How to Save Money and Spend Less

It can be extremely difficult to save money in a down economy. Prices are continually going up, and paychecks just don't stretch as far as they used to. If you're having trouble financially, don't worry. There are several things that you can do to spend less and save more.

Instructions

1. Cut back on luxury items. Things like Starbucks coffee, designer clothes and cigarettes eat up cash on a weekly basis. If you make your own coffee in the morning, shop for discounted clothing and cut back on your smoking, you're sure to save money. Use coupons and shop on sale days whenever you can.

2. Go through your belongings and get rid of anything you don't need by having a yard or garage sale. You can also sell your items online. Open up a new savings account and put all the money you earn into it. If you have a little cash left over after you've paid your bills, deposit it into the new account as well.

3. Sign up for direct deposit. If your paycheck is directly deposited into your savings, you're less likely to spend all of the money. Make a weekly budget and transfer that amount from your savings to your checking account for expenses. Remember to leave a little extra in your savings account each month to quickly build your savings.

References

• Simple Dollar: Little Steps