Arrange with your bank to have a specific amount of money (say $50 or $100) automatically transferred from your regular account into a separate bank account that you don’t use. Do this on the first of every month so the money is out of sight before you begin to pay your monthly bills and everyday expenses.
2. Pay your bills on time
If you pay on the minimum due every month on your credit card, then you may be paying extremely high interest rates that can even add up to more than the original cost of the item you purchased! Consider switching to debit because, unlike using a credit card, with debit, you can’t spend what isn’t there.
3. Observe the 24hr rule
Give yourself 24 hours before you make any “unscheduled” purchases. Remember, if you didn’t know you needed it before you went to the store, then you probably don’t need it at all.
4. Borrow, share and trade
Some items like lawn mowers, snow blowers and power tools are only used from time to time. Consider setting up a “sharing” network for these things with friends and family so you don’t have to purchase each item yourself.
5. Entertain at home
Eating at a restaurant, even a few times a week, can really add up. Have friends over instead and pack your lunch using leftovers. For inexpensive at-home entertainment, nothing beats a service like Netflix that gives you unlimited access to movies and tv shows for a fraction of what cable services cost.