All / Saving TipsApril 30, 2016Tabitha @ Saving Toward A Better Life
This post comes to us courtesy of Lindsey fromAnd the Kitchen Sink (a blog no longer in publication). She is sharing with us her real life living on less story and ways that she makes it work! They are a two income household CHOOSING to live on just one income! Read her story and then check out 6 tips below on how YOU can live on less!
Why We Choose to Live on Less
Living on one income or half your income sounds like a good idea, but putting it into practice is tricky. The BF and I have been living together for almost an entire year now. Even though both of us are working,we are living on much less.
When we first moved in together, I didn’t have a job (which was easily one of the most anxiety-filled months of my life). For an entire month, we were living on his paycheck alone. Since I’ve had my job, we still continued to live on his paycheck and my paychecks went toward his taxes. He’s a contractor, which means that no taxes are taken out of his paycheck. Because of that, we end up owing the IRS a lot of money at the end of the year. When it came time to pay our taxes this year, we had the entire amount owed saved up! My paycheck now goes toward vacations, our savings account, and his taxes while his is put toward bills and daily expenses.
We live on a pretty tight budget, but we didn’t have to sacrifice much to live this way.Last year alone we went on a cruise, a camping trip with friends, and visited the BF’s family in New Jersey.You don’t have to sacrifice everything you have in order tolive below your means. However, it might not always be possible as everyone’s situation is different.
There are so many reasons why someone might want to live offof less of their income
- Prepare for job loss
- Retire early
- Prepare for a baby
- Live a simpler life
One of the main reasons we are able to live off of lessis because we drastically cut our expenses. If you don’t currently have a budget, this is an important step to take!
6 Tips for Living on One Income:
- Look for lower rates– I saved so much money on our car insurance by switching car insurance companies. I was paying $120 a month for just myself! Shopping around for car insurance rates brought my car insurance down to $130 for the two of us.
- Get rid of cable– Instead of paying for cable check out services such as Hulu or Netflix. We use Netflix, along with ourChromecastfor things not on Netflix, and we don’t even miss our cable.
- Reduce your grocery bill-Food is probably the most flexible spending category in your budget. With Pinterest and$5 mealsat your disposal, there are so many ways to reduce your grocery budget. I’m almost always under my grocery budget for theweek. For me, it becomes an exciting challenge when I plan meals. There are many ways to save money on groceries.This list of coupon sites, coupon apps and ways to get coupons will be a big help in cutting your grocery bill!
- Reduce your clothing budget– The average American familyspends $1,700on clothes annually. My family spends less than half of that average. Capsule wardrobes are a great way to cut down on your clothing expenses!
- Stay home– If you spend more time at home, you will spend less money. You will be less tempted to eat out or go shopping when you’re already at home. The BF and I watch movies and play video or board games together on our nights in.
- Sell unused Items-Go through your closets, attics, or storage units and get rid of anything that no longer has value to you. Use this money for date nights or to help pay off debt.
Living on lessdoesn’t come without a little sacrifice and a change in your mentality. By living below our means, we are able to go on multiple trips this year and keep ourselves out of debt. I never dreamed we’d be able to live this way, and I know that this lifestyle isn’t for everyone. But I encourage you to give it a try, you’d be amazed at how much your life could change.
About Lindsey:Lindsey is a born and raised southern girl who dreams of the day she can quit her dayjob to blog fulltime. She was the creator ofAnd the Kitchen Sink, a lifestyle blog focusingon budgeting, organizing, travel, and more.
