Since starting this debt payoff journey, I’ve put much thought into what I’m spending my money on. I realized that although I don’t consider myself a spender, there are a few areas where I can cut expenses and use that money towards debt payoff instead.
I used to be a HUGE coffee drinker. My daily cup of coffee habit started early on in college and since then it’s been hard for me to go a day without it. It’s been about a week since I stopped drinking coffee COLD-TURKEY! I’ve been struggling with the caffeine withdrawals but just thinking of all the money I’ll be saving is helping me get through it. I used to stop by Starbucks every day before work for my usual Iced Caramel Macchiato and a butter croissant. This was costing me a daily $6.90! This adds up to $48.30 per week, $193.20 per month or $2,318.40 a year!. Talk about a waste of money!
Eating out was another one of my bad habits. To tell you the truth, I don’t really know how to cook which is why I would spend so much money in this category. I’ve slowly been getting better at it, searching for quick and easy recipes online and asking friends and family for suggestions.
I used to buy lunch every day. This can start to add up with lunch ranging from $5 – $9/day, five days a week. I’ve started cooking my food in batches and meal prepping at the beginning of the week. I’ve been doing this for about a week or so and so far so good. I’ve probably saved $40 this week alone!
I don’t spend much time in front of the TV so I was not hesitant to live without this. Since moving out on my own, I haven’t signed up for cable at my apartment nor do I think I will anytime soon. In my case, this as a waste of money, especially when I can find so many things to watch and read online.
I’m currently on a prepaid plan and have the iPhone 5s. I know they’ve already moved on to the iPhone 6 and there are already rumors about an iPhone 7, but I know I won’t be upgrading anytime soon. Since I am on a prepaid account, I would have to buy the cell phone outright which would be about $600 for the latest iPhone. No thanks. My cell phone works perfectly fine. (Even though a larger screen would be nice!).