It is no secret that since 2020, the world has been struggling with global effects of pandemics and war. Even the European countries known for their wealthy lifestyle and high living standards struggle with coordinating actions against rising prices and scarcity of supplies. The quarantines, along with conflicts between Russia and Ukraine, affected energy and food markets seriously. You probably buy your favourite cheese at a 20% increased price. It is not your residential country only; this is how life is now.
As the entire world is speaking about the envisioned recession and the living costs are increasing daily, it is evident that 2023 will be a financially problematic year. Our purchasing power is decreasing more rapidly than our wages are rising. We do not have control over the economy, though we can manage our personal finances.
Money saving is paramount, and it can be complicated sometimes. You might be trying to restrict your spending and boost your income, but your bank account might be displaying otherwise. No worries! We feel the same way. Even though we endeavour our best, planning the budget limitation and applying it to our daily pattern is like apples and oranges.
In this article, we will inform you of some tips to spend less in order not to be affected by the approaching inflation turbulence and provide safety in finances for yourself and your loved ones. We hope they will assist you in putting your expenditures on the line and controlling your cash flow to comprehend your spending patterns. Here we go!
Keep Track of Your Expenses!
In the modern world, you constantly spend money unless you do not reside alone in a small village in Iceland. Call it capitalism or the basic instinct to stock, most of us consume like a whirlpool. Small expenses are piling up before we know it, from lunch break coffee to online subscriptions. The key to sidestepping these exaggerated outcomes is not to lose track of your budget.
If you are using a digital wallet application like Jeton Wallet App, it is just a few clicks to screen all your transaction history. Because our mobile app lists every single activity in your account. Otherwise, create a document or write everything you purchase on your notes app, no matter how small the price is. You will quickly discover how much you are spending without realising it. Go over everything and eliminate the ones you can live without.
Create a Budget!
Being an adult and having a disposable income is definitely an extravagance, yet getting used to spending without thought may lead to debt. Create a budget according to your salary and only disburse the amount after you extract your essential expenses such as your rent, utility bills, insurance and emergency fund. Your real disposable income is the money you are left with once you take out the expenses of the month and save up for the future.
Are you aware of the famous 50/30/20 rule? Actually, this is not a new concept; it is a strategy for handling your money effectively, simply and sustainably. The rule of 50/30/20 is straightforward, based on dividing your monthly after-tax revenue into three categories: 50% for essentials, 30% for urges and 20% for savings or paying off debt. It sounds manageable and has been devoted by millions of people since the beginning of the 80s all around the globe.
Pay off Your Debt!
Before you wonder “how to save money“, your focus should be paying off your existing debt. With the interest rates and the bad spending habits, your debt will evolve larger and larger the longer you bypass paying it off. Take a couple of months off from treating yourself and eliminate your deficit to start renewing.
Learn How to Cook!
If you do not know how to cook and regularly order take-away, you are paying too much for something entirely avoidable. Learning to cook allows you to plan your weekly groceries and get the exact amount of ingredients, so nothing goes to waste. You can have one day to prep the week’s meals. Thus, when you come home, you may quickly grab your dinner and heat it in minutes.
Undoubtedly, cooking at home is more nutritious, affordable and practical in many ways. If you buy lunch at your office daily, you can think about packing your homemade meals to cut the additional outlay. Haven’t you cracked an egg even? No worries! The Internet, especially YouTube, is full of amazing recipes from the world’s greatest chefs. A bit of browsing and a good butter can create miracles!
Do not Pay the Full Price!
If you are purchasing something, never pay the full price. There is always a more affordable alternative, or you can wait for the item to go on sale. Brands have specific times of the year when they decrease price tags drastically. You can track these dates or try to find vouchers for your groceries or sale codes for your online purchases. Why pay the total price if you can spare some money for precisely the same item?
Try to Lower Your Bills!
Another way of saving money is cutting down your energy bills. Try to be more considerate of how you use electricity, heating and water. Take shorter showers and wear thick clothes in the house to drop your water and heating bills down. You can also turn off unneeded lights and even unplug your TV since it uses electricity even in standby mode. Another clever trick is to charge your mobile devices at work or in the library. These might look like small shifts, yet at the end of the month, they might protect you significantly on your utility bills.
Do not Follow Trends!
Do you really need those colourful pants, or are you just evolving as a victim of micro trends? Investing in high-quality classic pieces instead of purchasing fast fashion items that last a couple of wears or become out-of-date saves your money in the long run. Further, you can always match them with classic pieces. Try to find your style and stick to it instead of constantly hopping from one contemporary craze to another.
To sum up all money saving tips, the concept is to cut expenses and invest in your future. We do not know what tomorrow will bring. We must always be readied and form a promising future for ourselves. Excessive purchases only give us joy for a short while. You have to pivot the source you are getting your dopamine from instead of relying on these whacks you get with your spending routines.
As Jeton Family, we have created an excellent digital wallet, Jeton Wallet, providing complete cash control through its state-of-art mobile app. Our user-friendly Jeton App will be a game-changer for those who want to access their transaction history with a few clicks.
Jeton Wallet is much more than an ordinary digital wallet. It is a whole new way of sending and receiving money overseas. Since the portfolio lists more than 70 fiat currencies and crypto coins in +100 countries worldwide, our users will be exempt from pricey exchange rates. What’s more, money transfers between two users are complimentary in Jeton. We can clearly say that Jeton payments bring convenience and ease to your routine.
Would you like to learn more about our avant-garde payment services? Our professional inner team waits for you at jeton.com to answer all your questions! Together we are stronger than ever!