“Many people across the country are having a hard time making ends meet at the end of each month. With the price of many goods and services increasing at a faster rate than people’s pay checks, it is easy to see why this has become an overwhelming problem for so many families. This can be especially true for low income earners, who are already feeling stretched to the limit and have very little resources left after paying just their basic bills. The good news is that there are some basic ways that everyone can save money on their day-to-day purchases. Below is a look at the top 13 money saving tips that are perfect for anyone, including low-income earners.”
I get a lot of questions from readers wanting to know how they can save money on a low income, so I thought I would write a post about some of the suggestions I’ve been giving out that can help you put money in the bank, even when you’re living on a limited income. I’ve also included some great resources along with the suggestions that will help you get started putting money in the bank right now!
You Can Still Save Money On A Low Income
When you’re living on a small income, it can be especially hard to save money for things like an emergency fund, college, retirement, cars, or anything else. We all have our lean times financially, but even in those lean times you can still find ways to save money for the future needs of you and your family, such as college and retirement. I truly believe that even if you have a low income, you can still save money if you’re diligent about the process.
13 Ways To Save Money On a Limited Income
So let’s get on with it! Here are 13 ways you can save money on a low income:
Evaluate Housing Costs
Many times it’s difficult to save money because housing costs take a huge chunk of the family budget. In general, it’s best to keep housing costs to 25% of your take home pay or less. I realize that in some areas of the country this might be impossible on a small income, but there are always a few very good deals available on rent. Just be diligent and keep looking.
If you own a home, you may be able to refinance your mortgage at a lower rate and free up some money that you can put into investments or savings. If you’re single, you can even take in a roommate or two and charge them rent to save money on housing costs. That’s money you can put straight into investments, IRA’s, 401k’s, or an emergency fund!