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Tuesday September 26th 2017

5 Smart Ideas for Reduction of Debt

If you are buried under rising debt and want to get rid of it as soon as possible, then you can consider various debt reduction ideas which will ensure an improvement in your debt situation. You can consider many debt solutions such as debt consolidation, settlement, etc. However, you can also consider a few frugal debt reduction ideas to hasten the process of debt elimination.

Some of these frugal debt reduction ideas are as follows.

  1. Putting up a yard sale: If you have a lot of extra junk that is lying around your house, then you can put up a yard sale. This way you can liquefy the money that is other wise lying as waste. You can sell off all your old discarded items that may include your clothes, furniture, toys as well as house wares. After you do this you would get some money out of the things that did not have any value for you. This extra amount that you earn you can put towards paying off your debt. Try to use it to pay for the debt that has the highest rate of interest. In case you have certain valuable items that you do not need any more, you can put them up for sale on eBay.
  2. Using as many coupons as possible: A great way of saving money on the things that you need is the use of coupons. As these coupons help you save, they indirectly also help you in paying off your debts as you can use the money you save to pay off your debts. You should try and use as many coupons as possible and then try to put the money that you save towards your debts.
  3. Hiring yourself is advisable: It is advisable that you hire yourself instead of others to do certain daily household jobs. You may usually hire someone to clean your house or cook for you. Try not to do that, instead you can do those jobs yourself and save a lot of money. This money can be put to use by paying it towards your debts.
  4. Making money through online surveys: If you have opinions to express, then you can earn while expressing them by opting for online surveys. In your extra time you can fill in as many as you can and earn money. This money can be utilized for paying off your debts.
  5. Utilizing your talents: Everyone is good at certain things all you have to do is try to cash in on your talents. Try to figure out what are the things that you are really good at. Then you must think of how to turn these talents into ways to earn money. Find ways in which you can successfully market your skills and then make payments with the profits that you earn.

With the help of these ways you can gradually reduce your debt and then eliminate it.

Author’s bio : Jason Holmes is a regular writer with Debt Consolidation Care and is also a contributory writer with other financial sites. He is covering debt settlement, debt reduction, debt consolidation etc. including all other financial topics.

Ways that Planning Ahead Saves Money

Many people are taking a growing interest in saving money in any way possible. When making large purchases, such as a car or a house, we all plan ahead and analyze the choices that we have so that we can get the best deal. But many of usneglect to do the same thing for common everyday items. If you save $100 on a TV, but waste $1 on 100 small purchases, where is the savings?

Planning ahead for all of your purchases saves you a lot of money in the long run, as you will be less likely to buy on impulse, have more time to think about what you are buying and see if there is any way that you can get the same item for cheaper.

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Set It and Forget It Retirement Savings

Not everyone has the personal interest or energy to put a lot of effort into retirement savings. But we should all understand how important it is to have a nest egg when you are too old to work. Even if you plan to work until the day you die, things don’t always work out that way. For those who want to save for retirement without nursing along an investment account, there are ways to save that take little effort.

Surely the easiest way to save for retirement is a 401(k) plan, especially if you have an employer that will match your contributions. But even the self-employed can open and 401k that is easy to manage and grow. This is what we mean by “Set It and Forget It.”

The 401(k) plan has been around more than 25 years and has proven itself the simplest way to save money for retirement. Plan participants simply set up automatic deposits and check the balance of investments periodically to their risk tolerance. That’s why over 47 million Americans use the 401(k) to save for retirement.

Someone who starts a 401(k) at the start of his or her working life can easily amass millions in savings through regular, relatively painless contributions that grow over time. Even those who do not start until their forties can still have a shot and saving enough for a reasonable retirement. Catch-up contributions are allowed for workers age 50 and older to help them reach retirement goals, even if they are late getting started.

The added benefit of these plans is the free advice attached to the accounts. Most 401(k) plans are administered by investment firms that offer free analysis and tools online that help workers assess their risk tolerance, set goals, and manage the balance of investments quickly and easily.

In the early years of investing, 401(k) portfolios are typically heavy in riskier investments like stocks. As the participant ages, plans may shift to include a higher balance of low risk investments, but also lower profit, investments. This makes an older employee less likely to lose everything in the event of a stock market collapse. Many plans now offer investment accounts that follow this risk curve with age, without any input or work required by the plan participant.

Workers should work towards the goal of automatically depositing at least 15% of their gross income into a 401(k) each week. If they do so, they are likely to have about half of their income level to draw on during retirement, once adjusted for inflation. Social security benefits should add another 25% to provide retirees with a comfortable living in their golden years. Seniors could make up the balance through part time work, rental properties or outside pensions, or simply by living a lifestyle that requires less money to fund.

There are just two steps to creating a Set It and Forget It retirement. First, enroll in a 401(k) plan that automatically increases your contributions until they reach 15%. Second, choose a target-retirement fund that has a target date near your expected retirement date. The plan does the rest.

To get the most out of the retirement accounts available, there is a best strategy for workers to follow. First, contribute to your 401(k), up to the maximum amount your employer will match. Then, contribute up to the maximum ($5,000) possible on a separate Roth IRA. The balance should go back into your 401(k). Not only does this maximize your retirement investment, it also provides you with a mix of taxable and non-taxable funds to draw at retirement.

The self-employed aren’t getting any employer contributions. For this reason, it’s best to choose one of the plans tailored for your situation. This can be a Solo 401(k), also called a Defined Contribution plan. Other retirement plans for the self-employed such as a profit-sharing plan, Keogh or SEP will let you deduct contributions up to 2% of your self-employment income, maxing out at $49,000 or $54,500 for those over age 50.

But the Solo 401(k) has gained some improvements in recent years that make it more like a traditional employee’s plan. For instance, you can deduct $16,500 worth of contributions (assuming you make that much or more) and $22,000 if you are over 50 years old. You can then contribute another 20% of your self-employment income on top of that. Oh, and that $16,500 initial contribution can be made on an after-tax basis, giving you a nice little tax-free withdrawal when you retire. On the down side, there will be some set up and maintenance fees.


The Right Way to Sell Gold for Extra Cash

Those commercials on the television and on the radio sound too good to be true. They say all you have to do is send them your gold jewelry and they will send you a check in return. Selling your gold jewelry to one of these companies can be safe when done properly, but selling your gold locally is much smarter, if you are lucky enough to have one available.
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Six Tips for Saving Money at Restaurants

It is nearly impossible to live a lifestyle these days that does not include going out to breakfast, lunch or dinner at least a couple times a week. We all work and have busy schedules that often prevent us from cooking and eating dinner at home. As a result, dining out has become a necessity for many families. But dining out does not need to cost a fortune if you are careful about your choices. Here are six tips to help you enjoy a meal at a restaurant without worrying about breaking your budget.
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Air Travel – Common Sense Ways To Save

Planning a vacation this summer? Is your vacation hotspot going to be just a little too far to drive? Money is tight and you want to spend your hard earned cash when you get there, rather than on how you get there. Does it seem like a lot of the airlines are charging outlandish fees? What are some of the better ways to go about finding the best deals on your airfare? How can I travel this summer without breaking my bank? Well then, we would like to show you some of the ways in which to do this on a cash saving budget.

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Seven Places to Cut Business Expenses

Small Business

As we slowly climb out of the economic recession, it’s a good idea to continue the money-saving habits you developed during the crisis and apply the same principles to your business. A small business has fewer resources than a larger company and must find cost efficient ways to run things smoothly and keep them running in the future. Economic downturns run in cycles, so tightening you belt now will help you prepare for the next slump. In times like these, it’s not the best, most innovative or even the smartest business that succeeds. The one that succeeds is the one left standing when a bad economy starts putting others out of business. Think Bubba-Gump Shrimp.

Rent

Let’s begin with your overall expenses, or the overhead of your company. You could think about sub-letting your office space to help pay the rent. A virtual business can be run right out of your home, eliminating the cost of office space.

Employees

Speaking of employees, have you thought about saving on the cost of employee benefits by hiring freelance contractors instead?  Just be very careful if you head down this road. Unemployment Insurance laws in many states have a very broad definition of “employee.”

If you tell your workers what hours to work, where to do the work or prevent them from disclosing information about the assignment to others working under them, you could be putting your freelancers into the state’s definition of “employee.” Fines on such a misstep have put some companies out of business.

Labor and Benefits

If you are not comfortable taking on freelance help, then it may be time to consider ways to cut employee costs without damaging the lives of your employees too much. Maybe a four-day workweek would help. This could save you an entire day of energy expenses and a day of wages. It will require more productivity from your workers, so find affordable ways to compensate for the reduction. Consider a weekly hour-long outdoor excursion or perhaps a once a month day trip that employees can help plan. They will be more productive and less resentful of the pay cut.

Be sure to re-examine your employee benefits package every year and research potentially cheaper insurance policies. It is time to increase the employee contribution to the plan? Is there a cheaper plan with an employee deductible? There are many insurance options available to help you save. Explore them.

Energy

Most business owners are busy running the enterprise and fail to notice wasted energy. But when you begin looking at those mundane operations, you may notice potential improvements like sharing the printers between employees, installing movement sensors to make sure the lights are off when you are not using them, switching to recycled printer cartridges, or using laptop computers in the workplace. Just switching to laptops saves 90% of your computer energy consumption.

Technology

It takes months to get used to new technoologies, which is why many business owners are reluctant to make changes. But just think of the savings you could realize by switching to VoIP. Such services often include fax sending and other useful tools that can save your business a bundle on telecommunications. Many services now offer a server-based PBX systems that work just like the tradition phone services from a user’s perspective. Your front desk clerk may not even notice the difference!

And what about using Internet technology to replace in person meetings? Simply by holding meetings online via video conference or audio conference saves tens of thousands per year in travel costs for many small businesses.

Advertising

Saving money on business-related costs can be found most anywhere…even in your advertising budget. Spreading the word about your company and its products is a costly investment that can be easily reduced. In fact, you are reading this post on the medium that can do more for your business on a small budget than any other advertising medium: the Internet! You can also begin using low cost online printing services and distributing your advertising materials locally at small businesses. A little leg work goes a long way.

Other Resources

In order to make your business ends meet, you need to think outside the box. Sometimes, it might serve you best to consider all avenues where you can cut costs and stretch your budget. If you want to raise capital, it can’t hurt to ask employees for ideas through a company contest. Maybe they can offer money-saving ideas. Being closer to the action, your employees will be more creative at finding solutions. The solutions are there, you just need to find them.


Get Creative and Save on Entertainment

You’ve been working all week and now it’s time to reward yourself. So what should we do about this without breaking the bank? There are many things that a person can do for entertainment that are going to be inexpensive or in some cases even free.

We know that you’ve got plenty of other things to spend your money on like bills, and then even more bills; so what kind of things can we do out there to entertain ourselves without spending our hard earned cash? Well, we’ve done a little research for you, so now you can have fun without spending all of your money.

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