If you are unemployed, it can be difficult to adjust your finances to avoid burning through all of your savings or going into debt. However, there are several easy steps you can take to reduce your expenses during your job search. A quick examination of your monthly spending habits and bills may reveal some simple ways to save money.
One of the best ways to save money is to switch your auto insurance policy to a new, cheaper provider. If you’ve recently lost your job, it is likely that the number of miles you are putting on your car everyday has gone down dramatically. You don’t have to keep paying an expensive premium if you are no longer a daily commuter. The amount of driving that you do is a significant factor in the price of your auto insurance policy. If you are driving less, compare auto insurance quotes and save money.
If you are still driving frequently, make sure that you are doing everything you can to use less gas. The initial investment of a tune-up will quickly pay for itself at the pump. Even the simple task of checking your tire pressure can improve both miles per gallon and prevent excessive tire-wear. Also, consider reducing the number of cars in your household. If you can share a car with your significant other or get rid of a car that you don’t need, you will have less maintenance, fewer car payments, and cheaper car insurance.
Most importantly, take stock of your finances and set a reasonable monthly budget to help you get through the rough spot. Once you have itemized your spending, it is easy to single out expenses that can be temporarily (or permanently) reduced or eliminated. Luxuries like eating out and expensive shopping trips are usually the first thing to go. Some easy ideas: movie night at home instead of the theater, picnics in the park instead of eating out, and buses or bike trips instead of cab rides.