It’s never easy to live on less money than you’re accustomed to. Maybe you are dealing with a job loss due to the weak economy… or you and your significant other have decided to scale back to one job for a specific reason. Whatever your situation, making ends meet with a single income is going to take some major adjustment. The good news is it’s not hard to make small changes that can drastically improve your bottom line.
Photo by: Peter Gerdes
Try these Ways to Deal with a Reduction in Income
Cable TV – Cut down to just basic service. Premium channels are not a necessity during difficult times. You may be able to get a better monthly rate on basic service, too. Try asking your cable representative if he can give you a better rate.
Home Phone – If you have a cell phone, you likely don’t need a home phone anymore. Unless you are a person who talks on the home phone regularly, have it turned off. Get a cell phone plan with enough minutes to accommodate your phone habits. Going over your minutes can be very expensive.
Subscriptions – What magazines, newspapers or DVD-by-mail service are you paying for but not really using? Maybe you get 12 issues of a magazine but typically only read 1 or 2 issues per year? If you’re too busy to read your magazines, cancel the subscriptions. You can always go to the magazine’s website to get a quick fix from your favorite publication. Or just buy 1 or 2 issues at the newsstand when you’re going on vacation or have extra time to read.
DVD services offer various subscription options. For instance, Blockbuster.com charges $19.99 for the 3-out-at-a-time option where you can rent videos both via the mail and in-store. If you eliminate the in-store option, you will pay a few dollars less every month.
Negotiate Rent – If you are living in a Philadelphia apartment, don’t be afraid to re-negotiate your rent before renewing your lease. Often times if you tell the leasing agent your financial circumstances, she will be willing to work with you to make your apartment more affordable.
Cut Back on Restaurant Food – Eating out is expensive, there’s no doubt about it. If you eat out 3 times a week, cut it back to 2. Even ordering the same food ‘curbside’ and taking it home will save you money since you won’t have to buy drinks or tip a full 15-20% on the meal.
Bring Drinks from Home for Lunch – Soft drink prices at fast food restaurants and gas stations are highly marked up. Find store brand sodas for about 20-cents a can when you buy a grocery store 12-pack. It tastes just as good. If you like the feel of a cold bottled water, refill the bottles from your home tap or your office water cooler. You can easily save at least $10 a week on drinks.
Cut Credit Card Interest Rates – One way to reduce bills is to pay a lower interest rate on your credit card debt. If you have a good track record of on-time payment, many credit card companies will reduce your interest rate. All you have to do is ask!
Drive an Older Vehicle – Hanging on to a vehicle for a few years after it’s paid off can save you hundreds, if not thousands, of dollars. You will have no monthly payment plus lower insurance premiums on an older vehicle.
Reduce Gasoline Usage – Gas prices have caused everyone to re-think their driving habits. Try to run your errands by carefully planning a route and not driving out of your way for anything. If your spouse or significant other has a vehicle that guzzles less gas, take that vehicle when you go out together.
Shop Thrift Shops – A lot of people won’t buy used clothes because they think they are unclean. We all eat off used silverware in restaurants and sleep on used sheets in hotels. Why? Because they are washed. Find clothes in like-new condition at thrift shops, wash them and you’re good to go. High-quality kid’s clothing is especially easy-to-find because children outgrow their clothes so quickly.
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