Saving money is one of the most common New Year’s resolutions, and by making a few changes to your financial routine, you may find it’s easier than you thought to reach your savings goals. Even small changes can add up over time to improve your finances. The following are a few smart strategies to save more money in 2023:
Find Out Where Your Money Goes
Most people are surprised to learn exactly how much money they spend each month and what they’re spending it on. For a month or two, keep track of everything you spend—even the small amounts. You can use a spending app to help you divide it into categories like entertainment. Take a careful look at your spending over time and determine where you can cut back.
Negotiate Your Bills
Some of your providers for services such as internet access and cell phones may be willing to give you a better rate if you call them and ask. They frequently offer promotional rates to entice new customers, but they may be willing to offer you the same deal, particularly if you’ve been a customer for a long time. It only takes a few minutes and a little effort, and you may be able to lower one of your monthly bills for a few months or even a year.
Look at Your Memberships and Subscriptions
Look at your bank statements to check your regular memberships and subscription services. You may, for example, subscribe to streaming services you don’t use very much. Or you may have signed up for a very low rate that’s since gone up. Look at everything from gym memberships to the service that stores footage from your at-home video cameras to ensure they’re worth their cos
Reduce your Debt
If you have a lot of debt, devise a plan to reduce it. You might be able to transfer your credit card balances to get a lower rate. In addition, you can plan to set aside a certain amount of money each month to pay your debt down, starting with the debt that has the highest interest rate. Once you have a better idea of where you’re spending your money, you might find it easier to allocate a portion of your income to pay down debts.
Make Your Home More Energy-Efficient
Making improvements to your home’s energy efficiency can yield savings month after month. Swap your current light bulbs for energy-saving alternatives and invest in a smart thermostat to control and maintain a comfortable temperature at home while lowering your heating and cooling costs. In addition, make sure your home has enough insulation, including your water heater and outdoor pipes
It’s Never Too Late to Start
Saving more money can help improve your overall finances and empower you to pay off debts, explore new opportunities, and expand your goals. As you reduce debt and spending, you’ll have more money to help create a secure financial future for you and your family. Never underestimate the impact that small changes can have on your financial well-being, and don’t hesitate to reach out to a professional accountant for guidance and support as you pursue your money goals.