How to Live on Less

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Living on less requires careful planning. "Who of you that wants to build a tower does not first sit down and calculate the expense, to see if he has enough to complete it?" Applying that principle, you can "calculate the expense" of living within your means if you create a budget. How does it work? Try this:

When you bring home your earnings, designate specific amounts to be put in separate categories to care for present or future expenses. When your expenses are organized, you can see where your money is going and how much is being spent on none essentials. That, in turn, will help you to determine where you can cut back.
To develop a budget that works for you, put into practice the following suggestions.

*Shop Wisely
when a friend of mine lost his job, his wife, changed her method of shopping.
"I looked for discount coupons and grocery store specials that offered two items for the price of one," she says.
Here are some other ideas:

¤ Plan your weekly menu around what is on sale.

¤ Buy basic ingredients instead of prepackaged foods, and cook from scratch.

¤ Stock up on items that are on sale or in season.

¤ Buy in bulk, but be careful not to overstock items that will eventually spoil.

¤ Slash clothing costs by purchasing quality used garments at resale stores. (like bend down select or okirika in Nigeria)

¤ Travel to areas where prices are known to be lower, if this is cost-effective.

¤ Cut back on how often you shop.
(That,s for those who loves shopping especially the ladies.)

*Put It on Paper
"We had to have a budget," says a friend, "so I kept a record of what we needed to pay out immediately and what we needed to have on hand for the rest of the month." (I can't afford it, so we'll have to wait until next month.) Having a written record was the key!

*Before Buying, Think
Get into the habit of asking yourself: 'Do I really need this? Is the old item actually worn out, or do I just want something new?' If you will rarely use an item, would renting one suffice? Or if you anticipate using it frequently, would buying a good used one work just as well?

While some of the above measures may seem insignificant, they can add up! The point is, by establishing a pattern of saving with little things, you will do the same when faced with large expenses.

*Be Resourceful
To cut down on essentials, get creative. For example, a friend relates: "We had two cars but quickly got rid of one and carpooled. To save on gas, we planned as many errands as possible with each trip. We trimmed down to the essentials." The following are some other ways you can be resourceful:

¤ Plant a garden and grow your own vegetables.

¤ Follow manufacturer's maintenance instructions, which may prolong the life of your appliances.

¤ Change out of your good clothing as soon as you come home - a practice that will keep them looking new longer.