Things You'll Need:
- Will power
- Copies of bills
- Pencil
- Paper
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Step 1
The first place to look is your recurring costs. This would be your utilities, cable, phone, and other similar bills that come every month. Go through and write them all down, along with the average cost, leaving space underneath for brainstorming. Now go back and take time to think of how you can cut costs for each. Example: ask yourself if you really NEED those extra channels. Most people have more cable than they actually use. Cutting out un-needed channels alone can save a couple hundred a year. Now write down underneath each one your ideas to use for a reference when its time to act.
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Step 2
Think about the electric bill. Is it high? Can cuts be made? Most likely you can answer both "yes". Do you constantly have your cell phone or other devices chargers plugged in even when your not charging them. They still burn some energy when they are plugged in and not charging anything. Do you still use incandescent light bulbs? The fluorescent bulbs cost slightly more but pay for themselves several times over throughout there lifespan. At least change the bulbs that are on often. this will cut costs of burning the bulb by about 75%. An average light bulb is 60 watts while the fluorescent equivalent only needs 13 watts. That's more than 75% less!
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Step 3
Now think about other spending habits. Do you really have to buy name brand shoes and clothing? If you are that picky, watch the stores for the clearance items. Groceries can be a big one. Buy generic or store brand foods. They all come from the same place, why pay more for a fancy box and commercials? Look back at the spinach scare last year. All brands generic and name brand were pulled from shelves, not just the generic.
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Step 4
After you have taken action, wait until a month has past, and rewrite down the bills and costs for the month. Compare the results to the original list made, and try not to pass out when you see the savings. Take that amount and multiply(x) it by 12, and that is what you will save in 12 months if you keep it up. Even if you only save $10 a month, that's $120 for the year! Chances are you can cut out much more than that. Just think of what you could do with an extra $1200 at the end of the yeah. That's a nice vacation, new appliances, home improvement, or what ever you can imagine!
