Top 10 Things People Spend Way Too Much Money On

Jul 16, 2018

When it comes to ‘adulting’ there are some expenses that most of us will have no choice but to deal with. For example, the utility bills won’t pay for themselves! It’s a fact of life that we will have to work to pay for important outgoings.

However, there are some things that {we spend far too much money on in the UK}(https://www.moneyadviceservice.org.uk/blog/do-you-know-the-most-common-ways-you-waste-money%3F. Regularly spending on unnecessary expenses can add up over a period of time. Imagine what that money could go towards instead? So, instead of spending money on a coffee from the local coffee shop every day, you can make your own coffee and save the money you would have spent. Chances are, the coins will add up and will be enough to pay for something you’ve been saving up towards, such as a holiday.

Anyway, here are the top ten things people in the UK spend way too much money on. If you find yourself spending a lot of money on these items, then it’s time to scale back, because in the long term you will be able to save on hundreds of pounds a year.

1. Takeaway meals

Now, there is nothing wrong with treating yourself to a takeaway with your friends or family once in a while. After all, some of us like to spend our Saturday nights eating pizza and watching entertainment TV, and ‘fish and chip’ Friday is a tradition in British culture.

But regularly eating takeaway meals is not only bad for your health, but also bad for your wallet. If you find yourself consuming takeaways and ready meals most days, then stop.

Learn to cook meals from scratch, because you’ll save money and be healthier in the long run. If you often find yourself too tired to cook or you feel as though you don’t have the time, then search for ‘30 minute meals’ online and you can make yourself and delicious, nutritious and nourishing meal in not much time at all.

2. Paying for lunch at work

That £3 meal deal may not sound like much, but over the course of the week and of the month, it adds up. To save money on lunch, make your own the night before and take into work. As for snacks, you can buy fresh fruits and vegetables at your local market so you won’t feel tempted to buy sugary snacks or reach for the biscuit tin. Some supermarkets and brands sell fruits and vegetables in a box so you’ll have plenty to munch on.

3. Satellite TV and media subscription services

Satellite TV can be a costly expense, so really evaluate if it’s something you need. Chances are, you probably don’t watch most of the channels and you may not have the time. If you want the perks of satellite TV (without satellite TV) then switch to cable (try to get a cable bundle deal with phone and internet) or get rid of it and switch to Freeview, which only requires a one-off payment.

In this day and age, it’s very common to subscribe to online entertainment services such as Netflix, Now TV or Amazon Fire, but once again, you need to evaluate whether this is worth the expense. If you hardly watch TV then it’s not worth it.

Alternatively, if you’re completely done with TV, then get rid of it. You can save yourself £149.99 a year because you won’t have to pay for a TV license, and you can listen to the radio instead. Invest in a DAB radio and enjoy a plethora of radio stations to choose from.

4. Utility bills

Unfortunately, most of us will have to pay the bills. But, you might be spending far too much on utilities. Many people are blindly loyal to energy companies so they make the mistake of not shopping around for the cheapest tariff. Always shop around and check comparison websites for the best deal. Also, cut down on the amount of energy you’re using. You can have five-minute showers, turn down the heating and disconnect electrical appliances that don’t need to be plugged in.

5. Coffee (or any other hot beverages)

With multinational coffee shops on every street corner, it’s so tempting to make regular trips to the local coffee chain, especially when we’re on our lunch break or out and about. Each £2 or £3 hot beverage adds up, and many coffee shops charge extra for takeaway coffees so you’d have to pay extra.

To cut down on the cost of hot beverages, make your own. Buy a reusable hot flask and add the hot drink of your choice. If you ever feel tempted to pop into your local coffee shop, then estimate the cost of the drink and put the money into a piggy bank instead. Keep on depositing your coins and over time, you’ll have a huge stash of cash.

6. Going to the pub or club

It’s okay to socialise with your friends from time to time, but going to the pub or club most evening is a sure fire way to reduce your bank balance. Alcohol prices include tax so they can quite expensive. The same applies to drinking at the club, plus some clubs charge entry fees.

To save money, switch to non-alcoholic drinks, or spend some nights in, within the comfort of your own home.

7. Cigarettes and tobacco

Smoking is a really bad habit. It’s bad for your health (and can cause long-term complications in the future). It’s also an expensive habit too. According to the NHS, most people who end up quitting save around £250 a month, which equates to £3,000 a year. To cut down, it’s best to quit smoking and using tobacco products altogether. The NHS has a scheme in place that supports those who want to stop smoking.

8. Mobile phone contracts

Contrary to some people’s beliefs, a mobile phone contract is not necessarily the cheapest option. To be honest, if you’re spending £30-£50 a month on your phone contract, that’s a massive expense.

You can cut that expense by up to 50% (or more) by switching to a pay-as-you-go or sim-only deal. Some network providers offer a bundle of calls, texts and data a month for a certain amount of money per month and you can opt-out at any time - something that you can’t do with a contract.

9. Financial charges: bank, overdraft and credit card fees

Many customers get sucked into paying financial fees. Many of these can be avoided if you ensure that there’s enough money in your account for upcoming transactions and are savvy with your money.

10. Gym membership

Let’s be honest: most of us make it our goal or New Year’s resolution to join the gym, then we sign up and don’t utilise it. You don’t need a gym membership to get fit. Get yourself a pair of trainers and get jogging. Check out fitness videos on YouTube or pick up a fitness DVD and get exercising at home. Who needs the gym?

Take a look at your outgoing? What do you find yourself spending too much money on? Do you have any expenses that you could cut down on?