Six ways you can spend less money this year
Inflation rates have put us all in a noticeably worse financial position, and many of us are now looking at ways we can protect our finances.
While earning more money is the long-term goal, reducing your expenses will deliver faster results. But how? Here are six of the best options that can be implemented in daily life.
1) Reduce your food waste
Over one-third of all food is wasted, which is bad news for the environment and equally damaging for your finances. Take action by monitoring your food consumption for a week and then adjusting your grocery shopping habits. Meanwhile, batch cooking your meals and freezing the extra portions will help you make use of all ingredients.
When combined with using more affordable brands, you will see big results.
2) Save money on household subscriptions
The modern family pays for several subscriptions and utility services. Even a 10% saving on each of them could reduce your annual outgoings by a few grand. The most common culprits are broadband deals, energy supplies, and home insurance premiums. Online price comparisons are quick, easy, and effective.
If you are no longer using your Netflix or Playstation Network, cancel them too.
3) Actively reduce debt repayment commitments
Increased living costs have seen debts spiral out of control, not least for those who suffered during the pandemic. If you can no longer meet the payments, you’re not alone. IVA help and other debt solutions will help write off some of the debts. It significantly reduces your ongoing monthly repayments to put you back in control.
As well as the financial rewards, it should lift a weight of stress from your shoulders.
4) Repair, don’t replace
Life has a nasty habit of serving up curveballs when you least want them. Broken appliances, car faults, and broken furniture are all common examples. While it may be quicker to replace an item, repair jobs can restore items at a fraction of the cost. Whether it’s a handyman or the DIY route is up to you. They’re both cheaper than replacements.
It also saves you from needing to learn a new appliance or dispose of old items.
5) Look for cheaper hobbies
There’s nothing wrong with spending money on doing the things you like with the people you love. Sadly, though, most people now find that their leisure budget is far smaller. Bike rides, treks, and trips to the park are great for daily activities. Meanwhile taking a domestic trip or staycation can save a lot of money compared to big overseas holidays.
Knowing that you’ve found affordable ideas can add to the enjoyment too.
6) Lose the coffee trip
Ok, the ‘experts’ do talk a lot of nonsense by suggesting avocado toast is stopping you from buying a house. Still, trading your £15 morning coffee and cafe lunch each day for homemade items can help reduce your costs. A coffee machine can make equally great brews while a homemade sandwich will taste better than a store-bought.
Once you see the savings, maintaining the newly formed habit will be easy.
Photo by Andriyko Podilnyk