As the title implies, Real Simple brings to light 20 reoccurring transactions that can cost you big money in the long run. According to Real Simple, following these tips can save up to $3000 per year. I would call $3000 per year more of a waterfall than a leak. Here are some of the more meaningful tips for me:
The Leak: Paying bills by snail mail.
The Fix: The average household receive about 15 bills a month. With stamps now at 39 cents each, you spend about $70 a year just on postage — and don’t forget the late fees if your checks get lost in the mail.
The Leak: Subscribing for cable TV, Internet access, and phone service from three different providers.
The Fix: Consider a package deal from your local cable or phone company. You can get digital phone service, which is provided by a broadband Internet connection, high-speed Internet, and digital channels for much less than you’d pay separately.
The Leak: A cell-phone plan that doesn’t match your needs.
The Fix: Too many minutes and you’re wasting money. Too few and the overages can send your cell-phone bill into the stratosphere. On average, according to the consumer research firm J.D. Power & Associates, cell-phone subscribers use only 64 percent of the minutes they pay for.
The Leak: Taking your time to redeem gift cards.
The Fix: Read the fine print on the back of the card: Some cards expire as quickly as six months after their purchase, while others charge $1 to $2.50 for dormancy, maintenance, or inactivity fees if they’re not used within 6 to 24 months. The fees are deducted from the card’s balance, so a $45 gift card could disappear in two years.
The Leak: Letting the water run.
The Fix: Turn off the tap while you’re brushing your teeth or shaving — every minute the water flows wastes up to 2 1/2 gallons, according to the Environmental Protection Agency.
Life is a journey full of ups and downs. No one can actually predict what might happen the next moment; there are times where the happiest moments do not even take a second to turn into the gravest. Planning for your future can help you face such unwelcomed but irrepressible situations with much ease. We all want to make every memorable event of our life more special and to cherish all those moments happily and worry less, you must financially plan your future. But no one has control over life and death. Who would wish to see his family suffer in his absence? Insurance hands over the financial jeopardy of life’s happenings to an insurance company.
Importance of getting a life insurance
No one has control over life and death. Nobody would like to see their family suffering in an absence, and that’s why many people recommend life insurance. A life insurance plan is one of the best ways to secure the future of your family, even against those financial troubles after an untimely demise. These plans are safe and credible, and you could trust them for your family’s better future.
On the other hand, a life insurance policy is a contract between a company (insurance provider) and policyholder in which the insurance provider ensures to pay a certain amount of money to the nominated beneficiary in case of the policyholder’s death during the term of the agreement. There are different types of insurance plans, and it is important for you to know the benefits of those plans such as a funeral, medical or some life expenses provided they are mentioned in the agreement.
Choosing the right insurance plan
If you’re about to select an insurance plan, you should consider some important factors:
The time at which you start investing in a program and the number of family members you want to get insured. Obviously, a married man with two children has different needs compared to a single one. The number of persons who are dependent on an individual also varies from person to person.
The next thing you need to consider is you and your family needs. What are your child’s dream, your retirement plans, for how long would your dependents need financial support, any personal injury, etc. And do not forget those events or situations that will surely demand a huge sum of money.
The next thing one must consider is your current income. You should preferably choose a plan which you can afford.
Now you must be having a pretty clear idea of how to choose the best plan for you. Further, you should also compare various plans offered by different companies and numerous sites available online that help will you to compare them.
Differences between life insurance plans
Here’s a short brief of some plan categories you can choose according to your needs:
Term Insurance Plan – You have to pay once, and your nominee gets the paid money under your misfortune demise. It ensures a person for a fixed time. If you survive the policy period, you do not get your premiums back.
Whole Life Policy – This plan continues for your lifetime. Under this, the policyholder has to pay regular premiums, until their death.
Endowment Policy – In case the individual dies during the tenure, the beneficiary gets the amount assured. If the person survives the policy tenure, they gets back the premiums paid with other investment returns along with several other benefits.
Money Back Policy – In this a portion of the money invested is returned to the investor at regular intervals. If you survive the insurance term you get the entire amount back; else the beneficiary receives the entire sum assured.
ULIPs – These are the life insurance plans that offer you future security plus wealth creation options.
Many people do not opt for whole life policy and endowment policy because of the high amount of money you need to pay, while others may prefer to opt for these if they have a high life expectancy. Surely you will find the best one for you.
So what are you waiting for? Plan for your future and live a happier and carefree life today.