Ways to reduce household spending
Are you looking for ways to reduce your household spending? A review by the Australian Institute of Family Studies found Aussie household spend most of their money on housing, utilities, transport and food. Here are a few ways you can tighten your budget in these areas.
Don’t set and forget
How long has it been since you last spoke to your electricity supplier? How about your gas provider, internet provider or mobile phone company? Australians tend to set and forget with their utility providers but the competitive nature of these industries means new deals are always becoming available. If you are at the end of your contract or were never locked in to begin with, jump online and shop around. Finding new deals with competing companies is a great way to reduce household spending over the long term. You can always give your current supplier the opportunity to beat any quotes you get if you are really happy with their service.
The same method can be applied to your mortgage. Refinancing your loan can be a great way to secure a better interest rate and therefore reduce the minimum repayment and increase your cash flow. Some fees may apply to breaking your mortgage before the end of the term so look over your contracts carefully before you go ahead with refinancing. You could also contact Positive Solutions finance for debt consolidation to reduce household spending.
Save on Transport Costs
A car is essential for most Australian families, but the costs associated with owning a car have been identified as one of the biggest expenses for the average Australian household. Luckily there are some simple things you can try to reduce these costs.
Keeping your car maintenance in check will ensure it is running efficiently and therefore saving you on fuel costs. You can do this by having it serviced regularly, making sure your tyres are always pumped up to the recommended pressure and substituting the air-conditioner for fresh air. These are all ways to reduce household spending.
Apart from regular maintenance, you can make friends with neighbours and parents with kids who participate in the same activities as your own. A good old-fashioned car pool is a great way to save money on transport costs and it can be really convenient for time management.
Reduce household spending on Food
To reduce household spending when it comes to food can be tricky because the family needs to eat. Reducing spending on food isn’t about cutting back on the amount of food you buy, it’s about making good decisions when you buy. Eating out at restaurants will chew through your food budget. If you do go out for dinner, try go to places offering free kids meals with a paying adult and don’t be afraid to look online, on the back of shopping dockets and in the newspaper for discount vouchers.
To reduce household spending on all other grocery shopping, plan your meals ahead of time. Write a shopping list of all the food you will need for the week and get it all in one big shop. By following a list and sticking to a plan you are less likely to buy extra snacks and things which send the bill through the roof.
Keeping the kids active and entertained can be hard and expensive, if you don’t know where to look. A great way to reduce household spending for entertainment is to contact your local library. It provides access to books, games and DVD’s free of charge. They also host a number of activities, particularly through the school holidays which are often free or cost a really small fee. You can also turn to your local council our tourism body. They advertise a range of fun and free activities for kids throughout the year.