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Modern technology helps us spend our money more easily, thanks to the instant gratification credit and EFTPOS systems facilitate. If you need to do the opposite: spend less or save, then some good old-fashioned money-saving tips might work for you.
I've trawled back to find some of the best tried and tested money management skills that should be revived. Granny managed money a hundred times better than any of her grandchildren by taking this approach:
Related blog: * Attend Free Wealth Seminar
Related blog: * Attend Free Wealth Seminar
Spend only cash
Yes. Try a week or even a month without your credit or EFTPOS cards. Pay everything in cash and know that you've not gone into debt at the end of the month. Or if you've got direct debits set up for your rent and utilities bills and don't want to cancel them, you may want to spend cash only for non-essentials.
Put your change in a jar or even a piggy bank
At the end of each day empty the coins out of your pocket or purse and drop them in your see-through jar or piggy bank. Or give something up, such as cigarettes, wine, or even buying magazines, and put the money you would have spent in your jar and watch how quickly your jar fills with coins and the folding stuff.
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Use envelope budgeting
In the old days people received their pay in cash. Good money managers would then split it into envelopes for things like rent, mortgage, groceries, public transport or car expenses, saving and so on. There's nothing stopping us withdrawing our cash as suggested in tip number one, and splitting it into envelopes. Once each envelope is empty you know that you've spent all you can on that category and that any more expenses will have to wait until next pay. Make sure one of your envelopes has the following word on it: savings.
Go back to basics with your shopping
You don't need Mr Muscle or that fancy shower cleaner. There's no cleaning job that can't be done with baking soda, vinegar, methylated spirits, washing soda, or a combination of the above. Likewise, bypass any processed food in the supermarket. Our grandparents ate meat, vegetables, potatoes and bread back in the 1950s and were mostly healthier for it. Allow yourself just one luxury a week such as: ground coffee, muesli bars, Coca-Cola or juice, individually wrapped anything, boutique breads and so on. Not all of them.
Do your banking in person
If you've overspent it's all too easy to go online and move money from one account to another. If you have to go to the bank to do it, you might think twice.
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Budget
Oh yes. Find out how much you're over spending by and work out how much that works out per day. If you're over spending $2000(P100,000) a year that's $5.48(Approx P250) a day. There would be very few people that couldn't cut that out of their spending if they were honest with themselves. Then make a decision that will increase your income and you'll soon be saving not heading for financial Armageddon.
Be sustainable
Granny reduced, reused, and recycled without even thinking of her environmental impact. She made things last longer — even things that we consider to be disposable such as zip-lock bags. She even darned socks to give them another year's life out of them.
If you have no discipline you need radical changes to your approach to money management and granny's tried and tested ways might be the answer. There is no magic formula. You need to reach into yourself to make those changes.
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