Money is such an inexhaustible topic – we talk about earning it, investing it, spending it, and even sometimes losing it. We’re usually focused on the first three and barely pay any attention to the likely ways we have been losing cash.
Most of us don’t have trust funds waiting for us, so every naira counts. Being on the lookout for money-sucking expenses can go a long way in increasing your disposable income.
I’m going to let you in on things you’re doing too much of or not doing at all that could cost you some dollar bills (or whatever currency you spend).
[bctt tweet=”Tracking your expense schedule, asking for a discount and buying items in bulk can help save up cash and thereby reducing the risk of losing money – @adeyojuwon” username=”SheLeadsAfrica”]
1. Bank Charges
It’s so funny that the banks are starting to do the exact opposite of what they’re meant to be doing- helping people save money.
You probably have more than one bank account/debit card. Each account attracts individual maintenance costs.
A simple solution to ridiculous bank charges is trying as much as possible to have one savings account and one debit card. This will help eliminate charges that may arise from owning multiple accounts.
You can reduce constant cash transactions and erase the need for unnecessary bank fees by having a budget that’s restricted to how much you’ll need for a week.
2. Delay in Paying Off Debts
While taking a loan isn’t a big deal, delaying pay-off is quite a big deal. Especially when it has interest attached to it.
Interest accumulates over time so delaying your debt pay-off inevitably increases the amount you’ll pay eventually. This means you’re gradually losing money.
Once you have an inflow of cash probably due to holiday bonus or a salary raise, it is advisable you pay off your debt as soon as possible.
This could give you a little extra to spend on other things and potentially save you a lot in interest payments.
3. Avoiding Negotiation
Another money-draining factor that might not have ranked high on your list is negotiation.
A lot of market vendors on this side of the world rarely quote the actual prices of their products. Most of the time, you’re expected to bargain and beat down the prices a little bit more.
This negotiation rule also applies to the professional world. You’re expected to negotiate your salary and not simply accept what you’re initially offered when you apply for a new job.
According to a paper by Harvard Business School, women are most likely to agree to the first offer on the table and lose money in the process, as well as better chances for career growth. It is time we change the narrative.
Weighing other options available to you by knowing what prices other vendors are offering will go a long way when it comes to saving money. This also applies to knowing what other employees earn before you take a new job.
This similarly applies to online stores, when I was buying my new phone, I checked a couple of online and physical stores to get the best price and avoid being overcharged.
Always remember that avoiding negotiation comes with a price!
Technology comes at a cost. There is a cost attached to watching an endless stream of movies and listening to your favourite music. There’s a long list of other subscriptions- magazines & newsletters, fitness groups, diet plans and a whole lot more.
It’s easy to forget what you’re subscribed to when payments are done automatically.
You should only subscribe to plans you use regularly. This will help you avoid wasting money on plans you don’t get the most from.
Certain subscriptions can be done with a group of people to save money on the total cost.
Other significant ways you might be losing money includes wasting food, cancelling your Uber or Taxify rides, and impulsive spending.
Interested in contributing for She Leads Africa? Click here.