Find your spending hot spots
If you’re having trouble putting money aside, you’re not alone; 54% of Canadians say it’s a real struggle or impossible to save.*
When you’re trying to cut costs, start by zoning in on the “hot spots” — areas where you spend the most.
- Review your statements, receipts or financial software and group your expenses into spending categories.
- Zone in on one area — the category where you feel you’re spending much more than you should. Is it entertainment? Clothing? Food and household items?
- Set a target. Look for ways to reduce spending. For example, you might aim to trim entertainment spending by $10 a week. Talk to friends for their cost-cutting secrets, or find ways to help each other save, such as carpooling, alternating baby-sitting for a night out or holding pot-luck suppers instead of dining out. Start by checking out our ideas for cutting costs.
Once you’ve dealt with your hot spot, give yourself a pat on the back — and look for the next one.
* TD Canada Trust, 2011 Report on Savings
Learn how to cut costs and save more by zoning in on areas where you spend the most.