Saving money isn’t easy. We’ve all faced that situation where we resolve to spend less the next month, but somehow never manage to do it. We encounter numerous buying opportunities, but not every opportunity is to be exploited. If saving is hard for you, here are a few tips that can help you cut down on your spending.
* Create a monthly budget. Following the traditional method of an annual budget may not work in this day and age, with new expenses popping up every day. Depend on annual budgets only for long-term expenses like buying a car or a house.
* Cut down on unnecessary buying and impulse shopping. Go grocery shopping only once a week, and cut out junk foods from your list. This is an easy way to save money and stay healthy at the same time!
* Carpool, use public transport, walk or ride your bicycle to work.
* Don’t always buy branded goods. This is a good time to try out some cheaper store brands or generic products.
* If you possess a cell phone, eliminate your landline. Handling two phone bills will just be another burden.
* Cut down on your electricity use. Read instead of watching television. Switch off all appliances when not in use. Avoid keeping your computer on sleep mode as that consumes power too.
* Use coupons. You can find good ones online for grocery shopping, meals and club memberships.
* Pay with cash. Studies have shown that when people actually see money leave their wallet, the sense of awareness about the purchase is much more than when paying with a credit card.
* If you’re really dealing with a tight situation, move to a smaller house or lodge with a friend for a few days. You’ll save immensely on daily expenditure.
* Everyone has a whole lot of unused items like food packets, beauty products and clothes lying around the house. Use them up instead of going out to buy new ones. Not only will this help shorten your shopping list, it will also help with clearing clutter from your home.
* If saving is not the way to go for you, think of ways to make some money. Hold a garage sale for unused items in your house, work as a freelancer or provide consulting services from your home.
The most important thing to do here is to distinguish between your needs and wants. Ask yourself the question each time you find yourself contemplating a purchase – Do I need this or do I just want it? If it’s a need, and it fits within your budget, go ahead and buy it. If it’s a want, spend some time weighing the impact of your purchase. Be honest about how your purchase will impact your life and then decide if that “want” is really worth the asking price. Cutting your spending doesn’t have to mean lots of sacrifice. Small adjustments are all it takes to make things easier.
Visual Courtesy: http://www.flickr.com/photos/evelynishere/