How Can I Save on Entertainment Costs?

Q: In this time of high inflation, how can I save on entertainment costs?

A: With a bit of creativity and pre-planning, you can trim your recreation budget without feeling pinched. We’ve listed eight ways to save on entertainment costs.

1. Attend amateur sporting events

Instead of spending big on professional sporting events, get your fix at local high school or college games. You’ll get the same excitement and a game featuring high talent without the high price tag.

2. Volunteer

Volunteering your time and service at local organizations provides an outlet and the opportunity to meet new people. Reach out to local soup kitchens, animal shelters, food banks and hospitals to see how you can help.

3. Turn a hobby into income

If you’re crafty, you can make money through your hobby by selling your creations on sites like eBay and Etsy. Use some of the money you earn to purchase new supplies and improve your skills.

4. Workout at home

Get your workout at home by checking out workout videos on YouTu b e. You can also get your heart pumping by going for a run in your neighborhood.

5. Spend less on dining out

Don’t visit a restaurant without checking for coupon codes and discounted gift certificates on sites like Restaurants.com. It’s also a good idea to dine out less often and make meals at home to save money.

6. Buy season passes

If you find yourself often visiting the same entertainment center, consider getting a season pass. These may cost as little as two one-time tickets.

7. Attend local art shows

Check out local galleries for free events and shows for a night of fine art. Some towns also host monthly art walks featuring several galleries on display at no cost to the viewer.

8. Catch a performance at a local college

If you live near a college town, find out about performances and concerts they may be hosting. Lots of performers include colleges in their tours. Score an inexpensive ticket to a big-name concert by attending such an event.

Don’t let inflation deflate your fun! Use these tips to save on entertainment costs.

The Best Way to Spend Your Paycheck

Everyone loves payday, but too many employees don’t know how to allocate their paycheck in a way that best serves their financial needs. Use the tips outlined below to learn how to manage your paycheck responsibly.

1. Automatically deduct contributions

Your first step in managing your paycheck is making sure you are deducting the optimal amounts. Your employer will likely deduct funds for your health care plan and taxes, but you can determine how much tax is withheld by changing a few elections on your W-4. If you receive too large a tax refund for the prior year, or you’re stuck with a big bill when you file, consider adjusting the amount withheld on your W-4. Also, be sure to take full advantage of any employer-matching offers for your retirement funds — don’t give up free money!

2. Budget for necessities

After your contributions are deducted from your paycheck, you’ll be left with your take-home pay, or net income. You’ll use this money for covering expenses until the next payday, so it’s best to budget first for necessities, such as your mortgage or rent payments, utility bills, etc. You can use the “envelope system” to put cash away for necessities or set up a detailed old-fashioned budget. You can also choose to use the “50/30/20 budget” that sets aside 50% of your income for needs.

3. Budget for wants

Once you’ve set aside money for your needs, you can use some of the remaining funds for wants, or discretionary expenses. This can include entertainment costs, dining out and clothing, in addition to what you really need. Here, too, you can put away the cash you need for a spending category into an actual envelope, mark down the amount you can spend in that category on a paper or in an app budget, or simply keep in mind that 30% of your paycheck can be spent on these expenses.

4. Pay yourself

Now that you’ve taken care of your needs and wants until the next paycheck, it’s time to think about the future. Put a percentage of the remaining funds into savings. This includes IRAs, college saving plans, CDs, investments, emergency funds and the like. Use your predetermined amounts, or 20% of your take-home pay, if using the 50/30/20 budget. If you have any outstanding consumer debt, be sure to pay toward it as well.

5. Don’t feel forced to spend it all

Many people mistakenly think they need to spend all of their paycheck before the next one arrives. If you’re left with extra money at the end of the month, there’s no need to waste it. You can beef up your savings, get ahead of your debt or stash some cash away for the holiday season.

Learning how to manage a paycheck takes time, but once you get used to it, it will almost happen by itself.

Find more financial tips by visiting our blog, and by following our social media pages!

What to Buy and What to Skip in February

Are you looking to snag some bargain buys this month? We’ve got you covered! Here’s what to buy and what to skip this February.

Buy: TVs

Whether you’re a diehard football fan or love to binge watch, you can pick up fantastic deals on big-screen TVs in February. These sales often continue through President’s Day and may even run until the end of the month.

Skip: Flowers

Flowers have their big day in mid-February, but that doesn’t mean fresh blooms are discounted this month. In fact, you’re better off skipping flowers in February and finding another way to express your love.

Buy: Winter gear

Retailers generously mark down winter gear this month as they make room for the spring stock. Prices on sporting equipment, like skis and snowboards, can be slashed by up to 30%. You can find winter clothing discounted by as much as 80%!

Skip: Electronics

Aside from TVs, you’ll want to skip all major electronic buys this month. You’re better off purchasing them during Black Friday sales in November. If you can’t wait that long, you can also pick up great deals on electronics during “Black Friday in July” events.

Buy: Furniture

Pick up some beautiful new furniture at great prices during Presidents Day sales, which can run for a full week or two. Be sure to check out prices at several stores before splurging on a big-ticket item since prices on furniture can vary between retailers.

Skip: Fitness equipment and gym memberships

Fitness equipment and gym memberships are at their lowest in January to attract the hordes of people seeking to get fit in the New Year. By February, markdowns on workout gear and promotional offers on gym memberships are gone – and you won’t see them again until warmer weather sets in.

Buy: Jewelry

During the second half of February, prices on jewelry plunge up to 80%. Hold onto your bargain-priced jewel buys until Mother’s Day, your love partner’s birthday or your shared anniversary.

Find more financial tips by visiting our blog and following our social media pages!

12 Steps to Financial Wellness – Step 2: Creating a Budget

Now that you’ve tracked your spending and kept a careful record of where your money goes over the course of a month, you’re ready to move onto the next financial wellness step: creating a budget. Budgets play a crucial role in promoting financial awareness, which leads to more responsible money choices.

Let’s take a look at how to create a budget and review some popular budgeting systems, as well as how they work.

Create a budget in 5 easy steps

Track your spending and income. This includes all your financial documents, like your account statements, bills and pay stubs. If you’ve followed Step 1, you’ve already completed this step–nice work!
Tally up your totals. Calculate the totals of your monthly expenses and all streams of income.
List your needs. Your needs include anything that is essential for living and basic functions, such as mortgage payments. As you list each need, write down its corresponding cost. Sum the total of all your needs when you’ve finished.
List your wants. This includes anything that is not essential for living, like entertainment costs. Here, too, note the monthly cost of each item on your list and add up the total when you’re done.
Assign dollar amounts to your expenses. Open a new spreadsheet and copy your list of expenses. Assign an appropriate dollar amount for each of these costs.
Review and tweak as necessary. You will likely need to adjust the amounts in each expense category at least once a year to keep your budget relevant.

Budgeting systems

There is a wide range of budgeting systems to fit every kind of money management style.

The traditional budget. After working out a number for every expense category, you’ll track your spending throughout the month to ensure you’re sticking to the plan.
The money-envelope system. Withdraw the amount you plan to spend on all non-fixed expenses in cash at the start of the month. Divide the cash into separate envelopes, designating one for each of these expenses. Then, withdraw cash from the appropriate envelope when making a purchase in that category.
The 50/30/20 budget. Set aside 50 percent of your budget for needs, 30 percent for wants and the remaining 20 percent for savings.

A well-designed budget can provide you with a sense of financial security and freedom. Start budgeting today!

How Can I Save on Super Bowl Sunday?

Q: How can I save big on costs when hosting a party for the big game on Super Bowl Sunday?

A: Super Bowl parties are always great fun, but hosting costs can add up just like Jonathan Taylor piling on the rushing yards. So, we’ve put together some hacks to help you pull off the party of a lifetime without breaking your budget.

Don’t fumble the decor

Keep the decor simple with free printables of your team’s logo from sites like Pinterest, and by choosing party goods in your team colors instead of branded items. You might also hit the dollar store to score some fun football-themed party supplies.

Tackle the food together

Ask your guests to help with the food coverage. You can go potluck and have everyone bring one dish, order takeout and split the bill or set up a spreadsheet with all the menu items and have each guest choose one to bring along.

Skip the Super Bowl platters

Fast-food chains and grocery stores aggressively advertise “game day platters” ahead of Super Bowl Sunday, but these are rarely worth the cost. Instead, make your own for a fraction of the price and just a few minutes of work. You can slap together some extra-long hero sandwiches and cut them up for an easy sub platter. For your health-conscious guests, slice up everyone’s favorite veggies and add a dip for a low-cost veggie platter.

Save on pizza

If you’re going with a pizza party, consider doing it partially homemade by picking up some frozen pies at a great price from your local grocery store. Just pop them in the oven before the party. If you want it hot-from-the-pizza-store fresh, reach out to a few local pizza places ahead of time to see if they’ll be offering any specials, and see who’s offering the best deal.

Consider your lineup

When setting up your buffet, place more affordable items at the head of the line. These are typically grabbed first, and putting them front and center, with the pricier stuff in the back, will help to ensure you don’t run out of any buffet item too quickly or blow your budget on one pricey food.

Use the tips outlined above to keep costs down while throwing a Super Bowl party that’s fit for champions.

Environmentally Friendly Ways to Save on Heating Costs

As outside temperatures fall, indoor temps and heating costs go up! And this winter may come at a higher cost. In fact, while fueling up at the gas station, you’ve seen the impact of our 6.8% inflation rate first-hand.

U.S. households on natural gas heat are expected to pay 25% more than last year. Homeowners who heat their homes with electricity will see a 6.5% spike, while homeowners using heating oil or propane may see a jump as high as 54%!

With that in mind, let’s look at some easy habit changes that will benefit our budgets and our environment.

Add rugs to your floors to help insulate rooms. Dress in layers, warm sweaters and socks. Use flannel sheets and more blankets at night.
Clean or change air filters. Debris is unclean for breathing and will impede warm air circulation.
Lower the thermostat by 7-10 degrees when everyone is out for the day. Use a thermostat that automatically adjusts according to your schedule.
Have a pro inspect and tune up your furnace. The cost can be well worth the savings since old furnaces can work at just 60 to 70% efficiency.
Contact your utility company for a free home check-up. Service or upgrade costs may be offsetable by federal tax credits and/or utility rebates
Check windows for leaks. Detect them by lighting a candle and watching if it blows in a certain direction. If you find any, seal them up with caulking, foam insulation or plastic insulation sheets.
Open the shades during sunlight hours and close at night to retain the heat.
Use heaters to warm up isolated areas instead of turning on entire heating zones if all the space is not in use. Also, close vents in rooms not being used to avoid unnecessary output.
Switch to LED light bulbs. They use about 75 percent less energy and last about 25 times longer than incandescent bulbs. Though the initial cost is higher, it pays off over time.
Reduce your water heater temperature to 120 degrees, which is safer for skin and easier on heating costs.

Discover more money-saving tips by visiting our blog here: https://www.highpointfcu.com/blog/

12 Steps to Financial Wellness – Step 1: How to Track Your Spending

Tracking your spending is the first step toward greater financial awareness and overall financial health. But mastering this skill is easier said than done. How can you track every dollar you spend when you make multiple daily purchases?

We’ve outlined how to track your spending in 3 easy steps.

1. Choose your tools

Tracing every dollar’s journey isn’t easy, but with the right tools you can make it quick and simple. Choose from one of the following money-tracking techniques:

Budgeting apps. If your life happens on your phone, download a budgeting app like YNAB or Mint to help track your spending. Both apps allow you to allocate a specific monthly amount of money for each spending category and enable you to track your spending with just a few clicks.
Spreadsheet. If you like to see everything spelled out clearly, a spreadsheet might be a good choice. You’ll need to record every transaction, but if you prepare the sheet with all the spending categories you think you’ll need, it shouldn’t take long.
The envelope system. If you’re a big cash spender, consider withdrawing the cash you think you’ll spend in a month and keeping it in an envelope for each category. When you need to make a purchase, just use money from the envelope.
Receipts. Hold onto every receipt from the purchases you make this month to help you track your spending.
Pencil and paper. Recording each purchase the old-fashioned way can help you make more mindful money choices throughout the day.

2. Review your checking account and credit card statements carefully

Along with one of the tools listed above, you can track the purchases you make with plastic by reviewing your monthly checking account and credit card statements. You can access these online by logging into your account and downloading.

3. Review and categorize your purchases

At the end of the month, use your chosen tool to review all the purchases you’ve made throughout the month. When completing this step, don’t forget to include any automated payments you rarely think about, such as subscription fees and insurance premiums.

Use the tips outlined here to successfully master the skill of tracking your spending.

New Year, New Money Habits: How to Stick with It in 2022

Spend less, save more, pay down debt — how can you make 2022 the year you actually stick to these and other financial resolutions? To help answer that, we’ve compiled a list of tips.

Set measurable goals

Don’t just resolve to be better with money this year. Set realistic, measurable goals to help you stay on track and ensure you’re making progress. To make it easier, keep those goals SMART:

Specific

Measurable

Achievable

Relevant

Time-based

Spend mindfully

Creating a budget can take some time and lots of number crunching, but the real challenge of financial wellness is sticking to that budget. And one reason many people don’t keep to their budget is because they spend money without consciously thinking.

Resolve to be more mindful about your spending, which means thinking about what you’re doing when you pay for a purchase of any kind. You can accomplish this by taking a moment to think about what you’re buying and how much you’re paying for it. Gain a little more awareness about your spending by staying off your phone while completing in-store transactions.

Partner up with a friend

It’s basic psychology: When we have to answer to someone, we’re more likely to stick to our resolutions. Choose a friend who’s in a similar financial bracket as you and has a comparable relationship with money. Ideally, they will also have the same resolve to set and stick to those financial resolutions together.

To make it even easier, use a money management app, like Mint, to help track your spending, find your weak areas, and stay accountable for your friend.

Write it down

In an era where some people can go without touching a pen and paper for days, writing down New Year’s resolutions can seem obsolete, but that doesn’t mean it shouldn’t happen. The act of putting your financial resolutions into writing will help to imprint them on your memory. Plus, you’ll have a list of your resolutions to reference throughout the year to help keep you on track.

Sticking to your financial resolutions isn’t easy. Follow the tips outlined above to make 2022 the year you get your finances into shape.

Your Complete Year-End Financial Checklist

As 2021 draws to a close, take a moment to go through this year-end financial checklist to ensure your finances are in order before the start of the New Year.

1. Review your budget

Is your current monthly budget working for you? Are you stretching some spending categories or finishing each month in the red? Take some time to review your budget and make any necessary changes.

2. Top off your retirement plan

Check to see that you are taking full advantage of your employer’s matching contributions for your 401(k). If you haven’t contributed as much as you can, you have until the end of the year to catch up, to a limit of $19,500. If you have an IRA, you have until April 15 to scrape together the maximum contribution of $6,000, with an additional $1,000 if you are 50 years or older.

3. Check your progress on paying down debt

Review your outstanding debts from one year ago and hold up the amounts against what you now owe. Have you shed any debt from one year ago, or is your debt growing? If you’ve made no progress, or your debt has deepened, consider taking bigger steps toward paying it down in 2022.

4. Get a free copy of your annual credit report

The end of the year is a great time for an annual credit checkup. You can only request a free copy of your credit report from all three credit reporting agencies once a year. Get your annual credit report here, and look for fraudulent charges and other signs of possible identity theft.

5. Review your investments and asset allocation

You may need to make some adjustments to your mix of stocks, bonds, cash and other investments to better reflect your personal financial goals and/or the current state of the economy and market.

6. Review your beneficiaries

Has your family situation changed during the past year? If it has, be sure to switch the beneficiaries on your accounts and life insurance policies to accommodate these changes.

7. Review your tax withholdings

Review your W-4 to see if the amount of tax withheld from each paycheck needs to be adjusted. If you’re not a numbers person, ask your accountant for help.

Use this checklist to make sure your money matters are in order before the start of 2022.

Is Inflation Here to Stay?

According to the most recent report by the Bureau of Labor Statistics, U.S. inflation is currently running at a 13-year high of 5.4%, and it’s showing no signs of slowing. Here’s what to know about the current state of the U.S. economy and what you can likely expect in the coming months.

Inflation is not going anywhere soon

Rising prices in just about every sector is the new norm. The inflation rate fell at the start of the coronavirus pandemic, and during the nationwide lockdown as people hunkered down at home. In March 2021, though, when the impact of halted manufacturing began hitting the market and crude oil prices started climbing, the inflation rate increased to 2.6% before hitting its current high of 5.4% in June and July. Although the rate started falling in August to 5.3%, it went back up to 5.4% in September. Experts, like the Trading Economics information technology company, now expect that number to continue rising, probably hitting 5.5% in the coming months.

Unfortunately for the average consumer who’s struggling to cover expenses amid rising costs, this means inflation isn’t going anywhere soon.

Why are prices so high?

There are several factors for the inflation bubble. First, suppliers are still catching up on production shortages that were caused by factory shutdowns during the pandemic. Second, climate disasters, like California wildfires and a drought in Brazil, are responsible for driving up prices in the food industry. The demand for higher wages, partially caused by the 10.4 million job openings in the U.S., and the rising cost of gas, are contributing to inflation as well.

What can consumers expect in 2022?

While no one can accurately predict the future, economists are expecting inflation levels to taper off by the middle of 2022. According to a survey conducted by the Wall Street Journal, many are expecting inflation to drop to 3.4% by June 2022 and to continue falling until it hits 1.8% by the end of the year.

PLEASE NOTE: The statistics and estimates supplied in this article were sourced via the hyperlinked references throughout the blog, and not by High Point Federal Credit Union.

Save Money When Shopping Online

It’s time to replace that rush you get from filling your virtual cart with the high that comes from saving a ton of money.

Get ready to transform the way you shop online.

Just. Wait.

Online retailers are experts at getting you to go from “I-gotta-have-it” to “It’s-on-the-way-to-my-house” quicker than you can say “buyer’s remorse.” Beat them at their own game by waiting a few days before completing a purchase. You may find you don’t really need that item after all. Also, retailers will often email a coupon for you to use for the “forgotten items” in your cart.

Outsmart dynamic pricing

Dynamic pricing is that slightly freaky way retailers have of knowing just which products and in just which price range to show you. Outsmart dynamic pricing with these tips:

Clear your browsing history or shop incognito
Log out of your email and social media accounts
Choose localized websites of international brands

Time your purchases right

Sunday’s your day to score cheap airfare.

Bookworms, hit up Amazon and Barnes & Noble on Saturdays when they launch most of their book sales.

Shopping for a new computer? Wait for Tuesday. That’s when big retailers distribute coupons.

For most other purchases, it’s best to shop Wednesday-Friday for the best deals.

Layer coupons

Always use a promo code before a discount coupon. A promo code takes a specified percentage off your entire purchase, while a discount code takes off a dollar amount. If you do it the other way, you’ll save less money. Don’t believe us? Do the math. We’ll wait.

Ask for price-drop refunds

Don’t you hate it when you find out what you bought yesterday just price-dropped? The good news is that some companies offer a refund for newly discounted items if you notify them within a certain timeframe. That’s money back in your pocket. Sweet!

Use multiple emails for discounts

Many retailers offer one-time promo codes for new customers, but you can be a new customer more than once by using a different email address.

Don’t shop alone

We’re not talking human companionship here. It’s 2021. You should not be shopping online without the help of a money-saving app, like PriceGrabber, Rakuten, or RetailMeNot.

Online shopping just got cheap again!

6 Steps to Crushing Debt

Getting rid of high debt takes hard work and willpower, but it’s doable. Here’s six steps to help you start crushing debt today.

Step 1: Choose your debt-crushing method

There are two approaches toward getting rid of debt:

The snowball method involves paying off your debt with the smallest balance first and then moving to the next-smallest, until all debts have been paid off.
The avalanche method involves getting rid of the debt with the highest interest rate first and then moving on to the debt with the second-highest rate until all debts are paid off.

Each method has its advantages, with the snowball method placing a heavier emphasis on achieving results at a faster pace, and the avalanche method focusing more on actual savings to the borrower money in overall interest paid. Choose whichever method appeals to you more.

Step 2: Maximize your payments

Credit card companies are out to make money, and they do this by making it easy to pay just the minimum payment each month. Beat them at their game by maximizing your monthly payments. Free up some cash each month by trimming your spending in one budget category or consider freelancing for hire and channel those funds toward the first debt on your list. Don’t forget to continue making minimum payments toward your other debts each month!

Step 3: Consider a debt consolidation loan

A personal loan from High Point Federal Credit Union can provide you with the funds you need to pay off your credit card bills and leave you with a single, low-interest payment to make each month. Or, you can transfer your credit card balances to a single card having a low-interest or no-interest introductory period.

Step 4: Build an emergency fund

As you work toward pulling yourself out of debt, it’s important to take preventative measures to ensure it won’t happen again. You can do this by building an emergency fund. Start small, squirrelling away whatever you can in a special savings account and adding the occasional windfall to beef up your fund.

Step 5: Reframe your money mindset

What got you into this mess? Are you consistently spending above your means? Is there a way you can boost your salary or significantly cut down on expenses? Lifestyle changes won’t be easy, but living debt-free makes it all worthwhile.

Step 6: Put away the plastic

Credit cards are an important component of financial health, but when you’re working to free yourself from debt, it’s best to keep your cards out of sight and out of mind. Learning to pay your way with cash and debit cards will also force you to be a more mindful spender.

Best of luck on your journey toward financial freedom!

Why You Need to Be Financially Fit

You give your abs a daily workout, but are you neglecting those money muscles? Here’s why being financially fit is super-important and how you can overcome common barriers to financial wellness.

Financial wellness: a ripple effect

Managing money responsibly will affect many aspects of your life:

According to a recent study by AARP, financial problems are the second leading cause of U.S. divorces.
Mental health. Money stress can severely affect your mental health, causing depression, restlessness, anxiety and more.
Physical health. Stressing over finances can directly impact your physical health, leading to recurring symptoms like headaches, fatigue, insomnia, high blood pressure and an increased risk of heart disease and stroke.
Work life. Money worries can make it difficult to focus at work, which can also bring down productivity levels and hamper career growth.

What are the leading causes of money stress?

According to a survey by Credit Wise®, 73% of Americans rank money issues as the top stressor in their lives. Here are the top causes for financial stress:

High-interest debt
Insufficient savings
Medical bills
Living paycheck to paycheck
Lack of retirement planning

Barriers to financial wellness and how to overcome them

Unfortunately, there can be barriers that make it difficult to get and keep financial wellness. First, because it hasn’t been taught in school until recently, many people lack basic financial knowledge necessary to manage money responsibly. Second, many mistakenly believe that budgeting and saving are time-consuming and tedious. Finally, some consumers have fallen so deeply into debt they’ve lost hope of ever pulling themselves out.

Here are simple steps you can take to get financially fit:

Get educated. Check out financial literacy blogs, personal finance books, podcasts or online classes to learn about money.
Have the money talk with your partner. It’s important to be on the same financial page as your partner. Talk openly and honestly, being careful not to be judgmental, and discuss your individual and shared money goals. Then, come up with a plan to reach them together.
Pay all bills on time. If you can’t take aggressive steps toward getting out of debt just yet, be sure you’re making at least the minimum payment on each credit card bill.
Create a budget. Giving every dollar a destination makes it easier to spend mindfully and cut down on extraneous expenses.
Start saving. Every dollar counts, and once you get the ball rolling, you’ll be motivated to pack on the savings until they really grow.

Let’s get those money muscles into shape! Follow the tips outlined above to stay financially fit at all times.

7 Tips for a Budget-Friendly Road Trip

Ready to hit the open road? Before you do, check out our budget-friendly road trip tips so you can set out in style and without breaking your budget!

1. Save on food costs

Here’s how to save on food costs during your road trip:

Shop your local stores for staples before setting out.
Get your “kitchen” into gear. A good knife, cutting board and small cooking appliances like a portable grill and plug-in burner are great starting points.
Plan a mix of meal types, alternating between home-cooked meals, dining out on fine cuisine and tasting local street foods.
Save the dining out for delicacies unique to your current location.

2. Camp out instead of sleeping in hotels

Sleeping under the stars when possible adds a whole new layer of awesomeness to your trip. And it can be super cheap! Check out recreation.gov, where you can book spots among 3,600 facilities and 103,000 individual sites across the country.

3. Find free attractions

Most tourist hotspots have a wide selection of free activities and sights to see at no cost. Check out local websites or ask around on the street to find the best-kept secrets at every stop.

4. Map out your route for greater savings

Instead of blowing money on gas, create a detailed schedule of all your stops before setting out, choosing the most efficient and inexpensive route. Look up local attractions in the areas you plan to stop at and book reservations in advance when possible.

5. Download GasBuddy

Download the GasBuddy app to find stations with the lowest nearby gas prices throughout your trip. You can save hundreds of dollars on gas costs using this game-changing app.

6. Check in on Sunday

For those nights when you must have a hot shower and comfortable bed, you’ll probably be checking into a hotel. If you can, check in on a Sunday. According to a study from the travel app Kayak, hotel reservation rates are lowest on Sundays.

7. Explore more and drive less

Hit the brakes and get out of the car! Spend some time covering miles on foot by hiking through local trails or backpacking through city streets. You’ll enjoy an enriching experience and save on gas costs at the same time.

The Promises and the Perils of Buy Now, Pay Later

Gotta have it now, but don’t have the cash? Why not buy now, and pay later? (BNPL). It’s the perfect way for you to walk away with that overpriced exercise bike even if your wallet is practically empty, right?

Maybe. Or maybe not.

Let’s take a look at these programs, how they work and what to be aware of before you sign up.

How BNPL works

You’ll find a BNPL button when checking out at most online retailers. This option will usually link you to a BNPL app, such as Afterpay, Affirm or Quadpay. A brick-and-mortar store may offer you this option at checkout as well. Here, too, you’ll pay up through an affiliated app.

If you choose to go with a BNPL option, you’ll need to get approved. Apps will usually run just a soft credit check to confirm your information. Once approved, you can choose to link your debit card, checking account or credit card so the app can collect the payments when they’re due. Next, you’ll generally make a 25% deposit on the purchase, and the item is yours! Most BNPL plans require you to pay off the rest in three fixed installments, but payment schedules can vary.

When to choose BNPL

BNPL programs can be a good choice for items you urgently need, but can’t afford right now, like medical equipment that’s not covered by insurance. It can also be ideal for workers with an uneven income flow who may experience lean times of the year, but know that better cashflow is ahead.

Why BNPL can be a bad idea

It encourages overspending. It’s easy to think that, if you’ll only be paying a small part of the price today, why not buy it now instead of financing the full amount?
Missed payments are penalized. Some services slap an interest charge on your outstanding balance, with rates as high as 40%. Other programs will charge a one-time late fee, which can be as high as $39. Others will tack on an extra fixed fee to all subsequent payments.

It can kill responsible financial habits. If a consumer has purchased multiple items through BNPL programs, the monthly payments won’t be so minimal. The payments will need to be factored into a budget and can eat into other categories, like savings.

Buy now, pay later programs can be super-convenient, but they also present risks. Our best advice? Use with caution.

Your Complete Guide to Using Your Credit Cards

Using your credit cards responsibly is a great way to boost your credit score and your financial wellness. Here’s all you need to know about responsible credit card usage.

Refresh your credit card knowledge

A credit card is a revolving line of credit allowing the cardholder to make charges at any time, up to a specific limit. Each time the cardholder swipes their card, the credit card issuer is lending money for the purchase. Unlike a loan, though, the credit card account has no fixed term. Instead, the cardholder must make payments toward the balance each month until the balance is paid off in full.

Credit cards tend to have high interest rates relative to other kinds of loans. The most recent data shows the average industry rate on new credit cards is 13.15% APR (annual percentage rate) and the average credit union rate on new credit cards is 11.54% APR.

Pay bills in full, on time

Paying bills in full and on time has multiple benefits:

Build an excellent credit score
Skip the interest charges
Stay out of debt
Avoid late fees
Enjoy rewards from the credit card issuer

Brush up on billing

There are several important terms to be familiar with for staying on top of credit card billing.

A credit card billing cycle is the time between credit card billings. It can vary from 20 to 45 days, depending on the credit card issuer. Within that timeframe, purchases, credits and any fees or finance charges will be added to and/or subtracted from the cardholder’s account.

When the billing cycle ends, the cardholder will be billed for the remaining balance, which will be reflected in their credit card statement.

Credit card bills will also show a payment due date, which tends to be approximately 20 days after the end of a billing cycle. The timeframe from when the billing cycle ends and its payment due date is known as the grace period. When the grace period is over, and the payment due date passes, the payment is overdue and will be subject to penalties and interest charges.

Make sure you read the disclosures for your credit cards to find important information that relates to each particular card.

Spend Wisely

Do:

When making a purchase, treat your credit card like cash.
Remember that credit card transactions are mini loans.
Pay for purchases within your regular budget.
Decrease reliance on credit cards by building an emergency fund.

Don’t:

Use your credit card as if it provides you with access to extra income.
Use credit to justify extravagant purchases.
Neglect to put money into savings because you have access to a credit card.

How to Celebrate Valentine’s Day on a Budget

Here’s how to enjoy a romantic evening with your partner without going into debt:

Work with a budget

We know your partner means the world to you, but that doesn’t mean you need to spend the world proving it. Designate a budget for all your Valentine’s Day expenses — and stick to it!

Use a sales app

You know that face-palming moment when you realize you paid full price for something you could have gotten for way cheaper?

Keep more of your money in your wallet by shopping for Valentine’s Day gifts with a sales app like ShopSavvy or PriceGrabber. The apps will help you compare prices at various retailers and score deals and coupons on gifts.

Save on flowers

We know you found an amazing deal online for fresh roses, but don’t buy them. Flowers are not likely to last through the shipping and delivery process. Instead, look for great deals on long-lasting flowers by buying them at Trader Joe’s or Aldi.

Bring down your dinner costs

Don’t break your budget on a romantic dinner for two.

First, rethink dining in. It doesn’t have to be boring or feel forced. You can lay down a blanket in front of the fireplace for a picnic-inspired experience or glam up another room for your delectable dinner for two.

If you and your partner have been counting down to a night out, save on restaurant costs by learning how to beat the psychological tricks at play in menu design:

Look left. Restaurant owners put the most profitable items on the menu in the right-hand corner — the spot most people look to automatically.
Say the price out loud. Notice the lack of dollar signs on the menu? It’s a trick to get you to spend more. Make the price real by saying it out loud.
Ignore the decoys. See that overpriced item on the menu? You need to unsee it. Restaurants place popular dishes near overpriced items to make diners believe they’re getting a great deal, but if you pay it no attention, you’ll beat them at their game.

Celebrate late

If you dare, postpone your Valentine’s Day celebrations by a day or two for steep savings. You’ll find Valentine’s Day candy on clearance and you won’t have to pay inflated restaurant prices for the same meal.

Simple Steps to Start Saving

If you’re ready to start saving but you don’t know where to begin, High Point Federal Credit Union can help.

Let’s get started!

Step 1: Set a goal

What’s your secret (or not-so-secret) financial dream? Do you want to open your own business? Explore the Australian Outback? Buy a boat?

What are your long-term financial goals? Do you want to make your friends jealous and retire before you hit 50? Do you dream of sending your child to college?

Choose your goals and assign a target dollar value to each one.

When you really start saving, first prioritize building an emergency fund that has three to six months of living expenses. Thinking of your bigger personal goals now will help keep you focused.

Step 2: Start tracking your expenses and income

You’re about to turn into one of those budgeting geeks.

For three months, keep a record of your expenses and all income. At the end of the three months, tally up your totals to figure out the average of each.

Step 3: Trim your expenses

If you find that your income exceeds your expenses by a fair amount, give yourself a high-five and skip to the next step.

If you spend more than you earn, or your numbers are too close for comfort, look for ways to trim your expenses, and save that extra cash.

Step 4: Create a budget

Don’t freak out — this isn’t as hard as it sounds. Just take your averages from step 2 and use them to designate a specific dollar amount for each monthly expense. Don’t forget to include savings in your budget!

Step 5: Choose your savings tools

It’s time to choose a place for your savings to call home. For long-term savings, look for an option that offers an attractive earnings rate, like a share certificate at High Point Federal Credit Union.

Keep that emergency fund and other short-term savings in an account that allows you to make withdrawals without asking too many questions, like a checking account at High Point Federal Credit Union.

Step 6: Make it automatic

Is this the first time you decided to start saving? Yeah, we didn’t think so. Make it the time you actually carry out your plans by setting up an automatic monthly transfer from your checking account to your savings account.

Contact High Point FCU to open a Savings Account today!

5 Reasons we Overspend (and How to Overcome Them)

What makes us overspend? Let’s take a look at five common reasons and how we can overcome them.

1. To keep up with the Joneses

When people who seem to be in the same financial bracket as we are can seemingly afford another pair of designer shoes for each outfit, we should be able to afford them, too, right?

Break the cycle: Learn to ignore how your friends and/or peers choose to spend their money and develop a self-image that is independent of material possessions. Let the Joneses keep up with you!

2. We don’t have a budget

When all of our spending is just a guessing game, it can be challenging not to overspend.

Break the cycle: Create and stick to a monthly budget that covers all of your needs and some of your wants.

3. To get a high

Research shows that shopping and spending money releases feel-good dopamine in the brain, just like recreational drugs.

Break the cycle: There’s nothing wrong with spending money to feel good, so long as you don’t go overboard. Try putting some “just for fun” money into your budget so you can make that feel-good purchase when you need to do so without letting it put you into debt.

4. Misuse of credit

Credit cards offer us incredible convenience, but they also offer us a gateway into deep debt. Research shows that consumers spend up to 18% more when they pay with plastic over cash.

Break the cycle: When shopping in places you tend to overspend, use cash and you’ll be forced to stick to your budget. You can also use a debit card with a careful budget so you know how much you can responsibly spend.

5. Lack of self-discipline

Sometimes, we just simply lack the discipline not to exchange immediate gratification for long-term benefit.

Break the cycle: Define your long-term financial goals. Create a plan for reaching them through small and measurable steps. Before giving in to an indulgence you can’t really afford, remind yourself of your long-term goals and how much longer your timeframe will need to be if you spend this money now.

Products for Managing and Tracking Business Expenses

Running a flourishing business means overseeing a constant flow of money. Luckily, though, there are products that can help you with managing and tracking business expenses effectively and smoothly. Let’s take a look at some of them.

Business checking accounts

A designated business checking account can help with managing and tracking business expenses, taxes and revenue. Separate accounts also protect business owners from losing personal assets if action is taken against the company. A business checking account is used to deposit checks made out to their company and to cover business expenses, such as payroll or paying suppliers.

If you’re looking to open a business checking account, a High Point Federal Credit Union Business Checking Account can be a great choice. Learn about our business checking account and its convenient features by clicking here.

Business savings account

A business savings account is an account designated for funds to be used in case of emergency or for future business expenses. The money in this account will grow at a greater dividend rate, but access to funds is more limited.

Opening a High Point Federal Credit Union Business Savings Account will provide you with a competitive dividend rate and a variety of terms. If you’re ready to open a business savings account, call, click, or stop by High Point Federal Credit Union today.

Business credit card

A business credit card provides small business owners with easy access to a revolving line of credit. Business owners can use the credit to cover large expenses, make purchases, or meet monthly bill payments.

A business credit card is easier to qualify for in comparison to a business loan, but will nearly always have a higher interest rate. If the business owner is careful only to use the credit card when it is absolutely necessary and pays the bill before it’s due, interest will not accrue.

If you’re looking to open a business credit card, look no further than High Point Federal Credit Union. We offer business credit cards for small businesses as well as options for larger businesses with multiple users. Learn more about our business accounts and services by calling (716) 372-6607 today!