There are two ways to have more money: Increasing income and decreasing expenses. They are not exclusive ways; on the contrary, you can expand your sources of income while reducing those unnecessary expenses. Therefore, in this article I want to talk about the second, that is, live a Frugal Living.
So, here are some tips for living in frugality:
Spend and invest is not the same
A huge mistake that may be delaying your financial progress is ignoring the difference between an expense and an investment.
An investment is an outlay of money to get an asset, for example a place you rent or shares in a company. And an expense is a disbursement of money to get something that will depreciate a large part of its value and will not have long-term benefits, for example certain costume jewellery or garments.
With this I do not mean that you always have to invest and never spend, because spending is part of life. What you do have to know-in case you want to live frugally-be the difference between spending and investing, so that you are truly aware of where your money is going and what financial decisions you are making.
Save money on cable TV
After internet evolution many of our work has been shifted from offline to online and the same way. Now most of our entertainment has also been moved to internet including watching movies and TV series. Here you can both download and steam movie online and there are many websites who provide varieties of new and old entertainment sources. I had started watching movies on putlocker.ch but recently I also found there are many alternatives for putlocker.ch. This also has immense source of entertainment.
Many people wouldn’t like to do this but this is also one of the frugal living lifestyle which would help you to save money.
Control your finances
There is a well-known phrase in the world of administration that says: What is not measured cannot be controlled, and what is not controlled cannot be improved.
So, if you want to improve your finances, you must control them first. How to start? It’s simple; keep track of all your income and all your expenses, so you know where you’re going and where each ticket goes. You must know this information, because it is the basis for you to make your budgets and you can save.
Live below your means
This point will only be possible if you made the previous one. The moment you know your money and your movements, it is there where you will know how far you can afford certain expenses, that is, as far as your current financial possibilities go. But the ideal is that spending is never equal to income, because then there would never be surpluses to save or invest, so try to live below them without that means your quality of life deteriorates.
Avoid consumer debt
The interest that they charge you for your consumer debts is …