For most of my young adult life I was living with little money and drowning in debt! Living on a small budget is possible and many people do it. With prices of literally everything on the rise and minimum wage not keeping up, more people are looking to find ways to live with little money.
How do people live on a small budget?
With the average wage in US being $7.25 (and has not increased since 2009😲) and the cost of living always on the rise learning how to live on less could save your pocket book. Long story short if you are asking:
“how do you survive on a low income budget?“
It is about making sacrifices in areas of your life that YOU are OK with! We don’t want you to cut the fun right out of your life thus making you miserable, not what we want! Which is why I came up with 30 ways to help you survive with little money, so you can pick and choose a few that go with your lifestyle.
You can be VERY happy AND live on a low income!
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Related:
7 HABITS OF PEOPLE WHO HAVE MASTERED SAVING MONEY
HOW TO MAKE A BUDGET IF YOU HATE BUDGETING
11 THINGS I QUIT BUYING TO SAVE MONEY AS A SAHM
1) Budget your money
Yes, I have to include this since there are still tons of people who do not budget their money! You need to have a budget in order to know how much money you have coming in vs going out, also where your money is going so that you can make changes.
2) Cut your bills
Take a look at all your bills and decide if you can trim some money of them or eliminate a couple altogether. Even your electricity can be drastically cut down by just making a few changes.
Use Flipper, an auto-energy switching service that guarantees customers save time and money on their gas and electricity bills.
3) Thrift shop
Never buy new unless you have to. Items I always buy second hand are clothes, shoes, outdoor wear, and toys.
This alone saves me tons of money especially since my kids are growing so fast and we have 4 different seasons so buying clothing for each season every year adds up!
4) Shop online
Since gas prices are on the rise, especially in Canada, shopping online has become one of my best money saving tips! It has many advantages, such as being able to check multiple stores at once for sales, shopping through Rakuten to earn cash back, and helps those who impulse buy.
Always shop through Rakuten and earn cash back on your purchases! Earn $10 when you sign up here!
For Canadians use this link and earn $5 sign up bonus here!
5) Grow your own food
Doing this when you can will help your food costs! In the summer we have a garden and I also have spices growing inside my year round. This save us a ton especially since spices are costly where I live.
6) Meal Plan
If you are like me and hate meal planning but knows it will save you tons of money then check out the $5 meal plan which I personally use because I know I wouldn’t meal plan otherwise.
Get a free 14 day trial to see if it is for you!
7) Take a list to grocery store
Taking a list every time you go to the grocery store will help you stay on track and budget. This also falls back to #6 since in order to have a grocery list you would need to meal plan.
You might also like: How I Cut my Grocery Bill by $200
8) Take advantage of Groupon
Groupon is a service that can save you money through the use of virtual coupons. They also feature a daily deal on the best stuff to do, see, eat, and buy in a variety of cities across the United States. Groupon will help you save money on some fun stuff to do! The only catch is some of their deals are only available for 24-72 hours after posted.
Groupon is free to sign up and enjoy the benefits of their coupons and savings.
9) Set some goals
Having some goals set ahead of time will help you keep the mindset needed to stay on budget and live on a low income. Things like why you want to live on less or maybe you want to have a nice savings for retirement, or save for a vacation. Whatever the reasons write them down and re-visit them to see your progress.
10) Kick some bad habits
I am sure we all have some nasty habits we could eliminate from our lives (for me it is Pepsi). A bad habit doesn’t need to be something drastic such as Smoking or Drinking, it could be that maybe you impulse shop, or buy lottery tickets very week. Find something that you could cut back on or go without!
11) Stay home more
So, this might not be fun but you can make it fun! There are so many creative ways to have fun at home even with kids.
12) Say no sometimes
If you get asked to go out often you might have to learn to say no at least once in a while. If you are comfortable you can even let people know you are on a tight budget and can no longer afford to go out all the time. If they have your best interest at heart they will respect your decision.
13) Exercise at home
Gym memberships can be costly and with all the free resources out there you don’t need to go to a gym to exercise. If you need motivation team up with a friend and keep each other accountable. You can find tons of workout apps on your phone, or even purchase some exercise DVDs online. Youtube is also a great source for finding workout videos.
14) Create a capsule wardrobe
Clothing can be pretty expensive even if you are shopping second hand, which is why having a capsule wardrobe is a great idea. You can find a very detailed guide about capsule wardrobes by visiting beautyiscrueltyfree.com they have an amazing post on how to build a capsule wardrobe plus a free Ebook to help you out!
15) Use Digit to save money
Digit is an awesome app that helps you save money even if you suck at it. You connect your bank account to Digit, who are able to automate savings transfers into your own personal Digit savings account. By saving a little bit every day, and a little more when income spikes or expenses fall, you are finally able to save money.
16) Use the App Paribus
This nifty App will give you cash back on purchases if there is a price drop in the future, or for Amazon if they deliver your item(s) late.
Start saving with Paribus, plus it is %100 free to join!
17) Become a Minimalist
I recently turned towards the minimalist lifestyle, this doesn’t mean you need to go to the extreme and have an empty house. However, I have cleared out a lot of junk and stuff that I really didn’t need and sold a lot for some extra cash. I also do not purchase new things unless I absolutely need to, this saves a ton for us since we are no longer buying stuff to just fill our house.
Also my house is much easier to clean!!!😉
18) Cook at home
Eating take-out is hard to kick since it is so convenient and well tastes good! But you will save tons if you cook at home, plus it is healthier to eat at home.
19) Earn SB for free gas cards
SB’s are Swagbucks and you get those by signing up to Swagbucks for free and earn points in various ways, which you then can cash in for gift cards, including gas cards! I personally use Swagbucks for gas cards and sometimes Amazon gift cards, but they also have tons more to choose from!
20) Car Pool
If you can, try to car pool whenever possible. I am fortunate enough to live near most of my family so we all car pool often. It would also be wise to purchase a fuel efficient vehicle, they will help in the long run!
21) Have an Emergency fund ready
This is a very important step, since you are living with little money you will want to be prepared for any unexpected expenses, believe me they sneak up you! If you don’t have the money for an emergency fund there are plenty of great ways to get the money fast!
22) Plan your gifts
If you have family that buys gifts for your kids and/or yourself then ask for gift cards to restaurants, movie theaters or any other place that your family would have a fun outing at! This is a great way to still have fun while living with little money or on one income.
23) Shop around
Don’t be afraid to shop around for lower rates on things like your cell phones, cable, or insurances. You can save tons by looking around as most are competitive.
24) Watch your fees
A lot of times we don’t realize how often late fees, hidden fees or interest adds up and hurts our budget. Luckily there are ways to help this besides keeping a close watch on your statements, there are now apps you can get that will fight the fees on your behalf and get you refunds! 🤑
Cushion negotiates bank and financial fee’s so you get the most from your accounts. Users can save $100s of dollars by using Cushion.
25) Cancel unwanted subscriptions
I was guilty of this, I don’t know how much money I wasted by signing up for free trials and forgetting to cancel before I was charged. *ugh* Talk about losing money! I now use Trim which I can check daily from my phone, Trim is now the largest and fastest-growing chatbot for personal finance. It will keep track of your subscriptions and cancel them for you AND also negotiates your cable / internet bill.
26) Sacrifice (a little)
Unfortunately if you are living with little money you are going to need to sacrifice at least a little bit. By this I mean if you have two vehicles you should consider cutting back to one. If you have a vehicle payment try getting that paid off ASAP, this can really drain your income and is unnecessary I would never purchase a brand new vehicle ALWAYS go second hand, just do your research!
27) Consider downsizing your home
So many people have massive houses, I get why, we all grew up in a generation where materialistic things were the most important and keeping up with the Jones’s. Now we are starting to realize how unimportant all this *stuff* really is. So, why not downsize!
28) Use your resources
For the most part, there are always resources in your area to help low income families, take advantage of them. Food banks are popular in this case, if you feel like you’re taking from those in more need consider volunteering at your local food bank in exchange for a bit of food.
Check online for free resources in your area, there are usually tons for kids as well, such as free sports and groups.
29) Shop after Holidays
You probably have seen all the chocolate will go on sale after Easter, Christmas decoration prices will be slashed after the new year, those are the times to buy for the next year! It is a pain at first to plan so far ahead but it is so worth it when a Holiday rolls around and you are all set!
Sometimes I even have some extra to spare and get to splurge on the kids, then they have even more surprises!
30) Side Hustle
This is one of my number one tips (except I saved it for last) I side hustle so much that we really don’t live off one income anymore BUT it is helping us pay down debt faster and save for retirement.
Check out the BEST side hustles HERE!
