ROANOKE, Va. – Roanoke College projected Virginians would spend on average $900 over the holidays. That includes money on gifts, entertainment and holiday decorations. Now, that it’s the New Year, you might be looking for ways to save money.
10 News is working for you about what you can do to accomplish this goal. We spoke with Focus Community Program Manager, Vice President Ben-James Brown. Brown suggested five steps you can take to save money.
First, he said you should look at how much you’re getting paid and your spending habits.
“You can also look back at last year. If you have tools like ‘My Spending Report,’ to see what those spending habits have been. And then next you want to see where your money is going by tracking how those expenditures happen. So your rent your credit card, your loan payments, grocery streaming, subscriptions, your lunch, movie tickets, etc. This step will make it easier with ‘My Spending Report’ to automate how you’re tracking those payments,” said Brown.
Second, Brown said you should budget for essentials and then cut back on extras on your list. He also said you should enroll in direct deposit and use auto-pay for your bills. Finally, Brown said to practice smart shopping habits.
“Especially at the beginning of the year with the sales that are going on right now. We can be impulsive. Is the convenience of online shopping too much to resist at times? And so we want to make sure that we are just practicing smart shopping habits so that we’re able to save more,” said Brown.
Brown said you should consider what you want to accomplish this year. Another tip is to put aside a little bit of money each pay period, whether it is for yourself or someone else.
Meantime, you might be looking for ways to reduce your credit card debt. Brown said it’s essential to pay your minimum payments. He also said you should first pay off your cards with the higher interest.
“You want to make sure what those credit cards that you’re not just paying the minimum payments but that you are adding on to that principle to try to get it paid down sooner than later. Those credit cards with lower interest rates, being strategic about paying those off and making sure that the ones with higher interest rates are the priority,” said Brown.
Brown mentioned again that you should focus on smart shopping habits and prioritize what is essential.
When it comes to paying off your student loan debt, Brown suggested setting up auto pay and calling your lender.
“There are ways that they can change payments for you that they can lengthen out the amount of time that you’re paying for those loans so that they can lessen the loan over the course of time that you have those loans outstanding,” said Brown.