10 Things to stop spending your money on to have more money
Written by R. A. Stewart
- New Cars
Is this a necessary expense? If a $5,000 car will be sufficient to meet your needs and you purchase a car for $15,000, that is ten grand that you are throwing away. That 10 grand could be invested somewhere and grow to a sizeable amount. It could have gone toward your retirement fund or some other investment. And for those who have no savings whatsoever, and borrow to purchase a new car, I say, unless you change your money habits you are headed for a life of financial strife. The cost of running a car is expensive so that needs to be considered.
- Holiday Souvenirs
Next time you go away on holiday, forget about the souvenirs; they can be expensive. There is no point in just bringing something back home which is just going to be sitting on a shelf gathering dust. Some souvenirs such as a t-shirt or a t towel serve a useful purpose, but you can find cheaper items in a charity shop in your home town.
- Lottery Tickets
Don’t be taken in by the flashy advertising of the lottery company trying to lure you in to spending money. The odds of winning are so slim that they are basically next to nothing. Do the mathematics and work out how much each lotto player is spending per annum. That all adds up to a fortune during a lifetime. The large jackpots only mean thousands are contributing to the pool but only a few are taking out.
- Constantly updating your Smartphone
Updating your smartphone just to keep up with your peers is another money waster. Smart people hold on to what works and retain it for several years. You do not need the latest version of whatever you are using. Be content with what you have and not be lured into buying something which you do not need.
- Going overboard on Christmas Presents
It is no secret that a lot of people spend way more on Christmas presents than they should. It is reported that some New Zealanders spend over $1,500 on Christmas presents for people who don’t need them. The New Zealand auction site trade me reports an increase in listings on Boxing Day with people wanting to sell their Christmas gifts. There is even a section on the website for unwanted Christmas gifts.
- Eating out regularly
This can really bleed you dry if you make a habit of it. Add in a few drinks and you could be looking at over $50-$100 a night depending on where you dine out, Do the mathematics and you will soon discover where your money is going.
- Extended Warranties
Retailers will try to upsell you on extended warranties. This is something you most probably do not need. In New Zealand, consumers are protected by the Consumer Guarantees Act and are covered in any case, so it is not necessary to purchase an extended warranty.
- Unused subscriptions
Paying for something which you do not use or only use sparingly is tipping money down the drain and should be used for some goal which you have set for yourself.
- 9. Dating the wrong person
A person who has no sense of responsibility and lacks any financial literacy skills will bleed you dry financially. When both partners can never find themselves on the same page when it comes to financial matters then tensions will arise. It you are the saver/investor, and your partner is the spender then it will pay to let him or her go before you become too involved in their financial mess.
- 10. Keeping up with the Joneses
This is surefire way to waste your money. Just because your neighbour owns a whatever it is, doses do not mean you have to follow suit. Just focus on your own personal financial circumstances and goals. Some folk buy stuff with borrowed money and this sets them back financially. Live within your means and prioritise you’re spending to make the most of your money.
About the Article
The contents in this article are of the opinion of the writer and may not be applicable to your personal circumstances, therefore discretion is advised. You are welcome to use this article as content for your blog/website or ebook.
Check out my other articles on www.robertastewart.com