Saving money in today’s world is one of the trickiest things to do, especially when you have a lot of expenses to take care of every month. However, by adopting the right money-saving strategy and cutting down on some extra or unnecessary household or personal expenses, you could actually save some amount at the end of every month.
Wondering how? We’ve got you covered.
In this article, we are going to give you 10 of the best tips on how to save 500 dollars a month.
Get Rebates for Online Shopping
Since you’ll be shopping through these websites, you’ll get a rebate. Some of the most famous rebate sites are usually in partnership with many different online stores, so they offer a variety of rebate and cashback deals. It is one of the best hacks to save 500 dollars a month.
Compare Prices On Everything
One of the greatest things you should be concerned about if you really want to save is the price of a particular product you intend to purchase. It is better to use the internet to do your research and make sure to check and compare prices of the similar options offered by different online stores and brands.
Comparison sites could help you a lot in this regard. The main purpose of these platforms is to help you find the best deal by quoting pricing and rates from different providers. Some of the most popular price comparison platforms include Google Shopping, Shopping.com, PriceGrabber, and Shopzilla.
Save on Utilities Each Month
Want to know how to save 500 dollars per month? Cut down on your usage of utilities. This means no extra lights or unnecessary usage of appliances. Also, keep an eye on the thermostat in your home. It would significantly reduce your electricity bill.
You can also go for energy-efficient household appliances, light bulbs, and other electronic items in your home. Tell your other family members to be careful when using electricity, water, and gas supplies. It is among the best tips to save money every month.
Don’t Forget to Read: 13 tips to save money on electricity bills
Use a Cashback Reward Credit Card
Cashback reward credit cards and money-saving strategies go hand in hand. You should use them for all of your expenses wherever possible.
Some of the best rewards credit cards that are available these days offer as low as 2% cashback. And some cards can even offer as high as 5% cashback on special categories and in the form of limited-time offers.
By buying everything via a rewards credit card, you could save at least 2% on your total spendings each month. For example, if your monthly spending is $2,000, you could be able to save at least $20 per month using this tactic.
Move Your Money Into a High Yield Savings Account
It is one of the most useful tips on how to save $500 a month. Whether you are looking to save your money for a particular period or long term, a high-yield savings account can be an ideal option for you.
As the name suggests, when compared to a conventional savings account, a high-yield savings account can offer a higher interest rate, usually 20 to 25 times higher than other savings options.
Stop Spending Money on Coffee
According to a survey, an average American spends around a whopping $1,100 per year on buying coffee. This makes about $92 a month if you divide the above number by 12.
Addiction, and the after-effects of getting over it, are among the top reasons why people can’t stop drinking coffee every day. The results of abrupt caffeine withdrawal can lead to headaches and irritability. So, it is better to cut down your caffeine intake slowly. At the end of the day, you’ll surely be saving some money.
Rent out a Room
If you have an extra room in your living space, rent it out. It would help you earn some extra money. Don’t forget to run a complete background check of your tenant. By renting a room, you could possibly add up to $500 to your monthly savings or even more.
It is better to rent out a room in your home to someone you know or anyone recommended by your close friend or family. It wouldn’t be a good idea to share your home with a stranger, especially without running a complete check on their history, profession and other key details.
Get a Smart Thermostat
By getting a smart thermostat, you are saving money on your energy bill. Since it is a smart device, it is programmed to patterns of a particular household. It will then adjust cooling or heating according to those patterns.
It will be heating and cooling your living more efficiently than a regular thermostat. According to a study, it has been found out that you can save a large amount of energy—resulting in hundreds of dollars of savings every year.
Another very important tip on how to save 500 dollars a month is to cancel monthly subscriptions, especially the ones you don’t actively use. According to financial experts, you can save more than $1,400 per year, which divided by 12 makes around $117 a month.
You can also try to get rid of your gym membership and start exercising at home. This would really work for those who are not regular at gyms and other types of fitness centers. The majority of people only benefit from the 30% of the money they invest in gym memberships.
It is better to start working out at home and buy your own gym equipment. It would be a one-time investment rather than hefty recurring expenses like gym membership fees. You can also go for outdoor physical activities like walking, jogging, and swimming to stay fit.
Start Having Meals at Home
Most people like to order food from different types of restaurants and eateries. These commercially prepared meals may cost you a lot. If you start cooking at home and eat from a restaurant occasionally, you could accumulate almost $1,000 a year.
Of course, this extra money that you’ll potentially save could be considered a big jump in your budget-friendly strategy that may possibly help you with your long-term or short-term savings goals.
These were some of the best tips on how to save 500 dollars a month. We hope the information we have shared above will help you cut down your spendings and save some money every month.