I know that look you have right now while reading this. Yes, its true, this financial stress can get the better of anyone. In today’s living, distractions (aka attractions) pushes us to spend more than what we earn. Hence, the birth of credit facilities with financial institutions. We think we are fulfilling our wants. But how often do these wants to bring us to the brink of being broke.
On a personal note, I’ve been attracted to these facilities too in order to spend more, not realizing that this was affecting my credibility of and savings for my future. I was depleting my financial resources instead of smartly using them. After many credit card and loans later, I’ve finally got back on track to a better spending scheme that works well to maintain my stress levels to all time low.
In order to straighten out your track before you end up in a pool of debts, here’s a list of things you can do to save more:
- Analyze you needs: With sellers pushing their sales pitch very easily due to advanced internet, it gets really difficult to ignore products or services. But do you really need it? Ask yourself that and make a list of these things, rate them according to importance and plan when you want to buy them depending on its priority. Try an avoid unnecessary expenditure.
- Cash No Credit: Try sticking to cash payments and avoid accumulating on credit cards and loans. If you don’t have the money then, simply put, you cannot buy that. You will need to start saving for it.
- Go Cheap: Consider using cheap means of food, transportation and leisure activities. Even reducing your energy consumption can help you and the planet. Have as many Earth hours as possible. 🙂
- Saving: Set aside an amount or percentage of your salary as saving. Either have them deposited into a savings or a fixed deposit account. If it’s easier to keep it at home rather than a bank, then opt for a piggy bank (old school :D) that cannot break or open.
- Budgeting: Set a monthly budget for your expenditure. That way you know what you need to spend on. This includes your point 1 too. This will help you in planning your expenditure in case an unplanned expense (medical, repairs, etc) crops up and avoid any unnecessary expense.
- Expense Recording: Try and record your expenses to avoid any overspending. The internet has vast number of templates that you can use to record your expenses. This will help you majorly in planning and strategizing your spending.
- Sales & Discounts: Another great way of reducing costs and still living luxuriously is to look out for sales and discounts on your favorite brands or stores. Ofcourse, you will still need to be careful here, as it depends on whether or not you require those items. In every aspect or situation, point 1 should be not be neglected.
Small changes (ripple effect), will bring about a bigger change in your life. You just need to make that choice. The choice is yours! Please share if anything else worked for you. You could help a dozen more to survive in this every so costly world. 🙂