If you need to save money, no matter the reason, one of the key places to examine is your household expenses. We don’t realise just how much we are spending each month until we put it down on paper. You should try it now, write down all your expenses per month and in this article you will find a way to save money on one of them, or at the very least think about how to save money.
Some things are more concrete than others; mortgage rates are usually agreed at the time you take out the loan. However, if you have not got any written confirmation from your lender then your mortgage rates could fluctuate with the release of economic reports. It is a risky game to play as sometimes rates will decrease but more likely they will increase. It is better to agree a fixed rate before you take out the mortgage or if you already have one then see if you can figure out whether you can get a fixed rate on your mortgage. Doing so is likely to save you money in the long run and gives you a better foundation from which to do all the budgeting on.
Other household purchases are much more fluid. For example, there are numerous studies that show we are a consumer nation. We buy more than we need, especially when it comes down to groceries. Number of different things is branched under the term “groceries” like: food, clothes, petrol/commuting costs, cigarettes/alcohol and leisure.
This is where you can do the majority of your saving. To take them in order we have:
Make a list of things you NEED before going out to the shops and when you get there, stick to the list. Most people just head out and when they see something they might eat at some point, they buy it. The results are inflated food bills and so much food some will get thrown in the bin. A list will help you keep on track with what you need and stop extra spending.
In today’s culture it is a major social faux pas to go out wearing the same outfit two Friday nights in a row so instead, get your eight best outfits and rotate them. One outfit for every Friday night means that it will be two months before you wear the same outfit again. And only replace or add an outfit to the rotation when there are sales on. Now with all the rest of your outfits, there are plenty of places to sell them like online.
This one is difficult due to the constantly rising price of public transport and petrol so if you take public transport, it is always better to buy longer passes. When we take train to work it costs £8.50 for a return ticket. Multiply that by the number of days a year we go to work and are looking at over £2700, in fact given the amount of times we travel to the city on the weekend to meet friends or go out we can make it an even £3000. However, buying a train pass gives unlimited travel for a year at £1800 which also includes shorter journeys and casual trips to the city are all taken care of. For petrol, the easiest way to work this out is to see if the amount you spend on petrol can be beaten by getting a train pass or equivalent. If not, then the sure fire way to ensure your car goes further is to only use it for longer or crucial journeys. Walk whenever you can instead and you’ll find yourself getting healthier as well as richer!
Finally, the cost of leisure is a hard one but ultimately where the most headway can be made. Cutting down on vices like smoking and drinking not only has the benefits of giving you a healthier body but it can save you between £100- £1000 every month. Of course it is difficult but think of how easier life will be when you have all that money in the monthly budget and as a result, you’ll be less stressed and in need of a smoke or drink. It’s all an upward spiral of spiritual and financial wealth.
So no matter how much you need to save and for whatever reason, there is always you can save money.