With inflation continuing to soar, people are having to be more frugal, and they are making a concerted effort to cut back, so they can afford to make ends meet.
Indeed, in the UK, the cost of living has reached its highest rate in over 40 years. Driven by the rise in energy and food prices, many households have felt the squeeze.
Consumers have had to become smarter with their spending habits, but how can you make your money stretch further? In this guide, we have outlined a few tips that will help you in the long run.
Create a budget
The best way to get control over your finances is to draw up a budget. Spend some time working out what you can afford to spend and make sure you leave enough to cover vital expenses, such as bills, food, and travel.
Here, you need to be honest about your income, and once you have a budget in mind, then you should do all you can to stick to it. Nowadays, there are plenty of apps such as Mint and Personal Capital that can help you track your spending, and it can pay to be more thrifty.
Moreover, if you have a credit card, you should check your statements frequently. This will let you know what you are being charged and you will be able to figure out how close you are to your credit limit.
Avoid any impulse purchases
As consumers, it can be tempting to spend hours mindlessly scrolling through retail websites and adding items to your basket, but you should be mindful that your bank balance won’t be grateful in the long term.
Similarly, you may be drawn in by a swathe of mobile phone offers or holiday packages, however, at times, it is important to understand the fundamental difference between necessary and flippant expenses. At times, it can be easy to fall into a trap of spending for money’s sake, but instead, you should prioritize making sacrifices if you want to keep on top of your finances.
Keep your eyes peeled for promotions
Almost every retailer will have a loyalty programme in place that will recognize and reward the most valued customers every time they spend. This may come in the form of money back from receiving extra discounts each time they spend over a certain amount, and it provides great value for money.
Sometimes, the smallest promotions can make the biggest difference. For example, this may be evident in the leisure industry. Theme parks are always trying to attract more visitors, and so they may have specific cut-price offers for tickets or allow children under a certain age to be admitted free of entry.
Whereas at cinemas, you may discover special food combo deals, and customers may be entitled to heavily discounted movies if they visit regularly in a month. But promotions aren’t restrictive in the leisure industry, and anyone can benefit. For example, one of the first things that eagle-eyed gamblers will look out for when they sign up for a site will be the quality of promotions available. At our recommended list of US casinos, bonuses come in all guises, such as free spins, but there will be plenty of T&Cs for customers to familiarize themselves with before collecting them.
Set up a savings account
There is an old saying about saving for a rainy day, which many of us will be familiar with, and having a savings account will be invaluable. Of course, having a savings account requires discipline, but if you can get into good habits early on, then you can bolster your financial health.
Remember that your money should be easily accessible. You should take care to ensure that when searching for an account, you join a bank or a building society that allows you to move your funds around as and when you need them. On that note, opt for a bank with high interest rates, so you can get a bigger return on your savings.
Listen to expert advice
Nowadays, there is a wealth of information available at our fingertips to help us manage our finances. Whether it is podcasts or money-oriented TV shows, there are plenty of experts willing to help you make your money stretch further.
They will have brilliant saving hacks and you should never be afraid to seek financial aid if you need it. Oh, and sometimes, the best advice in life will be free.
Wrap Up
We understand that budgeting and saving money might not be all that fun. However, it is necessary, and this guide has a few useful pointers, which if you follow, will make your money stretch further in the future.
