Part 14 (1/2)

Lowering maintenance costs Proper upkeep can save you big bucks over the life of your car. A 2007 article from Consumer Reports found that driving your car to death (keeping it for 200,000 miles or more) can let you save enough money to buy a new car-but only if you take good care of your current vehicle and diligently set aside funds for the new one.

A well-maintained car is safer and cheaper to run. To save money on maintenance, remember to: - Read the manual. This one's obvious, but how many people actually do it? Reading the manual can teach you how to operate your car safely and efficiently. Be sure to check out the manufacturer's recommended maintenance schedule-and do your best to follow it.

- Change the oil regularly. Changing your oil every 3,000 miles is essentially a scam, a marketing ploy from the quick-lube industry. You might need oil changes that often if you drive lots of miles under rough conditions, but for most vehicles, it's okay to change the oil every 5,000 miles or 6 months (whichever comes first). Check the manual or ask your mechanic what's best for your car.TipIf you need a replacement part, you can save money by picking it up from a junkyard. Despite what many people think, junkyards aren't scary. Simply call around to see who has the best price on the part you need, and then ask if they'll pull it for you. If not, bring your own tools to get the part off the car. If you don't know much about cars, bring somebody who does. And dress appropriately-you'll probably get dirty. Finally, keep in mind that many junkyards only accept cash.

- Keep your tires full. If your tires are under-inflated, your car won't handle as well or get the best mileage. If they're over-inflated, they're more likely to get damaged, your ride will be rougher, and you'll have a tougher time stopping when it's wet out.

- Park in the garage, if you have one. (If necessary, get rid of all the Stuff that's hogging the s.p.a.ce-see The Tyranny of Stuff The Tyranny of Stuff.) Letting your car live indoors is easier on the paint job and helps prolong the life of your battery, starter, and motor oil.

- Deal with trouble before it starts. If you notice strange sounds or vibrations, look into them right away so they don't turn into pricey repairs.

Saving on gas Gas is the thing you buy most frequently for your car, which gives you lots of chances to save on it. Here are some ways to save at the pump: - Get a fuel-efficient car. This one's obvious, but the numbers are still pretty eye-opening. As an extreme example, a Hummer H2 uses about five times as much gas as a Toyota Prius. If you can't replace your current car right now, keep fuel economy in mind the next time you're in the market for a vehicle. FuelEconomy.gov has an online calculator (tinyurl.com/gascalc) that lets you compare the cost difference between two vehicles based on their mileage per gallon.TipCostToDrive.com lets you estimate your fuel costs for long trips. Simply enter your starting location and your destination, provide some basic info about your car, and the site calculates how much gas you'll use and how much the trip will cost.

- Take good care of your car. ”The best way to get the most from a tank of gas is to follow the vehicle manufacturer's service schedule,” advises Consumer Reports. That means checking and replacing the air filter at regular intervals, keeping the tires properly inflated, and using the recommended grade of motor oil.TipDon't waste your money on gas-saving products. Both Consumer Reports and the Federal Trade Commission warn that most of these gadgets and additives are bogus. And even when they do work, the savings are miniscule.

- Drive sensibly. Edmunds.com found that the best way to improve fuel efficiency was to accelerate slowly and brake over long distances. Here are some other tips: - Drive at a constant, moderate pace. Cruise control can help with this.

- Don't speed. According to FuelEconomy.gov, each 5 MPH you drive over 60 adds about 25 cents per gallon to your fuel costs.

- Avoid idling. Hypermilers-people obsessed with getting the best fuel economy-recommend turning off your engine if you stop for more than 10 seconds. Even if you're not that hardcore, try to commute when traffic is lighter and plan routes with as few traffic signals as possible to spend less time idling.

- Consolidate trips. If you can, buy groceries, take your clothes to the dry-cleaner, and then drop little Johnny at soccer practice all in one trip.

NoteAir conditioning or windows down? This raging debate has no simple answer; it depends on your car and your driving habits. In general, studies show that it's more fuel-efficient to roll your windows down for city driving and use AC on the highway, but the differences are so small that you should just do what's comfortable.

- Save at the pump. If it's convenient to buy gas at a cheaper place, do it; if not, don't. It usually doesn't make sense to go more than a mile out of your way to find cheaper gas. For example, on a 10-gallon fill-up, saving five cents a gallon only nets you 50 cents.If you plan ahead, you can find cheap gas using GasBuddy.com, which lets people enter current prices at service stations in their neighborhoods. Just type in your Zip code to find gas prices near you. (If you don't get results, that's because n.o.body has entered prices for your area in the past 72 hours.) TipIf you want to track your fuel economy, check out Fuelly (), a site that lets you record your vehicle's gas mileage and compare data with other drivers. When you enter info about each fill-up, Fuelly computes your average miles per gallon, cost per tank, and more. There's also a version of the site you can use with mobile gadgets like iPhones.

Car-Free Living The best way to save money on a car is to not own one. Each year, AAA publishes an estimate of driving costs (tinyurl.com/driving-costs). They figure the average American spends about $9,369 each year to own a car. That works out to over $25 a day, or $750 per month. Imagine what else you could do with that money if you ditched your car!

Not everyone has the option of going car-free. But for millions of people in cities like New York, Boston, Atlanta, and Los Angeles, giving up a vehicle is a viable option. In Chicago, for example, you can buy a week-long pa.s.s for unlimited subway and bus trips for only $24-that's just $96 per month.

Though many people like the idea of going car-free, it can be tough to actually make the leap. Still, with rising gas prices, more folks are looking for ways to live well without wheels. Most people who give up their vehicles aren't radical, anti-car environmentalists; they've simply decided they'd rather use their time and money in different ways. (For an example, see the story of Chris Guillebeau on Reduce clutter Reduce clutter.) Even if you keep your car, just driving less can save you money. And it may seem old-fas.h.i.+oned, but don't forget walking and biking as ways to get around (and burn a few calories). Or check out the public transportation in your area. If those options won't cut it, look into getting a scooter (you can read about one Get Rich Slowly reader's scooter-based lifestyle at tinyurl.com/GRS-scooter.) Or check out car-sharing organizations like Zipcar ().

NoteIf the idea of a car-free lifestyle intrigues you, pick up a copy of How to Live Well Without Owning a Car (Ten Speed Press, 2006) by Chris Balish. It includes tips for getting to work without a car, as well as some hints on what do with all the money you'll save!

Finding Deals on Vacation and Travel As you learned in Chapter1 Chapter1, experiences are more likely to make you happy than Stuff. Traveling can create lasting memories, but it can also be expensive: airfare, hotels, restaurants-the costs add up quickly. But you don't need to stay in a luxury hotel to have a good time on vacation. You can travel on the cheap, volunteer, or even stay home.

The best way to keep travel costs down is to set a budget so you know exactly how much you can spend. But because you buy so many little things while on vacation, it's easy to lose track. To keep things in check, use a spending log: Every time you pay for something, write it down. At the end of each day, tally the totals to be sure you're still on budget. You might also want to use envelope budgeting (Envelope Budgeting): Withdraw cash and divide it into envelopes for each day. Once the cash is gone, stop spending until the next day. (Visit Get Rich Slowly to read more about how to track travel expenses and stick to a vacation budget: tinyurl.com/vacation-budget.) If you're planning a trip overseas, take exchange rates into consideration. For example, if you're choosing between Paris and London right now, you'll get the most bang for your buck in merry old England. (Exchange rates change constantly, so check around before you travel.) TipHow far will your dollar go? Use Tripbase.com's travel-cost calculator (tinyurl.com/trip-calculator) to get a rough idea.

If you're trying to pick a place to vacation in the U.S., keep cost of living in mind. Look for areas where you can stretch your dollar. You can have just as much fun in Minneapolis as you can in New York for a lot less money.

TipTo get more money-saving ideas, follow the adventures of Matt Gross, the Frugal Traveler: frugaltraveler.blogs.nytimes.com/. Gross travels around the country-and the world-describing how he saves on hotels, food, and entertainment.

Here are some more tips for making your vacations fun and affordable: - Save up and pay cash. Enough said.

- Plan ahead. While you can sometimes find great last-minute bargains, you're usually better off making travel plans as early as possible. Before you leave, make a list of sightseeing priorities. Use the Web to find free and inexpensive attractions.TipIf you're traveling to Europe, be sure to take advice from Rick Steves (). His website, books, and TV show are packed with info on how to make Europe fun and affordable. I'm a huge fan of his packing philosophy: tinyurl.com/RS-packing.

- Travel light. Experienced travelers always give this advice, but rookies seldom heed it. Even if you're staying in the same hotel for 3 weeks, packing light can prevent headaches. For example, don't bother taking stuff you can buy there, like shampoo.

- Settle for less. If you want luxurious meals and accommodations, you'll pay luxury prices. You can still have a wonderful experience traveling second or third cla.s.s. Yes, this may mean stepping outside your comfort zone, but you'll save money and have a more memorable trip. My wife and I honeymooned in Victoria, British Columbia, for instance. Because our budget was tight, we stayed at a $40-a-night dive outside the city so we could afford to splurge on exploring the island.

- Carry a guidebook. A travel guide is worth its weight in gold. You'll pay $20$30 for a good one, but ultimately the book will save you money. It can give you the inside scoop on the best days to visit museums and tell you about free events.NoteShould you buy travel insurance? According to Consumer Reports, the answer is usually no (tinyurl.com/CR-travel-insurance), though it might make sense if you're in poor health and traveling overseas. If you do opt for insurance, check out the comparison site InsureMyTrip.com.

- Look for discounts. If you're traveling in the U.S., order a copy of the Entertainment Book for your destination city from Entertainment.com. It includes coupons, pa.s.ses, and discounts for a variety of restaurants, hotels, and attractions. Also consider getting a National Parks Pa.s.s ().

- Be flexible. Don't be a slave to your itinerary. Some places will be more interesting than you expected and others less, so give yourself the freedom to adjust your schedule accordingly.

- Eat cheap. You'll want to eat out at least a few times, but for many meals, you can save money by picking up food at a grocery store. Stock up on your first day and eat light-and-easy meals throughout your trip. You'll find this especially handy on days when you're rushed.

- Manage your money. Know which payment method is best for each situation. For example, Visa charges a 1% overseas usage fee regardless of whether you use a credit card or a debit card. And some cards charge more than others to make withdrawals from foreign or out-of-network ATMs. Before you travel, find out your accounts' policies.TipIf you're going overseas, remember to let your bank and credit card companies know you'll be gone so they don't freeze your accounts for unusual charges. Also, be sure to make two copies of important doc.u.ments (like your pa.s.sport, credit cards, and driver license); leave one copy with somebody you trust, and take the other with you.

- Steer clear of souvenirs. Souvenirs are almost always Stuff-you bring them home and they turn into clutter. If you want a keepsake, choose something practical. When we toured Ireland, for example, I bought a wool sweater; whenever I wear it, I remember our trip.

Like so much of personal finance, saving on travel comes down to two things: doing it yourself and going against the flow. When you take self-guided tours, prepare your own meals, and arrange your own travel, you make your vacation dollars last longer. And by avoiding tourist traps, traveling during the off-season, and staying in modest hotels, you can save even more.

Travel for the Adventurous If you're a little daring and have the time, you can use slow travel to escape the tourist traps and get a deeper look at a culture-while saving money, to boot. With slow travel, you avoid hotels and instead base your trip around longer stays in hostels, apartments, rental homes, or other creative accommodations. By staying put for a week or more, you can gradually explore the local culture. In many cases, you'll prepare your own food or share a table with your hosts.

There are two ways to ease into slow travel: - Consider a vacation rental, furnished home, or apartment that you can rent for a week or longer. These kinds of places are often less expensive and more comfortable than hotels. Renting a home in another city gives you s.p.a.ce and flexibility. For more info, check out Vacation Rentals by Owner (), which connects homeowners with travelers. For each available rental, you can view photos, read about its features, and look at renter reviews. Another option is to swap homes with other vacationers; check out HomeLink () to learn more.

- For an even cheaper place to stay, look into hostels. Hostels provide travelers with a bed (usually in a dorm-like setting), shared bathroom, and often a kitchen for cooking your own meals. In big cities like New York or London, hostels can run up to $35 per night-still just a fraction of the cost for a hotel. In smaller cities, they can be as cheap as $10 per night. Though hostels are more commonly used by younger folks, most welcome travelers of all ages. For more info, visit Hostelling International USA ( and and . The following two sections cover two more slow-travel techniques: hospitality exchanges and volunteer tourism.

NoteProfessional traveler Nora Dunn has a brilliant piece at IWillTeachYoutoBeRich.com that describes how to travel the world full-time for less than $14,000 per year: tinyurl.com/dunn-travel. If you've ever dreamed of touring the world, this is a must-read article.

Hospitality exchanges If you like meeting new people, a hospitality exchange is a great way to save money. These exchanges connect folks who have extra room in their homes with travelers who need places to stay. Costs are minimal, and you get an excellent introduction to another culture-even if it's just in the next state!

CouchSurfing (/GRS-couchsurfing.) You'll find similar communities at The Hospitality Club (hospitalityclub.org), Airbnb (airbnb.com), and Servas (usservas.org/), which has been around for over 60 years. (Note that you have to pay to join Servas.) TipHi Everywhere! (hieverywhere.com) is a free site that helps you find (or be) a volunteer tour guide. You tell the site when and where you plan to travel, and if a local guide is available, she can sign up to show you around the city.

Volunteer tourism Some folks want to go beyond sightseeing and get a real feel for the culture, and volunteer tourism is a great way to do just that. Groups like Volunteer Adventures (volunteeradventures.com), Volunteers for Peace (vfp.org), and Se7en (the7interchange.com/) connect people with organizations that need help around the world.

While it's rewarding, volunteering can still be expensive. If you need to keep costs down, consider a work exchange. The site Workaway.info helps travelers see more of the countries they visit while giving something back to the local community. You put in a few hours of hard work each day in exchange for meals and somewhere to sleep. In the process, you experience the local culture, save money, and maybe even learn a new language. The box below has a real-life example.

Your Money And Your Life: A Volunteer VacationJohn is a retired shop teacher from Portland, Oregon. At 73, he spends his summers fis.h.i.+ng in Alaska and his winters in New Zealand (where it's summer that time of year).John lives on his own fis.h.i.+ng boat while in Alaska, and keeps his costs low in New Zealand by ”WWOOFing it.” World Wide Opportunities on Organic Farms-or WWOOF, for short-connects volunteers like John with hosts who need help on their farms.John stays on each farm for about 3 weeks doing carpentry, gardening, and yard work. This sort of volunteering helps him escape the tourist mindset: ”The real benefit of WWOOFing is being in the culture. When I'm there, I get to do all the things the locals do. It really puts you in touch with the rhythm of things.”WWOOF lets you travel the world without spending a fortune. Though John spends 3 months in New Zealand every year moving from farm to farm, his only real cost is the round-trip plane ticket. ”You do your work in exchange for room and board,” he explains. ”I probably don't spend any more than $200 total while I'm actually there.”To learn more about WWOOF visit wwoof.org, where you can read about the group's philosophy and learn how to volunteer your talents for a few days or weeks-or even years.

Travel Tools You used to have to rely on a travel agent to help you find the best deals, but nowadays you can often track down good prices on airfare, tours, and lodging from the comfort of your own computer. There are number of robust websites to help travelers save money on their adventures.

You're probably familiar with the online travel agencies like Orbitz.com, Expedia.com, Travelocity.com, and Priceline.com. But there's another group of lesser-known sites called aggregators-they go out, find the best deals from a variety of sources (including the online travel agencies), and gather that info all in one place. This saves you from having to dig around on dozens of different sites yourself.

Kayak.com, Momondo.com, Mobissimo.com, and Skyscanner.net are all good fare aggregators (though Kayak is by far the most popular). You can't book anything through them, but they help you search for the cheapest flights, hotel rooms, and rental cars, and then point you to the places where you can make reservations.

The problem with big aggregation sites like the ones listed above is that they don't include many small, budget airlines. For that, you need a site like WhichBudget.com, a favorite among international travelers. WhichBudget can tell you which budget airlines fly specific routes. This is especially useful if you can't find a larger airline to get you where you want to go. Budget Flight Finder () offers a similar service.

The web is filled with other tools you can use to get better deals on travel, including: - Travelzoo.com, which bills itself as the largest publisher of travel deals on the Internet. At the site, you can sign up for a weekly email list of the top 20 travel deals on the web.TipMy wife swears by TripAdvisor.com. This site won't help you find the best deals, but it can help you find the best values. TripAdvisor members rate and review hotels, restaurants, and destinations. Using this feedback, you can find out which places are overpriced-and which offer the best bang for your buck.

- Airfare Watchdog () sends you daily or weekly email updates about travel between destinations you choose. If, for example, you want to travel from Pittsburgh to visit your cousins in Phoenix, you can ask Airfare Watchdog to keep you updated on ticket prices. The site also features its top 50 fares of the day.