Saving money is one of the most important but toughest tasks to do in our lives. It requires a lot of patience, efforts, tactics and hard work to accumulate it while we won’t need more than just a few seconds to spend it. There are a number of methods that can help you save money but it will require regular dedication to follow certain steps and be determined to your ultimate goal, i.e., saving money.

  1. Cut Down Your Daily Expenses

Before spending a huge amount of money on daily expenses, try to cut down a few things that you do not need, or can work without. Avoid spending bulks of money on clothing every now and then. We all know that there are lots of clothes to wear and our cupboards may burst still we keep on buying more.

  1. Save Money on Food
  • Instead of opting for an overpriced meal, try to keep a stock of healthy tinned foods in case you forget to bring your lunch.
  • When buying foodstuff from a market, try to get the same products from a local vendor instead of branded shops that clearly overprice the same product.
  • You can also have group dinner parties where all of your friends chip in to buy a decent dinner to fill everyone’s stomach at a cheaper cost.
  1. Save Money in Transport
  • Saving up gas money or bus/metro/cab fares by getting a bicycle can be good for your health and your pockets.
  • Try to use public transport instead of reserved taxis when you are traveling alone.
  • If you need to go somewhere nearby, try walking to your destination. Find out where gas is the cheapest and always go there.
  1. Save Money While Shopping
  • Shopping online can help you save a lot of money as there are regular sales and huge discounts on online websites.
  • Sell off your old stuff at eBay and earn a few dollars.
  • Always try to buy non-perishable goods items in a bulk from a wholesale market as they help to cut down costs in the long run.
  • Instead of spending around 1000 bucks on a good perfume, you can buy a decent deodorant that does not cost more than 400 bucks, plus it keeps you sweat-proof.
  1. Cut Down Household Expenses
  • If you live in an apartment with more than one family, you can carpool your internet bill with them hence reducing your internet bills.
  • Cut down on phone calls and SMS services and use WhatsApp and Skype instead.
  • Avoid hosting parties for every small or no reason and you will save up a lot of money.
  • Buy energy-saving units to cut down your electricity bills and switch them off when not in need.
  1. Stop and Think

Before spending money on anything, stop and think whether it is absolutely necessary for you to buy this or can you get a cheaper alternative for it.

What is the 30 day rule?

With the 30 day savings rule, you defer all non-essential purchases and impulse buys for 30 days. Instead of spending your money on something you might not need, you’re going to take 30 days to think about it. At the end of this 30 day period, if you still want to make that purchase, feel free to go for it.

How can I save a lot fast?

How to Save Up Money Fast
  1. Quantify How Much You Need. Put a number to your need.
  2. Start a Saving Spree. Only spend if it’s absolutely necessary, and keep your goal in mind.
  3. Collect What You’re Owed. Don’t let your money slip past you.
  4. Line Up a Side Job. Earning more might be easier than spending less.
  5. Sell Your Stuff.

Why saving money is bad?

You’re Losing Money Through Inflation

One of the biggest issues with saving money, especially in a savings account, is that the interest you will receive will be lower than the inflation rate. That means that over time, the money you save will be less than when you first put it in your savings account.

What is the 52 week savings challenge?

Using the 52–week money challenge, you should deposit an increasing amount of money each week for one year. Match each week’s savings amount with the number of the week in your challenge. In other words, you’ll save $1 the first week, $2 the second week, $3 the third week, and so on until you put away $52 in week 52.

How do you save a paycheck from paycheck to paycheck?

How to stop living paycheck to paycheck
  1. Know your bank balance. You wouldn’t drive around in a car that doesn’t have a fuel gauge or speedometer.
  2. Reduce access to money.
  3. Automate your savings.
  4. Examine your spending.
  5. Make small changes.
  6. Avoid automating your expenditure.
  7. Save your pay rise.

Is $50000 a good salary?

“As such, a $50,000 salary would be above the national median and a pretty good salary, of course, dependent on where one lives.” That’s good news for people making an annual salary of $50,000 or higher.

How do I overcome being broke?

Here are some action steps you can take to turn the tide.
  1. Live on Less Than You Make. Take a hard look at your take-home pay and outgo each month.
  2. Increase Your Income. Look for side jobs you can pick up—dog walking, delivering pizza, freelancing.
  3. Begin With the End in Mind.
  4. Do the Math.

How much money should you have leftover after bills?

It’s hard to define how much should be left over each month after paying all your personal finances as they are different for everyone. But to generalize it, the 50/20/30 rule is applicable to most of us. According to this rule, up to 50% of your income goes to fixed spending, 20% would go to savings.

Can you live off 500 a month?

It is impossible to live on $500 a month in the U.S. the way we are accustomed to living. Forget about renting a house or apartment. Even if you had a roommate in a 1-bedroom apartment, you’d each pay $385 on average. That, together with an average $71 cellphone plan, and you only have $44 left for food.

Can I live off 2000 a month?

Living on $2,000 a month is possible, and we were not the only ones to ever do it! Our budget isn’t nearly as tight now, but living with less taught us so much about how to live frugally and make the most of what we had.

What is the 70 20 10 Rule money?

The 70–20–10 Rule

For example, if you spend 75% of your income on living expenses, reduce the amount you put into your savings by 5%. If you want to put more money into your savings, you must reduce your living expenses and/or decrease your debt.

What is the 70/30 rule?

The 70% / 30% rule in finance helps many to spend, save and invest in the long run. The 70% / 30% rule. The rule is simple – take your monthly take-home income and divide it by 70% for expenses, 20% savings, debt, and 10% charity or investment, retirement.

What are the 3 rules of money?

The three Golden Rules of money management
  • Golden Rule #1: Don’t spend more than you make.
  • Golden Rule #2: Always plan for the future.
  • Golden Rule #3: Help your money grow.
  • Your banker is one of your best sources of money management advice.

What is the 7 day rule for expenses?

The 7 Day Rule is an effective strategy to avert impulse buying. The principle is mere. You simply give yourself a “cooling-off period”. Before making purchases above a certain amount, say $100, you give yourself 7 days to think it through.