11 Frugal Habits to Save Money13 min read

Welcome to Part I of the Frugal Nerds Series: Frugal Habits to Save Money! You’re here because you want to start taking steps to be more intentional with your spending and gain financial freedom.

To that end, we’ve curated a list of tips in this series that could help you save more money and become financially secure.

Don’t worry – you don’t have to immediately jump in both feet first and adopt all of these tips; instead, try to incorporate a new tip into your life every month or two. We’re excited that you’re taking this journey with us!

Create a Budget and Stick to It

Creating a budget can be an effective way to save money and manage your finances more effectively. A budget is a plan that outlines your expected income and expenses over a specific period of time, typically on a monthly or annual basis. By creating a budget, you can get a clear picture of your financial situation and make more informed decisions about how to allocate your resources.

One of the most obvious benefits of creating a budget is that it can help you save money. When you have a clear understanding of your income and expenses, you can identify areas where you may be overspending or where you could cut back. By tracking your expenses and setting limits for discretionary spending, you can make more intentional choices about how you use your money and avoid unnecessary expenses.

In addition to the potential for savings, creating a budget can also help you manage your debts more effectively. When you have a budget in place, you can prioritize your debts and create a plan for paying them off. By allocating a specific amount of money each month towards debt repayment, you can make progress towards becoming debt-free and avoid high-interest charges and penalties.

Creating a budget can also help you achieve your long-term financial goals. Whether you’re saving for a down payment on a house, planning for retirement, or building an emergency fund, a budget can help you stay on track and make progress towards your goals. By setting aside a specific amount of money each month towards your savings goals, you can ensure that you’re making progress and stay motivated to continue working towards your objectives.

Finally, creating a budget can also help you reduce financial stress and anxiety. When you have a clear plan in place for managing your finances, you can feel more in control and confident about your financial situation. This can help reduce stress and improve your overall well-being.

In conclusion, creating a budget can be a smart way to save money, manage your debts, achieve your financial goals, and reduce financial stress. By tracking your income and expenses, prioritizing your spending, and making intentional choices about how you use your money, you can take control of your finances and achieve greater financial stability and security.

Cook at Home

Cooking at home can be a great way to save money on food and dining expenses. By preparing your meals at home, you can take advantage of lower food costs, avoid the markup that restaurants and cafes charge, and have greater control over your portion sizes and ingredients.

One of the most obvious benefits of cooking at home is the potential for significant savings on food expenses. When you cook at home, you can take advantage of bulk purchases and sales to save money on ingredients. You also have greater control over the quality and quantity of the ingredients you use, which can help you stretch your budget further.

In addition to the potential for savings, cooking at home can also be a healthier option than dining out. When you prepare your meals at home, you have greater control over the ingredients and can choose to use healthier cooking methods and less processed ingredients. This can lead to better overall health and reduce the risk of diet-related health problems.

Cooking at home can also be a way to reduce food waste and contribute to a more sustainable lifestyle. When you prepare your meals at home, you can use leftovers and scraps to create new dishes, reducing the amount of food that goes to waste. This can also help you save money by making the most of the food you already have on hand.

Finally, cooking at home can also be a fun and enjoyable activity that brings people together. Whether you’re cooking for yourself, your family, or your friends, preparing meals at home can be a way to share in the experience of creating delicious and healthy meals. This can also be a way to learn new cooking skills and techniques and develop a greater appreciation for food and cooking.

Remember – cooking at home can be a smart way to save money on food expenses while also promoting greater health and sustainability. By taking advantage of bulk purchases and sales, reducing food waste, and enjoying the experience of cooking and sharing meals, you can achieve greater financial stability and well-being.

Cut back on subscriptions and memberships

Cutting back on subscriptions and memberships can be a smart way to save money and reduce unnecessary expenses. Many people accumulate multiple subscriptions and memberships over time, such as gym memberships, streaming services, magazine subscriptions, and more. While these services can be convenient and enjoyable, they can also add up quickly and become a significant drain on your finances.

One of the most obvious benefits of cutting back on subscriptions and memberships is the potential for significant savings on a monthly basis. By canceling services that you no longer use or need, you can free up more money to put towards your financial goals, such as paying off debt, building an emergency fund, or saving for a future purchase.

In addition to the potential for savings, cutting back on subscriptions and memberships can also help you declutter your life and simplify your routines. By eliminating unnecessary services, you can reduce the amount of time and mental energy you spend managing and tracking them. This can help you feel more in control of your life and reduce stress and overwhelm.

Cutting back on subscriptions and memberships can also be a way to be more intentional about how you spend your time and money. When you have fewer services to distract you, you can focus on the activities and experiences that truly matter to you. This can lead to a greater sense of fulfillment and happiness in your life.

Finally, cutting back on subscriptions and memberships can be a way to live a more sustainable lifestyle. By reducing the number of services you use, you can reduce your overall consumption and environmental impact. This can also be a way to live more simply and with less clutter, which can be a source of joy and freedom.

Not only will cutting back on subscriptions and memberships help you save money and simplify your life, but it will also help you live more intentionally and sustainably. By identifying the services that truly matter to you and eliminating the rest, you can achieve greater financial stability and well-being while reducing your environmental impact and living a more fulfilling life.

Use coupons and loyalty rewards/discounts

Using coupons and rewards programs can be a smart way to save money on a variety of expenses, from groceries and household items to travel and entertainment. By taking advantage of these programs, you can stretch your budget further and enjoy greater financial stability and well-being.

One of the most obvious benefits of using coupons and rewards programs is the potential for significant savings on a wide range of expenses. Many stores and businesses offer coupons and rewards programs that can help you save money on your purchases, whether you’re buying groceries, clothing, or electronics. By taking advantage of these programs, you can reduce your overall spending and achieve greater financial stability.

In addition to the potential for savings, using coupons and rewards programs can also be a way to earn additional benefits and perks. Many rewards programs offer cashback, points, or other incentives for using their services, which can add up quickly over time. Some rewards programs also offer exclusive discounts and access to events, which can be a way to enjoy unique experiences while saving money.

Using coupons and rewards programs can also be a way to be more intentional about your spending and purchases. By seeking out discounts and deals, you can be more mindful of your spending habits and avoid overspending on unnecessary items. This can help you achieve greater financial discipline and control over your finances.

Finally, using coupons and rewards programs can be a way to support businesses that align with your values and beliefs. Many rewards programs offer incentives for shopping at environmentally-friendly or socially responsible businesses, which can be a way to support causes that are important to you while also saving money. By taking advantage of these programs, you can achieve greater financial stability and well-being while also supporting businesses that align with your values and beliefs.

Use Public Transportation

Using public transportation can be a smart way to save money on transportation expenses, whether you’re commuting to work or running errands around town. By taking advantage of buses, trains, and other forms of public transit, you can reduce your overall spending on gas, car maintenance, and other associated costs.

One of the most obvious benefits of using public transportation is the potential for significant savings on transportation expenses. When you use public transportation, you can avoid the costs of gas, car insurance, and car maintenance that come with owning and operating a personal vehicle. Depending on your commute and travel needs, this can add up to significant savings over time.

In addition to the potential for savings, using public transportation can also be a way to reduce your carbon footprint and contribute to a more sustainable future. When you use public transportation, you can reduce the number of cars on the road, which can help reduce traffic congestion, air pollution, and greenhouse gas emissions. This can be a way to live more responsibly and contribute to a healthier planet.

Using public transportation can also be a way to reduce stress and increase productivity. When you take public transportation, you can use your commute time to read, work, or relax, instead of focusing on navigating traffic or finding a parking spot. This can help you feel more energized and focused when you arrive at your destination, which can improve your overall quality of life.

Finally, using public transportation can be a way to build community and connect with others in your city or town. When you take public transportation, you have the opportunity to interact with a diverse range of people and learn more about your community. This can be a way to broaden your horizons and feel more connected to the world around you.

Shop Second-Hand

Shopping second hand can be a smart way to save money on a variety of items, from clothing and furniture to electronics and household appliances. By purchasing items that are gently used or pre-owned, you can enjoy significant savings while still obtaining high-quality and functional products.

One of the most obvious benefits of shopping second hand is the potential for significant savings on a wide range of items. When you purchase items that are gently used or pre-owned, you can often find them at a fraction of the cost of their original retail price. This can be a way to save money on expensive items like furniture or electronics, or to stretch your budget further when purchasing clothing or other everyday items.

In addition to the potential for savings, shopping second hand can also be a way to obtain unique and one-of-a-kind items that are not readily available in traditional retail stores. Many second-hand stores and online marketplaces offer a wide variety of vintage or retro items, which can add character and charm to your home or wardrobe.

Shopping second hand can also be a way to reduce your environmental footprint and contribute to a more sustainable future. When you purchase items that are gently used or pre-owned, you are reducing the demand for new products and helping to reduce waste in landfills. This can be a way to live more responsibly and contribute to a healthier planet.

Finally, shopping second hand can be a way to support charitable organizations or small businesses that specialize in selling second-hand items. Many second-hand stores are affiliated with charitable organizations that use the proceeds from their sales to support local programs and services. By shopping at these stores, you can support causes that are important to you while also saving money and obtaining high-quality items.

Cut back on energy costs

Cutting back on energy costs can be an effective way to save money on monthly bills and achieve greater financial stability. By making small changes to your daily habits and implementing energy-efficient technologies, you can significantly reduce your energy usage and enjoy significant savings over time.

One of the most effective ways to cut back on energy costs is to implement energy-efficient technologies and appliances in your home. This can include installing LED light bulbs, programmable thermostats, and Energy Star certified appliances. These technologies are designed to use less energy and can help you save money on monthly utility bills.

In addition to implementing energy-efficient technologies, there are many small changes you can make to your daily habits to reduce your energy usage. This can include turning off lights and electronics when they are not in use, using natural light and ventilation instead of electric lighting and air conditioning, and adjusting your thermostat to more moderate temperatures.

Another effective way to reduce energy costs is to properly insulate your home and seal any air leaks. This can help to keep your home cooler in the summer and warmer in the winter, reducing the need for heating and cooling systems and helping you save money on energy bills.

Finally, you can also reduce your energy costs by investing in renewable energy technologies like solar panels or wind turbines. While these technologies require an upfront investment, they can significantly reduce your reliance on traditional energy sources and provide long-term savings on energy costs.

Use a reusable water bottle instead of buying bottled water

Using a reusable water bottle instead of buying bottled water can be a simple and effective way to save money over time. While bottled water may seem convenient, it can be expensive and is often unnecessary.

One of the main advantages of using a reusable water bottle is that it can help you avoid the cost of buying bottled water. While the cost of a single bottle of water may seem insignificant, the expenses can add up quickly over time, particularly if you regularly purchase bottled water. For instance, a 35 pack of Poland Spring (16.9oz) water costs around $24.99 – if your family drinks two cases a month, that will cost you around $599.76 a year. Instead, by investing in a high-quality reusable water bottle, you can reduce your reliance on bottled water and enjoy significant savings over time.

In addition to saving money on bottled water, using a reusable water bottle can also help you reduce your carbon footprint and contribute to a more sustainable lifestyle. Bottled water production and transportation require significant resources and energy, and many plastic bottles end up in landfills or oceans, causing harm to wildlife and the environment. By using a reusable water bottle, you can significantly reduce your plastic consumption and contribute to a more sustainable future.

There are many different types of reusable water bottles available, ranging from simple plastic bottles to insulated stainless steel models. When choosing a reusable water bottle, it is important to consider your personal preferences and lifestyle needs. For example, if you frequently travel or engage in outdoor activities, an insulated stainless steel water bottle may be a better choice, as it can keep your water cool for extended periods of time.

To maximize the benefits of using a reusable water bottle, it is important to properly care for and maintain your bottle. This may include regularly washing your bottle with soap and water, replacing damaged or worn-out parts, and ensuring that your bottle is properly sealed and leak-proof.

Bring your own lunch to work instead of eating out

Bringing your own lunch to work instead of eating out can be an effective way to save money and improve your overall health and well-being. Eating out regularly can be expensive, and the cost of a single meal at a restaurant or fast food chain can quickly add up over time.

By bringing your own lunch to work, you can save money on food expenses and also have more control over the nutritional content of your meals. When you prepare your own meals, you can choose fresh, wholesome ingredients and avoid the added sugars, preservatives, and unhealthy fats often found in restaurant meals and packaged snacks.

In addition to saving money and improving your health, bringing your own lunch to work can also save you time and reduce stress. By taking a few minutes each morning to prepare your lunch, you can avoid the time and energy required to navigate busy restaurants and wait in line for takeout. This can help you feel more relaxed and focused throughout the workday and reduce the likelihood of afternoon energy crashes and mood swings.

To get started with bringing your own lunch to work, it can be helpful to invest in a good quality lunch box or insulated bag that can keep your food fresh and at the right temperature. You can also experiment with different recipes and meal ideas, such as salads, sandwiches, wraps, soups, and leftovers from the previous night’s dinner.

When planning your lunch for the week, it can be helpful to make a grocery list and to shop for ingredients in advance. This can help you save money by avoiding impulse purchases and taking advantage of sales and discounts. It can also help you ensure that you have all the ingredients you need to prepare healthy and satisfying meals throughout the week.

In addition to bringing your own lunch to work, you can also save money by packing your own snacks and beverages. Instead of purchasing expensive vending machine snacks and sodas, you can bring your own fresh fruit, nuts, and water bottle.

Make your own coffee or tea at home instead of buying it at a coffee shop

Many people are guilty of stopping at their favorite coffee shop every morning and buying their favorite brew. While this may seem like a small expense, it can add up quickly. By making your coffee or tea at home, you can save a significant amount of money in the long run.

The cost of a daily coffee or tea from a shop can vary widely, but on average, it can cost between $2 to $5 per cup. If you buy coffee or tea every weekday, that adds up to between $46 to $115 per month ($552 to $1,380 per year).

On the other hand, making your coffee or tea at home costs a fraction of that amount, even when you use high-quality coffee or tea. For instance, a 12 ounce bag of Dunkin Donuts Original Blend will set you back around $8.59.

If you brew about 1 bag a week, that will cost you around $446.68 per year (as there are 52 weeks in a year). If you prefer Starbucks Medium Roast, that will cost you around $9.99 per week, or $519.48 per year. If you prefer tea, a box of Tazo Zen (16ct) will run $3.89 – if you consume a box a week, that will run about $202.28 per year.

To make your coffee or tea at home, you need to invest in a good quality coffee or tea maker. There are many options available, ranging from simple and inexpensive to more complex and costly.

You can choose a basic drip coffee maker, a French press, or even a manual pour-over coffee maker. Similarly, you can brew your tea using a tea kettle or a tea infuser. Whatever you choose, it will likely cost less than buying a cup of coffee or tea every day.

Another benefit of making your coffee or tea at home is that you have more control over what you consume. You can choose your favorite coffee or tea blend, adjust the strength and sweetness, and even add your preferred creamer or sweetener. This way, you can avoid the temptation of purchasing expensive flavored drinks or sugary add-ins that can contribute to weight gain or harm your health.

Making coffee or tea at home can also be a relaxing and enjoyable experience. You can enjoy the process of brewing your favorite beverage, and even experiment with new blends or flavors. You can also enjoy your coffee or tea in the comfort of your home, without the need to rush out to your local coffee shop and stand in long lines.

Finally, making your coffee or tea at home is not only cost-effective but also environmentally friendly. By avoiding the use of single-use cups and packaging, you can reduce your carbon footprint and contribute to a more sustainable world. You can also choose to use reusable coffee cups or mugs, which can further reduce your waste and save you money in the long run.

If you don’t trust yourself to control your spending, use cash instead of credit cards

If you are on an exceedingly strict budget, or if you if you don’t trust yourself yet to avoid overspending, it might be your best option to avoid high-interest credit card debt. This is because, when you pay with cash, you’re more aware of the money leaving your wallet, which can in turn help you to better control your spending. Here are some ways that using cash instead of credit cards can help you save money:

• Control overspending: When you use cash, you’re limited by the amount of money you have on hand. This can help you avoid overspending and stay within your budget. Credit cards, on the other hand, allow you to spend more than you have, which can lead to overspending and high interest charges.
  
• Avoid interest charges: Credit cards often come with high interest rates, which can add up quickly if you carry a balance. By using cash instead, you can avoid interest charges and save money in the long run.
  
• Get discounts: Some stores offer discounts when you pay with cash. This is because they don’t have to pay the transaction fees that they would incur with credit card payments. By paying with cash, you can take advantage of these discounts and save money on your purchases.
  
• Better track spending: When you use cash, you can physically see the money leaving your wallet, which can help you better track your spending. This can make it easier to identify areas where you may be overspending and make adjustments to your budget.
  
• Avoid impulse buys: Credit cards can make it easy to make impulse buys since you don’t physically see the money leaving your wallet. By using cash, you’re more likely to think twice before making a purchase and avoid impulse buys.
  
• Build discipline: Using cash can help build discipline when it comes to spending. It can be a good way to learn to live within your means and stick to a budget.
  
• Reduce debt: Using cash can be a good way to reduce debt. By avoiding credit card purchases, you can reduce the amount of debt you owe and save money on interest charges.

In conclusion, using cash instead of credit cards can be an effective way to save money. By controlling overspending, avoiding interest charges, getting discounts, better tracking spending, avoiding impulse buys, building discipline, and reducing debt, you can improve your financial situation and reach your financial goals.

However, it’s important to note that credit cards can also have their benefits, such as rewards programs and fraud protection. It’s up to you to weigh the pros and cons and decide which payment method is best for your financial situation.

If you enjoyed this article, be sure to check out part two, where we dicuss eleven more tips for saving money and living frugal.