Living was never very easy for most working-class people; it has only got tougher now. As jobs are becoming fewer, salaries are becoming meager, and there is more need for cutting the monthly bills.
Here are some super easy tips for making sure your money goes far.
Make A List Of All Your Expenses
Before you can think of cutting down on expenses, you have to know exactly where your money is going. Making a list of all your expenditure clears that picture for you.
Cut Down On Non-Essentials
Once you have made a list of all your expenses, it is easy to identify non-essentials. Some of these non-essentials are as follows: –
Buying more clothes than one needs
Most people, around the world, have more clothes in their closets than they need, and yet they continue to buy more. This buying more is triggered by easy availability of cheap clothes. And while the clothes may be cheap, over a period of time the money adds up. And you are left with a whole lot of cheap clothes that you do not want to wear anymore. This makes you shop more, as clothes in the store look more attractive than the one in your wardrobe. So, one way to cut down on your monthly bills is to stop buying new clothes. Instead make do with what you already have. Get creative. Mix and match. Use accessories to glamour up. Do whatever but don’t buy more clothes.
Visiting Beauty Parlors For Grooming
A lot of money is spent in visiting beauty parlors for grooming and buying grooming products. Learn home-grooming instead.
Eating Out
Eating out or getting takeaways have become an addiction to most people. Learn to cook or assemble food at home. Carry food from home, wherever you go. Try cooking in bulk, and storing cooked food for future use.
However, there are times when eating out cannot be avoided, especially on special occasions. At times like this, choose an eating joint that is within your budget. Try and decide what you are going to order there, beforehand, and refrain from over-ordering. Also, look for places with happy hours or promos. Some places may be offering some discounts. Or you can redeem your reward points. Don’t come under any pressure to choose the most expensive dishes. It also serves to eat a small meal at home, before heading out, so that you will not be super-hungry when you get in the restaurant.
Avoid drinking alcohol when you eat out because that costs a lot. Stick to soda or water.
Transport Expenditure
One easy way to cut down transport expenditure is not to own a car. This immediately cuts down maintenance costs, insurance and gas. You can easily rent a car when needed. You can also go for car-pooling or use public transport. Cycle to work or walk, if possible.
Ditch The Brands
If you can simply let go of your obsession with brands, you can save a lot of money.
Opt for unbranded or local stuff instead. Purchase things on sale or in thrift stores. Stay within your budget.
Manage Subscriptions
Most people have gym subscriptions, club subscriptions or cable subscriptions. You can easily cancel them all out. Work out at home. Disconnect the cable cord. Eliminate organized fun activities. Develop some hobbies that do not need any investment.
Look for cheap Internet and phone services.
Save Money On Housing
Whether you are paying rent or a mortgage, most people end up paying up to half of their income on housing. If you can consider co-habiting with people, you can pool in precious resources. You may think of taking in paying guests or subletting your place. You may also consider relocating.
Do not compete with others; downgrade your living style, if need be.
Use Credit Card
Using a credit card for all your purchases is like getting an interest-free loan for a few days. And if you can make full use of all the discounts offered on purchase with your credit card, you are wise. The more you purchase on your card, the more reward points you can collect and redeem. However, do pay all your monthly bills on time, to avoid accruing any unnecessary interest.
Review all your wants and desires. Hold back before buying anything which is out of your budget. If that item is super essential, use your credit card to buy it at interest-free installments. Invest some money through a systematic investment plan. Do not touch this money unless there’s an emergency. Be discretionary about your savings.
Make Extra Money
If you take an inventory of all that you have at home, you will find things that are not being optimally used. Selling this stuff will not only fetch you extra money it will also keep your home clutter-free.
Consider Overspending A Mental Disorder
It is a well-known fact that every spendthrift is suffering from some void in life. If you are a compulsive shopper, look for any underlying dissatisfactions in life. Cutting out stress from life makes one a more satisfied person.
You know you are overspending if you can barely pay the minimum monthly bill on your credit card. Learn to live below your means; always save some money, instead of overspending.
Plan your shopping errands, so that you do more things on a single visit out. This will cut down on fuel costs.
Give yourself a 7-day challenge
If cutting down on monthly bills is an issue with you, offer yourself some challenges. Buy all the stuff that you may need for a week; and do not get into any store for 7 days, whether it is online or offline. Try and make do with all that you have. This will help simplify and minimize your daily needs.
The simple and minimalistic life invariably keeps us simple and stress-free. It also helps us live within our means. This is the secret of happiness in life.