Expert money saving methods and tips
Saving money doesn’t mean, becoming a miser, stingy or even selfish. You can save a lot of money without compromising on your lifestyle and luxuries. The only thing you need to do is just keep in mind some proven money saving methods and tips from experts. After reading the tips suggested below, it will definitely makes sense to you that, saving money is all about spending intelligently.
Track your expenses
The simplest way to track your expenses is by writing them down separately. Develop a habit of writing down the expenses in a proper way, like in a dairy or a journal. Tracking your expenses can make you realize where exactly you are wasting your money. You may be leaving a small change after buying a cigarette, tea, breakfast, auto fares, etc. You should start saving on this small amount of money. Though, the amount looks small, over a period of time, it can be huge. So, keep this point in mind. Proper record will definitely help you become healthy, financially.
Differentiate between needs and wants
Generate a clear picture of your needs and wants. Need means something without which life seems impossible and want is something which is just a desire. One can live without fulfilling the wants but not without satisfying the needs. You may be able to go by an auto instead of a cab or a taxi. Or, you may choose an air cooler instead of AC in the summer. If you concentrate, you can definitely differentiate between wants and needs, which will help you save decent amount of money. So, give first priority to your needs and then think about your wants.
Put your ego in the back seat
Ego always creates misery. So it’s better to keep your ego aside while spending. Don’t purchase things just for showing off. Ego is your biggest enemy while spending, so it’s good to keep it aside. At the end, you are going to lose your money if you prioritize your ego.
Don’t get tempted by fake discounts
Discounts are not always beneficial. Read the terms and conditions properly before spending at once. Sometimes discounts are given only to attract you. You could be in loss if you spend without thinking.
Put extra money aside
This is not exactly a money saving method. But, it will help you in making a good deal when you purchase anything. Most of the retail merchants will give you some discount if you pay the bill by cash instead of using credit/debit card. The reason is, banks will charge the retailers with some amount for each transaction made with credit/debit card. If you are willing to pay with cash, they can reduce the same amount on your purchased item. Mostly it will be 1.5%-2.0% on cost of the item/bill. So, don’t spend money in case if you have extra money. Else, you can also go for short term fixed deposits to earn interest on your savings. The time period of some short term fixed deposits is as low as 1 week.
Eat before you go out for shopping
Before you go out for shopping, have your stomach full in order to save money as well as to stay healthy. You may have to spend a lot of time in shopping. You may feel hungry while shopping after seeing tempting restaurants in shopping malls/complexes. So, better have some food at home before you go out for shopping.
Start using cash instead of credit cards
It is better to use cash while purchasing because you will know your limit and will spend accordingly. You will keep an eye on your cash and will not overspend. You may overspend if you are using credit cards. You can be financially safe if you pay by cash instead of cards.
Choose to party at home instead of bar/restaurant
This is one of the best methods to save your money without compromising on your fun. In restaurants, especially bars, they will charge you almost double the amount of MRP. If you party at home, you can save a lot. And, there are many bar owners who actually charge you more bill than the actual by assuming that, you will pay without noticing it. So, keep it in mind!
Know the discount season
Try to do most of your shopping in the discounts seasons. Apparels and accessories are cheaper in the discount season so you can have enormous savings. You also need to be more careful with the local merchants. In the discount season, many of the shop owners offer fake discounts. Better consider the discounts from well known brands/shops so that, chances of getting cheated with a fake discount is very less.
Start small SIPs
Start making small investments using Systematic Investments plans (SIPs) or recurring deposits. Choose a very little amount which you actually don’t care much. Let us say that you are earning 40,000 rupees per month, investing 1000-1500 rupees doesn’t ruin your lifestyle. In fact, you may not even notice about it. But, at the end of the year, you will have more than 15,000 rupees including the interest which the bank pays you. SIP or a recurring deposit is always beneficial. It enables you to get the best returns. Your investment in SIP will surely provide you comfort and satisfaction.
Keep yourself fit and fine. If you are healthy, you can save yourself from spending on medicines and hospitals bills. Now a days, medical expenses are costlier than anything else. So, better have a good diet and make yourself fit. Remember that any item, once broken and mended, can never compete with the original quality.
Prefer online shopping
Online shopping can always give better discounts than in any showroom/shopping mall. The reason is, online shopping websites don’t need to maintain any lavish show rooms by paying high cost for rent/lease. And, online shopping website companies will get a better deal from the manufacturer due to the bulk orders. Always prefer the websites which are very well known. Don’t go to any random online shopping website(s) by seeing tempting deal(s).
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