How To Spend Your Money The Right Way
Have you ever made a purchase that you instantly regretted? Maybe it’s that outfit you never wore again or the new tech you bought that wasn’t truly needed. It isn’t always easy to use your money correctly.
Learning how to spend your money the right way is key to becoming financially stable and secure, especially if you have financial goals you want to reach. These 8 spending tips are sure to help you get on the right path.
How To Spend Money Well
1. Learn What Drains Your Wallet
It’s easy to blame big monthly bills for draining your wallet, but the truth is there are always smaller culprits in the midst. Things like that daily drive-through coffee, impulse shopping to pass the time, and eating out can easily eat up hundreds of dollars a month from your budget.
Take a month to truly observe where you spend your money. Spend as you normally do, but jot down all the discretionary purchases you make. You may be surprised to learn what you could be saving.
2. Try The 30-Day Savings Rule
The 30-day savings rule helps curb impulse spending and increase your savings. The next time you’re at the store and are tempted to buy something you hadn’t planned to, put it down. Then, take the money you were going to spend on it and immediately transfer it into your savings account.
Next, wait 30 days. If after 30 days you still want that item, go back and buy it. Nine times out of ten, though, the impulse will have passed, and you’ll have one less thing to clutter your home and a few extra bucks saved up.
3. Automate Important Expenses
For monthly bills you can’t avoid like Wi-Fi, rent, or a mortgage, set up automatic payments to go out as early in the month as possible. This will make sure your basic bills are covered without any extra effort on your part.
4. Investigate The Competition
Every few months or so, review your automatic payments and subscriptions to make sure you’re getting the best deal. For things like entertainment, phone service, or insurance, be sure to shop around before deciding on a provider.
5. Take Advantage Of Credit Card Perks
If and only if you are responsible with credit, consider getting a credit card with certain perks. You can learn how to spend your money while getting cash-back or miles on most purchases.
Add this card into your automation mix by paying bills with it, then setting up automatic payments to the card from your bank. You’ll reap the benefits of the card without ever paying interest or losing out on money.
6. Don’t Spend Your Bonus Money
One of the most important tips on how to spend your money is not to spend any bonus money. This includes unexpected cash you receive for a work bonus, birthday, refund, or gift.
Unfortunately, most people take this as discretionary money and spend it straight away on something they don’t really need. Instead, look out for your future self and put it directly into your savings or investments.
7. Use Apps And Coupons To Save
If you think you know enough about how to spend your money, there are still ways to save while making your regular purchases. Cash-back apps can reward you for buying everything from groceries to back-to-school shopping. A few app options include:
If you want to keep it old-school, you can also still clip coupons or get digital versions through many stores’ apps. While a buck here or there may sound small, this can add up to hundreds of dollars of savings per year.
8. Eliminate Unplanned Expenses
Facing an unexpected bill could throw off your responsible spending for the whole month, especially if you don’t have an emergency fund prepared. In cases like this, you may want to consider using a registration loan to cover the expense and get back on track.
Getting A Registration Loan For Unplanned Expenses
If you’re in a pinch and want to pay off an urgent bill, you could qualify for a registration loan of up to $1,500. All you need is your I.D., a vehicle registered under your name, your checking account, and a valid Social Security number.
Fill out our online loan inquiry form today to speak with a representative and start your application. The process could take as little as thirty minutes and good credit is not needed to apply.
Get Your Extra Money Today
Learning how to spend your money takes trial and error, but you can avoid the stress of overdue bills by paying for emergency expenses with a registration loan. At Southwest Title Loans, we’re here to lend you a hand and up to $1,500 to get you back on track. Contact us today to apply!
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.