Ways to Cut a Family Budget
- If the stress over finding money to pay your bills makes your family time less pleasant, choose some places to cut your budget so you can afford your expenses. Use your savings on something fun for the whole family, such as a day at an amusement park or a vacation to visit family members.
- Save on heating and cooling costs by adjusting your thermostat to use your furnace or air conditioner less. If you add an extra layer of clothing during the winter or wear a little less during the summer, you can feel comfortable in temperatures 5 degrees different from what you are accustomed to. In addition, turn the furnace or air conditioner down or off while you are out of the house or sleeping to save money. Install a programmable thermostat to do this automatically for you, so you don't even have to remember to make the changes.
- If two adults are eating out every weekday for lunch and the whole family eats out for dinner a couple times per week, you are probably spending more than $400 per month on food outside of the house. Pack lunches for work and limit dining out to once per week or special occasions to cut your budget significantly. In addition, plan your grocery list based on what is on sale each week and stock up on nonperishable items when they are on sale. For example, boxed pasta and jarred sauces often go on sale for half price; if you have them on hand, they make easy weeknight meals.
- The average household spends $11,338 per year on transportation, according to MSN Money. Cut your costs in this area by purchasing used cars instead of new cars, so you have lower car payments and your vehicle depreciates at a lower rate. Increase the deductibles on your car insurance and don't carry collision and comprehensive coverage on vehicles over seven years old. Also, pay attention to how often you run errands and group them so you don't drive as far or as frequently.
- Bills for wireless data plans, digital cable service, high-speed online access, movie rental plans, magazine subscriptions and other entertainment add up quickly. Evaluate which services your family needs. Visit your local library for free book and movie rentals and trim your service packages to the minimum you require.