The economy today is in a terrible state. Many people are losing their jobs, houses and way of life. Investments are suffering and bankruptcy claims are on the rise. When I hear their stories of hardship, I feel horrible for these families and what they must be going through. However, I'm also grateful for the first time in my life that I am in the lower working class group.
Although no one is immune to the financial decline, one good thing about being a low income individual is that a lot of the pleasantries that many people, once accustomed to, have lost, I never had. Although, I've always made do and was able to support my children, and myself, there was very little left after the necessities were taken care of. I have spent my entire adult life up to this point, clipping coupons, buying no name items, shopping at thrift shops and getting by with very little, that this economic downfall has not affected me much. I just now seem to have a lot more company.
My lessons began over ten years ago when I found myself a young single mother of a newborn. I believe at that time my monthly income was about $800 a month and my rent took up more than a half of that amount. It was overwhelming learning to do without, but not impossible. Here are some tricks that helped me survive back then.... and I still use to this day. I credit these tricks and plain self-determination for keeping my head above water.
WRITE A BUDGET and stick to it at all costs. I suggest doing this on a monthly basis, even if your income and expenses seldom change. It's helpful to get in the habit of looking over your budget on a regular basis and reflecting on your situation. If you find that you're often in the red, see what you can cut out to reduce your spending. Is call waiting really that necessary? Could you try coloring your own hair instead of spending so much at the salon? Items that are quite small can add up quickly and once eliminated can make your budget seem much healthier.
USE COUPONS! They are free, companies pay money for you to be able to use them and clerks at the stores are accustomed to receiving them. You can save plenty and reduce your shopping bill considerably. Don't go overboard though. Only use coupons for products you were planning to buy anyway. Many coupon packages are delivered to you through the mail so don't discard them as 'junk" mail immediately.
NO NAME PRODUCTS are usually just as good as their more expensive counterparts so stop wasting your money on the fancier packaging. The only time I've ever purchased name brand products is when I noticed they were on sale for less than my usual No Name brand. I rarely notice a significant difference in the quality or taste. Honestly, in all my years doing this, there have only been 2 products that I couldn't substitute: coffee (must be Maxwell House for me) and Honey Nut Cheerios.
KEEP YOUR VACATION SIMPLE, even if you stay in your own hometown. Now to be truly honest, I will admit that I would love to travel (and hope that I'll be able to someday). But in tough times, it's not the end of the world if you can't this year.... or next. Still take your week off and find more local entertainment for your family. Do you have an amusement park nearby? They can still be costly but not nearly as much as plane tickets. Host game night with the kids or take them to play mini golf. It may not seem like much but the quality time is still there and you may have enough money left at the end of the day to go out for ice cream.
BRING YOUR LUNCH TO WORK! How much money do we spend a day on lunch? If you add it up over a course of a month you'd probably feel sick. Eating out is expensive no matter if you go to a fancy diner or a fast food restaurant. Spend a few extra bucks on your groceries and pick up easy to prepare, convenient foods that you can take to work. It's kinder on your wallet and probably healthier too.
I hope my suggestions are as helpful to you as they were (and still are) to me. If you're ever feeling defeated try to remember that although things are rough right now, they WILL NOT stay this way forever. In the meantime, do your best to keep your spending down and your head up.