Creating more cash flow on a tight budget
Extra cash means more financial security, but can be tricky to achieve.
09:18 18 November 2013
If you live from payday to payday, and worry about being able to meet all your expenses during the month, you aren’t alone. Many people, particularly those in their 30s and 40s, are trying to stretch finances and in many cases are not able to set aside anything for savings.
Here are a few ways to create extra money in your budget.
- Reducing monthly expenses is an excellent place to start when trying to create more cash flow in your budget. Even if you cut back on expenses temporarily in order to create an emergency fund, it can help ensure financial security for the future.
- Take some extra time to try to get the best deals on any purchases you make. You might be able to have discounts, coupons, or other specials for the items you want to purchase. With a little bit of extra effort you could save quite a bit of money on your everyday expenditures.
- Compare prices for certain services that you might typically pay on a monthly basis such as insurance. You might even want to think about refinancing larger purchases such as vehicles or mortgages if you believe you might be able to get better rates and/or lower monthly payments.
- Make sure that you have done at least minimal weather proofing to prevent energy waste and maintain lower energy utility financials.
- Increase your income with a part-time job, doing odd jobs such as lawn care or housecleaning, or consider making money off an existing hobby. You might even be able to take on a board in some cases if you have space in your home.
- Persistence is the greatest tool in creating extra cash flow. You may need to try just one, or perhaps a combination of these suggestions to improve your financial standing. Eventually you’ll reap the rewards of diligence.