You can save a lot of money simply by changing some habits in your everyday life. It’s important to keep a cool head in order to stay on your budget.
1- Leave Your Credit Card at Home
If you manage to buy what you need with cash or debit, you’ll never spend more money than what you have. A credit card can be very tempting, because you can buy as much as your personal limit allows you.
It’s easier to prevent impulsive spending if you have only cash with you. By using a credit card, you can lose track of how much you’re actually spending and what you’ve got left. It’s the best way to prevent all surprises when you look at your bank statement at the end of the month.
If you had to use your credit card to cover an unexpected expense or to pay something in installments, be sure to pay off your debt on time. Interest rates can be significantly high and have a big impact on your personal finances.
2. Buy Wholesale
There are many non-perishable products which, bought in advance and big amounts, can be stockpiled. Buying items wholesale is a clever way to pay less to fill your pantry. You can also apply this trick to cleaning supplies.
3. Make Your Own Lunch
Do you usually have lunch at work? Maybe you’re eating out for a low price somewhere near your office. However, nothing’s cheaper than leaving your house every morning with your own lunchbox. You can also save money on coffee if you make it yourself instead of spending $2 every day.
4. Think With a Cold Head About Your Next Purchases
If you plan to make a big purchase, you shouldn’t do it right away. Think about it for some days and decide with a cool head if it’s worth it or not.
5. Create a Budget
As previously mentioned, budgeting is the best tool for you to keep track of your finances. It will allow you to acknowledge all of your spending and adjust as necessary. It is like taking a photograph of your monthly income vs. expenses ratio. Visualizing it will make it a lot easier to understand how you spend your money and to detect any room for improvement.
6. Build an Emergency Fund
It is usually recommended to set aside at least 6 months’ worth of living expenses just in case an emergency occurred. This way, you avoid going into debt in case something should happen.
7. Use the 30-Day Rule
Whenever you want to make a large purchase, apply this rule: take note of the item you want and how much it costs. If after 30 days you still think about having the item, then go ahead and purchase it.
8. Lower Your Utility Bills
Be as conservative as you can with your utilities. For example, simple things like unplugging any appliances you are not currently using or turning the tap off while you are brushing your teeth will lower your bill.
9. Use Coupons
You can find coupons in apps like SnipSnap that will help you find deals and save money in your purchases.
10. Plan Your Groceries
Create a meal plan and buy accordingly. This way, you know exactly which items you need to buy and you will save a lot of money and time. It also helps not to go to the store when you are hungry, because you are more likely to spend money on things you wouldn’t really it otherwise.