Image courtesy of taxrebate.org.uk

If you want to spend less money, then there are a lot of things that you can do. Obviously just spending less on everything would help, but this is not always possible if you have bills that have to be paid every month. There are things that you can do though, which could make a significant difference to how much you spend.

Many of the items that we buy are not necessary. These could be more luxury version of things that we could get cheaper, such as buying a take away sandwich and coffee rather than preparing our own or something completely unnecessary such as a piece of jewellery. These types of items are the sorts of things that you could cut down on without making any difference to your basic needs. If you go without a piece of jewellery or make your own lunch, you will still be getting what you need to survive but not just paying over the odds for it. This can seem like it would be a really miserable existence to some people though and it could be better to come to some sort of compromise. Consider what things are really important and which are not so much so. Prioritise your spending and budget more so that you do not purchase everything that you want but you think harder about whether you really want things. You could set a budget of spending for luxury items each month and then save the rest of the money that you have. You could even decide to wait a few months before purchasing every luxury good that you want so that you have time to think about whether it is really something that you want and to save up if you need to.

An alternative or additional way to save money is to reduce what you are spending on necessities. This doesn’t mean cutting them out and going cold and hungry but changing where you buy them form. If you switch suppliers, brands or stores where you buy things, you could save a significant amount of money. Switching your insurers, utility suppliers, supermarket or phone company could save you a lot of money and you may not even notice much of a difference. You could find that you will save a significant amount, especially if you have never compared prices and switched before. It will take time to compare prices and make sure that you are getting the same things but at a lower price, but it could be really worth it. There are websites where you can compare prices which make doing this really easy.

So if you want to have some extra money by spending less, these two techniques could really help. So either reduce your spending on luxury items or compare prices on your necessities and switch suppliers. Of course, If you would rather save money by earning more, you could try that instead by finding extra work, getting a better paid job or getting a second job.