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4 Budgeting Tips to Help You Save Money
You know saving money is important, but you're probably tired of the same old advice. You've stopped buying Starbucks every morning and started brown-bagging your lunch for work. Is there anything else you can do that doesn't require living like a starving student forever?
Yes, there is! In fact, here are five easy and effective things you can do to budget better and save more money.
1. Spend One Hour Every Month Reviewing Your Statements
While your bank account and credit card statements aren't probably at the top of your reading list, taking the time to look them over is an easy way to save money..
The good news is you don't have to spend a lot of time reviewing them. All you need is about an hour a month. Check your bank statements to see if you're paying any avoidable fees, such as account maintenance fees, ATM fees, or overdraft fees — and make a plan for how to avoid them going forward. This could be finding a free checking account, identifying fee-free ATM machines you can use, or linking your checking account to your savings account to avoid overdraft fees.
Then look over your credit card statements. Are there any fraudulent charges? If so, contact your credit card company to report them. Are there fees for subscriptions you no longer need? If so, cancel them. Are you getting late fees? If so, set up autopay to avoid late fees in the future. Getting dinged by high interest rates? Ask your credit card company if they can lower your interest rate — then see if you might qualify for a personal loan (at a lower rate that your credit card) to consolidate your debt and reduce your monthly interest. And, of course, focus on applying your savings to paying down any debt faster!
2. Budget Your 'Fun' Money with a Prepaid Card
Sometimes it's just too tempting to dip into your checking account when you run out of spending money. An easy way to prevent yourself from overspending is by putting your fun money on a prepaid debit card.
Prepaid cards are safer than debit cards because they don't provide direct access to your checking account if lost or stolen. They also let you set a predetermined spending amount. Just swipe until you use up the balance — and then resist the urge to hit the ATM for cash.
Reloading your card is easy and convenient, too. Just be sure to choose a prepaid card that charges minimal fees — some cards on the market are notorious for their excessive fees.1
Synovus offers a prepaid debit card with minimal fees.
Did you know Amazon Prime members spend more than twice as much as other customers? Consider cutting your Prime membership to save big.
3. Consolidate Your Subscription Services
When it comes to streaming video and music, $8.99 here and $15.49 there, for example, seems like a small price to pay for millions of titles at your fingertips. But these inexpensive subscription services can really add up, especially if you take advantage of premium add-ons — those with no commercials.
In fact, one study finds that Americans spend $2.1 billion per month on streaming services alone.2 Bottom line: You probably don't need all the streaming and music services.
4. Install Coupon-Hunting Browser Plug-ins
Even though online shopping is an easy way to overspend, it's also often the way to get the best deals on things you actually need — and sometimes it's the only way to get what you need. But with so many online shopping sites to choose from, how do you know you're getting the best deal?
That's where browser extensions come in. Some can help you comparison shop for the same item on multiple websites. Some track price changes over time so you'll know if the price you're seeing is a good deal — or if you're better off waiting to make that purchase. Some can help you apply coupon codes to lower your price. And some even have a way you can get a small amount of cash back on all your purchases.
Not sure where to start? Check out this article on browser extensions to see which ones might be right for you.3
You don't have to make major sacrifices to trim your monthly spending. Just be sure to funnel your newly found cash into a savings account for when emergencies pop up.
Important disclosure information
- Consumer Financial Protection Bureau, “What Types of Fees Do Prepaid Cards Typically Charge?" Published August 31, 2020. Accessed August 5, 2024 Back
- Deloitte Insights, "Streaming video at a crossroads: Redesign yesterday’s models or reinvent for tomorrow?" Accessed August 5, 2024. Back
- Amy Livingston, "12 Best Browser Extensions to Save Money While Shopping Online," Money Crashers. Published May 24, 2023. Accessed August 5, 2024. Back