It isn’t always easy to save money. This is especially true if you work full time, have a family, like to go out every once in a while and support your kids to support at the same time. Yet, there are a few ways to start saving a few bucks every day and over a year this can amount to quite a deal of money in the bank. Let’s say you have an annual interest rate of 3% compounded annually. If you save $20 dollars a day, that’s $600 a month. If you consistently save that amount every day, you’ll have almost made an additional $100. That might not seem a lot at first, but over the years, and as you get better at saving regularly, the amount will grow.
So let’s see how you can start saving $20 a day and even more.
1. Cook All Your Meals Most people who work full time and have to take care of a family really don’t feel like cooking every night. While eating out is ok in moderation, it can really hurt your budget. This is especially true for those who dread making their lunch every day. Yet, preparing your midday meal at home, instead of eating out for lunch is a great way to save a little chunk of change every day. Considering that an average meal costs anywhere between $7 to $15 dollars, you’re almost half way to the $20 daily savings, we’re trying to reach.
2. Make Your Own Fancy Coffees
It’s become a growing trend to start the day with a“fancy triple venti soy no-water chai latte”.Even those who aren’t getting these fancy coffee based drinks are still often wasting a lot of change every day at their local café. Learning how to prepare your own coffee drinks, whether it’s a simple cup of joe to a fancy latte, is an easy way to save between $2 to $5 extra bucks every day.
3. Buy a Water Bottle
It’s important to drink a lot of water every day. Buying bottled water is a convenient way to ensure you drink the proper daily amount. Nevertheless, buying water is definitely a waste of money and horrible for the environment. You’re better off just buying a good water bottle and filling it up regularly. A minimal investment will help you save at least $1 a day. If you’re too cheap to invest in a decent water bottle, you can always just reuse your plastic bottle from your last purchase a few times.
4. Always Shop with a List
Using a shopping list is an easy way to prevent impulse buying. Humans simply have a hard time fighting off the temptation to buy useless crap. For most people, shopping lists are only used for grocery shopping, but I suggest that you use it constantly. Even if you’re just looking for a shirt online, write down what you need and buy only that. Depending on your shopping addiction, preventing impulse buys may actually help you save much more than $140 a week.
5. Always Shop Around
Another way to both reduce impulse buying and save some money when shopping is to compare prices before and during your outing. As you make your list, check online to see what your prices are in your area and for any coupons. Couponing is an excellent way to save everyday too! If you think you can find cheaper in a brick and mortar store, check the prices at multiple locations before actually buying the product. You never know when you might find a sale.
6. Don’t Abuse Your Credit Cards
Racking up debt is one of the easiest ways to hinder your attempts to save money and the easiest way to rack up debt is to abuse your credits. Not only do they have horrible interest rates, but it’s easy to under estimate how much you are spending when you use credit. I’m not advocating avoiding the plastic cards completely. Just be sure to pay the balance on time to avoid paying extra fees, and always pay more than the minimum every month.
7. Regulate your electricity usage
“If it’s not in use it, unplug it” should become the motto of anyone serious about saving money. Apparently, even unplugging the television rather than just switching it off can help save lots of on electricity! Reducing your electric usage doesn’t have to be that hard, just making sure lights and fans are off when you’re not inside a room can drastically reduce your electricity bills. However, the best way to save is by dressing appropriately inside instead of overusing your heater or air conditioning.
Conclusion
These are just some of the simplest tips to save money, and I’m sure you have a few personal ones that you already use every day. I would love to see some in the comment section bellow!
ABOUT THE AUTHOR:
Penny Thomlinson is writer with a keen interest in financial planning, investments, everyday personal finance and money saving tips. Having completed an MBA and delving into the financial industry, Penny is a well experienced and knowledgeable voice in the personal finance blog world.