One of the biggest problems in personal finance is finding ways to spend less money, and one of the best ways to achieve this is reducing your monthly expenses. While some of our normal regular bills may seem small and insignificant in their own right, their cumulative effect can be huge – and become a huge drain on our resources.
30 Ways to Cut Down Your Monthly Expenses
To minimize the damage done every month, many people are looking for ways to reduce costs that are easy to implement and make effective. Here are some ways to save money that you can try one by one, not too many hassle, but offering the opportunity to save huge amounts of money over time.
1. TV Services
Competition in this industry means that new cable and satellite TV packages are becoming available. Television and telephone/Internet providers gives combine services, so combining your telephone, Internet and television services into one company can save you money.
New customers, whether they are connected to the service or not, usually get the best deals, so you may have to change the providers. But sometimes threatening to switch will give you a discount. In addition, if you are really serious about saving money, consider the possibility of lowering your package by reducing the channels of a paid cable.
And then the question arises, do you need a cable or satellite? With the services of streaming video and digital antenna, you can get all the necessary TVs without them.
2. Internet
Shopping around for a better package of telephone or television packages can also save you on your Internet access, especially if you use DSL. There are many other options for Internet services, including cable, satellite and wireless Internet. In addition, the speed of your Internet connection directly affects the price, so you pay as much as you need.
The Internet is vital to telecommunications, so do your research first. Make sure that if you change the service provider, the new one will offer the services and reliability you need for your business.
3. Mobile Phone
Mobile companies love offering free phones so that you can sign up for another two-year contract. Before renewing a contract, ask yourself a few questions:
- Do you really need a new phone, and what are the hidden costs to stick to your plan to get it?
- Do you use all the minutes provided if your plan has limitations? If you have an unlimited fare, are you calling enough to do this? The same goes for data.
- Do you pay for the Internet and text messages, but do not use it enough to justify the costs? Or do you use it so much that another plan might be better?
- Will you use a cheaper rate or a prepaid mobile phone?
Just logging into your account at your mobile operator provider, you may be offered a cheaper package. Or call and ask for one.
4. Sell Unused Items
Dig through your closets or attic and find things that you no longer use that may have value, and then sell them on eBay, Olx or Craigslist. Then you can use the money you deposit to pay off your debt and put it behind you once and for all.
5. Find New Ways to Reduce Travel Expenses
We live far from our extended families, so we know well how much the travel costs. In order to save as much as possible, we reduce the number of trips we make and use credit cards to travel to everything – from free hotel stays to airfare.
6. Insurance
Compare prices for auto, home, health, business and life insurance. Consolidation in one insurance company can reduce your insurance costs. This may mean that you have to take your business elsewhere to save money.
But before you do this, make sure that you get all the discounts that you deserve in your current company. Consider increasing the deduction for lower prices. Ask your agent what other discounts you can get. Often work from home can mean a discount on auto insurance.
7. Terminate The Newspapers and Magazines Contract
If you receive a magazine or newspaper by mail, but you just don’t read it, cancel this subscription when it comes out for renewal without thinking about it. If you need reading material, find your local library.
8. Install CFL or LED Bulbs
If you have never updated light bulbs in your home, think about switching to CFLs or even better LEDs. These lamps are about four times more energy efficient than incandescent bulbs and last for many years.
Tip: when comparing bulbs, use the number of lumens to compare bulbs rather than their equivalent power. Lemons show the actual amount of light emitted by the bulb.
Also, remember that with normal use (four hours per day) and average electrical values ($0.12 per kilowatt-hour), replacing a 60-watt lamp with a 14-watt CFL or LED saves about $0.66. Per month. Now multiply them by all the light bulbs in your house to see how much you will save each month. Even switching only five of the most commonly used light bulbs in your home can save you over $40 a year on an electric bill.
9. Cut Out The Takeaway Coffees
Take a good flask and make your own coffee. If you are serious about cutting costs and still buying takeaway coffee every morning, buying a flask will save you at least $80 a month.
10. Buy Non-Branded Products in The Supermarket
You can simply save a penny on one item, but in fact there is not much difference in taste – do not be tempted by a lot of branding! The only difference, for example, from unmarked canned tomatoes and branded tomatoes, is the lack of salt and sugar, and you can add it yourself. Why pay extra for it?
11. Reduce Your Eating Out
Take-out and dining out can be a pleasant luxury and a huge time saving for a busy family, but the cost can be huge. Instead, consider other options to make home dining more convenient – for example, prepare many dishes at once and freeze them for easy cooking later. At the same time, focus on simple recipes and choose recipes that use the fresh produce of the season in your area.
12. Bulk Cook Your Meals
Leave a few hours on Sundays and prepare several different dishes to prepare you for the whole week. Put them in the freezer, and in the middle of the week you will not be tempted with takeaways or packaged meals midweek.
13. Refinance Your Home
Refinancing your home can significantly reduce your monthly budget expenses, sometimes saving hundreds of dollars per month.
However, refinancing is associated with many potential upfront costs (interest rates, taxes, fees, etc.). Therefore, it may take several months (or even years) to save money. And if you do not plan to stay in the house for a long time, you may lose money for refinancing. Carefully consider the pros and cons of refinancing your home before taking this step to reduce costs.
14. Cut Expensive Drinks
Perhaps you don’t drink much, but for many, spending a significant portion of their monthly salary on expensive boozy nights is part of their monthly regime. If this sounds believable, try reducing or eliminating alcohol-free for a month to see how much you will save.
15. Buy Products in Bulk, and Use Coupons
Many people do not even bother to look at some big packages of nonperishable items – they think that this is too much. Try to look at the price per unit of measure of all sizes and choose the one that is best. Check coupons and coupon codes for products that you use all the time, and if you have a good coupon, buy it in bulk.
Spread out over months and by many foods (think about all unsuitable home consumption, salt and sugar for soap and shampoo – food is just the beginning), this can lead to a lot of chopped fat.
16. Share Car Journeys
If you drive to work alone every day on your own, see is there are other people live near you who can share trips this will reduce your petrol costs. It pays off in the long run.
17. Use Public Transport
If you have access to public transport, you can eventually save a lot of money on gas, parking and maintenance. For a small percentage of the cost of owning a vehicle, you can move from one part of the city to another, to work and vice versa, as well as to the most important events. Every time you can leave the car behind you, you will be saving money.
18. Dry Clean at Home
If you regularly use dry cleaning services, cut costs by buying a house cleaning kit and a spot remover pen.
19. Reward Points
If you have a credit card with reward points, use them. But use them wisely. Keep in mind that credit card companies offer points to make you spend more. So do not pay more (by adding interest or fees) to get bonus points. To earn points faster, concentrate your expenses on a card offering a prize that you will use instead of distributing your expenses across multiple cards.
20. Make More Gifts for People
Now, we’re coming up to the holiday season instead of giving out expensive gifts to people, we cut costs and make our own postcards and gifts — at least for some people. The gesture will not be forgotten. In addition, everyone knows that the gift of time far outweighs the gift of money.
21. Sell a Vehicle
If your vehicle is rarely used, consider selling it. If nothing else, you will save on insurance. If you can get the market price for your car, you can also use the proceeds to increase your savings account or pay off debt with a high interest rate.
22. Take Care of Your Teeth
Brush your teeth twice a day and do not forget to brush them. If you do not care about your teeth now, you will pay the price in expensive dental bills years down the line.
23. Reduce The Grooming Expenses
Instead of cutting your hair and shaping it weekly, cut back to every other week. If your nails done twice a month, cut back to monthly or arrange a manicure party where you will be at home with friends. If you buy expensive shampoos, look at the options with a lower price. It does not have to cost a truckload to look good.
24. Turn off All Unused Electrical Devices
Are there any electrical appliances in the house that remain plugged in all time but rarely used? Most electronic devices constantly consume a small amount of phantom charge, which you can quickly add when you decide how many devices and small devices you have. To eliminate this use, detach any items or extension cords that you rarely use.
25. Utilities
As with the telephone and cable industries, your utility company is likely to have more competition than ever. You can change gas or electricity suppliers often to get a better price for your energy needs, while remaining a customer of the same billing and delivery company. However, these other suppliers do not always have the best price, so be sure to make some comparison of purchases.
But, of course, the old-fashioned way to save on utility costs is to simply save electricity or consume less water.
26. Grow a Garden
If you have ever been on the way to production aisle at Whole Foods, you know how expensive vegetables can be, especially if you want organic foods. Nobody offers to buy a tractor and become a farmer, but gardening is surprisingly easy and useful. Initial costs are mainly garden soil, a few tools and basic seeds such as carrots, peppers, tomatoes, fruits, and pumpkin. There is a wealth of DIY information available for free on the Internet. Not only will you have enough time to produce most of what you consume, but according to Business Insider, an average family can save up to $24,000 a year in food costs. This is a savings in which everyone can dip their teeth into.
27. Cancel Club Memberships
Look at the expenses of going to the gym, membership in a local country club, and so on. How often do you use these services? If you use a gym membership less than once a week or a country club membership less than once a month, you will probably throw out money. Try canceling the membership on the fence about and see if they really miss them.
28. Freeze Your Credit Cards
Avoiding credit cards can be important when trying to control your expenses. However, you probably do not want to completely get rid of your cards, because you need to develop a positive payment history to build credit. In addition, sometimes it makes sense to make large purchases on credit cards – provided that you pay the balance right away – so that you can receive rewards and bonuses.
If you want to keep credit cards, but try to reduce costs, it is important to make sure that they are not too tempted.
A good option is to freeze your card in a block of ice. If you do this, you will have to wait for the ice to melt before using your card. You will have to take the time to think about your purchase, and waiting will make you realize much better what you are using to buy your card.
29. Avoid Shopping When You are Hungry
You may have noticed that if you come across a grocery store on an empty stomach, you will get a lot of impulses.
But what you may not know is that you are vulnerable to excessive consumption if you go shopping anywhere when you are hungry. In fact, the researchers found that a department store shopper who was hungry spent 60% more on non-food items than shoppers who weren’t starving.
There are evolutionary reasons that tend to acquire things when you are hungry, so make sure you avoid heading anywhere where credit cards are likely to break out if your stomach is not full.
30. Always Do Shopping With a List
Another good way to avoid impulse buys is to list the items you need to buy and then stick to the list. You can do it in the grocery store, but also with the purchase for other things.
If you hit the mall to buy a pair of shoes and a new belt for work, write down what you are buying and do not fall for other things that you see along the way.
Maintaining a list of major upcoming purchases can also be useful for your strategic purchases when items go on sale.