It’s that time of year again when it’s the ideal time to brush up on your knowledge on money and saving for the fiscal year to come. You may have received a good tax return and you may not think you need these tips for this year. But some people who didn’t really receive a good return on their tax will want to listen up. And even if you received a good return or not, these saving tips are just a few good ways for you to begin your new financial year with a good amount of cash at the ready. So without further ado, here are 10 money saving tips for the 2016-2017 financial year.
- Earn more, spend less – One of the most important saving tips is to spend less than you make. It’s basic, yes, but not everyone follows this common sense concept. Make sure to have a clear image and a distinction between what you make and what you can afford to spend. Anything over your limit is crossing into debt.
- Don’t forget credit card fees – Do you rely on taking money out of the ATM or paying with your credit card? Think of the fees you are incurring with each action.
- Respect your budget – By far, one of the most valuable saving tips I can give you is to set a budget – and stick to it. If you know you can’t afford to spend much, then figure out what you can afford and make sure you abide by that.
- Work with a friend – Being thrifty is not the most enjoyable thing and it can be difficult, but not if you do it with a friend! Keep each other accountable on expenses.
- Keep an eye on interest rates – Are you aware of your interest rate? No? Then what are you waiting for? Go check which one is higher so you know what to pay off first.
- Make an expense calendar – Plan every single expense, especially the major ones. Write them down and stick to your plans; as long as you don’t stray from the calendar, you’ll be fine.
- Don’t be late on bills – When you’re late with bill paying, you incur additional charges. As much as possible, pay your bills early. Otherwise, it might affect your credit history.
- Pay in cash – People spend more when using credit cards, compared to cash. As much as 12%-18% more. That’s one of the best saving tips right there, leave your credit card at home. That way, you will be limited to what you have on you.
- Get new contracts – A lot of people make the mistake of getting stuck in old, expensive contracts. Call your service providers and start renegotiating contracts. If necessary, let them know you are no longer going to be using their services. You’ll be offered a deal on the spot.
- Save 20% – You surely already know that you should be saving, but you don’t know how much. A good rule of thumb is to put 20% of each pay check into a savings account and spend the rest on necessities.
In conclusion, saving money is not that hard when you have a lot of good tips to help you out. All you need is a little guidance and you will be putting money aside and cutting back on expenses in no time!