How To Save Money Fast On a Low Income: Making Ends Meet

How To Save Money Fast On a Low Income: Making Ends Meet

How To Save Money Fast On a Low Income: Making Ends Meet

How To Save Money Fast On a Low Income: Making Ends Meet

January 26, 2024

January 26, 2024

January 26, 2024

January 26, 2024

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how to save money fast on a low income
how to save money fast on a low income
how to save money fast on a low income
how to save money fast on a low income

Saving money can seem like a challenge, yet alone doing it on a low income. That might seem impossible. When your monthly bills keep piling up, it can be easy to feel overwhelmed and start to worry about how you will manage to cover all your expenses and have money left over to save. 

According to GOBankingRate’s survey of 1,000 people across the US, 38% of adults have less than $100 in their checking accounts and 36% have less than $100 in their savings. This might seem a bit troublesome, but it’s not to scare you.

With a few simple lifestyle changes, you can easily put away a few extra dollars each month. In this blog post, we’ll share 15 ways on how to save money fast on a low income.

1. Create a Budget

Setting a budget is a game-changer when it comes to saving money, no matter how much you make. A personal budget will allow you to keep track of where every hard earned penny is going. It happens too often that we spend money carelessly and don’t realize exactly how much we spend. 

There are a few budget strategies you could use. The 70-20-10 budget rule is one solution where 70% of your income post-tax goes towards all your essentials. Twenty percent goes towards savings and investments, while the last 10% is for extra debt payment or donations. 

Another budget method is to list all of your expenses and categorize them into necessary and unnecessary things. Rent, groceries, gas, car payments are just a few categories that should be included in a budget.

Whether you write it down in a notebook or use a budgeting app, budgets are sure to help you save money fast and improve your finances. An app like Hiatus allows you to create custom budgets based on your spending habits, which will help you avoid those common budgeting mistakes we all fall victim to.

create a budget

2. Open a Savings Account

Whether it’s a high-yield savings account or one of its alternatives, putting money into some type of savings account can help you save money fast even with a limited income. You won’t be tempted to spend the money since it won’t be in plain sight in your house. Money in a savings account will earn interest and grow overtime.

A traditional savings account averages around a 0.42% APY (annual percentage yield), while a high-yield savings account can earn 5%-7%. Money in a savings account is protected by the government and it’ll always be accessible in the event of an emergency.

Saving money can seem like a challenge, yet alone doing it on a low income. That might seem impossible. When your monthly bills keep piling up, it can be easy to feel overwhelmed and start to worry about how you will manage to cover all your expenses and have money left over to save. 

According to GOBankingRate’s survey of 1,000 people across the US, 38% of adults have less than $100 in their checking accounts and 36% have less than $100 in their savings. This might seem a bit troublesome, but it’s not to scare you.

With a few simple lifestyle changes, you can easily put away a few extra dollars each month. In this blog post, we’ll share 15 ways on how to save money fast on a low income.

1. Create a Budget

Setting a budget is a game-changer when it comes to saving money, no matter how much you make. A personal budget will allow you to keep track of where every hard earned penny is going. It happens too often that we spend money carelessly and don’t realize exactly how much we spend. 

There are a few budget strategies you could use. The 70-20-10 budget rule is one solution where 70% of your income post-tax goes towards all your essentials. Twenty percent goes towards savings and investments, while the last 10% is for extra debt payment or donations. 

Another budget method is to list all of your expenses and categorize them into necessary and unnecessary things. Rent, groceries, gas, car payments are just a few categories that should be included in a budget.

Whether you write it down in a notebook or use a budgeting app, budgets are sure to help you save money fast and improve your finances. An app like Hiatus allows you to create custom budgets based on your spending habits, which will help you avoid those common budgeting mistakes we all fall victim to.

create a budget

2. Open a Savings Account

Whether it’s a high-yield savings account or one of its alternatives, putting money into some type of savings account can help you save money fast even with a limited income. You won’t be tempted to spend the money since it won’t be in plain sight in your house. Money in a savings account will earn interest and grow overtime.

A traditional savings account averages around a 0.42% APY (annual percentage yield), while a high-yield savings account can earn 5%-7%. Money in a savings account is protected by the government and it’ll always be accessible in the event of an emergency.

3. Save Money on Bills and Utilities

If you need money now, reducing your monthly bills will help you save money. Take a look at your utility bills and see if you can make any changes to reduce your costs. For example, you might be able to switch to a cheaper phone or internet plan. Hiatus will display all of your monthly bills in its dashboard and will negotiate them on your behalf to get you better rates. 

Think about taking shorter and colder showers to help you save on your water bill and lower the thermostat in your house. If you enjoy going to the gym, why not shower there right after your workout instead of showering at home? Every little bit helps, and even small reductions can add up to big savings over time. 

save money on bills and utilities

4. Cancel Unwanted Monthly Subscriptions

With a clearer view of your budget and knowing where your money is going, you should start to eliminate any unnecessary expenses. A great way to do so is to get rid of those unwanted monthly subscriptions. Subscribing to numerous streaming services might seem like a good idea to watch all your favorite shows but your bank account will say otherwise. Instead, choose your preferred streaming service and cancel the rest. The Hiatus app can help with this and cancel those subscriptions effortlessly. With just a few taps, you’ll begin to put money back into your pockets. 

3. Save Money on Bills and Utilities

If you need money now, reducing your monthly bills will help you save money. Take a look at your utility bills and see if you can make any changes to reduce your costs. For example, you might be able to switch to a cheaper phone or internet plan. Hiatus will display all of your monthly bills in its dashboard and will negotiate them on your behalf to get you better rates. 

Think about taking shorter and colder showers to help you save on your water bill and lower the thermostat in your house. If you enjoy going to the gym, why not shower there right after your workout instead of showering at home? Every little bit helps, and even small reductions can add up to big savings over time. 

save money on bills and utilities

4. Cancel Unwanted Monthly Subscriptions

With a clearer view of your budget and knowing where your money is going, you should start to eliminate any unnecessary expenses. A great way to do so is to get rid of those unwanted monthly subscriptions. Subscribing to numerous streaming services might seem like a good idea to watch all your favorite shows but your bank account will say otherwise. Instead, choose your preferred streaming service and cancel the rest. The Hiatus app can help with this and cancel those subscriptions effortlessly. With just a few taps, you’ll begin to put money back into your pockets. 

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5. Pay Off Outstanding Debts

Whether it’s student loans, your mortgage, or just credit card debt, being able to clear up your outstanding debt will help in the long term. Yes, it’s not “saving” if you’re spending more money, but the interest you pay on debt adds up over time. Pro tip: pay off your debt with the highest interest rates first and then work your way down to lower interest debts.

6. Always Look For Deals

There are many ways to take advantage of discounts when living on a tight budget, including using coupons. Look for coupons online or in-store, and use them when purchasing things you need. Additionally, take advantage of sales to save money on clothing, household goods, and electronics. Check out different stores to compare prices and get the best deals. However, make sure the items you're buying are essential, and not just impulse buys. Consider joining local groups that offer discounted rates on services such as food, entertainment, and transportation. 

looking for deals yoga

7. Change Your Financial Institution

Nowadays, everything is about getting your attention for your service. The same goes for financial institutions. A majority of them will even incentivize you to switch from your bank to theirs. These places might juice up the perks for you to secure another customer under their belt.

8. Get A Side Job

If you’ve cut spending and you still feel like you’re not progressing, consider getting a side job. It’s the easiest way to increase your income and put more into savings. Freelance or part-time jobs that could boost your income are driving for Uber or Lyft, online tutoring, or even selling items online. Flexible options such as dog walking or cleaning houses will let you work your side hustle into your existing schedule.

side job dog walking

9. Compare Different Rates On Insurance

It’s not set in stone that you have to keep the same insurance companies forever. In fact, it doesn’t hurt to look around every couple of years for different insurance plans. Some car insurance companies will offer you a better deal if you have a good driving record. You can also look into bundling both your car and homeowners insurance because you may be entitled to a better plan getting both insurances from the same company.

10. Spend Less Money On Food

One of those expenses that you can't hide from but you sure can stay on top of. People tend to downplay how much money they spend on food. Let’s face it, three meals a day can add up, especially if you’re one who often dines out and likes to socialize. 

Make a conscious effort to see how much money you’re spending on food monthly. Both preparing your meals and making coffee at home are great ways to save money fast on a low income. You’d be surprised but taking these steps can help slice the cost by half or even more!

food discounts

11. Buy Second Hand Items or Shop At Thrift Stores

Shopping for goods at a thrift shop, online like the Facebook Marketplace or eBay can help you save on any purchase. Yes some of the things might be second hand, but that doesn’t mean it isn’t in good shape. Even if you’re tight on funds, these different places can uncover some good finds. Some people are even willing to give away things for free due to a relocation so the only expense you might have is picking that item up.

12. Find Cheaper Ways To Travel

Getting from point A to point B can be a huge expense. Instead of driving your car everywhere you go, invest in a bike or think about walking to places you can. This will cut down on gas costs and you can get in some exercise as well, two birds with one stone. Using public transportation is another cost-effective option instead of driving everywhere. If you happen to live closeby to a coworker, you can carpool with them to save both yourselves money on gas. Remember, the small sacrifices you make now will pay off in the long run.

cheaper ways to travel

13. Invest In Pre-Tax Savings Options

Take advantage of automatic contributions to boost your retirement savings. By setting up regular contributions to your employer-sponsored retirement plan, like a 401(k), you can use pre-tax dollars to fund your future. Not only will this help lower your taxable income but may also provide a valuable employer match program. Some employers will match your 401(k) contributions, effectively giving you free money towards your retirement goals. Keep in mind that most employer-match programs have a minimum contribution requirement to be eligible.

14. Become A Handyman

Learning how to save money fast on a low income could require some YouTube watching or WikiHow reading. Sooner or later, something in your house or car will need to get fixed. Nothing lasts forever. Having to pay a maintenance worker could cost a pretty penny for their services so learning how to do things yourself can help you save your money. If things aren’t clear, you could always ask a friend who might actually do that for a living.

pre-tax savings options

15. Unplug Appliances

Energy bills are a major expense for many households. Cutting down on energy bills is a smart way to save. Don’t just switch off the lights or appliances when you’re not using them, but instead unplug them. Even if they’re off, they will still continue to draw power. You can also replace incandescent bulbs with energy-efficient LED Light bulbs. Using energy-efficient appliances like washing machines or fridges will also help lower your energy bill.

unplug appliances


5. Pay Off Outstanding Debts

Whether it’s student loans, your mortgage, or just credit card debt, being able to clear up your outstanding debt will help in the long term. Yes, it’s not “saving” if you’re spending more money, but the interest you pay on debt adds up over time. Pro tip: pay off your debt with the highest interest rates first and then work your way down to lower interest debts.

6. Always Look For Deals

There are many ways to take advantage of discounts when living on a tight budget, including using coupons. Look for coupons online or in-store, and use them when purchasing things you need. Additionally, take advantage of sales to save money on clothing, household goods, and electronics. Check out different stores to compare prices and get the best deals. However, make sure the items you're buying are essential, and not just impulse buys. Consider joining local groups that offer discounted rates on services such as food, entertainment, and transportation. 

looking for deals yoga

7. Change Your Financial Institution

Nowadays, everything is about getting your attention for your service. The same goes for financial institutions. A majority of them will even incentivize you to switch from your bank to theirs. These places might juice up the perks for you to secure another customer under their belt.

8. Get A Side Job

If you’ve cut spending and you still feel like you’re not progressing, consider getting a side job. It’s the easiest way to increase your income and put more into savings. Freelance or part-time jobs that could boost your income are driving for Uber or Lyft, online tutoring, or even selling items online. Flexible options such as dog walking or cleaning houses will let you work your side hustle into your existing schedule.

side job dog walking

9. Compare Different Rates On Insurance

It’s not set in stone that you have to keep the same insurance companies forever. In fact, it doesn’t hurt to look around every couple of years for different insurance plans. Some car insurance companies will offer you a better deal if you have a good driving record. You can also look into bundling both your car and homeowners insurance because you may be entitled to a better plan getting both insurances from the same company.

10. Spend Less Money On Food

One of those expenses that you can't hide from but you sure can stay on top of. People tend to downplay how much money they spend on food. Let’s face it, three meals a day can add up, especially if you’re one who often dines out and likes to socialize. 

Make a conscious effort to see how much money you’re spending on food monthly. Both preparing your meals and making coffee at home are great ways to save money fast on a low income. You’d be surprised but taking these steps can help slice the cost by half or even more!

food discounts

11. Buy Second Hand Items or Shop At Thrift Stores

Shopping for goods at a thrift shop, online like the Facebook Marketplace or eBay can help you save on any purchase. Yes some of the things might be second hand, but that doesn’t mean it isn’t in good shape. Even if you’re tight on funds, these different places can uncover some good finds. Some people are even willing to give away things for free due to a relocation so the only expense you might have is picking that item up.

12. Find Cheaper Ways To Travel

Getting from point A to point B can be a huge expense. Instead of driving your car everywhere you go, invest in a bike or think about walking to places you can. This will cut down on gas costs and you can get in some exercise as well, two birds with one stone. Using public transportation is another cost-effective option instead of driving everywhere. If you happen to live closeby to a coworker, you can carpool with them to save both yourselves money on gas. Remember, the small sacrifices you make now will pay off in the long run.

cheaper ways to travel

13. Invest In Pre-Tax Savings Options

Take advantage of automatic contributions to boost your retirement savings. By setting up regular contributions to your employer-sponsored retirement plan, like a 401(k), you can use pre-tax dollars to fund your future. Not only will this help lower your taxable income but may also provide a valuable employer match program. Some employers will match your 401(k) contributions, effectively giving you free money towards your retirement goals. Keep in mind that most employer-match programs have a minimum contribution requirement to be eligible.

14. Become A Handyman

Learning how to save money fast on a low income could require some YouTube watching or WikiHow reading. Sooner or later, something in your house or car will need to get fixed. Nothing lasts forever. Having to pay a maintenance worker could cost a pretty penny for their services so learning how to do things yourself can help you save your money. If things aren’t clear, you could always ask a friend who might actually do that for a living.

pre-tax savings options

15. Unplug Appliances

Energy bills are a major expense for many households. Cutting down on energy bills is a smart way to save. Don’t just switch off the lights or appliances when you’re not using them, but instead unplug them. Even if they’re off, they will still continue to draw power. You can also replace incandescent bulbs with energy-efficient LED Light bulbs. Using energy-efficient appliances like washing machines or fridges will also help lower your energy bill.

unplug appliances


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Advertiser Disclosure:


Hiatus may receive compensation when you click on links associated with this Hiatus Learn Center. Hiatus is not being compensated for any application, quotation, or the purchase of any financial products.


Hiatus has partnered with MyBankTracker for our coverage of savings account products. Hiatus and MyBankTracker may receive compensation from advertisers when you click on links associated with these savings account products. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MyBankTracker does not include all companies or all savings products. 


Hiatus has partnered with CardRatings for our coverage of credit card products. Hiatus and CardRatings may receive a commission from card issuers. Opinions, reviews, analyses & recommendations are Hiatus' alone, and have not been reviewed, endorsed or approved by any of these entities.


Hiatus is not an insurer or insurance producer. Savvy is the licensed insurance producer supporting the Hiatus/Savvy program. All insurance information and underwriting is provided by Savvy and its licensed insurance partners.


Hiatus has partnered with AmONE for our coverage of personal loan products. Hiatus and AmONE may receive compensation when you click on links associated with personal loan products. In certain situations, compensation may impact where products appear on the site (including the order in which they appear). AmONE does not include all loan companies or all types of loan products.


You are being referred to ADVR LLC’s website ("Advisor") by Hiatus, a solicitor of Advisor ("Solicitor"). The Solicitor that is directing you to this webpage will receive compensation from Advisor if you enter into an advisory relationship or into a paying subscription for advisory services. Compensation to the Solicitor may be up to $2,000. You will not be charged any fee or incur any additional costs for being referred to Advisor by the Solicitor. The Solicitor may promote and/or may advertise Advisor’s investment adviser services and may offer independent analysis and reviews of Advisor’s services. Advisor and the Solicitor are not under common ownership or otherwise related entities. Additional information about Advisor is contained in its Form ADV Part 2A available here.

© 2024 Hiatus, Inc. All rights reserved

© 2024 Hiatus, Inc. All rights reserved

Advertiser Disclosure:


Hiatus may receive compensation when you click on links associated with this Hiatus Learn Center. Hiatus is not being compensated for any application, quotation, or the purchase of any financial products.


Hiatus has partnered with MyBankTracker for our coverage of savings account products. Hiatus and MyBankTracker may receive compensation from advertisers when you click on links associated with these savings account products. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MyBankTracker does not include all companies or all savings products. 


Hiatus has partnered with CardRatings for our coverage of credit card products. Hiatus and CardRatings may receive a commission from card issuers. Opinions, reviews, analyses & recommendations are Hiatus' alone, and have not been reviewed, endorsed or approved by any of these entities.


Hiatus is not an insurer or insurance producer. Savvy is the licensed insurance producer supporting the Hiatus/Savvy program. All insurance information and underwriting is provided by Savvy and its licensed insurance partners.


Hiatus has partnered with AmONE for our coverage of personal loan products. Hiatus and AmONE may receive compensation when you click on links associated with personal loan products. In certain situations, compensation may impact where products appear on the site (including the order in which they appear). AmONE does not include all loan companies or all types of loan products.


You are being referred to ADVR LLC’s website ("Advisor") by Hiatus, a solicitor of Advisor ("Solicitor"). The Solicitor that is directing you to this webpage will receive compensation from Advisor if you enter into an advisory relationship or into a paying subscription for advisory services. Compensation to the Solicitor may be up to $2,000. You will not be charged any fee or incur any additional costs for being referred to Advisor by the Solicitor. The Solicitor may promote and/or may advertise Advisor’s investment adviser services and may offer independent analysis and reviews of Advisor’s services. Advisor and the Solicitor are not under common ownership or otherwise related entities. Additional information about Advisor is contained in its Form ADV Part 2A available here.

App

Advertiser Disclosure:


Hiatus may receive compensation when you click on links associated with this Hiatus Learn Center. Hiatus is not being compensated for any application, quotation, or the purchase of any financial products.


Hiatus has partnered with MyBankTracker for our coverage of savings account products. Hiatus and MyBankTracker may receive compensation from advertisers when you click on links associated with these savings account products. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MyBankTracker does not include all companies or all savings products. 


Hiatus has partnered with CardRatings for our coverage of credit card products. Hiatus and CardRatings may receive a commission from card issuers. Opinions, reviews, analyses & recommendations are Hiatus' alone, and have not been reviewed, endorsed or approved by any of these entities.


Hiatus is not an insurer or insurance producer. Savvy is the licensed insurance producer supporting the Hiatus/Savvy program. All insurance information and underwriting is provided by Savvy and its licensed insurance partners.


Hiatus has partnered with AmONE for our coverage of personal loan products. Hiatus and AmONE may receive compensation when you click on links associated with personal loan products. In certain situations, compensation may impact where products appear on the site (including the order in which they appear). AmONE does not include all loan companies or all types of loan products.


You are being referred to ADVR LLC’s website ("Advisor") by Hiatus, a solicitor of Advisor ("Solicitor"). The Solicitor that is directing you to this webpage will receive compensation from Advisor if you enter into an advisory relationship or into a paying subscription for advisory services. Compensation to the Solicitor may be up to $2,000. You will not be charged any fee or incur any additional costs for being referred to Advisor by the Solicitor. The Solicitor may promote and/or may advertise Advisor’s investment adviser services and may offer independent analysis and reviews of Advisor’s services. Advisor and the Solicitor are not under common ownership or otherwise related entities. Additional information about Advisor is contained in its Form ADV Part 2A available here.

© 2024 Hiatus, Inc. All rights reserved

© 2024 Hiatus, Inc. All rights reserved

Advertiser Disclosure:


Hiatus may receive compensation when you click on links associated with this Hiatus Learn Center. Hiatus is not being compensated for any application, quotation, or the purchase of any financial products.


Hiatus has partnered with MyBankTracker for our coverage of savings account products. Hiatus and MyBankTracker may receive compensation from advertisers when you click on links associated with these savings account products. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MyBankTracker does not include all companies or all savings products. 


Hiatus has partnered with CardRatings for our coverage of credit card products. Hiatus and CardRatings may receive a commission from card issuers. Opinions, reviews, analyses & recommendations are Hiatus' alone, and have not been reviewed, endorsed or approved by any of these entities.


Hiatus is not an insurer or insurance producer. Savvy is the licensed insurance producer supporting the Hiatus/Savvy program. All insurance information and underwriting is provided by Savvy and its licensed insurance partners.


Hiatus has partnered with AmONE for our coverage of personal loan products. Hiatus and AmONE may receive compensation when you click on links associated with personal loan products. In certain situations, compensation may impact where products appear on the site (including the order in which they appear). AmONE does not include all loan companies or all types of loan products.


You are being referred to ADVR LLC’s website ("Advisor") by Hiatus, a solicitor of Advisor ("Solicitor"). The Solicitor that is directing you to this webpage will receive compensation from Advisor if you enter into an advisory relationship or into a paying subscription for advisory services. Compensation to the Solicitor may be up to $2,000. You will not be charged any fee or incur any additional costs for being referred to Advisor by the Solicitor. The Solicitor may promote and/or may advertise Advisor’s investment adviser services and may offer independent analysis and reviews of Advisor’s services. Advisor and the Solicitor are not under common ownership or otherwise related entities. Additional information about Advisor is contained in its Form ADV Part 2A available here.

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