The start of the year is always going to be a tough time on our family budgets. It does not matter how early we started saving for the holiday season. The costs are always going to be higher than we planned for (or even expected). We are spending more on our energy bills (which are higher than usual this year), and we are all having to work twice as hard to make sure our budget can stretch to the end of the month. At times like this, we can all start feeling overwhelmed by the challenge of keeping our spending down.
However, it is important to remember that there are always changes that you can make to your habits and routines that will result in some savings. Some are bigger than others, but remember that every penny counts, especially when you are trying to manage a family budget. The small costs that you cut could add up to big savings and looking for ways to bring a little extra money in will make a big difference. Here are a few tips to help you save more on your family budget.
Know Where Your Money Is Going
When we are overstressed, it can be easy to tell ourselves that we will look at our bank statement when we get home. That we will swipe our card in the machine now and worry about how much we spent later. This is how so many of us end near the bottom of our budget without really noticing until it is too late.
So, if it has been a little while since you sat down with your online banking and went through every transaction, then it is high time to pull up a chair and get to work. Remember that inflation is going up and we all need to factor that in. Make sure that you can account for each and every cost, whether it is a rent or mortgage payment or a cup of coffee that you bought while waiting to pick your child up from school. Once you know where you are spending and on what, you can start to make cuts.
Plan Your Spending More Carefully
Impulse purchases are the enemy of sensible saving, which is why planning is such an important part of any good budget. Asking yourself how to save $1000 in a month might seem impossible but this is the best leaping off point. Start by thinking about your meals. Make a list of all your meals for the week and what you need to make them. Be sure to stick to your shopping list at the store, and make sure that you are using your leftovers instead of getting takeout. Try to buy in bulk and avoid buying name brands. Think about taking a packed lunch and a coffee from home when you go to work instead of buying something out. Look at how much money you are spending on gas every week and find out if you could save some cash by taking public transport.
Look At Your Debt
Debt is one of those things that can feel like it is out of your control. This is especially true if you have several different outstanding debts, as it can seem like you are never going to be able to pay them off. When this happens, they are hanging over you constantly and they are also a drain on your savings. But it is a mistake to think that there is nothing that you can do to get proactive about debt repayment. There are apps out there which can help you to manage your debts and repayments. Tally helps you to pay off your cards by consolidating your debt, giving you greater freedom, and allowing you to pay everything off much quicker. For more information on saving and their debt repayment app, visit their website and find out how they can help you.
Make Cuts Sensibly
We have all been in the situation where it seems like we need to make drastic big cuts quickly. However, this is a tricky place to be in, as you do not want to rush into cutting anything that you still need. For example, you should never cut anything insurance related. If you suffer an accident or illness, or need to cover some mental health treatment costs, you do not want to end up in a position where you are scrambling to make ends meet. So, even if things are completely overwhelming, try to take a deep breath and go through the budget spreadsheet we talked about earlier.
Planning makes a big difference when it comes to keeping costs down, but you should also look at those regular costs that are coming out of your account every month. For example, many of signed up to a bunch of different movie, TV, and gaming streaming services during the pandemic. Are you still using all of them on a regular basis? If you are still working from home, do you and your partner still need two cars?
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