Not too long ago, I read a book entitled A Million Bucks by 30 by Alan Corey. The book covered Corey’s financial journey from when he was a broke 22-year-old college graduate to when he finally reached millionaire status by the time he turned 28. What I liked most about the book was that he laid out absolutely everything he did in those six years. I also liked the fact that there wasn’t anything miraculous about his road to riches that would prevent people like me and you from accomplishing the same things.
Throughout the book, Corey interjects with little blurbs he calls “Extreme Cheapskate Strategies” which are his tips on how to cut back on your everyday spending. Here are a few that I think are noteworthy:
1) Carrying a coin purse on your key ring. This helps you pay for your purchases up to the exact dollar amount. He cautions that you do not want to be too overly obnoxious with paying in coins and that it is helpful if you follow the 212 rule; if your total is more than $2.12, don’t try to pay it in full with only coins. If your total is $2.12 or under, feel free to use coins for the entire purchase.
2) Recommend your dentist, doctor, and other health specialists to everyone you know (do this only if you truly feel they deserve a recommendation). Most often, recommendations can lead to discounted procedures and in Corey’s case, it meant a free $500 gift box from his dentist full of toothbrushes, dental floss, and toothpaste.
3) Start using your library not only for borrowing books, but also DVDs and CDs. More recently, libraries have begun to carry an array of bestselling books and recently released DVDs and CDs. Take advantage of this resource; your tax dollars are paying for it.
I hope these three tips were helpful and that they can help you formulate your own list of Cheapskate Strategies. Keep in mind that the money kept in your pocket can be saved and invested wisely for greater long term rewards.