13 Easy Ways to Cut Down Your Monthly Expenses

Learning how to manage personal finances is a unique journey for every person. Are you struggling to stretch your income to last through the month?

While adding another source of income might not be a feasible option for many, you can cut back on your spending to create some financial breathing room. Here are some easy ways to lower your expenses.

 

Revise Your Phone Plan

 

These days, all you need is an internet connection to make phone calls, send messages or any other form of communication. Then why do you have such a pricey phone plan? Revise your phone plan and pick one that’s suitable for your saving goals.

 

Revaluate Your Utilities

 

Similar to your phone plan, take a look at your electricity and gas plans. If you’re being charged a higher rate than you can afford, it would be best to shop around for a new retailer. Check out Origin Energy plans to find a competitively priced energy plan in Australia for your home.

 

Cancel Memberships & Subscriptions

 

Why are you paying for an expensive gym membership when you workout once a month? Have you subscribed to every streaming service the internet has to offer? Neither of these expenses reflects smart spending habits. You should cancel all non-essential memberships and subscriptions.

 

Stop Impulse Purchases

 

It just takes one impulse purchase to put a heavy dent on your finances. Before purchasing anything expensive, give yourself time to think about it. Will buying this thing add value to your life? Or can you without it? 

 

Cut Your Foxtel

 

If you’ve completely shifted your entertainment needs to streaming services, then there is no need for a cable connection. 

 

Find Cheaper Housing

 

A major chunk of your monthly income is spent on paying rent. You can consider getting a roommate or move to cheaper housing to lower this expense. If you are really struggling to make ends meet, you can even think about temporarily moving back in with your parents.

 

Stick to a Shopping List

 

To further curb your habit of impulse buying, always prepare a shopping list and stick to it.

 

Look for Discounts & Coupons

 

Stop buying things at full price. With a simple internet search, you can easily find discounts and coupon codes.

 

Use Green Transportation

 

Using a personal vehicle for daily commute can cost a lot in terms of fuel and servicing. If possible, walk or take public transportation. For work, you can try carpooling with your co-workers.

 

Shop Preloved Clothing

 

Preloved fashion is not only affordable, but it’s also better for our environment. Instead of spending your money on trendy clothing, shop at thrift stores to find one-of-a-kind pieces.

 

Use Cash for Small Expenses

 

There is no doubt that credit cards are extremely convenient. But this very convenience encourages customers to spend. You should start carrying cash around to pay for small expenses. Paying cash will help you hold yourself accountable for your purchases.

 

Buy Generic Brands

 

For everyday groceries and pantry items, go for generic brands rather than name brands. They are nearly the same quality but cheaper.

 

Start Meal Prepping

 

Do you have a habit of buying coffee every morning? Do you eat out every day? These might seem like essential expenses, but you can easily get rid of them. Try making your own morning coffee and start meal prepping. 

The Bottom Line

Any one of these practices on their own might only manage to create a small difference. However, a combination of all of them will likely bring a significant improvement in your monthly savings. We hope these tips help you improve your personal finances.