How to Save Money When You’re Broke? – 10 Tips
We’ve all been out of money, with bills piling up and little hope of ever getting ahead.
But just because you’re struggling doesn’t mean you have to sacrifice your quality of life.
There are plenty of ways to save money even when you’re broke.
Check out these tips and start putting some extra cash in your pocket!
Meaning of financially broke
Being broke financially means different things to different people.
For some, it might mean not being able to afford their weekly grocery bill.
For others, it might mean choosing between paying the rent and buying medication.
In short, being broke financially means not having enough money to cover your basic needs.
This can be a temporary situation, such as losing your job or having an unexpected medical expense.
But for many people, financial insecurity is a constant struggle.
According to recent studies, nearly 40% of Americans would have difficulty covering a $400 unexpected expense.
This means that they are one emergency away from being financially broke.
And while many programs and charities can help people in times of need, the reality is that most Americans are just one missed paycheck away from being in financial trouble.
So what can you do if you find yourself in this situation?
- Consider reading: Having trouble saving money? 10 Reasons why!
Get in the right money mindset
Many of us have a hard time saving money because we think we need to have a lot of money to save.
This could not be further from the truth!
You can start saving money even when you are broke.
The key is changing your mindset and seeing saving money as a priority.
When you are broke, it may seem like there is no point in saving because you don’t have anything to save.
But if you start small, you will be surprised at how quickly your savings will grow.
And as your savings grow, so will your confidence in your ability to save.
So, if you feel broke and struggle to save, don’t give up!
Just change your mindset and start small.
You’ll be on your way to a healthy savings account.
No amount is too small
No matter how broke you are, saving money is always a good idea.
Even if you can only put away a few dollars a week, that’s still better than nothing.
And over time, those savings will add up.
Plus, when you have money in the bank, it gives you a safety net in case of an emergency.
So if you’re wondering whether or not it’s worth it to start saving when you’re broke, the answer is a resounding yes!
Every little bit counts, so get started today.
- Consider reading: Does your income level greatly affect your saving habits?
10 Tips on how to save money when you’re broke:
1) Review your monthly expenses and see where you can cut back
One way to get your finances back on track is to examine your monthly expenses closely.
This can be a helpful exercise even when you’re not broke, but it can be handy when trying to cut back on spending.
Look at your bank statement and see where your money is going each month.
Are there any recurring charges that you can cancel? Are there any expenses that you can reduce? For example, if you’re spending $100 a month on coffee, could you cut back to $50 by making coffee at home more often?
This will help you control your finances and start saving money.
2) Negotiate a lower rate with your cellphone or cable provider
When saving money, one area often overlooked is negotiating a lower rate with your cellphone or cable provider.
While it may seem daunting, it is fairly easy to do and can save you a significant amount of money each month.
The key is being prepared and knowing what you are willing to accept.
For example, if you are willing to switch to a cheaper cell phone plan, you can use that as leverage when negotiating with your provider.
Similarly, if you are ready to downgrade your cable package, you can also use that as bargaining power.
By being prepared and knowing your bottom line, you can confidently negotiate a lower rate and save yourself some money each month.
3) Brown bag your lunch instead of eating out every day
If you’re broke and trying to save money, one of the best things you can do is brown-bag your lunch instead of eating out every day.
This may seem like a small change, but it can make a big difference in your savings.
Eating out is expensive, and even if you’re only spending $5 or $10 daily on lunch, that can add up quickly.
Brown bagging your lunch is an easy way to cut down on spending, and it’s also healthier since you can control what goes into your food.
Plus, it’s more convenient since you can prepare your lunch the night before or in the morning and then grab it and go.
So if you’re trying to save money, brown-bagging your lunch is a great place to start.
4) Cancel any subscriptions or memberships you don’t use
When trying to save money, it’s essential to look closely at your regular expenses.
One place where many people waste money is on subscriptions and memberships that they never use.
If you have a gym membership that you never use or a subscription to a magazine that you never read, it’s time to cut those expenses out of your budget.
You may feel like you’re getting a good deal by paying for these subscriptions in advance, but if you’re not using them, you’re just wasting your money.
Canceling unused subscriptions or memberships is an easy way to save some extra cash when trying to get your finances back on track.
5) Sell some of your belongings on eBay or Craigslist
If you’re feeling the pinch financially, one option is to start selling some of your belongings.
Both eBay and Craigslist are popular options for online selling, and you may be surprised at how much money you can make by decluttering your home.
To get started, take an inventory of what you have to sell.
Consider items in good condition that you no longer use or need.
Once you’ve gathered up your items, taking clear and well-lit photographs is crucial for making a sale.
Next, create listings on eBay or Craigslist, including detailed descriptions and honest pricing.
Finally, ship your items promptly once they’ve sold, and be sure to leave positive feedback for buyers to encourage future sales.
With a little effort, selling your unwanted belongings can be a great way to boost your bank balance when you’re low on cash.
6) Make a budget and stick to it
Making a budget and sticking to it is one of the most effective ways to save money when you are broke.
The first step is to figure out your income and expenses.
This will help you identify areas where you can cut back on spending.
Once you have a budget in place, the next step is to stick to it.
This can be not easy, but there are a few things you can do to stay on track:
- Set realistic goals for yourself.
- Make sure you track your progress and reward yourself when you reach milestones.
- Be prepared to make adjustments to your budget as needed.
If you’re diligent about following these steps, you’ll be able to save money even when you’re broke.
7) Start a side hustle
If you’re broke and looking to save money, starting a side hustle can be a great way to make some extra cash.
There are many options out there, so you’re sure to find something that suits your skills and interests.
You could start a blog, sell advertising, or become a freelance writer and sell your articles to magazines and websites.
If you’re handy with a camera, you could start a photography business or become a virtual assistant and offer your services to busy entrepreneurs.
Starting a side hustle can give you the financial cushion you need to save money and get out of debt.
And who knows, with a little hard work, your side hustle could become your full-time job.
So if you’re ready to get creative and make some extra cash, consider starting a side hustle today.
8) Review credit card payments and due dates
One of the best ways to save money when you’re broke is to review your credit card payments and due dates.
This will help you avoid late fees and interest charges, which can add up quickly.
It would help if you also tried to pay off your balance in full each month to avoid carrying a balance forward.
If you can’t do this, there are still ways to save money on your credit card payments.
For example, you can transfer your balance to a card with a lower interest rate or sign up for auto-pay to never miss a payment.
You can save yourself a lot of money in the long run by taking a few simple steps.
9) Take advantage of coupons
Everyone knows that coupons can save money, but those savings can be even more critical when you’re broke.
Start planning your shopping trips around sales to make the most of your coupons.
That way, you’ll be able to use your coupons to get the items you need at a fraction of the cost.
It would help if you also tried to stockpile sale items when possible.
If you know you’ll need toilet paper soon, buy extra rolls when they’re on sale and use your coupons to get them at an even lower price.
Finally, don’t be afraid to ask for help.
If you’re struggling to make ends meet, organizations in your community can likely provide assistance with groceries or other essentials.
Taking advantage of resources like these can help stretch your budget and make it through tough times.
- Consider reading: How to save 300 dollars a month: 10 tips and tricks.
10) Make a shopping list before going to the grocery store
Making a shopping list before going to the store can help you save money, especially if you’re on a tight budget.
When you have a list, you’re less likely to impulse buy items you don’t need.
If you stick to your list, you’ll avoid overspending on groceries.
It can be helpful to make your list based on the sales flyer for the week.
That way, you can take advantage of specials and coupons and get the most bang for your buck.
Of course, even if you don’t have a lot of money, it’s still possible to eat healthy and delicious meals.
With some planning and creativity, you can stretch your grocery budget and make ends meet.
How to save money when you’re broke? – Conclusion
We hope that you’ve found these tips helpful and will help you save money even when you feel broke.
Remember, it is always important to be proactive about your finances and to take steps towards improving your financial situation.
These tips can get you started on the right path!