Things You'll Need:
- An open mind!
- Some kind of income
-
Step 1
Look over your bank and credit card statements. Think of cash purchases you frequently make. Consider what is necessary and what is luxury. You may not realize how much you spend on some things. Be honest with yourself. Every time you make a purchase, get in the habit of first asking yourself if it's something you really need or want.
-
Step 2
Make a list of all of the bills you pay each month. Rent/Mortgage, Water, Gas, Electric, Cable, Credit Card payments, loans, etc. Tackle each of these individually.
If you subscribe to a cable service AND a rental service, such as Netflix, consider eliminating one.
You can always cut down on your electric bill by unplugging things (unplug your coffee maker, electric shaver, hair dryer and other small appliances between uses). Turn off power strips when not in use. If you have central air or heat, turning the thermostat just a couple of degrees up or down can make a huge difference. If you live in a cold place, seal your windows with tape and towels or blankets to keep the cold out.
Many people don't know that an empty fridge uses more energy than a full one! Keep your fridge and freezer stocked with jugs of water (just reuse plastic water or soda bottles). Once the water chills, it keeps your fridge cold!
More energy saving tips can usually be found on your electric company's web site. -
Step 3
Some people think that it's better to save money in their bank account than pay off credit cards early. Unless you have no interest on your card, you may be losing money this way! Pay off credit cards as soon as you have the money. Your interest on your savings account is probably much less than the interest on your credit card debt.
-
Step 4
You may spend more money than you think on food while you're out of the house. One way to cut costs is to bring a reusable water bottle with you. This can be a store bought bottle or a bottle from the last 20oz drink you bought. Rather than throwing it away, or even recycling it, REUSE it! After it starts to look dingy, you can replace it for the cost of a convenience store drink. (Then fill the old one with water and stick it in your fridge to help save on your electric bill!)
If you don't like drinking water, get powered drinks from the super market in bulk. This is usually much healthier than drinking soda. If you must have soda, you can buy 2 liter bottles and refill your smaller bottle for when you leave the house.
If you spend a lot of money on food at work, bringing snacks and lunches can help save money as well. You can eat healthier this way as well! Individually packed snacks tend to add up over a month. Spending a dollar in the vending machine every time you crave a snack? Keep snacks in your desk, purse or backpack instead. You can buy in bulk and prepack these in reusable tupperware or snack bags. For healthy options, make your own trail mix, cut up some carrots or bring a serving of cereal. Soups, tuna fish, cups of noodles, and last nights leftovers all make good lunches. -
Step 5
Spend fewer nights out! Have people over to your home more often instead, where food and entertainment can be much more affordable.
-
Step 6
When your pay check comes, immediately put a set amount away somewhere safe. If you'll be tempted to spend it if it's in your savings account, get a second savings account which is more difficult to access. Even a small amount adds up after a while. Make a goal, such as a set amount to go on vacation, buy a new appliance, car or something else. Figure out how much you can afford to put away and make sure you do it each pay check until you reach your goal.
-
Step 7
Watch what you throw away! Rather than spending a few dollars on new tupperware, save plastic containers you would otherwise throw away or recycle. Use the back of papers for notes rather than a new notepad.
-
Step 8
Don't be afraid of thrift stores! You can find some amazing things if you look hard enough, often at greatly reduced prices. Junk furniture can be updated with a little paint. Clothing and linens can be bought for a fraction of the price, and you'll find unique patterns that your friends will admire. Make it a fun day with a friend!
