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4 Ways To Cut Your Spending Down

BY Rachel | 23 February, 2017 | no comments

Many people would like to cut back on their monthly expenses and feel that there are areas which they could be spending more conservatively. The mistake many people make when looking for where the problem areas are is that they look for large payments to get rid of when in reality the biggest culprits are an accumulation of all of the little things.

By limiting your overall expenses you can make room for more savings, and move closer to your goals of vacations or purchasing property. Here are some of the best tips for cutting down on costs and being more in control of your spending.

Cut Down On Recurring Payments

Sometimes when we fail to take a look at our banking statements with a close eye we miss charges that we didn’t even know were coming out.  Perhaps you joined a gym once that you never go to and forgot about the payment that comes out towards your subscription.  

Smartphones can be tricky as well when it comes to adding up pesky recurring charges.  Sometimes we download applications that renew themselves each month rather than a one time purchase so be vigilant to read the terms of service.

Lastly, if you opt to sample a service for a 30-day trial and have no intention of purchasing afterward make sure that you click the box that says you do not want to continue the service after your trial.  Otherwise, you run the risk of getting hit with the fee you never wanted to make in the first place.

Practice Self-Control

One of the most effective ways to limit your spending is simply to make a choice and follow through with it.  Remind yourself frequently of the reasons you want to be more in control of your spending and how you would like to use your money.

The best way to change old habits is to practice daily and setting your intention.  By constantly reminding yourself of why you want to change and making small steps everyday to achieve your goals you can start to make a change.

Make a Budget

By creating a budget which includes all of your monthly expenses you can set guidelines for yourself of exactly how much you should be spending in each category and therefore keep a closer eye on whether you are overspending in certain categories.

If you tend to spend the most on food and beverage perhaps you should consider going out less to avoid these temptations. The first step is being aware of your problem areas in order to be able to make a change.

Carry Less Cash

When you have cash in your pocket it can tend to go very quickly.  Not only does it go quickly but you don’t have the luxury of being able to look at a bank statement and see where it is going.  Cash tends to simply disappear without a  trace.

Instead, use your card so that you have a statement of everything outgoing.