Saving and spending walk together because they both affect each other. When you save more, you spend less. When you spend more, you save less. The chemistry between the two is ubiquitous, and those who manage to keep a balance between the two win the trophy of prosperity. So financial stability is our concern, and we keep trying varied tips and tricks to use money smartly.
Before we delve into the tips for both, it is better to understand that what you do on one side is sure to affect the other side. Discipline is the key to have a good start in your financial life and achieve stability.
Take the saving tips first because human nature loves to gather money, and we are always ready to explore the possibilities that can save our hard-earned money.
Cancel your gym membership
If big resolutions are not taking shape, it is better to plan in another manner. This usually happens with our gym and fitness plans. We buy new clothes for the gym, some healthy drinks to take after exercise and whatnot, but sometimes it becomes difficult to visit the gym. Busy life or our carelessness, whatever is the reason, the final thing comes out as a big financial loss.
Your expensive gym membership has no worth if you do not use it. So why don’t you cancel it? Please, this time, do not say that ‘I will start gym soon’, because things may not change. If you are not going to the gym for the last one month without any ACTUAL reason, it is better to cancel the membership and save a lot of money every year.
Do not carry your credit card often.
Credit cards!! The world knows how dangerous it can be credit cards if we forget where to limit our use. The extravagant use of credit cards is one of the most common reasons for the money crisis and bad debt life. Do you also use credit cards often? If yes, then try the trick and do not carry your credit card while going out. Avoid taking it to the places that make us spend more. Market, malls, movie theatre, amusements parks etc.
Using credit cards very often can be very dangerous for the financial life of people living in certain types of circumstances. For example, elderly people with no considerable financial help, people who survive on additional help due to some issues such as survival taking loans for people on benefits, cannot afford credit cards.
Besides, people with irregular income from freelance or part-time jobs should also try to avoid the excessive use of credit cards. However, in general also, if you have a good job, it is not wise to use credit cards much.
One extreme suggestion – Stop eating meat.
Meat is a permanent food when it comes to expensive food. All over the world, people have an addiction to eating meat in varied forms. But at the same time, they cannot deny the fact that it considerably affects their budget and makes them spend more.
Yes, it is difficult to leave something so dear to you, but why not do it gradually? For example, if you eat thrice of four or five times a week, reduce the number to only twice or once. Control the addiction. Look for alternatives that provide you with protein. It literally saves a lot of money on your kitchen expenses.
Now we have understood some practical saving tips. However, it is time to scrutinize spending tips because it is impossible to save if you keep spending more.
Resist the desire to spend on less important things
All tips may get wasted if you fail to control yourself. It is the reason that we should start with the most relatable suggestion that says ‘control yourself’. Humans have many uncontrolled desires when it comes to spending money. Food is our first love, and this is why normally we get the suggestion of stop eating out when someone talks about spending wisely.
Weekend parties, very frequent trips to the nearest hill station, etc., all have become vital parts of our routine life. But all these things are not the basic needs and make us spend a lot of money. So the core idea is, control every desire that makes you spend more.
Track your spending
Of course, it is the most important thing when you plan to spend smartly and with patience. Tracking money is very important to know whether your financial behavior has improved or not. Note every small and big expense and keep tracking it daily, weekly or monthly. Normally it is advisable to track weekly because that gives ample time to improve.
Make a budget because that is the most traditional but the most effective way to spot where the money is going. In most cases, people start budgeting, but they fail to keep the discipline but in reality. Therefore, it is really important to know what exactly you choose as a reason while spending money. Then, gradually, it can be spotted the useless reasons, and you can erase them from the list of expenses.
Invest in promising options
This idea is for spendthrift people. Besides the required amount, do not keep the money with you. Instead, invest it in mutual funds, saving plans, shares, property etc. It means to stop yourself from spending money, invest the extra money. This needs planning because it is also necessary that you invest smartly. After all, you may have to bear loss otherwise in place of gain.
Investment options give gradual but promising benefits, and also they are a good source of passive earning. Normally investment suggestion is given as a type of saving, but it is also a smart way to spend less and use the money for a REAL PURPOSE.
You cannot plan to save or to spend separately because they are like twins with different natures. They both depend on your income for their existence. So with all the above suggestions, you need to understand that tips can be many, but they all work only when your determination is strong.