Can’t save money? It’s not uncommon to have trouble saving money for a rainy day.
Often times, not being able to save is closely related to earning a small income. Other times, becoming parents or having a numerous family can put a serious strain on an already tight budget.
But more often than not, certain purchases, although seemingly necessary, could be the very reason you’re not able to pay yourself first! While you can definitely find plenty ways to save money by cooking at home or being frugal when it comes to your bills, some expenses might hurt you wallet nevertheless.
When’s the last time you’ve reviewed your detailed budget? Do you know exactly how you spend every single penny?
By thoroughly tracking your spending, there’s a high chance you’ll find certain purchases that are seriously hurting your finances. Some big, some small, but they all add up.
Many think they can’t afford to save money, but avoid these 7 purchases and you’ll see how you can easily start saving right away!
1. Morning latte / coffee to go
Often times, we either wake up late or are simply used to just buying a coffee to go on our way to work or school.
That coffee though (or latte, or whatever it is) can eat up a serious chunk of one’s budget. Especially if income isn’t enough to save on a regular basis.
Although you think you only spend a couple bucks, try figuring out how much your ‘drink to go’ really costs, in a month. Not so cheap now, isn’t it?
Some would argue to give up on coffee or lattes altogether, but that’s just crazy talk!
Save money by preparing your own coffee at home. If you’re a morning coffee person, you can save at least $50 a month!
Related article: 5 money saving tips that don’t work
2. New clothes & shoes on a regular basis
One of the biggest expenses that turns out to be a total waste of money is buying clothes and shoes, just because they’re on sale!
A variety of outfits, good shoes and accessories that fit aren’t a waste, but too many of them represent a serious spending problem.
Just because clothing is on sale, doesn’t mean you should buy everything. Just because that pair of shoes fits you, doesn’t mean you should buy it.
Often times, people complain about having too many clothes, yet nothing to wear! (Even guys! Admit it, this happens to you too!)
However, buying even more clothes you’ll never get to wear won’t solve your problem. You’ll only spend money on ‘stuff’ you’ll probably donate or throw away next year.
If you’re not 100% sure you’re going to wear the clothes or shoes you’re about to buy, save your money and put it to better use. Avoiding such impulse purchases could save you hundreds!
Related article: Ways to avoid credit card debt problems
3. Eating out too often
Anyone looking to save money should understand the cost difference between eating out and cooking at home.
Eating out every once in a while is great and all, but do it too often and you’ll end up broke.
Feeding yourself and the family shouldn’t be a financial burden!
Getting used to cooking at home will help save money (a lot of money..) and as a bonus, you’ll probably eat much healthier meals.
You could either cook in bulk once a week or prep some meals in advance, freeze them and save them for later.
Related article: How to save money when eating out
4. New phones and tech gadgets
Is your phone still working? Then you probably don’t need to buy a new one, don’t you?
Just because new cool tech gadgets are released every year, doesn’t mean you have to buy them!
You might think you’ll sell your old phone and just add the difference to math the cost, but the result is you’ll only lose money in the process!
Consumerism teaches us we need to have the latest and greatest in tech to be cool.
Unfortunately, a new phone or a new tablet you lived very well without until today won’t make you cool. It will only prevent you from saving money for more important things!
Related article: 10 examples of poor financial money management
5. Expensive accessories
I’m sure many would be proud to own a Prada handbag, but if you’re a regular Joe like most of the population, you can probably sleep at night without one.
Spending an unimaginable amount of money on accessories is definitely standing in the way of saving!
Many live with the impression they need to ‘show off’ their expensive jewelry or fashion doodads.
If you’re looking to save money though, you should probably avoid buying extravagant accessories you can’t afford.
Related article: How to live well below your means
6. Changing cars every couple years
During a friendly chat with one of my former work colleagues, we began discussing transportation.
One thing led to another and – all of a sudden – he seemed baffled by the fact we still own our car after 3 years and don’t plan to buy a new one anytime soon!
Apparently, changing cars every couple years is quite conventional. Many cringe at the idea of keeping a car around for more than 2-3 years!
Selling an “old” car and replacing it with a newer model is perceived as normal. However, the thousands you lose in the process is, apparently, a taboo topic no one likes to talk about.
Related article: Learn how to save money on your car
7. Cheap products
If a quality product is on sale, it’s a bargain! If a product is cheap in general, you’ll probably want to check out the reviews before buying!
Buying cheap products often leads to wasting money. You might think you hit the jackpot by buying a really cheap microwave, but when it starts malfunctioning, who’s gonna have to fork up the money to buy a new one?
Same goes for shoes, clothing and even home repairs.
Not all cheap products or services are bad. But if the price seems too good to be true, you’d better check the quality first, to avoid having to buy the same product over and over again!
Related article: 5 extremely cheapskate things I wouldn’t do to save money
What other purchases prevent us from saving money? Can you think of any?
Latest posts by Adriana (see all)
- Underwater Mortgages Explained - December 11, 2017
- 3 uncomplicated ways to pay off mortgage faster - December 4, 2017
- 9 monthly expenses we can live without - December 1, 2017
- 25 practical tips to save money on gas bills - November 27, 2017
- The nuts and bolts of reverse mortgages - November 13, 2017