Money saving and spending are closely related. We cannot possibly emphasize one without mentioning the other. Here are three ways they are connected.
<This post may contain affiliate links. Please see my disclaimer for more information. >
a. Saving money by NO spending:
When you look at your receipts of the month, you can almost always find something that can be potentially cut. Do you really need one more signature perfume for your wardrobe? Do you have to grab a gallon of soda loaded with high sugar and calories? In addition, by driving safely and paying bills on time, you avoid payment for tickets or late fees. The money currently listed under spending should be turned into saving.
b. Saving money by LESS spending:
There are so many ways to allow you buy or enjoy stuff at a cheaper price. Here are some frequently suggested ways:
1. Buy store-brand items. Store brands typically cost between 15 to 30 percent less than name brands, but usually, there are no obvious differences in quality. A blind taste test by expert tasters conducted by Consumer Reports actually found 33 of the 57 store-brand food items tasted as good as or better than the national brand.
2. Use coupons: The key is using a coupon because you really need the related item, rather than buying something because you have a coupon. Combine manufacturer coupon with store coupon whenever possible. <Read more: 60 Fantastic Online Resources that Help Saving Money>
3. Use cashback website or app to do shopping. Cashback site/apps such as Ebates and SavingStar not only allows you to find coupons but also earn cash back on a purchase of many stores. <Read more: My Top 5 Cash Back Apps>
Besides, buying things at lower prices, spending less also means purchasing less quantity. For example, create your weekly meal plan so you do need to worry about food waste.
c. Saving money by ACTUAL spending
I know this may sound irrational, but sometimes this makes sense. The current spending is for many future savings. One two major areas are health and house maintenance.
Health: Investing in health is the best and most rewarding investment. Investing in prevention is much less expensive than paying medical bills for disease treatment. Therefore, it is a low-risk and very high-yield investment.
In addition to eating healthy food and doing regular physical activity, it is important to have regular checkups to detect early risk factors for chronic diseases such as diabetes and heart disease, even if that means you have to pay for doctor visits. Besides, consider investing in good quality products that can benefit your health, such as U.V. protected sunglasses, sunscreen, oral care equipment, and sporting goods (e.g., bike, yoga mat). <Read more: 5 Things to Prepare before your Doctor Visit >
House maintenance: For most of us, the house is the most expensive purchase we’ve made, so spending for house maintenance is not only necessary for keeping it in a good condition but also critical for saving money for potential big repair or replacement in the future. While some items related to preventive maintenance may be done by you or your family members, it may be better to hire a professional for other big tasks. Proper house maintenance is also a proven way to increase your house value. <Read more: 7 Simple Ways to Air Seal your Home to Save on Energy >