Most people end up retiring without enough savings to cater for their lives after active working days. This happens because they stick to only one source of income, spend more than they can afford, and end up in debt instead of saving. It is important that you cultivate the habit of saving by spending below your means. It is never too late to start, but if you are younger, the better. Get an extra source of income and save as much as you can. In fact, instead of spending, then saving the balance, set aside savings first and then make do with the remaining cash. If need be, you can solve emergency cases when you are two more easily than when you are alone. Even if you take emergency online loans, you’ll be in a better position to pay them quickly. Here are some five important tips you can use this year to save more money.
1. Find a Room Mate
It will not surprise you that a lot of people in major cities have roommates. A room mate will help you with monthly expenses such as rent and other recurrent bills. You can save more than $500 a month by just having one or two roommates. You can even live in a better neighborhood while sharing expenses and still save more than a person living alone in a not so good neighborhood.
2. Improve Your Negotiating Skills
When purchasing stuff, find stores that allow you to bargain rather than those with fixed prices. Find items you need online from people who wish to dispose some things. You’ll be surprised the deals you’ll close in on when you get things from others. You can even make bargains and sell off those items for some profit which you can add to your savings. Make sure to always bargain if you get an opportunity and save some money.
3. Use Your Bike to Go to Work or School
With increasing gas prices, it makes sense to avoid using your car as much as you can. If it is possible, get a bike and use it to go to work or school. Imagine if you spend like $5 with your car every day, you would save a cool $150 in a month and more than $1500 in a year. Furthermore, you will be improving your health since you will be exercising every day. You will also save money you would have spent at the gym.
4. Avoid Eating at Restaurants
Eating out is quite an expensive and unhealthy habit. You can save a lot by preparing your meals at home. If you live with a friend or your family, these savings are compounded because of the shared costs. Food prepared at home is also healthier and cleaner than that you get from restaurants. You can also carry food from home to work and save even more. A mug of coffee cost about $3.5. if you spend this just 20 days a month, you’ll have wasted more than $60. You can opt to buy coffee for about $5 and make your own coffee at home for more than a month.
5. Plan Your Shopping
Don’t just walk into a store. Plan when to visit and have a list of what you need. Do some research first to know which stores have discounts and whose products are cheaper. With a plan, you will not end up buying stuff you don’t need and thus save more for a rainy day.
Shruti Gupta is a writer, marketer and outreaching expert .She writes about technology, startups & other niches. She has contributed to a number of famous websites like Thenextweb, Deccanchronicle and Crazyegg. Stay tuned with her at:@shruti_gupta01 or via Skype : shrutigupta2811