Usually we find that we can afford the basic things that we need such as food, shelter and warmth, but that when we want some extra things, we may not have the money to afford them. This is becoming more and more frequent as many people have not had pay rises for a long time and prices are continuing to rise. Therefore, if you want some extras, whether you want to treat yourself, buy some gifts for friends and family or get things for your home, you may wonder how you will be able to afford it.
There are basically two ways that we can all get more money to spend on luxuries. We either spend less money on other things so that we can afford them or we earn more money. Of course, you can also do both at the same time.
Tracking what you are spending your money on can be a really good way to start. You will need to write down everything that you spend money on. This helps you to see where it is all going and you can decide whether you are happy with that or whether you want to change your spending habits. Sometimes it can be surprising to find out where you actually spend money and you may decide to stop buying certain things or to look for cheaper alternatives. Even if you do not want to change your spending habits, it is still really useful to have an idea of where your money goes.
Earning more money can be a better way to get more, rather than spending less. You will not have to cut back, but you may have to use up more of your time. This means that you may have to work extra hours in order to get more money. It is worth seeing if you can get a pay rise in your current job first though. This would mean that you would not have to work anymore to get extra money. However, pay rises are rare, but it is always worth asking, especially if you have not asked for a while. Doing extra hours in your current job may also be an option for some people too.
Earning money extra to your job is probably the way most people would need to get extra money. This could be done in lots of different ways. The most obvious would be to get a second job, perhaps working evenings and weekends to get more money. Although some people may be prepared to do this, it is not always possible for everyone to be able to do it. This means that they will need alternative ideas.
Working from home can be an option for some people, but it all depends on what skills they have and the time they have available. There are freelance jobs and other ways to earn money online which could be an option, but you will need to use your leisure time to earn. If you are caring for family, then this may not be possible and you will need to make sure that you get some time to rest between jobs as well. It also depends whether you have easy online access as well.
Some people may choose to buy the extra things that they need using a credit card. This can be a convenient way to get the things that you want but it is wise to think about it first. Understand how much interest you will be paying on the credit card if you do not pay it all off and make sure that you are prepared to pay that extra for the items that you are buying. Many people do feel that it is worth it as they would rather have what they want now and pay extra for the privilege. It is also wise though to make sure that you have a plan for paying the money back.
There are also other forms of borrowing you might consider to use as well. It is a good idea to compare the prices of different types of borrowing and the repayment schedule to pick the one which provides good value for money but also has a manageable repayment schedule.