6 Things You Don't Need to Spend Money On

This is a guest post by David Bakke, a frequent contributor for Money Crashers Personal Finance where he writes about topics including managing money, saving on everyday items, setting up a small business, and preparing for retirement.

When it comes to ways to save money, ideas abound. You can try old standbys like limiting your cable TV and cell phone plans, or clipping grocery coupons. But for an even greater dent, look for items you can get for free - that's right, no cost. There are actually many valuable, necessary goods and services available gratis, but you have to know where and when to pounce. Here are several you might not have been aware of:

1. Batteries. Batteries can take a significant bite out of your checking account year-round, but especially during the holiday gift-giving season. However, just by signing up for email updates from your preferred office supply company, you'll often get notifications as to when these are available for free. Generally, you pay the upfront cost, then get 100% of it back in rewards certificates good for future purchases. Considering the high cost of most batteries, it's well worth it to stock up when you see these deals. Using this strategy, you'll never run out of them and you'll never have to pay.

2. Antivirus Software. There are two no-cost ways to protect your computer from online threats. First, you can often get all the protection you need by choosing one of the free antivirus software programs, such as AVG. I've used this free software for years and never had a problem - and I do a lot of online shopping for a reselling business that I run. If you feel better with the protection of a "paid" program, sign up for email alerts from a deal-of-the-day website like FatWallet.com. You're sure to find plenty of antivirus programs available for free after a mail-in rebate.

3. Tax Preparation. Click over to the IRS website for an extended list of tax preparation companies that will calculate your return for free. Some have limits on adjusted gross income eligibility, but others do not. Online, there are also several free tax-prep software programs and professional services, such as H&R Block. In short, if you look into it, you can often satisfy Uncle Sam at no cost to you - whatever you owe notwithstanding, of course.

4. Credit Report. In this day of identity theft and financial misappropriation, it's critical to know exactly where your credit stands. And the Internet is rife with paid services offering to pull your report for you. But did you know that you are entitled to see your report once per year from each of the three major credit reporting agencies free of charge? Just visit AnnualCreditReport.com. If you plan it out, you can pull an up-to-date report every four months from either Experian, TransUnion, or Equifax. With this in hand, read carefully for errors or red flags, and report them promptly. You can also find free ways to improve your credit score. Along with safeguarding your personal information, this is about all the protection you need against identity theft. And it's 100% free.

5. Extended Warranties. This caveat isn't exactly about getting them for free - it's more akin to "don't buy them at all." Many extended warranties are a complete waste of money. First, they overlap with the manufacturer's warranty, which means you pay for a term of coverage that you would've had at no cost without the extended warranty. Plus, studies have shown that the probability of a product breaking down during the insured time frame is minimal at best. And this is why the profit margin on the warranty itself is actually greater than on the product.

6. Activation Fees. In this day and age, companies will attempt to get money from you in any way they can - hence, activation fees. These are trumped-up charges put forth by the company in an attempt to get more for their services. If you play your cards right, however, they can be eliminated. Be it Internet, cable TV, or cell phone, if you tell the provider that paying an activation fee is a dealbreaker and you're ready to walk, you can get this fee waived 9 times out of 10.

Final Thoughts

While some of these perks involve a little research and effort, others involve simply knowing where to go and what to look for. In the end, it really just comes down to how much you care where you're spending your hard-earned dollar. But I can tell you this: Those who take a more active role in the managing of their money are the ones who'll have much more of it left over. What else can get for free - and what are the best techniques?

Comments

[Pauline]

I disagree on the tax preparation and I think you do too, FMF (although I'm aware this is a guest post). As an IRS-certified volunteer tax preparer and -- separate from volunteer work -- someone with more than passing familiarity with the Internal Revenue Code, the IRC is straight up HARD and if you don't know exactly what you're doing, it's best to delegate. Better to do it upfront than be tangled up by IRS reporting mechanisms and subject to a stressful audit. This advice is more appropriate for single, house-less individuals with no kids or eligibility for the Earned Income Credit.

[jdgjdg]

For batteries, he seems to assume you are running a business to have a preferred office supply company, or are willing to steal from your employer.

If you use a lot of batteries, which typically means you have young kids, then go with rechargeable batteries.

[Lance @ Money Life and More]

Tax prep is an interesting one. If you have a very simple return then it can be beneficial to get it done free but if you have lots of opportunities it may be worth it to pay a CPA to save you some money.

I've done a write up with step by step screenshots on how to get your free annualcreditreport.com report over on my blog. If you need help check it out.

As far as activation or upgrade fees, I have definitely gotten these waived simply by asking.

[Adrienne]

@jdgjdg, No need to steal or run a business. We purchase batteries from Staples when they offer 100% back in Staples rewards. We then use the Staples rewards to purchase items like trash bags and paper towels...stuff we use anyway. You can get a ton of free batteries this way if you need them. Of course rechargeable are better for the environment...but our son doesn't have a lot of battery operated toys.

[Old Limey]

Antivirus software is a necessity in my opinion.
My internet provider is AT@T Yahoo and they provide McAfee Antivirus free of charge as well as the daily updates.
I had an incident some weeks ago when the instant I opened an e-mail from a friend of my wife, the antivirus program came to life with all kinds of messages, but by then the virus had also disabled the antivirus system. This was the first time I had ever had a virus. I took my computer to a store that solves these kinds of problems but it cost me about $170 to get my computer running normally again. After this incident I decided to not open any e-mails from strangers and the friend is also on my don't open list. I also routinely delete all Spam unopened. It can also be dangerous when you are doing a Google search, depending upon what you are searching for, some subjects create virus alerts but they have always been detected and removed without incident.

For years I religiously go through a weekly procedure where I perform the following tasks:
1) Disk Cleanup
2) Disk Defragmentation
3) Virus scan of my whole computer.

[Matt]

Sorry. 2 & 3 I don't agree.
I talk to IT people and get there recommendations and I would never trust an on-line software.

[Mads Singers]

I like the fact someone think they can protect themselves online with a piece of software - I have never used anti virus, but staying safe is more about knowing what you do in from of a PC...

Kind Regards
Mads

[FMF]

Pauline --

Yes, you and I are on the same page. Especially for those with complicated taxes, I think a good CPA is well worth the money.

[JayB]

For Antivirus, I get Norton free by being a comcast user. I would encourage others to look into this as Old Limey said too with ATT.

For tax software, $15/yr for Taxact has worked great for the past 3 years. It seems to be very thorough too, not to mention quick since it basically sets year two and so on based on the previous year, so if nothing major changes, you only have to change a couple things and your taxes can be done in under an hour. Worth every penny at that point.

I need to do better on batteries, I usually go to Lowe's and get the largest contractor pack I can find since I've priced 4 batteries for $5-6 versus 24 batteries for $10-12. Something odd about the way they price them, guess its just a bulk thing. Works well too cause I only have to buy batteries once or maybe twice a year this way.

[Jim]

#1 - so the free batteries are occasional rebate deals from Staples rewards? or do other office supply companies also offer such deals? If its Staples only then I don't see why they don't say so.

#2 - There are in fact many free ways to get good virus protection. AVG is perfectly good. You can also often get name brand software free after rebate deals at Newegg or other retailers.

#3 - This one depends. If your taxes are fairly simple like many/most people then free preparation is just fine. A lot of people can do just a 1040EZ and dtheres not reason to pay for that. However many of us have complex returns that are best left to a CPA.

[Luis]

The top 6 things IMO not to spend your money on should be:

Whole or variable life insurance
Annuities
Timeshares
Buying the most house your money can buy
Expensive wedding
Lottery tickets

[Jim]

#1 - Looks like Office Depot has similar rewards programs to Staples.