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As an employee, the best way to maximize our pay is to be frugal. After all, we have a fixed salary every payday and we must be able to stretch it out in the next payday. Even more, we must be able to wisely manage our salary most especially our expenses. With our own personal financial goals and intentions, in line with that, there are frugal tips that we employees can be able to incorporate in our lives. This could mean having more control of our money situation in order to live happier and with a more frugal lifestyle. These are also the things I did on my end and let me tell you that it changed my financial status. I hope it could change yours too.
Eliminate credit cards
Having credit cards would literally make you become an
impulsive buyer. After all, you are carrying that item with you and needless to
say you won’t be shelling money when you purchase because you can use just
that. That mindset let me incur more debts in the process. Simply imagine a
bigger chunk of my salary before will go to my credit card payment. Not to
mention, the annual fees, late charges and interests to pay. With that, as time
progress last year, I slowly cancelled my cards. From five I was able to trim
it down to two. These two have lower annual fees and are currently tied up with
a debt that I had a year ago. When such would be finished by the end of the
year, I will cancel the two to make me credit card free. Without the credit
cards, I was very careful spending my cash. Even more, the impulsive buyer in
me has gone away.
Going prepaid
I must say that being a postpaid subscriber has a lot of
perks. Not to mention, no need to load up every week or every month plus there
are also other freebies like the phone. I too have seized it. I have been
paying as much as 1,500 for that every month since I also have an unlimited
data plan. However, as the months progress the postpaid hype has slowly gone
down. I was not able to maximize my unlimited call and text and even my data
plan. I got wi-fi connection after all in the office and at home. So when the
contract expired, I didn’t reapply. That saved me as much as 1,500 every month!
Going prepaid I budgeted only 500 for my unlimited text and 100 minutes of free
call. Hence, I need not worry on horrendous billings.
Lunch at home or baon
I roughly spend 50 to 100 before during lunch every single
day. If we are to calculate that for the entire month not including the weekends
that would be 1,000 to 2,000 every month. Knowing that, I opted to eat lunch at
home instead or bring food to work. There are times I will have to buy food for
lunch but at least I get to be able to trim down the usual 1,000 to 2,000
expenses. Plus I also get to enjoy homemade foods rather than the ones in fast
foods.
BMW (Bike, Motorela, Walk) or (Bus, MRT, Walk)
The best way to save on transportation, commute. And back
here we can opt to bike, take the motorela or walk. As for my case, I take the
motorela at 7 pesos fare. That is way cheaper than a taxi fare or even a gas up
in a car. Good thing the city’s establishment is relatively close to each other
that taking a motorela is feasible. You can even walk as well.
Smart shopping
Shopping requires money. Smart shopping however requires
money and discipline. That is why, it is very important to define your needs
and wants. Opt for buying the items that you need more than the items that you
want. I always end up having a shopping bag or two whenever I go to the mall. Most
of the time, those purchases would just collect dust in my closet. That is why I
started to rethink my purchases and define the things that I need and want. With
that, I was able to resist the urge to buy new items just because they are on
sale. Plus, I also tend to go to malls only if I need to buy something
important.
Being frugal does not work overnight. It takes time and a
whole lot of discipline. However, when you get to do this as often as you can,
it would become a habit. With that, you are doing yourself and your money a
very big favour. So identify the things or items in your life that you can reduce
or even eliminate. Be frugal in your own little ways.
P.S. To those doing the 52 Week Money Challenge and 52 Week Money Challenge Version 2, it is Week 8 already! Did you deposit the next amount yet?
P.P.S Want to know more about investing, savings, stock market and more, check out my reference here. You can download free ebooks and resources too.