We all love payday — once our well-earned money hits our bank account, we go out to spend it, which sometimes includes purchasing unnecessary items! Making New Year’s resolutions can often be disastrous, with 80% of people failing by February and regretting it instantly — have you managed to keep yours up? One of the most common New Year’s resolutions is to cut down on spending, and although this sounds achievable, if you don’t have a fully-fledged strategy in place, the likeliness of failure spirals out of control.
The worrying thing about being an adult is knowing that out of anywhere, an unexpected expense could appear — causing you to use money you may not have to fix the problem. It all adds up. For that reason, we’ve made some assessments on how those extra savings can come in handy if something like that was to occur.
Making the change from your own vehicle to public transport
As most of us travel to and from work on a daily basis, changing the way we get there can influence the amount we spend. Using a mega ticket, you will be able to travel as much as you want and can tailor your own needs to the ticket type. Whether you’re in need of a weekly bus pass for your travels, or a monthly one — you will find yourself making a huge saving in comparison to paying for singular bus fares every day.
Those with their own vehicle will spend an astonishing £168,880 over their lifetime. With efficiency growing in public transport, there is no reason for you not to consider making the bold move that could help you fulfil your resolution this year and save you a fortune.
The biggest factor into the cost of running your own vehicle was the price of petrol, which total £1,052.04 on a yearly basis. Servicing a vehicle costs can add up to £441 over a twelve-month period — which can change depending on the individual’s situation. MOTs can cost up to £168.46 annually. Cost of parking is on the rise, and with more vehicles on the roads, there seems to be a higher demand. Over the year, a motorist can find themselves paying £145.80 on parking. When it comes to insurance, this can sway dramatically as younger drivers will find themselves paying a higher cost to be on the road — on average, insurance costs an experience driver £436 every year. Tax can equate to £116.35 on a yearly basis. Car supplies can cost a driver £29.61 and if you were to go abroad and wished to drive, holiday rental cars can leave you £180 out of pocket. Speeding tickets equal £25.12 for the average driver here in the UK. This would cost a driver £2,594.38 in total where commuters find themselves paying considerably less for a significant service — imagine the saving you would make with a megarider ticket!
The price of your lifestyle
How much does coffee cost you?
According to research carried out by MyVoucherCodes, Brits visit coffee outlets three times per week — an unsurprising figure when you consider there are over 21,000 stores in the UK. This means that Brits visit coffee shops around 156 times a year with an average spend of £8.52 — with travel expenses, this could go up to £13.85. This creates an annual average spending of £2,600, the majority of which could be saved if you were to opt for taking your own coffee to work.
We found that the amount of coffee you could make on your own if you bought a 250g bag of Douwe Egberts stood at 30 cups! When looking to see how much a 1kg pack would cost, Amazon has it available for around £15, meaning that each cup of coffee would cost close to 13p. Try taking a flask to work or even purchasing an on-the-go coffee cup that will see you through your day.
How much does smoking cost you?
With the price of cigarettes going up, and only boxes of 20 being available — if you smoked 20 per day, you could make a total saving of £3,796 after the average packet costing £10.40. MoneySupermarket.com has also stated that non-smokers pay around £6,309 less for life insurance.
More smokers are turning to vaping, which is a recent phenomenon changing the modern lifestyle. 10ml bottles of liquid cost around £5 on average — saving those who turn to vaping around £1,900.
How much does buying your lunch cost?
Preparing your lunch before work can be a difficult task, which has left people purchasing their lunch on-the-go. But what if we told you that, on average, forking out for lunch every day could cost you £1,288 according to research carried out by VoucherCloud? Evidently, you could make a huge saving by preparing your lunch at home — whether this is making a quick sandwich or taking in a tin of soup to heat up. When we looked at the total working days in 2017, there was 252 — if we went by Poundland’s price of tomato soup, which is 50p, you would find yourself paying £126! A massive saving for anyone looking to cut down on costs.
The most common types of expenses
54% of people experienced an unexpected cost within the home — and all were unprepared financially. On average, these costs totalled £248.70 — showing that any saving is beneficial for occurrences like these. 47% of these issues happened in the kitchen, a room which is essential to the day-to-day running of any home. Using the savings you would have made by taking your own lunch and coffee to work, quitting smoking, and travelling smarter — you will be able to make life easier and minimise the stress of these unexpected expenses. It was also found that 35% of people had to use a credit card to cover the costs of unexpected expenses. With 18% of them not being able to pay more than £100 on their own, 17% had to borrow from friends and family.
This article was brought to you by Stagecoach, providers of cheap bus fares that will help you make the most appropriate changes to your spending patterns.