You probably often hear your co-workers telling you that they can’t wait for payday. In fact, they have probably already allocated all of their pay before it even gets paid to them. Many people live like this, but it can cause issues when something big comes along, and they have no funds to fall back on. If you are in a similar situation, then there are things you can do to make your money go further and give you the chance to save for those unexpected bills.
Review Your Existing Budget
If you are already running a budget for your income and expenditure, then the first thing to do is to review it and see if you can make any changes. Check all of your bills and see when they are paid, are you paying them on time or are you incurring charges because it’s paid late? By changing your payment date, you could save money on unnecessary charges. You should also check to see if there are any outgoings on there that you no longer need. For example, are you paying for a magazine subscription that you could do without? If so, you can save a little money each week or month.
Look at Your Household Bills
One of the biggest outgoings in a household is the energy and water bills. These are often set as a tariff that the companies decide, but they can fluctuate quite a lot over the years. With energy prices rising in recent years, you might find that you are paying a lot more for your energy than you were. Check all of your household bills and see if there are lower prices with other companies. If there are, then you can apply to have your supply changed over so you can start saving money. The same applies to other household bills like the telephone, internet, and water. It is worth checking with all of your suppliers just in case, even if you have recently changed deals are starting all the time.
Review Your Insurance Premiums
Just like energy bills, your insurance can vary across different companies. You can sometimes also get different clauses and exemptions, so it is always a good idea to periodically review them. Check with other insurance companies and see what they can offer you and compare it to what you are already getting. If you get an insurance renewal, be sure not just to accept it, but shop around first. In some cases, the premiums go up even if you haven’t had a claim, so you don’t want to pay more for nothing. When it comes to car insurance, some companies will fit a small black box to the car to monitor your driving. If you are a safe driver, they will reduce your premium, and you can save money.
Manage Your Credit Cards Effectively
Credit cards can be a great way to get yourself out of a financial problem. If the car needs to be fixed, or you have to do work on the house, they can help you to get the cash together quickly. However, once you have the debt on your credit cards, you need to repay them promptly, or you can start to incur a high amount of interest. To avoid this, you need to start to manage the payments you make to the credit card company so that you don’t incur interest. There will usually be a minimum payment that you need to make monthly. Your budget should include this minimum amount but try to pay more if you have the spare income. The quicker you can repay the debt, the better your finances will be, you can then keep the card for other emergencies. It is better to have savings to pay these big bills then having to rely on credit cards.
Consolidate Some Loans
If you have a number of small loans that are costing you a lot of money, you might be able to consolidate these loans by taking out another loan to pay them all off. You can find out more here to help you with loans and repayments. The reason this can be beneficial is that by consolidating your loans, you can actually save money on your repayments. It can be a good way to save money on your outgoings, and it means just paying one company instead of many. Keeping on track is essential and being organized can make sure you’re sorted.
Get into a Savings Habit
If you can start to save money on your budget, then you should begin to save a little money if you can for emergencies. The best way to do this is to set aside a small amount out of your remaining budget and put it somewhere that you can’t easily spend it. It could be a bank account or a savings jar, just as long you are putting something away. You can start saving to have some money set aside, or you can keep it for something specific. For example, if you are looking to go away on vacation, then saving for it or even just a little part of it will help.
Another one of the big bills you will have each month is the grocery shopping. To make this a cheap as possible, you need to start looking for the best offers you can. There might be some three for two offers or buy one and get one free; these are a good way to save money providing you will use the products. You can also take advantage of any coupons you find in the magazines or online. These often get you money off specific products or brands; they can be used on products you buy all the time. Some stores also give out coupons for those that are members of their loyalty schemes.
It can be hard to try and trim your budget to make your money go further. It can also involve a lot of phoning around arranging better deals. However, this effort will be worth the savings you can make.