Many people are feeling the effects of inflation on their wallets. Money doesn’t stretch as far as it used to, so families and individuals are tightening their budgets out of necessity. Realizing that you need to change your spending habits can be painful. But what if you could figure out how to save money without directly impacting your personal life and enjoyment?
With a little creativity, you can cut spending in responsible ways that don’t feel restrictive. For example, you could choose less expensive date night activities instead of liquidating your date night budget. You may enjoy cheaper, more creative activities than expensive, predictable ones anyway! Here are five more simple ways to save monthly money without sacrificing your lifestyle.
1. Compare Quotes for Monthly Services
Many people stick with certain companies for life simply because they’re familiar with them. This is especially true for companies that provide you with monthly services. It may seem too disruptive to interrupt your service and choose a less expensive company. Many large companies know this, so they feel like they can continue to hike their monthly rates without repercussions. To save money on everything from insurance to your cell phone bill, it’s important to compare quotes periodically.
Always compare rates from similar packages. For example, when requesting home insurance quotes from different companies, ensure each quote offers comparable coverage. A bare-bones insurance policy will naturally be more affordable than one with added riders. But that doesn’t necessarily mean the cheaper policy in this scenario is the best option for your home and area.
2. Download Cash Back Apps
If you aren’t using at least one cashback app, you’re missing out on the opportunity to earn easy money. Some people avoid these types of apps because they sound too good. In a world where scammers are becoming more sophisticated in their trickery methods, being wary is good. However, as long as you use a well-known and vetted app, you don’t need to worry. Cashback apps allow shoppers to earn a small percentage of money back on nearly every purchase.
Usually, the amount you can earn back ranges from 2% to as much as 10% per transaction. Some of these apps work exclusively for certain types of transactions. For example, some offer cash rewards only for gasoline purchases, while others provide travel-only rewards. Others offer rewards for various categories, from groceries to clothing. Though you won’t become a millionaire by using such apps, they can help you save money on purchases you plan to make.
3. Use a Rewards Credit Card
Using a credit card for monthly expenses isn’t a good idea if you keep a balance on it from month to month. Paying high interest rates monthly is a great way to waste money, not save it. However, if you know you can pay the balance each month, using a credit card for monthly expenses can be beneficial. Like a cashback app, it can help you earn money on monthly purchases you already planned to make.
There are different types of reward cards you can choose from. Some offer travel-related rewards, while others offer cash back that you can use in any purchase. Selecting a card that provides the right personality for your lifestyle. What if your credit card use gets out of control, and you can no longer pay your balance off monthly? In that case, it’s time to cut up the card.
4. Shop Exclusively for Discounts
Whether buying a loaf of bread or a car, commit to only purchasing items on sale. When grocery shopping, this may require you to shop for brands you wouldn’t normally buy, and that’s OK. Often, cheaper store brands are similar in quality to more expensive name brands. You can also wait for your favorite store brands to go on sale and stock up enough to last a few weeks.
You can find great deals around holidays when shopping for more expensive items like cars or furniture. Memorial Day is one of the best times to buy a new set of wheels. It’s at the beginning of the summer sales season and often features heavily discounted prices. Labor Day weekend is another great holiday usually associated with automaker price-slashing.
5. Set Up Automatic Savings Transfers
Saving money isn’t always about paying a lower price for goods. It’s also about putting cash away for a rainy day. Many people find it difficult to manually transfer money from checking to savings each month. They can always think of other places to spend their money.
Consider setting up automatic transfers if you struggle to build your savings account. That way, you don’t have to decide to put money away that month. The decision is already made in advance and happens automatically. Many banks offer free automatic transfers to savings and investment accounts each month. Take advantage of this service to make saving a habit.
You don’t have to live like a pauper to save money on monthly expenses. Use these simple tips to cut your spending and earn cash back on regular purchases. Before you know it, you’ll realize you’re saving money while still enjoying the lifestyle you love.
