Leaving your bad spending habits behind

was the subject of the Week #2 Savings Challenge, and once again group members inspired and informed all of us with their stories and tips.

Some members reported kicking bad spending habits that saved them big money and even changed their lives, like giving up credit cards and paying off debts, or buying smaller, more fuel efficient vehicles. Then there were lots of stories of foregoing smaller expenses, but things that really add up over time. Some of the small-but-mighty bad spending habits members gave up included:

·       Daily coffee to-go – At $3 a day, that’s more than $1,000 a year.

·       Lottery tickets – Studies show that the odds of winning the jackpot are actual far worse than the odds that you’ll be killed in traffic accident going to buy a ticket (seriously – think about it!)

·       Dinners and other meals out – 45% of the typical family’s food budget is now spent on meals prepared outside the home.

·       Bottled water - Can cost you over $1,400 per year if that’s the only type of water you drink!

·       Expensive phone plans – Switching providers or cancelling unused services really pays off.

·       Frequent haircuts and manicures – Try cutting your own hair or holding a manicuring/haircutting party with friends.

·       Over air conditioning – Keep it set at no more than 20 degrees cooler than the outside temperature.

·       Buying books, magazines, and DVD’s – All can be borrowed from the library instead.

Great ideas one and all, but the winner of the Week #2 “Break A Bad Spending Habit“ Challenge is deekennedy27. Deekennedy27 provided a number tips and stories, including simple things like getting in the habit of bringing your own shopping bags to the grocery store, a move that saves her $15.60 per year and helps to save the environment, too. 

But the story deekennedy27 told that really caught my attention and that I found most inspiring was her decision to declutter her life and save the $431 she was spending every month to rent a storage unit just to store all of her excess stuff.  Did you know that the self-storage industry in the U.S. is now a $22 billion dollar a year industry, more than two and half times larger than the American film industry?! Good for you, deekennedy27, for kicking the clutter habit and saving the storage fees to use for better purposes.

Thanks again to everyone who entered the Week #2 Challenge, and I look forward to seeing what you come up with for the Week #3 “Cheap Regrets” Challenge.