Are you looking for easy ways to cut your monthly expenses? Whether you are trying to stock up an emergency fund or hoping to save for a larger investment for the future, there are lots of steps to take toward saving extra money each month.
Decrease Your Spending
The first step in decreasing your expenses is knowing what those expenses are. Spend one month tracking each and every penny you spend, from the Starbucks drive-through to your monthly rent payments. There are many great apps for this, or even a simple Excel spreadsheet will do.
The next step is to make a budget based on your expenses and stick to it. Categorize your budget into “needs” and “wants” and make sure that you are living within your means, not overspending on any one line item.
Lower Your Monthly Energy Bills
To save money by reducing your energy bill, install a smart thermostat to control the heating and cooling in your home. These thermostats learn your patterns (when you are home, preferred temperatures, and times of higher use), and set your thermostat accordingly, saving you hundreds per year in energy costs.
Another way to decrease your monthly heating expenses is to install an efficient furnace Arlington MA. Older furnace models from decades ago can have as low as a 65% efficiency rating, while newer models generally run above 90%. Each step up in efficiency means more cash in your pocket and less spent on the energy bill.
In addition, make sure your HVAC system is running effectively. Sometimes, cotton or other seasonal outdoor debris can get stuck around your outdoor air conditioning unit, causing it to run poorly and inefficiently. A quick spray-off with a hose or power washer can help your unit to function better, saving you money on your monthly AC bill.
Taking steps to save money each month is relatively simple. Using the steps above could help you easily save over $1,000 in just a year.