Money Savings Hacks: Easy Ways to Cut Costs and Boost Savings

According to statistics, nearly 50% of all Americans have less than $500 in their savings account, and over 60% have less than $1,000. Considering that even a small emergency or repair could easily wipe this out, this presents a dire reality for most households. Thankfully, there are some easy hacks you can implement that will help you save money by cutting costs and boosting savings to get you in a better financial situation and on your way to a more solid future. By putting these into practice and allowing them to become a habit, you will quickly see positive changes in your finances. 

Reduce Eating Out And Save Money on Convenience Items

If you take the time to record how much money you are spending each day eating out or on small convenience items like coffee from the drive-through instead of from home, you will be amazed! Even making one small change, like investing in a coffee maker and making your own coffee at home, while forgoing a stop at the local café or name-brand coffee house will add up quickly in terms of how much money you can save. If you can take your lunch from home and save the cost of a few lunches out a week, you will be making even more progress. In addition, avoid purchasing snack-sized items and instead buy the larger portions and then divide them out yourself. Even better, avoid snack items and pre-packaged desserts and make homemade options that are better for you.

Plan Out Meals and Use a List in Stores

It might sound simple, but many people do not take this easy step to save money at the grocery store. If you plan out your meals, even broadly, meaning you don’t have to know exactly every single side, but a general idea of what you want to cook that day, it will help you avoid those impulse buys when in the store. You will only buy what you need to make the meals you have planned to prepare. Of course, you can also put together grocery orders online and just pick up your order, which will also keep you from reaching for those items that weren’t on your list. Also, if you do go inside the grocery store, make sure you eat beforehand as you will most certainly spend more if you go shopping hungry!

Make Your Money Work For You

Another way to boost your savings involves making your money work for you instead of simply leaving your money in a low-interest-yielding savings account. Personal investing can seem intimidating, but it’s easy enough when you work with a company that can guide you through the process. The main goal is to build that base savings account to be able to weather emergencies and then, once you have that saved, move to higher interest-bearing accounts that will help your money make money.

Shop Around For Car Insurance

Today’s car insurance companies often include an online shopping option that allows you to input your vehicle’s VIN and easily shows you if you could save money monthly on your car insurance cost. Therefore, it’s worth the effort to check from time to time to see if you are overpaying on car insurance. In years past, there was a value to staying with the same company for years, but in today’s modern age, it can be more beneficial to change around to consistently keep the best rate. Just make sure that you always have car insurance and don’t be tempted to drop it as a way to save money, as this could cost you immensely in the long run for a variety of reasons.

Cut Cable and Stream

There is no need to pay high costs for cable or a dish today, thanks to the abundance of streaming options available. While you might have to be creative to access sports, if you only want to watch movies, shows, and that type of entertainment, there are plenty of cost-effective, if not outright free options, to enjoy. If you have to see your favorite sports team, look for free trial subscriptions and make sure you cut it off before being charged.

Cut Out Unnecessary Purchases

Again, this might seem like common sense, but it’s unreal how many people, when trying to save money, will still spend unnecessarily on purchases. Therefore, if your goal is to cut costs and increase your savings, stop buying lottery tickets, paying for manicures, magazine subscriptions, cigarettes, gym memberships (that are not being used), and knick-knacks or décor items.

Don’t Upgrade Technology Until You Must

It can be tempting to upgrade your old smartphone to the newest model with all the bells and whistles. However, avoid upgrading technology-based items like your smartphone, watch, iPad (tablet), or earbuds, as they will continue working even after you have paid them off. Don’t feel like you have to upgrade them just because there is a newer option available. This will save you a great deal of money over time if you simply wait until these devices need to be upgraded due to lack of performance or other issues instead of just upgrading them based on the newest model releases.

Be Wise With How You Borrow

If you find yourself in need of borrowing money despite your best efforts to save money and build up your savings in other ways, then at least be wise about how you borrow. Don’t build a balance on a high-interest credit card. Instead, opt for the lowest interest you can find and borrow the least amount possible. Obviously, you want to avoid borrowing money when possible, but life happens, and sometimes you have no choice. Just make sure you are as careful as you can be when borrowing to avoid making your situation worse instead of better.

You Can Do It

The good news is you can do this. You can cut costs and boost your savings. By implementing the easy-to-follow tips outlined above, you will find yourself in a much better financial situation. The main thing to remember is just to keep trying. You will not always be perfect, but just do your best, and you will be moving in the right direction.