Four 'Against the Grain' Ways to Save Money

That McMansion that makes you appear rich will make it a lot more difficult for you to become wealthy than if you had chosen a smaller place that fits your needs. Huge houses keep you in debt by raising your monthly charges as you spend years paying off the mortgage. This inflates the house's true cost well above the price listed on the contract.

Having a lot more house than you need also drains your finances in numerous other ways beyond the mortgage payment: taxes, upkeep expenses, furnishings, utilities and insurance, to name just a few. All this extra money saved with a smaller house can go toward investment accounts to build your wealth.

Your car is too big.

Many people have recently learned the wisdom of downsizing their vehicles since the cost of gas now sits well above four dollars a gallon. As with housing, bigger doesn't mean better when it comes to cars. There are plenty of high-quality cars that are economical and environmentally friendly.

When choosing a car, you should seek out a car in the smallest class size that will meet your everyday needs. In addition, understand the total cost of buying the vehicle rather than just the sticker price and gas mileage.

Purchasing a car that fits your needs and costs less to maintain and run will mean you have more money that can go toward investments and long-term savings.

You have too much stuff.

One of the main reasons you can't afford to buy some of the stuff that you want is because you have bought a lot of stuff that you don't need. Take a few minutes and look in your storage areas and all the things that are sitting there that haven't been touched in years.