Advertising
Advertising

Challenge Yourself To Avoid These 10 Frivolous Expenses For One Month

Challenge Yourself To Avoid These 10 Frivolous Expenses For One Month

Did you know that simply by having one Starbucks coffee per day, five days per week, that you are spending over $1,000 per year? Just think about what else you could be doing with that money. We all spend money unnecessarily. After all, we think nothing of spending a couple of dollars here and there. But, every penny adds up, and we spend thousands of dollars each year on things that we really don’t need. Here are 10 avoidable expenses that most of us are guilty of wasting money on.

1. Daily Lunches

As a busy person, you may not have time to make lunches to take to work, so you spend money to eat out every day. No matter where you go, you are going to spend at least $5 per day. That adds up to over $1,000 each year. Make your lunches at home the night before to save time and money. Here are great healthy lunch recipes all clock in at $3 or less per serving.

Advertising

2. Weekly Pizza Night

If you get a pizza for your family once a week, you are spending at least $20 to $30 each week. That adds up to $1,000 or more each year. Sure, we all need to treat ourselves now and again, and who doesn’t like pizza? But, why not cut back to one pizza night a month. You will be saving $60 to $90 per month, or more. Also, there are always great tasting grocery store pizza that could cost you only $5-$6.

3. Travel

You may love to travel, but it gets pretty expensive after a while. You can’t get a decent motel room for less than $100 per night, and then you have to pay for meals, and have spending money. You also have to spend a lot on airfares. Instead of giving up on travel, find ways to have budget vacations. For instance, you can get great deals on airfares at Kayak and Airfares Flights. Find a bidding site to bid for less expensive hotel rooms and find local eating deals through that city’s online coupons and meal deals.

Advertising

4. Books

The cost of books gets higher and higher all the time. A cheap paperback novel now costs upwards of $10. Reading shouldn’t have to be a luxury. But, instead of spending a lot of money on books, why not get them from your local library for free? Book getting can be accomplished with a Kindle Unlimited membership for just $9.99 a month as well.

5. Clothing

You don’t need to have three closets full of clothing, or hundreds of pairs of shoes. All a person really needs are a few main pieces, a few accent pieces, three to four pairs of shoes, and some accessories. You can save money by cutting back on clothes shopping. You can make money if you clean out your closets and sell all those clothes you aren’t even wearing. Neighborhood swapping party to get new sizes that the kids or you need also is a great way to save money on your clothes.

Advertising

6. Weekly Movie Nights

It’s nice to have date night with your significant other, but for two people to go to the movies, it costs upwards of $50 if you get popcorn and pop. You can save money by cutting back to one date night a month. Buying tickets at the Box Office will save you $1-2 that you’d pay for online booking. Find a late-run theater and watch movies later. You can still enjoy each other’s company by renting a movie or streaming on online. There are tremendous savings to be had with streaming movie options, investigate if one is a good fit for your household.

7. Beer

Beer, or any other alcoholic beverage, is expensive. It is even more costly when you choose to drink at a bar with friends instead of at home. By cutting back on the amount of alcohol you consume, you will be saving a lot of money. You may even lose weight and feel healthier. If you must socialize with a cocktail, choose Happy Hour times, some places even have late night reverse Happy Hour!

Advertising

8. Lottery Tickets

Do you really need to spend money on those lottery tickets every week? Sure, winning is fun, but take a good look at what you spend compared to what you win, and you will realize just how much you have lost over the years. Perhaps making it an indulgence instead of a habit is a better fit. Maybe establish a ‘couch fund’- money found in the couch, for treats like this.

9. Treats for the Kids

Do you bring home treats for your kids every time you go shopping? This can get pretty expensive after a while. It also will cause your kids to not appreciate real treats. Cut back on the treats for the kids, save money, and as a bonus, this may help them to grow into adults who appreciate all that they do have.

10. Cigarettes

If you are a smoker, you are likely spending at least $10 per day on cigarettes, depending on how much you smoke. Quitting is hard, but it is well worth the effort. You will be saving over $3,000 per year, and improving your health. If you can start by weaning yourself down on the nicotine aspect with patches and the oral aspect with suckers, eventually you will thank yourself and feel better as well.

Featured photo credit: pshegubj via flickr.com

More by this author

Jane Hurst

Writer, editor

Stay Productive On The Go – The Top 20 Tools For Digital Nomads 10 Great Books to Help You Find the Meaning of Life 30 Makeup Hacks That Will Change Every Girl’s Life 15 Best Brainstorming And Mind-Mapping Tech Tools For Every Creative Mind The Best 8 Project Management Apps

Trending in Money

1 How to Nix Your Credit Card Debt in Less Than 3 Years 2 Top 5 Spending Tracker Apps to Manage Your Budget Smart in 2019 3 How to Use Credit Cards While Staying Out of Debt 4 How to Use Debt Snowball to Get out from a Financial Avalanche 5 How Personal Finance Software Helps You Get More Out of Your Money

Read Next

Advertising
Advertising
Advertising

Last Updated on April 3, 2019

How to Nix Your Credit Card Debt in Less Than 3 Years

How to Nix Your Credit Card Debt in Less Than 3 Years

Debt is never a fun thing to be in. But, there are many actions that you can take that will help you rid yourself of the burden of debt once and for all.

By coming up with a set plan, eliminating your debt can feel much easier than constantly thinking about it.

This post will provide some tips on how you can do this to help you nix your credit card debt in less than 3 years.

Hint: there are ways that are easier than you think.

1. Consider Consolidating Multiple Credit Cards If Possible

This may not be applicable to you, but if you have multiple cards – it is something to consider. Keeping up with multiple bills is time consuming.

It will depend on the balance you have on each. Consolidate ones you can but do not do it to the point that you get too close to the maximum limit. Also, it is ideal to pick the card with the lower interest rate.

Consider if there are any fees or alternatively, rewards, with transferring a balance to another card. Watch out for fees. Note that some cards offer rewards for transferring a balance to them. This is extra cash that can help go towards paying off your debt.

Advertising

Having one or two cards can make nixing your debt much simpler than keeping up with the balance of a bunch of cards. Keeping track of paying the minimum towards a bunch of cards is time consuming. Spend the time to consolidate instead to make the overall process simpler going forward.

My tip: Have one main credit card. Have a second one that you use for necessities – such as groceries or gas – that offers rewards for those purchases (a lot of cards do) and set the second one on auto-pay. You should be able to pay off a smaller amount on auto-pay if it is a necessity. If you think you cannot, then you may need to cut down a lot on expenses.

Why do I suggest doing this? Having one thing set to auto-pay is one less thing to think about. One less thing to waste time on. Same idea with consolidating to one main card. Tracking down too many is a hassle.

2. Try to Pay the Full Balance You Spent Each Month at the Very Least

You need to pay off the amount you are spending each month when that bill comes in. This is the amount you spent THAT month.

Do not let the debt keep accruing while you work on paying any unpaid debt that has accrued. It will become a never-ending battle. Try as best as you can to be current on paying for each month’s expenses when that month’s bill comes out.

If this is a strain, consider why. You may need to cut expenses. Or you may need to consider other cards. Or look at where this money is going.

3. Pay Extra When You Can – Every Small Amount Counts

This cannot be emphasized enough. If you are looking at a lot of credit card debt, it can look daunting, but each extra amount that you can put towards the debt will really add up – no matter how small it is.

Advertising

It does not just reduce the principal amount that you have left to pay off, but it reduces the amount that is collecting interest. You will always save money with that reduced interest.

4. Create a Plan on How to Pay Extra

Back to the main point, having this plan is giving you one less thing to think about.

This plan should be a plan that works for you. If it does not work for you, your spending habits, and your views on debt, then it will not be an effective plan.

For instance, if a set plan of an extra $50 (or another amount that you know you can afford) works for you, then do that. Set that aside every month and pay that extra amount. Treat it like a bill. Choose an amount that works for you and pay it like clockwork as though it was a bill you had to pay each month.

Little amounts will not nix it entirely, but they will help tackle it and having a set plan can make it less of a chore. Creating a new plan of how much to put towards it each month is an unnecessary added stress.

5. Cut out Costs for Services You Do Not Use

If you are signed up for subscriptions that you do not use because of some free trial or for some other reason, cut it out. Your overall financial position will look better.

In turn, that will make cutting your credit card debt easier. Look at your statements to find these expenses. If you do not use them, you may forget you are paying some unnecessary amount each month. Cutting it out can really add up in savings that you can put towards other needed expenses.

Advertising

6. Get Aggressive About It

Consider these points:

Depending on the interest and the level of debt, you may need to give up a few indulgences. For example, instead of ordering delivery or going out to eat, cook at home. Everything adds up.

Other things may be more of a sacrifice. It may be a trip you wanted to go on, or a daily latte habit you’ve picked up. In these instances, consider how important it is to you and if it’s worth the sacrifice. And if it is a costly expense, think whether you can wait to indulge.

Cutting an extravagant expense can really help make a dent in your overall debt. Try not to add to debt when you are trying to pay it off. It will be a never-ending battle. Make it less of a battle with these tips and it will feel easier.

Bottom line: Do what you can to make this process easier for you. Implement steps that do this. It takes time now, but will help overall. Also, keep track of your spending and paying down of your debts. Which is the next point.

7. Reevaluate Your Progress at Set Intervals

Doing a regular check-in can help you see your efforts pay off or maybe indicate that you need to give this a bit more effort. If you check every 3-6 months, it will not feel so much like a chore or feel so daunting.

By doing this, you will be able to better understand your progress and perhaps readjust your plan. Bonus: if you see it pay off, it will feel great to do this check-in. You will get there.

Advertising

Finally (and most importantly)…

8. Keep Trying

Do not get discouraged. Pushing it off will make it worse. Just keep trying.

Once your debt becomes lower, each monthly payment will reduce the balance more. Why? You are paying less towards interest. It will be a snowball effect eventually and it will become much easier to manage. Just get to that point. And know once you do, it will feel easier and motivating.

Start Knocking out Your Debt Today

The best way to eliminate debt is to get started right away. Begin by implementing the above steps and watch your debt just melt away. Try out some of the above strategies and see what works best for you. Soon you’ll be on your way to a debt free life.

More Resources About Better Money Management

Featured photo credit: Pexels via pexels.com

Read Next