Specific ways to reduce your spending during hard times

Everyone knows that when times get hard it is a good idea to try and save money rather than to go out and get new debts, or spend frivolously. The hard part is putting this piece of knowledge into practice. Sure, it makes sense to eat out less and save money by cooking your meals yourself, but when you get home from work and your feet hurt, and your house is a mess, the last thing you want to do is make your own food. So, instead of looking at cost cutters that most people have a hard time applying, let's look at some specific, tried and true, ways to spend less when you do go out and shop. Obviously the best practice would be to not make new purchases of nonessential goods or services until you have paid all existing debt, and to find ways to spend less on essential items. Even essential items like food and clothing come with an adjustable price tag. So reduce your spending in these areas. The following tips should help:

Put your credit cards in the freezer. Okay, it takes a lot of will power to do this, but the fact is, if you do not carry them with you, it is harder to spend on them, plus if you use the trick of freezing them in a block of ice, then you have to wait for it to defrost before you can spend on them, which means you have a chance to reconsider your purchase. Experts often say that sleeping on purchases overnight often means you won't think you need it as much as you initially thought. This is a great way to reduce spending for multiple reasons. One it is far easier to spend money you do not have, then money you do, and two, if you buy less on credit, you will pay fewer dollars in interest.

Second, only shop with a plan. People who struggle with over-spending, or over shopping often shop to "browse" or go out shopping without specific items in mind to buy. This leads to buying things that were not needed, and it least to paying more than you need to for stuff. Think of it this way, it is like the person who forgets to take sunscreen on a cruise. Instead of paying $5-$8 for the bottle of sunscreen they pay 2-3 times that. Never just go shopping. Instead, plan purchases. If you plan right you can buy things when they are on sale, and you can save significant amounts of money. For example, have you ever gone grocery shopping with a list? You usually get the items on the list, and sometimes a few extras. Have you ever shopped for groceries without a list? What happens? You end up going up and down each aisle, buy too many items, spend far more, and return to the store the next day because you left something out that you needed. So make a list, and do not ever step foot in a store unless you have something in mind you need. If you don't go in, you can't overspend there.

Pay with cash. You literally cannot overspend if you are going to pay with cash. For one, if you go over your budgeted amount, the store won't let you buy the stuff because you have no way to pay for it. So, shop with cash and a list. This helps you avoid temptation, and makes impulse buying far less frequent. If you see something at the store you just can't live without, you can always return later to get it, after you have a chance to think about it some. Usually you will come to realize it wasn't quite as wonderful as you initially thought. People rationalize carrying credit cards with the excuse of emergency. Let's face it, in a true emergency, you could get to a bank, call a loved one, or find a way to get to your credit cards. How many emergencies do you expect on the way to the store?

Borrow or rent. While looking for great deals on items is an awesome idea, chances are someone you knows may already have that item, and you could use it for free, or rent it for less. This is not always the case, but can applied to anything you are not going to use on a regular basis. For example, Halloween costumes should be borrowed or rented. You can rent a Halloween costume for under $5, to buy one could cost you $25. You can borrow a mixer for holiday baking, rather than buy one for $150. If you only use something on occasion, borrowing or renting is a far cheaper option.

Next, evaluate service you have and pay for. This can apply to any service you have. If you are paying for cell phone service, determine if you could reduce to a smaller, cheaper plan. If you pay for television service, find out the savings on fewer channels. If you pay for financial services, decide how worthwhile the service is and if you use it enough to justify the cost. For example, you might pay $3 a month for a checking account for the advantage of getting free checks, and being able to get cashier's checks without paying. How many cashier's checks are you getting? Can you do your banking online? If you can you could save by going for a free checking account that requires you to pay for checks. No matter what the service is, ask yourself if another, cheaper service could suit your needs, or if the service charges you are getting are really worth it.

Another great way to reduce spending is to plan for the unexpected or occasional. For example, people who save $25 a month toward Christmas know that they have $300 for Christmas gifts come December. People who do not plan for this often spend whatever they want, and deal with it later. Planning ahead means spending less in 9 out 10 cases. The cases where this does not apply are fixed costs like car licensing and registration. However, it can mean not paying interest because you have the money for it and do not pay on credit.

A lot of people spend a lot on recreation and entertainment. During tough times you do not have to sit at home and do nothing in order to spend less, but it is wise to look for better alternatives. For example, instead of going out to dinner and a movie, which usually runs two people $40-$60, spend $25 on a bunch of goodies and have friends over for a game night or a movie night that is in. You can spend half as much and have just as much fun. It is a good idea during tough times to choose less expensive recreation options. Exchange home entertaining with friends. Vacation where you can stay with people you know, or places you can drive to instead of paying expensive plan tickets. You do not have to stop doing fun things, just find cheaper ways to do them. For example, you can still go to movies, but instead of going on a Friday night when tickets cost more for the weekend, go on a Tuesday night. It will be less crowded in the theater, and save you money. You still get to see the movie, but you pay less. To make it even less expensive, see an early bird showing or matinee for a deeper discount.

If you want to reduce your overall spending during hard times, try to pay things in lump sums rather than making payments. Even things that do not charge interest, such as insurance, typically have some sort of processing fee, or transaction fee added if you choose to pay monthly rather than annually.

Next, learn cheaper solutions for products you are bound to buy. For example, you are going to clean your bathroom no matter what, but did you know that a bottle of vinegar can work wonders on glass, hard water spots, etc. Vinegar is a lot cheaper than a name brand glass cleaner. Instead of expensive cleaning supplies, use basics like chlorine bleach, and baking soda.

To spend less, set limits for yourself. You could be totally frugal, and then have a birthday of a loved one come up and spend a fortune on it. So, when times are tough, they are probably tough for people other than you. So, sit your family and friends down and just let them know that while gift giving is wonderful you would like to set some money limits, or look for alternatives. For example, at Christmas, instead of buying each adult member of your family a gift, take a night out with them and go out to eat. You will spend less, and the time spent together will be awesome.

If you want to reduce your spending during tough times, do not always buy the good deals. Instead, look for quality goods because they will last longer, and you will spend far less in the long run.

Do not be too prideful to shop at resale shops, factory outlets, and discount stores, but if you do, make sure the "discounts" are actually discounts, and not just imagined.

There are many ways to reduce spending, some work for some, others do not. Telling an Oreo guy to buy generic sandwich cookies is going to do little good for reducing his spending. But telling him where to find a coupon to get money off the Oreos he is going to buy is. So, instead of trying to eliminate spending and activities, just look for cheaper ways to get the same results. For example, have drinks before you go to a restaurant so you do not pay a 20% gratuity on your alcohol. Still go out, but go to a friends' rather than a club. See movies mid-week. Etc.