Running a household is much more expensive than you would think. Between the constant bills, repairs, and rising cost of living, trying to keep within budget has become incredibly difficult. Sometimes it can even be a struggle to make ends meet at the end of the month.
To make things easier and ease the financial burden, we’ve created a blog to help you keep your household costs at a minimum. Here are six tips to keep your long list of expenses at an all-time low. Keep reading to find out how…
Write Down All Your Spending
If you want to ensure you are keeping costs at a minimum, you’ll need to understand where your money is going. The best way to do so is by keeping track of all your spending and writing it down. This can be done in a spreadsheet and then further broken down into distinct categories.
Create a Budget
Once you know which areas you are overspending in, it’s time to create a budget. This should be calculated with your net income in mind. Use the 50/30/20 method to divide your net income across needs, wants, savings and debt payments.
Invest in Great Home Insurance
More often than not, things start to break down all at the same time, which can be a complicated situation for your wallet to handle. That’s why we recommend investing in great home insurance. Broken down appliances? You can get these repaired by First American in the nick of time.
Switch Energy Providers
If you open your utility bill with dread every single month, it may be a sign that it’s time to switch energy providers. Don’t be mistaken in thinking you need to stick with a provider that isn’t’ serving your needs.
Become More Energy Efficient
Another way you can reduce those energy costs is by becoming more efficient. Start with the basics, such as unplugging your appliances when not in use and keeping lights turned off when you’re not in the room. If you have the funds, why not invest in something truly drastic, such as solar panels or double glazed windows.
Skip a Subscription
How many streaming subscriptions does one household truly need? They may not seem like much individually, but those bills add up to a hefty sum at the end of each month. We recommend you cut out one or two streaming services from your list of expenses or rotate between your favourite ones.
Financial management is a vital skill that can always be improved upon and developed. It can be applied to all aspects of your life, however, there’s a noticeable difference with your bank account when you’re smart with your financial decisions at home. If you’re feeling a bit overwhelmed with all the advice we’ve provided, we suggest that you take our tips on board one at a time. Mix and match different techniques until you find a strategy that works well for you.