If, like many Americans, you often have too much month at the end of the money, it’s natural to think about getting a better job or a side hustle. Not that there’s anything wrong with that. But the real problem may not be how much you make but how much you spend. You may need to reduce expenses – maybe drastically.
How do you do that? There are many ways to cut expenses and save money. You just need to know where to look.
1. Keep Track of Your Spending Habits
If you’ve ever had a toddler in the house, you know how they can disappear if you aren’t keeping a close eye on them. Well, money is like that, too. The solution is simple but requires discipline: Keep a written record of what you spend. If you don’t know where your money is going, it’s nearly impossible to know where you can cut your expenses.
To be clear, we mean everything, even the dollar you paid for a soft drink. Simply doing this will make you think about whether you really ought to make that expense. Use a notebook, spreadsheet or budgeting app. Do this for a minimum of one month – two months is better – and you’ll have the information you need for the next step in the process.