My goal is to live a middle class lifestyle but only pay 20-25% of the price other people pay for the same lifestyle. I firmly believe that to do this requires a set of skills, and that over long periods these skills will need to evolve to adapt to changes in the world and technology.

My list of the skills required to achieve 100% value for 20-25% of the cost is always evolving, but here is my running list.

Skills required for optimizing efficiency of spending

1. Find free apps that help you getting things done.

Choose the free option over an identical paid option.

Examples

– free apps, like hellosign for electronically signing documents or faxzero for sending faxes online.

2. Fully utilize services you are paying for through taxes and fees.

Examples

– Using library services for kindle books and audiobooks if they book you want is available. Example savings of $50 a year if you use the library for 5 books you’d normally pay for. You don’t have to do this for every book, but if the book you want is available when you want it, why not get it for free.

– Utilizing rebate programs offered by your energy providers, such as free A/C tune ups.

3. Get education for free.

– Utilizing free in person education events like gardening classes held at your local library.

– Taking free college classes that universities offer through itunes.

– Asking people questions when you get the opportunity to talk to an expert.

– Always Google and/or check youtube for instructional help with DIY.

4. Find Free or Low Cost Entertainment Options.

Examples

– Sign up to email lists for events that are happening in your local area.

– Sing up to email lists for organizations you like that hold free events either regularly or from time to time.

5. Utilize price matching.

Price matching is fantastic in that by definition you are getting the exact same item but at a lower cost, without spending gas money to go to another store.

Spend 5-10 minutes scanning through your weekly mailers looking for items you buy that are on sale. You can also try utilizing Google alerts for items that go on sale less frequently, although this is far from a foolproof method.

6. Comparison shopping and negotiating rates.

– For example, negotiating rates on your insurances and services, like internet. Getting install fees waived and the like.

– Negotiating so you pay under the invoice price if you are buying a new vehicle.

– If you’re going to buy an extended warranty, then carefully researching your options. Square Trade is consistently recommended by people we know. You can also possibly get extended warranty benefits through an AMEX card and not have to pay anything.

7. Utilize include perks, which starts with knowing what they are.

– For example, some credit costs offer extended warranty protection, saving you the need to buy an additional warranty.

– Know which credit cards will give you free CDW when you rent a car. US issued VISA cards will generally give you coverage for rentals up to 15 days, whereas some AMEX cards will give you coverage for rentals up to 30 days. This is useful if you are needing a longer rental.

8. Turn things you own into income producing assets.

For example, if you have home, you may be able to find someone to apartment or home swap with you, rather than your house sitting empty and you paying for a hotel or AirBnB rental. If you’re going away for an extended period, then consider renting your home out while you are gone.

9. Skills for minimizing or eliminating account and transaction fees.

– For example, buying ETFs at a brokerage that offers what you want without a commission.

– Taking advantage of a the 30 free trades per month offered by Merrill Edge for customer with more than $25K in a BoA checking account.

– Using a credit card during overseas trips that has no foreign transaction fees.

– Requesting to get fees waived.

Do it in a day: Scan through your last 6 months worth of bank and brokerage statements and look for fees you’ve been charged. Request fee matching if you’d rather not switch providers, although this may not always work.

Photo Credit: epSos .de under Creative Commons license