Do we really have to spend more than what we earn?
Of course, that is pure stupidity if you do the spending more while earning less. But in reality, we do something like that if we expect for a recurring income every payday. And then there’s the credit card that can be used to defer cash payment, which of course, tempt the weak and use it for unnecessary spending.
We have been taught over and over again that spending more is a doing of man going for broke unless the wealth is considerable enough that even on his death he can’t get a bank statement with zero balance. But for typical men or women who depend on paycheck by paycheck, tightening the finances is not just a practice of financial discipline. It is imperative.
To get you a perspective on how to spend less in the modern days where you are tempted to buy every gadget that comes out in the market, here are the 8 easy steps to get you, at least, for a good start in the road to financial freedom.
1. Make a list
I suggest to do a physical list where you use the good old paper to jot down the things to buy for groceries. You can also include in the list the weekly schedule for buying items for household uses.
Make a filter of what to buy first and what to buy next based on priorities in the list.
A mental listing of items is not the best way to do even if you think you can help the environment by not using the paper. However, the best alternative, perhaps, is using the smartphone apps in Android or Iphone to make a digital list of the necessary items for household uses and also for personal use for you and your family, if you have one.
2. Stick to the weekly plan.
Plan out how much you have to withdraw every Sunday or on the day where you can have time to shop. But make the shopping a weekly thing instead of daily. If you need to shop for urgent items, then at least, have another day besides Sunday an exception. But don’t also make it a weekly thing.
3. Compare prices.
Making comparison of prices can take time; but it is the time worth spending if you want to be a smart buyer. But don’t just go after the price, consider also the quality as well as the volume. If an item last longer than another item of cheaper price, compare the volume of the items versus the price. You might not incur a saving on your shopping day now, but perhaps, in the later date, where you don’t need to buy the same item next week.
4. Don’t fall for tricks.
In these times that the “daily deals” sites have become increasingly common, you are impulsed to buy what you think is cheap now and then perhaps suffer later because you think you’ve been cheated.
The daily deals site is a good thing. Yes, I think it is, not just because I know of a few companies that deliver good items at an inexpensive price but it can also incur savings. However, don’t make it a daily deal thing. Just pick items where you think you really need first and then consider other items in the offer as you think might be a reward for you.
5. Splurge yourself with rewards but don’t overdo it.
Cutting back on cost does not really bring long-term advantage. It may even bring an emotional decline especially if you deprive yourself of good things that you really want for long.
Prioritize first the need and then the wants. But then, spare an amount for savings, even if just a little to add on your emergency fund.
6. Use it or lose it.
Do you really want to use it? Then, go fo it. But you also have to check the volume of the item for purchasing consideration. For instance, an item that may last a month can save you going for the same item in your next shopping next week. But you also have to consider the amount of money you have now and other items that you need to buy aside from that item.
The important thing here is on what you can afford now based on the money you bring versus what you want to buy because you think you can save it for the next shopping date. If you can afford that item now and then still can purchase all other important items in the list, then go for it.
7. Subscribe for the best daily deals
Daily deals sites can be among the best digital marketing innovations these days. It helps you to save. Businesses with products or services offered on daily deals site offer discounts for they agree to cut down the prices of their offers in exchange for advertising.
Before, to advertise yourself in the community was deemed a way for you to experience spending less money. I don’t know if this is a good practice but I was surprised when I read a book with an advice to advertise oneself and the personal details in the community with the inclusion of items for groceries. Is this stupid? It is for you to judge.
Nowadays, getting your personal details exposed is not a smart move. That’s why permissive marketing has been conceptualized so the consumers can have the option to opt-in or opt-out from the offers bombarded almost daily when new updates come in.
And when you allow yourself to receive notification from Daily Deals site, subsribe for one or even two. It will also give you chance to make comparisons in prices. But my suggestion is to allow your email received notification at least once a week. Receiving daily notifications might distract you from doing other important things and could tempt you to make impulsive purchasing even if you think it’s worth it. Doing so permits yourself to commit irresponsible spending in lieu of saving.
8. Item swapping.
Do you have other items you want to trash out?
The junk of one may be a gold of another.
Have a garage sale for items you think you need to clear out in your closet to make room for new ones. I’ve done this before and it’s really rewarding. You don’t know how much you can earn from an item you bought months ago and then you decided to sell it for a reasonable price.
What is Ebay for?
You might also try Multiply and sell your items there.
Selling junk items is obviously a way for you spend less money because, logically, you earn money from it. Practically, you swap the items for cash.
You might also experience swapping items on Craigslist. You may not know it but it is possible for you to swap homes using the popular classified ads site. This saves you from the hotel booking charges and accommodation rates. Of course, while you’re at it, consider also the safety and security concerns.
