How to Save Money with a Tight Household Budget
Whether you are living alone or have a family, a tight budget can limit the money you save each month. You may have cut down the obvious expenses and found that you still do not have enough to store away each month. Though it may seem that you cannot afford to make a savings account work, there are ways to skim money out of a tight budget and start a savings safety net.
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Instructions
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Track your spending. Examine bank statements and credit card statements, then add up each dollar amount you spend on bills, living expenses and miscellaneous expenses. Track spending on things that are not necessities such as clothing, coffee or eating out. Use the funds from miscellaneous spending to start sending to a savings account.
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Start shopping around. Do not purchase the first item you see, even if you need it. Comparison shop between other retailers and see if a retailer will match or beat another competitor's price before purchasing. Use savings from shopping around to add to your savings account. For example, if you were planning on purchasing a $500 dishwasher, but found one for $450 at another retailer, place the extra $50 into your savings account.
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Transfer a specific dollar amount or percentage from your paychecks automatically into your savings account. Try starting with a small dollar amount first and slowly increasing it so that you get used to surviving on less funds each month.
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Place loose change from cash purchases into a jar each day. Cash in the loose change and place it into your savings account once a month or when the jar gets full.
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Eliminate luxury items in your home. Cancel premium channels or television packages that you do not need. Reduce the phone bill by eliminating it all together or removing features such as call waiting and voicemail. Use less energy around the home by being more efficient in the way you wash dishes and laundry.
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Take advantage of discounts on auto insurance such as good driver, driver's courses and pairing auto insurance with renter's or home owner's insurance.
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Start using coupons. Cut coupons for groceries and other household purchases. Pair coupons with weekly sales at local grocery stores and home goods stores.
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Cook meals in bulk and freeze the leftovers for lunches or quick dinners. Give up expensive grocery items such as junk food or soda. Purchase only vegetables and fruits that are in season. Avoid expensive cuts of meats or make a few meatless meals a few days per week.
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References
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