With 2020 being one of the toughest years our generation has ever lived through, many of us are feeling the pain through finances. With less working hours, pay cuts and retrenchments we all have to look for ways to tighten our belts. Both to make ends meet and save up as we don’t know what is happening next. And a great personal finance tip is to cut back on spending.
But when we have cut our budget so much how can we possibly cur down more? It can seem impossible but with these 3 tips maybe it can be possible. We have tried to base these tips on practical steps rather than difficult/ complicated ones. Yes maybe you could find a cheaper place to live, but that is difficult, expensive and may be impossible. So we are going to focus on what is possible.
Have A Weekly Budget
A weekly budget can be much easier to manage. As you are accounting for a weeks’ worth of spending rather than a months’ worth of spending. This is also a key element to stop living pay check to pay check as identified by YouTuber Rad Times:
Stop spending money on stuff you hate
We all have something we spend money on something we hate. Maybe it’s the gym membership we don’t use because the place is filled with creepy guys or the Audible subscription we have because we want to listen to more eBooks.
The truth is if we aren’t using them, they aren’t a priority. And if they are not a priority we can cut it out and spend the money in a better place.
Be Hard on Yourself
We are all strong independent human beings. But when it comes to money we can often turn into weak blobs that are incredibly indecisive. The truth is we often have mixed feelings about money influenced by our parents, growing up, and work life.
But it is time you become a strong independent person in your money life too. Say no when you don’t need it. Say no when its not important to buy now. Say no when you have no more money.
The truth is we are often good at saying no to others, but we need to become good at saying no to ourselves.
Money is a hard and confusing part of life. From Car insurance to Home loans, they can all seem so confusing. But step one is to control our spending. And while 2020 may have been a troublesome year, we can grow a new life and a new you in 2021 and beyond.
Don’t waste this opportunity to change your money life.