1. Create a budget
First things first, create a budget. This might be the most daunting item on this list, but when you break it down, it’s very easy to do! No matter your income, setting up a budget can help you breakdown what you can and can’t afford, how you should save, and how you should plan for the future.
The easiest way to start a budget is by listing out three things: your income, expenses, and costs. Your income is what you bring in financially each month, your expenses are necessary items you have to pay for each month (think rent, groceries, medical bills), and costs are items that are not necessary but still take place (dinner out with friends twice a month, a new pair of jeans in the winter, etc).
After you determine these numbers you can create a monthly basis based around them. It will help show you what you are generating and what you are spending, and where you can make changes, whether that be saving more or giving yourself more to spend!
2. Create a plan to repay your debt
If you are a young adult or college student chances are you have accumulated some debt over the years. This can look like college loans, car loans, or even credit card debt.
One of the best things you can do for yourself is to organize a plan to pay off any sort of debt. For some that might be signing up for a monthly plan, or simply creating your own method to pay it off.
3. Think through your purchases before buying
One mistake we tend to make as a whole is buying in excess. I get it, new outfits are nice, the newest iPhone is enticing, and your daily latte is too tasty to give up, but it’s always a good idea to evaluate if your purchases are worth it.
Instead of buying a ton of clothing pieces, think about buying one that is good quality and ethically sourced. Instead of buying $5 lattes each day, consider making your coffee at home. It’s these small changes that add up in the end.
4. Set aside money in a savings account each month
It’s never too early to start saving. You might be thinking “how can I save money, I’m in college?” or “I just started working, I have to pay off loans, how can I save?”
Truth is, while it might seem daunting, you can start saving at any point in time. If this is $100 a month, or only $5 a week, it will eventually add up. If you place money in a high-yield savings account, it will allow you to have something to rely on if you need it in the future, whether that be for something planned like retirement or unplanned like a flat tire.
5. Live with a mindset of abundance versus scarcity
A great way to approach budgeting and saving is by changing your mindset from one of scarcity to one of abundance. A good way to implement this is by looking at the coming months and deciding things that you want to do or buy. This gives you something to work towards!
Once you decide your goals, implement a plan to achieve these.
6. Learn to cook!
This item might sound silly, but learning to cook can save you a decent amount of money each month. Instead of ordering takeout, consider learning how to cook your own restaurant-worthy meals.
A common misconception people have is that it’s difficult to cook when in reality it is a relatively easy skill to learn! There are lot’s of free resources on the internet that can teach you how to cook, how to create a grocery budget, and even inexpensive meals to eat at home.
7. Be inventive with your money
It’s time to get creative!
When it comes to money, getting creative and inventive can end up saving you a lot, as well as nudging you to do things you normally wouldn’t. Instead of going out for a movie night, create a movie experience at home. Cozy up your living space, make some popcorn, get some candy, and enjoy a night in.
If you live in a city, you might not have to spend much to fill your weekends. Take advantage of the museums, art galleries, festivals, and more that take place. Most of these activities are free of cost which is a great thing to take advantage of!
We hope you enjoyed these money-saving tips! Do you have a money-saving tip you’d like to share? Drop it in the comments below.