Nomad Money Blog - 5 Ways To Save Money On A Tight Budget - Part 2

5 Ways To Save Money On A Tight Budget - Part 2

November 14, 2020 by Nomad

If you're on a tight budget, saving money can be really hard. However, by looking at your spending habits and making some small changes it becomes a lot more feasible.

Building up your savings can be so satisfying, but let's be honest it can be tough too. If you feel like you're just scraping by, the idea of setting money aside can feel nearly impossible. But it is doable - by taking a second look at our spending habits we can figure out ways to reduce our outgoings and put aside money for a rainy day too.

Here are 5 more things you can do to start saving money - even if you're not on the biggest salary.

This is a continuation of 5 Ways To Save On A Tight Budget- Part 1

5 Ways To Save Soney On A Tight Budget - Part 2
6. Reduce eating out

Eating at restaurants is expensive, so if you can try and eat out just one time less each month. Alternatively, what about going to restaurants with a BYOB policy - alcohol often makes up as much as 50% of a restaurants bill. If you can buy all wine or beer in a supermarket in advance you will save a lot when it comes to paying.

7. End your gym membership

Even a low-cost gym can eat up your monthly budget, so when you are trying to start saving it's worth cancelling memberships. Lace up your trainers and run outdoors, or find free fitness videos online that you can do in your bedroom.

8. Consider reducing your major outgoings

Big monthly costs such as rent or a car can really hit your budget. If you are struggling to save, it's certainly worth exploring if you can find a cheaper alternative.

9. Reduce each of your spending categories

Another useful way to save money, when you're on a tight budget, is to look at each of your spending categories and try to reduce them by £5 per month or more. Categories include things like bills, groceries, entertainment and eating out, shopping, holidays, and transport. If you reduce your spending on each of these by just £5 or NGN500 every month, that's already £60 or NGN6000 saved for the year.

Nomad Money makes it really easy to see how you are spending your money by category and you can use this to target where to start saving.

10. Have an honest conversation with your partner or friends

We can often feel the pressure to keep up spending with a partner or friends even if we can't really afford it - whether that's visiting restaurants, going on holiday or nights out. Having an honest conversation with your friends or partner about your money situation can make it a lot easier - you can then try and find less expensive activities to do together instead.

Do it the #NomadMoney way

Nomad Money can help you budget and manage your money better

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