With an inflation rate of over 8%, everything is more expensive right now from groceries to gas and consumer goods and services. It’s making it increasingly difficult for Americans to stay on track financially, especially when it comes to saving money. Despite the fact that costs are increasing, it’s still important to keep your savings goals on track. Although we can’t predict the future, there are things you can do to continue saving. Here are a few tips.
Look for ways to cut costs in your monthly budget
If you haven’t evaluated your budget in a while, now is the ideal time. You may need to cut spending to keep pace with rising costs. There are many non-negotiables in your budget, such as your mortgage and debt payments, as well as groceries. When looking at your budget, look for areas that are easy to cut. Can you negotiate a better deal on your insurance or do away with unnecessary subscriptions? You probably don’t need cable if you’re primarily using your subscription services for entertainment.
If you’re not already using rebate and coupon apps, you should. They’re a great way to save. A few to consider include:
- Ibotta – This user-friendly app is an ideal way to earn cash back. Start with the Ibotta app when you shop in-store to earn cash back at hundreds of retailers. Do the same when shopping online from your phone or computer. You can earn cash back at a large selection of retailers, such as Walmart, The Home Depot, Best Buy, Chewy, Target, and many more.
- Fetch Rewards – Download the Fetch Rewards app to earn points on any receipt from any store or restaurant. Then, redeem points for gift cards and other rewards.
- DO$H – DO$H gets you automatic cash back at thousands of places when you shop, dine, or book hotels. No need to use coupons or scan receipts. It automatically adds savings when you link payment cards to your accounts.
- Coupons.com – From digital and printable coupons to cashback offers, you’ll find it all on coupons.com. Search coupons by store and cashback offers by product.
If your goal is to save money on everything you buy, coupon, cash back, and rebate apps can help. You can still comparison shop but getting this additional kickback is a great way to keep money in your pocket. The key is buying only what you need. Speaking of apps, GasBuddy can help you search and find the cheapest place to buy by gas city, state, or brand.
Don’t Skimp on Emergency Savings
To keep yourself and your family in good long-term financial shape it’s important to continue to build an emergency fund. This will really come in handy in the event of a large, unexpected expense. Three to six months of living expenses are recommended. Look for savings options that offer you a higher interest rate, such as a Choice One Money Market Account. or a Certificate of Deposit. Keep in mind that with a certificate, your money is locked in for a certain term. If you want to gain quick access to your cash, a money market or regular savings account may work best.
Make Retirement Savings a Priority
Rising inflation and market volatility may have wreaked havoc on your retirement savings. It’s important to keep investing. Maintaining or even increasing the amount you are saving for retirement during times of high inflation can help ensure you are saving enough. Whether or not you might think so, a long-term investment option may be just what you need right now. While you may find it difficult to keep saving at the same rate as costs increase, don’t give up. As mentioned above, one of the best ways to protect yourself from running short on money and meeting your savings goals is to cut down on spending. It’s integral to stay focused. Saving today will enable your money to compound for longer, giving you more over the long haul.
To stay on track, be sure to follow your budgeted plan for spending and saving. Remember that good financial habits, such as following your budget and focusing on saving are critical to your financial health.
Want to learn more about battling inflation? Read our blog “Figuring Your Personal Inflation Rate Amid Rising Prices.”