How to Save Money on a Small Income
Living on minimum wage or smaller incomes has become harder through the years. Lives of luxury and ease are so desired, but not as easily obtained. If you’re struggling to save money for the things you want in life, here are some ways for you to learn how to save money on a small income.
TFC Title Loans has been one of the leading title loan lenders for over 20 years. Our customers have trusted us to help them through their finances, and we know how important it is to get the best rates to fit into your life. We want to help you from living paycheck-to-paycheck, so we gathered all list of different ways you can start to save money.
Pay Off High-Interest Debt
Before trying to save money, you want to try and get rid of any high-interest debt that you have. This could include personal loans and credit cards. Anything that charges you fees and interest charges each month. The quicker you are able to pay these off, the more money you will have for saving. The longer you have any high-interest debt, the more likely you are to spend more than the original principle.
As you’re paying off your debt, try to avoid accumulating more credit card debt. It’s easy to pull out a card and use it to buy something enticing. In reality, you’re digging yourself into a hole by spending money that you don’t have.
Cut Your Biggest Expense
While cutting out smaller expenses can help you get to the place you want to be, focus on cutting a larger expense. This can get you closer to saving money and paying off any debt faster.
For example, one of the biggest expenses in our lives tends to be housing. Consider a solution. Typically, you should only be spending 25% of your monthly income on housing and maybe even less. If you’re renting, consider taking in a few roommates or downsizing to something that is more suitable for your income. It may be time to refinance on your mortgage to get a lower rate if you own a house. If you have a finished basement or any extra rooms, think about renting to a friend or family member.
Take advantage of free money for those with low incomes. Even if your pride is bigger than you, convince yourself it’s not permanent because it doesn’t have to be. Even enrolling for a short time can help you get back on your feet.
One advantage is the earned income tax credit (EITC). It’s a large refund on your taxes for those with low incomes that have families. There are many other forms of free money that you can take advantage of through your state or federal government.
Spending in Moderation
When you spend in moderation and come up with a plan, you will get to see the places you have spent money that you probably didn’t need to. Choose your categories of where you can occasionally splurge and indulge, but keep the rest of your budget tight.
If you choose to eat out, do so in moderation. While groceries can sometimes seem expensive, eating out constantly adds up even quicker and particularly for those with families. Pick a week you’ll allow yourself to eat up or only reserve eating out to be with friends.
The best way to diversify your income is by getting a side hustle. Most side hustle these days can be done from the comfort of your own home or car (Uber/Lyft). This can put a little extra money in your pocket and even be the income which you start to put away for saving.
Buy Used Stuff
Refurbishing old and used furniture pieces or shopping at thrift stores has become a growing trend. With a screwdriver and some paint, anyone can fix an old dresser or nightstand. Ebay is also a great place to find things. People sell their stuff in excellent condition with only a single use. Or, they get it from retail stores where it had damaged packaging but the product is still fine.
You don’t need to pick up extreme couponing, but finding coupons for your grocery and shopping needs can help you save a couple of dollars throughout your trips. By planning your meals and planning your shopping trips, you’ll know ahead of time what you want to buy which makes finding coupons easier.
Save with TFC Title Loans
If it’s quick cash you’re looking for, you can save with Car Title Loans from TFC Title Loans. We have some of the most competitive rates in the business, which will help you save money as you pay off your loan. Our title loans offer you sliding interest scales and cash in as little as one business day. We can help you get cash to pay off bills or have some flexibility for your wallet. No matter the reason, contact TFC Title Loans today and see if you qualify!