7 Ways to save money
If you struggle to manage your money and have little saved, you’re not alone. Below are 7 ways to save money.
How do you manage your money? Is there always more month at the end of the money. You are not alone. In fact over 20% people do not have any savings at all.
Keep a money diary – Why not keep a money diary for around a month. Write down everything you spend (and I mean everything). By doing that you can build up a good profile of where your money is going every day. Did you know that keeping a money diary could have a great impact on your attitude to your daily spending. It will make you more aware of where the money is going. Did you really need to have that cup of coffee from the local coffee shop every day? By keeping a money diary you can be aware of how much you are simply filtering way on things you do not need. remember take care of the pennies and the pounds will take care of themselves.
Check your bank statements – Go through the last 3 months bank statements, bills and credit card statements. Take 30 minutes or so and thoroughly go over them. Are there any areas that you are spending money you do not need. Are you spending too much for example on food ie takeaways or shopping daily instead of weekly. What about all your direct debits do you really need the gym membership, what about the magazine subscriptions, or even your utility bills (why not use a comparison site to see if you can get a better deal). Did you know that over £400 million is spend on magazine subscriptions that we do not use. So why not start to cancel any subscriptions you do not use (or have not used in the last 6 week
Give your finances a complete overhaul –Try doing this once a week (you could do this during your lunch hour). Get all your bills together – have them printed out and have a hi ligher with you. During your lunch break look at a different bill each day and spend time looking on the comparison sites to see if you can get a better deal.
Look at your bad spending habits – How often are you buying a coffee daily. What about newspapers – just get the free ones eg Metro. If you cut out your daily coffee this could save you £2 a day. Which over a year could be over £700 a year saved. You could bring your own coffee to work in a flask or even make a cup of coffee at work when you get in!
Prepare a budget – You can get many budget templates on-line. By drawing up a daily, weekly or monthly budget you can help to start to get your finances under control. Why not consider using a budget app so you can plan your spending and keep a track.
Start a savings plan – Now your finances are in control you need to save the money. Even if you find you are only saving a few pounds a month it will mount up. So try to get into the habit of putting something away each month. Set up a direct debit with your bank and get the money transferred into a savings account. The money goes out automatically so you will not miss it. Also consider shopping around for the best high interest account for your savings.
Put all your coins in a bottle – this is a great idea to save for something special. Each nigh empty your purse and put all your coins into a money-box. At the end of the year you will find you have ‘saved’ quite a lot without even noticing it. You can take the money-box to either your bank and deposit or take to your local supermarket and use their coin slots. There is often a charge for this but it could be worth it as it would save you time having to go through and count your coins.
I hope these few tips will help you start your savings plan.