While having a high salary can definitely make it easier to attain financial freedom, there are 12 simple strategies that you can use to save money and secure a happy future.
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Set a New Zero
This is a great way to ensure you never go too broke. For instance, you can set your new zero as having $1000 in your bank account. So, if you have $1200, consider yourself having $200.
A poster who does this says, “I increase it with every thousand. Once I reach 2k, that’s the new zero, then 3k, etc.”
Live Below Your Means
“Just pretend you’re more broke than you really are and live that way. Eventually, it will feel normal,” states a poster. And you can also save thousands of dollars a year if you can proficiently handle basic maintenance jobs around the house instead of hiring someone else.
Use Libby App
With Libby app, you don’t need to spend hundreds or thousands of dollars on books. You can get audiobooks, magazines, and eBooks without paying a dime. Alternatively, get a library card from your local library.
Get a Credit Card with Good Rewards
Getting a credit card cash back or bonus points on purchases may not seem much, but once it accumulates, it is very rewarding. “The bonus points paid for a few airplane tickets and many hotel rooms,” states a poster who has done this for 10 years.
However, ensure you pay off the debt every month. Do not get tempted to max it out on things “you can’t pay off on the same day.”
Bulk Prep Meals
Buying and preparing meals in bulk can also save you money. One user mentions, “I cook chili & lemon pepper chicken, etc., on lazy Sundays and store that in Tupperware in my fridge. Then I just cook some rice or boil potatoes as needed. As a bonus. I’m less inclined to order takeout because I’ve got meals in my fridge I can just heat up if I’m lazy.”
Set Up an Auto Transfer to Your Savings
Once you do this, forget that this account exists and only withdraw from it during an emergency. The savings account will prevent you from sinking further into high-interest debts.
Pay Your Debt Off First
If you are stuck between paying off debt and saving, it would be better to clear the debt first. Why? Because you’ll spend more when paying high-interest debts than how much interest your money will generate as savings.
Make an Actual Budget and Stick to It
Many people have already heard of this financial hack, but sadly, they don’t take it seriously. If you are one of them, many users recommend the YNAB 50/30/20 technique, which has “helped tame those unexpected bills and build savings.”
Ask Yourself How Many Hours You Have to Work
Doing math can help you make wise financial decisions. A user mentions using this hack, “Let’s say you make $15/hr. Eating McDonald’s after work costs $10, which doesn’t seem like much. But thinking ‘I worked 40 minutes for this’ has a psychological effect on me.”
If You Can Survive Without It, Don’t Buy It
Also, “minimize your fixed costs. Before you spend, ask if the purchase will improve your well-being or if it’s an impulsive buy.”
Make a Financial Spreadsheet
Don’t just create one. “Look at it every month” and compare your monthly income versus your expenses. Then, cut off any expenses like subscriptions you no longer need.
Look for a Higher Paying Job Every 1-3 Years
This financial hack will ensure you always get paid for your worth without necessarily switching careers.
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