Cost Cutting and Saving Money for Normal People
How to Live Cheaper and Reduce Expenses, Not Quality of Life
Saving money and reducing outgoings is commonly looked at with a sigh of disdain as the majority of people immediately associate it with cost cutting and financial diets – a painful process in day to day life. Whilst this is certainly one way to repair financial issues, there is, however, another option – that is, living cheaper, by living smarter. A few calculated decisions and actions can ensure that those bank accounts balance at the end of the day, without everyday quality of live paying the toll.
Look at Monthly Bills and Utilities Plans – Again
Generally, when people set up a monthly expense, such as a phone plan, internet or cable plan that is by and large the last time they ever look at what's being offered. At least every four to six months, these service providers offer new plans, often both cheaper and with more features in order to keep up with their competition. Many people can save up to 70% of their current subscription payments by simply checking the latest offers, giving their provider a call, and switching over. This is the quickest way to reduce monthly outgoings.
Sell Old Technology Before it Loses All of it's Value
There are really only two common ways people purchase and retain technology (cellphones, digital cameras, computers, etc), which are:
- People who keep their camera, cellphone, or laptop/macbook until the bitter end, and then buy a new one.
- People who buy new digital cameras, cellphones, or laptops/macbooks when they feel that they could do with a new one regardless of it's state (for some people this limit is a year, for some, a mere matter of months).
The latter people can often benefit from selling their old technology – even if it has sentimental value, recouping a fraction of it's original cost (sometimes as high as 80%) which can be used to offset the new purchases. The former subset of people can give some consideration to the idea of upgrading earlier, as the resale value of an item will usually drop dramatically after a specific period of time (such as when a new version comes out).
Eat Smart
For many people, eating accounts for a vast majority of their daily expenses. Eating smart can assist in balancing a budget, and over time reducing debt and saving money.
- Skip Starbucks and switch to premium instant coffee – at less than $10 a jar, coffee drinkers get dozens of cups for the price of two. Forget the hate for instant coffee, it's come a long way in the last ten years.
- If work is close to home, make the walk or ride back at lunch and eat there. Not only is there plenty of food, but it's cheaper and more relaxing. If work isn't near home, pack some lunch, brunch or an afternoon snack in the evening, and put it in the refrigerator over night – this will prevent having to rush in the morning. Every bit of food taken to work is food which doesn't have to be bought at overpriced vendors.
- Pay the premium for healthy food, and cut the junk – "real" proteins and carbohydrates will reduce hunger pangs, resulting in feeling better for longer periods of time.
Quick Tips for Reducing Expenses Without Reducing Daily Happiness
The number of ways a person can refactor their expenses and payments is vast, if only they would think about it for a short while. Below is a quick tips list of some of the many ways to reduce these costs, to get just about anyone started:
- Check utilities providers (landline phone, cellphone, internet, cable) for new deals and offers at least once a year.
- Upgrade cellphones, cameras and laptops before their resale value is completely gone, and sell the old items.
- Purchase home-brand or supermarket-brand food from the grocery store rather than brand names – the difference is usually negligible (occasionally, the home-brand version is even better), and the savings can be up to 50% or more!
- Consolidate loans into low interest credit accounts. This will make it easier to manage balances, and ensure a low interest rate across the board.
- Get a hobby or extra interest – all of the time those hands and mind are busy, they're not spending money.
- Don't drive if it's less than a dozen blocks. This is a perfectly reasonable distance for most healthy adults to walk or cycle. Over time, this will save hundreds of dollars in gas.
- Buy Gas outside of the city limits, as it's always cheaper there.
- Quit or reduce smoking and drink less alcohol – both are extremely costly.
- Generally speaking, the best value for money when purchasing an item is the model one version below the best.
Live Frugally or Live Smart and Save Money
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