Tips for single income households

Living in a single income household can be difficult, especially if your family is transitioning from a double income home.

Whatever the reason may be for this set-up, such as a sudden loss of employment or even a deliberate choice in employment arrangements, living on a single income can work for you.

Learn how to make single income living work for you and your family with these tried-and-tested tips from Metrobank.

Make a budget

The best way to maximize your finances is to make a budget.

A budget helps you understand where your money goes and allows you to control your spending by allocating how much money you can spend in different categories.

No matter your living situation, creating a budget is always a good idea. There are many different budgeting methods, so try different ones to find what works best for you.

Live within your means

Transitioning from a double income to a single income lifestyle is quite the change, so be honest with yourself about what you can and can no longer afford.

Don’t go into debt attempting to maintain the same lifestyle you used to have. If you used to order out five days a week, limit it to twice a week instead. Or if you’ve made a habit of upgrading your smartphone to the latest release as soon as it comes out, this may no longer be practical.

If you are using your credit card to pay for various items, ensure you can pay your bills on time to avoid incurring late fees and interest.

Downsize

Look at your life and see what you can do without. There are probably a number of things you are currently paying for which you don’t actually need, such as cable subscription, gym memberships, or a second car.

Add to cart wisely

Online sales can be your worst enemy, but it can also be your best friend.

There are a lot of great deals being offered during monthly sales, so keep your eyes peeled. If you can time your grocery shopping around them, you can purchase your household goods such as laundry detergent, pantry staples, and toiletries at a fraction of the cost.

Do it yourself (DIY)

The Internet is a treasure trove of information, so make the most of it.

If there’s a simple task you need help with, like fixing a tap or cleaning your gutters, consider doing it yourself instead of calling a plumber or repairman. These small fixes will pile up and can save you thousands of pesos down the line.

Living in a single income family involves a lot of sacrifice, but once you’ve gotten used to the changes you’ve made, it becomes habitual. It may seem difficult at first, but it gets better in time.

Let Metrobank be your partners in your financial journey. Open a savings account with Metrobank today.