We all know the old schoolyard joke.
“That guy’s so frugal, he’ll stretch a dollar so far the ol’ George will shout ‘uncle!’”
When you’re hard-up on cash and trying to make your budget work, however, it’s good to know how to make your dead presidents ask for a bit of mercy. Stretching a dollar over the week is an important aspect to getting in the habit of saving. If you can live comfortably on less, you can save more. If you can save more, you can earn more.
And who doesn’t want to earn more money with their money?
You don’t need to go out to eat with friends every night. Hit the grocery store, shop those sales, and stock up on inexpensive foodstuffs. Beans, rice, pasta, and the like don’t cost a ton, and they’ll keep you full and healthy. If you cut out frequent restaurant trips and fast food runs, you’ll see your wallet get healthier.
You can also save a lot of money by cutting out harmful drinking habits. Not just alcohol, though cutting back on that will save you some serious dough. But sugary drinks like soda, energy drinks, fruit juices and the like are pricey. Cutting them out can save you money, starting now. Not to mention, drinking water is good for you!
Getting your budget going can show you how much extra you have to put back for savings. Savings accounts are good, but investing that money is even better. When you’re younger, you should be investing in slower-growing, more dependable stocks, and bonds.
As you grow older, you can invest in stocks that are more aggressive, but that payout significantly higher when you’re lucky.
This can help your savings stretch out into more money. Even if you gave lower funds than some people, investing those funds can help you close that gap. Turning your money into more money isn’t a fantasy, it’s just how investing works!
You’ve probably heard of the “cash diet” theory. The idea is that divvying your spending money into cash and keeping it in envelopes helps you keep better track of it.
Using a credit card is more stylish, sure, but cash is king. You can keep an eye on your cash and have a physical presence to assign to it. This helps you to be more money-conscious! This can stop superfluous spending you might otherwise not think about.