How we spend our money has hugely changed over the past few years. We save on travel, recreation and dining out but spend more on cooking, food and online shopping. Therefore, if you want some ideas and inspirations to help you save extra money, check out our best money-saving tactics. You will be shocked at how much you can spare if you set your mind to it.
Save first and spend next.
Pay yourself first. If you do this, it’s a sure way towards financial independence. Use the 50%-30%-20% flexible method for budgeting. Here are the details: 50% of your pay goes on your real needs, 30% goes towards entertainment, and 20% goes to your future. If this approach doesn’t work for you when money is short, you can modify the ratios as you go.
Stay on track
Don’t let money slip through your fingers. With a digital bank, you can transfer a set amount of spending money on your card, while prepaid cards only let you spend what you load. Set up a day to day spending account with its card and transfer your weekly disposable income on to it.
Use vouchers and discount codes.
Visit freshvoucher.co.uk when you shop online can help you save money by automatically applying the voucher code. This means you don’t pay full prices anymore like those savvy shoppers.
Don’t celebrate on payday.
A recent study showed 1 in 3 people spend over half their spare monthly wages within 24 hours of getting paid.
Never let your disposable income burn a hole in your pocket. Always ask yourself if you need it and prioritise your most crucial outgoings, plus something for the savings pot, before you start spending. That way, you’ll comprehend how much disposable income you have to last the rest of the month.
Get savvy with your savings.
If you haven’t already, maximise your £15,000 tax-free ISA allowance. You can either put money into a cash or investment ISA. To be frank, rates for cash ISAs aren’t great in these days, but you can still get more if you leave the money untouched for a long time. You may check for the best cash ISA rates at Moneyfacts.
Take advantage of your workplace benefits.
If you haven’t had time to check the benefits your employer may offer, now might be a great opportunity. From healthcare systems and childcare support to local voucher discounts, grasp what’s on sale, sign up, and you’ll obtain the most reward.