Whether you are living off of wages that you feel could be higher, or do not have much leftover due to being on a strict budget, there are always ways to reduce spending so that you can gain a few extra bucks at the end of the month. Once you have accounted for every dollar that comes in and goes out, you may have to think outside the box when it comes to saving extra money if you feel that you have reached your limit in getting rid of unnecessary expenses.
Pay Off Debt First
It may seem like common sense to pay off dent, and you might be thinking to yourself that you are already doing that but where do you get more money to do that? Well basically any money that you have besides a necessary expense such as your mortgage, utilities, or food should go towards debt before anything else. When I say food, I also mean grocery shopping for the necessities, not eating out or impulse purchases at the register.
Look for an Alternative to Daycare
Being a new parent I never paid attention to the prices of daycare until I had to enroll my child into one, and for those of you that do not know, it is ridiculous. The daycare at my wife’s work is $63 per day which includes food and diapers, but for a newborn, diapers, maybe. Let’s say this is every work day for a month, that is over $1200 a month. If you can find a trustworthy family member to do it for say even $40 a day, that is around $800 a day, which gives you an extra $400 a month!
Sell Unused Items
If you are looking for extra money, look no further than what you probably have packed away in your house. Try coming up with a rule of thumb, if you have not used the item in the past year, sell it, and see how that works. If you do not have any high-priced items to sell online, then gathering your household items together for a garage sale might be a good way to get some extra cash together. You can probably scout out items from family members too that they want to get rid of and have you sell.
A good way to bring in an extra few hundred a month, not to mention sharing utilities, whether you bring that into the overall cost or not, is getting a roommate. Sure, you may think you left that behind in your college days, but back then your parents were paying, and now if money is tight it may be a great way to come up with some extra cash.
Take a look at your house and car. Is your house too big for what you need and can you downgrade to say, a ranch? Then maybe it makes sense to sell. For your car, if you need a new car every few years with a lease, can you take a step down that may save a hundred or two a month?