While you might think you have to deprive yourself to reduce expenses, these simple strategies can help you rein in spending without giving up the things you love.
Read more: How Ally Bank’s buckets and boosters can help you manage your spending and saving
6 ways to save while you spend
Does saving a little here and a little there really make a difference? Let's take a look at how even small savings strategies can add up quickly
1. Join loyalty or rewards programs
Most retailers have loyalty programs that are free to join and offer exclusive discounts, free items or early access to sales. Some even allow you to earn points with your purchases. When used strategically, you can redeem those points for discounts or other rewards that can reduce the cost of future purchases.
2. Couponing and price-matching
Planning your shopping list around sale items and coupons can be a great way to get organized and save. Most major retailers also offer price-match guarantees, allowing you to take advantage of your couponing finds without having to shop multiple stores.
3. Leverage your credit card rewards programs
Your credit card perks could help you two-fold. Not only can you redeem rewards to pay for everything from weekly spending to flights, hotels and more - but certain credit cards will grant you additional points based on where and how you spend. Check your credit card benefits to learn how to get the most bang for your buck.
Most major retailers offer price-match guarantees, allowing you to take advantage of your couponing finds without having to shop multiple stores.
4. Use smart money tools to monitor spending and saving
Using tools like Ally Bank’s spending and savings buckets can help streamline your personal finances. Try spending buckets, - part of your Ally Bank Spending Account, - to organize funds for everyday expenses into dedicated buckets. (Think “rent bucket”, “utility bucket”, “grocery bucket”.) Buckets can also aid in tracking spending habits and provide a clearer picture of your balance for remaining monthly expenses. Connect your spending account to an Ally Bank Savings Account and unlock even more opportunity to save with features like recurring transfers, surprise savings and round ups.
5. Be conscious of your online shopping
It can be easy to “ spave,” or spend more money in the pursuit of savings, while shopping online. But often, meeting an order minimum to qualify for free shipping or saving 10% on a $50 purchase can trick you into spending more. To resist the temptation, consider deleting shopping apps, unsubscribing from retailers' emails or waiting 24 hours after adding an item to your cart to assess if you really want to make the purchase.
6. Shop with a list and stick to it
We've all popped into a store "for a few things" and walked out with a lengthy receipt full of items we didn't plan to buy. When you go on a shopping trip, take a list of the items you truly need and commit to sticking to it.
Bonus: Additional strategies to cut costs
Along with everyday spending strategies, these tips can help you cut expenses and prioritize your long-term financial goals.
Cancel unused subscriptions
You signed up for a free trial, but never used the service and now you've forgotten to cancel the subscription. To ensure you’re not paying for services you don’t use, carefully analyze your bank account and credit card statements. For an extra check, certain mobile devices have tools that can help you quickly assess your connected subscriptions.
Revisit your cell phone plan
Take a close look at your cell phone bill to ensure you're getting the best deal possible and not paying for any unneeded extras or services. Find out if you're eligible for any discounts such as those offered by your employer or for members of the military.
Save on energy costs
Cost-saving measures include installing energy-efficient appliances, washing your clothes with cold water, taking shorter showers and lowering your A/C or heat when you leave the house.
Consolidate debt and lower interest rates
If you're struggling with multiple sources of debt, consider your consolidation options to take advantage of a lower interest rate. You'll spend less over time as you pay down your debt.
Make savvy spending decisions
Lowering your expenses doesn't have to be painful. With a little strategy and creativity, you can cut back on spending without sacrificing the things you enjoy.
