When it comes to personal finances, one of the largest challenges that you have to face is working out how to spend less and less money. Naturally, one of the most common things to do is to cut down how much you spend each month, so that there is more left in the bank at the end of each month. Small changes on things like your fuel bill or grocery bill can not seem like they make much of a big deal. But when it all adds up, it does make a big difference, especially over time. So here are a few things that you can do to cut expenses, clear debts, and help you onto financial freedom, without too much hassle, and the potential to save large sums of money over time.
Cut Transport Costs
Let’s face it; cars are pretty much money pits. Their value starts to depreciate as soon as you get it, so it is never something that should be seen as an investment. It can be a vital part of family life, though, so here are some things that you can do to cut the cost of transport:
- Shop around for your car insurance. There is no need to pay more of it than you need to.
- Just have one car. If you have more than one car at the moment, then think about just taking it down to one car. Otherwise, you have double (or even triple) the amount of fuel costs, insurance, and taxes on the cars.
- Carpool on your commute. If you can share a ride with people to work (or to anywhere, for that matter), then it can reduce the cost of running your car, as well as the impact on the environment.
Reduce Travel Costs
As well as travel in the car, you are likely to have other travel costs that can crop up from time to time. Vacations or trips are all part and parcel of what you might be saving for, but there is no need to pay more than you really need to. If you’re going abroad, then getting a credit card that is specific for use abroad can mean that you don’t incur any extra fees or costs (as long as you budget for your spend so that you can pay it all off in full). You could also look at the RBC exchange rate to see what foreign currency you can get for your money to make sure that you are getting a good amount to make it worth it.
If you have got a lot of memberships for things, then it can be a lot of outgoing costs that can really add up. From TV subscriptions to gym memberships, it can add up and mean that you’re out of pocket. And if you’re not getting your money’s worth for the subscriptions, there is no point having them. So look at what you are signed up to, and cancel the things that you really don’t use enough to justify the cost.