"The spirit in which a thing is given determines that in which the debt is acknowledged; it's the intention, not the face-value of the gift, that's weighed." - Seneca

SavingAdvice.com Blog

Bridging the gap between saving money and investing


Join Now or Login

Personal Finance

Why Women Investors Rule

By 2 Comments

woman-801872_1920

It’s a man’s world in Wall Street…or at least, it used to be.

Women investors are rising up and giving their male counterparts a run for their money these days. (No pun intended.) Although women were previously known for holding off on investing and doing so in low-risk situations, lately and increasingly, women investors rule. How is this?

Kiplinger’s Personal Finance magazine’s April 2016 issue cover story goes into depth of the reasons ladies are killing it in the finance world.

To begin, women’s approach to investing is different than men. They’re better at matching their goals, they research to a greater extent, think long-term, and they stay composed during a downturn in the market. In fact, women seem less likely to behave erratically with their money, especially under pressure; that is, they change their asset allocation less as well as limit their trading.

While men can be excellent investors as well, as proven throughout the years, the magazine adds that the different approach women take has demonstrated much success and value. For instance, Kiplinger’s Kathy Kristof mentioned that an evaluation of 60,000 users on Openfolio.com, a social media site for the world of personal investors, showed that women lost less in 2015 when the market was down and gained more per point in 2014 when the market was exceptional.

In addition, the publication teamed up with InvestmentNews to survey 1,500 readers (53% men and 47% women) via e-mail to learn more about investing habits. The results can be found here.

As part of the article, Kiplinger’s also asked a group of successful women investors, including some from Wall Street, to provide their own investing advice. Regardless of your gender, everyone can benefit from these tips:

  • Know your investment. Choosing to buy into companies who make products and services you actually use and love (or could use personally) is a great starting point in finding attractive stock. Pick items that sell quickly and show much potential. To find some of these, though, will call for doing some research and thinking of yourself as the consumer. Don’t over-complicate things; start with what you know.
  • Keep calm and invest on. It’s important to take risks when investing, but it’s equally important to know your chances. Men are more likely to invest 100% of their assets in stocks, which can lead to wider gains; however, this is only true as long as they don’t strike out causing them to lose substantial value. Finding balance between risk and loss is one of the keys in funding success. As you look into organizations to invest in, find strong businesses with clear competitive advantages that are able to pay an abundant dividend or premium.
  • Plan ahead. Instead of worrying about competing with others in the market, keep your eye on the overall prize. Create and focus on your own individual goals and plan. It’s a myth that women are not concerned about a substantial return; they just are not allowing competition to stray them from their own efforts, which is attributed to their successes and rise in this field over the last few years. Having and maintaining goals in investing helps to prevent other noise from getting in to your head, and thus, preventing interference on decisions such as trading too early or too much.
  • Trade less. Men tend to trade more than women, which, some in the industry argue, is due to overconfidence and “jumping the gun,” if you will. Women also monitor their numbers less, which may also be a factor in this find. The problem with trading frequently is that it hurts investment returns over time.

These are just a few basic tips that can help you reach a higher gain. Even though the approach of women in this field produces notable results, female investors could also benefit from the strengths of their male counterparts. Together, men and women can make a great financial squad and should contemplate teaming up together in future decisions.

House Flipper Tips: Can You Flip Your Way to Retirement?

By Leave a Comment

house flipper tips

Thanks to television shows like Flip or Flop, house flipping is in its heyday. In fact, many people wonder whether it is possible to flip their way to retirement, either allowing them to retire comfortably when the time comes or using it as a means to exit the formal workforce early. Here are some house flipper tips for retirement.

Can You Flip Your Way to Retirement?

In short, yes, you can flip your way to retirement. However, that doesn’t mean everyone will achieve that level of success, and many flippers who proceed without a plan actually lose money.

Shows like Flip or Flop, Zombie House Flipping, and First Time Flippers don’t always provide flipping newbies with an accurate picture of what it takes to flip a house successfully. While they touch on the financial aspects of the projects and mention some of the challenges, these shows are small glimpses into the reality of taking on a house to flip.

Plus, buying a house to flip is a massive investment. If something goes wrong, losing money is a possibility, at times to the tune of thousands (if not tens of thousands) of dollars.

However, with some care and proper planning, it is possible to flip a house successfully. Then, if you purchase another property and keep flipping, supporting your retirement through house slips is an option.

Consider the Costs of the House

To flip a house, you need to purchase a property that requires work to reach its full market potential. Additionally, you need to focus on homes that, once you pay for repairs and upgrades, is worth substantially more than you put in.

Often, the best way to begin is to find a property with potential and buy it with cash. This eliminates mortgage interest and certain fees from the equation, increasing your profit-making capabilities.

Being realistic and knowledgeable about the actual costs and potential earnings is also critical. Many flippers forget how much closing costs and realtor commissions can run, and they both impact profit margins.

Similarly, not knowing the market can come back to haunt you. You need a realistic picture of the homes potential resale value when complete, a process that usually begins by examining comparable properties, or “comps,” that recently sold in the neighborhood before you make a purchase. If you use an agent to buy the house you plan to flip, they can help in this area.

Additionally, you need to be able to fund all of the repairs and upgrades with cash. Again, this is about avoiding debt, interest, and fees, all of which can eat away at profits.

Plan for Repairs and Upgrades

You’ll need to set a budget for your flip and estimate the costs of repairing the property. This includes both products and labor, as most flippers don’t have the expertise to manage every kind of repair themselves, at least in the beginning. While cosmetic changes, like paint, are fairly easy to take on, electrical, plumbing, structural, and roof repairs usually require a contractor, and their labor comes with a price tag.

Before you complete the home buying process, get a home inspection at a minimum. You may also want to pay for specialty inspections, such as by having a plumber send a camera through the pipes or an electrician to evaluate the wiring, as issues behind the walls may not be caught during a traditional inspection. Then, you’ll have a solid idea of what repairs are necessary beyond cosmetic improvements and can get quotes for the work or plan for expenses for projects you take on personally.

Once the core work is done, you also need to take care when choosing other upgrades. While hardwood floors, marble counters, and soaker tubs may be the dream, you need to make sure that high-end finishes will land you a solid return. Otherwise, you risk over-improving the house for the neighborhood, and that can lead to losses.

How Do You Set a Sale Price?

Once the work is done, you usually list the home for sale with a realtor. By getting help from a professional, they can help you pick a suitable price according to current market conditions. Plus, they act as an objective third-party. Since you put in some much time and effort, you may have an emotional attachment that clouds your judgment, leading you to think the house is worth more than it is realistically.

How Do You Use Flipping to Retire?

Usually, you can’t fund a retirement with a single flip. Instead, once you sell one property, you move on to another, either using your profits from the first to reach higher value markets or investing your profits to save for retirement and sticking in the same zone.

Over time, you may even be able to slip multiple properties at once, accelerating your plan. However, it’s critical to always take the same level of care with each purchase and renovation, as falling quality will hurt your reputation and profit margins.

Have you ever thought about how to flip your way to retirement? Tell us about your experience in the comments below.

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.

 

You Need These Top 13 Finance Books To Change Your Life

By Leave a Comment

financial books to read, top finance books, financial books

Where are you in your financial journey? Maybe you’ve just landed your first job or your company has offered a 401(k). Whatever your journey is, there are tons of books that can help make it easier. Here are some of the best personal finance books of 2018 that can change your financial life.

The Total Money Makeover – Dave Ramsey

If being debt-free is your goal, it’s hard to go wrong with Dave Ramsey’s The Total Money Makeover. His tried-and-true approach is touted for its simplicity and effectiveness, and his brutally honest style doesn’t sugarcoat anything.

Not only can this book help you work your way out of debt, but it also gives you skills for avoiding it in the future. Ultimately, if you are struggling with debt and can only choose one book, this should be the one.

Your Money or Your Life – Vicki Robin and Others

Your Money or Your Life: 9 Steps to Transforming Your Relationship with Money and Achieving Financial Independence extols the benefits of frugal living, and not just from a financial perspective. It also shows how, by budgeting and saving, you can lead a happier life by having access to more choices.

The book focuses on learning to live within your means while planning for the future. Many people consider it a personal finance must-have. Just make sure you look for the most recent release (currently a 2018 update), as there have been multiple versions of this book over the years.

Personal Finance for Dummies – Eric Tyson

If you don’t know the basics of personal finance, starting with Personal Finance for Dummies is a smart move. Terms are clearly explained throughout, and the concepts are simplified to assist with learning. Plus, a broad selection of categories is covered, making it great for those who need a solid foundation.

The Index Card – Helaine Olen and Harold Pollack

The Index Card: Why Personal Finance Doesn’t Have to Be Complicated, is another book that focuses on the essentials. The tips are highly actionable, giving you clear direction for improving your financial life.

Additionally, the book avoids being long-winded so that you can derive value from it quickly. Plus, its very easy to digest, making it great for personal finance beginners and beyond.

The Automatic Millionaire – David Bach

For those who appreciate simplicity, The Automatic Millionaire: A Powerful One-Step Plan to Live and Finish Rich is actually a one-step plan to help you achieve success. While it almost seems too good to be true, it includes success stories focusing on individuals with modest incomes. Plus, it avoids headache-inducing steps like hardcore budgeting. Even better, you can get started without a six-figure income.

While the original version came out in 2004, it has since been updated. Just make sure to find a recent edition if you want the most valuable information.

Rich Dad Poor Dad – Robert Kiyosaki

Part memoir, part money guide, Rich Dad Poor Dad: What the Rich Teach Their Kids About Money That the Poor and Middle Class Do Not! was updated in 2017. The book includes money management tips for adults. It also offers information on helping your kids thrive financially.

Even if you don’t have a substantial income today, or are living paycheck to paycheck, this book can help you start on the path toward wealth.

You Are a Badass at Making Money – Jen Sincero

You Are a Badass at Making Money: Master the Mindset of Wealth is an exceptional book for learning how to evaluate your habits, such as things that may be hindering your financial success. It is filled with anecdotes and easy to understand concepts. It’s a candid and even humorous read that is chocked full of wisdom and insight.

Why Didn’t They Teach Me This in School? – Cary Siegel

A great book for teens and young adults, Why Didn’t They Teach Me This in School: 99 Personal Money Management Principles to Live By covers information that many kids don’t receive while they are growing up. The content is easy to digest and focuses on learning to manage money, ensuring it doesn’t control your life.

The Behavior Gap – Carl Richards

The Behavior Gap: Simple Ways to Stop Doing Dumb Things with Money, makes it easy to understand why so many people make mistakes with money. It shows how bad habits can develop, and helps the reader step away from the trappings that may have them stuck. Plus, it makes adopting a healthier mindset about money easier, which is something that can serve the reader for years to come.

The Millionaire Next Door – Thomas J. Stanley and William D. Danko

When most people picture millionaires, they imagine a glamorous lifestyle. However, the reality is actually quite different in many cases.

In The Millionaire Next Door: The Surprising Secrets of America’s Wealthy, you learn about the habits that helped people cross into millionaire territory and achieve financial freedom. Most of their techniques can apply to any person’s life, making this a great personal finance book for any collection.

All the Money in the World – Laura Vanderkam

All the Money in the World: What the Happiest People Know About Wealth, takes on the personal finance topic a bit differently. Instead of stressing pure frugality, the book discusses how to get the most personal value from your money by spending in alignment with your priorities.

Admittedly, it shouldn’t be the first book on most people’s list, especially those who are battling significant debt loads or lack any savings. But, if you have the basics in order, it’s certainly worth reading.

The Little Book of Common Sense Investing – John C. Bogle

Another option for those who have the personal finance basics down, The Little Book of Common Sense Investing explains why index funds are such valuable options. Plus, the information is very easy to understand, making it a great choice for those who are new to investing and want it to feel more accessible.

Money A to Z – Scott Alan Turner

Money A to Z is actually a children’s book. It uses the alphabet to teach kids about personal finance concepts, giving them a solid foundation in their earlier years.

Anyone with a young child should consider picking it up. After all, it’s never too early to start teaching your children good money habits.

What have been your best personal finance books of 2018? Tell us about it in the comments below.

Looking for more great articles? Here are a few to get you started:

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.

The All-Cash Diet – Are You Up to the Challenge?

By Leave a Comment

 

all-cash dietAs of June 2018, Americans owed an astounding $1.039 trillion in revolving debt. Additionally, the average American owes about $6,400 in credit card debt alone.

Rising debt loads can be hard to combat. Often, it takes a significant amount of time to pay down these financial obligations. However, you can speed up the process with dedication and diligence.

In some cases, an all-cash diet can make eliminating debt easier. At a minimum, it prevents you from adding to your total, allowing you to chip away at your debt more effectively. You can also amp up the process by setting a strict spending limit.

If you think an all-cash diet is a challenge you can handle, here’s what you need to know.

What is an All-Cash Diet?

An all-cash diet involves using only physical currency to handle your daily expenses. For example, you would only use cash to pay for gasoline for your car, groceries, and similar expenditures.

Fixed expenses, like debt payments, housing costs, and utility bills, don’t have to be paid in cash. Instead, you can handle those electronically, such as through direct debits or with a debit card. However, you want to avoid using credit to pay these costs. Otherwise, you might not be able to lower your total debt load, which is often the primary goal of using an all-cash diet.

How Do You Start an All-Cash Diet?

The first step you need to take is to create a budget. Outline all of your fixed expenses and determine how much income you have left over. Your remaining money is the maximum you can spend on fluctuating day-to-day costs, such as food and fuel.

Next, you withdraw your remaining income as cash. Ideally, you want to divide the money up into spending categories, ensuring you allot enough to each area to cover your needs. You can designate an envelope to hold the funds for an individual category, making it easier to track.

For instance, you may have an envelope for groceries and another one for gasoline. As you divide the money, make sure you are realistic about what you need to spend to maintain a reasonable lifestyle.

Alternatively, you can divide the cash according to the number of weeks you have between paychecks. For example, if you get paid biweekly, then you would have two envelopes and would likely split your money in half, making each one equal in value.

Regardless of the approach you use, there is one additional step worth taking. Certain expenses, like oil changes, come up regularly, but not always on a set schedule. That can make covering these with your weekly or monthly allotments feel challenging.

Instead of using money out of your main spending envelopes, consider creating another one to set aside for these costs. Then, take a small amount out of each paycheck and set it aside in that envelope. How much you need in this category depends on your unique needs.

However, by considering all of the costs you encounter throughout the year, you can come up with an approximate annual total. Then, divide that amount by the number of weeks in a year or the number of paychecks you receive. Now you’ll know what you need to set aside.

Using the All-Cash Diet

Once you have your money in hand, use cash to cover every purchase you make. By doing so, you are functioning on an all-cash diet.

While the premise is simple, that doesn’t mean things can’t get tricky. For example, if you run out of cash for the week, in a category, or before your next paycheck, then you can’t buy anything else until it is time to replenish that envelope. Instead, you may have to get creative about managing your needs, ensuring you don’t rely on credit to cover the shortfall.

Ideally, since running out of money is a possibility, it will make you more aware of your spending decisions. Paying with cash makes shopping seem more tangible, as you can watch your money leave your hands and see that you have less available to make it until the envelope is refilled.

If you want additional value out of the process, whenever you spend money, but the receipt back in the envelope. This will let you review your spending at the end of the week or month, helping you to spot issues that may be hurting you financially.

Often, people using an all-cash diet are less likely to make impulse purchases. This can be incredibly beneficial for individuals who tend to overspend when using plastic.

What About Left Over Money?

In some cases, you’ll discover that there is still money in the envelope when it is time to replenish your funds. When this happens, you have a few choices.

If you don’t have an emergency fund, you can save the extra cash in a savings account. This helps you create a financial buffer against unexpected events, like a large medical bill or car repair.

For those who already have an emergency fund, then the spare money can help you pay down your debt. Send the excess to your highest interest debt as an extra payment, allowing you to lower your total and reduce interest charges.

You can also use the remaining money for irregular expenses, like birthday gifts. If that is your goal, open a savings account to store these funds. Then, when it’s time to make those purchases, pull out the money you need.

How Long Do I Need to Be on an All-Cash Diet?

How long you stay on an all-cash diet is up to you. Usually, you need to consider your goals and choose a duration that helps you achieve them.

However, if you aren’t sure whether an all-cash diet is right for you, consider starting off with one month. This will give you a realistic picture of what living on cash is like, allowing you to assess the process thoroughly.

At the end of the month, review how you did. If you were able to complete the time with little hardship, then remaining on an all-cash diet may work for you.

If you ran out of money or had other difficulties, then review your budget again and go over your shopping receipts. Did you properly allocate your cash? Did you make any unnecessary or impulse purchases? Is a lifestyle adjustment necessary to be successful?

By taking a hard look at your habits, you may find areas where you could save, making sticking with an all-cash diet easier to manage. However, it isn’t uncommon to have to make sacrifices, especially if you were using credit to support a lifestyle you can’t actually afford.

After reassessing, consider staying on the all-cash diet for another month. Then, take a look at how you did this time to see if you made progress.

Even if you don’t choose to stay on an all-cash diet, it’s still a valuable experience. You’ll have a better understanding of your spending habits and should have a more functional budget, making it easier to keep your finances under control.

Have you tried an all-cash diet? Tell us about your experience in the comments below.

Looking for more great money challenges? Here are some articles worth exploring.

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.

National Park Day is Coming – What Freebies are Available?

By Leave a Comment

national park day

There are over 400 national parks spread across the US. A few times a year, the National Park Service waves the traditional entry fees, allowing visitors to enjoy these wonderful locations at no cost.

September’s national park day coincides with National Public Lands Day, an annual event that falls on the fourth Saturday of September each year. In 2018, National Public Lands Day falls on September 22.

Plus, 2018 is a special year, making it a great time to head to the park. Not only is it the 25th anniversary of National Public Lands Day, but it’s also the National Wild & Scenic Rivers System and National Trails System 50th anniversary year.

The History of National Public Lands Day

Originally established in 1994, National Public Lands Day is a celebration of the connection between magnificent green spaces and their communities. It’s filled with volunteer opportunities, leading it to become the largest single-day volunteer effort in the nation.

Each year has a different focus. For 2018, volunteer work will concentrate on resilience and restoration of public lands, including national parks.

The National Environmental Education Foundation coordinates the volunteer effort in cooperation and partnership with other agencies, including:

  • National Park Service
  • US Forest Service
  • Department of Agriculture
  • Bureau of Land Management
  • Department of the Army
  • US Army Corps of Engineers
  • Department of the Interior
  • Bureau of Reclamation
  • US Fish and Wildlife Service

Specific events are held on and around National Public Lands Day, creating opportunities to either volunteer or enjoy some family fun.

Free Entrance on National Park Day

The biggest freebie on National Park Day is the ability to enter national parks that usually charge an entrance fee for free. Fee-free days help everyone enjoy what the areas have to offer, making a trip to a national park more affordable.

It’s important to note that not every location participates in the program. Parks that are part of the National Park Service will be free, but destinations operated by other entities may still charge for entrance. Additionally, some parks are always free, so the fee-free day doesn’t provide an additional benefit.

Further, the freebie only applies to the usual entrance charge. Other activities and amenities, such as boat launches, camping sites, and tours, may still come with a cost.

Free Volunteer Opportunities and Voucher

National Public Lands Day is the biggest volunteering days in the country. You can take part in a volunteering initiative and even receive no-cost training at some locations to ensure you are ready to participate. For example, Stones River National Battlefield is training volunteers on the removal of invasive plant species ahead of and on National Park Day.

Many sites are also hosting trail and river clean-up events, allowing volunteers to do their part to keep the parks in tip-top shape. What training and volunteer opportunities are available varies by location, so you’ll need to check for events at your chosen destination.

Everyone who participates in a volunteering event will also get a voucher for a fee-free day that they can use in the future. This allows them to make a difference at the park and then return to enjoy a recreational day without having to pay an entrance fee.

In some parks, there may even be a volunteer-only camping area, allowing you to stay at the park overnight on the Friday before National Park Day. By volunteering, you may be able to camp at one of these locations, including with children, for no-cost. However, this isn’t available at every destination.

Free Family Fun Events

Some parks are even hosting family fun days. For instance, Thomas Edison National Historical Park will have a variety of special family-friendly activities for four hours on National Public Lands Day at Glenmont. There will be obstacle races, watercolor painting, Victorian board games, a paper airplane building contest, and more.

Not every location hosts family fun events. However, being able to enter the park for free is fun in its own right. You can take a hike, have a picnic, and explore a variety of sites throughout the area.

What About State Parks?

Many state parks also recognize National Public Lands Day. But, they aren’t guaranteed to have free entry.

However, many locations coordinate volunteer activities where participants do get freebies. For example, they may provide snacks, drinks, or even a free lunch to those who lend a hand.

If you want to head to a state park on National Public Lands Day, make sure to check out the location’s website. They may have information about free events and volunteering opportunities on their site, letting you plan your trip more effectively.

Are There Any Other National Park Days in 2018?

After National Public Lands Day, there is one other free entrance day in 2018. It is scheduled for Sunday, November 11, in recognition of Veterans Day.

However, the National Park Service tends to offer four chances to go to the park for free each year. While the dates for 2019 aren’t officially set, the first in 2019 will likely coincide with Martin Luther King, Jr.’s birthday in January.

After that, there will be a day in April that aligns with the first day of National Park Week. The next will be on National Public Lands Day in 2019, falling on September 28, 2019. Lastly, there will be another fee-free day on Veterans Day in November.

What If You Want to Go to the Park on Another Day?

If you can’t head to a national park for National Public Lands Day, you can always go on any other day the park is open. If you have an annual pass, which costs up to $80, you can visit any participating park for no additional cost while your pass is valid.

Shorter passes are also available, though the cost can vary by location and how you enter. Typically, walk-ins and bike-ins are around $15 per person. Vehicle entrance fees are generally $25 to $30 per car and motorcycles are usually about $20 to $25.

If you intend to go to a National Park on a day that has an entrance fee, it is wise to review the prices in advance. This ensures you are able to cover the cost when you arrive.

Do you volunteer on National Park Day? Tell us about your experience in the comments below.

Looking for more great articles about the National Parks? Give these a try:

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.

What Is the Best Type of Gas for My Car?

By Leave a Comment

best gas for my car

In the US, there are approximately 116,000 gas stations. Once you pull in for a fill-up, most customers encounter a few choices. Regular, plus (or mid-grade), and premium are common for unleaded gas. In most cases, you’ll also find diesel available.

It isn’t uncommon to wonder, “What’s the best gas for my car?” when you look at these options. Will premium give me better performance? Could regular damage my engine? What happens if I use diesel?

While it might be confusing on the surface, figuring out which one is right for you is fairly simple. However, it is helpful to understand what the different choices mean.

Different Types of Gas

At a gas station, unleaded fuel is usually available with three octane levels. 87, 89, and 91 or 93 are the most common offerings at most gas stations.

The octane rating isn’t an indication of power. Instead, it plays a role in preignition.

To operate, your car’s engine starts compressing fuel and air as it ignites them with a spark. Preignition occurs when the fuel-air mixture ignites too soon, something that can lead to a knocking sound.

Octane levels denote a fuel’s resistance to preignition. Higher ratings mean the gas isn’t as likely to detonate, and certain engines can use this feature to achieve more power.

In a high-performance engine, the fuel-air mixture is compressed to a smaller size. This creates additional heat, something that could lead to preignition with low-octane gas. High-octane fuel prevents preignition in these engines, allowing it to function at its best.

Diesel engines ignite differently than traditional unleaded gas engines. Diesel engines don’t use sparks. Instead, the compression creates enough heat to cause combustion. This means fuel a diesel engine needs features a different composition.

What Is The Best Gas For My Car?

Generally, the easiest way to figure out which type of fuel is best for your car is to check your owner’s manual. You may also find this information near your gas cap, though this isn’t always the case.

Your vehicle is designed to run on a gas that features a certain minimum octane. If your car can use 87-octane fuel, then springing for a higher grade isn’t necessary. You won’t get a performance or mileage boost by investing in more expensive gas in most cases, so don’t waste the money and just buy regular.

However, if your car needs a plus or premium octane, usually between 89 and 93, then that’s what you need to buy. In older vehicles, buying a lower octane can actually cause damage to the engine, making it a necessity.

While newer cars have sensors that can retune the engine, helping to prevent damage from a lower octane, that doesn’t mean it is good for your engine. Your fuel economy will usually suffer, and you may see a reduction in power. Additionally, there’s no guarantee that your engine won’t experience damage, even if it has the latest technology.

If your vehicle doesn’t ask for diesel, then don’t use it. Putting diesel into a regular gas tank can cause your car to stop working. Diesel fuel is thicker than regular gas, so it can gunk up your injectors, lines, and filters.

While the damage isn’t always permanent, it can be, so it’s best to find a mechanic who can help you remove the fuel quickly. Allowing the diesel to sit in your tank and fuel system can lead to additional damage, so it needs to be siphoned out by a professional.

Don’t drive your car to the mechanic. Instead, you’ll need to pull over somewhere safe and get a tow truck to take your vehicle to a shop. This lessens the likelihood of damage, making it a crucial step.

Luckily, many diesel nozzles won’t fit in a regular gasoline fuel tank, so you aren’t likely to make this mistake at the pump.

Similarly, if your car needs diesel, then that’s what you need to use. Putting regular gas into a diesel vehicle can also harm the engine, especially with “clean diesel” engines. Again, your best bet is to call a tow truck and head to a mechanic.

Does Brand Matter?

Certain fuel stations, like ARCO, Costco, and Walmart, are known for lower prices. This leaves many wondering if the cheaper price is a reflection of the quality of the fuel.

In reality, the federal government has strict guidelines regarding gasoline, especially octane ratings. This means an 87-octane fuel at a cheap gas station has the same octane level as an 87-octane fuel at any other.

In most cases, the primary difference is the presence or lack of additives. For example, some stations have detergents that their brand uses, while others may not. If you choose a station that doesn’t use additives, then you might want to purchase some fuel injection cleaner. Then, you can add a little to every tank and get a similar advantage to the additives in many cases.

Ultimately, if you choose a cheaper brand of gasoline, you aren’t necessarily endangering your vehicle. You may just have to handle the addition of cleaners yourself, ensuring everything operates properly over the long-term.

But, if you don’t want to keep track of that, then choosing a gas station that has fuel with additives may be more convenient. The price difference may only be a few cents a gallon, which may be worth it to avoid the hassle.

Is there a particular fuel that you think is best for your car? Tell us your thoughts in the comments below.

Looking for more great articles about cars? Here are a few to get you started:

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.