Avoid these mistakes to save your money!

 To save your money.. Avoid these mistakes that most people make

If you want to reduce your expenses, there are a set of tricks and recommendations that must be adhered  to modify your consumption behavior, and learn how to stick to the established budget.

There are several financial mistakes that many people make, which leads them to unexpectedly increase expenditures and get into financial problems.

Credit card 

Researches have shown that people spend 18% more money when they use the credit card instead of fiat money, as any person naturally becomes more daring, and accepts to buy luxuries and things that he did not plan, when he has a balance of points or a credit card. 

Buying a new car

New cars are always attractive and eye-catching, but the expenses associated with them can strain your budget, and statistics in this field confirm that the financial value of the car decreases as soon as you start driving it. Also, the  value of the car decreases between 10 to 20% since the first year, and therefore it is advised to buy a used car, provided that it is well-examined and  from a reliable seller.

Expensive hobbies

There is no problem to play  golf or attend some dance lessons, but you must think carefully about the full cost that accompanies some recreational activities, as registration fees, equipment purchases and transportation can all combine to constitute a huge financial burden, so it is recommended to go towards other activities that fit your budget or buy used gym equipment.

A cup of coffee every day

If you buy a cup of coffee every day on the way to work, it costs you between 10 and 50 dollars each week, and if you multiply that amount by 52 weeks, the cost can be between 520 and 2,600 dollars annually.

This account does not include other drinks that you take in the afternoon or evening, so it is recommended to buy a cup with a lid and a heat preservation, so that you can prepare your coffee at home with the flavor you want, and take it with you to work.

Leaving work for lunch

If you go to restaurants for lunch twice a week, this will cost you between 30 and 50 dollars a week, and this means annual expenses ranging between 1500 and 2600 dollars, so it is better for your budget to prepare your meal at home and bring it with you, and only reward yourself once a month by eating lunch in a lovely restaurant with your colleagues.

Over-shopping 

The rush to spend is a problem that has devastating effects, not only on the budget but also on the psychology of pople, given that the feeling of satiation that accompanies shopping can quickly turn into a feeling of shame and regret.

The appropriate solution to this problem is for a person to think carefully about the factors that drive him to buy irrationally, such as places, times, smells and mood, in order to avoid shopping in those circumstances again, and another idea is to leave the credit card at home when going to shopping.

Ignore the weekly organization of your supplies

Everyone has that experience, where you're going to grocery shopping and asking yourself: Do I have that product at home or should I buy a lot? You buy anyway, but when you come back, you discover that it's been in your fridge for days. The solution to this problem is to devote some time to making a weekly plan for food supplies, after checking the materials that are still available in the refrigerator or cupboard, and there are some smartphone applications that help you organize your purchases and compare prices.

Buy gifts for every occasion

Some people accept to buy gifts on all occasions, even on holidays, vacation period and Valentine's Day, but it is better for each person to arrange these occasions and choose the most important for him and his family, and avoid spending the rest of the days.

Do not leave a reserve for sudden expenses!

Repairing a  breakdown car, going to the dentist, hairdressing, and buying clothes are expenses that can be easily forgotten and not prepared for, and the solution is to calculate all these occasional and unforeseen expenses throughout the year, and set a budget for them.

Owning a home

Everyone dreams of owning a home, but the cost of furnishing, maintenance, and bills may not match your financial reality. If your home is large and requires many expenses, you can solve this problem by organizing your budget, finding new sources of income, or using only part of the house.