know what you want to do with your money (a combination of retirement funds, emergency funds, and nice-to-have purchase goals) and you will be much better prepared to visualize what it takes to meet your goals. Give yourself specific concrete milestones and benchmarks for your savings–tell yourself you want to start saving money in the areas we’ve discussed here but also try to figure out how much you should realistically save and make attainable plans rather than too-lofty expectations.

Failing To Get Back Into The Savings Game After A Setback

You WILL have financial setbacks that affect your savings plans. It’s inevitable. The biggest mistake you can make is to fail to get right back into your saving routine and habits the moment you have the ability to do so. Don’t let a setback knock you off the road to saving more money–make a plan that anticipates what you will do when that happens and stick to it. Expecting these setbacks to happen and deciding what to do about it is far better than hoping that such a day will never come–it will.

Failing To Use a Savings Platform

Lastly, one of the biggest mistakes in savings is not trying to automate it. The reason is quite obvious. There are times when you accidently use your savings, instead. So, trying using savings automation like these platforms.

AppFess and minimum:Best for:
Digit30-day free trial period. $5 per month Setting aside automatically
Acorns$1 per monthSpare change investing.
Qapital$3 membershipLetting you set rules to automate savings.

Financial Coping Advice in a Pandemic World

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After weeks of employments reports where only 700,000+ people applied for unemployment insurance in a week, over 855,000 people applied for unemployment benefits this week.

It looks like unemployment applications are slowly inching back up to the 1 million+ range per week again.

For millions of Americans, there is not a lot of reasons to have hope in a post-pandemic world.

Don’t be overwhelmed. Here is what you must consider doing now.

Develop Long-Term Goals

The world is not fair. That phrase has practically become my daily mantra, However, there is no hope in despair.

If you don’t have a job now, think about what you could potentially do in the future. How could your previous work skills and professional experiences be re-purposed in a post-pandemic world?

And consider how you can start over. As cruel as it sounds, we are all starting over again.

There are many online education platforms that are offering free and reduced-price online classes for unemployed people and government employees. Check out edX and Coursera to start with.

Start reviewing jobs in the online gig economy and remote jobs industry. Consider your existing skillsets and the new skills you can reasonably acquire in the near term and how you can leverage such into new job opportunities.

Be realistic, be patient, and don’t be rash – it will take time for you to chart a new employment future.

Get an Emergency Fund

Before the pandemic struck, the general wisdom was to try to put at least the equivalent of six months’ worth of paychecks in an emergency fund.

Now, such an advance is just not realistic for people, and it is cruel to say to people.

Since the pandemic wrecked the economy, over 70 million people may have lost their jobs. The government offered a one-time $1,200 at the beginning of the crisis.

Now, many people are months behind in rent, mortgage payments, and other various bills. And on top of that, many of the jobs that evaporated earlier are not coming back.

These jobs will be obsolete or rendered moot by the workplace occupancy reduction mandated by social distancing mandates and the advent of remote working.

If you are one of the lucky ones to still have a job, it is imperative that you put some money in an emergency fund, no matter how little.

You can put 10% or 5% of your regular pay into an emergency fund. Every little bit helps.

In this economy and the uncertain future we all now face, it is better to have a little bit saved in an emergency fund than nothing at all.

Additionally, having an emergency fund could give you a better sense of personal security in a world turned upside down.

Here are some emergency fund platforms you can try or invest in.

AppFess and minimum:Best for:
Digit30-day free trial period. $5 per month Setting aside automatically
Acorns$1 per monthSpare change investing.
Qapital$3 membershipLetting you set rules to automate savings.

Pay Down Your Debts

The only truly certain things in life are taxes, death, and debt. Depending on the kinds of debt you own, you can’t even escape that after death.

There are many Americans grappling with compounding debt issues and unemployment.

If you are fortunate to be employed now, develop a plan and timetable to pay down your debts. Get on top of your debts now or they will get on top of you in the future.

Develop a Budget

Develop a weekly and monthly budget to make the most of the finances you have now. Think about what you can do now instead of what you can’t do. There is no future in despair and the future is coming now.

To get your personal budget started, you can use these savings platforms as mentioned above. You can also start investing in platforms such as these.

Platforms:Fees and Minimum:Best for:
RobinhoodFreeBeginner investing
Acorns$1 per month
Spare change investing
Ellevest$1-$9 per month
no account minimum
Investing for the future.
The Motley Fool$99 for the first year.Stock advising

Or you can also try saving directly to the bank on these plaforms:

Platform:Fees to sign-upBest for:
CIT BankFreeWide range of Financial Services
Lending TreeFreeBest for keeping an eye on credit score
BBVA FreeSafe digital banking

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How to Stop Paying Money for Others

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paying money for others

Do you regularly find yourself paying money for others? There are several scenarios in which this problem might occur. However, you can deal with all of them by implementing two key tricks. And the best part about these tricks is that they don’t require the other people to make changes; it’s stuff that you can do yourself.

Scenarios When You Might Be Paying Money For Others

When are the times that you are paying money for others? Here are some common scenarios:

  • Your name is on a lease or utility bill. Therefore, you pay the bill and others are then supposed to pay their half to you. However, they don’t always pay you. As a result, you’re paying the entire cost for others.
  • The check comes at a restaurant or other shared event. Somehow the total doesn’t add up. You pay the extra to resolve the problem.
  • The check comes at a restaurant or other shared event. You say, “I’ve got this.” You do this more often than not.
  • You’ve offered to share your streaming services with others. Then you want to cancel or downgrade. However, you feel guilty for nipping their services in the bud. Therefore you just keep paying.

These are just a few of the scenarios that play out where you might find yourself paying for others. Brainstorm a list of others that apply to your own life. The more you know about the situation, the easier it’s going to be to resolve.

2 Key Things You Can Do To Stop Paying Money For Others

Each of these situations is different. However, they share a common denominator: you. You have choices. You can make changes. Therefore, it’s up to you to figure out what to do. And there are two key things that you can begin doing right now:

1. Work Through Your Own Money Issues

Many of us have psychological and emotional issues about money. We have received messages from our families and our culture that affect the way we deal with financial issues. This shows up in all sorts of ways. However, it especially shows up in our relationships. If you’re having problems paying money for others, then chances are that there is some underlying emotional stuff coming up for you that’s making it hard for you to set appropriate boundaries.

For example, if you’re the one at the table who always pays extra to settle a shared check, then dig deep to figure out why that is. How were financial conflicts handled in your family? Are you avoiding conflict because it’s a trigger for you? If so, what can you do differently in these situations to feel safe without having to foot the bill?

Conflict avoidance could be at the root of issues like covering rent for roommates as well. On the other hand, perhaps money represents security to you. Is that why you chose to be the leaseholder? If so, then what can you do differently to feel secure without people taking advantage of that?

Similarly, if you always pick up the check at a shared event, then it’s worth asking yourself why that is. What do you feel that it says about you that you pay for everyone? Is it a self-esteem issue? Is it a belief that you’re responsible? What’s going on underneath?

2. Learn to Talk About Money

This goes hand in hand with working through your own money issues. Once you know what’s going on with yourself, the other aspect is learning to properly communicate that information to others. Talking about money isn’t easy. But you can learn to do so with practice.

Start by discussing money issues with the people you find it easiest to do so with. They’ll help you strengthen your skills. You can even work with a therapist to help you learn to set boundaries and communicate them to others.

Obviously it helps if the other person will join in the conversation with you, but if all you ever reach is the goal of communicating your feelings then you’re still doing great. It will still help you stop paying for others when you don’t want to.

Additional Tips to Reduce The Problem of Paying for Others

Working on your own underlying issues, including learning better money communication, is truly the way to resolve this problem forever. But, of course, that might take some time. Here are some tips and tricks that you can implement in the meantime to minimize the problem in your life:

  • Promise yourself that you’ll always say no first if someone asks you to pay. You can always change your mind and decide to pay later if that’s a choice you consciously want to make. Saying no (or saying that you need to think about it) will help buy you some time.
  • Make use of apps like Venmo. People can instantly pay you right from their phone. Therefore, you should ask that they do so in appropriate situations such as when splitting a bill.
  • Set up weekly or monthly money meetings. Whether these are family meetings or get-togethers with roommates, this is a way to address financial issues. Sometimes just setting aside the time to talk resolves the issues. Once it becomes a habit, it will be easier for everyone.
  • Ask someone you love to hold you accountable. For example, if you always say, “we’ve got this” at the restaurant, ask your spouse to remind you not to do that. Ask for support in letting the situation unfold as it will.
  • Set a budget that includes paying for others. If you enjoy paying sometimes, then work that into your budget. Don’t exceed it. Monitor it closely.
  • Let everyone in your life know that you’re working on your personal finances. Say outright to everyone, “hey I’m just trying really hard to save money right now.” You can say this during a neutral time so that they know it’s not about them. This helps set the stage for all future conversations about money.

Read More:

If you enjoy reading our blog posts and would like to try your hand at blogging, we have good news for you; you can do exactly that on Saving Advice. Just click here to get started. If you want to be able to customize your blog on your own domain and need hosting service, we recommend trying BlueHost. They offer powerful hosting services for $3.95/month!

What Is the Minimum Wage in Little Rock, Arkansas?

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Minimum Wage in Little Rock

Did you know that Bill Clinton, the 42nd president of the United States, wasn’t born in Little Rock, Arkansas? Clinton was actually born in Hope, Arkansas, which is a small town about 100 miles southwest of Little Rock. The Cheesedog, or a hotdog with cheese inside of it, was created in Little Rock in 1956. Little Rock was actually called “Arkopolis,” briefly in 1921. And Little Rock’s Big Dam Bridge (yes, for real) is the longest cycling and pedestrian-only bridge in the United States. If you are planning to relocate to Little Rock, it might help to know these things (as a conversation icebreaker anyway). However, the most important thing you should know is the minimum wage in Little Rock.

The Minimum Wage in Little Rock

Now, I started this article out by sharing some whimsical facts about the city of Little Rock, but I did it as an information icebreaker.

Moving to a new city is a big undertaking and it isn’t one that you should do on a whim. You are essentially transplanting your life to a new city. If you have a family, then moving to a new city can be a very daunting and anxiety-inducing process as well.

Before you consider moving to a new city, reassess your personal finances. How much money do you have saved? Do you have enough money to tide you over until you find work?

Have you begun researching the local job market in the city you plan on relocating to?

The minimum wage in Little Rock is $10 per hour but will rise to $11 per hour on January 1, 2021.

Is that enough for you and your family to live on in a new city? What you should also keep in mind is the cost of living in Little Rock, Arkansas.

Living Wage

The minimum wage in Little Rock is a state-mandated minimum payment amount for employees. Certain employees, like independent contractors, are not necessarily entitled to a minimum wage.

However, a minimum wage is not necessarily the same as a living wage.

A living wage is a salary you need to make to live comfortably in a city. A minimum wage, the salary you legally make, and a living wage, the salary you need to live comfortably, are not the same thing.

In Little Rock, the living wage for an individual is $11.18 per hour or about $23,200 annually.

If you are a single parent with three children, then you need to make at least $33 per hour.

Two working parents with three children in Little Rock would need to make at least $18 per hour to sustain a livable wage.

Higher Minimum Wages

Now, unless you can really adjust to a new budget based on the minimum wage in Little Rock, then maybe you should consider your options.

Here are some cities with higher minimum wages:

  • New York City – $15.25
  • San Francisco – $16.07
  • San Jose – $15.25
  • Seattle – $16.39
  • Washington, D.C. – $15

However, just remember that the living wage in these cities are relatively higher because the cost of living is also higher.

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If you enjoy reading our blog posts and would like to try your hand at blogging, we have good news for you; you can do exactly that on Saving Advice. Just click here to get started. If you want to be able to customize your blog on your own domain and need hosting service, we recommend trying BlueHost. They offer powerful hosting services for $3.95/month!

28 Gift Ideas That Save Money For The Recipient

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28 Gift Ideas That Save Money For The Recipient

With the holidays approaching, it’s time to think about Christmas shopping. We always talk about ways to save money on gifts, from hitting the sales to drawing names out of a hat. That’s all well and good, but these strategies only save money for the buyer. How about turning the savings around this year and buying gifts that save money for their recipients?

Particularly in a down economy, gifts that help the recipient save money are much appreciated. You can still save money when buying most of these items if you use the tried-and-true shopping methods. But the bonus is that the following gift ideas also help the recipients save money over the long term. Who can argue with a gift that saves them money?

So, with no further ado, here are 28 gift ideas that save money for the recipient:

1. Gift Cards

Always a staple of the holidays, a well-considered gift card saves your recipient money. After all, they won’t have to dip into their own funds to purchase something that they want or need. They’ll use the card instead.

Try to get a card to a store you know the recipient loves or shops frequently and that carries useful stuff. Cards to stores that carry only expensive “dream” merchandise aren’t really money-savers, because the recipient is locked into buying something frivolous when they might have preferred to spend the money on something useful or “every day.”

To save your recipient money, stick to bigger stores like Target, Walmart, grocery stores, large department stores, large bed and bath stores, or clothing stores. At those places, your recipients can either get something they need or splurge on something fun and they will have lots of choices. And, with the lower prices at many of these stores, your gift will go further.

If you have credit card rewards points then you might be able to use them to purchase gift cards. Therefore, you save money for yourself as well as for the gift recipient.

Want to make it more personal? Write a beautiful letter explaining why you chose this gift.

2. Magazine Subscriptions

Do you know someone who enjoys getting print magazines? Or even digital ones? If so, then offer to pay for the membership for one year. This is an affordable gift for you and yet saves them money to spend on something else.

3. Pay for a Service

Does your recipient hate to clean? Spring for a cleaning service. Hate to cook? Give them a gift certificate to a service like Schwanns that delivers prepared meals. Hate to mow the lawn? Give them the gift of a landscaping service.

If they already have such services, offer to pick up the tab for a few months. Items such as these not only relieve the burden from people who don’t like or can’t do these things, but they save them money because they don’t have to pay for the service themselves.

Moreover, it saves them time. Time can be financially valuable as well.

And if you want to save money, you might offer to perform the service yourself, rather than hiring someone else to do it.

4. Buy What They Need

Rather than blindly hunting for the “perfect gift,” ask your recipients what they need. Then get it for them.

If they need clothes, try a gift card to a retailer that sells many styles. Or offer to go shopping with them.

If they need food, get a gift card to a grocery store. Alternatively, sign them up to receive fresh farm food delivery on your tab.

If they need a hobby or office supplies, either get a gift card or fill a box with several items. If they need household supplies like cleaners, toiletries, or linens, get a gift card to a big-box store, or create a gift basket with several items.

Gifts that meet a need are just as appreciated (if not more so) than the doo-dad that you thought was “so cute” that you had to buy it. And getting them what they need means they won’t have to spend their own money to buy it.

Don’t worry about seeming impersonal by asking someone what they need. Most people are grateful.

5. Gift Them a Night Out

Give the person the gift of a night out. That might mean paying for dinner and a movie. It could mean getting them a hotel room. Or it might simply mean babysitting their children while they go do something that they enjoy. Combine gift cards and services to create a special night out.

6. Offer to Pay For a Sitter

If your recipients have kids, offer to pick up the tab for a babysitter for a night or two. If they have pets, pay the pet sitter.

Sometimes people want to go out, but don’t want to spring for a babysitter so they stay home. Give them the chance to go out without having to pay for a sitter themselves.

Alternatively, offer to be their sitter. Let them drop the kids/dogs off with you and enjoy a night in without them.

7. Reusable Water Bottles

Your recipients won’t have to spend money on bottled water anymore if you get them a good quality, reusable water bottle with a built-in filtration system. If they don’t mind the taste of tap water but buy bottled water for its portability, you can get a reusable water bottle without filtration for a little less money.

This will also be a good reminder for them to drink more water. If they do, then you’re contributing to their overall health. Furthermore, that can save health costs down the line.

8. Set up a Savings Account

This can be especially good for kids or grandkids. Open an account (making sure to get any bonuses for opening a new account) and seed it with a little money. Even if nothing more is ever added to it, it will still gain some interest.

You can add money to it each holiday to keep your gift growing. Alternatively, you could gift savings bonds or shares of stocks to help your recipients gain a bit of money.

This not only gives the outright gift of money. It also helps set the tone for saving for the future. That’s an educational gift that could last a lifetime.

9. Warehouse Club Membership

If your recipient lives near a popular warehouse club such as Sam’s, Costco, or BJ’s, then buy them a membership. They’ll save money on food, household items, and gas (if the club has a station) and they won’t have to pay the membership fee. That’s a gift that can truly go a long way. They’ll get things that they need all year long at a lower price thanks to you.

10. Pay For Streaming Services

What streaming services does your gift recipient use? Whether it’s Netflix, Hulu, Spotify, Audible, or some other form of pay-by-the-month entertainment, you can pay that bill for them.

If you want to save money, see about adding them to your existing accounts.

presents

11. Reusable Shopping Bags

Many places now charge customers for using paper or plastic bags in the store. Therefore, you can save people money by giving them reusable shopping bags. Make them yourself if you knit, crochet, or sew. Alternatively, purchase them inexpensively. If you’re giving them another gift as well, use this as the gift bag.

12. Gifts for the Couponer

If you know someone who is into (or wants to be into) couponing, then you have several gift choices.

First, you can get them a subscription to the local Sunday paper if they don’t already have one. This is a great source of coupons even in digital times.

Second, you can purchase a membership for them at a coupon/shopping website.

Third, you can buy them an organizational system for their coupons, such as a binder and pockets, recipe box, or divided filing pouch.

Alternatively, you could write out or print out all of your favorite couponing tips and put them into a journal for the person to learn from.

13. Seeds / Materials for a Window or Container Garden

If your recipient has a green thumb (or just wants to reduce their grocery costs), then consider setting them up with some pots, dirt and seeds/starter plants to grow their own vegetables or herbs.

Many plants can easily grow in containers in small spaces, so even those with limited space can grow at least a few things.

If they aren’t as handy with plants but are interested in the idea, try getting them a starter kit that does a lot of the work for you. A ready-to-grow herb garden or mushroom farm is a great start.

14. A Good Cookbook

Maybe your recipient eats out a lot because they, “Just don’t know what to fix.” A good cookbook can solve that problem. Moreover, it can save the recipient hundreds in dining out / ordering in costs.

Ideally, the recipes should be easy and quick to prepare. Plus, they should require only simple, easy to find ingredients, and utensils. Otherwise, the recipient will quickly get frustrated and spend more money on equipment and ingredients than they would have by continuing to eat out.

An alternative to the cookbook, of course, is a meal subscription plan.

15. Books About Saving Money

If your recipient is looking for ways to save money, then they may be interested in books about saving money. If you already have some in your personal library, then you can save money by gifting those. Add a nice message written in the front of the book to personalize the gift.

16. Fans, Window AC’s, and/or Space Heaters

Heating and cooling costs are usually the biggest components of an energy bill. Therefore, finding ways to help the person reduce those costs is a huge money-saving gift.

Portable fans, window air conditioners, and space heaters allow you to heat and cool just the rooms you are occupying, rather than cooling or heating the whole house. Therefore, they save a ton of money. Some of these items have gotten so fancy that they make great gifts.

You can also buy decorative ceiling fans and offer to pay for the installation (or do it yourself). With heating and cooling costs going through the roof, a chance to save a few bucks is a welcome gift.

Alternatively, you might offer to pay for a home energy audit, smart temperature controls, or other tools that will teach the person to reduce their home energy bills.

For example, get them a programmable thermostat. Why waste the money to heat or cool an empty house? Set it up once, and a programmable thermostat does the job without someone having to remember to turn the temperature up and down all the time.

17. Reusable Lunch Tote

A chic lunch tote and accessories (including sandwich boxes, utensils, thermos/bottle, and napkins) make bringing lunch to work or school fun. If you have people in your life who are still going to work / school during COVID times, then they may find it really hard to figure out the lunch situation. This can help!

18. Cloth Napkins / Towels

You can eliminate the need for your recipient to buy paper napkins and paper towels by giving them attractive cloth substitutes. Many sizes and designs are available to suit different styles and tastes. Moreover, they can be tossed in the wash with the regular laundry, so they don’t add much to the chore load.

19. Rechargeable Batteries with Charger

Your gift recipient will never have to buy batteries again if you get them this gift. Purchase one or more common battery sizes (such as AA).

Have you noticed that many of the items that your gift recipients money also help save the planet? Good things help in more ways than one!

20. Gas

Most gas stations now sell gift cards that can be used for their “brand” of fuel at any participating station. Therefore, you can get a gas gift card for someone. Or you might simply offer to take the car out, fill it up, get it detailed, and return it ready to go.

21. Reusable Air Filters

These tend to do a better job than the cheap air filters, plus you can reuse them over and over again with just a simple wash to keep them clean. You’ll save your recipient’s money both in energy costs (these make air systems run more efficiently) and in the cost of replacement filters.

22. CFLs or LEDs

They don’t make a very sexy gift, but CFLs use about 75% less energy than regular bulbs and last ten times longer. Your gift recipient will save on energy costs as well as the cost of bulbs over the long term. Brightening up their home with nice lights that last a long time is a gift that keeps on giving all year long.

23. Low-Flow Devices

Low-flow faucets and showerheads save money on the water bills. These devices have come a long way and now come in massaging and other fancy varieties that make good gifts.

24. Supplies For Their Hobby

What does your gift recipient love to do in their spare time? Buy them the supplies to support that hobby. For example, get yarn for a knitter or crocheter. If you know someone who scrapbooks, purchase tape and papers for them.

Of course, if you’re not sure what supplies they like, you might get them a gift card to a craft supply store instead.

This gift shows that you know them and value their interests. Moreover, it saves them money on doing something that they love.

25. A Paid Day Off

Many people don’t get paid for the days that they don’t go to work. Some people have a job that has very limited paid vacation or sick days. Other people work for themselves, are stay-at-home parents, or otherwise don’t have the option to take a paid day off. Therefore, any time they need to “call in sick” they feel guilty and stressed.

Make up some personalized coupons to give them a paid day off. Pay their salary for X amount of days during the year to give them the stress-free option of taking a day to themselves.

26. Education

Give someone the gift of an education. This could mean starting a college fund. However, it might also mean paying for some professional development courses that a friend has always wanted to take. It might simply mean paying for a few online workshops to boost someone’s resume. You’ll save the cost of the classes. Moreover, with better education, they might earn more down the line.

27. Donate to Charity in Their Name

Do you know someone who always loves to give to others? Perhaps they can’t do that this year. Maybe they don’t have the extra money that they usually spend. Or perhaps they usually volunteer in person but COVID has limited their options. Save money and stress by donating to their favorite charity in their name. For example, this year people in my support network are donating to Dressember to help me fight human trafficking.

28. Create a Themed Basket

Some of my best gifts have been big boxes or gift baskets filled with items that have a theme. For example, I once got a gift basket full of nothing but pet supplies. It was all stuff I would have bought at some point, but it saved me the money and time on doing so.

I’ve given boxes filled with office supplies to people who have their own businesses and gift baskets of cleaning supplies and household goods to people buying new homes. I’ve given gifts of toiletries and toiletry totes to kids going away to college and boxes filled with “green” items to those looking to change their lifestyles. You can make gift baskets for new babies with diapers, wipes, tissue, and other supplies. Useful items can be grouped and packaged in interesting and attractive ways to make great, creative gifts.

It’s great to give something like this because, if it’s all things the recipient would have bought at some point, it saves them the money. Plus, it recognizes something important happening in a person’s life right now.

Why Buy Gifts That Save Money For The Recipient

These ideas aren’t only for Christmas. Gifts that save money are welcome on birthdays, graduations, baby showers, and other occasions, as well.

To come up with gifts that save your recipient’s money, think of the things that you spend money on, and then come up with a creative way to make that a gift. Chances are your recipient has to spend money on that category or item as well, and will be relieved to avoid or reduce the expense.

I much prefer a gift that helps me save money over receiving another knick-knack that I have no need for and have to clean. Don’t you? It’s great to think of ways to save money on your gift-giving, but if your gifts can save your recipient’s money at the same time, you’ll be doing them a great service.

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