There are some things you can’t afford to cut out of your budget. There are others that you should stop paying for today.
- Bank and ATM fees: There are a lot of banking and ATM fees that you should never have to pay for. As far as banking fees go, make sure you always have enough funds in your account to cover every payment that is being withdrawn. Return and overdraft fees are where banks make most of their money, so avoid them as best you can. Lastly, only use your banks ATM. If you use another banks ATM you will most likely be charged and end up paying for a service you could have gotten for free from your own bank.
- Unused memberships or subscriptions: Haven’t gone the gym in a while? Do you not watch Hulu or Netflix as much as you used to? Cancel your memberships and subscriptions. Since these come out monthly, they add up throughout the year so if you aren’t using them, stop paying for them.
- Late payments and fees with credit cards and loans: Going past due on a loan or a credit card balance will result in fees and extra interest. Stop paying for these by paying on time. Budget in advance and make sure all of your payments are accounted for and taken care of before you spend money on other things.
- Wasted food, especially groceries: If you are like me you do you grocery shopping thinking that you will use everything in the upcoming days. But that hardly ever happens and I find old vegetables in the back of the fridge that can’t be used anymore. If you are going to buy groceries and produce, make sure to use them before the expire or get bad. If you don’t, you will be throwing away money you could have saved or used elsewhere.
- Insurance on old vehicles: Maybe you have an old car or boat that just sits in your backyard or garage. Insurance companies don’t know if you are using an old car or not, and still require a monthly payment. If it isn’t being used, sell the car to save money on insurance and make money on the sale.
It isn’t rocket science, just stop paying for things you don’t use or don’t need. You will be surprised on how much you save by making these cuts to your budget, and you won’t miss them either.