If you’re anything like me, you are always open to new ways to save money. I was browsing the Internet the other day, and I discovered an article with several great tips on planning annual household purchases. While some of the advice was common sense, I thought I’d share a few of them!
Budget for maintenance.
If you are a homeowner, did you know that you should plan on maintenance costs totaling 1 percent to 2 percent of your home’s value each year? The author recommended dividing the total anticipated maintenance expenses by 12 and setting aside that amount each month in a dedicated savings account. It’s like having an emergency fund specifically for your home!
Track prices for items you know you will be purchasing.
When you know you’ve got to buy a more costly item, watch advertising and deal offers for a few weeks in advance. Take note of the prices so that you’ll know whether a price is a good one when it’s time to buy. When you plan ahead, you can make an educated purchasing decision.
Buy during the right day of the week or the best month for a given category.
Now, I’m combining two tips here because I think they go hand-in-hand. One idea the article brings up is that certain days of the week or months are better times to buy within specific categories. For example, furniture can be a good deal in January and July because new releases usually come out the following months. So before you purchase a big item, do your research and find out if it’s the best time to buy!
Choose between repairing and replacing.
Here are some questions to ask yourself if you find yourself with a broken appliance or other household goods:
- How old is the appliance?
- Will a newer one be more energy efficient and save more money in the long run?
- Is it near the end of its life span? For example, a microwave’s life span is typically 15 years. If it’s close to the end of its life span, you might be better off replacing it.
- Have you already repaired the appliance previously?
- How much will a repair cost?
Your answers can help you determine whether it makes more sense to pay for repairs or completely replace the broken item.
Just keep in mind – don’t spend money that you don’t have! No matter how good a deal is, it doesn’t help you if it just puts you deeper into debt.
Money can be confusing, but it doesn’t have to be. I’ve found some awesome resources in Primerica – stay tuned for more on that in my future blog posts. Until then, keep looking for ways to be smart with your finances and save money where you can.