- March 31, 2019
- Posted by: Ethica Private Wealth
- Category: Blog
When you first begin your retirement planning, it can often feel as though there is no way to reduce your outgoings and increase your savings. However, there are usually a lot of ways to live more frugally and contribute more to your savings pot. In this article, we’ll outline some frugal living tips that could help you to spend less and save more each month.
1. Shop Carefully and Have Your Groceries Delivered
When shopping at the grocery store, it’s really easy to spend more than you actually need to on food, drink, and miscellaneous items around the house. As well as this, if you only go shopping once a week, it can often mean that you buy food that later goes bad before you have a chance to eat it.
Cutting out grocery shopping and switching to online grocery delivery can help you to reduce your monthly grocery spending, as it will encourage you to be more precise and careful about the things you buy. Most grocery store chains offer online delivery with only a small charge and will deliver it at a time that’s convenient for you.
When making an online order, you can take the opportunity to plan exactly what you want to cook that week and order the exact ingredients, instead of throwing extra ingredients you won’t use into your cart. Not only will it help you to save money, but it could also help you to try out new recipes and maybe even develop a new hobby for you to pursue when you retire.
Read More: 7 Most Popular Retirement Hobbies
2. Buy Staple Items in Bulk
As shopping for household items and groceries is one of the biggest expenses for most people, it’s a good idea to look for ways that you can cut this monthly bill down. There are lots of ways to do this, but one very effective method is buying in bulk. Of course, it isn’t possible to buy fresh food products in bulk unless you have a huge freezer, but you can make savings by buying non-perishable staple items in bulk. This can be things like cleaning products, toilet paper, rice, pasta, or any other dried goods.
At large wholesale stores like Costco (with their North Lakes store being the closest to the Sunshine Coast), bulk items are often a lot cheaper which can help you to reduce your expenditure over time and help you to cross a few things off your shopping list each week.
3. Regularly Check Direct Debits
Most people believe that they have a solid grasp on what’s going in and out of their bank account, but it can be easier than you think to set up ongoing payments for things you don’t even need. Since the rise of online subscription sites, stories of people paying for things they don’t actually want or use without even knowing about it have grown substantially. Signing up for a direct debit online can be as simple as clicking a button, and the small values of such subscriptions often let them go unnoticed for months on end. However, over time, these small payments can add up and eat away at your precious retirement budget.
If you want to be sure that you’re not paying for anything you don’t use, check your statement, log into your online banking, or call your bank to check. Most banks will help you to stop any payments that you weren’t aware of, but in some cases, you’ll need to call the company to confirm the cancellation.
4. Call Your Internet and Cable Provider
Internet and cable usually make up a substantial portion of the average person’s monthly outgoings, and depending on the package you have, the bill for these services can often be very high. If you’re keen to save as much money as possible in preparation for your retirement then a call to your cable and internet provider could help you do just that.
In a lot of cases, enquiring about your package, or even talking about switching to a different provider can prompt companies to offer you a whole new range of offers and deals, that could help you shave a lot of money off your bill each month.
5. Car Share
Running a vehicle in 2019 is not cheap. Between tax, insurance, repairs, and fuel, the cost of commuting to and from work every day can become extremely high. For this reason, car-sharing could be a great way for you to save some extra cash to put towards your retirement savings. If you’re a vehicle owner, offer rides to colleagues that don’t drive and live in your area, and ask them to make a contribution toward the price of your fuel.
Alternatively, you could arrange to ride in somebody else’s car and sell your own. This could help you save money on the cost of running a car and give your retirement fund a healthy cash injection.
6. Make use of Cash Back Rewards and Coupons
Cashback options are available from a range of different businesses, from banks to supermarkets and even mobile apps. However, as readily available as cashback is, people often overlook it, or choose not to invest the time into claiming the rewards.
However, if you really are committed to living frugally to save for retirement, then cashback could help you to reduce your monthly outgoings and grocery bill. It’s worth noting that not all cashback rewards are that exciting, but some banks and supermarkets offer hefty rewards and great coupons, especially around busy periods like Christmas and school holidays.
7. Declutter Your Home and Sell Unwanted Items
One extremely easy, and often satisfying ways to increase your retirement savings is to declutter and live a more minimal lifestyle. It’s not uncommon for people to have houses stuffed with things that they no longer have any use for. However, it’s likely that someone else will take them off your hands for a fair price.
With the help of sale websites and Facebook pages, decluttering can be relatively hassle-free and it can also be helpful if you’re thinking about downsizing when you retire.
Saving For Retirement Doesn’t Have to Be Dull
When setting your retirement goals you may feel as though you’re cutting down on all of the things you enjoy in order to save. However, making small adjustments to help you to live more frugally can have a huge impact on your savings.
Need help planning for retirement? Ethica Private Wealth Specialists may be able to assist you with a 2 Hour Free Consultation.