Overspending can erode savings, increase debt, and derail your financial goals. Here's how to recognize and curb unnecessary spending while developing healthier financial habits.
Do You Spend More Than You Earn?
25 Tips to Stop Spending
1. Cancel Unused Subscriptions
- Review direct debits for gym memberships, streaming services, or magazines. Cancel those you rarely use.
2. Avoid Temptation
- Block notifications from shopping apps and unsubscribe from marketing emails.
3. Plan Your Food Shopping
- Write a meal plan, shop with a calculator, and avoid shopping when hungry.
4. Leave Cards at Home
- Take only enough cash for essentials to prevent impulse purchases.
5. Calculate Work Time Costs
- Consider how many hours you need to work to afford an item (e.g., a £150 splurge = 20 hours at £10/hour).
6. Sleep on It
- Wait 24 hours before making non-essential purchases.
7. Avoid Browsing
- Stay away from stores and online shopping platforms unless absolutely necessary.
8. Sell Before Buying
- Sell old items to fund new purchases. Explore platforms like eBay, Vinted, or Freecycle.
9. Stick to Shopping Lists
- Create and follow a list when shopping to avoid unnecessary spending.
10. Grocery Shop Online
- Use online services to track spending in real-time and avoid in-store temptations.
11. Keep Financial Goals Visible
- Carry a note of your savings or debt-reduction goals in your wallet for motivation.
12. Use Free Alternatives
- Seek out free or low-cost options for activities, such as free gym passes, streaming trials, or public events.
13. Pack Lunches
- Avoid the temptation of eating out by bringing food from home.
14. Find New (Free) Hobbies
- Try activities like running, volunteering, or learning new skills through free courses.
15. Create Budget-Friendly Fun
- Host movie nights or picnics instead of dining out.
16. DIY Treats
- Make coffee, pizza, or cocktails at home for a fraction of the cost.
17. Start a Savings Challenge
- Save loose change or take a “no-spend day” challenge once a week.
18. Limit Waste
- Store food properly to reduce spoilage and save money on groceries.
19. Turn Off Standby Devices
- Save £50–£90/year by unplugging appliances instead of leaving them on standby.
20. Lower Heating Costs
- Reduce your thermostat by 1°C to cut energy bills without sacrificing comfort.
21. Batch Cook
- Cook multiple meals in one session to save time, energy, and money.
22. Buy Second-Hand
- Explore thrift stores, online marketplaces, and local buy/sell groups.
23. Use Cashback or Coupons
- Use money-off coupons and cashback apps to reduce costs on essential purchases.
24. Evaluate “Opportunity Costs”
- Ask yourself if a purchase is worth sacrificing other potential benefits (e.g., a £300 dress vs. a holiday fund).
25. Pay Yourself Pocket Money
- Allocate a set amount of spending money each month and stick to it.
Techniques to Stick to Your Budget
1. Demotivator Tool
- Use the Demotivator to see how much your daily habits cost annually (e.g., £3 coffee = £1,095/year).
2. Piggybanking
- Divide income into separate pots (e.g., bills, holidays) using apps like Monzo or Starling.
3. Money Mantras
- If skint: “Do I need itCan I afford it?”
- If not skint: “Will I use itIs it worth it?”
Be Honest About Spending
- Scrutinize all expenses annually, not just monthly, to account for one-offs like holidays or birthdays.
- Adjust your lifestyle to align with your actual finances, not your desired lifestyle.
Final Thoughts
Curbing spending starts with understanding your habits, creating a realistic budget, and implementing strategies to control impulse purchases. Remember: it’s not just about saving money—it’s about building a sustainable financial future.
Ready to take chargeStop spending, start saving!
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