10 Tips for Personal Financial Savings

The most effective way to save money is to take an active role in managing your personal finances. It seems like a no brainer, but when budgets are tight, we just cut spending on the obvious and stop there. What we miss out on is the many other opportunities to reduce our expenses. When taking an in depth look at my personal finances, I suddenly realized the many opportunities that were out there to save even more money. In doing so, I thought I'd share some of these tips with you.

1. Personal Finance Software - Get help. Use personal finance software like Mint.com. It's a free tool that allows you to see all your financial accounts in one place. You can categorize all your expenses in one place so you set up or adjust your budget to reach your financial goals.
2. Take Inventory - Look around the house and write down everything that you purchase on a regular basis. You'd be surprised at some of the stuff that you can buy cheaper online. Take for example a 12 pack of Cottonelle Double Roll 2 Ply Toilet Paper, which can be purchased at Drugstore.com for just $10.49.
3. Recurring Purchases - Look to save on items you have to purchase on a regular schedule like contacts. You can save as much as 70% on with auto-refill purchases from stores like 1-800-Contacts
4. Save on Gas - If you have a membership club such as Costco or Sams Club nearby, join the club and purchase your gas from there. The savings in gas alone pay for the membership.
5. Track Deductions - Keep track of anything you might be able to deduct. Buy a receipt scanner (available at Newegg) to help keep track. It's simple to use and scans the receipt right into Quickbooks.
6. Record Medical Bills - You'd be surprised at what you might be able to deduct. To help, try using Quicken Health Expense Tracker. All you have to do is enter your medical bills as they come in, mark them when they are paid, and Quicken will keep track of what items you can deduct. From there, it's just an easy import into TurboTax.
7. Take an Active Role in Retirement - If you don't have an IRA account, open one up. Sites like Etrade offer a lot of easy to use tools for all types of investors. Taking an active role not only allows you to follow investment trends more closely, but also can help you avoid high management fees.
8. High Yield Savings - Don't just keep your emergency fund money in the bank. At least put it in a high yield savings account such as HSBC Direct. (currently 1.35% APY)
9. Keep Track of Your Credit Score - Actively monitor your credit score and always look for ways to improve your score. Sites like myFICO offer some really great credit tools such as credit simulators and credit alerts.
10. Personal Loan - If you can, get a personal loan and consolidate your credit cards into that loan. This will at the very least lower your interest payments. (and stop using that credit card) Check out LowerMyBills for loan options.