Generally speaking, most of the people are usually not very good at saving money. We like to buy things, spend our money on this and that, and oftentimes, things go out of control. Also, saving is not that easy at all, especially for big spenders. Sometimes, saving can be as hard as earning more, and you’ll have to make a lot of effort to succeed. However, no matter how hard it can be it is not impossible. You can cut your expenses by $1000 or more a month just by making a good plan and following a few simple tips.
How to Cut your Expenses by $1000 or More a Month?
Making a good budget is not only about calculating your costs. It’s also about different ways of controlling them as well. While we can have different kinds of expenses on various occasions, monthly expenses are usually the most common problem. However, there are 5 drastic measures to cut your monthly expenses significantly:
- Change your place of living
- Downsizing for everything
- Reduce your cable and phone bills
- Lower your transportation expenses
- Plan your groceries carefully
When making good long-term budgeting plans, monthly expenses are first in the line for corrections and trimming.
1. Change your place of living
One of the things that influence your monthly costs the most is the place of living. There are no two identical places in the world with the same living costs. That’s why it’s important to be careful and smart about choosing the right place. Of course, living in a large city has its own perks but you should consider other options as well. Nearby suburbs can be a perfect choice for people who want to drastically reduce their monthly expenses. Usually, you will save a lot because they have cheaper:
- housing options
- child care
- clothing, food, and other mandatory things
- restaurants, bars, and diners
- and many more
Another option is to find a cheaper city. In general, you can save a lot of money if you can leave an expensive city like New York, or Los Angeles. Moving to a cheaper place can save you somewhere between four and five figures yearly. Divide it per month and you are on the good road. Also, do some local research before moving to your new destination. If you are planning to move to North Carolina, for example, hiring a company like Moving Kings North Carolina would be a smart choice. Additionally, single people have the option to live with the roommate so they can share monthly expenses together.
2. Downsizing for everything
When moving to another place, getting rid of items is great for two reasons. First, you won’t have to pay to transport them or rent a storage space which adds to your overall costs. Second, you can quickly earn a few bucks by selling items that are not necessary. Let’s say, for example, you are leaving California and moving to North Carolina. This is a perfect example of long-distance moving that asks for downsizing. It’s a long road, and you need this opportunity to start anew.
But, living with fewer things is not all. Why not choosing to live in a smaller home? This can be a great temporary solution until you sort out your long-term budget situation. Quite often, many people chose to get smaller places in order to drastically cut their monthly expenses. However, this option is a lot easier for single people than for people with family and kids.
3. Reduce your cable and phone bills
Chances are, you are paying for extra services that you don’t even use. You can check your monthly subscriptions and see if it’s really worth paying those premium packages you never use. Simply put, unless you have a good reason, basic packages are just fine for the majority of people. A lot of money can be saved this way monthly. Also, if you really want to cut costs, you can get rid of cable TV completely. Luckily, we are living in the internet era. Which means, everything we need today can be found online. All you have to do is to get a decent internet speed and you are all set.
As for the phone bills, check if you are paying for anything else besides the basic usage. For both landlines and cell phones, you can eliminate the services you don’t need. And oftentimes, you don’t even realize you’re paying for a third-party voice messaging, or some other monthly subscription.
4. Lower your transportation expenses
This one is no brainer, but it’s something we overlook quite often. If you can, use public transportation. This is the most cost-effective way of transporting. Especially in crowded places. How many times did you get stuck in a traffic jam? How many fuels did you spend waiting for a green light? Car owners can save a lot of money on gas, maintenance, and parking by commuting. Whenever you can go without your car just do it. Because you are saving a lot of money this way. Also, if your city is walkable, take advantage of that. Eventually, you can even get rid of your car. Car insurance packages are necessary so you won’t have to think about that as well. Also, if you get a bicycle for going to work, you can save money and stay fit at the same time.
5. Plan your groceries carefully
Plan your grocery shopping in advance. Usually, making a list of your monthly needs would be the first step. Also, buying groceries you use the most in bulk is a second step. And be smart about it. We all tend to be lazy at times, but checking a couple of stores before buying can save you both time and money. It will save time because you will know what to look for and where. And, it will save you the money because you will have an idea about the active discounts in the area. Additionally, there are many groceries where you pay for a brand instead of quality. So, if you figure it out, sometimes, generic things can be as good as branded, if prepared with care. Finally, some stores offer online shopping options, so check that as well.
It’s possible to cut your expenses by $1000 or more a month in many ways. However, we need to change our attitude toward money. Usually, we take some things for granted and don’t pay attention to the price. And, one by one they only add to the costs we need to pay for every single month. Avoid being trapped in this enchanted circle by paying attention to details.