How to beat the Recession - 10 Money Management Tips

le="font-family: Georgia;">1. First things first - CreateAuto-Rickshaw. It's not only free, it's also healthier!
a budget.6. Save on Electricity
You can make better decisions if you know whereThis is another money-guzzler particularly since the
your money is going. This would help you savescorching summer is here and it is impossible to stay
money quite easily. At the beginning of every month,without the AC. So how can you save on your
draw up a budget taking all your expenses intoElectricity bills?
account. Take charge of your finances byTurn off lights and fans whenever you leave a room.
determining your expenses and deciding where yourTurn off your computer when you are not working.
income should go. After listing out all your regularUse Water Heater (Geyser) and Microwave Oven
expenses, you can set aside some money forminimally - both are high-power devices that draw a
entertainment and eating out. And always stashlot of power. These small savings will slowly, but
away some money for emergencies. Overall, keepsurely, add up.
your living expenses low.If you are planning to buy an AC to beat the
2. Reduce your debtssummer, choose one that has a certified Star rating
Analyze any debts you may have. Pay off thosefor low electricity consumption. If you already have
with the highest interest rate first - usually youran AC at home, have it serviced regularly. Did you
credit card expenditure. Pay a lump sum on yourknow that cleaning the AC filters would do wonders
credit card or close the outstanding amount, andto improve the efficiency of your AC? You can do it
reduce any other loan repayments.yourself, but if you don't know how, have a certified
Always give higher preference to closing the higherservice professional to do it first. Watch and learn so
interest rate loans first. If you have a good credityou can do it yourself the next time.
standing with your bank, bargain with your bank toTurn off the main supply to your TV when you are
reduce your interest rates or to adjust EMIs so theynot watching the TV. Turning it off with the Remote
don't pinch you. If your bank refuses to do either,is not enough as your stabilizer would still be drawing
look out for alternatives. Several banks offer transferpower all night. If you haven't done it yet, now is the
of outstanding amount on credit cards or loantime to change those old incandescent bulbs and
transfers.start using energy-efficient lights (CFL).
Bear in mind that loans like Home loan actually have7. Save on Food expenses
Income Tax benefits associated. So, do someReduce your expenditure on eating out. Trust me, it
savings-vs-expense analysis before closing that loan.can be fun to have the whole family take part in
Always put money away for a rainy day and makecooking on the weekends! Try out new dishes right
sure you have a cushion of cash savings. Do not digat home with your spouse and kids - not only will it
into this entire amount to pay off your existing loansbe fun, you would also end up saving more than half
- it is in your safety to have some money stashedthe money! If you do eat out, check for early
away.evening offers, buffet deals, new restaurants with
3. Cut your spendingspecials and hotels that offer discounts.
Make this a priority. Think whether you really needOh, and start taking your lunch to work. Not only
that new flat-screen TV now. Maybe going on yourwould this save you money, it is a much healthier
dream overseas holiday can wait one more year?alternative!
Making sacrifices this year and living on a tighter8. Shop right
budget will leave you much better off in the long run.When you go shopping for Groceries, plan your
Cut down on frequent visits to the local Multiplex.meals, make a list and shop to the list. If you stick to
Instead, rent a movie from your nearby rental storeyour plan and your list, you won't spend money on all
and watch it at home, rather than spending hundredsthat food (particularly, junk food) that looks good but
on a multiplex!that you don't need.
4. Slash your Mobile and Internet billsAvoid disposables, and use re-useables instead -
Save on mobile phone usage. Often, your mobiledisposables are a waste of money. Instead of paper
connection plan might come with low-cost add-ontowels, use washable cloth dish towels. Instead of
services like - National Roaming, STD and/or ISDpaper cups and plates, just use your regular dishes.
connection, GPRS etc. Analyze the services you reallyUse cloth handkerchiefs instead of buying tissues.
need and cancel off unnecessary ones - there is noSpend a few minutes to think about such small
point in paying monthly rentals for services you don'tchanges that you can make to your shopping
really use.behaviour that can save you money.
Also think about downgrading your mobile connectionLook for good deals before you go out for Shopping.
plan. Do you really need the Rs.499 rental post-paidOnline Resources like DiscountsVu can help you find
connection? Maybe you can switch to Rs.299the best deals in the market.
connection instead? If you are an user with a9. Avoid using Credit Cards
good-standing, you should not have a problem inLock your credit cards away, and fight the
getting your Service provider to make these changestemptation to use it. It would certainly be tempting
for you - for free.and easy to use Credit Cards when you are short of
Do the same for your Internet connection. Think ifcash - but it is a fact that you lose track of your
you can downgrade your Internet plan - or find aexpenses when you use credit cards. Use cash
cheaper service. If you are going in for a newinstead. Go to the ATM, withdraw some money and
connection, compare all services available and bargainset that aside for household expenses. Try to limit
to get the cheapest deal available.your expenses within that amount. And when you
5. Save on Travelfind yourself short of cash, do NOT use your credit
Whenever possible, use public service for travelling. Ifcard - go to the ATM again. If anything, all these
that is not possible, you can try various alternatives.extra trips to the ATM will be a deterrent and might
Does your company provide commutation to andactually reduce your expenses!!
from work? Opt for it. It could be way cheaper - and10. Save on Gifts
more relaxing - than driving your car to work eachAlways be on the look out for good deals. Save by
day! If using Company travel is not your cup of Tea,buying things under sale - for example, while shopping
why not choose to Carpool or share a Bike to work?for yourself, choose a 'Buy 1 Get 1' offer on Clothing.
Splitting costs even two-way would cut yourKeep 1 for yourself and gift the other on your
expenses by half!friend's birthday!
Save on Fuel - If you have been putting off onCreate a collection of original gift ideas. Present your
getting the LPG Conversion kit for your car, now isdear ones with hand-made gifts, a personally
the time to do it. Change from Petrol to LPG versionembroidered handkerchief, fresh homemade pickles
and see for yourself how your Fuel expenditureetc. They will appreciate your skill as well as efforts
reduces drastically! By the way, take that walk fromand you will save a lot of money.
the Bus stop to your home rather than taking an