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These 10 Tips Have Helped Me Save Thousands On My Household

These 10 Tips Have Helped Me Save Thousands On My Household

Whether you are living alone, with a roommate or a significant other, managing household costs should be a priority if you want to be able to get out of debt and live a fairly comfortable life. It’s nice to know that you have some money on your account that can help you cover emergency costs, as well as a little extra saved up for a few important luxuries like travel, home renovations and so on. However, in order to achieve a certain level of financial stability you need to make sure that you are being efficient with your monthly budget, and there are plenty of simple ways to save money without making it seem like you are punishing yourself.

What we will be looking at in this article are money-saving tips that are practical and sustainable, i.e. things that will help you out in the long run and that can become second nature. I’ve managed to drastically improve my budget using these tips – by spending less on basic everyday things, I have actually allowed my family to spend more on some of the finer things in life, and so can you.

1. Stop buying disposable razors and expensive shaving gels

Electric shaver

    I’ve always admired my old man’s ability to keep his face clean shaven every single day for decades using an old straight razor that his father left him and shaving soap. I on the other hand, have been wasting money on disposable razors and fancy-looking shaving gels until I realized just how much they were costing me.

    Yeah, they’re cheap, but you can go through a bunch of them each month. Since a straight razor takes time and skill to use and has to be maintained, a better solution for the busy modern man or woman would be a safety razor or an electrical shaver. Modern electric shavers give a good shave in a third of the time it takes to shave with safety or disposable razors, they work for women as well as men, and you only need to replace the head every few months. You can also whip up a very good shaving cream at home with a minimal investment. Switching to an electric shaver and making your own shaving cream will save you 20-30% depending on how often you shave.

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    2. Switch to a healthier diet and do some walking

    Many people are under the wrong impression that eating healthy costs more than eating junk food. For one, a healthy diet means cutting back on the calories to shed some of the extra pounds, and less food means less money spent. Second, as long as you don’t go full on organic, you’ll find that fruit and vegetables can be quite cheap and filling. You can even buy frozen vegetables in bulk and keep them in the freezer for months.

    Eggs are quite cheap as well, and you can get chicken, beef and veal relatively cheap when buying in bulk. As long as you go for a brisk walk, say 60-90 minutes each day, do a few workouts here and there, and eat healthy your health will improve and your medical bills will go down. A healthier lifestyle and smart grocery shopping can save you around 20% and save you a trip to the doctor.

    3. Work on your gardening and cooking skills

    Gardening at home

      If you want to take your healthy lifestyle savings to the next level you can grow your own fruit and veggies in the garden or even inside the house, and cook your own food instead of dinning out all the time. There are plenty of fruits and vegetables that don’t take up a lot of space, they give you free and fresh organic ingredients and some, like cherries and almonds, are extremely beautiful when they flower.

      You have access to thousands of recipes online and free cooking videos, and you can prepare meals for the next few days and keep them in plastic containers, and bring them to work. Growing your own fruit and vegetables, and cooking more can save you an extra 10% on your grocery bills.

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      4. Be on the lookout for great bargains, even if you don’t need anything right now

      Shopping for something only when you absolutely need it doesn’t leave you with a lot of options. For example, buying a big warm jacket during the winter means you’ll have to pay the full price, while you can buy one in the summer for half price. This is why you should always be on the lookout for great deals when you are running errands around town or going to get some coffee on your lunch break.

      Sometimes an exceptional opportunity presents itself, and the money you spend now saves you a lot more down the road. Depending on the discount or special offer involved, hunting for good deals can save you anywhere between 15% and 50% on a variety of items.

      5. Educate yourself about hygiene products, clothes and gadgets, so you can buy cost-effective items

      Informed customers

        To boost your savings even further you need to become a well-informed consumer. A higher price doesn’t necessarily mean better quality, and sometimes all you are paying for beyond a certain point is the privilege to become a walking billboard for a big company. With hygiene products like shampoos, tooth pastes and soaps in particular, there is no noticeable difference between reasonably priced and top of the line products, apart from packaging and marketing.

        The more you know about phones, cameras, fashion and other areas, the better you will be able to judge whether a product is worth the price tag or not. By being an informed shopper, on top of looking for bargains, you can save another 5-15% while getting the same quality goods.

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        6. Try to ditch some of those bad habits

        About 18% of American adults are smokers and over a third are obese, and the numbers aren’t quite clear on the number of people who drink regularly. Bad habits like smoking, emotional eating, excessive drinking, impulsive shopping and even excessive coffee consumption can take a big bite out of your budget. It takes a strong will and patience to make a positive lifestyle change, but it really pays off. Not only can ditching bad habits do wonders for your overall mental and physical health, which means spending less on medical bills, but it can help you cut your spending by another 10-30%.

        7. Consider switching to a wood-burning stove

        classic wood burning stove

          The heating bill is usually one of the biggest hit to everyone’s budget. When winter comes you don’t have much of a choice than to keep the house warm by any means available. However, even though some DIY insulation solutions can help you keep the place warmer, a wood-burning stove is a very cheap heating solutions and will last for decadences. Getting quality firewood will keep the fire going for a long time and isn’t expensive, but will require some work to chop up and store properly. A stove will require an initial investment, but will quickly pay for itself, as it keeps you warm winter after winter, and will save you up to 20% on your heating bill.

          8. Don’t walk around the house in a t-shirt and shorts during the winter

          You can save on your heating during the coldest months even further if you dress for the season. Most people like to feel warm and cozy, but if you want to walk around the home wearing as little clothes as possible, like you do in the summer, then you will need to heat the home up to summertime temperatures, which is not very energy efficient. A simple solution is to wear warm socks and slippers, and layered clothing, so that you can keep the temperature a bit lower and still stay warm enough. This can cut another 3-5% from your bills.

          9. Learn to limit your water usage during everyday tasks like showers and dish washing

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          Conserving water while washing dishes

            I like to imagine that I am in a dessert environment and that water is very precious and the supply limited – an idea I got from a summer vacation where we had to make do a set amount of water each week. You’d be surprised at how much you’ll save on your water bill if you start turning it off while you brush your teeth or soap up during a shower, use a low flow to quickly rinse the dishes and turning it off until you’ve applied detergent and scrubbed them off and so on. You can also get more efficient shower heads and faucets. This can save you a nice 5-8% on your bills, depending how many people you have in your household.

            10. Hit the library

            Buying books can be expensive, while joining a library costs very little. However, not a lot of people spend plenty of money on books, but they do sometimes need a quiet place to work or do some research, and while coffee shops are a good option, they tend to be pricey. Public libraries offer a calm workspace which doesn’t cost you anything, and as an added bonus, those few hours you spend at the library are a few hours during which you are not actively using electricity at home, so you save a tiny bit on your energy bill as well. Depending on how much time you spend at the library, you can save some 5-10% on coffee shop bills.

            All in all, following these simple and effective cost-cutting measures will allow you to shave a fifth or fourth off your monthly spending. This money can go towards paying off your debt, straight into an emergency fund or into a savings account.

            Featured photo credit: Kitchen via shutterstock.com

            More by this author

            Ivan Dimitrijevic

            Ivan is the CEO and founder of a digital marketing company. He has years of experiences in team management, entrepreneurship and productivity.

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            Last Updated on April 28, 2020

            9 Millionaire Success Habits That Will Inspire Your Life

            9 Millionaire Success Habits That Will Inspire Your Life

            As technology evolves and information becomes more accessible, it has also become more challenging to define success. A lot of people are trapped in the rat race while trying to discover the actual formula for success.

            You could become overwhelmed with what tools, techniques or philosophies to imbibe while trying to get tips over the internet. At every click and turn, there are ‘how-tos and quick-fix’ on how to become successful overnight. You will find several courses, articles, videos and books on how to achieve financial success.

            But what if I tell you it doesn’t have to be complicated as people made it out to be? What if you could achieve success by merely following these 9 millionaire success habits?

            1. Read for Personal Development

            A daily habit I have discovered millionaires share in common is reading. For instance, if you are an entrepreneur, you need to read to become an efficient leader and a productive business owner. Reading helps you to grow and learn without going to a business school.

            A research conducted by Thomas Crowley indicates about 85% of self-made millionaires read at least two or more books each month. [1] Warren Buffett is one of these examples. He spends 80% of his day reading. In the early days of his investment career, he would read 600 to 1000 pages in a single day.

            While millionaires sometimes read for pleasure, they also learn to improve themselves. They read topics on leadership, how-tos, self-help, biographies, lifehacks and also follow current events.

            Here’re some recommendations for you: 25 Best Self Improvement Books to Read No Matter How Old You Are

            2. Establish Multiple Sources of Income

            Another success habit I noticed about successful people is that they don’t depend on a single income source. Every millionaire possesses multiple sources of income. This helps them to manage economic challenges and also make more money.

            They are passive income addicts. They earn interests from loans, rental income from real estate, royalties from intellectual properties, dividends from investments. They also launch a side business or run a website or sell information products.

            How income is made either passively or actively is what separates the successful from the wannabes. They are always learning ways to build multiple streams of income.

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            3. Live on a Stipulated Monthly Budget

            An average millionaire does not believe in luck and jackpot. They take the time to understand cash flow-income and expenses. Based on this, they establish a monthly budget and religiously stick to it.

            The essence of the budget is to minimize unnecessary expenses. This will help you gain complete control of your financial life. Budgeting helps you to avoid overspending to achieve your financial goals. Here’re some tips to help you stuck to your budget: 32 Hacks for Sticking to Your Budget

            4. Manage and Maximize Money

            The most significant education for a millionaire is financial intelligence. Nobody attains financial freedom without gaining financial intelligence. This is the more reason millionaire, regardless of their income, keep their knowledge about tax strategies updated.

            They always seek to reduce their tax bills. One approach they employ is by living or incorporating their business in states with no income tax.

            Do you know that about 60 companies paid $0 legally in the 2018 tax year? Some of these companies that ‘avoided'(note: not evaded) federal income tax include Chevron, Amazon, Halliburton, General Motors, Delta. Their US income was totaled at $79 billion with an effective tax rate of -5%.

            What’s the deal? They got a tax refund.

            How do they accomplish these?

            An ITEP report indicated that they have the culture of throwing huge sums at tax experts who assist them in discovering creative, as well as convoluted means of paying little tax as much as possible.[2]

            5. Avoid Debt

            Another habit that separates the millionaires from the rest of the world is how they manage debt.

            They don’t live an extravagant lifestyle; instead, they only buy what they need and can pay for. They do not book hotels and flights by using their credit cards to pay for them.

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            They are conscious of the interest rates even when they use credits cards or take loans. If possible, they try to pay with cash because of its zero percent interest rate.

            6. Set Daily Goals

            It does not matter if they are setting up a business, a career, or financial projections; they have the success habit of setting short term goals. They plan daily and weekly goals to generate momentum in achieving their long-term goals.

            Ensure you prioritize when setting daily goals. This will help you to achieve the most important to-dos on your list.

            Setting priorities will help you to focus on highly rewarding activities. If you desire financial freedom, it is wise to pursue activities that earn you thousands of dollars rather than hundreds of dollars.

            7. Don’t Act Rich

            The goal is not to act rich but to be productive. Interestingly, Thomas Stanley buttressed in his book that for the most prestige brands of cars, about 86% percent are toys of the non-millionaires. While most believe that people with huge fortunes tend to drive exotic cars, in reality the largest consumers of pricey cars are aspiring millionaires.[3]

            According to findings by Experian Automotive Researchers, 61% of individuals who earn $250,000 or more rarely buy luxury brands. Instead, they buy Hondas, Toyotas, and Fords like the rest of the world. The reason is they are not ready to spend money on premium cars that tend to drop in value in a couple of years as it would cost money. Millionaires invest in assets that appreciate.[4]

            8. Own or Buy Businesses

            In Robert Kiyosaki’s cashflow quadrant, he divided how you earn income into four quadrants. The E and the S quadrants take the left position while the B and the I are on the right side. According to Robert, it is possible to be on all quadrants, but the millionaires are not.[5]

            • E stands for employee – they work for others
            • S stands for self-employed – they work for themselves
            • B stands for a Business owner- employees work for them (500 or more employees)
            • I stand for Investors – Money work for them like Warren Buffet.

            Your goal is to move from the left quadrant to the right quadrants where you own big businesses or make money work for you.

            It is possible to become financially successful by pursuing what you love. For instance, if you love writing, aspire to be the best seller. Wealth and passion work together.

            Check out How to Start a Small Business with Little to No Money for tips.

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            9. Avoid Get-Rich-Quick Scheme

            A millionaire holds patience as an essential virtue. It takes patience to become successful, not only in finance but in every aspect of life. While it is possible to become financially successful at an early age, most millionaires hit it at age 50. They live a moderate life, invest in their future and retire rich.

            Bonus: How to Develop the Millionaire Success Habits?

            Having learned these habits, the next question is,

            How can I develop the Millionaire Success habits?

            Here are six values you will need to develop:

            Establish Your Life Vision

            You need to be clear about what you want in life to set yourself for a life of success. Your vision has to go beyond becoming a millionaire to understanding why you want to become one. Any great entrepreneur you will ever find has a clear vision and an established mission.

            Understanding why you are doing what you do will drive you to become the kind of successful person you want to be.

            Make Your Passion a Profession

            When your passion becomes your profession, work becomes pleasurable. Loving what you do enables money to flow to you and through you.

            So what’s going to be? Wake up every morning by speaking positive words into your work, love what you do, and focus on the work that brings you joy.

            Take a look at this article and learn how to make it happen: 5 Steps To Turn Your Passion Into A Career

            Focus on Solution

            Focusing on the solution means establishing the problem that you or your business address. This will help you focus on the solutions when others are faced with challenges.

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            A millionaire has a mindset that is fixed on the solution. He or she knows there’s a way out, and that every problem is an opportunity in disguise.

            Improve your problem solving skills with these tips: 6 Effective Ways to Enhance Your Problem Solving Skills

            Develop Your Leadership Skills

            Leadership skills are an asset that is indispensable if you want to develop a millionaire success habit. The more you hone your leadership skills, the more you will attract leaders who share your values.

            Be Growth-Focused

            Millionaire entrepreneurs prioritize self-improvement. Here’s how to achieve it:

            • Get a coach. Coaching will impact your life, and you will achieve peak performance in life and business when you have a life coach.
            • Be coachable. It is not enough to have a coach; you must be coachable. Sometimes, you need feedback and counsel to reposition your life and business. A coach has the wisdom and experience to counsel you from a higher perspective. The more you receive feedback and work on yourself, the more you become better at what you do and who you are.

            Flip Your Thought Pattern From Acting To Being

            It is not enough to have a millionaire success habit, you must also become a person of positive influence. This is how you can become significant. Bill Gates is not only rich; he is changing lives in Africa and different parts of the world.

            If you want to become successful, you must first be and think like a successful person. This is how resources you need can flow into your life.

            Here’s a final thought from me:

            It is not enough to do something to have something; success is about being someone who possesses what is needed to take positive and inspired actions.

            More Success Habits

            Featured photo credit: Austin Distel via unsplash.com

            Reference

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