Some people prefers to borrow the money for the big expenses. Due the downturn economic, it is not good to borrow or lease. Alternatively, you can save first the money for big expenses, such as plasma TV or stereo. Here is how to save for big expenses:
1. Set aside your money from your paycheck.
People usually earmarks the 10% for the salary. You need to earmark additional money for big expenses. Do not use the saving for big expenses because it will disturb your long term goal.
2. Work overtime to get extra money.
If your boss want to work overtime, you should take this opportunity. The boss will give you bonus that you can use for big expenses. We can work for three or four hours which every hours you work get at least $10.
3. Stream other income
Try to find other income source. It may helps you to salt away the money for big expenses. You can open a business to save the money.
4. Garage sell
See useless items in your garage. Open a garage sell to get some money. Your neighbors or other people may need your items or stuff. You may get hundreds dollar and your garage will be clean from the items.
You can also sell the stuff online. If you have eBay account, you can sell it. Sometimes the people dare to buy your stuff higher.
5.Slash your grocery spending
The grocery may be your biggest spending every month. Grocery can trim down your food spending.
6. Avoid credit card
I do not know why people want to use credit card with high interest. You can reduce the number of credit card.
7. Prioritize what your needs rather than what your want
Do not push yourself to buy stereo or plasma TV if you have no much money. You must be suffered to work hard for the useless stuff or items. You are better to invest your money first. When you have so much income, you can buy all things that you want.
8. Research the items price
Seek out the place where sell the items cheaper. You can try to visit some website to compare the prices. Ask your friend who ever buy the items. Some stores may give you discount or rebates.
You can also consider to buy the used items that is cheaper than the new.
9. Be Patience
You need to be patients to collect to save money for big expense.