To become a "saver" rather than a "spender" requires motivation, discipline, and practicing good savings habits.

The lifestyle of smart savers includes (1) Planned savings and cutting costs (2) Paying off debts, and putting that "borrowed" money into savings instead (3) Not spending to begin with - as in deciding the item is a "want" rather than a need (4) Investing money to make more money and (5) Earning more money.

(1) Thoughtful, pre-planned savings programs tend to become a habit quickly; the money is not missed that isn't put into the budget to begin with. This means some earned income should go into a direct deposit account, a 401(k) program or a separate savings account, which remains untouched for anything but the direst emergency.

Know your money-in/money-out situation. By making a budget, you can spot unnecessary purchases, and you will observe areas which can be reduced or eliminated altogether. You have to "know the flow" before you can stem the tide. Now's the time to put into practice many of the tips you've heard in the past.

Suggestions for cutting costs are listed, from large items to smaller. The ongoing accumulated savings will add up to big bucks. Once you start saving, you'll come up with more ideas of your own.

1. Refinance your home for a lower mortgage rate or buy a smaller home. You should seriously consider this if you're overextended, and the loss of your home is a real future possibility.

2. Get rid of one over-sized, gas-guzzling car and buy a smaller, economy car or motorcycle instead - if you need a 2nd or 3rd vehicle. Rotate car use. (Think "responsible" college student, quick errands, and short-distance drives.) Smaller usually means fewer costs to maintain and store; repair and insure.

3. Get rid of unnecessary "luxury" items like yachts, 4-wheelers, snowmobiles, exotic pets, the 5th cell phone, and the 3rd computer. Sell for a reasonable amount and put the money in the bank or pay down debt.

4. Save on food: Avoid eating out or bringing home fast foods; shop with a grocery list; don't buy junk foods - you are what you eat; buy a freezer and fill it with terrific-sale items; plant a garden; buy in bulk; use coupons; join a food co-op; watch for in-store specials and stock up that extra freezer.

5. Shop second-hand shops for (some great name-brand!) clothing, furniture, children's items, appliances, glassware, etc. at a place like Goodwill or the Salvation Army. Also check out yard sales

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