8 Ways to Save Money On A Low Income

Living paycheck to paycheck can make saving money seem impossible. It can even be discouraging if you are looking to set short and long-term financial goals. No matter how much income you are bringing in, it's always important to set aside something for the future. Here are 10 ways that can help.

1. Cancel Your Streaming Service

One of the quickest ways to save money is to cancel your streaming services. Most of us easily pay for 3-4 streaming services that can add up to $30 - $40 per month. Not only can this amount be saved, it can also be invested into a retirement account.

If you don't want to cut your favorite streaming services all together, consider sharing subscriptions. You can do this with your family and friends, and end up paying a fraction of the cost to continue watching your favorite shows.

2. Make A Budget

There is no one size fits all when it comes to creating a budget. The best ways to start are to understand what income you have coming in and tracking your expenses. This can help you design an effective budget plan that will help you spend within your means and save for the future.

When you are not able to save as much as you'd like, setting a budget can be an effective tool to manage your money. It can help you align your spending with your priorities, helping you cut unnecessary expenses and save a little more.

3. Start A Side Hustle

Side hustles can increase the amount of money you have available to spend and save. Many of these can also be done from your car or the comfort of your own home. Here are some popular side jobs:

• Driving for Uber or Lyft - This gives you the opportunity to make extra cash and create your own schedule.
• Food Delivery - Delivering food through companies like Uber Eats, Grubhub or DoorDash can be another great way to make extra money.
• Do Tasks - Apps like Handy or TaskRabbit offer the opportunity to make extra cash doing tasks for others. An example task can be something like delivering a package across town, baby proofing or even spring-cleaning a home.
• Rent your space - If you've got a spare room or extra space, you can rent it on Airbnb. Upload some pictures and with just a few clicks, you could earn enough to cover your rent.

4. Look At Food Costs

One of the easiest ways to overspend is by not having a food budget. Restaurants and fast foods chains are all around us, and it can be hard to decide to cut back. Here are some ways to lower your food costs:

• Make a shopping list that does not exceed your budget.
• Buy non-perishable items in bulk if you can (and if it makes sense).
• Meal prep for the week.
• Use coupons and look for sales.
• Find a store with cheaper options.
• Buy store brand items (when they are cheaper).

5. Reduce Your Phone Bill

If you have phone service with one of the major phone companies like T-Mobile, Verizon, and AT&T, you may want to consider switching. The phone plans they offer can be expensive, and you may be not even be using all the features you are paying for. If you are currently paying for a device, one way to reduce your bill would be to pay off the contract. This would eliminate your monthly device payment and reduce your overall bill. If you think you are pretty good at keeping your phone safe, you may want to downgrade or remove device protection. The downside to this would be that if something were to happen to your device, you would ultimately be responsible for the repair.

Another option would be to switch to a prepaid company. Prepaid companies typically have lower monthly costs and no binding contracts. You can bring your own device and only pay for the service.

6. Look At Your Electricity Bill

For many people, the monthly electricity bill can be one of the largest bills that is preventing them from saving money for the future. There are many ways to lower your energy consumption without making drastic changes. One way is to start washing dishes by hand, instead of using the dishwasher. Another way would be to air dry your clothes to limit the use of the dryer. Another great way is to change your A/C air filters more often. The harder your system has to work to cool your home, the more power it needs.

7. Look At Your Housing Cost

If you have the flexibility to change locations, consider looking for housing that will be more affordable. Choosing a location in the suburbs can typically save you a fair amount on monthly rent. There are many moving parts financially when planning a move, so see if the math makes sense, and if moving would ultimately save you money in the long-term.

8. Save What You Can

Deciding to start saving money is a long-term financial goal that can secure your future. It's important to start small and save what you are comfortable with. Some expenses may not be easy to cut, and that is ok. The important thing is understanding your financial state, so you can make more informed decisions when it comes to saving money.