5 Budget Hacks to Save Money in 2023
Building financial security to achieve your new goal this 2023 is the most challenging task to do. Besides inflation, you need to change your lifestyle, pay off your existing debts, and save more money to cut spending habits. But this can be possible if you have a mindset to focus seriously on saving money for your future self.
Along with these recommended budget hacks and tips, you can even purchase any available house and lot in the Philippines with your savings account.
5 Saving Money Tips this 2023
The best ways to save money are actually the most simple ones, like using appliances with an Energy Saving Trust rating seal to minimize electric bills. But getting started can be overwhelming. However, you will get used to it once you figure out how to manage your finances along the way.
Here are our top five (5) money-saving tips to consider.
- Kick off with one big change.
Which expenses took most of your income? Identify what things that cost you too much but you are willing to bargain. It may affect your daily life once you start this huge change; you will receive an enormous benefit later.
So, if you’re living in a place where bills are quite heavy on your shoulder, why not sell them or turn them into a rental property? Then, opt for an affordable house and lot for sale unit to minimize your cost of living and mortgage payments.
Or, if you have a vehicle with high maintenance, you can trade them for a cheaper one in good running condition.
- Re-visit your subscription and membership services.
Jot down the services you use. From streaming to music apps, evaluate them to see if it’s necessary to continue your memberships. Eliminate those subscription services that you seldom use or downgrade your subscription.
- Start paying off your debts.
Many Filipinos work hard for their existing debts. From short-term loans to unsecured loans, debts are piling up to cover other debts. As a result, they are paying more since interest is doubled.
Therefore, list all your existing loans and their due dates. If you can’t pay them all, deal with the smallest loaned amount first and fully pay them if you have extra money. Then, look for debt refinancing or buy-out providers for loans with higher amounts. Or, use refinancing to pay all your debts and seek the lowest interest rate and flexible payment that suits your budget.
- Stay motivated and focus on your goals.
Be specific with your financial goals for 2023, and stay focused. Make sure it is achievable and realistic. If you want to invest big time, plan your goal based on your income and savings. Make it detailed, so you don’t miss something and don’t get swayed to make impulse purchases by shopping online deals and discount codes. But if necessary, use free gift cards offered by some online store brands for your purchases.
- Consider automating your savings.
Avoid keeping more cash in your wallet. If you want to buy with a grocery budget or pay car insurance bills, utilize mobile banking or online payments. You can also change to a checking account to prevent yourself from transferring money from your savings to other accounts. Also, take advantage of the budgeting app to monitor your finances and manage unexpected expenses.
Some mobile banking apps have features for saving money, like a significant savings account. This feature immediately deducts the amount you want to save for your goal based on your chosen term. Then, you can also withdraw the money once you have filled in the goal amount.
Where to Invest Your Savings this 2023
Cryptocurrency was in full swing before the pandemic. Bitcoin was over 50, 000 USD, while stocks on Wall Street were below an all-time high. But all these investments went under during the pandemic. Even today, as the world economy is recovering, the Ukraine-Russian conflict is driving the global financial crisis.
The good news is you can still invest your savings this 2023 worry-free.
- Certificate of Deposit
If you want a safe investment, look no further than CDs or Certificate of Deposits. Most banks and financial institutions offer different types of terms and interest. Interest is added to your principal amount once your account matures and is ready for withdrawal. Note that you can only withdraw the money once it reaches its maturity. So, make sure it is aligned with your other goal.
It is also ideal to opt for short-term CDs to avoid losing purchasing power due to inflation. Also, if your current bank account receives lower interest, switch bank accounts with better offers, such as free cash back.
- Investment Stocks and Bonds
Investing in stocks and bonds is a viable option today since the Philippines is in a better economic condition. If you know how the stock market work, you can earn more revenue on stocks and bonds. But if it’s your first time, study the workflows or partner with an expert to secure your investment.
Stocks and bonds can now be purchased through online banking and electronic wallets. Most of them feature different categories based on your character as an investor. So, choose wisely.
- Real Estate
Among the three (3), real estate is the best investment opportunity in 2023. Whether you plan to buy or convert an affordable house and lot into a rental business, real estate never goes out of trend until today.
As most experts say, shelter is a basic necessity for people. Even if inflation continues to rise, people will look for rental properties to afford shelter. Hence, you will have extra cash to save more from rental payments.
Another year, another challenge to overcome. If not about personal choices, it is most likely about financial struggles. 2023 is waving for better opportunities. If you haven’t been able to save from the previous years, it is not too late to start this upcoming year. As long as you are driven by your hopes and dreams, anything is possible.
So, if you’re dreaming of having your own dream home as your achievement goal, Lumina Homes has so much to offer. We provide quality homes at affordable prices with various payment terms suitable for your financial capacity. We also ensure that living in the Lumina community will give you the best amenities you can use for yourself and your family. Thus, we designed a residential haven fit for all ages.
Take a virtual tour of our available model homes through this site or book a reservation for online tripping. We have more than 50 locations you can choose from, offering a selection of affordable housing packages.
