Tips on Budgeting – 5 Ways to Reduce Expenses
Tips on Budgeting – 5 Ways to Reduce Expenses
We live in a tough economy right now. Everybody is looking for ways to reduce their expenses. Though I had training as a former financial consultant, a few months ago I was still looking to reduce my expenses to get back on budget. Here are 5 ways I manage my money and reduced my expenses and followed tips on budgeting to get back on budget.
- Change cell phone provider: This was a pretty easy one to reduce. A few months ago I was paying over $120 a month for my cell phone service. I decided this was to much, so I set out to reduce it. After doing minimal work I found a service provider that could offer a better package for less money. I am currently paying $67 a month, which is a monthly savings of $53. Not bad considering it took about 20 min of research do complete.
- Plan long distance calls: I was paying anywhere from $20 to $30 a month in long distance charges. This was silly considering my plan included free long distance after 5:00 pm. All I did was plan my long distance calls to reduce this expense. If somebody called, I would wait to call him or her back until after 5:00 pm.
- Umbrella insurance: Last year I got married. When my wife and I sat down we realized that we had our insurance with multiple companies. We decided to put our entire insurance under one umbrella with one company. By doing this we save about $30 a month.
- Brown bag lunch: Take your lunch to work instead of buying it or eating out. Simple right? It sure is and it has the potential to save literally hundreds of dollars per month. I save $120 to $150 a month just by doing this. It really is one of the easiest tips on budgeting I follow.
- Cancel Gym Membership: I work out 2-3 times per week but I don’t have a gym membership. I cannot justify paying $40 a month or more for exercise that I can get for free outside. What I do instead of going to the gym is: jogging, cycling, walking or working out at home with free weights. I find that not only does it save me money but it also saves me time. I can finish my workout in under an hour including showering.
This is how I manage my money. Times are tight but there are always areas in your finances that you can modify for the better. Take the time and analyze where your money is going, follow tips on budgeting and then see if you can reduce some of your expenses like I did in the previous examples.
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This is a pretty cool and effective suggestions for budgeting. I need to take very tight on my budget, since bills is getting higher, take control of some side trip instead save them for the rainy days. I take to commute on public rides, instead of having owned a car, as diesel is much higher now in the market. Instead of gym workout, i do jogging in the morning and do household chores, like gardening for the rest of my exercise. Just set goals and careful of where and how to spend money nowadays.. It’s better to be thrifty than to be sorry… LoL!
Nice article. Honest and personal. I like it.
Many people do not appreciate tips and advices but I carefully read and listen what other people have to say or write. I can see that you are good man and good person.
I wish you every luck and nice life.
Thanks for the article again.
.-= Sport Cars´s last blog ..Ferrari 250 GT, the most expensive car in England =-.
Umbrella insurance — great idea! That’s one I missed on my list.
Suggestion — instead of planning long distance calls, why not get a phone plan where they’re included? There are a lot of options here (some even have affiliate programs — hint, hint).
As I mentioned, I made a similar list a year ago or so if any of your esteemed readers would care to check it out. It’s different from yours. This will give you a nice, juicy outbound link, too!
http://www.surviveunemployment.com/unemployment-budget
Great advice!
Here’s one from me: use an excel to track down your monthly expenses. Use a column that sums up your expenses on that current month.
Decide on your budget for that month then make another column that has the formula:
monthly budget – total monthly expenses to day
This way you’ll know how much money you have to spend until the month end.
Works for me
Packing your own lunch can definitely save you a lot. Anyway here are my tips to save some dollars
1. Buy only what you need – avoid impulsive buying especially during a mall or store sale. Chances are you’ll be buying more than what you need.
2. During those romantic dates, try hitting the park or the beach with packed dinner or snacks – first, it shows your creativity and make you more sensitive (in touch with nature). If the girl complains just tell her you are saving up for your future.
3. Use the web for good buys – we have eBay and over a thousand sites offering different items. If you really need to buy something. Try hitting the web before going to the mall, however do not forget tip number 1.
Nice article — very informative. I’m always looking for ways to reduce expenses.
My addendum to #1 is this: consider a prepaid plan, specifically with T-mobile. What makes it so attractive is that once you become a “gold” member (by putting in $100 once) your minutes last an entire calendar year. So if you don’t use your cell phone very often, you can literally have $100 last you an entire year. Then you can put in $10 more at the end of the year and roll the unused original minutes another 365 days!
Sorry if I sound like a salesman for the company, I just absolutely love it. My wife and I are both CPAs and we’ve figured our cell phones cost us less than $7 a month over the last 3+ years.
very original. Yuph, i agree about the phone provider. I also did that, it cut my budget more that a half from the previous. ^_^, i also agree about the gym membership. I usually go to the gym 3-5 times a week, but i only spend time about 1 hour there. Maybe i should cancel the membership anyway.Thanks for the suggestion.
rgrds
josh
.-= josh´s last blog ..hair loss product : minoxidil =-.
All the 5 tips above are simple but useful indeed.
In fact,for many people, if they want to reduce their expenses, the simple action during our daily life will be helpful and make a difference if they can keep on doing these things for a long time.
.-= Home Office Furniture Guide´s last blog ..Buying Home Office Computer Desk Online Tips =-.
Canceling services that you really do not need is a great way to save money every month.
Thanks to everyone that joined and for the comments. The winner will be announced shortly!
thanks: your ways to save money is good i like your approach & research for the other people ,,,,,,,,
Good tips, I already change my cellphone provider because it took me too much. Bringing food in the office during lunch is the best way to cut expenses and I have been doing this for ten years now. Moreover, I do not know anything about Umbrella insurance…..
.-= The Best of Buffalo´s last undefined ..Response cached until Sat 29 @ 4:12 GMT (Refreshes in 23.91 Hours) =-.
The Point that you made about Gym Memberships is good. As a matter of fact, a lot of the Gyms now are lowering there prices drastically because people aren’t paying all that cheese anymore. Nevertheless, free exercise IS the best.
Working out at home and making my own lunches has saved me a ton that is for sure…. Just small changes but worthwhile.
.-= Forest´s last blog ..Is Minimalism a worthwhile form of activism? =-.
It is amazing how few people really know how to properly budget based on income and expenses. There are always ways to cut it really depends on how much a person is willing to sacrifice.
.-= Upton MA Real Estate´s last blog ..Divorce and Selling a Home =-.
I love those money saving tips especially the one about taking your own lunch to work, that can definately save quite a bit of money per month, it may not be quite as nice but at least it should be less fattening as well. Another way to save money is by getting one of those up to the minute black and white photocopiers for the office they can do so much more than just copying and can end up saving money on other things
Great tips. I also recommend using a budgeting software that can reconcile your budget with reality and tell you if there are any expenses that don’t get captured. 3D Budget does this, and it is simple and easy to use.
Nice resource list for saving some dough. I must say though that I would have a hard time giving up my gym membership. In my mind working out with weights is a great stress relief. Personally I could never do it on my own by myself as I need others around to avoid being bored.