If there was ever a time to be vigilant saving money, this appears to be the time.
I’m not an expert in Personal Finance and there are countless books and websites that could offer more detailed steps to get ahead financially, but I learned from a young age the importance of living within my means.
As a result, my entire life, I’ve worked hard to keep my tastes simple and my income larger than my expenses.
Given the economic period we are in, I want to share twelve simple ways we keep our personal expenses low. Here they are:
12 Simple Ways to Save Money
1. Order water at restaurants.
The first time I wanted to shed a few pounds, one of my first actions was to cut soda from my diet—even ordering water at restaurants. I was immediately surprised to notice how much that small change lowered the cost of eating out.
Now, whenever we eat out, I think to myself, “Why would I spend more money just to drink something that also makes me less healthy? It’s a lose-lose situation.”
*Note, when I leave a tip, I add the imaginary cost of soda to the bill before figuring the percent tip to leave. I don’t feel like the server should receive less just because I’m content with water.
2. Take your lunch to work.
I learned it from my dad. And other than specific meetings or a Friday lunch date with my wife, I always take my lunch to work. Sometimes it is leftovers, but usually I eat rotisserie chicken and salad.
3. Brew your own coffee.
Six days per week, I drink coffee. And six days per week, I’m brewing my own in a simple 5-cup Mr. Coffee Coffee Maker.
It’s cheaper. It’s more convenient. It’s warm whenever I want it. And I don’t have to sit in a Drive-Thru line on my way to work.
4. Give up alcohol.
This isn’t a financial decision for me primarily, it’s a personal decision. But given that some generations spend, on average, $300/month on alcohol, it’s a personal decision with significant financial implications.
5. Order off the value menu at fast food restaurants.
The value menu is less expensive and usually just as good as the more expensive options at fast food restaurants. It’s pretty much the only way I do fast food.
If I’m eating fast food (which I do like), I’m not looking for the culinary experience of a lifetime anyway. I’m just looking for something quick and enjoyable.
6. Wear the same style of clothing every day.
I’ve written before on the benefits of wearing the same thing every day. Not only is it easier to get ready and feel more confident, but the cost savings are also unbelievable.
Clothes still need to be purchased and replaced, but if you know exactly what you need and where to get it, you’ll save thousands of dollars in experimental clothing purchases.
7. Don’t buy expensive meats.
The other day my wife asked if I’d ever want a smoker. I said, “No, I’m pretty content with my gas grill in the backyard.” I continued, “I’m not really the type of guy spending tons of money on meat anyway. I’d have a hard time spending that much money on the types of meats you’d want to prepare in it anyway.”
I could live every day on chicken thighs, chicken breasts, and ground beef… heck, I practically do already. I don’t need to buy expensive cuts of meat if I’m content eating other things.
8. Don’t use expensive razors.
I’ve tried all sorts of different razors during my life and for a while, I thought I really liked the super-fancy Titanium, Pro-glide, Mach Fusion razors. But then one day, I went to replace the cartridges and they cost almost $40 for one package of blades. It just seemed ridiculous.
So I switched to a less expensive razor and blade that cost $2 per replacement cartridge rather than over $4. And I’ve never gone back—my shave is just as close and comfortable as the more expensive razors anyway.
9. Conserve home energy use.
Energy prices are increasing rapidly. Fortunately, I grew up in a home where we were always encouraged to put on a sweater rather than turn up the thermostat. :)
Now that I live in Phoenix, the focus is more on turning on a fan rather than the air conditioner, but the principle remains the same. There are cheaper ways to control your body temperature than turning up the heat or cranking the A/C.
And nowadays, programmable thermostats make climate control savings even easier.
10. Use the library.
There are a lot of books that I read and want to read—both fiction and nonfiction. And my wife reads even more than I do.
Every time, the first thing we do is check our local library. If they don’t have it, they can usually get it. On the off-chance they can’t get it quickly (I’m way more impatient than Kim), I’ll purchase the book. But the library is always the first place we check.
It helps that the local library is less than three blocks from where I work. But if you have a library close in any way, it’s a great way to save money and continue growing as a person.
11. Own less stuff.
Clothes, mugs, pillows, towels, decorations, furniture, Tupperware, linens, pots and pans. In almost any and every scenario, the fewer items you buy, the more money you will save.
We made the intentional change to own less years ago and were shocked to discover how much of our money was simply being wasted on things we didn’t need. In fact, according to the Math in this Reader’s Digest article, we’ve saved $15,000/year by owning less stuff.
12. Throw extra cash at debt.
The only way to save money by spending it is to spend it on paying down existing debt.
There are different strategies to accomplish this. Some say, “pay down your smallest debts first” because of the psychological momentum. Others say, “pay down your highest interest rate debt” because of the mathematical savings. Whatever works best for you is my recommendation.
I’ve never carried any debt other than a small student loan from Graduate school (that we paid off quickly) and a home mortgage. We’ve always made a habit of paying extra on our mortgage every month—and it should be paid off entirely next year.
Any extra dollars paid toward debt are fewer dollars that can be wasted. That’s how I see it.
There are big ways to save money, but there are also small, simple steps that we can take. If you’re looking for ways to save some these days (and who isn’t), I’d recommend any of the twelve above. Every single one has worked for us.
ChuckY says
I practice most of what you preach here. Another observation on the razor blade front. When I was younger and going to work in the corporate world every day and meeting customers, I would throw away a razor blade every week. I am really disgusted with myself for all those years of waste. But for quite some time now, especially in retirement, I have realized they work a lot longer than I thought. Right now I only shave 2 or maybe 3 times per week max and my blades last for months. For anyone who thinks that is not possible, a Gillette spokesperson was asked once how many shaves a typical razor could get before needing replacement. They asked to remain anonymous (for obvious reasons since they wanted to keep their job) but their answer? 100 times. I don’t use them quite that long since that would entail using one per year with my frequency of shaving, but I use my for months now, and that includes even the lowest cost as well as expensive ones I built up a collection of over the years.
As for heating here in TN we have dropped down to below 30 the last two nights, and into the 30s for awhile now. Our temps during the day are starting to drop into the 60s here consistently. The temp in the house yesterday morning was 61 degrees when we got up, and 60 this morning. Still haven’t turned on the furnaces yet and want to make it into November before we do so. That heat thing is for sissies anyways :)
Helene S says
Hello Joshua from
Tucson, isn’t it great for our bodies, minds and budgets that the high summer heat is gone and we can just open the window! Folks may like to know that on the Library sites there is a place called Kanopy, through which you can see films with no fee. Happy autumn.
Helene
Jim K says
Great stuff as always. Funny, I see a lot of financial people on social media mock the, “make your own coffee” thing. To me it’s about making decisions that make my life better. I’m pretty sure that a latte doesn’t make my life that much better. One tip for those of us in the great state of NY. Get a New York Public Library card. You don’t need to be a resident of NYC and the selection of e-books is amazing.
Terry says
Thanks for the article.
A couple of points for you
-smokers are used mostly with very inexpensive cuts of meat, whole chicken, spare ribs, pork butt, and so on.
-for a truly economical shave, double edge blades are far less expensive than just about any cartridge, shaving soaps and a brush can be far less expensive than aerosol shaving creams.
Dan says
Came here to say the same thing about shaving.
When I turned 20 I grew tired of the $$$$ razor cartridges and switched to wet shaving with a straight razor and a double edge safety razor. There’s a big initial cost, but I’m 44 now and I’m still using the same razors & kit (new brush & soaps as needed) that I paid $250 for 24 years ago.
Also, the DE razor is a must-have now because it’s often difficult to take a straight shaver with you on a trip any more, unless you check your luggage.
joshua becker says
Oh, interesting. Shows how much I know. Most of my friends posting photos of their smokers on social media have full racks of ribs or briskets in there.
Gail Gowin says
Years ago I started clipping coupons and after a shopping trip to the grocery store I would put approximately the amount of money I saved on that trip into a big jar. It added up very quickly and gave me great incentive to clip. The first year (when we were counting pennies), it totally paid for our Christmas gifts! Now I get receipts showing what I’ve saved because I get a “member” discount . . . and so I put that into the jar. This little habit has paid for many Christmases and vacations!
Sandy says
Josh, thanks for the great tips! Regarding books, have you tried the library app called Libby? It’s fantastic! You can borrow books and read online or also borrow the audio versions. This is a real money saver and you always have books and magazines with you wherever you go.
Shan says
In the Phoenix area our libraries have Libby, something called the Cloud Library, and Hoopla, which also has movies! Another money saver. Joshua’s article doesn’t touch on streaming services but I would guess he probably spends way less than I do on them, not to mention satellite tv which I haven’t given up yet but definitely should.
joshua becker says
Remove cable or satellite television was on my early list for the post. But I removed it eventually. Nowadays, it’s just as easy to spend the equivalent of cable on streaming services.
Dalene DeGraaf says
Add your # 13. Sometime ago you recommended going through monthly payments. I am an impulsive donor and gave small amounts to multiple organizations. I went through and cut out most of them. (I still more than tithe to annual commitments) Additionally I had subscriptions to magazines and journals I rarely read and discontinued those. The savings was over $200/mo.
Jessalynn Jones says
Great tips Joshua. We almost always pack lunch and drink coffee at home. We barely ever eat out. And you have a good point about alcohol. I don’t wear the same thing every day but I do save money buying a lot less clothes than I used to and now I try to thrift them to be more sustainable and I save even more. One thing I thing we all need to check from time to time is our subscriptions! Those can sneak up on you…
Marie Livinston says
It’s encouraging to know that the first 8 out of these 12 are already habits of mine. But I live in an old drafty home so energy conservation is difficult. I try to buy less books and I love all the ones I already own. I do buy less stuff than I used to but I as an artist I have a lot of stuff to let go of. And lastly, I realized I do throw extra cash at debt but could do more there.
Carlos Canenguez says
Joshua, you really should write a financial book. ill be the first to buy it.ca
joshua becker says
Thanks Carlos. My thoughts on money (and the often unmentioned disadvantages and temptations of wealth) isn’t a topic drawing a large audience :)
Betsy says
Joshua, yesterday a friend stopped in for tea. She is a single parent and both her boys are now adults with families of their own. Her one son and wife earn north of $300,000 a year. Her son asked her how she raised them in such poverty and wasn’t she embarrassed. Of course she’s truly saddened by his comment. We live in a world where it’s all about money. Money’s important I realize that . Not having any makes for a difficult life but as we can see everyday it also corrupts.