Thinking about how you can cut costs and save money in a recession sounds like an easy task, but with wages stagnating, the cost of living continuing to rise, and everyday expenses increasing, it’s not as simple as it may seem. Many are questioning how they can continue to live their current lifestyle while still being thrifty in these tough financial times. Thankfully, there are many ways you can cut back on your spending without sacrificing the finer things in life. However, if you’re looking for more specific and immediate ways to save money right now in this economy, check out our blog post on How to Save Money in a Recession. There is no perfect solution for everyone; every household has different needs based on income, expenses, and other personal factors.
Here are 8 creative tips for how you can be thrifty in a recession:
1. Change your mindset.
A recession can be a challenging time for many people, but it can also be a great time to reflect on the ways you can be more thrifty and save more money in the long run. One of the most important changes you should make when trying to be thrifty is changing your mindset. Instead of seeing a recession as a negative event, try viewing it as an opportunity to save money and live a more frugal and sustainable lifestyle. You can look at it as a way to reset your finances and create a more sustainable way of living.
2. Eat at home.
You don’t need to go out to eat every single day, especially when it’s likely not in your budget anymore. Eating out can be an expensive hobby, and you could probably make a better and cheaper meal at home. Plus, eating at home will reduce the amount you spend on groceries and the amount you spend on eating out. If you’re looking to make this change in your spending, start by making a list of easy and quick recipes you can cook at home. Then schedule one or two nights each week to cook a meal for yourself and your family.
3. Stop buying unnecessary products.
If you’re anything like the average American, you’re spending a lot of money on items that you don’t need. This can be anything from beauty products to food items to clothing. If you take a look at your monthly spending and notice that you’re spending a lot of money on unnecessary items, stop buying them. Start by weeding out the unnecessary items in your life and avoiding the urge to spend money on these things.
4. Re-think your cell phone plan.
Your cell phone plan is likely one of the biggest monthly expenses you have. If you’re looking for ways to save money as a family during a recession, consider re-thinking your cell phone plan. You may be surprised by how much you can save on your bill by switching to a family-friendly plan. If you’re currently on a traditional contract with your service provider, you can likely switch to a month-to-month plan at no extra cost or minimal cost. Or, if you’re feeling confident and thrifty, consider switching to a prepaid cell phone plan.
5. Add more exercise into your life.
Are you currently paying for an expensive gym membership each month? Or maybe you’re paying for a monthly yoga or meditation class you’re not attending regularly. If so, you might want to consider cutting these out of your budget and adding more exercise into your life for free. Instead of paying for a monthly gym membership or yoga class, try running or walking for exercise. You can also do yoga or meditation exercises for free at home. Not only will this help you save money, but it will also save you time and allow you to fit exercise into your daily routine more easily.
6. Ask yourself: “Do I really need it?”
Before purchasing anything One of the best ways to save money while in a recession is to stop impulsive spending. It’s important to learn to resist the urge to buy everything that catches your eye. Before you purchase anything, ask yourself, “Do I really need it?” You may be surprised at how many items you impulse buy that you don’t actually need. This is especially important during a recession because your finances are likely tighter than they’ve been in a while. You don’t want to make unnecessary purchases that could put you in a financial bind. By asking yourself this simple question before making a purchase, you’ll likely avoid making purchases that you don’t truly need.
7. Try out free activities in your city that you may have never considered before.
During a recession, you may want to reconsider the way you spend your leisure and vacation time. Instead of booking expensive trips or going to fancy restaurants and bars, try looking for free activities in your city that you may have never considered before. There are tons of free activities and events in most major cities. You can also visit free museums and interesting landmarks like parks and monuments that are always free to visit. Be creative with how you spend your time to avoid unnecessary costs and spending too much money during a recession.
8. Be smart with your transportation options; walk, jog, or bike to where you need to go.
You may not even realize how much you’re spending on gas each month. If you drive to work and other places regularly, you may want to consider being more thrifty with your spending and opting for a more frugal transportation option. Walking, jogging, and biking to where you need to go is a great way to save money. You don’t need a fancy car to get around; one of these three options will work just fine. Doing so will help you save money and stay fit at the same time.
Conclusion
There are many ways you can cut costs during a recession. Start by changing your mindset and see this time as an opportunity to reset your finances, eat at home more, avoid buying unnecessary items, re-think your cell phone plan, and ask yourself “do I really need it” before making a purchase. Try out free activities in your city or nearby that you may have never considered before, be smart with your transportation options, and change your spending habits to avoid unnecessary spending and save money during a recession.