The Finance Tip

How to Cut Down on Monthly Expenses


How to Cut Down on Monthly Expenses


One doesn’t need to be a financial planner to find ways to cut back on spending. With a tight budget and impeccable saving strategies, anybody can find ways to reduce their monthly expenses.  Anyone can learn how to bring in more money, simply by cutting back on certain things.  If you’re considering developing a budget plan, consider the monthly expenses that you can eliminate first, and how you can cut down on the rest:

Figure out Where the Money is Going

The first step in cutting back on spending is to find out where the money is currently going. Start by printing bank statements, finding bills, looking over receipts, and reading credit card statements.  You can then decipher you essential expenses from your expendable ones. With a clear understanding of where the money that is coming in is going, it’ll be easier to identify how to cut back.  Always remember, necessities first.

Cut Monthly Expenses that are Unnecessary

When you find the expenses that may not be necessary, single them out to give you an idea of how much you’re spending on them monthly.  Spending a few hundred on eating out each month? This is an example of an unnecessary expense that can easily be cut. To cut back on dining out and similar expenses, focus all food spending on the budget for the grocery store. Once fixing a grocery store budget, it’ll be easier to get a handle on what money can be spent on restaurants and dining out.

Get Creative and Save More Money

Getting creative to save money means thinking outside of the box. Consider downsizing by any means necessary. This can take the form of trading in one car for a more efficient model with less monthly payments. Another creative way to downsize is opting for an apartment or home that has a cheaper rent. Going the extra mile to cut monthly expenses may be difficult at first, but it will be worth it.

Recreate Your Mindset

The biggest factor in cutting expenses is eliminating the “spending mindset”. Transforming one’s mindset from being spend-happy to spendthrifty isn’t easy, but it is necessary in order to save the most money. Truth be told, living as minimally as possible is the best way to save on money. By only spending when absolutely necessary, it will be that much easier to pull together money to build a better future.

Saving money is a skill that everyone must develop. With experience and practice, anyone can improve their ability to save money and cut expenses. People struggling with their finances shouldn’t give up on their financial future–practicing these four strategies will help make anyone financially savvy.

Saving Tips for College Students



College is a time of education, exploration and adventure; it’s also a period where you likely need to save money. When you and most of your friends are trying to keep more funds in the bank, you can use some clever tips to help you get the most out of your money.

Review Your Meal Plan

If you’re constantly having money left over on your meal plan at the end of the semester, consider a more cost-effective plan. While the college might require you to have a certain meal plan during your first-year there, you will likely have more freedom as you earn more credits.

Shop For Textbooks Wisely

You’ve probably heard older students complaining about the cost of books if you’re new to campus. Skipping out on buying books is a bad idea because professors require them for a reason. Instead, ask your professor if it’s acceptable to use an older version or an online version of the book if one of those options is available for less. Also, you might be able to reduce the cost of books by taking them out from the library.

Move to Off-campus Housing  

In the beginning of your college career, you may want to see what life is like living on campus. After the first two years or so, however, you may want to consider moving off of the campus. Moving to off-campus housing doesn’t mean you have to commute from your parents’ home. Instead, you could opt to share a house or an apartment with friends, which will probably be cheaper than staying in the dorms.

Don’t Squander Opportunities  

Many colleges have plenty of free or low-cost programs, soirees and events for students to attend. Also, you might find that your school offers discounts at local attractions if you bring your student identification card along with you. Instead of rolling your eyes at the free opportunities on campus, consider how they can make a major difference in your spending. 

At this point in your life, you might not think that saving money matters too much, and you might spend all of the funds that you have. Eventually, this issue is going to cause financial problems in your life. Instead of making a mess for later, take steps to reduce your spending now.

4 Tips to Follow When Building Your Credit

4 Tips to Follow When Building Your Credit (1) (1)

Your credit history has massive impact on your personal finances, as well as your entire life.  Individuals with poor credit, or no established credit at all, face many challenges when it pertains to milestones in life like purchasing a new vehicle or your first home.  Once you have established credit, it may be difficult to manage. It is important to remember, credit options may not make you dish out money immediately, but they do need to be paid back; this is where the difficulty may come in.  Nevertheless, credit can always be built back up.  

Here are 4 tips for building your credit.

Make Sure Your Credit Reports are Accurate

With the evolution of the internet, there are many ways for someone to look up their credit reports; some resources will provide one score, while others will go more in depth with a full credit report. There are three major credit bureaus that your credit report and score is based off of, Experian, Equifax, and TransUnion. It is important to make sure that when you are accessing these scores, they are accurate.  If you see something on your report that isn’t supposed to be there, or it is not accurate and negatively affecting your score, you can attempt to dispute it.

Confirm Areas That Need to be Improved

Once you analyze your reports from all three major credit bureaus, confirm what areas need to be improved.  Whether it is a credit card with a long term balance, or a loan that you’ve missed payments on. Make note of those areas, and tackle them strategically over a period of time.  It is always important to remember that the improvement of credit can happen, but does often take some time and patience.

Make Any Late Payments

If you notice late payments on your credit report, immediately take steps to bring them up-to-date.  Late payments can affect your interest rates, and build up penalty late fees that will push back any payment progress that you’ve been making.  Always keep in mind, if you can pay off an entire credit card balance, it is better to do so as soon as you can.

Make Payments In Full & On Time

In future credit purchases and transactions, make sure to make your payments on time, and if you are able, in full.  If you are unable to pay a transaction off in full, put the maximum amount you can afford toward your monthly payment; the quicker the balance comes down, the better.  To help make your payments on time, considering setting up auto-pay. Auto-pay is a great tool to ensure you don’t accumulate late fees due to a missing payment.