*Collaborative post, but as always, all views are my own.
We all like a little frivolous spend now and again. But, when does the frivolous spending start to become a drain on your finances? When you don’t remember where your money has gone? When you’re using your credit card to pay for your essentials? Or when you’re failing to add to your savings account each month? Follow the link to find out more about your personal pension. The truth is that all of these are clear warning signs that your spending is probably a little out of control.
But don’t worry, it’s an easy fix. All you need to do is rein in your spending and live within your means. You should also be pinpointing the financial drains on your account and make some better choices. Want to know more?
Read on to discover the top 5 financial drains out there and if you’re guilty of indulging them.
Daily lunches
It’s your lunch break, so you head to the nearest supermarket and pick up your favourite meal deal. Or head to a local café and see what they have to offer. Sounds simple enough, right? As simple and as delicious as this daily decision is, you’re actually draining your bank account of all your hard-earned money! Figure out how much you spend on average each day and then calculate how much that comes to each month – you’ll be shocked. The solution? Make your lunches at home and bring them into work instead! It really is that simple to save money.
Lottery tickets
So you’ve been told that you have to be “in it to win it”, and it’s easy to get lured in by a huge rollover prize…however the chances of your numbers actually coming up are extremely low, and all the money you’re spending on weekly tickets (sometimes more than once a week) all adds up to a staggering amount that could be better spent elsewhere.
Bad driving
Parking illegally, speeding tickets, tailgating offences, driving in the wrong gear and not taking care of your vehicle. All of these things make driving even more expensive than it already is. Whether it’s fines or spending more time and money at the local garage, your bad driving is probably draining your bank account more than you think!
Service plans and warranties
When you make a necessary electrical purchase such as a new laptop, vacuum or microwave etc, you’ll probably be encouraged to take out and pay for an extended warranty. These warranties might seem like a good idea, but in truth, they’re rarely used and often forgotten about. You’ll find that all products come with a manufacturer’s warranty and guarantee usually for around 3 years (check the product for confirmation), and that is included in the price!
Clothes
A new dress, a new pair of shoes…going out for drinks with the girls? Need a new outfit! Clothes are an expensive spending habit, and if your wardrobe is full, then your bank account is probably threadbare…scale back your spending by wearing your outfits more than once, head to charity shops and even consider swapping outfits with your friends!