Saving on a tight budget can be tough but quite a lot of people manage to keep it moving and made it a success.
Below are ways to save money on a tight budget.
#1. Stop using credit cards
If you barely have money to save at the end of the month, why add more onto your credit card? A step to save on a tight budget is to clear off your credit card and get rid of it.
#2. Create a budget
Creating a budget can be time consuming. It requires a break-down on all the daily expenses. The most important thing is that budgeting helps to be able to know daily and monthly expenses. You’ll be able to know how much to spent so that you don’t over spend.
Note that budgets have contingency.
#3. Keep the change
We often go to stores, purchase items and not keep the change. We dispose it through tips or place it in old jeans, purse or car trays.
Let’s say for instance, you buy a particular item once every week for $16 and you use $20 to make the purchase. You’re always known to give away the extra $4. In a month (30 days), the money will amount to $120.
This money could have been saved and take care of another expenditure.
#4. Make it automatic
Automatic transfers makes it much easier to save. After making the budget, you’ll be able to know your exact expenditure and the amount of money to withdraw each week or monthly.
#5. Shop smarter
Before you make a purchase on anything, go to other stores to make a price comparison then go for the best price.
After the purchase, take the difference between the prices then save that amount.
#6. Pay yourself first
Create a saving goal each month. If you’re having a hard time trying to cover up expenses then it is better for you to save first then deduct the expenses. This creates a way by which you’ll be exposed to saving and once all other expenses are taken care of, savings can start gradually.
#7. Save with purpose
Purpose is a motivator. There are times in life you don’t feel to get going, purpose motivates you to do more in order to get when you aimed at.
Times you feel like not saving, remind yourself of the purpose.
Bonus tip; Stay committed!