Money Management

Want to save money on groceries? See how Costco can save you hundreds of dollars per year on eggs, ground beef, rotisserie chicken — and more. [[{“value”:”

Shopping at Costco can be a smart move for your personal finances. This warehouse retail club offers sizable discounts on big-ticket items like furniture, electronics, and even cars. But along with Costco “treasure hunts” and serious savings on major purchases, Costco gives big discounts on everyday grocery items.

Saving money on groceries is especially important during times of high inflation. In the past few years, from 2019-2023, food prices increased by 25%. Buying food in bulk and choosing Costco’s private label Kirkland brand can help you cut your grocery bills while still enjoying delicious meals and premium products.

Let’s look at a few top finds to see how much Costco can save you on groceries compared to a typical supermarket.

(Note: All prices listed are for online purchases as of Feb. 19, 2024; pricing will vary based on location. I compared prices of Costco Same-Day in Des Moines, Iowa with Hy-Vee, a major regional grocery retailer in the Midwest.)

1. Paper towels

Select-a-size paper towels are one of the most versatile, helpful household products. Whether you need to wipe up messes, clean the kitchen counter, or cover up a dinner plate for spatter-proof microwaving, being able to choose just the right amount of paper towel makes everyday life a little easier and neater.

Costco offers a massive bulk-volume discount on sturdy, absorbent, two-ply, select-a-size Kirkland brand paper towels. You can get 12 rolls of 160 sheets each (1,920 sheets), for $22.80 — about $1.90 per roll or about $0.012 per sheet. A regional grocery chain in my area offers 12 rolls of brand-name paper towels, but you only get 90 sheets per roll (1,080 sheets) for $22.18, or about $0.021 per sheet. The same amount of paper towels at the supermarket would cost $39.43.

Costco savings vs. supermarket: $16.63

2. Organic ground beef

Whether you’re making winter chili or gearing up for warm weather burgers on the grill, ground beef is a helpful ingredient for many meat-eaters’ meals. Costco offers four pounds of Kirkland Signature Organic Ground Beef for just $23.27 (about $5.82 per pound).

My local regional supermarket sells its store-brand grass-fed organic ground beef for $10.49 per pound. That means the same amount of ground beef that I can get for $23.27 at Costco would cost $41.96 at my local regional supermarket.

Costco savings vs. supermarket: $18.69

3. Eggs (grade A, large)

During the sky-high times of food price inflation during 2021-2022, many people were horrified by the price of eggs. Although egg prices have come down significantly since their peak, saving money on eggs is always a good idea. Costco sells a big box of Grade A Large eggs (18 eggs) for $4.08 (about $0.23 per egg). The same size package of Grade A Large eggs at my local supermarket would cost $6.79 ($0.38 per egg).

Costco savings vs. supermarket: $2.71

4. Rotisserie chicken (cheaper than cooking your own)

Costco is famous for being a cheap place to eat, whether it’s the $1.50 hotdog combo at the snack bar, or the $4.99 rotisserie chicken. You can order a Costco rotisserie chicken online and have it delivered to your home for $5.84 (plus delivery fees).

Not only is this chicken cheaper than a lot of fast food restaurant meals, but it’s also cheaper than buying your own entire raw chicken and cooking it yourself. My local regional supermarket sells a whole raw chicken (all natural, cagefree, 4.40 pounds) for $12.19.

Costco savings: $6.35 (plus cooking time)

5. Bagged salad kits

Sometimes the best way to eat your five-a-day of fruits and vegetables is to buy a fresh bagged salad kit. Not everyone has the time, energy, and attention span necessary to keep track of an entire package of mixed greens or chop fresh salad ingredients every day.

Costco does the salad prep work for you with its bulky bags of salad. The Costco Organic Caesar Salad kit costs $10.52 for 24 ounces of chopped, bagged, leafy green goodness. My local supermarket sells a Dole Ultimate Caesar Salad Kit (non-organic) for $4.79 for an 8.9-ounce bag. That means the same amount of salad in Costco’s big bags would cost $12.92 at the supermarket.

Costco savings: $2.40

Bottom line

If you bought all the groceries on this list, you’d save about $35.93 in a single shopping trip at Costco, compared to a typical supermarket. If you bought just these items once a month, you’d save $431 per year. Shopping at Costco is often a great way to save money on everyday grocery purchases, big ticket items, and even prescription drugs. Saving money on groceries, along with the other benefits of Costco membership, can be a big boost to your personal finances.

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We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool has a disclosure policy.

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Credit card rewards can be valuable, so if you’re working hard to earn credit card rewards, use them. Find out why you shouldn’t hoard your credit card rewards. [[{“value”:”

Many people use credit cards to pay for everyday purchases. Using a rewards credit card allows you to get rewarded when you spend money. If you use rewards credit cards, you should plan how to redeem your rewards for maximum value.

A lot of people wait to redeem their points, thinking it’s best to wait until they earn more. But that could be a poor strategy. Discover why you may want to redeem your credit card rewards sooner rather than waiting to use them later.

Here’s how Americans are using their credit card rewards

The Motley Fool Ascent recently conducted a research study to examine Americans’ generational credit card habits. The 2023 Generational Credit Card Habits study found that rewards credit cards and cash back credit cards are popular choices for Americans.

The study polled 2,000 Americans, from baby boomers to Gen Zers. Fifty-six percent of all respondents have cash back credit cards, and 49% of respondents have rewards credit cards. However, the study also found that nearly half of all respondents aren’t rushing to redeem their credit card rewards.

In fact, 49% of all respondents allow their credit card rewards to accrue as long as possible. Only 25% of all respondents redeem their rewards as soon as they can. It’s essential to make redemption moves that match your needs and goals. But you may want to rethink your redemption strategy if you’re sitting on a stash of credit card rewards.

Three reasons not to hoard your credit card rewards

Perhaps you’re waiting to redeem your rewards until you reach a goal you’ve set, or you’re still trying to figure out how to use your rewards in the best way, so you’re not in a rush to make a redemption move. But hoarding your rewards could come with unintended negative consequences.

Here are a few reasons why you should reconsider holding on to your credit card rewards.

1. Credit card rewards programs can change

Credit card rewards programs evolve, and the program benefits available today may differ a few months or years from now. For example, your credit card issuer may change what redemption methods are available to cardholders. If you hope to redeem your credit card rewards in a specific way, don’t wait. Otherwise, you may miss out.

2. Your rewards may become less valuable

The value of your credit card rewards can change over time. One reason is that credit card issuers can make programs and redemption changes at any time. Your rewards can also lose value as you continue to pay annual fees while your points or miles sit unused. You can maximize the value you get from your points or miles by making a redemption sooner.

3. You could lose your rewards

Most credit card rewards don’t expire if you keep your card and your account is in good standing. But if your credit card issuer decides to shut down your account with little notice, you could lose your points or miles. Credit card companies can cancel accounts for various reasons, such as account inactivity or breach of account terms. If you want to make sure you get to use your rewards, don’t hoard them forever.

Put your credit card rewards to use

You’ve earned your credit card rewards, so use them. If you need help deciding how to use your rewards, look online for guidance. The Ascent publishes various credit card articles on maximizing your credit card rewards. You can benefit from your hard work by using your points and miles. And if you’re looking for a new credit card, check out our list of the best credit cards.

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We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Discover Financial Services is an advertising partner of The Ascent, a Motley Fool company. Natasha Gabrielle has no position in any of the stocks mentioned. The Motley Fool recommends Discover Financial Services. The Motley Fool has a disclosure policy.

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Cruising off-season allows you to score free upgrades and onboard credits while avoiding crowds. Find out the secret perks of off-season cruising. [[{“value”:”

If you want to take a cruise but are balking at the potential hit to your personal finances, one option is to plan an off-season cruise. Peak season and off-season will vary somewhat depending on your destination, but summer months tend to be most popular with cruisers since the kiddos aren’t in school.

Cruising during less popular months can offer some major benefits. And since we’re smack in the middle of “wave season” — the time of year between January and March when cruise lines offer their best deals — you could secure serious savings right now. Here are five perks of setting sail during the off-season.

1. You can snatch up last-minute fares

The obvious reason to book a cruise off-season is that it’s cheaper. But when you’re willing to cruise off-season and your dates and destinations are flexible, you can score some especially sweet deals. Considering that cruise prices were up 10% to 15% in mid-2023 compared to 2019, that price relief may be especially welcome.

Cruise lines tend to offer their best deals far in advance. But they often drop their prices shortly before a sailing date to fill up empty cabins — which you’re most likely to find outside of peak season. In fact, some cruise lines like Royal Caribbean and Princess even have web pages devoted to last-minute deals. If you’re a Costco member, you can also search Costco Travel for last-minute cruises.

2. Get a cabin upgrade

Because ships are more likely to have empty cabins during off-season, you may be able to get an upgrade if you cruise during less popular months. Some frequent cruisers report that they’ve landed a free upgrade to an ocean view when they’ve booked an inside cabin, or a balcony cabin after booking an ocean view. Some cruise lines also let you bid for an upgrade.

3. Score free onboard credits

Cruise lines frequently offer free onboard credits to passengers who book during less busy periods. You could land perks like a complimentary drink package, free wifi, or credits for shore excursions.

4. Take advantage of repositioning cruises

A repositioning cruise could be a good bet if you enjoy at-sea days more than port calls. Repositioning cruises tend to happen when peak season is ending in one region but winding up in another. For example, you might find a repositioning cruise that takes you from Hawaii to Australia, or from Seattle to Miami, though bear in mind, of course, that the cruise will always end in a different place than you started.

Because repositioning cruises can be a bit inconvenient for some and consist mostly of at-sea days, the fares tend to be steeply discounted. As of this writing, for example, Celebrity Cruises lists several 12- to 14-day repositioning cruises for less than $1,000 per person.

5. Avoid the crowds

On the other hand, if you want to visit lots of different ports of call, taking a traditional off-season cruise is a better option. You can savor the sites without throngs of other tourists. Since you’re traveling during less popular times, you could also score better deals on airfare if you’re flying to your port of departure, or on hotels if you decide to extend your vacation before or after the cruise.

How to get the best deals on cruises

Off-season is a great time to find deals on cruises. But make sure you score the best deal possible by booking your trip with the right credit card.

The best credit cards for cruises offer hefty rewards for travel purchases, including cruise fares, and also provide benefits like free trip cancellation insurance and no foreign transaction fees. You want a credit card that offers you maximum rewards for your travel, whether your vacation is on land or at sea.

Alert: our top-rated cash back card now has 0% intro APR until 2025

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a lengthy 0% intro APR period, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Robin Hartill, CFP® has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool has a disclosure policy.

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Auto insurance is one of the costliest parts of owning a car. Discover how you could quickly lower your rates and make your policy more affordable. [[{“value”:”

Auto insurance is a must-have for every driver. It’s legally required in most states, and considering how expensive an accident can be, you wouldn’t want to drive without it.

That doesn’t make the cost of car insurance any easier to stomach. The average is $251 a month, according to data gathered by The Motley Fool Ascent. That’s $3,017 a year, and this number has been rising.

You’re not stuck paying expensive car insurance rates. If you want to reduce your premiums ASAP, here’s what you can do.

The fastest option: Look for discount opportunities with your current carrier

If you haven’t looked for car insurance discounts within the last six months to a year, that could be the easiest way to lower your rates. Most carriers have lots of discount opportunities. These may include:

Bundled coverage: A lower rate for buying multiple types of insurance from the same carrier, such as home and auto insurance.Low-mileage discount: A discount for those who don’t drive often — make sure to look for this option if you work from home.Defensive driving: A discount for drivers who complete a defensive driving course.Good student discount: A discount for students who maintain a minimum grade point average (normally a B or higher).Pay-in-full discount: A discount for paying your entire auto insurance policy in full, instead of in monthly increments.

Car insurance companies typically include a list of discounts on their websites. You can log into your account or call customer service and ask what discounts are available for you. It’s sometimes possible to save 10%, 20%, or more on your premiums by taking advantage of discount offers.

Make sure to shop around for auto insurance regularly, too

This option isn’t quite as fast as adding discounts to your current policy. But it doesn’t take that long.

You can compare car insurance rates online in the course of an afternoon. If you find a quote for a lower rate than what you’re currently paying, signing up for new auto insurance usually takes less than an hour.

Shopping around for car insurance is a good habit. Ideally, it’s something you should do at least once a year, although only 26% of drivers do this. The only way to know if you’re overpaying for insurance is by shopping around.

In many states, car insurance companies even charge higher rates for drivers who aren’t likely to shop around for a lower price. This is known as price optimization.

Getting the best car insurance rates

Car insurance discounts and shopping around are the fastest ways to lower your rates. However, the factors that have the biggest impact on your premiums take longer to improve.

A clean driving record is one of the most important parts of getting cheap auto insurance. Drivers with a clean record pay an average of $2,706 per year, 10% less than the overall average. Speeding tickets, accidents, and DUIs all cause your rates to go up quite a bit.

Your credit score also affects your insurance rates, outside of a handful of states that don’t allow this practice. Drivers with a poor credit history pay over twice as much on average ($4,145) than drivers with excellent credit ($1,947). To build a high credit score, always pay your bills on time and avoid carrying large balances on your credit cards.

Car insurance doesn’t need to be expensive. If you have a clean driving record, a good credit score, and you regularly shop around for discounts and a new policy, you could spend much less on your premiums.

Our best car insurance companies for 2024

Ready to shop for car insurance? Whether you’re focused on price, claims handling, or customer service, we’ve researched insurers nationwide to provide our best-in-class picks for car insurance coverage. Read our free expert review today to get started.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

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Smaller tax refunds mean larger paychecks for you. Here’s how you can shrink your refund for next year. [[{“value”:”

Tax refunds are the prize at the end of the tedious tax-filing process, and you’re not alone in wanting the largest refund possible. The average refund this tax season stands at $1,741 as of Feb. 9. But there are those who get more and others who get a lot less.

A smaller check might seem disappointing, but it has a major upside. Here’s what you need to know to shrink your tax refund for next year.

Remember, it’s your money

A tax refund is money you paid to the government throughout the year that exceeded your actual tax liability. For most people, it’s withheld from your paychecks automatically so you don’t have to set it aside on your own. However, self-employed people may have to send in estimated tax payments themselves.

Some may consider a refund better than a tax bill. But it effectively means you gave the government an interest-free loan for months. Had your tax liability been greater than or equal to the amount you paid during the year, you could’ve had that money sooner, possibly months earlier.

You would’ve been free to spend it on anything you wanted — debt repayment, professional certifications, or even something fun. But instead you had to wait.

You may not care, but if you dislike the idea of the IRS holding onto cash it hasn’t earned yet, you might want to adjust your tax withholding. It won’t help you for your 2023 tax return, but it could make a difference starting next year.

How to adjust your tax withholding

Adjusting your tax withholding is pretty easy: You just file a new Form W-4 and submit it to your employer. But before you can do that, you need to work out how much you want withheld. If you withhold too little, you’ll lose less of your paychecks during the year, but you could wind up with a surprise bill next tax season. Withhold too much and you’ll have more than necessary held back from your paychecks.

The IRS has a Tax Withholding Calculator that can help you estimate how much you should have taken out of each paycheck. You’ll need copies of your pay stubs and your spouse’s too, if you’re married. You’ll also want your most recent tax return and the details of any investment or self-employment income. If you haven’t filed your 2023 tax return yet, you can grab your 2022 return from the tax-filing software you used last year.

This calculator isn’t for those with nonresident alien status or those with complex tax situations. These individuals are better off consulting a tax professional to determine what their tax withholding should be.

It’s a good idea to review your tax withholding whenever you experience a major life change, like:

Getting a new jobGetting a raiseGetting marriedHaving or adopting childrenBuying a home

You may also want to review the results of your adjustment at the end of the year to see how it’s working for you. If you feel it still needs tweaking, you can always change it again.

It can take a couple of weeks for a tax withholding change to go into effect. Talk with your company’s HR department to learn when you can expect the update to occur and reach back out if it doesn’t happen within a couple of weeks after filing your new W-4. Once it does, you’ll be a step closer to earning more of your income during the year — and receiving a smaller tax refund.

Alert: our top-rated cash back card now has 0% intro APR until 2025

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a lengthy 0% intro APR period, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

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