After paying for school and having no earned income for these couple of months, it is hard to be able to live by. Here are some ways that can lessen the strain and be able to help during this difficult time:
If you have any extra cash lying around, it is better if you put the money into a saving account that earns interest. You are not going to be rich by doing this, but at least you will be able to earn 2% on the cash that is sitting in the saving account.
If you have $10,000 in the saving account, that is $200 of free money just by parking your money. The interest rate differs from every institution, smaller banks or credit unions offer more competitive rates than the Big 5 banks. Most institutions don’t charge when you take out money from the savings account, but there are some who does, need to be careful on this.
Wealthsimple is a company that offers 2%. There are also a number of other companies that offer a limited time promotion of higher interest rates which is a good deal, but usually they have some catch to them.
2) Debit/Credit Card
If you do need to spend money, my suggestion is to use your debit card instead of your credit card. Even though you earn rewards or cash back, but if you are unable to pay for your credit card in full, the interest of the amount owing will be much higher than rewards you get from these credit cards.
One thing to keep in mind, using a debit card, the only way you are able to use it is if you have money in the account. At least you are guaranteed that you have money to pay for your expenses. Hence, using debit card will not be adding to your debt.
Meal prep is one way to go. Planning your meals for the week can help you cut cost on food. Another reason to meal prep is not to think of what to have for the next day and have it ready and good to go. Some ideas for meal prep would be: pasta, fried rice, salad, chili, fajita bowl.
Another is to buy in bulk and these costs will be lower. Buying in Costco is usually a good way to go. If you are not good in the kitchen, an option is to buy food trays or chicken from Costco which will be much cheaper and split it up for your meals for the next couple of days.
If you buy coffee or lunch every single day these expenses could easily add up. It is better if you bring your own coffee or lunch from home. You can treat yourself once a week and buy lunch, but you should not do it everyday because these costs a lot of money.
4) Sell Items
Here is an idea to make money. If you have any unwanted items at home, instead of letting it collect dust, you should sell them and make money out of it. As they said, “one man’s trash is another person’s treasure”. This could lessen the amount of items you have at home and create more space for you. There are a lot of websites you could use to accomplish this. Here are some: Kijiji, LetGo, VarageSale for local sells. Amazon and eBay are also a great place to utilize if your prefer to sell your items internationally.
5) Trade Items
If you can’t sell your items, trade them. Most people, if they could, won’t like to use cash to pay for things. They rather save the cash they have. There is an app called Bunz and the idea is that you can trade for the item and get an item of your choice from things they are trading. It is quite interesting concept and at least with this, you would not need to spend any money. You just trade for the items you don’t need and get something in return that you wanted. You could trade as simple as toilet paper or food. With this concept, we minimized the items we have and also gain things that we need instead.
It is hard not to be earning money, but there are times you would need to go through to get a larger payoff in the future. Hard work and perseverance pays off.