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How To Minimize Your Expenses And Save More Money
Saving is the income of future
Coming from a lower middle-class family made me realize the importance of money at a young age. Growing up, I watched my father analyzing his expenses month after month to save every penny. This early experience inculcated the habit of saving.
I used to save 10–15% of my pocket money, and buy clothes and chocolates for myself. Saving money not only helps you grow financially but also builds a strong character. The habit of saving gives you the opportunity and self-confidence to increase your earning capacity.
However, saving money as a child and as an adult is completely different. As an adult managing money is a skill and I believe everyone should learn it. I have been trying a couple of methods for 2 years. I have failed some times and succeeded some time but the important thing is to keep trying.
I am sharing the tried and tested method to minimize your expenses and save more.
1. Minimize the use of credit card
In today’s world, we can buy everything on credit. Just swipe a card and pay later. However, this habit is harmful and devoid us of saving money. First of all, when you are using a credit card, you don’t care how much you are spending since you don’t need to pay the money right away.
Second, sometimes even if you don’t have money, you try to buy things and think you will pay later once you get the money. This process builds the habit of spending more than your earning capacity and you always remain in debt.
To break this cycle, don’t use credit cards everywhere. Although, you get discounts for using the credit card, this discount allows us to buy unnecessary things. I once bought a coffee table because I was getting a 5% discount on my credit card. I don’t even use that coffee table now.
Don’t fall into the trap of ‘buy now and pay later’. Think twice before purchasing anything.
You can try the following things to avoid excessive usage of a credit card.
(i) Don’t use more than one credit card. I have one credit card and I use it everywhere.
