where's my money, dude (1) making cutbacks

1. CUT EXPENSES BY FIVE PERCENT: There are two ways to cut down on your expenses without making major to your budget. Either you make cutbacks across the or you choose a few minor expenses to . For instance, you may be able to reach your goal by cutting your vacation budget in half, by not eating out, or by your land telephone lines and cable TV. Granted, you’ll have to learn to live without certain things that you’ve gotten used to, but your financial life won't change all that much.

Now, five percent may not seem like much, but it’s what you do with it that really makes a in the long . A word of warning: across-the-board reductions are hard to notice and just as hard to keep of. Besides, they that you stay disciplined in many areas. In order to cut out specific expenses, you will only have to be disciplined in certain areas, which people find easier to do.

2. SAVE FIVE PERCENT OF YOUR NET INCOME: If cutting expenses by 5% works out to, say, $250 a month, by saving it you'll have an $3000 by the end of the year. That may not be a with today’s cost of living, but it's a . (If you happen to have no savings right now, it’s a pretty solid one.) Once you get this thing , you can take it as far as you like, adding a percent or two every couple months. Best of all, you will end up with a few thousand extra dollars every year without to do anything drastic, like selling a car or taking a second job.