Millions of people across the globe are currently struggling because of unprecedented loss of income from job loss, lowered wages, and failing businesses – thanks to the covid-19 pandemic. This means you will need to free up cash in your budget and should probably adjust your lifestyle to weather this change.
Having less disposable income is not a welcome thought to many of us. Now is the time to be more financially cautious than ever. Here are some tips on how you can free up cash in your budget, making your money go further.
Renegotiate recurrent payments
You can free up cash in your budget if you pick up the phone and renegotiate some of the recurring payments in your budget. You will be surprised to learn how accommodating these companies can be. After all, they also know how tough the current situation is for everyone.
For instance, you can negotiate higher rebates from your auto insurance company because you are not driving as often as you used to. You can also negotiate for discounts from your service providers. Call your bank to request a reduction in your credit card rate.
Set yourself a target
Taking part in money saving challenges, such as Savvy Dad’s Reverse and Peak Money Saving Challenge, can be motivational and help you to save some extra money this coming year. It’s amazing what you can do when you have the resources to help you.
Cut on unnecessary spending
Ask yourself the question “Is it worth it?” before you spend any penny on anything that is not part of your needs. If you scrutinize your budget well, you will find many avenues to save some extra money. For instance, reduce the number of times you dine out. Normalize preparing affordable meals at home. Look for other expenses you can cut back on and save money. You may opt to use public transportation instead of driving your vehicle to work every day.
Find hobbies that are not costly
This is the time to ask yourself whether you can live without some of the subscriptions and paid memberships you have. You can find hobbies that are not expensive. For instance, instead of watching cable TV, how about unwinding with a book? Instead of going to the gym, how about doing some exercises at home?
You may not completely get rid of these subscriptions and services, but suspending them for some time may help you weather the current financial challenge. Unplug all the electrical devices in your home when they are not in use or use power strips to minimize wastage of electrical energy.
Be on the lookout for discounts
Discounts can help save a considerable amount of money. When buying something, check to see if you can get it at a discount. If possible, buy non-perishable supplies in bulk to take advantage of the bulk discounts. When buying something online, seek coupon codes that will reduce the amount you pay considerably.
Look for inexpensive entertainment options
Entertainment is one want that eats deep into most peoples’ budgets. During this time, reduce the amount you spend on entertainment or look for alternate, less expensive options. Maybe this would be a great time to visit your local museum or park.
Lower your cell phone bill by downgrading to a cheaper plan if possible. Keep track of the money you spend on data monthly and find ways to trim this as well. Reduce the amount spent on buying clothing and shoes monthly. If things are too tight, you may consider moving to a cheaper area to save on rent.
We think that these ideas help you to make life a little less stressful when it comes to your finances. Hopefully, things will improve soon.
