Creative Ways to Save Money after You Turn 25

Often times the most difficult financial habit to adopt is saving money. This habit requires one to have such high levels of financial discipline and self-control. Saving money at first may seem like a daunting task, but in the end, it is one of the best decisions you can make in your life. It is not about the money you make, but the money you keep.  All you have to do is start saving in order to achieve financial freedom.

Although there are countless ways one can save money, it is safe to say that each one of us has divergent views on how we perceive this important action. Turning 25 is significant since you go deeper into adulthood. It’s a good time to increase your efforts towards financial independence.

When it comes to matters money, our perceptions are unique and different. Perhaps, you perceive money as a means to an end yet your roommate perceives money as power over people, situations, and circumstances.  Below are summed up innovative ways to save a good amount of money after you turn 25.

• Save

Get out of debt and only take up loans that make business sense

This is the toughest part of the savings process. As scary as it is, it can be done and you will be free of debt in no time. First, you need to know what you exactly owe and have an angry fighting attitude towards this debt. Come rain or shine your debts have to go.

Do you have a job? If yes, good for you. If no, get a job. You must have some income to sustain you and eventually free you from this monster.

Just having a job is not enough. You will need a side hustle. Here is where you are to get real with yourself and find out other ways you can generate income apart from your 9-5 job. Money earned from your side hustle, no matter how small, is a good amount to save and slowly pay off your debts.

Cut up your credit cards. You can’t afford more debt. Purpose to buy items with cash or your debit card only. Try it. You will find yourself thinking twice about spending more cash while shopping.

As tempting and seemingly easy online loans may be, avoid taking up these loans unless you’re using them for an income generating business.  Most online loans are short-term, intended to cover your expenses up to the time you get your next salary.

Accessing it is simple. You fill up an application online via a chosen website and money is debited to your bank account. When the deal is too good, think twice. Due to the limited timing required to pay back the loan, the interest rates become super high (and keep rising when you miss the deadline), making it very hard for most people to pay off the accessed loan.

Naturally, this leads you to borrow another loan from another online loan website to pay off your previous loan. Before you know it you are in one bad cycle of debt.  If by any chance you manage to repay the loan on time, your good credit history will not be shared anywhere else but that website.

You will not benefit in future from the affordability to access huge loans from other financial institutions like banks because your on-time payment history is nowhere to be found.

However, these loans really make financial sense when you use them for profitable business. This way you earn enough to repay the loan and remain with considerable profit.

Live within your means

Here is where you separate your wants from your needs. What are they? Only you know the answer to that question. Below are a few pointers:

• Sell what you don’t use or need out on eBay.
• Shop on a budget, with a written list and stick to it.
• Cancel unnecessary cable bills except Netflix which is affordable .
• Limit your time in the shower to five minutes tops.  You save money on your water and power bill.
• Hang dry your clothes as opposed to drying them in the drier.
• Make use of LED energy saving bulbs at home.
• During winter, turn your automatic sprinklers off.  In fact, your lawn is covered with snow by now.
• As for personal grooming, find time to make your own hair and nails. There are numerous tutorials online you can learn from.

Be Healthy and Stay Healthy

Avoid expensive doctor appointments by taking care of yourself. Find time to exercise at home. Cancel that gym membership. Drink lots of water. Avoid eating out or buying frozen food. Instead make your own meals at home as these meals are fresh, affordable and filled with nutrients.

Surround yourself with peers who are on the similar path of saving money.  Create a WhatsApp group where you can hold each other accountable for your savings progress and generally support one another.

When driving, obey all the rules so as to avoid hefty speeding tickets.

Limit your alcohol intake. Booze is expensive.  When you need to relax and unwind, look out for free activities out there. A visit to the museum, library, a walk in the park, a game of hoops, a picnic by the lake, hiking all these are fun activities you can participate in without spending a dime.

Educate yourself in matters personal finance

You have a responsibility to yourself to understand the language of money. Seek inspiration from your role models and find out how they made it to financial freedom with their savings. Set realistic financial goals and aim to reach them. Lastly, for every penny saved pat yourself on the back. Your savings will eventually reward you in the end.