7 Easy Ways to Save Money: In this day and age of fast-paced living, being cognizant of how to manage your finances is even more important. Maybe you are saving for something big, an emergency fund, or even just to curb extra unnecessary spending. Regardless of the reason, there are some easy strategies for making your dollar work harder for you – and best of all, saving doesn’t have to mean give up the things you love.
In this article, we will go over 7 easy ways to save money that are easy to fit into your everyday life, that will allow you to make better decisions without feeling mundane by budgeting and feeling like you are giving up on your daily joys in life.
1. Monitor Your Spending
Before you can save money, you have to know what you are spending money on. Many people are surprised to discover how much they are spending on coffee, snacks, subscriptions to apps, etc.
How to do it:
Use budgeting apps like Mint, YNAB (You Need a Budget) or PocketGuard to track every item you purchase.
Read your bank statement each week or monthly.
Breakdown spending into categories to see if you can cut back.
Reason for Success:
When you understand your financial spending patterns, you can easily identify expenses that can be cut back. You can then reallocate this savings to other purpose, like savings.
2. Create a Realistic Budget
Creating a budget isn’t about congesting money, it’s about directing the dollars at hand. A budget tells your dollar where to go instead of wondering where it went.
Budgeting Quick Tips:
Always budget using the 50/30/20 rule. In other words, set aside 50% of monthly income on needs, 30% on wants, and 20% must go into savings/debt payment.
Automate your savings from the first dollar you receive. This way, savings are always the first thing you account for when you get paid.
Add some “fun money” to your budget so you don’t feel like you’re depriving yourself.
SEO Tip:
If you’re looking for the best way to save money every month, then a budget is the first step.
3. Curb Subscriptions
Subscriptions are crafty. They can seem very small; such as $5 here, $10 there. But inevitably they add up.
Examples of common subscriptions to ease costs:
- Streaming services (Netlix, Hulu, Disney+)
- Gym Memberships
- Premium apps / Programs
- Meal Delivery kits
Ways to Save:
- Audit your subscription every 3 months.
- Cancel any subscription you do not use frequently.
- Look for a bundle deal, or a family plan to save costs.
Bonus Tip
Use services like Trim, or Truebill (now Rocket Money) to identify and cancel unused subscriptions for you automatically.
4. Meal Planning and Cooking at Home
One of the simplest ways to curb spending every day is to eat out less. Ordering takeout or eating at restaurants is easy, but that adds up quickly.
Why Cooking at Home is Cheaper:
- A $10 meal in a restaurant can often be made at home for $2-4.
- You get to choose what ingredients you use and how much of it you will eat.
- Leftovers allow you to turn one batch of food into servings for many meals.
Getting Started:
- Plan your meals every Sunday for the week.
- Shop using a shopping list so you don’t impulse buy.
- Cook in bulk and freeze the leftovers for busy days.
5. Use Cash Back & Rewards Programs
When you spend money, another way to think about that is getting something back. Cash back programs or rewards programs show sound sense in getting something back as you spend — but only if you use them smartly.
Smart Ways to use Cashback:
- Use credit cards that give cash back or rewards (but don’t carry a balance).
- When you shop online, and you can sign into sites like Rakuten, TopCashback or Honey, you’ll get cash back from your shopping online!
- Use grocery store loyalty programs.
SEO tip:
People search for “What are ways to save money on groceries or online shopping?” Cash back programmes and rewards programmes are a great answer.
6. Buy Generic and Shop Smart
Brand loyalty can cost you. In many cases, generic products are just as good as other products with a name brand label — especially when it comes to food, cleaning products, and medication. In addition to saving money on generic products, it’s helpful to shop smart.
Here are some tips for smart shopping:
- Compare unit prices as opposed to total prices.
- Search for coupons and promo codes.
- If you need clothing or holiday decorations, shop for them off-season.
- Buy in bulk if you are buying a non-perishable item.
Bonus Tip:
Shop with a list and stick to it. Impulse buys are a major culprit in wasting money.
7. Create Smart Savings Goals
When you know what you are saving for, it is easier to generate savings. You can create short-term, mid-term, and long-term goals. Whether you are building an emergency fund, saving for a vacation, saving to buy a home, or saving for early retirement, having a goal makes saving more meaningful.
Keep Yourself Accountable:
- Break down large goals into smaller goals or milestones.
- Track your savings with a visual tracker.
- Set up separate savings accounts for each goal.
Helpful Tools:
Ally Bank, Capital One 360, or Chime allows goal-based savings accounts.
You can set up an automatic transfer to build your savings without thinking about it.Buy Generic and Shop Smart
Brand loyalty can cost you. In many cases, generic products are just as good as other products with a name brand label — especially when it comes to food, cleaning products, and medication. In addition to saving money on generic products, it’s helpful to shop smart.
Here are some tips for smart shopping:
- Compare unit prices as opposed to total prices.
- Search for coupons and promo codes.
- If you need clothing or holiday decorations, shop for them off-season.
- Buy in bulk if you are buying a non-perishable item.
Bonus Tip:
Shop with a list and stick to it. Impulse buys are a major culprit in wasting money.
In Closing 7 Easy Ways to Save Money:
Saving money will not be hard or painful. Making small, deliberate adjustments to your spending habits can make a significant difference in your financial wellness. Whether you are trying to save a few hundred dollars a month or seeking financial freedom long-term, these 7 simple ways to save money, can help get you started.
Summary
- Track your spending to understand where your money is going.
- Set a budget that is realistic and automate saving.
- Cancel subscriptions that you don’t use and re-evaluate recurring expenses.
- Resolve to cook rather than eating out.
- Make smart use of cashback and rewards programs.
- Shop smart, buy generic brands and use discounts.
- Have goals and be motivated to achieve them.
FAQs
Q: What is the easiest way to start saving money?
A: Start by tracking your spending for a month. Awareness can prompt simple and immediate changes.
Q: How do I save money if I live paycheck to paycheck?
Ask 3 sub-questions 1) Cancel unused subscriptions 2) Cook instead of eating out 3) Save even $10-$20 per week-this all adds up…
Q: Are budgeting apps worth it?
YES! Budgeting apps help you budget, manage money, track where you spent money, and set financial goals all automatically.
