Reducing Your Day-To-Day Expenses
5 Strategies for Preserving Your Long Term Financial Health through Short Term Decisions.
When planning their financial future, most people focus on the "big picture" expenses such as their housing, their car, their student loans, etc. However, it is important to understand that the small expenses that you incur every day also add up and grow quite significant. That's why we have put together this quick guide to reducing day‐to‐day spending.
- 1. Spend Less on Your Meals. Working traditional hours usually means eating lunch at some point during the workday. And purchasing food from a nearby restaurant can be very tempting when you lead a busy life. However, taking the time to pack a lunch can save a few dollars every single work day, which adds up over the course of the year. If you're interested in ever further food savings, check out this introduction to meal prepping.
- 2. Keep Track of Your Expenses. Whether through finance software such as Quickbooks or even in your own Excel spreadsheet, tracking your expenses closely is one of the best ways of gaining insight into your own financial habits. Saving receipts and using cash when possible are two additional strategies that can help make you more conscientious of your spending.
- 3. Commute Smarter. Carpooling and public transportation are two highly effective ways of reducing the cost of getting from A to B. Waze is one of the largest and most reputable carpooling organizations out there, though you may be able to find friends, coworkers, or local options, as well.
- 4. Find Tax Breaks and Grants. Tax breaks aren't just for organizations ‐‐ here are 10 common tax breaks that individuals can claim in order to increase the size of their tax returns. Finding grants that help you reach your personal goals is another strategy that can make a difference in your life ‐‐ the most widely applicable example of this is undoubtedly FAFSA.
- 5. Use Your Cell Phone Wisely. Pay by the minute phones offer the appearance of being cheaper ‐‐ but as this New York Times article demonstrates, that isn't usually the case in reality.
Contact Madison Monroe and Associates for more information on taking control of your personal finances!