The less you spend on bills, the more you have left to play with. Here’s how to save on life’s essentials so you get to enjoy more of the money you earn.
We all have to budget for food, household bills, taxes and the rest; but there lots of ways to spend less on these essentials without noticing a change. Find out how with our 7 top tips.
1. Slash the cost of your supermarket shop
Most of us know that we should shop around when we make a big purchase, but comparing the cost of the weekly shop is something that still feels alien.
When you think about how much you spend on food - £100 a week equates to £5,200 a year - shopping around starts to make sense and can mean big savings.
Changing to food shopping online not only lets you shop around for different products with less hassle but can also help you avoid being tempted to buy items you don’t need.
Don’t just stick to your usual supermarket though as you could be missing out on extra savings. Mysupermarket.com makes it easy to compare the cost of your shop at 4 of the UK’s biggest supermarkets instantly.
You just have to choose the cheapest supermarket for your specific basket, select a delivery date (go for the cheapest slot possible) and your groceries will be delivered straight to your door, helping you save money on items you would buy in your local store.
Ultimately this means you are paying less for the same products!
If shopping online doesn’t appeal then you can still save money by comparing the unit price of your goods rather than the pack price. This is where the cost is displayed per gram or ml, showing you exactly how much you are paying so you can more easily compare actual cost and make sure you’re getting value for money.
It’s possible to take this even further, our article How To Save On Your Supermarket Shop will take you through other ways to make supermarket savings.
These discounts and savings can really add up over a full family shop and could easily save you hundreds of pounds a year!
2. Switch energy supplier
It really doesn’t make a difference who supplies your energy so there’s no point staying loyal to your current supplier. With the next energy price increase always just round the corner, taking the time to check you’re getting the best deal is a must.
If you’ve been with the same gas and electricity supplier for a while there’s a good chance that you could save yourself quite a significant sum by switching.
Use your Annual Energy Statement to find out which tariff you’re on, how much energy you’ve used over the last 12 months and what it’s cost you, then shop around.
It’s worth finding out whether switching to an online tariff and paying by direct debit could help you save money with minimum hassle too.
3. Get a better deal on your borrowing
The less you pay in interest, the more money you have to pay down your debt and the faster you’ll be free of it.
So if you’re paying a hefty rate of interest on credit cards or an overdraft it makes sense to look for a cheaper home for your balance while you work at clearing it.
0% balance transfer cards won’t charge you any interest for a fixed period of time allowing you to blitz your debt quicker- check out our guide to 0% cards to see if you could save some money.
Lifetime balance transfer cards are another option that could help you cut the cost of your borrowing quite considerably - read this article to find out more.
Equally if you have a large outstanding overdraft you can look at moving to a current account that gives you a better deal – take a look at this article to find out how.
You can take this step even further by looking at the rates you’re paying on any mortgages or loans you have too – but be careful not to get caught out by fees and charges when you switch.
Make a note of the rate of interest you’re paying on your borrowing and shop around for a better rate. Just think, wouldn’t it be nice to have this extra money in your pocket rather than the bank’s.
4. Cut the cost of your insurance
Unfortunately in the world of insurance loyalty is seldom rewarded; most insurers offer large discounts for the first year to entice you in before gradually upping the price.
It doesn’t matter if it’s car insurance, home insurance or even pet insurance - sticking with the same provider can mean you end up paying a lot more than you need to.
So, instead of just accepting your renewal notice when it lands on your door mat, take a look at our insurance tables, shop around and see if you can save some money.
After all it doesn’t matter whose name is at the top of the insurance document as long as the cover is suitable.
5. Reduce the amount of energy you use
Did you know that money is escaping through your walls and windows every day!
We all have to pay for the energy we use at home, so why use more than you need?
There are lots of ways you can cut the amount of gas and electricity you use without noticing a change – insulating your home is one improvement that can make a big difference.
There are a number of ways you can do this and insulation materials are available in most large DIY stores.
However, to encourage us to go green and help the environment, there are lots of government home insulation grants available as well as discounts for most home owners.
These grants can make a big difference to the price of loft and cavity wall installation and mean you can afford to take the hassle out of insulation by having a professional come to your home and do the work.
You could also try installing energy saving devices such as energy saving light bulbs or free water saving devices to help save on utility bills.
Of course there are also lots of small lifestyle changes that can make a real difference to your energy consumption; things like only boiling half a kettle or switching your washing machine to a lower temperature.
There are lots of tips available for cutting the amount of energy you use in our Action Plan I Want Cheaper Utility Bills so why not see if there are any other ways you can save energy and money at the same time!
6. Cut the cost of home media essentials
Our homes are more electronic than ever before. What with digital TV, broadband and countless gadgets, the home media system is a big part of modern day living - but it can come at a cost.
Yet your TV, internet and telephone are prime areas to save money without sacrificing too much.
If you are paying monthly for digital TV channels you might want to make a note of which channels you watch on a regular basis and those that tend to be ignored – often you find you use only a fraction of what’s included in the price.
Is there a chance you could reduce your subscription level to lower the cost or perhaps consider switching to freesat or freeview to save even more?
The phone and broadband market is a highly competitive place so it’s really worth comparing the different packages on offer to make sure you’re getting the best deal. You may even be able to combine all 3 options to save money.
However before you switch, remember to check there are no limits or caps on your internet usage, or that you are happy to proceed if there are.
7. Stop paying extra council tax
If you rent or own a home there’s a good chance you pay council tax - something you may think is simply beyond your control – yet you could be one of thousands of people paying too much.
This is all down to the council tax bands assigned to each property, which decide the amount of council tax you should pay.
Current levels were set using ‘drive-by’ valuations back in 1993 (when the scheme first started), as a result there is a good chance that your tax band may be wrong.
If you have been incorrectly assigned a higher tax band then it’s likely you paying more tax than you need to and can contact your local council and ask for a re-assessment.
Under certain circumstances you may not even need to pay the full level of council tax, if you live with a disabled person or there is only one adult living your property you may be entitled to a discount.
Our Action Plan I Want to Pay Less Council Tax will take you through everything you need to do to make sure you’re not paying too much.
By checking you could easily end up paying less for the same council services, after all you get the same benefits regardless of how much you pay.
If you implement all these tips they could add up to some really big savings, without really making any difference to day to day life!
