If you’re like many people, you often wonder why your money seems to disappear. Chances are that your money is going down several drains rather than just one source. Most of us waste money without even realizing it. Following are the top five ways people waste their money.
Failure to Plan Ahead
Advance planning saves money in a variety of ways, ranging from morning coffees and weekday lunches to international travel. Making coffee at home and packing a lunch instead of grabbing these items at local retailers may seem like small savings, but they add up over the course of time. When planning a trip, the sooner you book your airline and hotel reservations, the more you save on travel costs.
Subscription services have a way of sneaking up on people. At first they seem convenient, and many offer an introductory price. After the introductory period is over, subscribers are often shocked when their credit cards are charged the full amount. Always read the fine print when you subscribe, and make sure it’s something you’ll actually use. Set aside some time to weed out subscriptions that are no longer useful to you.
Grocery Shopping While Hungry
Whether you do your grocery shopping online through a delivery app or visit your supermarket in person, always enjoy a good meal prior to stocking your cart. If you shop while you are hungry, you will end up buying more than you need. You will also be likely to make poor decisions based on what appeals to your taste buds instead of thinking about nutritional content.
Using Third Party ATMs
Despite the popularity of digital payment systems, cash still has its uses in today’s society. However, running to the ATM every time you need a bit of cash means running up unnecessary transaction fees that add up over time. You can avoid these fees by either using a local branch of your own bank or by using the "cash back" option during checkout at your local supermarket. If neither is possible, determine how much cash you will need at the beginning of the month and withdraw that amount instead of visiting a third party ATM every time you need some cash.
Most people don’t use their gym memberships the way they planned to when they enrolled. If you fall into this category, you’ve probably thought about canceling your membership. Staff at these places are trained to discourage members from canceling using a number of tactics, including playing on your guilt about not working out as often as you planned. You can bypass this pressure by sending your cancelation request to the company’s headquarters in writing.