If you’d like to save a few extra pennies but don’t know where to start, you’ve come to the right place. In the following article, we are going to look at 25 easy yet effective ways how to save money.
1) Track your spendings
Modern times offer many gadgets that can help you manage your finances better. For instance, there are several apps, such as Spendee, that make recording your own expenses and income much easier. Moreover, you can use other app features that can also help you save money.
2) Exercise at home or outdoors instead of the gym
If you’re a regular gym-goer and would like to save money, try considering this option too. Of course, some exercises can’t be done outside of a fitness center – but if you go there in order to run on a treadmill, for example, consider rather jogging outside, for instance in a park or a nearby forest.
3) How to save money – take advantage of discounts
This tip might probably seem too obvious, but taking advantage of discounts doesn’t just mean buying food on sale. Especially for earlier-born people, discount coupons are often quite hidden in the mobile apps of many stores or restaurants. So make sure to do your research and see if you can save some money this way too.
4) Buy second-hand
Second-hand shopping is widely regarded as a great option – especially for clothes – and there is no reason not to give it a try too. In fact, similar pieces of clothing to the ones you can get in second-hand stores for almost ridiculously low prices are sold for several times as much in normal stores.
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5) How to save money – Limit restaurant visits
Going out for dinner or lunch with friends is surely very enjoyable, but unfortunately, it means very much the opposite of saving money. If you cook at home instead of going to restaurants regularly, including for example lunches at work, your wallet will thank you.
6) How to save money – Put a certain amount of money aside each month
If you have a problem with spending all the earned money, this tip might be helpful for you. If you always put a certain amount of your paycheck aside, for example in a savings account or invest elsewhere, you’ll build up a solid reserve in your account for later.
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7) Try the 50/30/20 budget rule
This rule is kind of a more detailed adaptation of the other mentioned tips for putting money aside. The idea is that half of your income should be spent on necessary expenses like rent, utilities, etc. One fifth of it should then go just for the “future”, which might mean saving or investing, for example, and the remaining part is supposed to be spent when you want to have some free time enjoyment.
8) How to save money – Beware of unnecessary lighting
Energy prices have been rising at an unprecedented rate recently, so checking that you’ve always turned off the lights after yourself is a good idea. And while you’re lighting up, try to use the most energy-efficient bulbs possible, as even a little thing like this can ultimately lead to financial savings.
9) Convert prices to hours worked
Even this seemingly bizarre tip can ultimately lead to an improvement of your financial situation. I’ll demonstrate it with a simple example – if your wage is around 10 EUR per hour and you fell like buying a pair of shoes that cost 80 EUR, stop for a moment and think if these shoes are really worth eight hours of work. This will force you to think more about the potential purchase, which may help you from getting things that are not so necessary, thus saving your money.
10) How to save money – “Saving by spending”
This, relatively unconventional idea, involves sending an equal amount of money to your savings account every time you purchase a not-quite-essential item. This habit will either increase your savings account balance or force you not to spend on things you don’t necessarily need.
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11) How to save money – Avoid impulsive buying
Everyone has surely already experienced this situation. You’re walking around town or in the mall and suddenly you notice an item you feel like you just have to buy. Next time this situation happens to you, try not to buy immediately and wait a few days instead. If the urge to buy the item passes during that time, it means you can do without it.
12) Sell things you no longer use
Whether it’s books, clothes, magazines or anything else, there are many places online where you can monetize similar items. So don’t hesitate and if something is rather cluttering up your home, don’t be afraid to make the effort to get rid of the item. Not only will you save yourself some space, but you may also be able to make some money.
13) How to save money – Drink tap water
Aside from being a much healthier option than bottled sodas, tap water is also much cheaper. But if you prefer something sweet to quench your thirst, reach for a fruit syrup and mix it with tap water.
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14) Limit addictive substances
Of course, this tip is much easier said than done. But think of how much money you spend on alcohol or tobacco, and how much better your financial situation would be if you cut back on those, not to mention the positive health benefits.
15) How to save money – Consider spending less on streaming services
Of course, everyone has the right to be entertained. But try to think about how many movie, TV show, or music streaming services you subscribe to, and how many you use so much that you can’t live without them. Or try cancelling a subscription for a month, and if you don’t miss the service too much, you know you can get by without it, and therefore without spending money on it.
16) Avoid wandering around shopping malls
Shopping malls are designed precisely to make it difficult for people to save. Glass display cases, goods all over the place and an assortment that includes everything from socks to the most expensive watches. Therefore, you should avoid these places as much as possible. Otherwise, you may find that your attention to be drawn to a useless item, which you then buy instead of using your money in a more beneficial way.
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17) Look for free entertainment
Many events offer, even nowadays, free entry. So when you have a free weekend, look around to see if there are any events nearby that you could enjoy in exchange for minimal or no money. A lot of information can be found on Facebook or various internet portals.
18) How to save money – Spend your vacation in your home country
Every employed person likes to take at least a few weeks of well-deserved vacation during the year. But that doesn’t have to mean finding expensive flights or accommodation abroad. You can also enjoy a great holiday in the exploring your home country, for example under a tent or in a cheap guesthouse.
19) Make your own gifts
Buying gifts for friends’ birthdays is an expense that is considered inevitable by many when in reality, the opposite can be true. With a only a sliver of skill and online tutorials, just about anyone can create a little gift on their own. And you might even make a good name for yourself with your friends, because after all, the gifts you make are sometimes said to be the very best.
20) How to save money – Buy food from chain brands
Many people who do their grocery using big supermarket chains hold a sort of a distrust to foods that are sold under the chain brand. However, that is a mistake. You should definitely not be afraid to give these non-branded foods a chance, as focusing on them can result in solid savings in the long run.
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21) Use the library
If you are a part of a relatively large group of bookworms, consider whether it might be wiser to borrow books from the library instead of buying them. As well as saving money, this will also save space in your home, so you’ll possibly kill two birds with one stone.
22) How to save money – Set savings goals
This tip is great since it sounds very simple in theory. You set a goal for how much you want to have in your savings account, and until you reach that figure, you don’t withdraw from it. Once you reach the target amount, you can choose more ambitious goals that will force you to save even further.
23) How to save money – Travel by public transport
The usefulness of this tip has lately been rapidly increasing recently thanks to rising fuel prices. Although public transport is of course slower than using a car, the money saved is worth the longer journey time many times over.
24) Stick to a frugal shopping list
Making a reasonable shopping list can prove to be another good strategy. Calmly plan at home how much you’re going to buy, and then just follow your shopping list. However, it is important not to be tempted by the surrounding goods everywhere around you and really only purchase what is on your list.
25) How to save money – Consume all the food you buy
While your taste buds may not approve this approach, consuming all the food you buy is another option how to avoid unnecessary spending. So make a resolution to eat as many leftover snacks as possible before spending money on buying more food.