8 Ways you waste money

By Brandi Hodges - bio | email

JONESBORO, AR (KAIT) - We're always showing you ways to save money now how about some ways you can waste your money?     It is money we spend every day or every month and you may not even think about it.  A few cents here and a few dollars there the next thing you know you're wondering where it all went.

Here are eight places where you may be wasting your hard earned money.

Call it what you want:  gluttony, being wasteful, or whatever.  Those extras add up.  Number one:  keeping a balance on your credit card.

"The interest is a huge waste of money," said Wells Fargo financial advisor Mark Rowe.

Most of us have at least one credit card.

"If you pay them in full it can be a real convenience because you don't have to carry a lot of cash," said credit counselor Garry Patterson.

If you owe money on your credit card and don't pay it off every month that interest adds up.  The best thing you can do is to keep your balance paid off.

Number two:  paying for things you can get for free.

"We don't buy books.  The kids and I go to the library," said Karli Miller.

The library is more than just books.  You can check out DVD's and CD's and there are also computers with Internet service for free.

Rebecca Orr and her two kids, 7-year-old Charlie and 5-year-old Abby are regulars at the local library.

"There's no way that I could go buy books, movies,  tapes, and CD's for all the subjects that we're studying," said Orr.

Number three on our list:  impulse shopping.  We all do it.  You see something on sale or something you have to buy.

"You see kids' clothes on sale and you think, "Oh, I should buy that for next season," and that's $50," said Miller.

"There's almost always regret shortly after we buy something on impulse," said Rowe.

Experts say the best advice is to weigh your options sleep on the decision then decide to buy or keep shopping.  That leads us to the fourth way we all waste money:  buying things you don't use.  A lot of us clip coupons or get excited by a big sale but is it really a sale if you don't need it?

"You sometimes think well I'm saving money by getting it half price but if you don't need it you're not saving anything you're spending," said Patterson.

"If something is a good deal or on sale sometimes we'll buy five of an item when we only need two," Rowe.

That brings us to number 5:  paying for unnecessary services.  Do you really need to have all those extras on your phone?  Many of us don't have to have them and they can also take a bite out of your bank account.

"We don't have Internet at my house.  I have it on my phone rather than at the house," said Miller.

Services like satellite TV, or Tivo and luxury items like video game systems are all unnecessary.

Consider what other things you're giving up by paying for those items.

Another way you waste money is funding your bad habits like overeating, drinking and smoking.  These habits can all cost you in the end.  In addition to the thousands of dollars you can spend over a lifetime these habits can also lead to health issues in the future.

The seventh way a lot of us waste money:  buying brand name instead of generic.

"I usually do choose a generic over the name brand just because I've found that most of them are just as good," said Orr.

"Often times it's the same product if you look at the ingredients," said Patterson.

The eighth way you waste money:  eating out.  How many times have you been driving home from work and picked up dinner?

"Dining out is just a habit we get into because time is precious to us," said Rowe.

If you eat out everyday for lunch and spend on average of $5 a day that's $1.275 a year but if you cut out one day you will save over $250!

One thing to remember is some of us will find these as a waste of money, others a necessity, or a way to way to get away from everyday life.  Experts say what is important is that you take a second look at how your spending your money.

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