This is a link to the seventeenth in an ongoing series billed as 30 Day Challenge to save $1,000 by Ramit Sethi at IWillTeachYouToBeRich.com, his blog on personal finance (banking, saving, budgeting, and investing) and personal entrepreneurship. His series outlines the various ways we can keep money in our pockets.
Today’s tip is to buy generics for the stuff you don’t care about — while continuing to buy brand-name for the stuff you do care about.
As Ramit bluntly says, “you can’t get the best of everything. What can you compromise on?”
Test the generics for products you don’t care as much about — the quality between the “name” brand and the “generic” has in many cases gotten smaller over the years. This means that the quality of the generics are better now than even a year ago or two. Even if you minded a generic then, maybe you won’t now. But maybe you haven ‘t even tried any, and if that’s the case, now’s a good time. Don’t start with the stuff you love most — that would probably set you up for failure. (On the advice of my doctor I once tried to cut dairy from my diet. Nope. Turns out I could cut milk but I could not, cannot cut cheese — I love it too much.) Try sampling generics of stuff you don’t care about so much. Most peoples’ taste abilities really can’t differentiate between products as much as they think (sorta like how almost everybody thinks they are above average ….).
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For previous tips: Tip #1: Pack lunches for the rest of the week, Tip #2: Turn your thermostat down 3 degrees, Tip #3: Sell something on eBay today, Tip #4: Involve your friends in your savings challenge, Tip #5: Optimize your cellphone bill, Tip #6: Use gas prices to become your own hedge fund, Tip #7: Create a “No Spending” day once a week, Tip #8: Implement the A La Carte Method, Tip #9: Only buy new things when replacing something old, Tip #10: Use the free rewards from your credit card, car insurance, and workplace, Tip #11: Never pay full retail price for clothes (or eyeglasses) again, Tip #12: How I’m saving $2,000 on eating out in 2009, Tip #13: How to negotiate your car insurance, Tip #14: Use self-persuasion to share how much you’ve saved so far, Tip #15: Forget going to a bar — ask people over for dinner, Tip #16: Cancel any large purchases this month