Here are the 5 financial tips for the 3rd week of December 2011.

Tip no 1 - When you receive a windfall - a raise or a tax refund, you should contribute it towards the retirement savings accounts.

Whenever you receive a financial windfall, use it to improve your financial health. Don't use the money for the useless expenses. Rather, use it to meet your long term goals. Contribute the money to your retirement savings account, and secure the golden years of your life. This money will come handy when you'll retire and have no steady source of income. Even if your children don't look after you when you are old and without any work, you'll be able lead a comfortable life.

Tip no 2 - Be aware of your bank balance and avoid over draft fees.

Have you set up an automatic payment system with your bank to make timely payments to your creditors? If yes, then do go through the account statements once or twice in a month. This will help you figure out your available balance in your checking account and steer clear of the over draft fees. Some banks have increased the over draft fees in the year 2011. So, chances are high that you may have to pay a high over draft fee when your account becomes negative. Keep in mind that if you're unable to pay the bank over draft fees, then your credit score will get hit, which you'll never want.

Tip no 3 - Avoid buying a new car when you have one already.

If you have one car at your garage already, then it is better to avoid purchasing another one. If you don't have sufficient funds in your checking account, then you'll have to take out a new auto loan for purchasing the car. You'll have to pay interests on the new loan. Other than that, you'll have to spend extra bucks for maintaining the new car. You'll have to purchase an auto insurance policy and pay the premiums monthly, quarterly, or annually. If you fail to pay the interest on the new loan or the insurance premiums by any chance, then you're most likely to get into financial problems. The lender may repossess your car and the insurance company may cancel your policy.

Tip no 4 - Consolidate and pay off debt as soon as possible.

If your life has become miserable due to multiple unmanageable debts, then you should try to pay them off through debt consolidation. You may consolidate all your debts into an affordable monthly payment plan with the help of reliable debt consolidators. The debt consolidators will co-ordinate with your creditors and try to merge them into one easy monthly payment plan. However, keep in mind that the consolidators can help you fight with debts only when you send payments to them regularly. If you miss out payments by any chance, then the consolidators may cancel the payment plan all together.

Tip no 5 - Grow your own food.

Grow your own food in your garden. You can grow different types of vegetables and fruits in the garden. This way you can eat fresh vegetables at a minimum cost. You won't need to go to the market for purchasing fruits or vegetables. You'll save money on transport and shopping. If the price of the vegetables increases in the market, then also your financial health won't be affected. Moreover, a garden will add beauty to your home. You'll feel good when you look at your garden after returning from school, college, or office.