2. Assign Priorities to Your Expenses

If you are left out with some money in some category it doesn’t mean that you should spend it on the other category.  Try to invest in something or deposit that left out money. It’s like a bonus leftover. Income and expenses are all about controlling your expenses in each category.

Here are some of the ways to reduce you expenses:

a) Forego that daily cappuccino. Brew your own coffee.

b) Take your lunch to work.

c) Skip expensive restaurant meals and cook at home.

d) Stop buying junk food, soft drinks, and snacks

e) Form a carpool and save on gas.

f) If your work permits, work from home at least one day per week to reduce your commuting costs.

3. Punish Yourself If You Are Not Able To Follow

It’s quite natural that you sometimes spend more than we allocated. If you have allocated 1000 for a dinner with your friend and you ended up spending 3000. Calculate the amount which spent extra. In this case it’s 2000. Punish yourself by saving 5 times more than this amount. It will be a good spin for the crime you made. When you punish yourself once, the next time when the same situation arises you will surely watch your expenses.

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