One of the hardest parts of keeping your finances in order is figuring out a way to spend less money. It’s easy to find yourself throwing money left and right if you aren’t careful about how you’re budgeting. Even though little expenses here and there may seem insignificant, the truth is that over time, they start to add up quite a bit. Over time, the little expenses, when added up, will start to drain our resources faster than we might like to imagine.
If you’re looking to cut back on your monthly expenses, you may not be sure where to begin. The trick is knowing where your money is most likely to be going and how to pull back. Take a look at some of the most practical ways to lower your monthly expenses and take control of your finances.
Reassess Your Living Situation
For most people, your rent or mortgage is your biggest recurring monthly expense. However, if you’re finding yourself scrambling to make ends meet at the end of the month, it may be time to start asking yourself, you need to make a reassessment.
For some people, the answer might be refinancing your home, while for others it may be downsizing your apartment to a cheaper neighborhood. The solution may vary depending on your individual living situation and needs, but the outcome is the same: lower housing payments!
Use Public Transportation
If you’re someone who commutes to work every day, chances are that your gas costs are up there. Even though it may be convenient to drive in your own car without having to be a slave to the local bus schedule, the bus is considerably cheaper than driving yourself.
Not only is public transportation cheaper, but it’s actually much faster in some cases! If you’re lucky enough to live somewhere that has an underground tunnel system, then you’ll have no problem getting to work in a jiffy.
If you owe a considerable amount of money on various credit cards, it’s a good idea to consolidate it all into one loan. Debt consolidation loans make it possible to combine all of your high-interest debts into one lump sum with a lower interest rate.
If a personal loan isn’t an option for you, then you should consider a low-interest APR balance transfer. In some cases, you may even be able to qualify for 0% APR for the first year. However, if you don’t plan on paying it off as soon as possible then it’s not worth bothering. Only apply for a personal loan or balance transfer if you’re serious about getting rid of your debt once and for all.