How to Cut Monthly Expenses as an eLearning Professional

Nothing can be said for certain except death, taxes, and spending copious amounts of your hard-earned money on cold brew lattes and streaming subscriptions. Listen, life is hard. We’re all guilty of unnecessary spending here or there. That’s why today’s blog is all about cutting down your monthly expenses!

The most important part of dealing with your money sitch is also one of the most excruciating. Womp womp! But in order to plan for your new, vibrant, and financially independent future, you’ve got to explore your current relationship with money. The first step is being honest with yourself about your monthly expenses.

You can’t plan for what you don’t know, right? This sounds super weird, but you may actually start sleeping better once you get a full financial picture of yourself.

That being said, let’s check out some possible ways you can reduce your monthly expenses! Don’t worry, it won’t be too painful. No one is coming for your cupcake budget. Not on our watch!

Car Stuff

Sell Your Car

Got a car? Sell that car! If you own a car and are paying a loan with 12+ months left, then sell it to pay off the loan. The tricky thing about this is making sure that the current sales value of your car will cover the total cost of your loan. You don’t want to be in the red!

Buy Used

Need a car? Buy used! You can buy a decent used car (through private sales) on Facebook Marketplace or some other equivalent. You can usually score a decent one with 150,000 miles or less for under $4,000. You might be able to take some of the cash you get from selling your newer car to pay in FULL for a used car that is in excellent condition.

Ride-Sharing

If you live in a more urban area where you can walk or take public transport to the basics, do the math as to whether you need a car at all. Since you’ll mostly be working from home, maybe the total monthly cost of Lyft or Uber trips will come out to be less than what you would pay for a car and insurance.

Insurance Stuff

Shop Around for Cheaper Rates

Google “independent insurance agents” in your state, and make sure to choose one that deals in both auto and homeowners/renters. Call a couple of them up and say you’re looking for a combined home and auto insurance policy. These independent agencies are the good kind of brokers. They work for you!

They are connected to several insurance agents who can provide you with policies at a competitive price. This will save you a ton of time from calling every insurance company in the book to get quotes. Instead, the independent agent can give policy estimates directly to you over the phone after you give them an idea of what properties you own and how much coverage you want. Just by going to an independent agent, you can save at least $500 per year. So let them do the work for you!

Food Stuff

Go to the Store Less Frequently

If you go to the store 3 times per week, then try cutting it down to once a week. Then try cutting it down to twice a month. This cuts down the “impulse buying” that happens from frequent visits to the grocery store!

Use a Calculator When You Shop

Using a calculator when you shop makes you aware of how quickly food costs add up and forces you to rethink what’s in your cart. Boo! Informed food decisions—BOO!

Maybe a store brand option is cheaper but the same quality as the name brand stuff. Or maybe you don’t need four different kinds of cheddar cheese (or maybe you do…no judgment.). There’s a calculator right on your phone, so why not break it out and give this method a try!

Brew Your Coffee at Home

If you’re a coffee enthusiast like us, you know how quickly a cup or two of brown bean juice a day can add up! Brewing your own coffee at home will save you a lot of money in the long run. Plus, you can experiment with all kinds of unholy flavor combinations! It’s science…for your mouth.

Go Cash Only

Don’t use your credit or debit card because it’s less likely to register in your brain that you’re actually spending your hard-earned dollars. Bringing only a budgeted amount of cash will give you a limit on what you can spend. This will keep you accountable for shopping wisely and you won’t be surprised by the amount of your transaction later.

Entertainment Stuff

Cut the Cord

Look at your cable bill (ew) and see what you’re paying for internet service and TV. If you’re like most people who still have “regular” cable, this bill could be running over $200 per month! Cut the TV service but keep the internet from your service provider. Internet on its own is usually $50-80 a month.

Review Your Streaming Services and Memberships

We all know we’re living in both the best and worst timeline when it comes to entertainment. Sure, most anything is available to us at any time anywhere, but usually it’s sitting behind some sort of membership or subscription paywall. What a cruel, cruel world!

It’s good practice to do a check once in a while on all your subscription services. You want to be sure that you haven’t been auto-renewed to any unwanted services, or that you have subscriptions you’re not using very often. There are loads of apps out there to help you track and manage your paid subscriptions super easily!

Credit Card Stuff

Reduce or Stop Credit Card Use

We hope you don’t have a ton of credit card debt, but life happens and sometimes shows no mercy. Some people are faced with high-interest rates on debt balances of over $10,000. Not the best situation to have at the beginning of a freelance career, right?

If you owe thousands there may be a point in your early freelie days where you find it hard to pay a credit card bill. First off, stop using your credit cards. Hide them!

Call Your Credit Card Company

Ask what your options are to reduce your monthly payment. Explain the financial situation you’re in (i.e., you’re a freelance consultant with a variable income) and ask them to help you reduce your monthly payment. You have nothing to lose!

Consolidate Your Debt

You might be able to find a personal loan with a way better interest rate. You could also look into a balance transfer to another credit card that has a special “no interest” rate for a certain amount of months. This break from accruing interest could give you a jumpstart in paying down your debt.

Conclusion

Whew! That was a lot, wasn’t it?! One of your first goals as a new freelancer is cutting your monthly expenses. These seemingly “little” things could save you a lot of money over time, giving you more cushion later when business is slow or you just want to take some time off. Yes, some of these tasks are a little tedious but they are so worth it in the end!

And don’t forget to pat yourself on the back along the way! This is stressful stuff, and you’re totally nailing it. And you can’t put a price on that, baby!