3 Ways to Save Hundreds of Dollars Each Year

By Connie Barker

Let's face it; it is very hard to save money. Everyone would like to save money, but it always seems like there are urgent expenses and bills to pay. Many people are forced to spend all their money and have little or no savings to show for their hard work. While it is no doubt hard to save, anyone can save with just the tiniest amount of discipline. Here are three easy ways to save hundreds of dollars each year.

Invest in a 401KIf your employer offers a 401K, you should invest in it immediately. A 401K plan is just about the best way for an individual or family to save for the long term. You can choose the amount of money to save each pay period and unlike placing your money under your mattress, the money you save is invested, so that it grows over time. 401K plans are free to join and you usually have the choice of investing your money in a wide variety of opportunities.

Divert a Percentage of Your Paycheck to a Savings AccountAnother great way to save each pay period which is not very common is to divert money from each paycheck to a savings account. If your employer offers direct deposit, they usually always offer the option to send money into not just one account, but several. This way you can siphon money off at the moment you get paid. If a large chunk of pay goes straight into your checking account and only a small percentage goes to your savings account, you might not even see the money you are saving. This ultimately means out of sight is out of mind, helping you to save a few bucks a month very easily. It should be noted that diverting a percentage of your paycheck to a second account is usually free.

Pay Yourself First Once You Get PaidEveryone has expenses and once you get paid, you probably spend a good portion of your money on bills, purchases and necessities. While you may easily pay off your cable bill, the most important bill that never quite gets paid off is your savings. Make sure you pay yourself first- before anyone else. Just as you always have money to pay your cable bill, you can always find a way to save a small amount each pay period. The amount that you save each pay period can be $50 or a percentage, such as 5%. In a few short months, you will be amazed at just how much you were able to save.

Connie Barker is the owner of several financial websites including those dealing with Bad Credit Personal Loans