3 Ways You May Be Missing Out on Free Money in 2024

If someone were to walk up to you on the street and offer you a $100 bill with no strings attached, would you take it? I would!

But do you want to know how many times that's happened to me? Zero. So it goes.

Still, there are ways you can snag free money in the absence of a kind-hearted stranger coming up and offering it to you. But if you make these mistakes, you could be losing out on free cash that could do a world of good for your personal finances.

1. Sticking with a credit card with a so-so rewards program

The benefit of swiping a credit card when you make purchases is to snag rewards for the things you're buying. But if your card's rewards program isn't great, then you may be missing out on the opportunity to score more cash back with another card.

Many credit cards, for example, have at least one category where you'll get more than 1% cash back on your purchases. So if your current card offers none of those, consider applying for a new one.

If you drive often and you replace your credit card offering 1% back at the pump with a card offering 5%, that's huge. As one example, the Citi Custom Cash® Card offers up to 5% on gas purchases and doesn't charge an annual fee.

2. Not snagging your full 401(k) match

Recent Vanguard data found that 95% of its workplace retirement plans offered a matching contribution. If your employer's 401(k) comes with a match, you should really try to contribute enough money out of your paychecks to snag it in full. Otherwise, you're giving up free cash.

If you can't afford to contribute to your 401(k) based on your current salary, consider a side hustle to claim those matching dollars. So let's say your employer will match 100% of up to $3,000 in annual 401(k) contributions. Maybe you can't afford that $3,000 right now. But if you can earn $250 a month with a side gig, you can make those contributions and end up with a total of $6,000 in retirement savings after a year.

3. Not upgrading your Costco membership

If you're a Costco member, you may be pretty happy with your basic membership and its $60 annual price point. But while an Executive membership at Costco costs double, it also gives you 2% back on your purchases. And you may be surprised at how quickly those add up. So if you don't pay for a membership upgrade, you could end up losing money.

Let's say you spend $300 a month at Costco. That's $3,600 a year, and 2% of that total is $72. An Executive membership only costs $60 more than a basic one, so in this example, you're losing out on $12.

And sure, it's not as if an extra $12 a year is going to have a giant impact on your life. But hey, it's money. It could be enough to pay for a month of streaming content or, in the context of Costco, buy you eight hot dog and soda combo lunches at the food court.

Missing out on free money is really a shame. So if you're not getting great rewards from your credit card, make a change. The same holds true for your 401(k) match. And don't assume you won't benefit from a Costco membership upgrade.