Do you have a daily budget? If you’re like 50 per cent of the population, you usually don’t. At least, that’s what the Australian Financial Literacy Foundation discovered in a recent survey. As Australians, we were generally pretty happy with our ability to save, but the fact that so few of us bothered to ensure that we weren’t overspending with our day-to-day finances could mean that we were perhaps a little over-confident in ourselves.
And let’s face it – if you want to keep making solid mortgage repayments or save up for a deposit, you have to be able to budget and save! So let’s look at three simple ways you could save on your budget right now.
1) Cut out the name brands
Everybody likes to look good, but it appears that as a nation we are spending a huge amount of cash on clothes. Name brand fashion is a particular offender, and is putting a strain on our collective wallets to the tune of $2 billion in menswear and $3.2 billion in womenswear. In fact, almost two thirds of our female populace buy clothes at least once every four weeks!
A well-stocked wardrobe is all well and good, but just keep in mind how much you could be saving by mending and making do rather than splurging on the latest fashion.
2) Keep your utilities competitive
One of the issues of living in such a large country is that utilities like the internet can end up being a bit of a pain in terms of speed and accessibility. With the rollout of the nbn, however, all that is set to change as the internet travels faster and further throughout Australia. But the improvements could also be a boon for your wallet too, says IBISWorld.
This is because the NBN allows for greater competition among providers, particularly smaller ones. Just like lenders wanting to stay competitive with their interest rates for your home loan, providers will need to offer the best service at the best price in order to keep a hold of their customers in this competition-rich environment. If you use the internet daily, this could be the key to paying less and saving more.
3) Be a better driver
Using Australian Bureau of Statistics and IBISWorld data, MoneySmart found that Australians were spending almost $80 billion a year on their cars. That could be fuel, maintenance, cleaning, whatever you need to keep the beast running on the daily.
However, being more aware of your driving could save you a heap of cash. Simple steps like braking more smoothly and restricting idling could not only save you money on petrol, but also on your maintenance. Seeing as how most Aussies are going to use their vehicle every day, this is one surefire way to make the most of your daily budget.
For more tips and tricks, get in touch with us today!