8 Tricks to Navigate Inflation
In some areas, Inflation may be receding. However, many high-price hot spots remain. Food costs are still rising, service providers are charging more for their labor, and surging travel has the industry raising prices to meet demand to recoup dollars lost during the pandemic.
To help you save, here’s 8 ways to help cool off costs in different areas where they remain stubbornly high. Try a few of them, make them habits, then try a few more! The strategy behind saving money is simply being mindful about spending. Maintain a money-smart attitude and keep adding frugal habits, to help your savings grow:
#1) Personal Finances: Take advantage of money management tools. See if your credit union, bank or credit card provider offers free ways to monitor your spending habits, to help identify areas to trim back. Its also a good idea to monitor your credit. NIHFCU members can access credit monitoring tools through MyCredit Rx. Within online banking and mobile app, they can check their credit score, credit report and receive credit monitoring updates.
#2) Groceries: Download your store’s app. For many retailers, all that’s required is having a loyalty card and registering your phone number on the store’s app or website. Then, select deals by scrolling through a list on your smartphone, tablet or computer. The store automatically applies those deals at checkout.
#3) Driving: Rev up savings on gas and auto maintenance. Start by grabbing discounted fuel from big-box stores – they can save you 25 cents per gallon! And, while you fuel-up take advantage of NIHFCU’s Cash Rewards or Travel Rewards credit cards. They offer low rates, minimal fees, and awesome bonuses for fueling up at the pump or EV charging station.
TIP: To help save on car care: get a free battery check at an auto parts store. To prolong tire life, check the door sticker for perfect air pressure, and don’t forget to perform regular tire rotations. Whether cruising or mechanical maintenance, these tips keep your journey smooth and savings in the fast lane!
#4) Utilities: Conserve energy to save. As autumn approaches, you can combat rising utility costs with a home energy audit. Many utility companies offer them for free! They’ll check things like windows and insulation to find any gaps that can cause energy to escape. You might also qualify for a $150 tax credit. Consider installing a programmable thermostat. It offers significant savings by adjusting your home’s temperature by 7 to 10 degrees cooler for eight hours during sleep—saving you approximately $100 annually.
#5) Insurance: research options for financial relief. When your automobile policy is up for renewal, don’t simply auto-renew it. Secure substantial savings by comparing alternative insurance company pricing. Surprisingly, over 90 percent of policy switchers pay less after changing insurers. You can also try usage based insurance that’s aligns to your driving needs. It’s especially beneficial if you’re driving less due to remote work. Another neat savings trick: bundle your home and auto insurance with one insurance provider – this could result in an average 18 percent discount!
#6) Home Remodeling: Nail down your plan. Prepare your project carefully to minimize unplanned costs with a contractor. While minor tweaks may occur in larger projects, keeping them to a minimum is where the real savings kick in. And, when working with contractors, take charge of purchasing appliances and fixtures to potentially avoid their markups. Look for discounted appliances with minor cosmetic blemishes to save without compromising quality.
#7) Entertainment: Streamline your internet speed. If you’re no longer working from home, consider adjusting your internet plan to a lower cost. Use the calculator at highspeedinternet.com to get an estimate of how much internet speed capability you need. A basic service of 20 megabits per second (Mbps) is fine for the typical family to surf, email and stream videos.
#8) Travel: Look for smart travel alternatives. Before you quickly book a short flight (less than 500 miles), think about hopping on a train instead of taking to the skies. Amtrak may surprise you with their nightowl deals – you might pay just $20 to journey from 7 p.m. to 5 a.m.
If you do need to fly, know that airfares can fluctuate. They change not only based on when you fly, but also when you book. Reserve your flight on a Sunday, not Friday, and you could nab savings around 15 percent on global flights and 5 percent on domestic ones. Timing is key. Don’t wait until the last second to book. You can snag an average of 10 percent off domestic flights by booking 28 to 35 days prior to the departure date. So, whether you’re soaring or railroading, these tips can help you save smart on your journey!
By implementing these 8 practical tips, you can proactively address high costs and build a solid foundation for financial stability. From digital coupons to efficient travel choices, each approach contributes to a frugal lifestyle and bolstered savings. Consistent efforts and mindful habits will help pave the way to turn your savings into financial rewards.
Resource:
AARP’s Beat Inflation 2023 Special Edition
The material presented here is for educational purposes only, and is not intended to be used as financial, investment, tax or legal advice. Speak to your advisor.
