It could be helpful to cut back on spending and increase your savings to be better prepared for any unforeseen circumstances or expenses that may occur during this pandemic or for other emergencies. That doesn’t mean you need to stop spending completely, but rather start spending smarter. Let’s explore some common ways that’ll help you spend smarter on a small and large scale.
When it comes to smaller, common purchases such as food and clothing, it is important to check all of your options. When you’re meeting someone out for a bite to eat, suggest lunch over dinner, as prices are generally lower on lunch menus. Check out secondhand and rental clothing businesses such as Poshmark and Rent the Runway to receive the same name-brand clothing at a fraction of the name-brand cost. Watch for sales and clearances and shop local to keep resources in your wallet and community. Make your savings even bigger by signing up for loyalty programs; you’ll receive coupons or discounts only for subscribers.
For larger purchases, it’s important to be intentional about your big buys. Don’t choose to skip out on your annual family vacation – opt for a rental from Airbnb or Vrbo to avoid expensive hotel costs.
Turn your big events into small purchases by making them micro. Micro-weddings and birthdays are becoming more popular as social distancing has taught that gatherings don’t have to be big to be great.
Be mindful of any and all remodels, focusing on elements you deal with every day in your home and DIY projects. If remodeling can wait until the winter months, you may also save on contractor fees and expenses.
No matter the purchase size, smart spending starts with smart budgeting. Track your budgeting goals with account alerts and stay on top of your account. Be alerted of new activity or get a reminder of your due date and avoid late fees.
This information is presented for educational purposes only. It is not intended as, nor should it be construed to be, legal, financial or other professional advice. Please consult with your attorney or financial advisor to discuss any legal or financial issues involved with credit decisions.