Most people suggest starting small when you want to save some cash and to go out less and skip your morning coffee. Of course, this works, and it certainly adds up over time, but it’s never going to add up to the kind of savings that most people are after. If you want to start putting tens or hundreds of pounds into your savings account, rather than pennies and the odd fiver, then you need to stop sweating the small stuff and focus on your biggest expenses; Housing, energy, transport, and food. Here are some things that you can do to cut costs.
Regardless of whether you pay rent or have a mortgage, your housing is likely to be your most significant expense, so starting there is a sensible move. The first thing that you can do is see if you can haggle with your landlord or mortgage lender to get reduced payments. This won’t always work, but sometimes it does and can save you a lot of money if you’re renting. It’s also useful in the short term if you’re on a mortgage, but, of course, means that you’ll be paying off your mortgage for a little bit longer, so think about it properly.
Energy is another huge money drain, which is unsurprising considering the number of devices that you have plugged in all day every day. To cut down your electricity bill, you need to be unplugging these devices when you’re not using them. You also need to make sure to switch off lights as you leave the room. Gas bills can also get pretty high, so you might want to consider installing double glazed windows to make your home more energy efficient. Of course, this isn’t cheap, but the windows will pay for themselves in no time.
The value of your car deteriorates over time, so you may want to think about selling yours now and consider other transport options. If your own car is a necessity, then this leasing broker has some cheap deals, many of which are sure to be cheaper than most car finance monthly repayments. This means that you’ll be able to afford a better car for less. If you can survive without a car, then public transport is even cheaper and is much better for the environment.
Without self-control and proper planning, your food bill can get pretty big, so make sure you plan your meals and do a big shop at the beginning of the week, so that you know you’ve got everything that you need, and don’t order a takeaway last minute. If there is something that you buy a large quantity of, shop around and see where the cheapest place is to get it. Signing up for loyalty schemes, collecting coupons, and taking your own food to work can also save you a lot of money over time.
Running a household can get pretty pricey, so cutting the cost of big expenses is never a bad thing. With these pointers, you should find it much easier to do this, so that you can avoid living paycheck to paycheck and start saving up for something fun.