Tips for saving on a low income

Saving money on a low income can be the last priority on your list. Don’t let a low income stand as a hinderance between you and your savings goals. When it comes to personal finance, it is important to not only think of the now but the future. The good news is irrespective of your level of income you can still save. It’s not so much in the quantity rather the consistency. Today we will share practical tips that can help you save money irrespective of your level of income. Look at your food bill: Feeding being an essential part of living cannot be eliminated but can be cut down. Here are some ways to cut back on feeding:

Stop or cut down on eating out.
- Shop generic rather than name brand
- Shop with a grocery list
- Look for cost friendly stores
- Look for coupons and check out flyers
- Stock up on non-perishable food
- Avoid buying too much perishable food at once to reduce waste
- Do your meal preps on Sundays
Decrease expenses: Look at all your expenses and see where small decreases can be made. A little cut here and there could result in huge savings in the long run. Here are some ways:
- Change to a No – Fee paying bank
- Is your home bigger than what you need? consider downsizing.
- Reduce entertainment cost and replace with free events
- Review your cell phone plan and usage
- Carpool to work
- Unplug all unused electrical device
- Cancel unused/ not frequently used subscription
- Move to a less expensive area
Work on paying off your debt: Taking steps to pay off debt especially your credit card will free up additional money and make it possible for you to do more with your income. Here are some ways:
- Pay more than the required minimum on your credit card or any form of line of credit
- Avoid credit and only use cash while working at getting out of debt
- Spend less than you earn
- Itemize the debt from the list to the greatest and decide which to tackle first
- Get a second/multiple sources of income
- Seek help where necessary
- Create a spending plan
- Change your bad money habit

Decide today to act on any of the tips that stand out to you.

ABOUT THE AUTHOR

pfmAcademy is committed to helping young professionals become intentional about their finance through practical personal financial management tips.

Before I joined PFM Academy, I was just a classroom teacher and a lover of make-up. Like, if I were taken to a drugstore on a blank cheque, I will go for all the makeup items in that store. Then, one evening I had a 1-1 session with Tolu from PFM (we use to be church members during our childhood) and she asked how I was doing in my profession. I complained on how “Teachers take home, were unable to take them home here in Nigeria” she asked of my passion and encouraged that I could use that to start a ‘side blessing’ that’s what she tagged it. During the lock down I enrolled for a makeup course where I came out second best and boom! I began my side blessing after that. I makeup people for good money and yes, I still buy makeup products but this time, I buy for people and then make my profit. Thank you, Sis.