It doesn’t seem like a lot when you are dishing out a few bucks here or there on expensive cups of coffee or quick snacks, but with time, everything adds up and it can leave your bank account weeping. It’s easy to lose control of your spending, but a bit harder to gain it back once you’ve grown accustomed to a certain expensive habits. This is especially true if you are a new business owner or even a young entrepreneur dealing with debt while navigating through the workforce. Whatever your downfall may be, there are a few ways listed below to help you on your path to fiscal responsibility and a hefty savings account.
If possible, this is a surefire way to cut many of your daily work-life expenses in half. Transit travel costs and commute times cut into your revenue stream, not to mention the impromptu restaurant lunches or snack splurges throughout the day that can become insidious habits difficult to break once they are instilled. By working from home you remove any additional food costs with pre-planned and packaged meals for the long day ahead and transit is no longer necessary to get to and from work.
For small business owners that can arrange remote work lifestyles for themselves and their employees, a great way to stay in communication and collaboration while being in different locations is through a virtual data room. A VDR’s abilities to store large amounts of data and keep them secure is perfect for company documentation that needs to be shared amongst employees, but out of the hands of the wrong third parties. Find the right software to make your life a little less expensive, and use it to its full potential.
Splurge When Necessary
Being stingy with your spending is a great way to save money in the present, but a lot can be said for allowing yourself to splurge every once in a while to save money in your future. For big life purchases such as a safe car, a good house, or even a top of the line laptop can save you additional costs in the future on replacements that would not have been necessary had you spent a little bit more a few years prior.
It’s about moderating your spending, not necessarily stopping it completely, because that would be an incredibly difficult lifestyle to maintain in the long run. Spend a bit more on that winter coat that’ll last you a decade rather than less on coats that fall apart after a few years. At the end of the day, it’ll add up regardless.
Know Your Biggest Weakness
It is easy to brush your bad spending habits under the rug if you don’t really know where all your money is going. Without staying active and aware of your finances, you could be mindlessly or habitually spending money on unnecessary things that add up with time. It’s important to know where your biggest weakness lies and to tackle that head on when trying to create a sustainable budget. Maybe you are used to buying a few gourmet coffees a day or you never pre-plan your lunches – whatever it may be, face it with determination. Start cooking at home more often for your lunch and other meals or bring reusable coffee mugs to work to earn that discount at coffee shops. Even a small change can make a dramatic difference to your bank account.
Give Your Money A Purpose
Whatever you are spending your money on, there should be a reason for it other than boredom or that necessary dopamine spike on a bad day. Assign a purpose to every dollar you spend and ensure that wherever that money is going, it will move your life forward in a positive way. It could be investments that you know will pay out at some point in the future or dedicating a certain amount every month to a gym membership or seeing the world with vacations. Everyone is different, so not all purposeful spending will look the same – it’s about finding out what works for you and what makes you feel like your money isn’t always going to waste to on unnecessary splurges.