By Kory Krauss / Manager of Financial Health Services
Everything is getting more expensive. It is as if a serious storm is approaching and some people have already covered their windows and evacuated, while others are still basking in the sun and making merry. With finances today, the analogy is accurate. Some people have prepared themselves for potential financial stress while most people have not changed their spending habits to reflect the economic times we are in. Here is a list of small steps that you can take today to prepare for whatever financial hardships might be on the horizon.
1. Bring a bottle
The cost of beverages from convenience stores is substantially higher than grocery stores. Coffee and tea are cheaper from home. Pack a bottle of whatever you need for the day to avoid spending additional money.
2. Pack the snacks
If you have a hard time avoiding fast food while out of the house, you are probably hungry. Plan ahead for errands and trips by packing a snack to avoid high costs of buying food out.
3. Deal with the ads
Ads were unavoidable when all we had was cable television and radio. Cut out your paid subscriptions because free beats ad-free.
4. Betray your favorite brands
Brands count on loyalty and familiarity to keep buyers coming back, meaning they don’t need to compete on price. To save money, shop at other stores and buy cheaper brands. You might find that you prefer the cheaper brand and having more money in your bank account.
5. Re-think trips, big and small
The cost of gas is up and so is the cost of lodging. Rethink how you travel. To save money, you can always leave before dawn and drive home after dusk skipping overnight stays. If you know people going to the same destination carpooling can save money and make the trip more enjoyable.
6. Commit time to organize
“If it doesn’t get scheduled, it doesn’t get done.” Few people enjoy reorganizing, but if you’re like me, you have all you need and then some. It’s better to put time into reorganizing your household items and donating what you don’t need, than to buy something you already have but lost somewhere.
7. Summers are hot, winters are cold
We’ve all heard “adjust your thermostat” a hundred times, but it is a true and practical step. You can save money by using your air conditioner or furnace less. A few degrees difference will help your wallet.
8. Categorize your expenses monthly
People often behave better when others are watching. You can motivate yourself to change spending habits by tracking your spending and knowing you will total up your spending later.
9. Set yourself up to succeed (with dinner)
I read a quote once that went something like, “The hallmark of a good billiards player isn’t that he makes difficult shots, but that he rarely has to.” Preparation is key. Make a meal plan for the week, being especially aware of busier days.
In conclusion, the trade-off we all face is exchanging our limited time for our limited money. Further, I recommend learning more about finances--I like the “Clark Howard Show.” Times change and our spending habits should too!
Ready to take the next step in your financial journey? Call to schedule an appointment with our financial health counselors today (920)-272-8234.