Want tips on how to stop overspending?
Then you’ve come to the right place! Let’s face it, overspending your money can really be a budget killer! You work so hard at getting your budget just right. You have money going towards bills, adding to your savings and helping your debt snowball. But somehow you end up shorter then planned. Your income didn’t go down, so what happened?
Well, I’ll tell you what happened. You overspent!
You spent more money then you planned in one category of your budget. If your like most people it’s usually towards food or going out.
Now you’re bummed because you really thought you could have had your credit card paid off by now, but it’s going to take a few extra months since your money just keeps disappearing.
I know… I know… emergencies come up and you can’t help those. But that’s why you need to have an emergency fund started so when those unexpected expenses pop up they don’t ruin your monthly budget.
I’ve come up with so super simple, easy to follow tips on how to stop overspending your money. They’ve been working for J and I these past few months so I thought I would pass them along to you!
Use the Cash Envelope Method
I’m a huge fan of the cash envelope method. I actually use it on a daily basis for us. I created a simpler way to follow it by using debit cards instead of having to carry cash around with us, but you have to be pretty disciplined. So I would recommend carrying cash with you the first few months until you get into a pretty good habit.
By using cash you can’t overspend – once you’re out of money then you’re done for the month. Take cash with you into the grocery store and use your phone’s calculator to add up your grocery costs. Just be sure to save some money for the added tax at the end!
Set your Bills to AutoPay
This has to be one of the easiest tasks to accomplish and can really save you time. By setting your bills to AutoPay then you don’t have to worry about getting a check mailed on time. But the best part is you can already count that money gone from your budget. I like to set my auto debits to hit on payday. That way I don’t even notice the money coming in or going out of my account.
Find FREE activities to do with your family and friends
I created a great list of free things to do that do not cost a dime. I’m sure you can add to my list. Search out area attractions that don’t cost anything. I know in bigger cities some museums and zoos will have a free pass day. Make sure to take advantage of those events to save huge!
If you can’t find anything fun to do that is free then search out coupons before leaving the house. I know if I’m eating out and don’t have a coupon then I can probably find one online before going. By saving a little money when I do eat out or go shopping then I can make my dollar stretch even further.
Know why your overspending
This tip might be a bit harder to accomplish, but you should try! Are you spending out of boredom or stress? In college I would go shopping for new clothes around finals time. I realized that it was because I was worried about the tests, but also because I was putting off studying (I know weird to be worried about how I would do while putting off studying, but I’m complicated!).
Try to figure out how you’re feeling and see if there is something you could do other than spending money.
Cutback on the splurges
If you love your Starbucks coffee then try cutting back to only once a week. Make your splurges seem more special by eliminating the daily spending. If you love getting your nails done then try to only get them professional done when you’re leaving town or have an event.
I like to get my nails done before I leave town for work trips or vacation. That way I can treat myself to something special and feel good about myself on my trip. But I try not to get them done when I’m going to be in town. That expense isn’t necessary and it forces me to practice my manicure skills at home – for free!
Think big purchases over
Set a daily limit for any big purchases and if it’s over that limit then you have to wait 24 hours. If something costs more than $100 then I like to think it over. By giving myself 24 hours I can make sure I really want it and it gives me a chance to see if I can find a better deal somewhere else.
There you have it, friends. 6 easy tips you can follow to stop overspending. By cutting back on your splurges, you can really make a dent in your debt snowball or save up that emergency fund you’ve been meaning to start.