What's In Your Piggy Bank?...Sunday Tippets, Damsel Style

Cutting the budget doesn't mean cutting out the fun in your life. A slimmed-down household budget helps you save money and move towards bigger financial goals. Cutting your household budget can help you pad your savings account, pay down debt, or give yourself breathing room in the budget! You might even end up with enough money for a relaxing beach vacation (or a fishing trip...ha). It just takes planning and good judgement.  And some common sense (cents) haha. 

Cut Down On Dining Out

After a long day of work, your favorite restaurant is calling your name. Before you give in to your craving,  consider the effects of the decision. The amount you spend on a dinner for two at a restaurant could buy the ingredients for several meals for the week at the grocery store. You don't need to completely forgo date night with your mate at your favorite hot spot, but try reducing your nights out by half. Watch your lunches out as well. Your bank account will thank you for enjoying leftovers in the office break room instead of hitting the deli. 

Ask For A Lower Rate

A simple phone call to all of your service providers and lenders could mean more money in your bank account. Many companies work with customers by offering lower rates or special deals to avoid losing a customer. Call your cable company, phone service provider, cell phone provider, Internet company and other service providers asking for reduced rates.  Let them know you are looking around at other companies that provide the same services.  You can always turn off the land line if you have cell phones!  Calling your credit card companies or lenders might get you a lower interest rate on your debt. The lower the interest, the lower your overall payment, which leaves more room in the budget. Shopping around for more affordable insurance is also an option for cutting back costs.  Equal payment plans for utilities really help out!

          Become a "Free Entertainment" Guru

Entertainment expenses are likely a large portion of your budget. Free or cheap entertainment options give you a chance to hang out with friends or enjoy an evening at home without draining the budget. Instead of paying $100 or more for a big-time concert, check out a local band playing at a bar or club or a festival type of outside venue. Take advantage of free services at the library, such as movie rentals, CD rentals, or join a book club. Invite your friends or family over for a movie marathon instead of joining them at the theater.  I personally love Red Box.  It's saves the day many a time and doesn't drain the pocket book. 

 

Set Spending Limits

Giving yourself an allowance for your extra spending helps keep you on track while avoiding a drain on your budget. Withdraw the set amount of money each week so you know exactly how much is available for extra expenses. When you want to eat out for lunch or join friends for a pedicure, that cash goes toward the cost.  The extra funds can be your "Funny Money" or your savings for the month of December when it's time for holiday shopping!  I set aside $25. a week for several months and that paid for my trip out to the RMF in Colorado!  It can be done.

Knowledge is power!  A budget lets you know how much money you have coming in and how much you will need to cover your lifestyle. More than anything else, a budget gives you more information about your own lifestyle and how to manage it. Even though budgets are easy to create and follow, the reality is that very few Americans actually take the time to make and use them. Ask anyone who does live by a budget though, and you’ll hear that his or her financial life got a whole lot simpler after taking a little time to figure out how much was coming in, what needed to be paid for and how much extra there was for savings and fun.  : )