- Jul 26, 2016
- Personal Finance
There are many great ways to start saving money, but we’re only going to go over the major tips which are crucial to get used to before you consider counting every penny you spend.
Never overpay. It might sound simple to some of you, but the easiest way to save money is just to buy cheaper stuff. And by cheaper we don’t mean worse. The higher price you pay for something, the more doubts you will have about your decision – “Is it worth it?”, “Have I got the best deal?” and many more questions will fill you head. Pay less to enjoy it more – that should be your motto. For example, a cheap eBay watch will always satisfy you. Even if it’s dirty on the inside, you will be happy because hey, you only spent 5$ on it!
Collect receipts. A simple, yet very effective thing you can do is to collect data on your expenditures. Receipts are easy to get, although they fill up your wallet fast. If you mainly use your credit card, most banks provide an online list of your spendings, otherwise you will have to keep all that extra paper in your pocket. A good way to keep track of your money is to create an excel file after you have all your purchase data. Split it into different categories such as food, energy, entertainment, etc. and analyze it. There are many areas in your daily life which can be excluded without any disadvantages if you’re looking to save some extra money so keep looking for things you can live without to keep saving until you can buy that Mustang you always wanted.
Save energy. Saving on energy is one of the common money saving concepts and it’s one of the easiest too. Turn down your home’s thermostat a bit, wear extra clothes or if you’re living in a flat which isn’t located at the top or the bottom of the house, you can consider turning it off completely – your neighbours below and above you will provide you with heat so you can still feel comfortable during those cold winters. Take cold showers as you will greatly reduce the amount of water you use since no one likes taking long cold showers. Also remember to turn off any lights after you leave the room, use less water when washing dishes and never leave the TV on if you’re not watching it. There are countless tips on how to save energy around your house and we’re pretty sure you have heard most of them, but the trick is to always keep thinking about it. Think of it as your money burning as every minute with the lights turned on passes and soon you will be using candles to see in the dark. It takes around 30 days to start a new habit so get going.