Save money even if you are poor

Save money, start a budget. You read all types of articles about putting away just $50 a week. Soon you will have a nice little nest egg. What about the person who doesn't have an extra $50 a week to put into savings? How can that person save money?

It is hard to be broke. You worry all the time about the bills that are coming up or the ones that are already past due. It seems like you have the weight of the world on your shoulders and it is wearing you down.

Stop spending as much. So how do you fix this situation? You have to do some hard cost-cutting. If you have your own apartment then you need to consider finding someone to share costs with you. Yes, you give up some independence but you will gain a bit more financial control.

Stop eating out. Look for coupons that will help you save money and pay attention to where the sales are for food. You need to eat wisely to keep up your health but you need to be very frugal with your shopping. Junk food is off the list! Stock up on inexpensive, healthy items. Do not buy more than what you need when it comes to fresh vegetables. The lettuce that goes bad in the fridge is money out of your pocket.

Start paying down the debt. Talk to the past due accounts and make arrangements to make regular monthly payments. Do not miss a payment. Keep your word and you will feel a lot better about the control you are starting to have in your finances.

Take the bus. It might be really hard to do but consider parking your car. There is a big savings in the insurance rates and you can take public transit if necessary. If you are in a lease situation then you need to check with the lease holder to be sure that they will allow this reduction in coverage.

Buy renter's insurance. Some things are important to spend money on and renter's insurance is one of them. It is surprisingly inexpensive. You cannot afford to suffer a major loss. You do not have the resources to buy everything new from the ground up.

Buy used rather than new. If you do need to buy a new vehicle then look for a good used car or truck. You shouldn't be lured into low monthly payments for the vehicle. New autos cost more to insure and you just don't need higher payments on anything right now. This applies to clothing as well. You can find good quality used clothing in consignment stores.

Cut the cost of socializing. How much do you spend on your social life? If you are going out with friends and spending $50 or more each time then you need to find different ways to get entertainment.

Pay off the credit card. Once you have that debt under control, pay off your credit card each and every month. It is too easy to get deep into that hole and you will struggle to climb out again.

Develop a plan. Keep track of what you pay out and when. You can use a calendar, daydtimer or a spread sheet but you should know how much you are spending and why you are spending that money.

Start to save. As soon as you have the worst of the outstanding debts paid off then you do need to start putting something away in a savings account. There are many available that are separate from your usual bank and you will forget about that money being there. Then you won't spend it! Start with just $5 a week and then kick it up as soon as you can.

Think about long-term. Start paying attention to some of the safer investment opportunities once you have an emergency fund set up and now have some extra to "play with". The sooner you start doing something small then the better the odds are that you will have the holidays in the winter time and wider choices down the road.

Get support. Talk to your accountant, financial planner, free government debt counselor or even a church counselor to see if they can help you with your budgeting and turning your life around. Take control!