Do you try your best to budget and save $$$, but you somehow keep losing money? Here’s why:
Have you ever felt like your money just seems to disappear? You’re not alone. In today’s fast-paced world, it’s all too easy for our hard-earned cash to slip through the cracks without us even realizing it. You need money for everything: food, utilities, education, entertainment, and overall survival.
But don’t give up! My family and I have been in a similar situation and while it took us some time to notice all the things we did wrong money-wise, we cracked the code (or at least hope so). So, in today’s article, we’ll talk about surprising ways you’re losing money, and more importantly, we’ll show you how to plug those leaks and keep your finances on track.
Get ready to take back control over your finances and start saving like a pro! While some of these suggestions might not work for everyone, you should definitely read through them all. Let’s begin!
1. Your debt is out of control
Worrying about debt every single day won’t assure you a happy life, especially since paying late fees and interest is one of the surefire ways to lose money. If you face an issue, the first step is to acknowledge it and then find solutions to deal with it.
Speaking of help, National Debt Relief is one of the most popular and respected providers of debt relief in America. This company helped over 500,000 people solve their financial issues, is top-rated by Top Ten Reviews and Top Consumer Reviews, and is also A+ rated by the Better Business Bureau.
All you have to do is go to their website and fill out a form. Once the company receives your application, you’ll be contacted by a debt coach to learn more about your financial situation. If they find a solution to help you, they’ll give you an affordable plan set up for your needs. They will also give you an estimation of when you can expect to be debt-free. If you’re skeptical about this method, I get it, but the good news is that you don’t need an upfront fee or obligation to get started.
In case you feel like you’re constantly losing money and your debt is getting out of control, you can check out National Debt Relief, because they can help you with several types of unsecured debt, such as personal loans, repossessions, credit cards, medical bills, and even student loan debt.
2. You don’t protect your home
If you want to avoid losing money, you should take good care of the things you have. As we all know, home repairs are pretty expensive. Whether you have to deal with a broken appliance, a leaky roof, or a new front door, these things aren’t easy to replace. They can cost hundreds and even thousands, and they can easily eat up your savings.
However, a good home warranty could save your wallet. If you feel like you’re constantly losing money when you have to take care of some repairs, choose a company that will protect everything in your home, from appliances to electrical, heating and cooling systems (spa equipment and pools included), and plumbing.
Don’t forget that you can always customize your plan, so you only pay for what you need. On the other hand, if you’re handy and know how to tackle DIY projects, you can repair your home yourself. It’s the most affordable route. But if that’s not your case, think that some money spent now could save you a lot in the future.
3. You don’t plan ahead
Another reason you feel like you’re constantly losing money is not planning enough. Whether it’s for retirement, groceries, savings, or potential issues that might come along the way, it’s always a smart idea to be prepared.
Have a different account where you deposit the money necessary for you in the future. This will help you adapt to the changes and not go into panic mode because you don’t have enough resources to face a situation.
…Keep reading to discover other ways you’re losing money without even noticing!
4. Forgetting due dates
Late fines eat up your savings and make you feel like you’re losing money. If you fail to pay your bills on time, you’ll incur late penalties, and they won’t be cheap. If the late payment is very severe (more than 30 days), it might appear on your credit record, which could negatively impact your credit score.
Besides incurring retroactive interest and costs, late payments might also result in the cancellation of promotional offers, such as interest-free Buy Now, Pay Later plans, 0% interest periods on credit cards, and loans, and can even ban you from using the service in the future.
5. Getting hooked on sales
You might not like this, but if you want to save money and still get all the things you want, here’s the truth: if you don’t need or desire the thing in the first place, a deal isn’t a bargain. It’s just a way to convince people to engage in overconsumption.
Have you ever bought a garment just because it was too cheap to resist, only to find out it didn’t fit right or match anything you owned? We’ve all been there. Next time, make sure it’s something you truly want and need before adding it to your cart.
You can create a wish list where you put everything you need and want, including small, medium, and big purchases. This simple step will help you have a clear vision regarding what you want and need. Knowing exactly what your wardrobe lacks is a great way to save money and only purchase useful things.
6. Too many and’s
Treating yourself every once in a while is fine and much-needed. However, if you’re constantly losing money and you have no idea how it happened, you should probably pay attention to your and’s. They can quickly sink your budget and leave you with an empty wallet.
Here’s an example: you treat yourself to a fancy coffee, a delicious sandwich, and a creamy dessert, and before you know it, you spend $50 in less than 2 hours. Take some time to analyze and identify your treats, and only limit them to special occasions, such as once a week or a month, depending on your budget and financial goals.
7. Losing track of your subscriptions
These days, subscriptions are all the rage, and with all the various streaming services, software, meal kits, gyms, clothes delivery, and other expenses, it might be easy to lose track of what you’re paying for each month.
Over 50% of Americans admit to paying for a membership they forgot to cancel or didn’t want (me included). You should regularly check your monthly subscriptions and cancel any free trials or services that aren’t worth it. This simple habit will keep you on top of your finances, and your wallet will thank you.
Do you know of any other ways you’re losing money? Let us know in the comments below! If you have any tips for us and our readers, share them with us. If saving money is your goal, I recommend you check out this cute piggy bank that will give you a motivational boost. It can help you stay on track, and it’s satisfying to know you save each month.
Until next time, here’s another great article to check out: Want to Save $1,000 Monthly? Learn to Avoid These 6 Grocery Store Traps
