25 Ways to Save Hundreds on Your Monthly Expenses

posted on 09-03-2019

It's often times easier to save 10% than it is to increase your monthly income by the same amount.

And you don't necessarily have to make drastic changes to free up extra money each month -- these changes can be as simple as switching to low-octane gasoline or cooking more meals at home. Over the course of a month, these small changes can add up to big savings.

Here are 25 ways to save that could add hundreds of dollars to your bottom line each year (or even each month).

1. Plan a Budget and Stick to It

Nothing's worse for your monthly finances than not planning ahead. If you know an obstacle is on the horizon, such as a car payment or other bills, prepare for it by setting the money aside. Additionally, make a list of your monthly income and expenses and budget the money required to make ends meet.

2. Track Your Expenses

Keeping track of how much you spend not only prevents you from bouncing checks, it also helps keep you on top of your budget. With either your checkbook or online bank account -- or with personal finance sites like Mint.com -- tally your spending at the end of each month and audit areas where you could stand to tighten the belt.

3. Cut out the Cable

It's hard to get a cable package nowadays for less than $100 a month. One alternative is to do away with it altogether. While this may seem drastic at first, you'd be surprised at how quickly you can adapt to life without cable. And it doesn't necessarily mean you have to get rid of your TV -- a cheap antenna still gives you access to local channels, and there's always your Blu Ray/DVD player and streaming platforms when you're in the mood for a movie. Just think about how much you can get done around the house when the TV isn't calling your name.

4. Eat Less Meat

It's almost expected in the U.S. to have meat with every meal, but in most parts of the world, meat is a luxury. Limiting your meat intake to just two or three meals a week can make a huge dent in your grocery bill.

5. End Your Gym Membership

With all of the free alternatives, why pay the bloated fee for a gym membership? Jog in your neighborhood, lift weights in your garage, swim at your local public pool -- there are plenty of options here. You might miss out on the networking possibilities of the gym, but there is always LinkedIn to fill that gap.

6. Sign up for Netflix

There's a reason why Netflix has been successful over the past several years. For around $10 to $20 a month, you can stream as many movies as you can watch, while paying one-tenth as much as you might for cable. And with other companies like Amazon, Hulu and others getting more competitive in this business, you can bet the prices will stay low even as the movie availability continues to expand.

7. Never Go to the Mall

It takes a strong-willed person to make it out of the mall without making a purchase. If you do need to go, have an objective in mind -- like a particular store for an item you know is on sale -- and avoid browsing, which can quickly turn into buying.

8. Become a One-Car Family

If you can manage one set of wheels, this option can amount to big savings every month -- from loan payments, to upkeep, to fuel and insurance. Instead, take the bus or public transportation or ride share with your spouse or co-worker. Better yet, buy a bike and enjoy the health benefits of your daily commute.

9. Brown Bag Your Lunch

$10 a day for a quick lunch quickly adds up over the course of a month -- that's easily around $200 bucks a month (or $2,400 bucks per year!) you could be using to pay off debt, invest in your 401(k) or create an emergency fund.

10. Be Your Own Hair Stylist

While you might not want to cut your own hair or give yourself a perm, there's still money to be saved by coloring it yourself or going to the salon less frequently for a style. And for simple cuts for kids, a $10 investment in scissors and a 20-minute lesson on YouTube can save you a trip to Super Cuts every month or two.

11. Skip the Vacation

Even if only for a year or two, cutting out the vacation is a good way to add a couple of grand a year to your bottom line. The trick is to make the most of your weekends and use the time to take care of projects you've been putting off (like reorganizing the garage or clearing out the clutter from your home). The immediate benefits of a tightly run ship will reinforce your objectives to do the same for your bank account.

12. "Stay-Vacation" Instead

Instead of spending the money on airfare, hotel, entertainment and meals, enjoy the sites in your own hometown instead. Chances are there are sites to see in your city that you've been too busy to enjoy. If it just doesn't feel like a vacation if you're in your own home, splurge on a local hotel for a couple of nights -- you'll still be saving on travel expenses and other costs of a traditional getaway.

13. Forget the Daily Latte

These little pick-me-ups don't have to go away completely. Just try not to make a daily habit of the $5 cup of coffee. Brew your coffee at home or consider investing in your own espresso machine. Better yet, see if your workplace will pick up the tab on the coffee maker and test out your barista skills for your co-workers.

14. Cut the Land Line

With the growing preference for cell phones, most households could stand to do away with their land line altogether. Why pay the monthly expense -- plus the added fees and taxes -- when you're just duplicating the service? And here's a little-known tip: plugging a corded phone into a defunct phone jack still gives you access to 911 in case of emergencies.

15. Don't Buy Books or Music

Use the library instead. If you haven't been to your local library in awhile, it's a great time to get reacquainted with all the free media available to you every day. Plus, you're already paying for it with your taxes.

16. Make Your Own Bottled Water

Not only is the plastic a huge waste, the added cost is unnecessary when all you need is a water filter and a BPA-free plastic thermos to bottle your own water at home. Fill up at home and take it with you everywhere you go and you'll reap the health benefits as well.

17. Take Care of Your Car

It's cheaper to keep your current car in good running condition than it is to buy a new one every three years. And with the advances in auto technology, there's no reason why yours shouldn't last for 100,000 or even 200,000 miles. If you take care of your car (i.e., change the oil on time and perform all scheduled maintenances) it will take care of you.

18. Carpool

Even if you own a vehicle, you'll benefit from teaming up with others heading in the same direction. Not only will you save on gas and maintenance by sharing the ride with a co-worker or neighbor, you'll enjoy a stress-free commute.

19. Trim Your Utilities

Make it a habit to walk through your house and turn off lights in rooms not being used. If no one's watching the TV, turn it off. Other quick tips include turning up your fridge, turning down your water heater and washing clothes and dishes only with full loads.

20. Pay Your Bills on Time

Not only does it keep your credit score in good shape, but being prompt with bill payments also keeps away those unwanted late fees. Be diligent about keeping track of your bills and marking your calendar when they're due and you'll be on track to avoid any additional costs.

21. Leave Your Debit Card at Home

Carry $10 in cash with you in case of an emergency (like running out of gas), but leave your credit and debit cards at home where they'll be inaccessible. This way, you'll be less tempted to splurge on unnecessary items.

22. Comparison Shop

If you must go shopping, or if you treat yourself to a big-ticket purchase, shop around to make sure there isn't a better deal elsewhere. Some of the best personal finance apps for smartphones offer services that will scan a barcode and check local and online prices for the best deals. Savings of a couple of bucks here and there -- or hundreds off of a new TV -- make the extra research well worth it.

23. Reduce Your Cell Phone Plan

Easy ways to save on your cell phone bill include switching to lower-price carriers such as T-Mobile, Google Fi or Straight Talk; reducing the data in your plan; and skipping the costly add-on features for your phone plan. A pay-as-you-go phone might also be an option to ensure you don't overrun your minutes and end up with a hefty bill at the end of the month.

24. Drive Less

The objective here is to live in your neighborhood. For example, utilize your local grocery store instead of the bigger one across town. Or, try to live as close to your workplace as possible. If you do need to drive a good distance for an errand, consolidate the trip to achieve as many objectives as possible. This way, you'll save both time and money.

25. Pay with Cash

When you pay with cash, you'll be more reluctant to give it away so easily. You'll also be avoiding the hidden debit card fees that can slowly chip away at your account balance.

By making a few simple life changes, it's not hard to free up hundreds or even thousands of dollars over a year that you could use to build an emergency fund, invest toward your retirement, or pay off debt as you start your journey toward financial independence. Speaking of ...

Here Are Three More Ideas to Help Reach Your Financial Independence:

  1. Free yourself from credit card debt this year. Learn how to pay 0% on your balances for up to 21 months in The 4 Best Credit Cards for Balance Transfers.
  2. Pay off your mortgage to free up an extra $1,000 to $2,000 every month. Check out 3 Ways to Pay Off Your Mortgage 15 Years Early.
  3. Shrink and eliminate your car payments. If you're paying 6% APR or more, it's time to know The Top 3 Reasons to Refinance Your Auto Loan.
by Christian Hudspeth What's even better than earning rewards for spending on your credit cards? Getting paid hundreds of dollars worth in sign-up bonuses in three months or sooner -- just for tr...
by Christian Hudspeth Tired of dragging credit card debt around with you? Taking 15 minutes to transfer your debt to a credit card with generous balance transfer perks could save you thousands in...
by Christian Hudspeth If you're going to spend money anyway, then why not get paid for it?Whether you're looking for credit cards with up to 6% cash back, double flight miles, or even a free hote...
by Christian HudspethIn times where interest rates are on the rise, you may start hearing financial advisors and bankers sing the praises of an income strategy called "CD laddering" (short for ce...
by Susan Campbell Those of us familiar with selling property know real estate agents don't come cheap. With real estate agent commission and fees amounting to as much as 6% of the sel...
Beverly Harzog is a nationally recognized credit card expert, author, and consumer advocate. She blogs about credit cards at BeverlyHarzog.com. Being in credit card debt is the pits. I've bee...
by Christian Hudspeth If you haven't already felt the pressure to refinance your mortgage, you're probably really feeling it now. Mortgage rates are still hovering near historic lows. But ...
by Christian Hudspeth If you or someone you know is thinking about getting a home mortgage, you may want to know about the thousands of dollars in hidden charges that some lenders are quietly...
by Christian Hudspeth Money market accounts (MMAs) and savings accounts make great places to set aside your emergency fund money and earn some interest income at the same time.Simply put, these s...
by Christian Hudspeth It's true that auto loans and home loans offer attractively-low annual percentage rates (APRs), while credit cards offer borrowing power without the risk of ever seeing the ...
by Christian HudspethWant to keep your emergency fund safe while earning interest yields that are three to five times higher than a typical savings account? Putting your money into an FDIC-insure...
by Christian Hudspeth Question: Hi there. I need your advice. I'm only 19 and I really need to start investing. Where can I start? -- Tirelo M., Gaborone, Botswana Answer: You've defini...