To cut back expenses, distinguish between needs and wants. A need is essential for survival, such as food and shelter. A want is something you could live without, like fast food or gourmet coffee.
- Create a budget and stick to it.
- Set short-term and long-term goals.
- Use coupons and buy generic brands or items in bulk to save money.
- Stick to a basic cell phone plan.
- Compare costs before purchasing items, products and services.
- Keep your money in the bank rather than in your wallet.
- Get a roommate to share expenses.
- Switch to a cheaper subscription for cable or satellite TV service, or cancel the service altogether.
- Sell possessions you don’t need.
- Get more tips on how to increase your income.
|Avoid the Budget Killers
|Cutting back on small expenses can add up to big savings over time. Here are some everyday expenses that may be killing your budget:
||Savings in One Year
|Fast Food Meal
|Evening Movie Ticket
|Vending Machine Soda