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Save money live better – Do you want to know how? The answer is by following these 20 effective steps. You’re not the only one who feels like they spend too much money.
Saving money is a skill that needs to be learned and practiced over time, just like any other skill!
A lot of people feel guilty about spending their hard-earned cash on something they don’t need or want – but it doesn’t have to be this way!
The key is to find out what your priorities are in life and then start saving for them, instead of living for today and paying off tomorrow later (which never seems possible).
Learning how to save will make you happier in the long run because you will know that while everyone else might enjoy buying new things, you can afford more because of the power of compound interest!
How can I practice to save money?
Successfully saving money is about saving little and often and overtime, with the power of compound interest will do the work.
One of the best books everyone should read on how to form good habits for whatever your goals (saving money, healthier lifestyle etc) is Atomic Habits by James Clear.
Cultivating a savings behaviour is all about making small changes to your lifestyle consistently that eventually add up over time.
How can I save money and live better?
- Find cheaper utilities
- Walk instead of driving or taking public transport, and use an app that pays you for walking!
- Buy train tickets in advance
- Shop at Aldi or Lidl
- Cook more at home
- Make a packed lunch at home
- Time your purchases to coincide with discounts
- Start a side hustle
- Cancel subscriptions you don’t use
- Write a book
- Start a blog
- Sell your time
- Buy second hand
- Take part in free activities
- Get a second income
- Make a budget
- Use saving apps to help you save
- Wait 72 hours before you buy
- Pay off your debts
- Buy or rent a smaller home
1. Find cheaper utilities
Has your gas and electric contract come to an end and you are now on the standard variable rate tariff? It is important to periodically review your utilities to make sure you are on the cheapest tariff available to suit your needs.
- Broadband & TV
- Mobile phone contracts
- Credit cards
- Current Accounts
- Investment ISAs
- Car Insurance
- Life and Health Insurance
- Travel Insurance
2. Walk instead of driving or taking public transport
Walking instead of driving or taking public transport will not only save you money but has excellent health benefits too. The money you save in fuel or bus/ train tickets can then go towards your savings.
3. Buy train tickets in advance
There are a number of benefits to buying your train tickets in advance, such as:
- Cheaper prices on the ticket price for most trains
- More availability (it’s usually easier to find an earlier or later train)
- Less stress because you’re not rushing around trying to find a ticket at the last minute
4. Shop at Aldi or Lidl
The grocery stores that are most affordable and convenient for shoppers are Aldi and Lidl. If you need to save money on groceries, then you should consider shopping at either of these two places.
They both have low prices and good quality products so it is worth checking them out if you haven’t already.
- Check out our post on frugal living tips for other money saving ideas!
5. Cook more at home and eat out less
If you are looking for ways to save money, cooking at home is a great option. Not only does it help your wallet but it also helps the environment by cutting down on waste and keeping greenhouse gases out of the air.
By cooking at home, you control exactly what is going into your food, so you can make it healthier and exactly to your taste.
6. Make a packed lunch at home
We all know how expensive it is to eat out. With the average lunch costing around £10, you’re going to spend over £300 a month on food!
That’s not even including brunch, dinner, or any other type of meal. So why not save money and make your own packed lunches?
Not only will this cut down your spending on food but also help keep you healthy by eating less unhealthy foods.
7. Time your purchases to coincide with seasonal sales and discounts
We all like nice things. Rather than buying these items whenever you want, why not time you purchase to coincide with seasonal sales e.g. January sales for clothes.
If needing to buy a car, then waiting until the end of the quarter (end of March, June, Sept and Dec etc.) is when you are most likely to get a deal as dealerships push to meet their quarterly sales targets.
8. Start a side hustle
The side hustle phenomenon is steadily rising in popularity. The number of people who consider their second job to be a “side hustle” doubled from 10% in 2010 to 20% in 2016. And it’s not just millennials anymore – the percentage of Gen Xers with a side gig increased from 12% to 17%.
The economic downturn caused by COVID 19 has made it hard for many people to find a job.
As unemployment rates continue to climb, and the cost of living skyrockets, more and more people are looking for ways to make money on their own.
One solution is starting your own side hustle to give you extra income to boost your savings!
Check out our post on 51 Side Hustle UK ideas (Practical Tips You Need To Know!) HERE
9. Cancel subscriptions you don’t use
Do you know that there are some subscriptions that you might not even remember signing up for, but they’re still taking your money every month? That’s just wrong.
If it’s been a while since you’ve looked at your credit card/ bank statement, now is the time to take a look and see what those sneaky subscription fees are costing you. If you are not using that Amazon Prime or Netflix subscription, get it cancelled and put the money into your savings account!
10. Write a book
The next few ideas focus on generating additional passive income to make saving easier.
A lot of people will tell you that writing a book is an impossible task. That it takes years and years to write one, and there’s no guarantee that anyone will even read it.
In reality, this couldn’t be further from the truth!
I’ve been living proof of how easy it can be to write a book – with my first completed book being written in only 3 months and self-published on Amazon KDP! All I did was follow these 3 simple steps:
- Write down all your thoughts on paper about what you want to discuss in your book (no editing!)
- Review all the ideas you listed out and then organize them into categories, so they flow well together when you’re writing later on.
- Set the goal to write 1000 words every day
11. Start a blog
Do you want to make money while you sleep to add to your savings? Have your own website that generates revenue even when you’re not there? If so, then start a blog for passive income.
Blogging is a great way to create an online business and generate an income from home. Warning, though, you have to be willing to work hard as the start; you will need to put a lot of effort in with minimal reward.
It can take some time before you earn an income from it. Once your blog generates a good amount of traffic, it can be a great income source to help with your savings.
Blogging can also give you the freedom to live better by being better able to control how and where you work. All you need is a laptop and a good internet connection to blog, so you could in theory blog from anywhere in the world!
12. Sell your time
We all know that there are many ways to make money. One of the most popular is by selling products or services. However, it isn’t necessarily easy to get your business off the ground, and you may not be able to find a product or service that will generate enough income for your needs.
If you have a skill or qualification, then selling your time and services can be a great way to make extra money to save and live better. You can make your services available by selling your time on sites like Fiverr or Task Rabbit.
You could even become a mystery shopper and be paid to review companies. Sometimes, these jobs come with the added benefit of free items or food that have been purchased as part of the mystery shopping task as they are always reimbursed!
13. Buy second hand
Saving money is one of the most important things in life. But it’s hard to save when you are spending so much on new clothes, shoes and electronics. This is why buying second hand can be a great way to save money and ensure that your purchases last longer too.
When you do the math, it turns out that buying second hand is not only more sustainable and ethical but also a lot cheaper.
14. Take part in free activities
Do you feel like your money is going fast? Have you ever wanted to do something more than just make it last for the next month or two?
In today’s society, we are constantly being bombarded with ads telling us how awesome it will be if we buy a certain product. All of these products have one thing in common: they cost money! But there are some activities that don’t cost any money at all and here are some of them:
- Find free museums
- Go on walks
- Visit your library
- Plane spotting!
- Get involved in community sports
- Play board games
- Teach yourself to knit
- Make a how to youtube videos
- Facetime a friend or family member you haven’t seen in a while
- Learn a foreign language
- Check out our post on free online classes and activities for kids
- If your birthday is coming up keep an eye out for birthday freebies!
15. Get a second income
Are you finding that there is nothing left over to save each month? It is no secret that the cost of living in today’s society has continued to rise.
There are so many things that we have come to rely on, such as iPhones and internet, cable TV etc, which can be financially draining if you don’t have a solid income.
With the average American making about $52-60K per year, it may seem impossible to make ends meet. But with some creativity and determination in finding a second job, it is possible to earn that bit extra to allow you to save consistently.
16. Make a budget
Get organized with a budgeting spreadsheet – This will help you track your spending so that nothing slips past without notice. You’ll also be able to see where your money goes, what it’s being spent on, and when it’s being spent on things which can sometimes provide insight into why people are struggling financially.
17. Use saving apps to help you save
You might be wondering how you can save at all if you’re living paycheck to paycheck. This is a common misconception that studies have disproved.
The best apps for saving money are the ones that make it possible to save without even thinking about it. The savings happen automatically and you get a notification when your balance is high enough to make an impact on your budget.
18. Wait 72 hours before you buy
Most people don’t think that they’re wasting money when they buy impulsively, but it’s true. For any purchases that are not essential, wait 3 days before actually buying what you were about to buy.
Giving yourself 72 hours breathing space will allow you the time to make sure that:
- You are not making an emotional purchase
- Figure out if you actually NEED this vs WANT
- Adding time into the buying process will increase the chances of making a better buying decision as you will have more time to research the item and probably save yourself money.
19. Pay off your debts
Most people are aware of the adage, “pay your bills on time,” but what about those who have high-interest debts? The average household has £6,500 in credit card debt and other forms of high-interest debt.
This amount is enough to inhibit one’s savings account balance significantly as you will be paying interest rather than saving! Paying off your high-interest debts is a great way to save money.
If you’re carrying any credit card balance or student loan debt, paying it off should be your top priority – not buying that new outfit!
20. Buy or rent a smaller home
With rising housing prices and low interest rates, it is easier than ever to get into a home in today’s world. But this may not always be the best option for your wallet.
With mortgage payments being one of the top expenses in an individual’s monthly budget, could you imagine what would happen if you were struggling to pay your bills?
This is where having a smaller home than you can technically afford comes in handy as you will have the breathing space and disposable income to save more. Saving and investing your money will ultimately lead to a better life as you will be financially free and not be tied to a job (to give you money to live).
How can I save money and live well?
- Create a budget
- Pay off your debts
- Reduce your tax bill
- Maximise your earnings
- Pay attention to those hidden subscriptions on your bank statement
- Use discount codes and collect coupons
- Change bank accounts to be on the best deal and take advantage of cashback offers
- Avoid buying expensive cars
- Over pay on your mortgage
Who says Save Money Live Better?
Save money live better actually started as an advertising campaign with Wal-Mart. Wal-Mart marketed the save money live better slogan to convince the American public that Walmart could help them save money and live better through the savings available in Wal-Mart stores.
For more inspiration on easy ways to save money check out our post where we share 35 ideas!
Please leave a comment in the section below if you have any tips or questions on how to save money and live better. We would love to hear from you!