7 Lifestyle Changes You Can Make To Save More Money
Everyone knows that in order to have more money, you need to spend less. The less you spend, the more you save. Simple, right? Well, the truth is that for most people it isn’t that simple. Adult life is expensive. Thankfully, there are a number of small changes you can make that will literally save you thousands each year.
Business growth consultant Daniel Groves shares his tips for saving more money.
1. Commit To Cash-Only Purchasing
Did you know that people spend more when swiping a credit card than they do when paying with cash? The “buy now, pay later” mentality of the credit card encourages financial negligence, causing many people to neglect careful monitoring of their spending. This can lead to mounting debt and diminishing savings.
Furthermore, having bad credit can affect your future plans, from added complications when buying your first home, to renting a car. If you’re able to commit to cash-only purchases you’ll de-risk yourself from added complications later in life. A bad credit rating can scupper your future plans, affecting everything from phone contracts to car insurance and even your mortgage. If you’re able to commit to cash-only purchases for a while, you’ll de-risk yourself from added complications later in life. Of course, you will need to have taken credit to really improve your rating, but the longer you can save money and avoid debt the better.
One significant benefit of committing to cash purchasing is that you won’t spend money you don’t have. If you’ve only got £20 in your wallet, you can’t buy something that costs £25. It’s as simple as that.
If you want to save more money, committing to cash-only purchasing is a great way to go. It will significantly reduce your spending, encourage you to be more money-conscious, and also help avoid the problem of debt.
2. Track All The Money You Spend
Can you honestly say that you know where all of your money goes each month? Sure, you might know how much your Netflix subscription is or the rough cost of your groceries each week, but do you know exactly how much money is going out from your account each month?
Tracking your expenditure is a sure-fire way to take control of your spending. When you know how much is coming in and going out each month, it is easier to create a budget you can realistically stick to. What’s more, it is easier to set aside money in savings.
Thankfully, tracking all the money you spend doesn’t require a printed spreadsheet and a pen. Nowadays there’s an app for everything - and that includes your online banking. Online banking apps like Monzo and Mint allow you to track your spending, categorise it, and stay in control of your finances. It’s a small change that can make a whole lot of difference and, really, it couldn’t be easier.
3. Ditch The Big Brands
We have all heard the rumours that ditching the big supermarket brands and opting to purchase the finest range of the Aldi specials can help save money, but how many of us are actually doing it?
Ditching the big brands in favour of more affordable versions can save a significant amount on your weekly grocery bill. It might not sound like a big change, but think about how often you go to the grocery store. You will likely make £50 or more in monthly savings from that change alone. That’s a significant boost for your savings account and is a small change that can have a big difference.
4. Monthly Roundup
This might seem like a counterintuitive notion, but sometimes you’ve got to spend money to make money. Weird, right? Well, not with the monthly roundup many banks are now offering. The monthly roundup saves your pennies by rounding up what you’ve just spent to the nearest pound. So, say for example sake you bought a coffee and it cost you £2.75 your monthly roundup would put that £0.25p straight into savings. It’s that simple.
Now, £0.25p being put into your savings account doesn’t seem like very much at all. In fact, you’re probably thinking it will have very little difference whatsoever. However, the roundup feature can be applied to every payment that goes out of your account. So, you could literally save hundreds of pounds every single year. If you want to boost your savings account without even realising it, we highly recommend the roundup feature.
5. Eat Fresh And Stay Healthy
Whenever people see adverts encouraging them to “eat fresh!” The assumption is that it’s extremely expensive to do. However, this actually couldn’t be further from the truth. Cooking fresh homemade meals is a lifestyle change that can save you money in more ways than one. It is possible to eat well on a budget. For example, you can visit the reduced section in supermarkets where fresh vegetables and bags of salad are often being sold for under £1. You can also grow your own vegetables at home. These are both small savings that can save you a lot of money in the long run.
What’s more, eating fresh and prioritising healthy, home-cooked meals over highly processed foods and high-fat takeaways is one of the best ways to stay healthy for longer. And the healthier you are, the less money you are having to fork out for various treatments and medications. So, eating fresh is twofold. It will benefit both your wallet and your health.
6. Save Your Fivers
This lifestyle change can have a significant impact on your savings account. Again, this is a very small and simple lifestyle change that can make a huge difference to your finances. Every time you get a £5 note (whether change from a coffee shop or found in a jacket pocket), put it in a jar. If you do this throughout the month and then take that jar to the bank, you could have saved as much as £1,000. What’s more, simply being able to physically see the money adding up in the jar can be a great motivation to keep saving for longer.
7. Keep An Eye Out For Deals
There are deals and discounts everywhere, all you have to do is look for them. Whether you’re going out for dinner or heading to the cinema with friends, have a quick search online for any deals that may be available. You will be surprised how often discounts and special offers are available. Keeping an eye out for deals is a great way to make those little savings throughout the month that can go a long way towards boosting your finances.
Final Words
So, there you have it - 7 lifestyle changes you can make to save more money. As you can see, the changes we recommend aren’t drastic but they can have a huge impact on your savings. I hope this article has provided you with some inspiration and motivated you to start saving.