HOW TO SAVE MONEY IF YOU EARN LITTLE: 5 PROVEN IDEAS (PART4)

HOW TO SAVE MONEY IF YOU EARN LITTLE: 5 PROVEN IDEAS (PART4)

 HOW TO SAVE MONEY IF YOU HAVE LITTLE INCOME?

 There are many ways to save money, but if you have never done it before or if you are currently in a tight financial situation, I advise you that instead of setting a  long-term saving and investment goal  (one that your mind can reach to feel like something difficult to achieve and therefore you are going to put it aside), start with easy savings challenges to meet.

 WHICH IS BETTER: SAVE OR INVEST?

 Although they are two different things and with different purposes, both are equally important for a good financial planning strategy, with a view to creating wealth.

 As a general rule, saving should come before investing, since savings are there to cover those expenses that, during any eventuality, we will need to keep up to date to avoid incurring debt and maintain a decent lifestyle.

 Instead, when we talk about investing money, we should think of long-term "savings", dedicated to increasing our quality of life and meeting future goals.

Now, choosing between saving and investing will depend on the current situation of each family or individual and they're short- and long-term goals; as well as your risk tolerance. 

 HOW TO SAVE MONEY EFFECTIVELY: 5 OF THE BEST WAYS TO SAVE MONEY IN NO TIME

 1. DON'T BUY CHEAP CLOTHES

 I learned this after deciding that from now on I would live with less than 100 things, since not having as many clothes as before and seeing myself needing to wash the pieces more frequently, I have been able to notice how good quality pieces last me a long time. more (I have pieces of clothing that are a little over 2 years old with me and that I wash almost every week).

 It may seem crazy, but I assure you that buying good quality clothes, even though they are more expensive, is a very good strategy to save money, with the “plus” that you look better dressed.

 2. RENT A ROOM IN YOUR APARTMENT OR HOUSE

 Probably the one that you live close to your work could be more expensive. In that case, you can try to reduce your lease or mortgage costs, or even earn some extra money, if you rent a room.

 3. SAVE MONEY PREPARING YOUR LUNCH AT HOME 

If you are one of those who always go to restaurants at lunchtime, evaluate the expense you are incurring. Consider bringing your homemade lunch to work, as you'd be surprised how much you can save quickly.

 4. CANCEL UNNECESSARY SUBSCRIPTIONS

 I'm sure we all have a subscription that we rarely or never use.

Do you have a gym subscription, but go once or twice a month? It would be better to cancel it when you can go to a park to walk, run or exercise. Have you been subscribed to a celebrity magazine for months that you almost never read? Then cancel it.

 These money-saving tips may seem irrelevant, but I assure you that they will make a big difference in the long run.

 5. TRADE ITEMS OR HAVE A YARD SALE

 Gather a group of people (be it family, friends, neighbors, or co-workers) who are interested in saving and agree to trade items in good condition.

 You can also organize a yard sale to get rid of those things that you no longer use and save, or use that money to finance others that you really need to buy.

 In the case of an exchange, depending on the items that the person offers, they may also carry things of a similar value. For example, if someone brings 1 set of serving trays in good condition, he could take 1 set of pots brought by someone else instead.