Don’t save what is left after spending but spend what is left after saving – Warren Buffett
Money is very important in everyone’s life as nothing can be done without it. Those who say that money can’t buy happiness should know that it is better to cry in your bungalow then to cry in a hut. Majority of people face problems in saving money. Here are few tips on saving money without giving up much on social life or luxuries.
These are few general tips and may or may not apply to each and every person individually.
- Track Your Spending
When ever you spend some money, note it in your book or pocket dairy or journal no matter how small the amount it is. Do it for entire month and you will know how much money you spend on what things and what are the things where you need to stop wasting money. Follow this every month and feel that you are successful when the amount in ‘spent’ section decreases and amount in ‘saved’ section increases.
2.Avoid Habit Purchasing As Much As Possible
People have a strange habit of buying things which they see in display even if they actually don’t need it, that’s where marketing fools you. For example, you are standing on a cold drink shop to get a drink in order to get fresh, you see attractive and tasty snacks in display and buy that food to eat with cold drinks even if you are not actually hungry.
This seems small spending but when you add it monthly or yearly expense, you find that you have spend hundreds of dollars in buying useless things just because they looked good.
3.Pay Bills On Time
Pay bills on time so that you don’t have to pay the penalties. The credit card companies earn millions every year because many people don’t pay bills on time and many exceed the credit card limits. Be on time and spend minimum on extra payments.
if you are among those people who visit malls and escape without spending a penny then you should definitely enjoy there. But if you are among those who cannot leave the mall or store without buying anything useless then you should not carry your credit card with you. Avoid visiting these places without any important reason.
It’s not your salary that makes you rich, it’s your spending habits. – Charles A Jaffe
5.Avoid Dining Out And Partying Often
We all love dining out with our loved ones after days of hard work. There is nothing wrong in spending money on dining out once a month but spending money on dining every week can increase the bills in the end of year.
6.Make Things Last Longer
Many people have spending money in buying newer things even if their old product is working well. For example buying a new phone even though you brought a new phone just a year ago. Practically, there is no need of spending money on these things as new things are coming in the market every week. Remember that using things that are working for you for a long duration can save you a lot of money.
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