In this time of economic uncertainty, nearly everyone is looking for a few extra tips on saving money. Even if you are already very frugal, there are always some areas you may have overlooked. Here are 10 ways that you can save money in a recession:

1. Rent out a room. The number one expense for most Americans is their housing. You could take on a roommate if you have a two bedroom apartment and are single. If you own a house and have an extra room, you could rent that out as well. Not only do you save on the cost of housing, but you can also split the costs of utilities.

2. Carpool/share a car. Instead of being a two car family, make the arrangements you need to make to survive with just one car. You can ask coworkers about carpooling, or take the bus to work. This will allow you to sell one of your cars for cash now, and it will save you the cost of fuel, insurance, and auto maintenance.

3. Quit smoking. Although there are many reasons to quit smoking, especially due to the health risk it poses, that may not have been enough to motivate you. However, smoking costs you money that you are literally burning away. Many smokers are paying in excess of $150 each month to maintain their habit. That is a lot of money.

4. Avoid sales. It’s easy to be lured in by all the supposed savings of department store sales, but if you don’t need it now, keep the money for yourself. Remember, that savings of $60 is really an expenditure of $20.

5. Don’t finance purchases. Although offers to buy it now, and have two years to pay may seem like a good deal, you can be saddled with massively high interest rates when the time comes. Make sure you have the money on hand to pay cash for big purchases.

6. Turn off your electronics. Stop paying for electricity you don’t really need to use. When you are finished with using the computer, turn it off. Shut off lights when you are not in that room. Stop leaving the TV on all the time as background noise. Only turn it on if you are watching one of your favorite programs.

7. Unplug your life. You will save the cost of paying for internet service, cable television, and be forced to find better things to do. You can always keep up with email from the public library, and spend the rest of your free time doing something better for you, like taking a walk, cleaning up the house, or reading a book.

8. Quit your gym membership. Exercise doesn’t need to cost you money. You don’t need to pay for an expensive gym membership and do all that commuting to get a good workout. Walking and jogging don’t cost anything. Elastic bands are inexpensive and will satisfy most resistance training needs.

9. Compare your alternatives. Calculate the expenses of what you area doing now, versus the various alternatives you could try. For example, is it cheaper to take the bus, carpool, or drive. Factor in fares, parking fees, and other expenses. If you need to, make up a spreadsheet to do your comparison.

10. Track expenses. Make a spreadsheet, or list of all your expenditures. By having them in a form that allows you to visually see your costs, you will be more able to see where costs can be cut further.

These money saving tips should help you to cut your expenses. Eventually, the economy will improve, but until then, you will be more equipped to survive the tough times.

With more people within the UK now choosing to carry out their banking online, we are becoming accustomed to having access to our finances and being able to carry out certain transactions on demand.

Indeed, there are a large number of different financial transactions that can be carried out online, from simple tasks such as making payments and transfers to more complex matters like applying for a loan. These days, many of the day-to-day or specific tasks that you would normally organise at your local branch can now be processed online.

One of the clear advantages of an online account is that they often offer preferential interest rates - so looking online could be a great way to get a better deal. As with any financial product, make sure you check the services available and read through the terms and conditions to check that the account works for you before you sign up.

And well as the potential for preferential interest rates, there are many more benefits available to those customers who choose to bank online. Access is one of the key reasons that many of us choose to bank online - allowing you to check your balance and other financial information whenever you have access to the Internet. So, whether you are relaxing at home or away on business, the ability to manage your finances more effectively is never more than a couple of clicks away.

You can also review your statements online - making it much easier to manage your money at a glance and keep a track of all your expenditure. And as most paper free banking services store documents securely online for a specified period of time, you’ll be able to check your previous expenditure at a later date without having to rummage around for your paper statement.

Online banking also makes it much easier to to move money between your accounts. If you choose to set up an online current account and online savings account, you can transfer funds between the two at the touch of a button. The different types of savings account available online are similar to those found on the high street, meaning you can opt for an instant access account if you need the flexibility of being able to make withdrawals without giving prior notice.,

Online banking does make it easier to be in complete control of your finances, so if you’re thinking of opening an online saving account, make sure you take a good look at the different products and services available. You may only be a few clicks away from a more streamlined and responsive solution to your banking needs.

For most of us, a New Year means a fresh beginning with resolutions. Now’s the time to start making those important decisions, especially when it’s in relation to your finances. For those so important decisions, I am recommending five suggestions for your New Years Resolutions.

1. Set up an emergency cash fund.

Most people say, “It will never happen to me”. The importance of an emergency fund is to assist with exactly what it says on the tin, an emergency. It could be that you have a loss of overtime or end-of-year bonus; the washing machine needs replacing; the car has just failed its MOT. What would you class, as a financial emergency?

Under normal recommendations, you should have at least 3 months worth of living expenses. Hold this on deposit in an instant access bank/savings account. If you’re self employed the permutation should be higher to compensate for income fluctuations and seasonal changes.

2. Get out of debt

If you have unsecured loans, credit cards and/or overdraft debts, start budgeting, work as hard as you possibly can to decrease or even pay off these debts as soon as possible.

How to do it?

· Quit using your cards (easier said than done) and/or cut them up now, especially if you can’t afford to pay them off at the end of each month.

· Create a financial statement so that you live within your means.

· Map out your strategy for making the extra payments.

· List all your credit cards in order of their balances from biggest to smallest along with their monthly minimum payment.

· Concentrate on paying off the smallest card first while paying the minimums on all your other cards.

· Once the smallest card is paid off, take that payment and add it to the next smallest card.

· Continue this process until all your cards are paid off.

· Replicate the same method on paying off the loans the same way.

· Paying off the smallest credit card first will do a lot for your financial stratagem.

3. Retirement Planning

If there’s one thing that everyone agrees on, it’s that pensions are very confusing, if you don’t understand, talk to a specialist independent financial adviser. Review your retirement planning at least annually. The beginning of the year is the perfect time to review your premiums and rebalance the investment funds. This is crucial as it also helps to manage the investment risk. It’s also important to understand that pension companies change investment funds and their charges from time to time.

The humble state pension, for most people is the steadfast pillar of our retirement income. Make sure you have an up to date future forecast. Company and personal pensions are a key vehicle for long-term savings. While it’s essential that we get to grips with pensions, we needn’t overreact. Pensions should be just one part of our overall long-term investment strategies.

Also, remember that your pension contributions are tax efficient - For every £80, you put into your Pension the Government will add £20, up to certain limits, which will help you to achieve the lifestyle you want in the future. However, if you are a higher rate taxpayer you can benefit from even more tax relief as an extra 20% (please remember tax rules may change in the future), which can be claimed through your tax return.

4. Set up a Financial Budget.

I know, I know, nobody likes the “B” word. How many of you have tried budgeting and think it’s a waste of time? Come on, let’s see those hands. OK, that’s just about everybody.

However, a Financial Budget is a perfect way to see exactly where your money is going. If you don’t like doing this, speak to a financial adviser who specialises in cash flow forecasting (financial forecast planning).

When setting up a Financial Budget, try to keep it as simple as possible. What you’re trying to do with a budget is to prevent overspending, which ultimately leads to piling up debt. Contrary to the way most people budget, it rarely matters what you’re overspending on, dining out, entertainment, clothes, etc. Who cares? It’s still debt, right?

The answer to budgeting is the “70% resolution”. It’s a faster and easier way to structure your budget without having to account for every penny. In other words, by limiting all essential spending to 70% of total income, your savings will soar.

5. Prepare A Personal Financial Statement.

The only reason as to why a person wouldn’t want to prepare a personal financial statement is that they are afraid of what they might find out. Well, if this is you, its time to face reality.

Personal financial statements (I’m talking about a net worth statement and a cash flow statement, which is basically the same thing as a budget) are an excellent way to gauge your progress from year to year. If you go through the year knowing that you are going to be accounting for your habits the next time you prepare your financial statements, you will do a better job of keeping your spending under control.

In addition, once you prepare a net worth statement, you will find yourself wanting to improve on it. With every financial decision, you make, you will think about the effect every transaction will have on your net worth.

If you are struggling to put a financial statement together, speak to a financial adviser who specialises in cash flow forecasting (financial forecast planning).

Having a baby can really hurt your wallet. Before you start counting how much each smile will cost you, here are some money-saving ideas for parents of new babies.

* Babies outgrow things fast. Look for good-quality used items. Babies really don’t care if their things are new. After they spit up on it, it won’t be new anyway! Look for good used items at consignment stores, thrift shops, yard sales, and on local classified ads such as Craig’s list. Be sure that anything you buy is in good, safe condition, and do watch for recalled items. If in doubt, you can do an internet search for recalls on that item. We found a $200 co-sleeper - still in the box- for $80 on a local classified ad and a nearly new $60 swing for $5 at a yard sale.

* Ask around to see if friends will let you borrow or have their used baby items. Many times you’ll find that you can borrow a crib, highchair or other high ticket item.

* If at all possible, breastfeed your baby. Breastfeeding is healthier than bottle-feeding for many reasons. It helps reduce ear infections and colds, so you’ll save money at the doctor too! Formula will cost about $125 a month, plus the cost of bottles. Breastfed babies have been shown to be healthier, learn faster, and have fewer ear infections than bottle-fed babies.

* Trade babysitting with another parent or group of parents. You’ll get a chance to get out of the house and save money too. Even if money is tight, a short break from baby duty can do a world of good for your marriage - and divorce is expensive! Try something inexpensive like going out for ice cream cones or finding a dollar theater. You don’t need to spend a lot of money to take a break. We often use buy-one-get-one-free restaurant coupons for a half-price date.

* Consider cloth diapers. Disposable diapers will cost you about $2,000 or more for 2 years. Cloth diapers, even the really good, easy-to-use kind, will cost about $300-500 over those same 2 years. Even with the minor added expense of electricity and water, you’ll save a lot of money. Reuse those diapers on a second child, and you’ll save a total of $3500! Modern cloth diapers are so much easier to use, and you’ll benefit the planet too!

* Consider whether one parent can stay home or work from home. Although it may seem impossible to give up one income, when you look at the real cost, it can often save money to have one parent at home full or part time. Add up the cost of daycare, additional meals out, a second car, commuting costs, etc., and you may realize a savings very quickly.

Savings can really add up when you combine these money-saving tips. My daughter is four months old and we have already saved more than we have spent on baby things. We actually have more baby things than she can even use, enough to pass along to her younger cousin and still have plenty for our next baby.

A little creativity can make having a baby much more affordable. Just be sure that no matter what you choose to save money on, you never lose sight of how precious your baby is each day.

Our grocery and food portion of our monthly budget is something we have great control of. If we spend just a little bit of time planning our meals and menus we can save a lot of money each week.
 
Here are 5 meal planning tips that you can use this week to save money on your food bill.
 
1. Shop Once a Week - Sit down and decide what you are going to have for dinner each night for the next seven days. Remember to look at your local grocery store weekly ads and try to plan your meals around the meat and produce items that are on sale. By shopping once a week you will save money on gas because of eliminating extra trips to the store and also not having a chance to pick up un-needed items on each grocery trip.
 
2. Go Vegetarian - Once a week have a meal without meat. Beans are very cheap while still providing a great source of protein for your family.
 
3. Cook in the Crock Pot - Cooking in your crock pot is a great way to save both time and money. You can buy and then cook inexpensive cuts of meat in the crock pot.  Not only will you save money but your evenings will be more enjoyable by having your dinner almost prepared when you get home.
 
4. Breakfast for Dinner - Kids love breakfast foods but often we don’t have the time in the morning to make pancakes, waffles, and French toast. So why not treat your kids to Breakfast for Dinner once a week, add some eggs, and fruit. You will end up with a cheap and healthy meal that your kids will love.
 
5. Eat From the Freezer - It is helpful to keep a list of items that our in your freezer on your refrigerator so you can see and plan meals from things you already have in the freezer. This will help you not waste food that you bought on sale and froze for a later date. It is also helpful to make a double batch of a meal that your family loves and put one in the freezer to have on another night. This will help on those busy nights to have something easy to prepare from the freezer instead of catching the drive-thru or take out.
 
So, as you can see, these are just five meal planning tips that you can start using this week to help you save money on your food bill.

Tough economic times call for tough personal finance measures. People that survive, andthrive, are those that can successfully navigate the big “B”.   Budgeting.  Families with babies and children and weekly grocery shopping trips need budgets.  Independent single working professionals need budgets.  CEO’s and CFO’s and company board members need budgets.  Having a successful working budget might mean the difference between financial catastrophe or financial freedom. Do you have a hard time sticking to a budget?  Most people do!   If you can avoid these three budget killers, you’re on your way to establishing a successful framework for your finances. 

1. Avoid budgeting without first setting goals

A lot of us klnow we need to be on a budget.  It sounds responsible, right?  So we announce we need a budget, we plan to cut back on expenses, we set some parameters…and then fail to keep them.  Why?  Because we didn’t set any goals.  Setting goals is the “fun” part of putting together a budget.  Sit down with a sheet of paper and dream of what you want to do.  Will you renovate the kitchen?  Put a down-payment on a new car?  Or will you pay down some of that crippling debt?  Would you like to take a cruise to Alaska?  Put a child through college?  Or pad your savings account balance for that inevitable “rainy day”? If you have something to look forward to, you are more likely to stick to your financial plan.  For example, let’s say that you’ve decided to cut back on eating out each week so that your family can afford to go to Disney World.  The next time you think of ordering a pizza to avoid making dinner, think about your goal.  Which means more to you?  Seeing the kids’ faces light up when you walk through the gates of the park?   Or having pizza?  Is it worth it to pull out the pans and look through the pantry if it means saving the extra $20 towards your goal?

2. Avoid being a mental record keeper

It’s important to track your progress as you budget. Once you’ve decided on your goal, work out how long you want to take to get there. Do you want to go on vacation next year? Or are you saving for a college education that’s still five years away? Whether your goal is short term or long term, determine how much money you need to set aside each month in order to get there. Then, be sure to keep track of whether or not you’re actually doing what you planned.

Example: You and your partner have really been wanting new living room furniture. You decide to save up for the next 18 months and pay for it all at once. You establish that the $3000 set you want will mean putting aside an extra $170 each month. By packing lunches, making dinner at home and putting off buying a new television you think you can make it work. Over the next two months you brown bag your lunch, and have dinner at home. You feel great! Surely you’re saving that $170! But you forgot about the trip to the spa, the three times you went to the movies and the unexpected car repair that came up. The point is this, you might FEEL like you’re saving money. But unless you sit down and keep track of where the money is actually going, you are likely to forget some expenditures and develop a inaccurate idea of your savings.

3. Avoid setting your expectations too high (at first)

Even if you avoid the first two no-nos, it is possible to defeat your budgeting goals if you set your expectations too high. If you set a goal, establish how much you need to save each month and think that you’re going to follow your plan exactly to the letter, every month, and never have unexpected setbacks…you’re likely to fail. It helps to figure in the occasional splurge and count on expenses popping up that you didn’t expect. Similarly, don’t set a goal that’s completely unreachable. If you know you can only realistically put back $80 each month, it isn’t a good idea to set your hopes on a three week trip to Europe in six months.

That said, grab a pencil, some paper, a calculator and have some fun. Allow yourself to dream a little, plan a little and start seeing some great results. Sacrificing in the short term is worth it if you’re working towards something big that you want in the long term. Avoid setting your budget without goals, avoid being the mental bank statement, avoid defeating yourself with unrealistic expectations…and start seeing your dreams become a reality!

The first thing my clients tell me is that they are living paycheck to paycheck and there is no room in their budget to save money. My response to them is that there is always room; you just need to know where to look for it.

If you were to write down everything you spend money on in one month, you would be surprised to see how many wasteful things that you buy. Buying one less Starbucks a week is a savings of almost $30 a month. Renting movies instead of going to the theatre will likely save you a good $15. And getting dinner for 2 from the frozen foods isle instead of your favorite restaurant can save you up to $50 a month.

It is these types of lifestyle changes that some financial counselors will encourage you NOT to do. They will tell you that you do not have enough self control to make decisions like those. I, on the other hand, encourage anyone who wants to save money to take a close look at where they are throwing money away on unnecessary luxuries that they could do without. And then I ask you to do something even more daring.

I dare you to put the money that you would have spent on a new hair color, coffee, or dinner for two and literally put that cash in jar. Then hide the jar in a safe place where only you or your spouse knows where it is. Do that every time you would spend money on something you can live without. This method has so many benefits to it, so let me explain some of them:

1.) It gets you started on using cash instead of credit cards. It is harder to hand over a twenty dollar bill than it is to give the clerk your plastic card. You will start to see the difference in spending when you work with only cash.
2.) You will start thinking about every purchase in a new light. You can start off by limiting the amount of drinks you buy each month, but then keep going and limit something else you buy every month, like a new DVD. Your mindset will change into more of a frugal shopper.
3.) You will start getting excited about saving! When you see your jar starting to fill up you will get excited about not spending money on something so that you can keep adding it to your savings jar.

Once you have enough self control developed, then move that jar from under your bed and into a savings account with a high interest rate. Banks may seem like an iffy place to keep your money these days, but remember that your money is FDIC insured up to $100k.

It is now 2009. Perhaps 2008 brought you a pay cut, loss of 401K match, and the disappearing of a bonus you had come to love. Harsh yes; the end of the world, no. It is now time for some common sense. Every person, like every business, must learn to keep expenses in line with income.

Think back a few decades to the day of your parents. Did they spend their time glued to electronic toys? No. Ok, most of those toys did not exist, but the point is, they lived and they lived happily without it. Fast forward to modern day. Is there a child without a cell phone? Hardly. The marketing folks have taken care of that. Are many without an iPod? Hardly. The marketing folks have taken care of that. They have convinced you that your child would somehow not live without it. Now, it is time for reality.

I started with not much and was mortgage free by the age of 35. How? Common sense. For literally EVERY purchase decision of my life, I asked myself the same question. Do I want it or do I need it? Yes, the iPod is a cool device, but do I need it? No. I can turn on the radio.

There’s a cool new movie out that I can see for about $10. Do I want to see it, or do I need to see it? Clearly the answer is “want.” Well, instead of $10, I can wait and rent it at the grocery store for 99 cents in a few months. That’s a 90% saving. Or, if you’re lucky, you can check out movies for free at the local library. That’s a 100% savings!

Now let’s talk phone lines. Do you have a home computer hooked to the internet? Do you have relatives out of town that are long-distance? Forget the long distance fees and call them for free on Skype. (www.skype.com). [No, I am not affiliated with Skype. I just love how much it saves me]. I have used it for several years to call relatives outside of the country for free. I send them an email as to when to meet me online for a free chat. I haven’t paid a dime for long-distance in about 4 or 5 years! In fact, I don’t even have a phone line in mu house!

Forget the purchase of cutesy things for the home. You know the ones you picked up at Pier 1 the other day. If anyone were to look at my home, they would discover that there is not a single “nick-nack” on any piece of furniture. For one, the clutter would drive me crazy. Two, add up all the little things you’ve bought over the years and ended up throwing away, calculate what you would have had with compound interest by investing that money for years and I guarantee you’ll be in the thousands. Sure could use those thousands these days I bet.

Now let’s talk teenagers. If you’ve just lost your job and are down to one household income, do yourself a favor and get rid of the kid’s cell phones! They do not NEED them. You do NEED the money you would save from them. It never killed us when we were kids to use and SHARE the home phone line. Really, it won’t kill them. Seriously, it is a different day. And a time goes on, I think you’ll see more people come to their senses and start eliminating the expenses of items you do not NEED.

What do we really need? Food. Water. Shelter. Family. Everything else is a luxury.