With the half-way mark of the first quarter at hand, many of us are turning our attention to the looming April tax deadlines. It is also a good time to assess whether you are having any “money leaks” which are according to Money magazine, “small expenses that you hardly notice but that add up every time.” Here are four money leaks that caught our attention.
Flexible Spending Accounts. According to WageWorks, a third of all employees fail to use a third of their account totals each year, forfeiting an average of $120 of their balances back to their employers. First step to make sure you aren’t part of the statistic, check with your employer to find out what your 2012 ending balance was. Then check to see if you had to use the funds by Dec. 31, 2013 or if you have the later March 15, 2013 deadline.
Data Costs. Are you wasting money on your cell phone data plans? Chances are yes according to Billshrink.com. You can track your smart phone data usage through your cell phone carriers or download DroidStats for the Android or DataMan for the iPhone. According to Money Magazine, the average money leak for data costs is $360 per year. You may be leaking even more if you are paying for data on your tablet. With so many locations offering free Wi-Fi now, consider if it makes sense to pay another $10-$15 a month to cover your tablet.
Cable. More and more people are cutting the cable cord with Yahoo! Finance declaring, “it’s official: cord cutting has gone mainstream.” But, if you are not ready to go cold turkey with your cable provider, there are steps you can take to save on your cable bill. First, do an audit on your bill and decide what you can live without. Are you spending too much for On Demand movies? Compare the costs of other online streaming entertainment services including Netflix, Hulu and Amazon Prime. Or, simply plan ahead and pick up a movie for $1 through one of Red box’s 34,600 locations nationwide.
Next, call your provider and ask for a discount. If they refuse, make sure to shop around. If you decide to stay with them, check to see if you are paying a per month fee for a modem. If you are, purchase your own modem and start saving up to $84 per year.
Insurance. When was the last time you got a quote on your car and home owner’s insurance policies? Chances are it has been a while according to a study by J. D. Powers and Associates that found that “75% of policyholders renew without getting a new quote.” By bundling your auto and homeowner’s insurance policies together under the same insurer you can save up to 25% a year according to Kelly Blue Book which accounts for $300 per year for an average home and auto policy. If you have added a new alarm, upgraded your plumbing, electrical, heating and cooling systems, you might be eligible for even steeper discounts of 40% or more.