5 Tips to Manage Your Frugal Expenses

Your monthly  expenses such as bills, the mortgage, and other financial obligations  are always going to be present in your life. However, if you manage your  expenses frugally, it will be much easier for you to make the payments  and you will live a happier and more relaxed lifestyle. Frugally  managing your finances can be a difficult thing to maintain, especially  with the spending habits of today’s consumers. However, the five tips  that you will find below can make you much more effective at the task.

1 – Use a finance management tool

Finance management tools are designed to help you live on a budget  and organize your income and expenses. There are free tools like  Mint.com that can make it easy to see how much money you have coming  into your bank account every month and how much money you have going  out. They also categorize your expenses for you so that you can see  exactly what your spending habits are like. If you want to manage your  expenses frugally, you have to organize and understand your finances.

2 – Make spending cuts

It’s very important to actually make real spending cuts with your  budget. You cannot manage your finances frugally if you are afraid to  get rid of some of your expenses. This means eating out less,  unsubscribing from high definition television channels, or even getting  rid of your home phone if you can make do with your cell phones. Don’t  be afraid to try new things in order to make spending cuts and  reorganize your budget.

3 – Create a budget

Once you have used a finance management tool to organize and  understand your finances as well as make spending cuts, you then need to  create a budget for your monthly spending. You should now be in a  position to where you can analyze how much money you have been spending  in the past and how much money you want to spend in the future. Creating  a budget and sticking to that amount is very important to managing your  expenses frugally.

4 – Do not spend irrationally

Part of the problem with today’s consumers is that they spend  irrationally. Even though they do not make much money, they feel  obligated to lease a car, buy a house and have all of the amenities that  their friends and family members have. What they don’t realize, is that  this type of spending is reckless and that is why a lot of their  friends and family members will one day find themselves in debt.  Controlling your spending habits and saving money rather than spending  it is a very important step to the process. Try to avoid reckless  spending and stay away from poor financial choices such as payday loans.

5 – Seek cheap thrills

Everyone needs to get entertainment somehow but if you spend a lot of  money in order to entertain yourself, you are quickly going to find  yourself struggling with debt. Try to seek cheap thrills instead of  going for the more luxurious, outgoing types of options. Making yourself  happier with some of the cheaper options in life is going to protect  your budget and stabilize your finances.

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About Pepper

I am a single working mom, trying to raise my kid the best way I know how. Join me as I navigate my way through the jungle that is Single Mom-hood, armed with rose-colored glasses and strength of spirit. As pepper adds spice to food, so does my daughter add spice to my life. She makes life no less than…PEPPERRIFIC!

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Comments

  1. Great shot, I’m very appreciate your tips, Thanks for sharing this post.

  2. Working on a budget and having the discipline to follow it can really make one person save and be more effective in managing funds.

  3. Wanderer Juan says:

    It is always prudent to create a budget and stick with it to save more money for the future. Great tips!

  4. I guess the most basic thing is that we should save first before we spend. :)

  5. i do budget my allowance monthly so once i settled doing shopping then that s its till next month again! haha

  6. Planning, organizing and controlling finances will definitely result to a proper handling of funds and avoid monetary liabilities.

  7. Its a great tips, i know the basic things to take care of: expenses, debt and savings for goals. The idea is to control your purchases and wasteful expenses.

  8. im always trapped on no. 4! thanks for these great tips!

  9. Jessica Cassidy says:

    Sticking to your budget is not an easy thing to do :-) I love to check on bargains in store though and I love to save money eventhough it is little :-) I love your tips, greatly appreciated :-)

  10. live within your means… and don’t abuse your credit card. these are good tips to follow, hope people would listen. Yahweh bless.

  11. Don’t spend beyond your income is the most important thing. Planning as well helps a lot.

  12. I am so into this. I always budget ahead especially now for our home improvement.

  13. yay! i just signed up at mint.com but it left me jaw-dropped as it is not yet available here in Philippines. argh.

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