You don’t have to be rich to start saving money. In fact, there are many ways to do so without spending much time or effort.
The first step in saving money is to set aside a small amount each month for savings. Then, you can use that money to pay down debt, save for an emergency fund, or invest in stocks or bonds.
Here’s how to get started.
If you’re looking to save money, here are five easy ways to begin:
|1. Start with a budget. Make a list of every expense you spend money on, then prioritise them by importance. Once you’ve identified what expenses you need to cut back on, make a plan to reduce those costs.|
|2. Set up automatic payments. Many banks offer free online bill payment services that allow you to schedule monthly payments to go directly into your account. This will help you avoid late fees and overdraft charges.|
|3. Pay yourself first. Put away some of your earnings before paying other bills. It might feel awkward at first, but once you get used to it, you’ll find that you actually end up having more money than you thought.|
|4. Shop smart. Don’t buy items you don’t really need. Look for sales and discounts when shopping. Also, consider buying generic brands whenever possible.|
|5. Get rid of clutter. Keep only what you truly love and use. Throw out anything else that you haven’t touched in months. You may also consider other applicable small steps that really help in giving positive changes as a whole. These small steps toward cost-cutting of your personal finance are as under:|
Cut Back on Cable TV.
There’s no reason why you should pay ₹1000/- per month just to watch television. Instead, use an antenna to pick up local channels for free.
Or, try using a streaming service like Netflix or Hulu or YouTube instead of cable.
Switch to an Energy Efficient Light Bulb.
If you’re looking for ways to save energy, switching to an energy-efficient light bulb is one of the easiest ways to reduce your monthly electric bill.
According to the U.S. Department of Energy, replacing incandescent bulbs with compact fluorescent lights (CFL) will save you more than $40 each year.
If we see in Indian currency $40 is equivalent to somewhere around ₹3200. Switching to CFL is after all not a bad idea. It may end up saving you more than you expect.
Buy Used Clothing.
Buying used clothing is a great way to save money while still getting quality items. Many stores offer discounts on secondhand clothes, and some even give cash back when you buy them.
Used clothing is usually available at half the price of brand new. When luck favours you, you may even get a hefty discount which may go up to 70 to 80%.
Shop at Thrift Stores.
If you’re looking for something cheap, thrift stores are a good place to shop. They often sell brand-new items at low prices, and they also carry a wide variety of used items.