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Do you hate the idea of brown-bagging it as everyone else in the office goes out for lunch? Do you dread parking your old-school Camry in a lot full of BMWs? Do you hope no one sees you with your coupons in the grocery store?
If keeping up appearances is important to you, there are plenty of ways to do it without resorting to falling into debt. Here are 15 ways to look like you're living large without overspending.
Before you can buy all the items you think will impress your friends and neighbors, you need to make some room in your budget. The easiest way to do that is to eliminate monthly subscriptions, says Davey Quinn, principal at Pine Harbor Wealth Management in the District of Columbia.
While apps like Truebill and Trim can automatically find and cancel subscriptions, you can do it yourself by scanning your bank and credit card statements for recurring charges. “I did this at the beginning of the year, and there were two subscriptions I had no idea I had signed up for,” Quinn says.
As you review your monthly subscriptions, consider how often you use each one and whether it duplicates another service. Rather than paying for multiple streaming services, news websites or beauty subscription boxes, pick the one you use most and cancel the rest.
Insurance is another area in which you can find savings to make money available for priority purchases. “If you haven't shopped your home and auto insurance within the past one to two years, you should unquestionably do so,” says Steve Frazier, president of Rhode Island-based Frazier Investment Management. He says people could potentially save hundreds or even thousands of dollars by looking for new coverage.
Changes in your age or circumstances could mean lower rates, or in some cases, new insurers may move into a market and bring with them more competitive premiums. Using an insurance agent who works with multiple providers can be a convenient way to obtain and compare quotes from several companies.
From designer clothes to luxury cars, you can buy high-quality goods at a reduced rate simply by opting for secondhand items. "I have a couple ladies who work for me who always look great," says Dawn-Marie Joseph, president of the financial firm Estate Planning & Preservation in Williamston, Michigan. "The majority of them buy their stuff from nice consignment shops."
If you're looking to buy a car, keep in mind that new cars depreciate significantly in the first year, meaning there are deals to be found if you're willing to buy something previously owned. That's the strategy Joseph has used to buy Range Rovers ever since she discovered they are perfect for her dirt road. While the base price for a 2020 Range Rover is $90,900, Joseph says she has never paid more than $21,000 because she always looks for used vehicles with low miles. To make sure you're getting the best deal on a used vehicle, consider looking for certified pre-owned vehicles or having an independent mechanic inspect it prior to purchase.
Barely used, brand-name electronics, jewelry and furniture can be found at pawn shops and Facebook sales groups as well. However, if you're buying an item from a private seller, be wary of counterfeit goods and conduct transactions in a public place.
Sometimes you only need to use an item briefly to make a good impression. In that case, consider renting rather than buying. You can rent designer clothes through Rent the Runway, or try Mine for Nine to get fashionable maternity wear. There are also rental companies for baby gear, jewelry and handbags. These websites will let you borrow specific items for a certain number of days at a set price.
If you do want to own something, research when the best time is to buy. “You can get some really nice items (at a discount) by being patient about when you buy,” Quinn says.
There are sales cycles that allow consumers to estimate when prices may be lower, and some categories of goods reliably follow certain pricing patterns. For instance, fitness products are often cheaper in January, home prices generally peak in the summer and the weeks leading up to Black Friday in November are generally prime time to buy electronics.
In addition to buying at the right time, be discerning about how you spend your money. Buying an expensive item that you'll use frequently could cost less overall than if you end up buying a series of cheaper goods that don't get as much use. Plus, you're more likely to use something that works well or wear clothing that fits you right.
Joseph recalls a woman she knows who makes beautiful jewelry and then barters it for hair and nail care. Rather than spending lots of money at the salon, she gets the same look for free.
Any hobby or talent could potentially be bartered. Lawn care, child care, meals, transportation or photography could all be used to negotiate for other services and goods. It's ideal if you can barter with someone you know and trust personally, but sites like BarterQuest can help you find bartering partners throughout the world. To avoid scams, be sure to look for user reviews and be wary of new bartering websites with few users, which could be a front for scammers.
You don’t have to spend a lot of money to create Instagramable moments that you'll enjoy. Heading to the park for a picnic with your significant other can be just as enjoyable as buying an expensive lunch or dinner at a restaurant, Quinn says. Plus, the great outdoors can provide photo opportunities that are perfect for social media sharing.
Many metropolitan areas also have museums and attractions that can be inexpensive. The Smithsonian and United States Botanic Garden are two examples of free attractions in the District of Columbia that offer hours of entertainment potential. Outside the nation’s capital, free admission days or reduced rates for residents are offered at museums, parks and zoos in many metropolitan areas.
When you’re ready for a getaway, traveling in the off-season can be a good way to not only save money but also avoid the crowds. That means heading to Europe in the winter or Hawaii in the late spring or fall.
Scheduling travel during the shoulder seasons, when the weather is still good but the prices are lower, is also a good strategy. VRBO, a website listing vacation rentals, notes prices for property rentals at beach and lake destinations drop as much as 30% after Labor Day.
If you worry that using coupons will make you look like a cheapskate, check out the latest store loyalty programs. For groceries, chains like Kroger and Target have apps that let you clip coupons digitally and then enter your phone number or scan a device at checkout for savings. Meanwhile, the drugstore Walgreens lets customers accumulate points with its loyalty card, which can then be redeemed for discounts. Starbucks, Panera Bread and a host of other chains also have loyalty programs that reward visitors with discounts and free food.
To stick to your budget, use loyalty rewards programs to earn points toward award flights, free hotel stays and complimentary upgrades. Travel credit cards can offer additional perks and points but make sure you're able to meet the minimum spending threshold on your credit card to reap the most rewards and benefits.
As with any credit card, only charge as much as you can comfortably pay off each month. Otherwise, you could pay more in interest than you’ll reap in travel benefits.
Paying interest on debt makes it hard to buy the things you really want. Consolidating high-interest credit cards into one with a low or 0% APR card could save you hundreds of dollars or more each year, Fraizer notes.
Those with high-interest student loans should also consider refinancing their debt. According to Fraizer, “There's kind of a sweet spot for 40 year-old people because their rates were much higher … compared to what the interest rate environment looks like today.” However, be aware that refinancing federal student loans to a private loan could mean losing access to some loan forgiveness programs and repayment options.
You don’t have to spend a lot to keep up appearances. No one will know if you wash your car yourself or use the expensive carwash in town. Similarly, looking fit and healthy can be achieved by working out at home rather than paying for a pricey gym membership. Dress shirts can be ironed rather than being sent to a cleaner, and basic yard work can be done by most homeowners at little cost.
Sometimes people can create the illusion of luxury while still saving money. Couples can purchase a small professionally decorated cake to display at their wedding but then serve guests a less expensive, yet still delicious, sheet cake from the kitchen. Similarly, they may splurge for an attention-grabbing bridal bouquet while using less expensive cut flowers for the bridesmaids and centerpieces. Similar strategies can be used for birthdays, graduation parties or other events.
Some items that used to be impressive are not as important anymore. "I think people, especially men, will spend money on a watch," Joseph says. However, the days of a Rolex being a status symbol are rapidly diminishing as fewer people wear traditional watches. Expensive pens and cuff links are other examples of items that formerly were status symbols and now are largely overlooked by others.
If you want to impress your friends, spend your money on what matters to them. Or, better yet, don't worry about what's important to them and buy what's important to you instead.
