Some Of The Biggest Wastes Of Money And The Solutions
For those who receive a pay weekly or monthly, there is always this dilemma of how to use your money wisely. The good news is you do not have to attend any seminar or empowerment program to manage your money properly.
Hello readers, My name is Antoaneta, and once again, I am glad to welcome you to this financially inclined blog that will help you save more than you do now. I see savings as the foundation on which investments are made. Check out my other blogs such as, “17 Important Things That Can Make You Happy and Successful“.
Are you one of those people who take home a bumper or decent paycheck but in the end, you do not have any savings to show for it? Does it feel like you are spending more than you want to, but cannot help it? Maybe this blog is made specifically for you because it is possible that you are making some of the mistakes I wish to talk about.
Here’s a list of things you can stop wasting your money
Overdraft fees and credit card interest:
If you have ever had an overdraft fee or fee for insufficient funds, there may have been a chance that you have cursed your bank and the inconvenience it caused you. Well, you don’t have to, because the only person to blame is yourself. Banks thrive on the overspending of customers because it represents a considerable part of their income. Protecting yourself from overdraft fees with overdraft protection would also cost you because it is still a revenue for the bank. So, the best way is to keep track of your spending and account balance and learn to control yourself from spending too much.
Subscriptions or memberships:
Nobody is saying you should not have any of these. If they are giving you returns on your investments, why not? If everyone who registered for a program were to attend the program at once, they probably might not fit into the venue. So, why be one of the people who register and do not participate? If you subscribe to these programs and do not have the time to attend, why continue? Check your bank statements and cancel any subscriptions or memberships you do not use or do not justify its cause.
IN-APP and IN-GAME purchases:
Developers have found out that making users buy full apps does not work, so they switched to making the users make smaller and more frequent purchases. Some of these payments may be worth it, but most of them aren’t, and if you do not monitor them, they add up.
Coffee seems like a great way to start your day or relax after a stressful day, but have you stopped to check how much it adds up to in a month? Though the prices vary depending on your location, or where it is being bought, the costs would be high in the long run. Try making coffee at home or in your workplace, and you will see how much you have been able to save.
Waiting until you are hungry to buy food:
Maybe you are always busy and don’t have time to make your food by yourself, so what do you do? You order an expensive takeaway. This should not be a habit because it does not help you to save. How about going to the grocery and stocking up food items that may help you in the long run? Planning is the best solution, not waiting until you are hungry.
Cigarettes and Energy drinks:
You must have heard the health warnings, but I will talk about the cost implications. Cigarettes are not cheap, but the question is, why spend money on something harmful to your health? Energy drinks are costly. Once in a while, it is ok, but making it a habit affects your savings drastically. I would not talk about the health implications, but the energy they give is for a short time, so you would feel the need to top up at short intervals, making you spend more.
Expensive cable packages:
The average citizens spend so much money on packages, and they do not know it. Subscribing to over a hundred channels is a waste of money because you sure cannot watch them all. If you can, then you should reevaluate how you spend your time. You should spend more time developing yourself instead of looking for limitless viewing options. It would save you more money.
You may have gotten some good electronics or wares, and the salesperson brings up the idea of extended warranties. It may sound nice, but it isn’t a great idea. These things come with a manufacturer’s warranty and they don’t just break over a short period of time afterward, say a year or two, so there is no need for extended warranties. Manufacturers make a lot of money from these extended warranties without actually doing much. Put the money you would spend on these into emergency funds instead and you may be pleasantly surprised when you see just how much this nest egg reaches,
Coupons and special offers:
This is a way retailers sell you what you do not need, but convince you otherwise. These retailers make you overbuy to get the coupons and special offers, and you may end up using these coupons and special offers to get what you do not need. In most cases have to waste or throw out the extra items bought.
Luxury branded goods and the latest tech:
These goods have the advantage of providing better quality, but it is not wise to buy expensive products when you cannot afford the necessities. So, if you feel the need and you can comfortably afford it, then there is no problem getting the goods. If you feel the need to upgrade your gadgets, first check your pocket before making any sudden decisions. Just deciding to keep your existing mobile phone for a year could save you many hundreds of pounds.
Buying cheap junk:
Buy expensive goods, and you might be wasting money. Buy cheap junk, and you might need to replace them faster than you would have liked. The bottom line is there has to be a balance. So, don’t buy luxury stuff you can’t afford, but always go for the quality.
Overspending on baby products and beauty products:
It makes sense to go cheap because babies do not care about what they wear. This doesn’t mean you should not buy good products for the latest member of the family. You also do not need a huge collection of beauty products because you may not be able to use all of them. Ask yourself, do these products do what you bought them for? And are they cost-effective or affordable? More importantly, ask yourself if the products actually do what you want them to do.
I am sure some of these ways money is wasted might have affected you directly or indirectly. All you have to do is know what causes a shortage of funds, and follow the suggestions to solve them.
Recommended books for further reading:
- The 7 Habits of Highly Effective People — Stephen R. Covey
- Money: The Top 100 Best Ways To Make And Manage Money — Ace McCloud
- Secrets Of The Millionaire Mind — Harv Eker
- Money Master the Game: 7 Simple Steps to Financial Freedom
- Money: Know More, Make More, Give More: Learn how to make more money and transform your life