Thrifty Spending
Living a frugal life is not just about saving. You also have to learn how to spend what you have in the best possible way. Now that you have mastered the savings side, what should you do with all that money? Here are some great ideas:
Make a list of your needs, wants and desires when it comes to your finances. Include any estimates that you may have (or use guesstimates if you have nothing tangible to go on). Be sure that you number them in the order of importance. Then start tackling your dreams one at a time.
Paying more than the minimum payment on your mortgage each month or even just making one additional payment each year could mean that your mortgage gets paid off in half the time that it would if you always paid the minimum. Doing so will also save you lots of money in interest. When you make such additional payments, make sure that the money is being deducted from you loan's principal. Once you have the mortgage paid off, you can use the money you were accustomed to spending on that on whatever else you want.
Use your savings to tackle home projects that have been calling out for attention. They can be big projects (which could require hiring a professional), or small (but not necessarily simple) like purchasing and hanging the ceiling molding in the children's room. You can choose to use the money to enhance your home and complete projects that have been long overdue.
Buy a newer pre-owned car. Even if your current vehicle is in good condition, you can get a newer pre-owned one. Your old car can be donated to a church, charity, or friend. Remember, though, that a newer car will be charged more in insurance payments.
Go on a dream vacation. If you plan your trip during the off season, you will be able to do more with less money and thus enjoy your vacation even more than you normally would.
Even though been frugal does mean saving money in case of unexpected costs, it also important to enjoy the benefits that come from working hard to save your money. Thrifty people should also save some money with the intention of using it to enjoy themselves in some special way.
Using the money that you have saved to congratulate yourself will be a great boost to keep on saving and living frugally.
Make a list of your needs, wants and desires when it comes to your finances. Include any estimates that you may have (or use guesstimates if you have nothing tangible to go on). Be sure that you number them in the order of importance. Then start tackling your dreams one at a time.
Paying more than the minimum payment on your mortgage each month or even just making one additional payment each year could mean that your mortgage gets paid off in half the time that it would if you always paid the minimum. Doing so will also save you lots of money in interest. When you make such additional payments, make sure that the money is being deducted from you loan's principal. Once you have the mortgage paid off, you can use the money you were accustomed to spending on that on whatever else you want.
Use your savings to tackle home projects that have been calling out for attention. They can be big projects (which could require hiring a professional), or small (but not necessarily simple) like purchasing and hanging the ceiling molding in the children's room. You can choose to use the money to enhance your home and complete projects that have been long overdue.
Buy a newer pre-owned car. Even if your current vehicle is in good condition, you can get a newer pre-owned one. Your old car can be donated to a church, charity, or friend. Remember, though, that a newer car will be charged more in insurance payments.
Go on a dream vacation. If you plan your trip during the off season, you will be able to do more with less money and thus enjoy your vacation even more than you normally would.
Even though been frugal does mean saving money in case of unexpected costs, it also important to enjoy the benefits that come from working hard to save your money. Thrifty people should also save some money with the intention of using it to enjoy themselves in some special way.
Using the money that you have saved to congratulate yourself will be a great boost to keep on saving and living frugally.
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Wondering how you could be negotiating lower payments on your credit card? You'll find lots of helpful tips & advice on the Debtopedia website.
posted by Credit Counseling at
4:35 AM
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