Budgeting, contrary to the popular belief, is a positive approach that helps you save quite a lot of money that can be used in times of crises. Science has technology has improved the standard of life of people. All-round improvements have thrown open many closed doors and living on a budget in modern times is perhaps not as difficult as it may sound.
Here are a few ways of living on a budget in this current year:
- Plan well ahead of time. The key rule of successful budgeting is to keep expenses lesser than your income. Keep yourself informed about all the sources of income you have. Figure out your total income by adding up the interest you earn from bank, dividends from shares and earnings from mutual funds to your monthly salary. Maintain an account where you would pen down the inflow and outflow of funds on a regular basis.
- Purchase of basic amenities should gain the upper hand than the luxuries.
- Do not indulge too much in ice creams, chips, chocolates, burgers or drinks. Focus on food grains, fruits, vegetables and meat proteins. You will not only save yourself from extra expenditure, you will also have to pay less as medical fees.
- Try to make bulk purchases, because they are often more cost-effective in the long run. In this era of shopping malls and supermarkets, there is a lot of competition among each other. They run various promotional offers and discount sessions. You can make the most of such offers.
- Look out for discount coupons and coupon codes. They can be redeemed at the time of shopping.
- Go for cheaper modes of transport. Public transport vehicles are always more economical than cabs or personal cars.
- Choose telecom services that offer low call rates. You can definitely curtail on your phone bills in this manner. Do not make unnecessary phone calls. A text message can often serve the purpose.
- Control your electric bills by switching off lights and fans and other electronic appliances when not in use.
- Curb your urge for too much entertainment. An expensive dinner can be replaced by trying out varieties of homemade food.
- Try opening recurring accounts, so that you save a certain amount of money every month.
- Do not over-spend. Keep an eye on your daily accounts to see if you tend to cross the limits of your budget.
You can benefit by holding back excess expenses by living simply and sensibly. Giving in to whims and fancies and shopping impulsively can burn holes in your savings.