How to Save in a Hurry

?????????????If you had to save $10,000 in the next six months, how would you go about it?

Columnist Simon Constable took an inventory of average living costs, and came up with a surprising conclusion: this is actually do-able for some people, and it might actually be easy.  However, for smart consumers, your total savings might not add up to much more than triple digits.

For instance, if you’re not a smoker, you won’t have a chance to cash in on the first $2,000 of savings he proposes, which comes when you stop paying $12 for a pack a day of cigarettes.

However, you might be able to get rid of your cable bill and subscribe to Netflix instead, which would save an average of $91 a month, or $546 over the next six months.  Delay purchasing a new car once you’ve finished paying for your current one, and your expenses drop $300 a month, or $1,800 over the next half year.

You can also save $900 by getting out of the habit of stopping by Starbucks on your way to work each morning, and another $900 if you pack a lunch to work instead of buying a sandwich at the deli downstairs.

Are you paying for a gym membership that you seldom use?  Cancelling it could save another $348 over the next six months.

At this point, the advice becomes questionable.  The advice assumes you aren’t contributing to your 401(k), and therefore missing out on a hypothetical company match of 50%.  That would add $2,500 to the total of some people, but probably not an astute consumer.

Total savings from all these options: $10,400, depending on which ones apply to you.  Our guess is your mileage on this advice will vary, perhaps as low as $4,500.



About Objectively Speaking

Tom Batterman, founder of Vigil Trust & Financial Advocacy and Financial Fiduciaries, LLC is in the business of representing the best financial interests of his clients. Having provided objective, fee-only financial management services for over two decades, he specializes in managing the investment and related financial affairs of individuals and mutual insurance companies who do not have the time, interest or expertise to manage such matters on their own. As an objective, unbiased professional who takes on a fiduciary responsibility to his clients, he guides clients to the financial decisions they would make themselves if they had years of training and experience and the time and expertise to fully research and understand all of their options. Founded in 2010 as an outgrowth of Vigil Trust & Financial Advocacy, Financial Fiduciaries, LLC is a financial management solution for individuals and mutual insurance companies who recognize they do not have the time, interest or expertise to properly attend to their financial matters on their own. While there are many financial “advisors”, most of them have investment products to sell and the “advice” they provide is geared toward getting their clients to engage in a purchase. As one of the rare subset of advisors known as “fiduciary advisors”, Financial Fiduciaries does not sell any investment product so its guidance is not compromised by conflicts of interest which plague ordinary advisors. Prior to his employment in the financial industry in financial advocacy and trust positions, he worked at a private law practice in the Wausau area in the areas of estate planning, tax, retirement planning, corporate organizations and real estate. He is a graduate of the University of Wisconsin-Madison and the UW-Madison Law School and has during his career held Series 7, 24 and 65 securities licenses. A longtime resident of the Wausau, Wisconsin Area, Tom is active in the community. He enjoys golf, curling, skiing, fishing, traveling and spending time with his family.
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