Sometimes, it can be difficult for anyone to handle their money in a responsible manner. Here are some tips to help you on your journey to frugality.
- Due to modern marketing, new and exciting products are constantly battling for our attention. Whenever you feel the urge to purchase a non-necessity, give yourself a couple of days before you buy it. Often times, the impulse will have passed and you’ll be glad to still have the money.
- Whenever you’re about to buy something, think about how many hours wages it cost. If the amount of work you put in outweighs the value of the item you’re purchasing, forget it
- Be aware of where your money is going. These days everyone is signed up to dozens of subscriptions that charge you monthly. Make sure you are will to be paying for these. Look at your bank statement every once in a while and actually find out where your money goes.
- Every payday, take half of what you have left over after paying bills and put it into a savings account. It won’t seem like much at first, but over some time it will grow into a substantial amount.
- Only eat out at a restaurant once or twice a week(depending on how much you make). The cost of those meals add up quickly so by cooking your own food more often, you can save this money for other necessities. When you do eat out, get water with your meal and instantly save $2-4.\
- This one doesn’t go for everyone. I am not a coffee drinker so I don’t need to worry about this at all. But the majority of my family (and everyone else in America) drinks coffee on the daily. The problem is coffee at star bucks or your other favorite place costs a fortune after you’ve been there a few times. Try buying the coffee beans and making your coffee at home. Not only will you save a ton of time, but your bank account will feel some relief as well.
- Use a credit card for everything! It might sound weird but hear me out. Making every purchase with a credit card will help you build credit. As long as you pay it off every month, it won’t really be different from a debit card, except you will earn $100’s in reward cash throughout the year.
- Make a spreadsheet to track everything you spend. Rent, groceries, utilities, misc. At the end of the day or after a night out, enter your expenses real fast before you crash. This way, you will never be surprised when your bank account balance is at 40 cents. (hopefully, you have a plan to get out of that one). There are even some apps that do essentially the same thing and save you time that you’re not logging onto the computer.
- Buy things at the end of the month. How many times have you approached the end of the month with an intense worry that you won’t be able to pay the bills? You think “Man, I shouldn’t have spent $500 on that memory foam mattress”. To avoid this, wait until the end of the month before you buy anything extra that you want. This will teach you to be more responsible with the money you make. Plus, getting the necessities paid for first makes you feel more deserving of whatever you want to spend your extra money on.
- Final tip: Do not constantly chase everything you want. Look at your parents and/or grandparents. They didn’t start out with a house full of appliances, electronics, and adornment. Learn to accumulate things over time and take your spending step by step. Build your financial future like you would build a house. One day at a time.
Which one of these tips will you use to improve your financial life? What are some other tips you have tried that work well?