4 Simple Ways to Lower Your Monthly Expenses
Published On :
These days, it seems as though everything is getting more expensive. The cost of living is rising, and it can feel difficult to keep up with it. Luckily, there are steps you can take to lessen this financial issue. The easiest way to do this is to survey your monthly budget and expenditures, and see what changes can be made. Little changes here and there can add up, so keep reading for tips to lower your monthly costs.
1. Take a Closer Look at Recurring Costs
Unfortunately, monthly bills are something you can always count on in life. Insurance, utilities, mortgage, and rent are just a few that you most likely can’t avoid. However, that doesn’t mean they all have to be overinflated — there are ways to minimize the cost of some essentials.
For example, evaluate your insurance choices and their package prices. Are you really getting the best deal for your coverage? Moreover, sometimes it’s not in your best interest to simply go with your employer’s insurance. Consider switching companies for what’s necessary, and get a health, car, or house insurance quote. A quoted price will instantly let you compare and decide which company and package could benefit you and lower your expenses. Just make sure you compare the same level of coverage.
Another way to reevaluate your monthly expenditures is to go through what are potentially unnecessary repetitive bills. These could include memberships or subscription services, like music or video streaming platforms. It can be hard to let go of the variety of streaming services you have, but you don’t really need several. Or if you don’t really use that gym or mystery box subscription much, it’s probably not worth keeping the bill.
2. Prevent Food Waste
You might not realize just how much of your groceries ends up in the trash every month. Think of that large pack of spinach you swore you’d eat but only used once. Or, that yogurt you bought on sale but never ended up eating before it expired. These seemingly little things all add up to create a big problem. In fact, the U.S. Department of Agriculture reports that Americans waste around 30-40% of their food.
When you buy too much of something or let it sit in the fridge until expiration, you’re wasting your money. Make sure you regularly plan your meals and only buy what you need. If you still notice food waste, keep a journal tracking your grocery usage and take note of what’s being wasted. Notice what is only partially used, and consider buying smaller sizes. For example, if you don’t consume milk often, buy a pint or quart instead of a gallon. These changes add up eventually, and it’s worth going out of your way to eliminate food waste.
3. Cut Down on Utility Use
Another resource you’re probably unaware of just how much you use is your utilities. Little things here and there will add up, whether it’s water, electricity, or gas. However, there are also small things you can do to lessen your usage and cut your bill. For example, try to take quicker showers and turn off the TV or fan when you’re not in the room. You can also adjust thermostat settings when you’re out of the house. Depending on the time of year, reduce either heat or air when you won’t be there to feel it.
Additionally, some states, like Missouri, have instituted ‘peak times’ for utility usage. These are windows of time every day in which the price is higher than normal due to popular use. Prices can be elevated even three times the regular rate during peak times. Additionally, this rate change could apply to various utilities depending on the provider and state. Take a moment to look up any peak times in your area, and do your best to minimize usage during them. You should notice a change in your utility bills when avoiding these times.
4. Reduce Luxuries
Are you a victim of the daily coffee run? Those seven-dollar lattes will add up to a costly monthly expense. In fact, that totals approximately $210 per month, and $2,520 per year! That’s a lot of money spent on something you can probably go without. You could be saving that much and possibly even more by cutting down on these expenditures.
Other unnecessary regular purchases could include frequent dining out or activities. For example, getting dinner and seeing a movie in the theater can run upwards of $50 a person. If this is a weekly activity for you, consider reducing it to once a month instead or go on a cheaper day. Some theaters have promos like $5 Tuesdays. Cutting down doesn’t mean cutting out — you don’t have to completely halt the things you enjoy.
Be Willing to Let Go
Lowering your monthly expenses can be a tough scenario, especially when you’re comfortable with your lifestyle. However, it’s worth taking a look over and making the effort to reduce, even when it’s hard to let go. You’ll find that you’ll have more to save each month or be able to offset rising costs that you can’t cut out. Sometimes a little sacrifice now can reap rewards later that will make the whole process worth it and more.
Jesse Pitts has been with the Global Banking & Finance Review since 2016, serving in various capacities, including Graphic Designer, Content Publisher, and Editorial Assistant. As the sole graphic designer for the company, Jesse plays a crucial role in shaping the visual identity of Global Banking & Finance Review. Additionally, Jesse manages the publishing of content across multiple platforms, including Global Banking & Finance Review, Asset Digest, Biz Dispatch, Blockchain Tribune, Business Express, Brands Journal, Companies Digest, Economy Standard, Entrepreneur Tribune, Finance Digest, Fintech Herald, Global Islamic Finance Magazine, International Releases, Online World News, Luxury Adviser, Palmbay Herald, Startup Observer, Technology Dispatch, Trading Herald, and Wealth Tribune.
