What’s the Best Way to Pay for Holiday Shopping?

Q: Holiday shopping season is here, but I can’t pay for it all! What’s the best way to fund my holiday shopping?

A: When it comes to covering the cost of your holiday shopping, you have several choices. Let’s take a look at some options and explore the pros and cons of each so you can make an informed decision.

Credit cards

    For many shoppers, the most obvious way to pay for a purchase you can’t cover now is with a credit card.

    Pros:

    • Significant purchase protection.
    • Convenient payment method.

    Cons: 

    • Interest charges for unpaid bills can be very high.
    • You may be paying off these bills for months or years.
    • Extended debt can hurt your credit score. 
    • You may be more tempted to (or unknowingly) overspend. 

    Savings

      Dipping into savings to pay for your holiday purchases can free you from sky-high interest charges but comes with drawbacks.

      Pros: 

      • You’ll enjoy a debt-free holiday season.
      • No incurred interest charges.

      Cons: 

      • Depleting the savings that’s meant for emergencies can leave you up a creek later.
      • You’re losing the money your savings may have earned had it been invested or saved longer.

      Unsecured/holiday loan

        An unsecured loan, also known as a personal loan or holiday loan, is a loan that’s taken out with no collateral. 

        Pros: 

        • You’ll secure quick funding. 
        • Low interest rates compared to credit cards.
        • You can stretch the repayment over a longer term for smaller monthly payments. 

        Cons: 

        • You’ll need to pay the full monthly payment when it’s due.
        • You may be hit with a fee if you pay off the loan early.
        • Missed and late payments can hurt your credit score.

        Check out our Holiday Loan Special!

        Holiday club account

          When you open a holiday club account , you’ll make regular contributions toward your set goal throughout the year, and then have funds you’ll need for covering your holiday purchases when the season arrives. 

          Pros:

          • Holiday costs get more manageable when spread across the year. 
          • Favorable dividend rates.
          • Prevents overspending and accumulating new debt. 

          Cons: 

          • Funds in the account cannot be accessed until the goal (or preset date) is reached. Tying up savings can be irresponsible for those who do not have an emergency fund. 

          Use this guide to make an informed choice about paying for your holiday shopping. 

          Super-Scary Halloween Hacks to Save You Money

          Don’t let Halloween costs spook you! Here’s eight great hacks for saving on costumes and decor.

          1. Ghastly ghosts

          Create an army of floating ghosts using nothing but white trash bags. Gather a bunch of bags and stuff them with crumpled newspaper. Tie the “head” with a rubber band and use a permanent marker to draw spooky faces on your ghosts. Hang your frightful friends around your house and yard to scare your party guests and trick-or-treaters.

          1. Spooky bird houses

          Create a mini haunted house to hang on your door or decorate your table using a basic bird house, black paint and cotton. Paint the bird house black and stretch cotton over it for a cobwebby effect. Finish it off with a few paper ghosts peeking out the windows and doors, and you’ve got yourself a tiny haunted house!

          1. Shark attack!

          For a fun and freaky costume that costs next to nothing, go as a surfer being eaten by a shark. Dress in swimwear, with a towel slung over yourself if the weather makes it necessary, and apply fake blood to a visible spot on your neck or arm. Use face paint to create a shark bite and apply the blood so it surrounds the bite and drips out. For a fun touch, attach an inflated or stuffed toy shark to your costume. 

          1. Mason jar lanterns

          For easy DIY decor, paint Mason jars with spooky designs and insert battery-powered tea lights for a bewitching glow. Line your walkway or porch with these lanterns to welcome trick-or-treaters.

          1. Creepy crawlers everywhere

          Use an inexpensive package of plastic spiders to scare your guests silly! Freeze some in ice cubes for a spooky surprise in everyone’s drinks, scatter some across the table to make someone shriek and even add some to your soap dispenser to really freak everyone out. Let your trick-or-treaters in on the fun by sprinkling some into your bowl of candy. 

          1. An eerie flicker

          For a super-easy and super-cheap centerpiece, paint old wine bottles black. Use matte paint for the best effect. When your candlestick holders have dried, insert long orange taper candles into each one to add a festive look to your table. 

          1. Care for a lollipop?

          Turn your pumpkin into a fun lollipop dispenser with the help of an electric drill. Drill small holes in your pumpkin and then stick a lollipop into each hole. Set it up on your steps for an adorable, help-yourself trick-or-treat.

          1. Retro costume

          For a costume that will make everyone laugh and won’t cost a penny, go as your college-aged self. Dig out your old clothing and accessories, and if you had a crazy hairstyle back then, incorporate it into your costume, too. 

          Should I Adopt a Minimalist Lifestyle?

          Q: Minimalism is all the rage, and with everyday expenses at an all-time high, I’m wondering: Should I adopt a minimalist lifestyle?

          A: The minimalist movement, or the idea of living with just the barest of necessities, has exploded in popularity in recent years. Let’s take a closer look at this trending lifestyle choice so you can make an informed decision about embracing its philosophies.  

          What is minimalism?

          The generally accepted definition of minimalism is: Less is more. But adopting a minimalist lifestyle is more than just decluttering. It also means getting rid of, or whittling down, any expense category in your budget along with any activity you engage in that is not necessary for your life or peace of mind. 

          Getting started on minimalism.

          There are lots of ways to live a minimalist life. Here are some popular ways to get started:

          • The 90/90 rule. Choose an item in your home and ask yourself if you’ve used it in the last 90 days and if you will use it within the next 90. If the answer to both questions is no, toss it. 
          • The 30-day declutter. In this challenge, throw out one item from your home on Day 1, two items on Day 2 and continue this progression until Day 30, when you throw out 30 items. 
          • The 100-item life. Here, you choose 100 essential items you need to live with and toss out everything else you own.  

          It’s important to know there is no “right way” to embrace this lifestyle. Since minimalism means living with what you need and what brings you joyit will look different to everyone. As long as you are left with a home and a lifestyle that fills you with peace and serenity, you have adopted the minimalist lifestyle.

          Pros of living a minimalist life

          • Improved mental health. Evidence shows that a cluttered life is a stressful life.
          • Increased opportunities to experience life at its purest level. Walking away from extraneous commitments can free you up to experience the true pleasures in life. 
          • More room in your budget. When you throw out all unneeded expenses from your budget, it’s easier to save and avoid falling into debt. 

          Cons of living a minimalist life

          • Feelings of deprivation. If taken to an extreme, a minimalist life can be depriving and ultimately backfire.
          • Unhealthy obsession. Minimalism can require a lot of brain power. If you spend all day thinking about your stuff, it still owns you.
          • Owning just a few items means a large initial outlay. You’ll need to invest in a few items that really last, and these don’t come cheap.
          • It can be isolating. Unless you jump into this lifestyle with a partner or friend, it can be a very lonely life. 

          Use this guide to make an informed decision about embracing a minimalist life. 

          Three Common Money Mistakes People Make

          Managing money responsibly doesn’t just happen. Even with the best of intentions, many people make mistakes in how they handle money – and they don’t even realize it. But there’s good news! Harmful behaviors can be unlearned. Let’s look at three common money mistakes and how to fix them. 

          Mistake #1: Ignoring one’s financial situation

          It is common for people to go about everyday living without a whole lot of thought toward their money. They may not know how much they have in their checking and saving accounts. They could also jam their heads in the sand when it comes to their outstanding debt. Awareness of how good or bad their credit score is? Forget about it! The hard truth, though, is that ignoring money can lead to big-time consequences, like excessive debt, missed payments and zilch in savings. 

          The fix: To avoid this mistake, assess your income, expenses and savings regularly. Creating a budget can help you get a handle on your financial inflows and outflows. This way, you can identify areas where you can cut back, save more and achieve and maintain financial wellness.

          Mistake #2: Not having a clear money vision 

          The second common money mistake is a lack of financial plans or goals. Without an established money vision, it can be challenging to make smart money choices. 

          The fix: Establish short-term and long-term financial goals. Whether it’s saving for a down payment on a house, starting a business or planning for retirement, having a clear vision will guide and motivate all your financial decisions while ensuring they’re choices you can live with for years to come. 

          Mistake #3: Not discussing money

          The third common money mistake is failing to talk about money with one’s life partner. Money is a sensitive topic, and many people believe they can avoid arguing over money by not talking about money. Unfortunately, though, not talking about it can lead to misunderstandings, conflict and financial instability within the relationship.

          The fix: Have open and honest discussions about money with your partner. By establishing open lines of communication, you can work together to create a joint financial plan that aligns with both partners’ values and aspirations. 

          Use this guide to learn how to fix three common money mistakes and avoid making them in the future. 

          The Importance of Saving for a Rainy Day

          Life is full of surprises, and some of them can be expensive. Whether it’s a medical emergency, job loss, car repairs or any other unforeseen event, having a financial safety net can provide a sense of security and stability. Let’s take a look at why it’s so important to save for rainy days.

          Stay out of debt

          When life throws an expensive surprise your way and you don’t have money to pay for it, you may fall into debt just to get by. On the flip side, if you had a well-padded emergency fund, you’d have the cash you need to fall back on in case of an emergency. 

          Be prepared for sudden unemployment

          When you live paycheck to paycheck, your job is your financial lifeline. But no job is guaranteed to last forever. Your workplace may decide to downsize, close its doors or even to replace you with a bot. Or, you may find yourself unable to work due to personal circumstances. Having an emergency fund when you’re gainfully employed can help you stay afloat should you suddenly find your lifeline is reduced or cut out. 

          Flexibility and freedom

          Saving for a rainy day brings an element of flexibility and freedom to your life. It enables you to pursue new opportunities, take risks and make major life changes without the constant fear of financial instability. Whether it’s starting a business, furthering your education or taking a sabbatical, savings provides the support you need to confidently explore these possibilities. 

          Peace of mind

          Financial stress can take a toll on your physical and mental wellbeing. Constantly worrying about money can lead to anxiety, depression, strained relationships and more. Knowing you have an emergency fund prepared and on the ready for a rainy day can offer a sense of security and peace of mind

          Achieve long-term financial goals

          Saving for a rainy day is not just about preparing for emergencies; it’s also a stepping stone toward achieving long-term financial goals. Whether it’s buying a house, starting a family or planning for retirement, having savings will help you stay on track.

          Avoid economic downturns related to market fluctuations

          The economy is subject to fluctuations, and financial markets can be volatile. During economic downturns or recessions, people will often face reduced job opportunities, pay cuts or decreased business revenue. However, an emergency fund can make a challenging economic climate easier to navigate. People who’ve saved up money for emergencies will be less reliant on credit cards and loans during such times, thus lowering their vulnerability to economic uncertainties.

          If you don’t have a well-padded emergency fund, start building one today! Most experts recommend having three to six months’ worth of living expenses in your emergency fund. Review your monthly expenses to reach this number, and then make a plan for building up your fund until it’s complete. You may want to prioritize your emergency fund over other investments until it’s set up. 

          When the sun is shining, it’s hard to believe the rain will come, but no one’s life is all sunshine, all the time. Saving for a rainy day is a crucial part of financial wellness. Start saving today for a more secure and financially fit life. 

          6 Tips for Building an Energy-Efficient Home

          Building a new home involves many decisions and expenses. As you work through the process, try making your new home as energy-efficient as possible. Let’s explore six ways you can build an energy-efficient home that promotes a sustainable future.

          1.      Optimize site selection

          The first step in building an energy-efficient home is to choose the right location. Consider factors such as solar orientation, prevailing winds and surrounding vegetation. Maximizing natural resources, like sunlight and wind, can really reduce the need for artificial heating, cooling and lighting. 

          2.      Efficient building envelope 

          A well-insulated building envelope is crucial for maintaining a comfortable indoor environment while minimizing energy loss. Use high-quality insulation materials in walls, roofs and floors of your new home. Opt for double- or triple-pane windows with low-emissivity coatings to reduce heat transfer. Finally, properly seal any gaps or cracks to prevent air leakage, ensuring your home remains airtight. 

          3.      Use sustainable materials

          Choosing sustainable and locally sourced materials can have a positive impact on both the environment and your health. Look for materials with low embodied energy, such as recycled content or renewable resources, like bamboo and cork. Opting for sustainable materials reduces the carbon footprint of your home and creates a healthier living environment.

          4.      Install energy-efficient appliances and lighting

          Energy-efficient appliances and lighting fixtures can significantly reduce your home’s energy consumption. Look for appliances with an ENERGY STAR® label, as they meet strict efficiency standards. LED lighting is another excellent choice, as it consumes less electricity compared to traditional incandescent bulbs. 

          5.      Consider renewable energy systems

          Integrating renewable energy systems into your home is a proactive step toward energy independence. These include solar panels, wind turbines or geothermal systems that generate clean energy while reducing your reliance on the grid. Generating electricity sustainably will pay off for many years to come.

          6.      Water conservation strategies 

          Conserving water is an essential part of building an energy-efficient home. Install low-flow fixtures to reduce water consumption without sacrificing performance. Implementing water conservation strategies will save water while also reducing the energy required for water treatment and distribution.

          Use the tips outlined here to build a home that has a lower carbon output and saves you money for years to come.

          How Can I Beat Inflation and Save on Back-to-School Shopping?

          Q: How can I beat inflation and save on back-to-school shopping?

          A: Lucky for you, there are ways to save on back-to-school shopping. Follow these tips.

          Shop with a budget

          Determine how much you can afford to spend and set specific amounts for different categories such as clothing and supplies. Having a budget will help you stay focused and avoid impulse purchases.

          Take inventory 

          Before hitting the stores, inventory what you already have at home. Check your kids’ closets, drawers and study areas for supplies and clothing that can be reused or repurposed for the coming school year. This will give you a clear idea of what you really need to buy.

          Plan ahead

          Start shopping early and take advantage of sales throughout the summer. Watch for clearance sales, promotions and discounts. By planning ahead, you can secure better deals and avoid the rush and price hikes closer to the start of the school year. 

          Buy generic

          Don’t hesitate to reach for generic brands when purchasing school supplies for your kids. Store brands, like Walmart, or Target’s Up & Up, are usually cheaper than name brands without compromising on quality. 

          Shop without your kids

          Shopping with kids is an easy budget-killer. Kids have their own ideas of what’s best to spend money on, and their opinions may not align with your budget. Leave your kids home for at least some of your shopping trips this season.

          Think secondhand

          Consider purchasing used textbooks, clothing and electronics. You can find gently used items at much lower prices on secondhand websites like ThredUp, and at thrift stores like Goodwill. 

          Use discounts and coupons

          Before you shop, look for coupons, promotional codes and student discounts to bring down the prices of the items you need to buy. You can sign up for loyalty programs and use a discount-finder app or extension to pull up any coupons for the items you need. 

          Buy in bulk

          Whenever appropriate, buy supplies in bulk. This is useful for items that are commonly used throughout the school year. Buying in bulk often comes with a lower per-unit cost, providing long-term savings.

          Follow the tips outlined here to beat inflation and save on back-to-school shopping.

          Money Tips for College Students

          Hello, college, hello, money worries! 

          College life brings a sense of independence that extends to personal finances. Being in charge of your own money can seem like an impossible challenge, but it doesn’t have to be that way. If the thought of managing your money in college is stressing you out, dig into these tips for some help!

          Create a budget

          Living with a budget is a must for good financial wellness. First, track your income, including all earnings from part-time jobs, scholarships and student loans. Next, list your expenses, including tuition fees, textbooks, rent, groceries, transportation and entertainment. Set a realistic spending amount for each category, and your budget is good to go! Review and adjust as necessary. 

          Minimize student loan debt

          Student loans can be a big financial burden after graduation. To minimize your debt, explore options such as scholarships, grants and part-time jobs to cover educational expenses. You can also get ahead on your debt by saving for your student loan payments before you graduate.  

          Live frugally 

          You can have your fun while in college, and your budget, too! First, buy used when possible. This goes for textbooks, sports equipment and your college car. Next, consider pooling some of your expenses with roommates. For example, you can split the costs of food items, cleaning supplies and more. Finally, get used to eating in and save big. Remember, every dollar saved can go toward your future. 

          Prioritize essential expenses

          Life while in college is filled with temptations and social activities, so it’s crucial to prioritize your expenses. First, make sure your tuition, rent, utilities and groceries are covered and then you can spend money on fun! Having a good budget developed, and a regular review of it, will help you plan in some of that fun.

          Build your credit

          College is a great time to get your credit score ready for adult life. A strong credit score is essential for qualifying for large loans, getting favorable interest rates, securing a job and more. To build credit responsibly, consider getting a secured credit card or becoming an authorized user on a family member’s credit card. Use the card sparingly and make full payments on time each month. 

          Take advantage of campus resources

          College campuses often provide many resources to help students manage finances. Take advantage of financial literacy workshops, counseling services and career centers at your college. 

          Use these tips to manage your money smartly in college. 

          How to use Appliances Efficiently

          Did you know that appliances account for approximately 13% of your home’s energy use? The good news is, you don’t have to completely pull the plug to save on your energy costs. Here’s how to use your appliances more efficiently to reduce your energy use and do one for the environment.

          Choose energy-efficient appliances

          When purchasing new appliances, choose models with high energy efficiency ratings. Look for the ENERGY STAR label, which indicates that the appliance meets strict energy efficiency standards. 

          Follow the user manuals

          User manuals provide valuable information about the optimal usage and maintenance of appliances. Take the time to read the manuals thoroughly, as they offer specific instructions on how to maximize efficiency and extend the lifespan of each appliance. 

          Use appliances smartly

          Take full advantage of any automatic settings on your appliances to use them more efficiently. For example, you can set your HVAC system to adjust its temperature when no one’s home or everyone is asleep. 

          Saving on energy around the house

          Follow these tips to use appliances more efficiently around the house:

          Computer
          • Choose “sleep” over “screen save” to use less energy when away from your computer.
          • Consider switching from a desktop PC to a laptop, as these use 10% of the electricity.
          • Turn off your monitor when it’s not in use.
          • Think three times before you print. 
          Oven/range
          • Match up your pots to your burner size 
          • Cook with aluminum pans for even heat conduction.
          • Keep range-top burners clean for better reflection of heat and saved energy.
          Refrigerator/freezer
          • Keep your thermostats at the recommended settings.
          • Position your refrigerator away from a heat source. 
          • Clean the condenser coils of refrigerators and freezers regularly.
          Dishwasher
          • Only run full loads.
          • Avoid pre-rinsing dirty dishes unless absolutely necessary. 
          • During warmer times of the year, run the dishwasher in the early morning or evenings, when it’s cooler out.
          Washer/dryer
          • Wash with cold water as much as possible. 
          • Keep the lint filter clean for quicker dry times. 
          • Make sure your dryer is vented properly. 
          Air conditioner
          • Cook less when it’s hot out. 
          • Set your thermostat to adjust automatically. 
          • Clean or replace your filters regularly to maintain proper airflow. 

          Use these tips to use your appliances more efficiently and save on energy usage and total costs. 

          Going Organic on a Budget

          Going organic is a great way to improve your personal health and the health of the environment. Fortunately, it does not have to mean spending big. Here’s how to go organic on a budget.

          Prioritize your purchases 

          If you’re on a strict budget, you likely won’t be able to go completely organic all at once. Start with what’s most important to you. You can move on to another area as the budget allows until you’ve completely embraced the lifestyle.

          Buy in bulk

          Look for bulk bins at your local natural grocery store for steep savings. If you can’t finish all your bulk organic purchases before they’ll go bad, partner with a friend and split the costs.    

          Shop the seasons

          In-season produce generally tastes better than off-season fruits and vegetables, and it’s cheaper. Choosing organic produce grown locally while it’s in-season can really bring down your grocery bill. A quick Google search can tell you what’s in season now in your area of the country.

          Grow your own

          If you have the time and space, consider growing your own organic greens and herbs. This way, you’ll have access to inexpensive produce that’s fresh and ready to eat. 

          Shop the farmers market

          Your local farmers market is a great place to find fresh, locally grown produce at affordable prices. Plus, it supports local business. 

          Stalk your favorite organic brands on social media

          Brands will alert followers to fantastic deals and discounts that may otherwise be missed. As soon as you find an organic food brand you love, follow it on Twitter, Facebook and Instagram. This way, you’ll never miss a sale.

          Look for store brands

          Lots of grocery stores now offer their own line of organic products. These tend to be cheaper than companies that are not affiliated with a specific store. 

          Shop smart

          Finally, follow the basic rules for smart shopping to save on your purchases. Plan your menu around the sales, shop with a list and take a smaller cart, or even a basket. If all else fails, shop with cash. 

          Follow these tips to make the switch to an organic lifestyle without breaking the bank. 

          Travel Hacks 1 of 12: 5 Ways to Save on Airfare

          Planning a trip overseas? Airfare will probably be your largest vacation expense. Fortunately, there are many ways to save on airfare to leave you with more to spend while at your destination. Here’s a list of five ways to save on airfare.

          1.      Be flexible with dates and destinations

          If you’re willing to be flexible about the dates and destination, you can potentially save hundreds on your airline ticket. Instead of choosing a date and destination for your vacation and then searching for the best prices, select a date and destination based on the best available deals. 

          2.      Shop smart online

          Harness the power of technology to score the best airfare price. Searching sites and apps, like ExpediaOrbitz and Priceline, is like using multiple travel agencies to find the best flights for your vacation. Kayak, another popular travel app, plugs your preferred dates into its search engine and searches airline sites and agency sites to provide you with all the prices and options available. 

          3.      Act quickly to snag mistake fares

          When an airline accidentally discounts a ticket, you can snag a flight for as much as 90% off its conventional price. Mistake fares get snatched up fast, so check your favorite airlines and flight apps often so you don’t miss a deal. 

          4.      Consider booking with a foreign currency

          If you’ll be flying a foreign carrier, it may be cheaper to pay for your ticket with the local currency of your destination. Before paying for your flight, check to see if it’ll cost less if you don’t pay in dollars. It can sometimes actually cost more this way, but you can often save a lot by simply changing your location from the U.S. to your destination.

          5.      Book early

          You’ll typically find the best deals on international flights 3-6 months before the departure date. If you’ll be traveling during peak times, like summer or during holiday seasons, start your ticket search even earlier. Flights are updated constantly, so check often to get the best deal.

          Use the tips outlined here to get the best deal on your tickets and keep your vacation budget intact. Happy travels!

          How Can I Save on Holiday Shopping?

          Q: The holidays always have me worried about money. With inflation soaring, I’m more stressed than ever. How can I save on my holiday shopping this year?

          A: If you’re worried about making it through the holiday shopping season in the midst of record inflation, you’re not alone. A recent survey shows that 59% of American shoppers are stressed about buying holiday gifts due to higher prices this year. With some careful planning, though, you can enjoy stress-free holiday shopping. Here are seven easy ways you can save.

          1.      Shop early

          Experts are urging shoppers to hit the stores earlier than normal this year to take advantage of early-season sales. Lots of big-box stores are struggling with a supply surplus thanks to an inflation-triggered decline in demand. This will likely lead to sales events to make room for more current inventory. Shop these sales for big savings.

          2.      Set a budget

          Before you start shopping, build a reasonable budget for your holiday shopping. Make your budget easier to keep by allocating a specific amount for every gift, shopping with cash and/or reviewing your budget often. 

          3.      Shop with a list

          Instead of blindly hitting the stores, make a list of every gift to buy for friends and family. You’ll be far more likely to stay within budget when your purchases are pre-planned. 

          4.      Leave some last-minute shopping for Green Monday

          While it’s best to do the bulk of your shopping early in the season, you can leave some last-minute gift-shopping for Green Monday on Dec. 14. This is when retailers make their final pre-holiday markdowns. 

          5.      Think outside the box 

          If ever there was a holiday season to get creative with gifting, this is it. Retail inventories are full of products that were backed up during the post-pandemic supply-chain disaster. Think furniture, home decor and more. While these items may not be typical holiday gifts, there’s no real reason you can’t delight a loved one with a new office chair, exercise bike or coffee organizing station.

          6.      Give gift cards

          Protect your gift list against inflation by giving some gift cards. You can find discounted cards on sites like GiftCardGranny and CardCash, or use cash-back apps to earn them at no cost. Gift cards are easy to shop for, easy to budget for and appreciated by the receiver.

          7.      Use apps to save

          In 2022, there are so many apps that can help you spend less on your shopping, and even put money back into your pocket. Try coupon-scanning apps like Honey, cash-back apps like Ibotta and points apps like Drop to save this season.

          Use the money-saving tips offered here to shop for the holidays without breaking your budget. 

          Step 8 of 12 Steps to Financial Wellness – Know When and How to Indulge

          Living a life of financial wellness means being happy with a lifestyle that’s within your means, but doesn’t leave you feeling like you’re lacking. At the same time, financial wellness means money choices are governed by discipline and not by emotion. So how do you strike a balance between the two?

          Here’s how to indulge responsibly. 

          Live with a budget

          To do this, track your spending for three months. Next, make a list of all your expenses and list your income in a parallel column. Tally up your totals and assign a realistic dollar amount to each expense. Going forward, be sure to only spend within the allocated amount for each expense category. 

          Leave room in your budget for “just for fun” purchases

          As you work on building a budget, leave room for the occasional treat. The exact amount will vary by income level, lifestyle and personal choice. However, wisely choose an amount you can easily afford without feeling deprived. 

          Review your savings

          Before giving yourself permission to indulge, make sure you’re setting aside some of your monthly income to savings. Ideally, short-term savings should be enough to keep you afloat for 3-6 months if you have no source of income. Long-term savings should be sufficient to support your retirement and any long-term savings goal you may have. 

          Choose your “treats”

          Everyone’s got a personal vice or three. Take a look at where your non-discretionary money went over the last month and highlight the more expensive impulse buys. Hold these purchases up to these questions:

          • Did this purchase bring me happiness or positive energy the day I bought it? How long did that feeling last?
          • Did this impulse buy blow my budget?
          • Does thinking about this purchase now fill me with joy, guilt or something else?

          Use the insight about your indulgences to help you make better money choices in the future. 

          Lose the guilt

          Once you’ve decided how much you want to spend each month on indulgences, it’s time to let go of guilt. If you’re spending responsibly, there’s no need to eat yourself up over an impulse buy you could have done without. As long as you’re keeping these just-for-fun purchases within your budget, you can maintain your financial wellness.

          Back-to-School Shopping Hacks

          It’s back-to-school season, but that doesn’t mean you need to break your budget. Here’s six back-to-school shopping hacks to get you started.

          1.      Take inventory

          Don’t set foot in a single store without first checking to see what you have at home. Keep a running list of everything you find so you know exactly what you have before you spend anything on new supplies and clothing. 

          2.      Shop with a list

          And we’re not talking about the list of required supplies your child’s school or teacher has sent home. When shopping for anything, it’s best to start out with a clear goal of what you plan to buy.  This way, you’ll be less likely to overspend and come home with stuff you don’t really need.

          3.      Divide and conquer

          The circulars are packed with specials on school supplies all summer long. The problem is that, while one store is offering a crazy-low deal on crayons this week, another is running a super sale on pencils – and the stores are across town from each other. Keep your savings and your sanity, by teaming up with another school parent. Divide the school supply list between, pooling costs and savings.

          4.      Let your kids choose some items on their own

          Teach your kids a lesson in budgeting by allowing them to shop for one or more of the costlier items they need on their own. Set a reasonable budget together, but let your child do the actual choosing and paying. To encourage thriftiness, you can offer to allow your child to keep the change. 

          5.      Save some stuff for later

          There’s no need to purchase a complete autumn wardrobe before Labor Day. Waiting a bit for the mid-season sales will save you a ton of money. 

          If your kids are in need of some bigger ticket items this year, consider applying for a low-interest loan from High Point Federal Credit Union!

          Use these hacks to cash in on savings this back-to-school season. 

          Should I keep Cash at Home?

          Q: I’m seeing posts on social media about keeping cash at home during rapid inflation. Is this a good practice?

          A: Keeping large amounts of cash in envelopes, kitchen drawers or stuffed under the mattress is not recommended during times of high inflation – or any time. 

          Why is it a bad idea to keep cash at home?

          While it’s perfectly OK to keep some cash at home, storing a large amount brings two big disadvantages:

          • The money can be lost or stolen. Hiding cash under the mattress or anywhere in your house always carries the risk of being misplaced, damaged or stolen. Unfortunately, there is no way to trace or reclaim lost or stolen cash. 
          • The money isn’t growing. When cash doesn’t grow, it loses some of its value. This is especially true during times of high inflation. The current inflation rate is 8.5%. This means, if you’d keep $1,000 at home for the next year and inflation stays at 8.5% during that time, your cash would be worth only $985. Of course, if inflation rates increase, the loss would increase as well. 

          Where is the best place to keep cash?

          Here are some places you may want to keep your cash at this time:

          • Savings account. A savings account is a secure place to keep extra funds. When you open a savings account at High Point Federal Credit Union, there’s no risk of your money being lost or stolen. 
          • Precious metals. Precious metals, like gold, silver and platinum, have proven to hold their value even in times of inflation and a volatile stock market. 
          • Share certificates. A share certificate is a savings account that’s federally insured, has a fixed dividend rate and a fixed date of maturity. The fixed dividend rate will remain unaffected by the fluctuating national interest rate.

          Inflation is high, but that doesn’t mean it’s a good idea to hoard your cash at home. Follow the tips outlined above to find the perfect place to park your cash. 

          12 Steps to Financial Wellness Step 7: How to Pay Yourself First

          “Pay yourself first” is a catchphrase that refers to prioritizing your personal savings above other expenses. To achieve it, savings should be a fixed line on your budget that happens every month without fail. 

          Here’s how to pay yourself first.

          1.      Review your spending

          Take a clear look at your spending. If you already have a budget, this will be as simple as reviewing the column which lists all of your expenses, including your discretionary spending. If you don’t have a budget, track your spending over several months to identify your primary expenses and to find the average amount of money you spend each month. 

          2.      Set short- and long-term saving goals

          Short-term savings, or funds you want to be able to access in the near future if necessary, can be allocated to an emergency fund. Experts advise having three- to six-months’ worth of living expenses set aside in an emergency fund in case of a sudden, large expense and/or loss of employment. 

          Long-term savings should include funds you can afford not to touch for several years or more. Your long-term saving goals can include your retirement, as well as a down payment on a home, a new car, a sabbatical from work or any other super-big expense.

          Narrow down your short- and long-term goals, then attach a number to each savings category.

          3.      Set a timeline for each savings goal

          Now that you have a number for the amount you want to save, you’ll need to work out a realistic timeline for meeting those goals. It’s best to give first priority to your emergency fund, but at the same time, it’s a good idea to start saving for retirement today so compound interest has an opportunity to work its magic. To that end, you may want to allocate the bulk of your monthly savings to your emergency fund until you meet your goal. Once your emergency fund is full, you can divide your savings more evenly between your short-term savings and long-term savings. 

          4.      Calculate how much you’ll need to save each month 

          Take your total for each goal, and divide it by the number of months in your timeline. For example, if you’ve decided you want to have an emergency fund of $24,000 established in four years’ time, you’ll divide $24,000 by 48 months to get $500 a month. This is the amount you’ll need to set aside each month to reach your goal in time. Do this for each of your goals. 

          5.      Automate your savings

          Once you’ve got your savings plan ready to go, it’s best to make it automatic. You can set up a monthly transfer from your High Point Federal Credit Union checking account to your credit union savings account or share certificate. This way, your savings will grow even when you forget to feed them.

          Congrats–you’ve mastered the art of paying yourself first!

          4 Ways to Stay Financially Fit this Summer

          Ahh… summer! The season of flip-flops and sunscreen, of lemonade and baseball. What’s not to love?

          Unfortunately, summer can also be the season of overspending for some of us. When the sun is blazing across a cloudless sky and the day stretches on with endless possibilities, purse strings are looser and cards are swiped with abandon. But nothing kills summer fun like a busted budget and a mountain of debt. So how can you stay financially fit this summer?

          Keeping your finances intact throughout the summer is possible if you’re ready to plan ahead and make responsible choices. Here are four tips for a financially fit summer. 

          1.      Prepare for a possible change in income

          If you’re a freelancer, business owner or get paid per diem, expect to see a drop in income during the summer. Business is notoriously slower across many industries at this time, so it’s best to be prepared for this reality. To avoid dipping into savings or going into debt, trim your discretionary spending and use the extra funds to cover non-discretionary expenses. You can also choose to find a side hustle for the summer to cover the gap in your income. 

          2.      Get your budget summer-ready

          Your budget will see some changes in the summertime, and it’s wise to prepare it in advance instead of being caught unaware. Here are some changes you might expect:

          • Higher utility bills 
          • Increase in fuel prices 
          • Travel expenses
          • Increased activities for kids

          3.      Create a vacation budget 

          Build a workable budget for your summer getaway to avoid overspending. Attach a dollar amount for your hotel stay, car rental, food costs, transportation, entertainment and outings as well as any other costs you expect to encounter during vacation. 

          4.      Review and adjust as necessary

          Blowing a budget is never an excuse to go all out and overspend without considering the consequences. To avoid falling into this trap, review your budget and your overall spending on a regular basis throughout the summer. Being aware of the state of your finances will make it easier to make responsible choices going forward. 

          Follow these tips to keep your finances intact throughout the summer. 

          How to Save Big Bucks by Brown-Bagging Your Lunch

          Did you know that choosing to bring your own lunch to work each day can save up to $3,000 a year? Each takeout lunch can easily cost $12 more than a homemade meal. If you’d put that money into an index fund and contribute to it for 25 years, you can save $500,000! 

          Unfortunately, too many people end up buying out each workday because they don’t realize how much it costs them, or they simply fail to plan ahead. Others may think it would be too much of a hassle to shop for, prep and bring along lunch from home.

          You can use this handy calculator to determine how much you can personally save each year just by brown-bagging it to work each day. And, if you find the idea of prepping lunch five days a week a bit overwhelming, you can choose to bring lunch from home on specific days of the week. 

          Here are some hacks for brown-bagging it to work with all the savings and none of the hassle. 

          Plan your menu and shop for it early

          Don’t get stuck staring at the contents of your fridge and wondering what to take to work seven minutes before you need to leave in the morning.  Plan your lunch menu early in the week and add whatever you’ll need to your grocery list. To save even more, shop the sales and the seasons, and then base your lunch menu around those items. 

          Marathon-prep at the beginning of the week

          The thought of prepping lunch at the end of a long workday when all you want to do is veg out on the couch can be daunting. Instead, hold a marathon session at the beginning of the week to do as much labor-intensive lunch prep as you can. Slice and dice all your veggies for the week, split dressing into small containers, cook your pastas, wash fruit and tackle any other prep that can be done in advance. This way, you’ll only need to grab what you need each day from the fridge instead of facing an entire meal to prep and package. 

          Partner up

          It’s never easy to be the odd one out, and if you set yourself up to be the only one pulling out a homemade lunch while the rest of the office packs out to pick up lunch or orders in, you can end up giving up and joining the crowd. Try to find a like-minded partner to brown-bag it with you on the days you choose to bring lunch from home. Eat your lunches together; the companionship will make it easier for both of you to stick to your convictions.

          Love your leftovers

          Save even more money, and make lunch prep easier, by bringing dinner leftovers with you for lunch. You can repurpose a leftover protein to serve as a salad-topper or sandwich-stuffer, bring along a container of soup to warm up in the office microwave, or beef up your work lunch with some leftover rice, quinoa or another side dish. 

          Brown-bagging it to work when everyone else is ordering takeout isn’t easy, but by using the tips outlined here, you can save a boatload of money on work lunch without the hassle. 

          12 Steps to Financial Wellness – Step 4: Have the Money Talk with Your Partner

          Communicating openly about how you manage your money is a big part of having an honest and trusting relationship. Here, we’ve compiled six tips to help guide you in this super-important conversation.

          1.      Plan in advance

          Broach the topic with your partner a few days before you want to have the “Big Money Talk” and ask if you can have an open discussion about money sometime soon. This way, you’ll both be ready to focus on the conversation and won’t be caught off-guard.  

          2.      Start with a vision 

          Instead of starting the conversation by bringing up a time your partner overspent, talk about a vision you can both share. For example, you can rhapsodize about how wonderful it would be to take a luxury vacation to the Cayman Islands, or how you’d love to start saving for a home. This way, you’re putting a positive spin on your money talk, which will set the tone for the rest of the conversation. 

          3.      Listen carefully

          Your partner will have their own ideas about money management, and you may be surprised at the insights they have to share into your own spending habits or expensive vices. 

          4.      Talk openly about sharing expenses and savings

          At a certain point in your relationship, you may decide to share expenses and to pool your savings. If you plan to bring up the topic now, be sure to talk openly about the way you feel to better avoid future resentment. For example, if you earn more than your partner, should you be splitting expenses evenly? Can one partner take additional financial responsibilities in lieu of contributing an equal amount of income to the pot? All of these questions, and more, are important to discuss up front

          At this time, consider linking one of your accounts or opening a shared account at High Point Federal Credit Union. 

          5.      Consider having a slush fund

          Sometimes, you just want to splurge without having to explain the purchase. You may also want to spend money on a surprise gift for your partner without them knowing you’ve just dropped a large sum of money on something. Having a slush fund, or money set aside for your “just for fun” spending, can help you maintain a sense of independence and keep some of your purchases private. You can keep this fund in a separate checking account under your name at High Point Federal Credit Union.

          6.      Set up a weekly or bi-weekly time to talk money

          It’s a good idea to touch base about finances once a week, or once every two weeks. You can talk about recent purchases, big expenses that are coming up soon, surprise bills and more. 

          Be sure to stick to your commitments and to bring up any money issues that may arise during your regular money talks for continued harmonious collaboration about all financial matters. 

          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 YouTube. 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. 

          Video Banking