Inflation is currently at an all-time high. The price of food and basic goods and services, energy, and other things are surging every day. And with the look of things, inflation is likely to rise even more as supply is struggling to meet consumer demand for many goods at present. Consumers are now worried and frustrated. Although no one is left out of this circle, and it might not be easy to prevent your money from falling in value, there are ways you can reduce the effect. In this blog, we will show the tips that can help you save your money in this period of surging inflation.
Keep to your budget
Budgeting has always been a big tool for proper money management. It demands that you commit and plan how you will spend your money wisely. It serves as a perfect guide for you when you need to spend. If you are used to it, you have an advantage at this time. And if not, now is the time to start so that you won’t lose your savings to the increasing price of goods and services.
Control your shopping
It’s a general rule of thumb to be conscious of how you spend your money. The best way is to have a list so that you won’t end up buying unnecessary things. And now that there is inflation, you even have to be more conscious when you visit the grocery stores. It’s better if you can buy fewer products at a time. Although it can increase the frequency at which you visit the store, you will buy only things you currently need, and it’ll help you save money.
Cut down on subscriptions
During a time of abundance, it might not be bad to entertain yourself by subscribing to entertainment channels like Spotify and Netflix. However, this should be reduced to the minimum at the time of inflation to reduce your expenses. You should observe your digital service subscription and cut down on those ones that don’t affect your existence.
Cook at home
This tip is good for saving as much as it’s for your health. Cooking at home allows you to have full control over the ingredients and process by which your food is made. If you eat outside, you won’t have that privilege, and you will be spending even more. Making your food at home also gives you the chance to cook foods that are supportive of your weight loss and fitness goal. With all these advantages, this is the best one to save your money and eat healthily.
Look for free options
The fact that there is inflation should not mean life must be hard. You can still enjoy yourself while saving money if you are creative. There are free alternatives to some of the things you are putting on. Let’s have fun, for example. You can replace your subscription by going out with friends and having a good time together. You can also look out for free offers from companies in magazines and newspapers. You just have to be creative and current, and you will be wowed at how much you can get for free or many times less than the amount you spent before. Interestingly, you will get slightly different or equal results.
Keep the car parked up
Gas is another product that indicates arrival inflation. It’s important that you cut down on its usage. This might mean that you have a walk to nearby areas and use public transport instead of taking your car. And when you have to go out in your car, avoid traffic and take shortcuts to save your fuel. You can also go for a bike alternative if you have one. It’s a perfect way of exercising and cutting down on your spending.
Cutting energy and water use
Energy and utilities prices are the indicators of inflation, and that’s why you should cut them to save your money. This can include switching off the light, timing your heater, dishwashing and using your washing machine at a full capacity and reducing your water usage. It’ll help you reduce your living cost as you will balance your energy and utility usage with the surging service price.
Go for a cheaper vacation
Vacation is good when you have the money and time. At least it replenishes your energy and frees your mind from the hassles of work. It also gives you the chance of more exposure to the world. During inflation, you should try and make cheaper vacation options. You can enjoy your holiday within your vicinity instead of going abroad. That will save you the cost of flight and logistics. On top of that, you can still enjoy a nice vacation. If you want, you can also postpone travelling and vacation till things return back to normal.
Think again about housing
The cost of owning a home is beyond the amount you paid to secure it. There are extra expenses of keeping and maintaining the house in good order. This can include renovation, maintenance and stamp duty and so on. If you are considering getting a house at this time of inflation, you have to sit down and evaluate the cost against holding on. That way, you will be able to consider the best option for you.
Make use of coupons and discount codes
This is another beautiful way you can reduce your expenses during inflation. Businesses usually give coupon codes that you can use to reduce the price of things you buy. You can also buy low-cost items from generic brands. Most of the time, the constituent is the same. It’s only the brand name that increases the phone.
Investment is the best way to beat inflation and save your money. When you buy an asset that appreciates with time, you will not be at a disadvantage when the price of things goes up. This is especially important when you have extra cash flow in your bank account. Investing it in bonds and stocks, and other assets wisely can help you grow it instead of allowing it to lose value in the face of inflation. However, investing doesn’t mean you should just jump into anything with a golden look. You should take your time to understand any investment before you put in your money so that you won’t end up losing out.
Repairing recycling and reusing clothes and accessories
If you have faulty devices that you need, you should try and repair them to save on the cost of purchasing new ones. The same rule goes for recyclable materials and clothes. Reuse the ones that you still need and sell out others. This is even easier now that we have the internet. Just go online and place your products there. As people buy, you have more money to save and less to spend.
After cutting down how much you spend, you also need to increase your income to keep up with inflation without overturning your quality of life. This is where the side hustle comes in. It’s that extra thing you do apart from your job to bring in money. With a side hustle, you can enjoy more income, get ahead of inflation and have more to save for your financial future.
If you have not formed the habit of reducing your expenses to save money, this is the time you should start. Don’t see this as if you’re punishing yourself. Rather, see it as a way to help manage your finances properly, cope with inflation and build a habit that can even make you more financially stable.
If you enjoyed this blog, please give this blog a thumbs up and share it with others to help them cope with inflation. Remember to also signup to our newsletter for more lifestyle-improving blogs. Check out also these related posts on 5 Ways To Protect Yourself Against Inflation. What method are you currently using to save during this inflation? We’ll love to know in the comment section below.
Recommended books for further reading:
- Building a story brand by Donald Miller
- Influence; the psychology of persuasion by Robert B. Cialdini
- My philosophy for successful living by Jim Rohn
- The one thing by Gary Killer and Jay Papasan
- Unshakable by Tony Robbins
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