How people waste money or how people save more money with limited income? Both these titles are appropriate for this post. If you have problem of limited income and unlimited expense or if you are very bad at spend management here is something interesting for you. I am herewith practical examples how people waste money which can be saved.
How to save more money with limited income – Practical Examples
(1) Cook the Food
The first practical example witnessed by me is from restaurants.
Mineral water or Regular water? This is the first question asked by the waiter when you visit any restaurants.
Whenever waiter ask this question you should reply with a counter question that, if I order regular water it will be safe and clean drinking water or not? However, no one does that.
A simple answer to this question will be mineral water. Once you respond with mineral water you will be billed Rs.60 for the mineral water bottle available at Rs.12 outside. So, take away from above example are-
- Prefer economical restaurant with good food quality.
- Never order mineral water outside. You should prefer pure drinking water from home.
- Avoid taking food outside. By this way, you can save food bill as well as future hospital bill.
The second example is multiplex theater. People visit multiplex for watching a movie. It is seen that people prefer popcorn and other food while watching a movie. The popcorn worth Rs.10 is sold at Rs.100 in multiplex and people purchase it without any hesitation. It is a waste of money.
- Avoid consumption of food while watching a movie in the theater.
- If possible watch a movie at home and save more money.
(2) Fight the light
The usage of electricity is increased like anything. The new electronic gadgets, mobile phones, and laptops have become an integral part of our life. Although these devices have smoothened our life it has increased our power requirement. All these devices require plug for charging.
Unnecessary use of WhatsApp and other gaming application consumes more power and drain mobile phone battery. Not only will that it also save unnecessary consumption of data pack.
- Avoid unnecessary usage of mobile phone.
- Minimize usage of electronic gadgets.
- Try to use energy efficient devices at home.
(3) Do it yourself
There are many opportunities to save more money. It is a witness today that people are master in outsourcing task. They spend money for doing a simple task like filing passport application, driving license application or preparing income tax return. If they do these types of tasks by themselves, they can save more money.
- Do simple task by yourself and save more money.
(4) Switch off automobile
Fuel expense is one of the biggest expense now a day. We have a habit of using bike or car for a smaller distance. We take pride in using car or bike. However, we don’t know that it cost us a lot. It unnecessarily enhances our financial burden.
- Avoid unnecessary usage of bike and car.
- Prefer Carpool to save more money.
- Keep your car and bike in perfect condition. Go for regular checkup
(5) Stop before your shop
The majority of people are suffering from Impulsive buying syndrome. They get lured by advertisement and promotion placed by the seller. Everyone is impressed with a shopping mall culture. We visit the shopping mall and purchase the products without thinking. Buy one get one free or discount offer is responsible for this. We should ask a simple question before buying anything. Do I really need it? If the answer to this question is yes go for it.
- Visit shopping mall only with specific requirement or list.
- Avoid impulsive buying.
- Prefer small shop or online purchase compare to big shopping mall.
- Say No to branded product.
(6) Don’t take chance, plan in advance
Last month I have missed my due date of the mobile bill and paid delay payment charges. My friend missed PPF contribution and paid late payment charges. This may happen to you also so don’t take chance, plan in advance. Make a budget and divide your income in fixed expense, fixed investment and other additional expenses.
- Plan every expense in advance.
- Plan your investment in advance.
(7) Say No
Say No to cigarette, alcohol, and tobacco. These are an unnecessary expense. In addition to that avoid buying clothes and ornaments for every occasion. This will surely help you to save more money.
In addition to above make habit of noting down every expense. It will help you in controlling your future expense.
- Say No to unnecessary expense.
- Don’t overuse your credit card.
Remember – It’s not your salary that makes you rich, it’s your spending habits. So, Save Money and Money will save you.
I hope above practical example will surely help you to save more money.
Do share your views in the comment section!