Hello everyone, welcome to hobbyistcue.com. Today I am so excited because we are going to be talking about the best way to save money, getting the bag, securing the bag, whatever you want to call it. We are talking about it.
If you would like to know how I saved ten thousand dollars last year and keep reading this post. But first, if you do like it doesn’t forget to subscribe to our newsletter and you will get more money-saving tips & advice.
Before we do get started, I do just want to point out that I am in no way shape or form a financial advisor or a financial specialist. These are just the things that I do to save money and these are kind of just the things that I like to live by as a rule of thumb. I just want to point out that by following these mottos, following these tips and tricks.
These are the ways that I have become a little bit more financially stable. And also, the way that I was able to become financially free. And by saying financially free I mean that this is the way that I was able to quit my corporate job, without a back-up plan and not feeling so afraid about doing it. I think it is just the worst thing in the world to have to stay in a situation because you feel like you need it and you’re dependent on it.
I don’t think it is healthy to depend on anything especially a job. When a job could cut you off in two seconds, and if they cut you off and you don’t have a back-up plan, you might be screwed. I always saying the job could cut you off in two seconds, and if they cut you off and you don’t have an emergency saving or you don’t have that back-up plan, then you might be screwed.
So, you never want to be in a situation where you are depending on a job to be able to survive. I am going to give you guys the best way to save money and my best tips and tricks on saving money. I feel like with the New Year being here, it’s a fresh start and there’s no better time to start focusing on your finances. The money, of course, is not everything. But it is very important and essential to living. I do know, and I do understand that we do all have completely different financial situations and life situations.
I consider myself to be very fortunate and very lucky in the situation that I am in. And given that I don’t have any student loans. That I do need to take care of. So, I do recognize and I’m very fortunate for that. There aren’t many people who have that luxury.
Just read this post with a grain of salt and know that I do understand that we all have different financial circumstances. But with that little disclaimer being out there I am just going to give you guys my personal experiences and kind of go from there. But the first thing that we are going to go into is kind of the four mottos that I live by when it comes to saving money.
Live below your means
The first thing that I am going to say is to live below your means. What that means is, if you’re making say thirty-five thousand dollars a year, you do not need to spend money like you are earning $35,000 a year. Maybe you should be spending money like you’re making $15,000 a year.
So, live below your means don’t live like you are a millionaire, live with what you can and pretty much just get the bare minimum. That is probably the number one rule that I live by. Even now that I groan my savings account. I still live like I am making $9 an hour, even though my income has grown from what I was making in high school.
I like to live by this motto because it makes me live like I’m not making as much money as I am now. Compared to how much money I was making in high school. So, that is the first motto and that I have for you.
Every dollar counts
The second motto that I like to live by is every dollar count. So, you might go maybe get some fast food and think it’s only 7 bucks for this fast food. I don’t know, whatever you’re thinking when you’re spending money or maybe you’re getting a coffee and you’re thinking it’s all it’s only a few bucks.
A few bucks add up, a dollar adds up, say you guys $5 a day you were spending it on something. That adds up. Throughout the week, throughout the month, throughout the year. So just spend wisely think about the things that you’re spending your money on and if they are necessary, or if you’re just spending your money and mindlessly. So that’s something I always like to think about whenever I swipe my card because every dollar count.
If you can’t afford it twice, you can’t afford it!
The third motto that I always love to live by is if you cannot afford something twice than you cannot afford it. What that really means is, if you wanted to maybe go buy a this is an extreme circumstance. But maybe there’s a $5,000 handbag that you want to buy. If you cannot buy that handbag twice, probably even three times, four times, then you don’t need it.
If you can now buy that handbag twice and miss that money, then you do not need it. It is not a priority. So just always think that in the back of your head. If you cannot afford something twice or three times. then it is not necessary and you do not need it. And of course. that is going more towards luxury things.
Obviously, if there is an emergency, such as your breaking your leg or something and you have a hospital bill, maybe you want to be able to afford that twice, but that’s an emergency and not a luxury. So, I do want to definitely differentiate the two of those. But I always live by that. If I can’t afford it more than a few times, and I’m going to buy it.
Pay yourself first
The fourth motto that I love to live by and I will always live by is, to pay yourself first. And what that really means Is, if you have some bills and maybe a few other things that you have to take care of in the month and it’s a reoccurring expense. Pay those bills and then the rest of the money that you have left behind, pay yourself, put it into a savings account, tuck it away and keep it there.
So, paying yourself first is basically kind of watching your own back financially. You were putting the money away and you’re paying yourself rather than paying it to someone else. And someone else can mean going to target and spending $200 or going on a shopping spree and spending money. Pay yourself first before you pay other people, other retailers. Because you deserve the money, you earned it, might as well put it away.
I feel like if you follow these four mottos, I love to live by, and you will notice your savings grow substantially. I know that I did when I started following all of these mottos and I would say I’ve been living by these rules for the past couple of years or so. So, I have definitely noticed an increase in my savings account and I have to say there’s no better feeling than that. So, let’s just go ahead and jump into a few of the tips that I have to help you guys out with saving your money.
All right so the first thing that I do want to go over is housing. Obviously, housing or rent is probably the biggest expense that we have on a monthly basis. So, if you were in a situation where you can possibly live at home with your parents, I would highly recommend doing it. I personally moved out of the house when I was 18 when I went to college and I have not moved home since. But if I could give myself or maybe anyone younger than me any advice, it would be to live off home with your parents as long as you can.
Even if you’re only paying them a small chunk of rent, a couple of hundred dollars. It’s probably a lot less money then you are going to be paying on rent living on your own. So, if you have that opportunity to live at home, do it as long as you can. There’s nothing wrong with that I feel like that’s kind of trend in our society today.
So, if you can do it, do it and be proud, because you were just saving your coin. I highly recommend doing that. I know if I was doing that right now, I would be saving a huge portion of my money each month.
If you can live at home that will definitely cut down your monthly expenses. If you are in a situation where maybe you can live at home with parents, grandparents whatever it might be, then consider getting a roommate. Even though you will still be paying rent, you will be paying a lot less rent if you were splitting rent with someone else compared to living on your own and paying for an apartment.
I know where I currently live a nice 1-bedroom anyway it will start around $1,500. So, if you’re paying that all on your own that’s insane. I highly recommend getting a roommate, if you can that way you guys can split the costs. Even better if you can get two roommates, I would definitely cut your cost. So definitely look into getting a roommate if you haven’t already.
If you don’t have any friends that you know want to move out or are looking for a roommate. I know here’s plenty of places you can go, it sounds kind of creepy if I know Craigslist has stuff like that and when I was in college, I know a lot of people would post on Facebook searching for roommates and things like that. So definitely you have a lot of options. If you are looking to move out and you are searching for a roommate.
Change your mindset one of the best way to save money
The second tip that I do want to touch on is, changing your mindset around saving money. When I think about saving money, saving money doesn’t just happen. Saving money does not happen from me tracking an app on my phone. It does not happen from me going through a spinning calculator and seeing how much money I spend every day.
That does not save the money for me. Saving the money comes from a mindset and discipline. So, my biggest tip for you guys is, to become very disciplined and just changing your mindset. If you change your mindset the way you’ve saved money, it will change your life.
Saving money doesn’t mean you’re just putting away cash and you’re never touching it again. But it’s more so just being disciplined with how you control your money. What you’re spending your money on. Even the readers why you’re saving money, if maybe you have a goal of purchasing a home or something that you want to work towards saving. It’s going to be a lot easier to be motivated and to change your mindset.
I know when I became more disciplined, I noticed a huge increase in my savings account. So just be disciplined know what you’re spending your money on and have a goal that you want to save towards. Even if it’s not a specific goal such as getting a house or something like that. You can have a goal of I want to save $5,000, I want to save $500. Whatever goal that might be if you set something you are more bound to reach that goal.
Like I said tracking your money on a day to day basis through an app or through an Excel spreadsheet, that’s not going to save the money for you. You’re not going to miraculously see thousands and thousands of dollars bill it up in your savings account. It’s all going to start with you, it’s going to start with your mindset. So just make sure you have your mind in the right place. You are staying disciplined, and I promise you, the money will come and it will grow.
And the third thing that I want to say and probably the most important thing is to decrease your expenses. And of course, that does not mean decrease your rent, your insurance. Because those are things that we are bound to have to pay for it. That is being an adult. What I am saying, when I say decrease your expenses is, to decrease your expenses where it’s not needed.
That could be anything like going to purchase fast food, or maybe going out and ordering a bunch of drinks. I have some tips for you. Instead of going out to lunch every single day and spending seven to ten dollars on lunch when you’re working five days a week, maybe even more. That can add up to fifty-sixty bucks a week, just on eating out for lunch. That is insane. Instead, you could go to the grocery spend 60 bucks on groceries and spread that out a couple of weeks.
Instead of pocketing your money towards fast food, or spending money on lunch when you’re working, bring your own lunch to work. Not only is it healthier, but it will just save you so much money in the long run. You don’t even think about it. Think it’s only a few dollars. But those dollars add up. I only use myself as a prime example. I used to go to Starbucks every single day. I know that sounds crazy. I went to Starbucks every single day. Five days a week when I was working in the mornings. And then I would like to go on the weekends as a luxury to treat myself.
I would get a venti iced white chocolate mocha. And yes, it was delicious but a venti iced white chocolate mocha is five dollars and sixty-two cents. Five dollars and sixty-two cents a day. If you calculate that that comes to like thirty-nine thirty for a week. So, say forty bucks a week. I was spending forty dollars a week on one iced coffee a day, I wish I could go back to myself, because I did this for so long, and once I started implementing these habits, I realized how stupid it was.
But if I could go back and just say, I would have saved over a thousand dollars in just a year, from making coffee at home. Making iced coffee at home. Investing in a $100 or $50 Keurig. My caring was fifty bucks. I have already earned my money back from that. So just think about it that way. Decrease your expenses where you can. And I promise you, you will notice a difference.
Increase your income
The fourth thing that I want to touch on is maybe increasing your income. Obviously, sometimes we don’t have control over how much our job is paying us. Maybe we’re trying to work for that promotion. And we don’t know when it will come. But you can always try to increase your income by doing a little side hustle. There’s uber. There’re so many things that you can do as a side hustle.
And if there’s something you’re interested in like YouTube or maybe photography or making crafts. Sell those things, sell your products, sell your services. You can definitely do your own freelance work on the side. Make a little side hustle out of it.
I know that so many people are starting their own small businesses, which is absolutely amazing. Think of doing a side hustle if you’re wanting to increase your income. And you don’t want to rely on getting a promotion. Or maybe when you will get your next raise at work. A side hustle it’s m definitely the way to go.
The fifth thing that I recommend doing is just tracking your spending. By doing this, I don’t mean track your spending and think that just by doing you’re saving so much money. Because you won’t it comes with you first. But by tracking your spending, you can at least see where your money is going and how you’re spending it.
That could even be things such as going to the grocery. Maybe you find that you’re spending too much at the grocery at once. If you find that out, then maybe look a little bit deeper into it. How can you save money the next time you go to the grocery? Maybe look at coupons before you go. Buy-one-get-one-free deals that your grocery might have.
I always recommend doing that, because that way you can see even where you could cut down on your spending. Maybe you’re someone that likes to buy new shoes, buy new clothes. Maybe you’re spending too much money on that and you don’t even recognize it. Because it’s spread out over a month’s time. 50 dollars here, 25 dollars there, might not seem like a lot. But if you do that a few times throughout the month that’s a couple of hundred dollars.
Definitely, I recommend maybe looking at your statement throughout the month and see where you’re spending your money. If you do that, you will be so surprised. That’s honestly how I found out how much money I was spending towards Starbucks. And that is really what made me start concentrating on saving my money and spending it elsewhere and saving it and paying myself first.
Don’t live like you make 6 figures
The next thing that I want to say that I think it is so important. So many people need to hear this. I don’t know who needs to hear it. If you need to hear it, I’m going to tell you because I know quite a few people that need to hear this. Like you do not need to live like you are making six figures when you are not.
If you are not making six figures, then you do not need to live like it. You do not need to live a luxurious life and have all these nice things. When you cannot afford those things. Even if you can afford to purchase it, it doesn’t mean you can afford to maintain it.
An example I have for you guys is, maybe there’s that new car that new BMW, that new Mercedes that you want. Take it from me. You don’t need it. I have been driving the first car I ever got in 2012. It’s 2020 now, I’ve had one car only. I plan on riding that thing until the wheels fall off. Because one of the cars paid off. I don’t have a car payment at this point in my life. Why would I take on an additional car payment? Just to have an expensive car on the roads. Where I’m likely fingers crossed not, I got a car accident and then there goes that.
Live below your means as I was speaking about earlier. Do not live like you are making six figures. When you are not making six figures. If you are, then you know what, live how you want, do your own thing and of course, even if you’re not, if you want to live your own life, do your own thing, go do it.
But this is what I recommend if you are wanting to actually start saving your money and see an increase in your savings account. It is just to not live so luxuriously and focus on the things that are more important. Such as the necessities. Later down the road, you will appreciate it, so much more than having that nice car. That’s going to get scratched up eventually and once you drive that thing out the parking lot, it’s not even going to be worth what you bought it for. So, don’t know who needs to hear that. But you’re welcome.
Cut down spending where you don’t need it
The seventh thing I really want to touch on is kind of just about what we’ve been talking about already. But really just think about the things that you were spending your money on and what can you trade those things out for. If you are maybe eating out for lunch every day or when you get home, you’re ordering food for dinner and having it delivered paying a delivery fee all of that.
Go to the grocery, once you get home from the grocery, maybe a meal preps your food. So, you have it ready to go whenever you’re feeling super hungry and then that way you don’t feel obligated to order it. You don’t feel like cooking, that is my biggest tip because I know so much of our money goes towards food. Because we don’t even realize how much the money adds up. But maybe you’re one of those people that likes to go shopping and buy new clothes and buy new shoes. It’s just one of those things it’s a mindset thing.
You really need to think, do I need these shoes? Do I need that new jacket? Do I need that purse? You don’t need it. You want it. So, if it’s something you need such as, maybe you need new eyeglasses because your visions bad or you mean new contacts. That’s something you might need. But you don’t need new shoes.
And if you do need new shoes because you don’t have any and then maybe go somewhere such as a thrift store or Plato’s Closet. You don’t have to buy things brand new, and you don’t have to buy the designer items right off the bat when of course you’re not making six figures.
So that’s always something to think about I always keep that in mind. I honestly barely ever go shopping for myself and I think I save so much of money doing that. Because if I was buying new clothes every month, I think we would be a lot of trouble. And I definitely would not have the savings that I do now. That is a big tip for you guys. Definitely just cut down the spending or you don’t need it.
Be smart where you bank
I want to say especially coming from working in the banking/finance industry is, be smart where you bank. Look into your banking options, look into the incentives that you had to bank with certain banks. And just really shop around for the products that they offer.
I know for me when I was opening my first bank account when I got my first job when I was 14. I looked around a little bit, and when I decided what bank I wanted to sell with, I looked at all the options, all the incentives. Maybe they have fee waivers, maybe you can get a keep the change program. Things like that, I know for me, with the bank that I have you get a keep the change program, go to make a purchase. It automatically moves I’m a remaining sense into your savings account without you even knowing it.
So, just by spending money your kind of moving money into your savings at the same time without having to think about it. So, definitely just shop around for the banking products and see what will help you in your lifestyle the most. That’s also going to bring me to credit cards. If you are able to get a credit card, because you are 18 or older, I definitely recommend looking into your credit card options.
See what is going to be the best and most beneficial for you. I know for me and for my credit card I have a rewards credit card. So, I earn cashback every single time I make a purchase. And one of my biggest tips is if you are using a credit card, never purchase things that you will not be able to pay off within your 28-day cycle.
This is so important because you want to keep your credit good, you want to keep your credit up. But you also don’t want to be just purchasing things left and right. Because oh I have a credit card with $50,000 women, I can go buy whatever I want. It’s not how that was, just purchase the things that you know you can pay off within your 28-day cycle. And that is going to build your credit.
But also, you can get rewarded for spending your money. Which is the best part? And I kind of want to touch on that and just say you guys how much money I’ve saved. Not even to brag obviously, but just to show you guys how beneficial it can be for you depending on where you choose to bank. So, these are the rewards I have earned and cashback. So actual cash that I can use, I can go make purchases with or move it to my savings account of course. Or even pay off my credit card.
So, this year has made eight hundred and fifty-seven dollars and seventy-eight cents. Just from using my credit card. So that’s almost a thousand dollars that I’ve earned. That’s just why I wanted to point out. You can get rewarded for the way you spend your money and I highly recommend if you haven’t gotten a credit card yet, or maybe you’re in the market for looking for a credit card?
Look around for your options. Look at the benefits that you can receive, and I promise you that is another way that you can even earn and save money. And who doesn’t want to be rewarded to shop? I know I do, going along with being rewarded.
Cashback and discounts
My final and last tip for you guys and I knows I like to do before I make purchases on anything that I like to purchase, especially bigger purchases, I go online to see if there’s any coupons or any deals that I can find. RetailMeNot is one of my favorite websites. Not sponsored!
I love that website, for instance when I purchased the couch that I have in my living room from, Ashley’s furniture, I went on RetailMeNot just to see if they had any deals going on. And I got a cashback deal. My couch was about $1,000 and I ended up getting $50 cashback just from using a link on the website is going to Ashley’s furniture and purchasing the couch. I didn’t have to pay anything, there’s no membership fee, I simply got $50 just for following the link on their website to Ashley’s furniture.
That is my last tip for you guys. It is just to be wise with the way you’re spending your money. And change your mindset around how you were saving your money. And why you’re saving your money. I promise you the savings will come.
I just want to point out as well that I’m not doing this to brag. I am doing this simply just to help you guys. Because I know for me, I live below my means. And it works out for me. I’d rather have money saved in my banking account, and saved in my savings account. Than to live out there like I’m a millionaire which I definitely know we’re close to that. But I like to live below my means. And I’d rather see a bigger number in my savings account. Then drive a nicer car.
So, hopefully this post will resonate with you guys and it will encourage you to become financially stable. Become financially free, and again I know we all have different financial circumstances. So, I totally recognize that. And starting somewhere small is completely fine. Set a goal to save five hundred dollars, two hundred dollars, a thousand dollars. If you set a goal you are so much more likely to reach it because you’re going to be motivated to actually reach a numeric goal.
Hopefully, this post does help out some of you guys. If you did like this post definitely don’t forget to subscribe to our newsletter and get our more tips & advice.
Post source: Collected