10 Things Thrifty People Will NOT Do

Saving money is a habit that can have a major impact on your life. Thrifty people live a more comfortable and worry-free lifestyle, and studies show that they tend to be more successful in achieving their goals.

In order to be successful at saving money, you need to know what not to do, these ten things will make it much easier for you.

1. Not Having a Budget

A budget is an important step to setting yourself up for long term savings, but it can be tempting to go without one. After all, who wants to think about balancing a budget when you’re busy enjoying the good life? But you need a plan and sticking to it.

Even though we are often tempted, it’s a good idea not to give into those urges and make hard decisions.

A budget is like a safety net, if you don’t tell anyone what you’re going to do with their money, and keep your spending within your limits, chances are that something will go wrong.

2. Not Making Saving a Priority

The first step to saving money is not just to create a budget, but also to make saving money a need. You have to prioritize it – how do you feel when you don’t pay your bills? If you are trying to save money, it should be on top of your priority list.

Don’t let anything get in the way of your savings, if there is an opportunity for a higher paying job and taking that job would mean that you wouldn’t be able to save for 6 months, don’t take the job! If you can put the extra money that would be earned into savings, then this is a good thing.

3. Not Budgeting for Fun

You need to have some fun money as well, even if you don’t have a lot of money to play with. Consciously planning your fun money helps to keep that in perspective and allows you to enjoy yourself without getting out of control. If you want to go out for drinks more often with friends, make sure that you budget for it those $6 beers can add up quick!

Having some fun money also gives you the option of looking at other options when things go wrong and having back-up cash is a great way of feeling more comfortable about something financially.

4. Not Using Coupons

Coupons can really make a difference to your budget, but they are so easy to forget that some people don’t even bother. There is a reason that coupons exist – they make people buy things they would not normally buy. This can work in your favor as well if you find out what items are on special sometimes the whole store will go on sale! If you forget to use them, or never have a chance to look for them, it won’t do you any good.

5. Not Cleaning Out Your Cupboards

Cleaning out your cupboard can help to make room for new items. If you don’t clean out your cupboards in between grocery shopping, then they will fill up with extra items that you neither need nor want! If you have lots of space in your cupboards, then it is probably time to do some spring cleaning and get rid of all the things that are just sitting around taking up space and costing money in storage fees.

6. Not Getting a Home Equity Line of Credit

A home equity line of credit is something that you can get to help with your saving goals. Home equity lines of credit are available through banks, and if you qualify for one, then the interest rate will be lower than the rate that you would pay on a bank loan. They also have higher limits for what you can borrow. A lower interest rate makes it an even better choice than simply saving in a savings account!

7. Not Saving Every Dime That You Can

The sooner you save all of your money, the more easy it will be for you to stay on track with better savings habits. This means not only putting away money in a savings account, but also taking advantage of any discounts or promotional offers that come up.

By making every dime count, it is much easier to stay motivated and you are less likely to allow yourself to get tempted by purchasing luxuries! Saving every dime won’t happen overnight, this is a lifestyle change that needs time and effort.

8. Not Investing in Yourself

Investing in yourself is a great way to start saving money. If money is tight, then it can be difficult to justify spending money to take classes, or hire a personal trainer.

Of course, being healthy and fit can make you feel better about yourself, but it also helps you to look better, you are more attractive, your confidence increases and those self-esteem issues that plague people who don’t exercise and eat healthy get less of a hold on their lives. You will also feel better about your financial picture as well when you look good!

9. Not Saving for Emergencies

Emergencies are things that cannot be planned for, and they will happen whether or not you put away money to deal with them.

Therefore, it is important to make sure that you have an emergency fund set up so that you can deal with these situations as they come up.

This doesn’t mean that you have to sit on cash in a savings account, instead, it means that you should pick out a few items from your budget plan and put the money there.

10. Not Using Automated Savings Programs

There are a number of automatic savings programs that are available to help you save money.

The easiest way to do this is to pick a percentage of your income and put it into a savings account.

If you know that you can’t put away all of the money that you earn, then have some space in your budget for other expenses.

You can also put some of the money that you would have spent on current accounts into a program that will direct those funds into your savings account, where they will continue to be saved for when the need arises.

Finally

It takes a lot of discipline to succeed when it comes to saving money. It also takes a lot of time and effort to slowly get rid of the debt that is holding you down, but if you take some time to sit down and create a budget, you can start to move in the right direction.