We had a nice chat in our WhatsApp group about how we can save on Insurance policies. One of the methods discussed was switching our payment mode from monthly to annually. This information prompted a group member to call their insurance company and the representative said that the savings was nominal. Hearing that response led us to create this post and explain why these words matter.

This isn’t the 1st time we’ve heard words such as nominal, inconsequential, minuscule on our DFJ. The reality is that a majority of the saving strategies used by us are small; however, when we lump them together, we get a huge impact.

Do not let these words dissuade you from making small changes, especially when you are trying to find money to get your snowball payments started.

Here are a few examples where these words almost got us:

Many of us overpay our loans. If the institution required $275 monthly, we would pay $300. This was the case for all of our loans and we had discussions on reducing our debt payments to the minimum amount to free up cash but the savings always seemed so small and you guessed it, nominal. When we finally decided to take action, all those “minuscule” amounts gave us a snowball payment of $264 each month. This amount with the minimum payment was then used to tackle our smallest loan. 

Netflix was another one that we initially refused to part with because the payment was so tiny. Now we are saving that money monthly on something that was barely being used. 

The third was interest and small bits of money lingering around all of our accounts. We talked about it and decided that these $5s and $9s spread across various accounts wasn’t that much to help our debt payments so it was left there this entire time, but desperate to be under 5k by December 31st, we revisited this option and was excited when those small amounts totalled over $500 🤑. 

We were guilty of always looking for big savings, big salary increases, big breakthroughs, the big picture but here we are in a much better place than we have ever been using small, but meaningful changes.

“One tree can be considered insignificant in a forest but a forest cannot exist without a tree”  

Why these Matter!

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