Inflation is at an all-time high, in multiple countries across the globe. Recovering after the pandemic and then going through the Russia-Ukraine crisis, the economy is suffering worldwide.
In Pakistan, inflation reached 21.3% in June compared to 13.8% in May 2022, according to tradingeconomics. With that being said, all is not doom and gloom because there are ways you can save up even in the current situation.
To help you start saving, we have listed 8 savings hacks so you can live comfortably while saving for rainy days ahead.
The Best Saving Hacks
Below are 8 hacks, you can try out to save for rainy days. We have added popular tips recommended by experts from the Guardian, Forbes, etc.
- Make a Realistic Budget
- Benefit from Sales and Memberships
- Save on Bills and Groceries
- Buy Old Items
- Avoid Unnecessary Subscriptions
- Drive Mindfully
- Try DIYs
Now let’s go through each saving hack and how it can help you beat inflation.
1. Make a Realistic Budget
This is the first and the most important tip, that is an absolute must. Start with a budget for each month and spend according to your priorities so you don’t run out of money for essentials.
Calculate your net income after subtracting taxes and other fixed deductions from your salary. Then list down your expenses like bills, rent, groceries, fuel, etc.
Keep a record of where every penny you spend so you can evaluate where you are spending the most.
As you track your spending, adjust savings for your long and short-term goals so you stay motivated. Make sure to set realistic goals so that the budget becomes easy to follow and serves its purpose.
So your plan is set, you know your net income, and your expenses and know how much to save. Now let’s talk about prioritizing so you never deviate from your budget.
In your list, there must be items that are essentials like bills, food, rent, etc. While there must be items like movie tickets, dining out, trips, etc. which are not necessities.
Knowing what you can skip and what you can not compromise on is key to making a good budget and sticking to it.
Remove unnecessary items from your list and avoid impulsive buying, so you have savings for hard times.
3. Benefit from Sales and Memberships
Shopping during sales, availing of discounted packages and coupons is a great way to save money.
Availing of memberships is another way to save some bucks, as members are constantly updated and offered discounts by stores and various companies.
That way, you can save money while buying things you are going to buy anyway. Supermarkets, bookstores, and libraries offer memberships, fashion brands, fast food shops offer discounts and the list goes on.
You can also try shipping from outlet stores, and sign up for loyalty programs to save money. Buying non-perishable products in bulk also helps in saving money and getting bigger discounts from shops.
4. Save on Bills and Groceries
Bills and groceries are essentials that everyone spends on. As you buy groceries and bills each month, you might think you can’t save money here, but you can.
Try to buy groceries online and in bulk. That way you will save yourself from compulsive shopping from a supermarket and the delivery charges would become negligible.
Also, shopping apps offer discounts and online shopping helps with comparisons so you can buy cheaper alternatives.
About bills, there are certain timings when per unit bill is the highest so minimize your use during those hours. Turn off the wifi when not using it so it doesn’t stay on 24/7 and consume precious electricity.
Switch off appliances when not in use and keep energy-efficient devices as they consume less energy.
5. Buy Old Items
Thrift shopping or buying old items /2nd hand items is a great way to save money. Whether it’s appliances, furniture, or clothes, you can get great deals on items that are in good condition or barely used.
Pre-loved (basically 2nd hand) items are also quite popular these days. People sell used makeup, skin care products, and jewelry at very low prices and you can benefit from that.
6. Avoid Unnecessary Subscriptions
Cutting down on subscriptions you don’t need is a great way to save money. Whether it’s apps, streaming services, or memberships, cut down on expenses that are not necessary.
Check your monthly credit/debit card statements and see all the charges to identify ones that can be eliminated. Cut down on services you no longer need to save your precious money.
Also, check for memberships that you started on the trail and are now charging you monthly.
7. Drive Mindfully
Fuel costs have skyrocketed this year, leaving many in distress. People who have to travel long distances are now finding it hard to save money.
Luckily for you, there are driving tips to save valuable money. Avoid sudden breaks, over speeding as it makes your engine work harder and thus use more fuel.
When you stop at a red signal, stop your car and turn off the engine. According to the U.S. Department of Energy, keeping the engine on, on average takes away 45 to 120 seconds of fuel while if you stop the engine and restart, it only takes 10 seconds of fuel.
It might not sound much but little savings can add up! For older cars, stopping at a red signal is not recommended but for stops longer than 10 seconds, you can consider turning off the engine.
8. Try DIYs
DIY stands for do-it-yourself. DIYs help save money while helping you in learning a valuable skill. According to Forbes, doing small tasks yourself, like mowing the lawn, home improvement projects, cleaning, etc. can help you save a lot of money.
You also get to spend time with your family working on such tasks and make great memories. You can start with small tasks, and then move on to harder ones. There are plenty of youtube tutorials you can watch to get started with as they are easy and convenient to watch and you can follow them step by step.
Start Saving Today!
Saving during the current inflation and economic crisis seems like a far-fetched story, yet taking small steps can save the day!
Start with a budget, prioritize, find deals and discounts, save money on bills, and groceries, try DIY projects and drive mindfully.
These steps can help you save little, which can add up to become a significant fund for emergencies, vacations, home renovations, etc.