Magic must be in the air. Even our middle son Eric -- who has never, ever cottoned to bagged lunches -- packed one the other day and probably saved at least $5. This college student works part time, but last week discovered the agony of having to pay $1,800 or so for a new bumper and rear quarter panel that met a brick wall when he was backing out of a narrow driveway in the dark recently. This story has little to do with the great money saving tips I am about to pass along, except I'll insert it first:

1. Pack a healthy lunch, fill a Thermos of coffee, and spare the environment another plastic bottle by carrying water in a reusable container. Eric now saves at least $5 per day out of his pocket. Take away a couple of dollars, max, for ingredients, and you are still dollars ahead.

2. Paste a sticker that says, 800-FREE-411 (or 800-373-3411) onto both your cell and home telephone. Instead of paying your telephone service up to $3.50 for a telephone number, why not listen to a 10-second commercial and get the number for free? Makes sense to me.

3. Save clothing and dry cleaning bills by applying makeup, hairs spray and fragrances prior to putting on clothing. All can stain and cause undue wear on fabrics that results from repeated cleaning. Also, try spot cleaning your jacket or slacks with a product like OxiClean Spray-Away -- and you may be able to wear the garment another day or so. These steps can help save both your budget and the environment.

4. Start a recession garden. A vegetable garden has enormous harvesting potential and with tomatoes running up to $2.99 per pound, consider how much money could be saved with a few healthy plants (I love to plant basil nearby). A seed and planting budget of around $50 could provide a savings of up to $1,200 per year -- along with hours of enjoyment, plus grateful neighbors and friends.

5. Start composting vegetable scraps, grass clippings, raked leaves, vacuum cleaner dust, dead plants, trimmings and leftover potting soil in a composting bin -- or layer with soil in an area of your garden. You'll attract earthworms and the resulting organic compost will do wonders for both your garden, landfills and the environment. You'll also save substantially on soil amendments and fertilizers.

6. Switch to term life insurance. This could potentially save you hundreds or thousands of dollars each year. Except in rare circumstances, life insurance is not an investment -- and you will be far ahead buying term insurance and investing or saving the difference in premiums. You can easily check term life insurance rates online.

7. Cancel memberships in clubs or gyms you do not use. You might also cancel automatically renewing subscriptions if you are not reading them or can find the same information online. Be sure to check cancellation fees first. Also consider canceling the cable or satellite channels you don't watch. These steps alone could healthily plump up one's monthly budget.

8. Clip coupons and tie them to grocery store weekly specials . More and more Americans are returning to this practice and find that they are saving substantially on their grocery bills. Just make sure you are purchasing products you will use--and that are not overpriced even when discounted. Keep coupons in your bag or in the car so they are on hand when you go shopping.

9. Get out of a cell phone plan early --or into one without making a two-year commitment. There are several services that allow you to do so, including CellSwapper. You may also be in a position to renegotiate your cell phone plan with your carrier if it no longer meets your needs. Become a squeaky wheel!

10. Go green and buy used if possible. You are giving a product a longer life, helping the environment, and can save substantial money as well. Check local garage sales, CraigsList, ebay or local papers to find what you are seeking. It also helps to share your wants and needs with friends, who can aid you in your search. And a final note: With a $1,000 deductible on our auto insurance, it makes sense for Eric to pay for the damage on his own. Given that he will be buying his own insurance policy in a year or so, the impact on his premiums with this claim could create an ultimate cost difference of more than $800.