- Can you keep track of every dollar you spend in a week or month?
- The majority of us can’t.
- Do you want to know why?
- That’s because, most of the time, we’re wasting money on subscriptions we don’t use,
- late fees we don’t have to pay, and other purchases that don’t give us value in return.
- Hello, and welcome back to the channel.
- In this video, we’ll give you a few areas to look at to make sure you’re not wasting. your money.
- Before we get started, if you’re new here, please consider liking and subscribing.
- It really helps us out.
- Now, without further ado, here are seven classic money traps and tips for how to avoid them.
- Avoid them.
1.Impulse Buying:
- Impulse Buying Aren’t we all guilty of impulse buying?
- This broad category includes anything you don’t need but are tempted to buy “in the moment.”
- Consider the candy bars in front of you at the grocery store checkout line.
- There’s a reason you’re about to check out.
- It’s hard to resist!
- Trust us when we say that instant gratification will be gone before you know it!
- It’s embarrassing to admit how many times we’ve bought something when we already have more than enough.
- More than enough at home.
- And what do you find yourself saying?
- “Well, that seemed like a good deal at the time.”
- This is especially dangerous with big purchases.
- Don’t fall into the “discount” price trap.
- Just because the latest iPhone was $1,000 and is now $800 doesn’t mean you saved.
- $200.
- No, actually, you paid $800.
- Was that the amount that was budgeted?
- Do you really need a new phone?
- Is there a chance to wait 24 hours to make sure you really need to buy this item?
- Asking these questions can help you stop or slow down the urge to buy.
2. Going out to eat:
- Going Out to Eat It makes sense that with the easing of pandemic restrictions, people are eating out more often.
- But you’d be surprised at how much you’re eating out!
- If asked, you’d probably say, “We only go out twice a month.”
- You might be surprised to see how much you’re actually spending on food each month.
- It’s not just dinners with friends, it includes lunches at work, takeout, Uber Eats, quick gas station buys, Starbucks, and more!
- The solution is simple.
- Bring as much of your lunch as possible from home.
- Skip the drinks, appetizers, and desserts when you eat out.
- Drink water!
- And, instead of ordering it for delivery, pick it up and tip to save on delivery fees.
3. Warranty Extensions:
- Warranty Extensions According to a 2018 study published by Stanford University, consumers often pay more for extended warranties.
- People tend to overestimate the likelihood that a device will need repairs.
- However, these service plans work like insurance.
- You’ll get money back for every dollar you spend on a warranty extension.
- Extended warranties on your car, appliances, or other electronic items can cover the cost of future repairs.
- However, they’re not always a good deal for consumers.
- Sometimes the cost of the plan ends up being more than the cost of any future repairs!
- It may not cover the problem itself.
- Additionally, many credit cards have extended warranty coverage for certain transactions.
- You may be paying for coverage you already have.
- Always read the fine print if you really believe you need an extended warranty.
- Accidental damage is not always covered, and if you do, you may be unable to file a claim.
- Not keeping up with regular maintenance.
- Instead of paying for an extended warranty, put your extra money into an emergency account.
- You can use it to pay for repairs if necessary.
- If you already have an emergency fund, you may not have to save for it at all.
4. Cancel Subscriptions and Cable:
- How often does a 30-day “free” subscription turn into a month or year of financials?
- The Conduit There’s not much news, reviews, recipes, or opinions you can’t get online.
- You’ll also get rid of some things you don’t need.
- If you have a lot of subscriptions to newspapers, magazines, or other things, make sure you have a solid reason to continue paying for them.
- Check how often you watch cable TV.
- It might be best to choose one or two streaming services that you’ll actually use.
- And cancel the rest.
- You can always resubscribe if you miss those glossy pages or cable news shows.
- They won’t hesitate to take you back.
- In the meantime, carefully review your next few bank statements to identify any automatic charges.
- Payments for products or services you can live without.
5.Unused Gym Memberships:
- We all have the same best intentions when it comes to joining a gym.
- Especially in the summer.
- However, going three or four times a week can quickly become a pipe dream when real life If you haven’t been to the gym in a while, or at all, you’re unlikely to attend right now – so Quitting the gym isn’t that hard.
- You can save a lot of money by doing so.
- But ditching the gym shouldn’t be an excuse to go back to your old ways of not exercising.
- There are plenty of other options, some of which you can do right in your own home, and perhaps the best free exercise of all…. walking You can do events like attending free park runs in your community.
- Generally, anyone is welcome to join, you can run at your own pace, and it can be a great way to get fit and meet new people.
6.Phone Upgrades:
- It’s hard to resist the buzz every time a phone upgrade comes along.
- Apple, Google, or Samsung releases a new smartphone.
- However, today’s technologies are so advanced that they can last for years without a hitch.
- And while updated features are nice, they’re not game-changers.
- Most of the time, you should only upgrade your phone if it’s having technical issues or stops working completely.
- Even then, taking it to a repair shop can save you a lot of money.
- The latest model devices are pushing $1,000 or more, and since most people can’t pay for it outright, they’re locked into a payment plan of $35 or more.
- Instead of owning a piece of technology that depreciates year after year, you can invest that money in appreciating assets, like the stock market.
7.Purchasing Brand Name:
- One of the most underused ways to save money is to buy store and generic brands on a wide range of products.
- Your local supermarket or drugstore likely carries the store brand or generic version of the items you buy most often.
- Whether it’s food, skin care products, or over-the-counter medications.
- Check the labels.
- The ingredients are usually the same, so you don’t have to spend more money on the big brand names.
- Also, if you have a prescription, you can sometimes ask your pharmacist for the generic version of your medication.
- This can save you a lot of money.
- You may not realize it, but these seemingly small things are draining your bank account.
- Outro Don’t be complacent.
- All it takes is a little motivation and forethought, and you’ll be on your way to big savings!
