Money is never enough! No matter how much you earn the desire to earn more remains constant. Every month, people struggle to match their needs to a tight budget and keep complaining about low income flow. Well, you can still manage to survive with your current financial status and these are ways to make good use of your income.
- Make a budget
Planning your money helps you allocate it properly and reduces the chances of spending excessively. Asides that, you can keep an account book to track how much goes on what. There are several mobile apps to help you achieve that.
The importance of saving can never be over-emphasized. Irrespective of how much you earn, you still should save. Pick a percentage that works best within your income range, 5%, 10%, 50%, something is definitely better than nothing.
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You can opt for some short term investment savings like Spend2Save that automatically deducts a pre-selected percentage on every outgoing transaction on your bank account.
3. Buy Items you can afford
From phones, to clothes and house hold items, buy items you need and can afford. The idea is to save cost while getting very affordable items. You may be tempted to buy items with excessive pricing but consider buying cheaper items that serve the same purpose as the expensive ones. Ask yourself also; do I really need this?
- Share an apartment
Sharing an apartment is not the most convenient thing to do as a working class adult, but it helps save cost significantly. Asides, sharing the house rent, other bills like light, water, security and refuse disposal are split in-between you and your house mate. Before you settle for this option though, try to evaluate your housing cost and try not to spend more than 20% of your annual income on your annual rent and utility bills. This option is best suitable for single individuals.
- Move around with little cash
Have you ever bought an item spontaneously just because it got your attention, only for you to regret later? This happens most times when you have cash on you. If you think you are spending a lot on miscellaneous, try going out with just enough cash you need for the day. You can carry your ATM card in case of emergencies. It may entice you to buy on the spot, but not as much as cash would.
- Eat at home
Fast foods are fast cash burners. To minimize your expenses, learn to make your own food. It’s also a way to eat healthy while saving money.
- Use public transport to work
You can’t be complaining of your low salary and then patronize cab drops on a regular basis. Even though you have a car, once in a while, jump on buses, pay less and save more. Using commercial transports are way cheaper than fueling your car, especially when you commute long distances. Try it for a week and check out how much you must have saved.
- Minimize your data consumption
If your work does not require data usage, then you don’t need that 25 gigabyte data subscription on your mobile phone. Most times you expend a lot of data scrolling through random people’s profile on social media, watching YouTube videos and streaming movies online when you can just download straight up. Choose what you spend your data on, because a lot of your money goes down that route.
- Get Rid of Cable TV
Imagine paying for a 24/7 cable subscription that you only get to watch at most 4 hours every week day and 6 hours on weekends. Is it worth paying for? You can do without this luxury and manage what you can watch on local stations. This might be really difficult for people living in states that do not have enough local content on screen, but for people living in Lagos, there is a lot you can watch on local stations.
- Change Jobs
At the end, the best way to manage your financial status is to boost your earnings. If you can’t ask for a raise at your current job, then you should consider another job or business on the side while you look out for a better job to move on to.
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