A lot of us are taking a long, hard look at our finances at the moment. The COVID pandemic has hit our finances hard, and many of us are beginning to think about how we can get back on track, and how we can reduce our costs. It can be a lot easier said than done, though. Here are a few ways in which you may be able to save a bit of cash if you are overstretched and need to review your finances.
Unfortunately, many of us have a debt of some sort, and since they can get you into serious economic situation and impact your credit rating, they need to be prioritised. It could be that if you are struggling, you need to consider extra sources of income or seek specialist financial or debt advice.
You may also want to think about calling lenders to reduce your repayments or to come up with some kind of payment plan to help get them back under control while leaving you with enough cash to survive on. You could also seek advice on debt forgiveness.
Cut Your Outgoings
Take a look at your utility bills (gas, electricity, and water) first and find out whether you are getting the best deal possible. It could be worth calling your provider and seeing if they can give you a better deal, and if not, switch providers. It is reasonably easy to these days.
Do the same with things like your car, home and health insurance, cell phone provider, internet provider and so on. Even a few dollars saving each month adds up over the course of the year and can make a huge difference.
Look at what you are spending
The odds are you are wasting money. Everyone does it to some degree. It could be the sneaky grande latte on the way to work or that lunchtime burrito. It could be the bottle of water you grab when you are out or that membership to the gym that you never have the time or energy to use. For a week, keep a list of all your expenses and see what you can leave out. Take a flask of coffee with you to work, a packed lunch and a reusable bottle of water, and take up running or home exercises and cancel the expensive subscription to the gym.
Some of these behaviors can be more difficult to stop than others. They are usually well ingrained into your everyday life and it is easy to think that a few dollars here and a few dollars there will not make a difference. However, when you total them up at the end of the week, you will be surprised.
With some discipline, planning and preparation when it comes to your finances, you can save a significant amount of money to put away for the future.