Living paycheck to paycheck can become overwhelming. At times you may even wonder why you are working, since none of it seems to fall back into your pockets. The good news is that there are ways to relieve your stress and reduce the amount of your debt. All it takes is some commitment on your part to pull in your belt temporarily, and to save the money you need to reduce your debt quickly.
Cable services and cellphone providers.
If you’re like many people, you probably have some sort of cable service, Internet, and multiple cell phones. Having these services at your disposable is wonderful. It allows you to talk to family and friends, search the web, spend time on Facebook and Twitter, and enjoy watching what you want on television. The problem is that they can also run hundreds of dollars each month. This is an area where you can save money on your budget by removing the services you don’t use or don’t want.
Shop around to the various companies and see who offers the channel you enjoy at the lowest rate. For instance, there are several DIRECTV packages available. The same goes for your cell phone, if you have unused minutes each month you’re in a package that doesn’t benefit you. With just these two bills alone you have the ability to save a hundred dollars or so each month.
Car insurance and homeowner’s insurance.
Many people don’t know that if you bundle your homeowner’s insurance or renter’s insurance and your car insurance with the same company you can save an additional 10, 15, or even 20% on your bills. The reason for this is that insurance companies want your business, so they will reward you for loyalty. Also, if you are able to pay your bill in full for the year, you can save another 10% by paying it off in a lump sum.
Eat at home.
Eating out can become very expensive. If you do this 2 to 3 times per week, whether it’s a lunch at work or a takeout dinner, you can spend an additional $100 or so a week. Even if you just cut back and eat out once a week, you can put a few hundred dollars each month back into your budget that you can then apply towards your outstanding debt. You can take it a step further by bringing your morning coffee from home versus stopping by your local coffee shop.
Many people simply head out to their local supermarket and accept whatever the prices are and pay it. If you live in a busy city or the suburbs chances are you have several grocery stores available. This is good for you. Unbelievably, they don’t always have the same items on sale. Instead of going out blind and accepting the price, make a list of the food you need for the week and then search through the local flyers to see who has the best prices. You may need to visit several stores in a single outing but, the money you save is usually well worth the extra time invested.
In addition to checking the flyers, check for coupons for the things you need. There are many reputable companies online who have manufacturer’s coupons available. All you need to do it print them up and take them with you. Once you see how much you can save weekly, you’ll want to make it a regular practice.
Transfer balances on credit cards.
Credit card debt is a common thing for many people. In fact, the average home has over $5,000 of credit card debt, with many more households exceeding $10,000. If you want to save money to pay down your debt, try applying for a card that allows you to transfer your balance from other cards. These companies generally have an introductory period of 6 months to 12 months where they do not charge interest. This will allow you to pay off purely principle without interest.
It can happen to nearly anyone that suddenly you feel overwhelmed with debt. But if you think savvy and get frugal, you can enjoy a good quality of life without having to spend more than you need to. Use coupons and shop around annually for things like cable, cell and electric services. By doing just a little work on your part, you can put more of your hard-earned money back into your pockets and pay down your debt sooner.