It’s common to assume that saving money is challenging and stressful. And, each time you want to save money, you always find yourself using it up. However, no matter where you are in your financial journey it’s possible to start saving money.
Saving your money has a lot of benefits, including having an emergency fund, and building your wealth. Here are five ways you can start saving money right away.
1. Make coffee at home
Are you aware that drinking coffee at Starbucks is more expensive than brewing your pot at home? The average price of a tall Starbucks coffee retails at $2 when one pound of coffee beans retails at an average price of $1. With a pound of coffee beans, you can make several cups of coffee to drink daily, which is quite affordable.
Although some people don’t know how to make coffee at home, there are plenty of online resources you can use to learn. Making coffee is quite easy, and you can customize your cup to suit your taste. For instance, you can add milk if you love creamy coffee.
2. Cut down on groceries
Statistics show that most families in the US spend anywhere between $400 and $800 on groceries every month, which is pretty expensive. Besides, you may end up throwing away most of this food because you bought more than you could consume. Luckily, you can save money on groceries by planning out your meals weekly.
But, take a good look at your pantry to ensure you don’t buy items you already have. You can also write down a list so that you don’t make impulse purchases and unplanned purchases at the grocery store. Additionally, go shopping alone when you have kids since they can influence you to buy unnecessary items.
3. Avoid instant gratification
One of the most common mistakes people make is buying expensive items as soon as they see them. For example, when shopping, it’s tempting to buy a new washing machine with advanced features. But do you need the washing machine?
You probably have a washing machine at home that works just fine. So, wait thirty days to see whether your urge to purchase the washing machine has passed. At times, you may make impulse buying decisions simply because you’ve seen an item, and you like it. Waiting a while gives you a better perspective of whether you need the item and if it’s worth its value.
4. Make savings automatic
Most bank accounts allow you to transfer money from your checking to your savings account. Therefore, make saving automatic by transferring funds to your savings account each month. Some people save 50% of their earnings, while others save 10%. Whatever you choose depends on your wages, expenses, and your saving goals.
With time, saving part of your income will become so automatic that you won’t have to think about it.
5. Remove credit cards from your online accounts
Online shopping is straightforward, as all you have to do is click and buy. Unfortunately, this can be tempting, causing you to spend more than you budgeted for in your savings plan. Your best bet at kicking this habit is deleting your card from your online accounts.
This way, when you want to buy an item, you’ll spend time looking for your card to key in your data, which is time to think about why you’re spending your money.
With these tips, you can save money in the long run.