Are you having trouble getting your budget under control? Take a look at 5 of the biggest money wasters most of us don't even think about.
Times are tight for most of us these days. Even though the economy is starting to improve, prices are still going up and many people are still out of work or looking for new jobs. During these tough economic times, keeping a tight rein on your budget is really important. Cutting back on non-essential purchases and scaling back family vacations and parties are great ways to save money. However, there are many money wasters you might not have even considered, that can save you a lot by eliminating.
Here are the 5 biggest money wasters you may not have noticed:
- ATM fees – I hate these fees. When you need to get cash, it's easy to hit up the closest ATM and just accept the small fee without even questioning. These fees can range anywhere from $2 to $5 and even more. If you visit an ATM 10 times a month, you gave those machines $50. For doing the same thing your bank's ATM does. The money you save from avoiding the ATM charges, you could fill up you gas tank.
- Lottery tickets – The chances of actually hitting the jackpot are slim, but people still play. Scratch tickets are especially addictive. It doesn't feel like gambling and you win a few dollars here and there, it can make it seem like you are making your money back. You're not. Many people spend $20 to $40 a week on scratch tickets, hoping to win big. If they put that same $40 a week into a savings account, in 10 years, they would have over $20,000. Which is probably a bigger jackpot than they would ever get from scratchers.
- Buying brand name groceries and over-the-counter medicines – The popular brands of groceries typically cost a dollar or two more than the generic store brands and for over-the-counter medicines, the difference can be even larger. Although you may have a few products that you actually prefer the store brand, most of the time, it doesn't really make a difference. We chose the name brand because it's familiar and we are really just too busy to think about changing to a less expensive option.
- Unused gym memberships – Almost all gyms these days require you to have the monthly fee automatically deducted from your checking account. For me, I start out with the best of intentions and swear to myself that I am going to go at least three times a week – and I do, for about a month. Then, I start slacking up. The problem is that it's hard to cancel the membership when I keep believing that soon I will get motivated. If you don't use your membership, you could save $30 to up to $100 a month.
- Online Daily Deals and Social Discounts – Sites like Groupon and Living Social offer deep discounts on packaged services. You have to purchase it upfront and then you can use your voucher to redeem you deal later. Some of the discounts are amazing, but the trouble comes when you buy something thinking that you might use it, and then don't. It's estimated that about 20 percent of all of the deal purchases end up never being used. So, unless you know that you will use the discount, just pass on the temptation to grab one of these social deals.
For my budget, the biggest killers are things that don't seem like a lot at the time, but add up. Take a look at your spending habits and you might find places where you can save as well.
What money wasters do you think are problems for you? Let me know in the comments.
By Melissa Kennedy- Melissa is a 9 year blog veteran and a freelance writer for RetailGigsBlog. Along with helping others find the job of their dreams, she enjoys computer geekery, raising a teenager, supporting her local library, writing about herself in the third person and working on her next novel.
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