As the cost of living and petrol prices soar, finding yourself a little short of money is very common. Or perhaps you just want to feel that you have more control over your money. Either way, here are some excellent tips for saving a little extra money each month. Not only can these tips help you to save, they will also help you become more conscious about your money and your spending, allowing you to spend your money where it makes the most difference to your life and avoid wasteful spending. Reduce your spending guilt, feel that savings smugness and take control of your finances with these ten great tips:
#1 Treat Saving As A Priority
It can be very easy to simply put whatever money you have left at the end of the month into a savings account - if there is any money left! Instead, put money into your savings account as soon as you get paid. This way your savings are prioritised over your spending.
#2 Round-Up Investments
Set up an investing account on an investments app like Moneybox. (Do you research about investing before diving in!) Start small by turning on the round-up option to invest the leftover pennies each time you spend. Not only will you barely notice this money leaving your account, after a period of time you will have accumulated a tidy sum. Just remember not to panic when the stock market drops - you are in it for the long term! Leave your investments alone and watch them accumulate over time.
#3 Track Your Spending
Track what you spend for a few months. Notice the trends and the splurges. Does your general spending align with the amount of money you are bringing in every month? If not, go ahead to #4 for tips on reducing your spending, or see #9 and #10 for strategies to increase your income. Being aware of where your money goes is half of the journey to better money habits.
#4 Reduce Your Biggest Expenses
Use the information you gathered from tracking your spending to target your biggest expenses. Where could you reduce your general spending to make the biggest difference and have the smallest impact on your life? It might mean food shopping in a budget supermarket. Or swapping out the gym for at-home workouts. It might mean exchanging your pay-per-month car deal for a cheaper model. Target your biggest and most unnecessary spending area and tackle it head on.
#5 Cancel Unused Subscriptions
Scan through your direct debits - when was the last time you watched something you actually enjoyed on Netflix? When did you last read that magazine, which you subscribe to, cover to cover? Do you go to the gym enough to warrant that large monthly bill? Examine your subscription commitments and cull anything you don’t really use. Haggle with companies to get better deals on the subscriptions you can’t live without.
#6 Don’t Upgrade Yet
Resist the urge to upgrade your phone and laptop immediately. Turn your head away from the latest tech. Replace what is broken and look into repairs before buying new.
#7 Use Your Car Less (or better yet - sell it)
Reduce your car usage to protect your car’s worth and restrict your petrol costs. Use public transport, walk or cycle as much as possible. Look into car sharing. Even better, sell your car and convert to purse- and planet-friendly alternatives.
#8 Collect Loyalty Points
Get rewarded for your spending with loyalty points schemes. Sign up for loyalty programs at the places you shop most often - your favourite supermarket, your go-to store for toiletries and beauty products, the cafe which does the best lattes. Suddenly watch your regular spending turn into free money - kind of!
#9 Start A Side Hustle
Got a little extra time and a passion or unique idea? Start a side hustle to earn money outside your regular job. If you like writing, why not try Medium’s Partner Program and get paid to write? Search for small jobs on Upwork or Fiverr. Utilise social media to market your own business or blog. Make beautiful things to sell on Etsy, from reclaimed wood tables to clay jewellery. Pick a side hustle that you will enjoy investing your time in - you are more likely to commit to a side hustle that is also a passion project.
#10 Sell Unwanted Items
Make a little extra money - and create more space - by selling unwanted items. There is a market online for almost anything - old clothes, vintage games and tech, unloved furniture, hideous lamps. Find the best place to sell your items by trying out different apps and sites, from eBay or Shpock to Vinted and Depop. Try out a good old fashioned car boot sale to shift some preloved pieces without the hassle of postage.
The most important thing to remember is that taking control of your finances and building up your savings is a long term journey. It is not something you will master overnight and it’s important not to make yourself feel bad about any spending that you do. Focus on the big picture, put money in your savings at the start of the month, and spend more consciously.
