8 tips to save money on your bills

TL;DR

This video provides eight practical tips to save money on bills, including tracking expenses, creating a budget, shopping around for insurances, paying bills annually, being cautious with buy now pay later schemes, checking for extra benefits, considering refinancing, and reviewing recurring expenses.

Transcript

g'day and welcome to this week's video my name is ashley roman and i'm a financial advisor with consulting private wealth in today's video we're going to be looking at eight tips to save money on your bills now it is not necessary to make significant changes in your spending habits to achieve your financial goals now sometimes it's simply understan... Read More

Key Insights

• 💨 Tracking expenses and creating a budget are effective ways to identify areas where spending can be reduced.
• 🎱 Automating bills and following the 50-30-20 budgeting rule can help allocate funds for savings and manage out-of-pocket expenses.
• 🥺 Shopping around for insurances, paying bills annually, and checking for extra benefits can lead to cost savings.
• 💳 Being cautious with buy now pay later schemes and credit cards can prevent high-interest debt.
• 🤑 Refinancing can potentially save significant amounts of money on mortgage payments.
• 💳 Reviewing recurring expenses and canceling unnecessary subscriptions can result in substantial savings.
• 💐 Seeking professional advice, such as from an accountant or financial advisor, can provide valuable guidance on cash flow and budgeting.

Questions & Answers

Q: How can tracking expenses help save money on bills?

Tracking expenses allows you to identify areas where you may be overspending, such as dining out too frequently or spending too much on entertainment. By reviewing these costs, you can find opportunities to cut back and save money.

Q: What is the 50-30-20 budgeting rule?

The 50-30-20 budgeting rule suggests allocating 50% of your after-tax income towards basic living expenses, 30% towards sundry expenses, and 20% towards savings. Following this rule can help structure your budget and ensure you have enough money for savings and unexpected expenses.

Q: Why should I shop around for insurances?

Insurance companies often offer great deals to attract new customers but then increase prices for loyal customers. By shopping around and re-quoting your policies every few years, you can find better deals and potentially save money on insurances.

Q: How can paying bills annually save money?

Some services and policies offer discounts if you pay your bill annually instead of monthly. By paying upfront, you can get the policy at a cheaper rate, and it can also help the companies lower their administration costs.

Q: What are the risks of using buy now pay later schemes and credit cards?

Buy now pay later schemes and credit cards can lead to high interest rates and late payment fees if not used carefully. It is important to question your purchases and only use these options if necessary and within your means.

Q: How can checking for extra benefits on current services save money?

Some insurance policies may include extra benefits, such as roadside assistance or travel insurance. By understanding the policies you have in place, you can avoid buying additional services that are already covered, saving you money.

Q: How can refinancing help save money?

Refinancing your mortgage can potentially lower your interest rates and monthly payments, resulting in significant savings over time. It is worth contacting your bank for a better deal, and if they are unwilling, consider seeking help from a mortgage broker or searching for better rates online.

Q: Why is it important to review recurring expenses?

Many people have subscriptions they no longer use or need, leading to unnecessary expenses. By reviewing and canceling subscriptions that are not utilized, you can save hundreds or even thousands of dollars each year.

Summary & Key Takeaways

• Tracking expenses over a few months or a year can help identify areas where savings can be made.

• Following the 50-30-20 budgeting rule (50% for basic living, 30% for sundry expenses, and 20% for savings) and automating bills can ensure that there is enough money for out-of-pocket expenses.

• Shopping around for insurances, paying bills annually for discounts, and being cautious with buy now pay later schemes and credit cards are key strategies to save money.