Whether it is partying to hard with friends, giving into too many impulse buys or just not budgeting, it is easy to spend too much money. These tips should help you be thriftier with your money!
While an impulse buy can be good for the soul, it can be devasting to the budget. Don’t get caught in the over-shopping culture or just spend money because others are. Set a budget for your outing and try to keep to it. You can always come back for those heels or Xbox game in a month.
Build a nest egg
Saving money can be really challenging, but is very important for those rainy days when your car battery suddenly dies. To start off, put a small amount away every month before any deductions, thus making saving your first priority. As your salary (or confidence in saving) grows, put a little more away.
It also helps to have goals to which you are saving. Write down short (the festive season gift shopping), medium (a new car or pair of Jimmy Choos) and long-term financial goals (retirement). Whenever you feel the urge to dip into your savings, consider your financial goals and how spending your savings will impact you.
Apps to keep you organised
When all else fails, there is an app for that. Some of the financial apps that can help you are 22Seven, a money consolidating app to help consolidate accounts to get the bigger financial picture; Moneysmart to assist with managing money and spending; FillApp or Fuel Log3, which keeps track of fuel expenditures; and Money Mammals Save for a goal, a practical app to teach children about saving.
Addressing the debt elephant in the room
Debit is an easy way to fall victim to your finances. Before taking on a credit card or more debt, consider the repayments and how this will affect your ability to save. Always try to pay more than the minimum required fee or payment.
Never have more debt on your credit card than you earn a month and pay credit card debt back as soon as possible. Try and use your credit card only for emergencies! While debt is not a bad thing, there is bad debt – like owing the bank because you bought clothing.