Money-Saving Cell Phone Alternatives

How many cell phone minutes do you use each month? Chances are it’s a lot fewer than you’re paying for.

But even if you do talk a lot, cell phones aren’t always the cheapest way to make those calls. Sure, there are times when only a cell phone will work. But if you do a lot of your calling from home, switch to one of these alternatives to save big each month.

I’ll start with the cheapest option and work up to the most expensive (but still cheaper than buying minutes from the cell phone company.)

Google has a service creatively known as “Call phones from Gmail” that lets you call any phone in the US and Canada from within Gmail. They recently announced it will be free for all of 2013. I tried this out the other day after getting fed up with AT&T’s poor cell phone reception in my apartment, and the calls were crystal clear. The caller on the other end said it sounded like I was in the other room talking.

All you have to do to start making calls is install a plugin and log into Gmail. They also offer free video chats, which I didn’t test.

Another option is magicJack Plus. While the original magicJack required a computer to use, this one works with or without a computer. And that’s a game-changer, because who wants to wait for a computer to boot up before making a call? Just plug the device into your modem, and after a brief registration you’re up and running. You can even transfer your current number.

They’re doing a free 30-day trial right now, so check it out. After that it’s $20 a year.

Finally, there’s Ooma. Don’t ask me how they came up with a name like that, but according to Consumer Reports, Ooma is tops in call quality bar none. That includes land lines from AT&T, Verizon and others.

The most expensive of the three, it’s also pretty darn convenient. You don’t need a computer up and running to use Ooma. Yes, it works through the internet, but it plugs straight into your modem. Just like MagicJack, you plug your home phone into the Ooma device and start talking.

Ooma costs anywhere from $130-$150 for the device, although I saw it on sale at Costco for $100 recently. The only other costs after that are about $45 a year in government taxes and fees. You may be able to save that in one month by reducing your cell phone minutes.

My take: If you don’t mind using a headset and sitting at your computer, the first option is best. But if you like using an actual phone and enjoy the flexibility to move around the house, the other two are better options.

All three of these services offer unlimited calls over the internet for basically zero dollars. If you’re on the fence about reducing your cell phone minutes, take the leap and give one of these a try. Talking over the internet is a heck of a lot more cost efficient that busting your budget with the cell phone company.

The call quality is much better, too.

Related posts:

Low-Cost Options for Cell Phone Service

Ways to Save on your Cell Phone Bill

Photo by telebiz.com

Two Strategies to Use Every Time You Shop

Our baby, Elaina

Our first child was born this past November. As other first-time parents know, babies come with a multitude of expenses.

I’m not sure how many Walmart runs I made that first week, but by the end I knew I didn’t want to see that place again for a while.

During that first week I also found myself in another big box store in search of a specific baby item. This store happened to have a generous price-matching policy through Christmas, which I saw advertised all over the store.

I found the item and noticed the price was a little high compared with prices I’d seen online. I weighed whether it was really worth paying an extra $29 to have it immediately.

In this case, because the comfort of my wife and baby was at stake, there was no question in the end that I was walking out of the store with that item in hand.

As I was standing in the aisle though, I got an idea: Let’s see what other stores around me are charging! I whipped out my phone, opened the ShopSavvy app and scanned the bar code. (Long-time YLL readers will recognize this concept as showrooming.)

There on my screen appeared the lower internet price I’d found earlier.

Then I remembered the price-matching signs I’d seen just minutes before. Would they match the online price? I had nothing to lose.

At checkout, the cashier wanted a few more details about the lower price I’d found. After answering his questions and showing him the results on my phone he let me know that yes, he would give me the lower price!

Then my mother-in-law handed me a coupon she found in their ad at the entrance for $10 off. I ended up getting the item for $10 less than the lowest online price I found!

So what are the lessons here? First, download and use a price comparison app on your phone. ShopSavvy and RedLaser are both excellent choices. Now that comparing prices is so effortless, you have no excuse for not doing the research.

Second, always ask about the store’s price-matching policy. Even when you don’t see one advertised. Bricks and mortar retailers are wary of losing business to online sellers. They’ll often give you a break, but only if you ask.

Now why didn’t I tell you which store I was in or what the item was? Because that’s not important. What is important is that you use the tools available to you to get the best price. Use these two tips to do just that.

More Stores Pushing Loyalty Programs as a Way to Save

Your key ring could soon be very full.

Businesses are hurting. We’re just not spending at the levels we were before the recession started.

Companies large and small have tried luring new customers by offering deals on Groupon and other daily deal websites. These deals have succeeded in getting people in the door, but what they’ve found is that the deals attract mostly bargain hunters and cheapskates. These people come in once for a deal and never return.

Obviously that’s not what retailers want. We know it costs significantly more to attract new customers than to retain current ones. And studies have shown that current customers spend more than new ones. So from the retailer’s point of view, keeping current customers coming back is the gold standard.

This has led businesses to a promotional strategy that’s booming right now: loyalty programs. They come in all shapes and sizes. Among the more popular programs is also one that’s been around for a while: Amazon’s Prime, which offers unlimited free 2-day shipping on most products for $79 a year. Prime’s appeal is that it offers something we all want: free shipping. Amazon has positioned itself as the Walmart of the web with free shipping and good customer service to boot.

Another example is McDonald’s monopoly game. Who doesn’t love Monopoly, right? You go back time and time again, peeling off those little game pieces and filling out your game board. If you’re lucky you’ll win a free Big Mac along the way. I’m not even sure anybody’s ever won the big prize, but that’s beside the point. When businesses make loyalty fun we gladly come back for more.

A final example is the airlines’ frequent flier programs. Many of them have several tiers based on how much you spend each year. The more you spend, the greater your access to benefits like early boarding and plush airport lounges.

Large companies aren’t alone in the game. Over the coming weeks and months you’ll start to see mom-and-pop stores and independent restaurants offering simple loyalty programs to encourage return visits. As an example, a pizza shop might offer a free pizza after you buy seven. You could see spas offering free services after so many visits. These programs will be built to reward existing customers for coming back.

Compare these programs with other types of loyalty I talked about recently: loyalty based on habit or inertia. Your loyalty to a business should be based on how you’re treated and the value you receive.

Some companies actually penalize customers for their loyalty. Among them are cable and cell phone providers, banks, and most auto insurers. They routinely reward new customers with discounts while sticking it to their long-time customers. It’s funny (or sad?) that companies with horrible customer service reputations are most often guilty of this.

Ask yourself why you’re loyal to the companies you do business with. Are you getting a good deal or is inertia at work?

Loyalty programs are a good way for companies to reward repeat customers and maintain their customer base. You benefit too, but only if you’d buy the product or service anyway. If not you’re just throwing money away.

Bottom line: Don’t assume you’ll benefit from loyalty. Use these loyalty programs to sweeten the deal for things you already buy.

Photo by homemadeville.blogspot.com

Uncommon Ways to Save on Medical Expenses

For some families, health insurance costs and other medical expenses make up a significant part of the budget. We’re all aware of some common ways to save on medical expenses. These include using generic medications and reviewing your bill for errors. While these are important, you’re probably already using some or all of these tactics to save money.

What I want to talk about are some ways to save that you might not have considered. Did you know that by not using your health insurance at all you might get a much better price? The LA Times did a story about people who were charged one price if they allowed the hospital to bill their insurance company, and a much lower one if they agreed to pay in cash.

One woman was charged $6,700 for a CT scan through her insurance company, and later found out that if she hadn’t used insurance the price would have been just over $1,000. This is the insurance industry’s dirty little secret: as one doctor who is quoted in the article says, “The last thing the insurance companies want you to know is how inexpensive this stuff really is.”

If you use your insurance to pay for care, you’re forced to pay that insurance plan’s negotiated rate with the hospital. So before you give up your insurance info to the hospital, try to get the cash price out of them. You may be surprised how low it is.

Having health insurance is a good thing for two reasons: it gives you free access to preventive care such as flu shots and health screenings, and it prevents you from becoming bankrupt should you experience a catastrophic health issue. For relatively low-cost services like outpatient surgery and x-rays, it might make sense to pay the cash price if you can.

One health plan that’s growing in popularity is the Health Savings Account. HSAs consist of two parts – a high-deductible health insurance policy and an investment account. The idea is that you act as your own insurer, setting aside money each month in the investment account. You decide which claims get submitted to the insurer. The high-deductible part means that you have to pay a significant amount before the insurer will start paying. But with low premiums, more of your money stays in your pocket.

These plans are meant to insure you against huge medical bills, and are superior to the Flex Spending accounts because you don’t lose any funds at the end of each year. These plans make sense for the relatively healthy who don’t visit the doctor more than a few times a year.

Another option is to buy your health insurance from Costco. Yes, you saw that right. Costco is partnering with Aetna to sell individual policies. So far it’s available in 8 states: Arizona, Connecticut, Georgia, Illinois, Michigan, Nevada, Pennsylvania, Texas and Virginia.

If you’ve received an inflated bill and have tried negotiating with the hospital billing department, you’ve probably realized that you’re not going to get any sympathy. The sole purpose of the billing dept. is to collect as much money from patients as humanly possible. They don’t keep their jobs by cutting you slack. Instead, you want to meet with the hospital social worker or patient advocate.

These people are given more leeway to hear your cause and help you reduce your bills. At the very least, they should be able to set up a payment plan with you. Ultimately, you want to avoid being turned over to collections because that damages your credit.

Next, I have two options for care that you may not have considered. First, see if you have access to a university hospital system near you. University hospitals tend to be less expensive than for-profit and even nonprofit hospitals. When I was growing up my parents routinely took me to the local college for teeth cleanings and other dental work. And while in college I used a doctor in the university health system as my primary care physician.

For non-emergency care, there’s a second (more exotic) option: medical tourism. As you know, healthcare costs in the United States are much higher than the rest of the world. In India and other parts of Asia and the Middle East, you have access to top-quality surgeons and specialists and even 24-hour private nursing care, all for less than the cost of one procedure in the U.S. This is true even when the flight costs are factored in. Plus, you get a free trip overseas out of it! Check with the Joint Commission International to see which facilities are accredited.

Get cash to seek out cheaper care

I believe that a big part of the problem with healthcare is we’re not consumers in the marketplace. Instead, we’re simply bystanders paying the mysterious fees billed to us by the hospitals and insurance providers. There’s an experiment going on in the states of New Hampshire, Connecticut and Indiana, where insurers pay you cash to seek out less expensive care. This puts consumers back in the driver’s seat and gives them an incentive to reduce their cost of care.

If consumers felt more empowered to limit their costs, we’d be well on our way to reducing the country’s medical expenses.

What are some ways you have saved on medical expenses?

Photo by worldofdtcmarketing.com

5 All-Natural Homemade Beauty Products That Will Save You Money

We all want to look good, but some people spend way too much money on beauty products. From wrinkle creams to lotions and potions that promise glowing skin, there is a wide variety of beauty products available today. While it is nice to have a vast selection of beauty products to choose from, many of these products can be quite expensive and can contain harsh chemicals that are bad for your skin. The reality is that many of the beauty products you find on the shelves of stores can be replaced with homemade versions that won’t break the bank or damage your skin. If you want to save money while looking good naturally, here are 5 great homemade beauty products you can create yourself.

1. Yogurt And Fruit. Yogurt and fruit may sound like a yummy treat, but these foods can also give you a great exfoliating facial treatment. A fruit and yogurt facial can be just as effective as an expensive store bought kind.

2. Lavender And Rosemary Hair Oil. If you want to give your hair daily protection while leaving it smelling beautiful, try making a lavender and rosemary hair oil. Simply blend together the lavender and rosemary and rub the oil on a brush before brushing your hair. When blended together, lavender and rosemary makes a nourishing hair treatment.

3. Face Mask. A face mask is the perfect way to bring back the health of your skin. Most store bought face masks can be quite expensive, but it’s super easy to make a face mask at home. For a refreshing apple face mask, simply blend applesauce and wheat germ together and you have an instant face mask. Or, blend together an egg, an avocado, a carrot, and some honey and you’ll have a face mask that is chock full of the vitamins needed for healthy looking skin.

4. Hand Sanitizer. If you want to make a quick hand sanitizer that will leave your hands moisturized and clean, simply blend a little aloe vera gel with some rubbing alcohol and a few drops of your favorite essential oil. This mixture will create a cleansing hand cleaner that is gentle on your skin without costing tons of money.

5. After Bath Or Shower Body Oil. If you want to create a great after bath or shower body oil that will leave your skin hydrated and smelling good, all you need to do is blend olive oil with your favorite scented oil. Almost everyone has olive oil in a cabinet somewhere which makes this soothing after bath or shower oil really simple to make.

Looking good doesn’t have to cost a lot of money. With just a little creativity and imagination, you, too, can create all natural homemade beauty products. Not only are homemade beauty products cheaper than store bought brands, but they do not contain harsh chemicals that can damage your skin or hair. If you want to save money while giving your skin or hair exactly what it needs to look and feel healthy, try creating one of the above listed homemade beauty products.

Gracie Coster enjoys writing about fashion, health, and term life insurance quotes.

[Editor’s Note: Thanks for the guest post, Gracie! As a guy, this is a topic I know nothing about. For anyone looking to save on beauty products, give a few of these a try!]