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By Kristyn Kusek Lewis, Reader’s Digest Magazine

[Excerpt] They’re just like you. But with lots of money.

When you think “millionaire,” what image comes to mind? For many of us, it’s a flashy Wall Street banker type who flies a private jet, collects cars and lives the kind of decadent lifestyle that would make Donald Trump proud.

But many modern millionaires live in middle-class neighborhoods, work full-time and shop in discount stores like the rest of us. What motivates them isn’t material possessions but the choices that money can bring: “For the rich, it’s not about getting more stuff. It’s about having the freedom to make almost any decision you want,” says T. Harv Eker, author of Secrets of the Millionaire Mind. Wealth means you can send your child to any school or quit a job you don’t like.

According to the Spectrem Wealth Study, an annual survey of America’s wealthy, there are more people living the good life than ever before—the number of millionaires nearly doubled in the last decade. And the rich are getting richer. To make it onto the Forbes 400 list of the richest Americans, a mere billionaire no longer makes the cut. This year you needed a net worth of at least $1.3 billion.

If more people are getting richer than ever, why shouldn’t you be one of them? Here, five people who have at least a million dollars in liquid assets share the secrets that helped them get there.

1. Set your sights on where you’re going
Twenty years ago, Jeff Harris hardly seemed on the road to wealth. He was a college dropout who struggled to support his wife, DeAnn, and three kids, working as a grocery store clerk and at a junkyard where he melted scrap metal alongside convicts. “At times we were so broke that we washed our clothes in the bathtub because we couldn’t afford the Laundromat.” Now he’s a 49-year-old investment advisor and multimillionaire in York, South Carolina.

There was one big reason Jeff pulled ahead of the pack: He always knew he’d be rich. The reality is that 80 percent of Americans worth at least $5 million grew up in middle-class or lesser households, just like Jeff.

Wanting to be wealthy is a crucial first step. Says Eker, “The biggest obstacle to wealth is fear. People are afraid to think big, but if you think small, you’ll only achieve small things.”

Read more.

by Erin Petersen

[excerpt] In times of economic uncertainty, it’s even more important to put yourself in a solid financial position. One good way to do that is to dig out of credit card debt.

Liz Weston, author of “Easy Money: How to Simplify Your Finances and Get What You Want out of Life,” says tighter lending standards make it even more important for people to bring down their credit card balances. “Many credit avenues are being shut off,” she says. “Some people are finding their credit limits getting lower and interest rates getting higher.”

Read more.

A friend of mine sent this list to help you save up to $15,680 this year.

1. Property tax adjustment - Lower home values means lower taxes; also make sure you are not over-insured. (Value $147)
2. Bundle home and auto insurance – Save big by using the same provider for home, auto and life insurance.  (Value $400)
3. Select a higher deductible for auto and home insurance – Lower your premiums by choosing a higher deductible. (Value $150)
4. Bundle cable, phone and Internet – Get more services from one company and save; but be sure to only get what you need.  (Value $240)
5. Reevaluate your mobile phone plan – Check your bill for the past few months and see if you can drop down a level. (Value $240)
6. Maintain back account and avoid fees – Paying your bills online increases awareness of your account activity.  (Value $84)
7. Put money into savings – Set aside $50 each month; it adds up quickly.  (Value $600)
8. Save your loose change – If you save $0.50 a day, this will add up too.  (value $180)
9. Use a flex spending account – Many exployers offer this benefit to prepay for out-of-pocket medical expenses before tax. (Value $250)
10. Bring lunch to work – It only costs you $3/day or less to bring food from home versus $6/day or more eating out.  (Value $780)
11. Eat out two fewer times/month – Make dinner at home instead of eating out.  (Value $360)
12. Pass on beverages while dining out – Some restaurants sell wine at a 575% markup.  They make even more for soft drinks, juices, and coffee.  (Value $100)
13. Bottle your own water - This helps save the planet and saves up to $2/day.  (Value $730)
14. Brew coffee at home – Going to a coffee retailer can be very costly.  (Value $1,156)
15. Buy what’s on sale at the grocery store – Check the weekly ads for specials and seasonal discounts. (Value $1,000)
16. Use coupons for groceries and dining out – If you take a few moments to find the coupons, it will add up.  (Value $2,000)
17. Buy at the dollar store instead of the local convenience store – Find deals on cleaning supplies, gift wrap, snacks and shampoo. (Value $200)
18. Carpool to work - Reduce fuel costs, wear and tear, and traffic congestion.  (Value $520)
19. Slow down and save gas – Driving above 55 miles per hour reduces gas mileage by 20%.  You also lose another 10% when you drive with your windows rolled down.  (Value $200)
20. Change your own car oil – Value $100
21. Air dry clothes instead of using a dryer – For every hour your dryer is on, $1 is lost.  (Value $312)
22. Lower the temperature of your water heater – Switch from 140 to 120 degrees.  (Value $50)
23. Lower your thermostat / heater – Adjust the temperature by 10% while you are at work and save while you are sleeping.  (Value $260)
24. Save water by turning off the tap – Turn off the tap while doing dishes and brushing your teeth.  (Value $50)
25. Skip the pet groomer - Teeth brushing ($11/month), ear cleaning ($9/month), nail trim ($9/month), bath ($10/month), haircut ($25/month).  (Value $768)
26. Buy generic instead of brand name pet food – often you’ll find the same nutrients as the premium brands.  (Value $360)
27. Hold off on the newest movies – Save $8/month and watch on DVD for $1.  (Value $96)
28. Skip the popcorn at the movies – If you do go to the movies, eat first so you don’t purchase expensive food items and treats.  (Value $72)
29. Exercise at home or outside instead of the gym – Save yourself the hassle and money of a gym membership.  (Value $360)
30. Manicure/pedicure at home instead of the salon - Buy your own supplies and do-it-yourself. (Value $300)
31. Extend your hair cuts and visits to the salon – Go every eight weeks instead of six.  (Value $80-260 for men and women depending on services)
32. Cancel magazine subscriptions – If you still need to read it, visit your local library or go on-line.  (Value $500)
33. Negotiate the price on a car – Get a deal by looking at slightly used / pre-owned.  (Value $500 or more)
34. Sell unused household items – Have a garage sale or put it on eBay.  (Value $800 or more)
35. Donate household items - For anything that doesn’t sell, take a charitable tax deduction. (Value $500 or more)
36. Maximize all tax deductions – Pay a professional to make sure you’re maximizing your taxes.  (Value $1,300)

I read an interesting article by Jilian Mincer.  Mincer provides several ways to earn some extra money without having to get another job.

Here’s are her suggestions:

1. Sell unwanted or used items. This is one of the fastest ways to raise cash.  Simply rummage through your belongings and hold a garage sale (aka lawn sale).  Alternatively, there are online services such as eBay and Craigslist to help facilitate the sale too.
2. Consider renting. If you have an extra room or a empty basement, consider renting it out.  If you live in a popular location such as close to a university, resort, or major metropolitan city, it should not be difficult to find potential renters.
3. Give feedback. Many consumer packaged goods companies and retailers solicit consumer feedback.  In exchange for your feedback, the company will reward you with gift cards or free items.  Mercer notes you should not have to pay a membership fee to participate so watch out for potential scams.  She suggests starting with Volition.com or MysterShopper.org.
4. Start It. This last suggestion is my personal favorite.  If you have a dream or skill, start your own business.  Small businesses are the growth engine of the economy.  Think of a product or a service you may be able to offer.

There you have it.  Four simple ideas to help put some extra cash in your pocket during a tough economy.