In 2006, how would you like to make more money? Up to $4000 more? The answer is not to make more money, though that can help. The answer is to spend less every day. We have to work to make money. We don't have much money. Don't ever have extra money at the end of the month? What happens to it all? You probably know where most of your money goes when you get paid. Paying for a place to live, a car, credit card bills, and food. But where does the rest of the money go?
You might be surprised by how much money you spend every day that you don't even realise. Start with the way you get to work. Long commute? How much gas do you use commuting each week? Is there a way to lessen that? Share a car or take the bus? A job nearer home? Is parking free or do you have to pay? If you have to park in a downtown area anywhere in the county, you'll probably spend $8–$12 or more per day. Can you find a cheaper place to park, even if you have to walk a few more blocks? If you don't have to pay for parking at your job, you can save $100 to $200 a month.
How about the coffee in the morning? $30 and $40 a month? Every day, do you bring your lunch or eat out? $3 to $10 a day adds up to $60 to $200 a month. Don't forget your afternoon soda break and the snack from the vending machine. Another $35 a month is due.
If you add it all up, working costs you about $300 a month or $3,600 a year. These are just some of the costs you might have every day, not including costs related to your job. Now, divide $300 by how much you make per hour to find out how many hours you need to work just to be able to work.
You don't have to give up everything all at once, but if you start cutting back now, you'll have more money to save when you get your next raise. Now, keeping track of your daily expenses for the next few weeks is the easiest thing to do. You might be surprised by how much you are spending. Once you know where your money is going, you can start to cut back.
Don't make it a habit to go to the ATM every couple of days. Once you have money, you don't know where it went. If you want to keep more of the money you've worked hard for, start making a budget right away. You will be glad you did.
