You Could Earn $1,370 in One Year With This Card

Why Your Checking Account Should Contain as Little Money as Possible

A bank account is an excellent place to keep your money so it’s organized and readily available when needed. Many people keep their cash in a checking account. But, while you want to stash enough money in your checking account to cover your bills and everyday expenses, you want to avoid keeping all of your cash there. I’ll explain why here, and suggest a better place to stash your extra savings.Don’t miss out on interestThe average checking account doesn’t accrue interest. That means you won’t get rewarded for keeping money in your bank account. Instead of keeping all your cash in your checking account, you should only keep enough to cover your monthly expenses. You may want to keep a bit more than just enough to cover your bills. That way, you’ll be covered if you have an unexpected charge or a more costly bill than anticipated. How much extra should you have? It depends. For some people, a couple hundred extra dollars may be ideal. But for others, it may be a good idea to include a few hundred or up to an extra $1,000 in their checking accounts for extra wiggle room.But don’t keep every last dollar you have in your checking account. If you do, you’ll miss out on interest. Instead, move your extra savings into a bank account that accrues interest. With an interest-earning bank account, you’ll get rewarded as your cash sits in the bank.  You could earn money with a savings accountMany people keep extra cash in a savings account. Review the bank’s annual percentage yield (APY) when considering a new savings account. This rate is the amount of money or interest you’ll earn over a year. The higher the APY, the more money you can make. You can take advantage of an attractive interest rate by opening a high-yield savings account. At the time of writing, the bank accounts on our best high-yield savings accounts list offer APYs ranging from 4.30% to 5.26%. If you have a significant amount of extra cash and keep it in an account like this, you can earn money without doing extra work. $5,000 in savings accumulates this much interest To determine how much interest you can earn by moving your extra cash to a savings account, multiply your initial deposit by the APY your bank account offers. This will show you how much interest you can earn by keeping your money in the bank for a year. Let’s imagine you have $5,000 extra sitting in your checking account right now. If you instead move that money to a high-yield savings account with an APY of 5% and you keep it in the bank for an entire year (and your APY doesn’t change; note that banks can raise or lower APYs at any time), you’ll earn $250. That’s much better than making $0 by keeping your savings in a checking account that doesn’t accrue interest. Now you can see why it pays to avoid keeping all your money in a checking account. You can earn extra money from interest by keeping your spare cash in a savings account that offers interest. For additional tips like this, check out our free personal finance resources. 

3 Reasons I Don’t Like Aldi as Much as I Used To

By: Maurie Backman |
Updated
Sept. 13, 2023 – First published on Sept. 13, 2023

At some point in 2022, I discovered Aldi and began shopping there weekly. I found that I was able to save money on my grocery bill by purchasing certain produce items there. And since I happen to have an Aldi adjacent to my local Costco, it wasn’t particularly out of my way.But over the past few months, I’ve become less enamored with Aldi. Here’s why.1. The selection is just too limitedAldi — at least near me — is a minimally stocked grocery store. The shelves aren’t loaded the way they are at my nearby ShopRite and Stop & Shop.To be fair, this was the case when I first started shopping there. But because there’s just not a lot of selection, I’m generally limited to only buying a few items when I pop into Aldi.Not so long ago, I was running into Aldi for some fruit, which I usually buy there, and I needed to grab shredded cheddar cheese. Normally, I get that at Costco, but I didn’t want to run next door to Costco and wait in a line for cheese alone. Unfortunately, though, Aldi didn’t have the cheese I needed, so I had to make an extra stop anyway.2. The inventory is too inconsistentNot only is there a limited selection of food items I can buy at Aldi, but sometimes, I can’t even find the five or six things I’m looking for. Aldi was once my go-to source for avocados, since it’s an expensive purchase and Aldi tends to sell them for less than Costco (at least in my area). But the last few times I stopped at Aldi, avocados weren’t in stock.And that’s happened to me with other things, too. Over the past several months, I’ve struggled to find everything from cucumbers to strawberries at Aldi as well.3. What the store saves me on groceries, I lose via lost working hoursShopping at Aldi still has the potential to save me a little money on groceries. At a time when supermarket prices are up 3.6% on an annual basis, that helps.The problem, however, is that even though Aldi is right near Costco in my neighborhood, thereby allowing me to combine those trips, it still takes time to visit an extra supermarket. I have to find parking, wait in a checkout line, and spend time searching the shelves.While it’s nice to save $2 here and $3 there, the reality is that a stop at Aldi might cost me 20 or more minutes of work — especially when I don’t manage to find the things I need. And losing out on that work time often means forgoing more than $2 or $3 of income. So from a time perspective, it’s just not worth it.Shopping at Aldi could make sense for a lot of people. If you’re someone with flexibility in your schedule and grocery list, and you’re not so picky about the brands you bring home, then it could pay to spend the time visiting Aldi, even if you don’t always manage to find all the things you need. But I’ve reached the point where shopping at Aldi makes less and less sense for me, so I’ll most likely stop going there unless it’s a one-off basis.

5 Amazing Costco Buys for Less Than $10

Costco is a favorite among bargain hunters. But because it’s a place where you typically buy in bulk, it’s often not great when you only want to spend a few bucks. Believe it or not, though, there are some deals at Costco for $10 or less. Here are five amazing Costco finds that will set you back no more than $10.1. Rotisserie chickenNot surprisingly, the $4.99 rotisserie chicken tops this list. Costco debuted its famed bird for $4.99 way back in 1994. It briefly raised the price by $1 during the Great Recession in 2008, then knocked it back down to $4.99 one year later. Had Costco raised its prices to keep up with inflation since 1994, that chicken would cost $10.48 today.Costco’s rotisserie chicken will always be a fan favorite for those looking for an effortless dinner. Just be aware: Costco keeps the prices low because its rotisserie chicken is what’s called a loss leader. The warehouse giant is willing to lose money selling them because it knows it can get customers into stores, where they’ll probably buy more than just a chicken.2. Hot dog and soda comboCostco has raised the prices of many of its food court items in recent years, but the price of one perennial favorite shows no signs of budging: the hot dog and soda combo, which has cost $1.50 since it debuted in 1985. Adjusted for inflation, the hot dog and soda combo should cost $4.28. Last year, during a quarterly earnings call, Costco chief financial officer Richard Galanti said the warehouse giant could keep the $1.50 price point “forever.”3. Kirkland Signature Creamy Almond ButterYou can use almond butter as a salad dressing ingredient, slather it on toast, put it in baked goods, or just eat it straight from the jar. If you’re the type who likes to devour almond butter by the spoonful, you don’t want to pass up a 27-ounce jar of Kirkland Signature Creamy Almond Butter, available for just $7.99. That works out to less than $0.30 per ounce. By comparison, a 16-ounce jar of Trader Joe’s Creamy Almond Butter Salted costs $6.99.4. Olde Thompson Kosher Sea Salt, 5 lbsSea salt has plenty of uses that go beyond cooking. You can use it for cleaning, as an exfoliant for your skin, and sprinkle it around your garden to keep unwanted bugs away. For just $5.99, you can score a 5-pound jar of Olde Thompson Kosher Sea Salt and keep it handy for all your household and kitchen needs.5. Bisquick Pancake & Baking Mix, 96 OuncesBisquick is another one of those things that’s handy to keep in your pantry. You can use it to whip up a quick batch of pancakes or waffles for breakfast or keep it on hand for a variety of baked good recipes. A 96-ounce box of Bisquick is available at Costco for $8.89. It’s normally priced at $10.99, but there’s a $2.10 manufacturer’s discount that’s good through Oct. 8, 2023.What are the best deals at Costco?Since Costco tends to sell large quantities, you’ll typically find that a lot of the best deals cost well above $10. Regardless of the exact price, it usually makes sense to buy products at Costco that have a long shelf life. For example, even if you find great deals on fresh produce and milk, you probably don’t want to load up on these items unless you’re feeding a large crowd, as they’ll go bad quickly.Also, make sure you look beyond the grocery department for savings. For example, getting your prescriptions from Costco Pharmacy or using Costco to fill up your gas tank could also save you money.If you want to maximize the benefits of your membership, try shopping with a Visa credit card that offers rewards. (Costco only accepts Visa credit cards.) That way you can earn travel rewards or cash back when you load up on groceries and other necessities.

6 Little-Known Perks of the Costco Shopping App

By: Steven Porrello |
Updated
Oct. 3, 2023 – First published on Oct. 3, 2023

It’s no big secret that Costco is hands-down, second-to-none, dead last, in its adoption of digital and mobile technology. True, its website has come a long way since the days when it offered little navigational help and basically left you up a creek without a paddle — or a kayak (or a CLIF bar). Even today, its website can feel as dizzying as a first-time experience at a foreign bazaar. Perhaps it was with those low expectations that I recently downloaded the Costco shopping app and found myself not entirely disappointed. I guess I’m not alone: on the Apple App Store, the Costco Shopping app has 4.9 stars, while Google Play reviewers have given it a cumulative 4.7 stars. Could we all be deluded? I suppose. But if pressed, I’d say the following six perks were a nice surprise. 1. Check your rewards balance If you’re an Executive member, the Costco app will give you an estimate on how much cash back you’re earning. You can find it by clicking on “Account,” then navigating to the “2% Reward” tab under “My Wallet.” Costco even has a cool rewards gauge that shows you how close you’re getting to $1,000 in rewards (the maximum you can earn in a 12-month period). 2. Compare gas prices Your Costco app uses your location to show you gas prices at warehouses near you. Just click on the “Warehouses” tab at the bottom of your screen and click on the location where you shop. Costco itself admits that the prices aren’t updated frequently, so it may be a few pennies off. But in my experience the app has been surprisingly accurate. 3. Find promotions and ongoing sales The headliner perk on the Costco Shopping app is the deals it’ll push to your phone. No more wandering around the warehouse hoping to find something that’s below full price. With the Shopping app, you can narrow down ongoing sales into five categories: In-Warehouse and Online SavingsWhile Supplies LastTreasure HuntWhat’s New New Lower Prices The app also lets you “swipe to clip” certain deals as if you’re adding them to a coupon box. It’s not the most advanced technology — it doesn’t, for instance, pick up on my spending habits and send me customized coupons — but I like having all my favorite Costco deals in one place. 4. Store my membership card That’s right. No more visiting the service counter when you forget your card. Once you sign in to your Costco account on the app and verify your identity, you can pull up your digital membership card on the spot. The app will even let you add your Costco Anywhere Visa® Card by Citi if you have one. 5. Make shopping lists The Costco shopping app lets you make custom shopping lists. The feature is so easy to use, in fact, I’ve been using it for other grocery stores, not just Costco. You can also make a shopping list of Costco products found online and have it synchronized within your app. That way, if you see something you like online, you can check its availability in the warehouse. 6. Look up receipts The Costco Shopping app gives you an easy way to find old receipts. Just go to “Account,” then navigate to “Orders and Purchases” to find receipts for online and warehouse orders. While you don’t need a receipt to return items to Costco, having the bulk of them could be useful for personal finance management, as you can get an overview of how much you’re spending at Costco per month. All in all, the Costco shopping app isn’t poorly built. It has a long way to go — for instance, it could use a scan-and-go feature — but for the average Costco shopper it can add value to your shopping experience. 

5 Things I Always Buy at the Dollar Store

By: Brittney Myers |
Updated
Oct. 5, 2023 – First published on Oct. 5, 2023

The dollar store is this sort of magical place where, if you hunt through aisles of junk, you can occasionally find an absolute gem of a deal. But the key to keeping the dollar store a boon to your personal finances — rather than a hazard — is to learn to identify the difference between the junk and the deals.I’ve been visiting my local dollar stores for forever (give or take), so I’ve purchased my fair share of stuff that’s wound up in the garbage. I’ve also managed to find some go-to items that always give me great bang for my buck. Here are a few things that always wind up on my dollar store shopping list.1. Gift bags and boxesI am a terrible wrapper. Despite my best attempts, it always comes out uneven, wrinkled, and inevitably torn. So, I love gift bags. What I don’t love? The price of gift bags. Who is paying $5 a pop for something the recipient will more than likely toss? Not me!The dollar stores near me have a surprisingly awesome selection of gift bags. You can get fantastically festive holiday bags, glittery birthday bags, and even more tame bags for any occasion.You aren’t limited to bags, either. You can get boxes of all shapes and sizes, including small ones ideal for trinkets or gift cards. And don’t forget the accoutrements, like tissue paper, ribbons, and bows — all available at the dollar store for a fraction of the department store cost.2. Greeting cardsIn a world of digital this and e-that, there’s something utterly charming about receiving a physical greeting card. What’s less charming is paying $7 for a simple card (and twice that if you want something fancy). Not only does my local Dollar Tree have a great array of greeting cards for all occasions, but they even have lots of choices priced at two for $1. The envelope is even included.Are the cards cute, sweet, and/or funny? Absolutely. Are these cards going to sing and dance? Not without a magical incantation. But does a greeting card need to do all that? It’s what you write inside that the recipient will really remember.3. Seasonal decorDollar stores have a remarkably good arrangement of seasonal decor items, especially if you catch them right after a transition from one holiday to another. You can find indoor decor, from tableware to tea towels, as well as exterior decor. For instance, Halloween brings out the plastic spiders, posable skeletons, and pumpkins galore. I particularly like hitting the dollar store for seasonal napkins and paper plates. For less than $5, I can pick up a variety of plates and napkins, adding a festive touch to my table while also cutting Thanksgiving clean-up time in half.4. Hobby and craft materialsThere are a remarkable number of hobby and craft goods you can pick up at the dollar store. Want a painting project? Pick up some craft paint and a small canvas for a buck each. Looking to try your thumb at gardening? You can find seeds, dirt, pots, and even plant markers if you’re hitting the dollar store in the spring or summer.The same is true if you like to DIY gifts. The selection of florals changes regularly, as does the various types of glassware, from votives to champagne glasses. And the selection of photo frames is surprisingly decent.5. Cleaning suppliesI like to DIY a lot of my cleaning supplies — you can get a lot done with some vinegar and elbow grease! — but the dollar store is where I get a lot of the rest. Sponges and cleaning cloths? Cheap and abundant. Pads for the mop? A fraction of the price of the name brand. It’s not all knock-off brands, though. You can get brand-name cleaning supplies at the dollar store, just in smaller amounts than you’d find on the grocery store shelves. I’d argue that these are far more usable sizes, however. Do I use a capful of bleach now and then? Of course. Does that mean I need a 64-ounce jug taking up half the space under my sink? Nope!Shop with cash for a hard budgetHave you ever walked into the dollar store to pick up one or two necessities — and somehow spent $30 on you-don’t-even-know-what? Yep, me too!If you have an inner bargain gremlin (I call mine Sal), then seeing a veritable smorgasbord of “deals” can be overwhelming. So overwhelming, in fact, that both my Junk Meter and my Budget Meter get all out of whack, leading me to overspend on nonsense I don’t even need.My solution? Cold hard cash, baby. Yes, I know, I’m usually the first one to tell you to bust out your rewards credit card for pretty much everything. But the dollar store falls into that “pretty much” bit. Don’t take your credit cards into the dollar store if you’re soft-willed around low prices (like me). Take cash instead. It makes it much easier to spend only what you set aside for the trip. Your bank account (and junk drawer) will thank you.