With the markets constantly shifting and personal finances under pressure, it’s more important than ever to be vigilant about managing money.
Whether you’re an investor navigating a trade war, a worker approaching retirement, or a young professional just starting to build wealth, there are simple strategies that can help you save and grow your hard-earned cash.
Here are some valuable finance tips that can make a big difference:
The Power of Loyalty Programs
One of the best ways to save money is by taking full advantage of customer loyalty programs.
I sign up for every program offered, no matter the brand or sector.
The key, however, is to use your points as soon as you earn them.
It might be tempting to hold onto points for a big purchase down the line, but that’s exactly what brands want you to do—because points lose value over time.
To illustrate, take a look at the points you can redeem for airline tickets today and check back in a year; the value will have plummeted.
Instead of letting your points collect dust, use them for smaller purchases or even for things on Amazon.
A smart consumer can save around 2.5% of their monthly costs by redeeming points regularly.
Negotiate Your Bills
Don’t just accept rising costs—negotiate! Whether it’s your cable bill or a subscription service, I make it a point to haggle every time my bills go up.
Here’s how I do it: when I notice an increase in my subscription, I call the company and let them know that the price hike is pushing me to look for other options.
Then, I ask to speak to the “retention officer,” the person responsible for keeping customers.
More often than not, they’ll try to make a deal to keep me.
I might not get everything I want, but I usually walk away with a better deal, like two free months of service instead of just one.
This technique works because these retention officers are trained to keep customers, and I’ve perfected the art of negotiating with them.
Double-Check Your Financial Statements
Mistakes happen—especially when it comes to your finances.
Many people trust that their bank or credit card company won’t make errors, but the truth is, they do all the time.
For 20 years, I’ve checked my financial statements monthly, and with everything now online, there’s no excuse not to keep an eye on your accounts.
I once discovered a $2.5 million error in a stock transaction, which was resolved after I contacted the bank.
Pay close attention to any unexplained fees on your bank or credit card statements.
A lot of the time, you can call your bank and have charges reversed just by pointing them out.
Additionally, use online tools to set alerts for unusual charges on your credit cards.
This way, you’ll stay on top of any unexpected expenses.
Keep Your Investments Balanced
To make sure my financial portfolio is on track, I create a pie chart of my net worth every month. This helps me see where my money is concentrated.
If more than 20% of my net worth is tied up in one asset class, I adjust and diversify to reduce risk.
I also use a Mark-to-Market (MTM) tool to keep track of my investments in real-time.
This tool allows me to see my financial worth at the end of every day, helping me stay informed about what’s working and what’s not in my portfolio.
Prioritize Health as a Financial Investment
Health is one of the most overlooked aspects of personal finance, but taking care of your health can save you a lot of money in the long run.
Chronic illness and unnecessary health expenses can be avoided with the right lifestyle choices.
I make a point to stay healthy by eating right and exercising regularly. I also shop smart by avoiding products with cane sugar, which I consider harmful to health.
It’s shocking how much sugar is hidden in common products like bread, yogurt, and even fruit juices.
I always check the labels and opt for low-sugar or sugar-free alternatives.
The cost of unhealthy products isn’t just reflected in your wallet—it also impacts your health, which can lead to more costly medical bills down the road.
By prioritizing good health and being mindful of your food choices, you’re making an investment in both your future finances and well-being.