Staying afloat in an economy like this can be tricky. Cutting back on splurges is perhaps the easiest step to take—although one that first needs a confession.
Yes, we all spend! Just say it. We may not be out there beating the malls nightly, but we're still spending. Instead of buying that new coat that's on the sale rack but still $200, or that new flat screen television that's advertised as an "all time low" in the latest liquidation ads, invest those coins into the market or into some type of savings account.
Think about the things you spend the most money on, too. For example, dining out, alcohol, coffees, lottery tickets, downloads, music, etc. Keep a running tally of these, or whatever your weaknesses may be, and set a capped amount that you will not extend. It's surprising the amount of money you can save each month by cutting back a little on fancy lattes and happy hours.
But, most importantly, don't kick yourself if you slip up every now and again. The occasional indulgence is deserved—especially after sticking to a strict spending diet.
For more tips on cutting costs click here.
