Paying Closer Attention To My Financial Statements

Paying Closer Attention To My Financial Statements

Simple Ways To Lower Your Monthly Expenses So You Can Invest More Money This Year

Barb Morgan

If one of your goals this year is to invest more money in your retirement account, then you will be pleased to learn there are many painless things you can do to reduce your monthly expenses and free up some cash, including:

Start With the Big Expenses and Work Your Way Down

To save the most money possible each month, sit down with a list of your fixed expenses. Sort the list with the highest priced expense first and the lowest priced expense at the bottom. Work your way down the list by looking at how you can save money on each item. Some common examples would be:

  • refinance your mortgage for lower monthly payments
  • lower your insurance coverage or bundle policies
  • put all your cell phones on a shared plan

In addition to the above, you should also look at ways you can save money on your household utilities. 

Reduce Your Household's Use of Utilities

Every time your family members turn on a faucet or a lightbulb, you are paying for that convenience. Even if leaving a light on for an hour only costs you a few cents, those are pennies that you could be putting into your retirement account.

Some simple ways you can save money on your utility bills include:

  • use a dishwasher for washing your dishes because they use less water
  • replace your old water heater with a newer, energy efficient model
  • use less heating and cooling; instead, change the way you dress to match the season

In addition, if you often have empty space in your household's trash cart on the day it is picked up, then ask your trash service if you can get a smaller can and lower your payment.

Control Your Grocery Spending and Kitchen Waste

Since buying food for your family is likely one of your largest expenses each month, you can easily shave money off of your budget by making small changes to the way you shop. You can save a significant amount of money by using coupons, shopping for bargains, and opting for lower-cost foods when possible.

Finally, it is vital that you learn to control your kitchen waste to save money. For example, if you typically throw out spoiled fruits and vegetables, then you need to start looking at each one as money that could have been invested for your future. There isn't any reason to overbuy produce; the grocery store isn't going anywhere. From now on, make a promise to yourself that you will use everything you purchase or buy less.

Talk to a financial advisor for more tips on reducing your monthly expenses.


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About Me
Paying Closer Attention To My Financial Statements

When my card was declined at the grocery store a few months ago, I realized my financial situation had hit rock bottom. Instead of ignoring the problem, I decided to meet with a financial counselor to see what I could do to make things better. I talked with him about how to handle unplanned expenses and how to budget for my day-to-day life. It was incredible to learn more about money, and now I can proudly say I am living within my means. I decided to make this blog for anyone that struggles with financial planning so that you can turn things around.

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