Keeping up with the Joneses, and consumerism in general, has forced so many of us into routine, non-essential purchasing that is slashing our savings accounts to the bone. With an impending recession and a collapsing housing market, it’s so important to look for places to save money anywhere we can.
Let’s take a look below at a few simple ways you can save money on holidays, the grocery list and just about everything else.
Keep Your Savings Account ‘Locked’
Of course, the size of your saving's account balance will build over time as you continue adding money to it. However, to be most effective at saving you need to keep your hands off your savings.
There’s a good chance you chose to open that specific savings account for its high interest rate and other perks. That said, you shouldn't be constantly spending money from the account or you’ll have virtually no signs of growth and you'll certainly miss out on any interest payments.
A good rule to follow is to only ever touch your savings for emergencies. Some of the most successful savers advise putting savings before even a home loan payment, bills, and other essentials. This way you’re continually growing your savings no matter what, though this approach might be a bit risky.
Take a look at Money Under 30 for some more tips.
Replace Pay-TV With Netflix, Stan or Amazon Prime
Most Australians spend upwards of $50 a month on cable TV through Foxtel or other providers and as you'd expect, this adds up over the course of the year.
There is a silver lining, however. Netflix and other online streaming services provide massive content libraries for just a fraction of the cost and there’s no lock-in contract. On Netflix’s mid-tear plan you could be paying just $167 a year. Compare this to Foxtel’s sale price of $1,188 per year and you’re already saving over a thousand dollars.
Skip Over On-brand Groceries
If you take the time to look, saving on groceries can become entirely effortless. Switching from expensive, on-brand groceries to essentials can slash your weekly grocery bill in half and you might find that the cheaper food options taste exactly the same.
During your next grocery shop, either online or at the store, opt for the cheaper versions of common foods. You’ll find that both Woolworths and Coles branded items can often be up to 70% cheaper than branded foods and offer essentially the same item.
Remove Unused Subscriptions
It seems that just about every brand has a subscription available and that can make accidental spending painfully easy. Always be on top of subscriptions you don’t use and cancel them right away. Keep in mind that the backbone of the subscription economy is accidental payments, so you’re not the only who’s forgetting to cancel their monthly lifestyle app subscriptions.
If you’re not looking forward to digging through all of your subscriptions, there are applications and software programs for smartphones and desktops that do the work for you. All you’ll need to do is provide your details and they’ll highlight where your money’s going and which subscriptions to cancel.
Plan Holidays Well-ahead
As most of us already know, holidays are so much cheaper then they’re booked well in advance. It’s never too early to plan a getaway when savings are concerned, so from the moment you know you’re going to an overseas destination, get booking.
An important thing to remember is that if you get in extra early, airlines and accommodation companies often throw in a few free nights. This way you’re saving even more and you might even be able to add a few extra nights to your holiday for free.
Switch To a Better Bank
Last, but certainly not least on our list is switching banks. If you’ve been with the same bank since you were a child without checking any other bank accounts, you might be losing out on added interest or major savings. Take a look at Finder or another comparison service and take a look at the highest interest savings accounts on offer. This way you’ll be making your savings work for you, rather than just having them sit there earning minimal interest.