Many of us enjoy having an excess of money so that we can have fun. We could spend it on things like holidays, hobbies, entertainment and other things that bring us a lot of fun. However, as this spending is not necessary it can mean that there are many of us that do not really have enough money to spend on these sorts of things. Obviously, it is sensible to prioritise spending and buy necessities first and borrowing money for fun might not feel like the right thing to do. However, there might be ways that you can free up more money to have fun with.
- Compare prices – it can be sensible to compare prices on everything that you buy, whether that is necessities or luxury items. If you can find the same items sold for less money then you can save that way or you might be able to switch to a different brand and save more. It will take time to think about the cost of every single thing that you buy and look into whether you can pay less for it, but it can be worth it. Each small saving that you manage to make will add up and it should make a difference to how much money you will have left over to have fun with. To save time, you can often compare prices online. For things like financial products, food and insurance there are comparison websites. Although they often do not include all products, they will still give you an idea of whether what you are paying is a lot more than what you could pay if you went elsewhere. For other products you may have to look at different retailer’s websites to compare prices. You might think that you know which will be cheaper because certain retailers have a reputation for being cheaper, but you may find that you are surprised. This might be because certain places have a sale or because the cheaper retailers actually sell items in smaller quantities so although the price per pack is less, the price per 100g is less.
- Cut out unnecessary spending – many of us buy things that we do not really need to. It can be hard cutting back on the things that we really like, but you will find that there are some things that we like more than other things. If you ask yourself whether you really want something every time you buy something then you will consider it more closely and you might decide that perhaps you could go without it. Also, you may have subscriptions or regular payments for things that you may have forgotten about. Therefore, check your bank statement and look at all of the payments going out and you will be able to see whether there are any that you do not recognise or no longer need. You might be surprised at what you discover.
- Save up – if the things that you like to do to have fun are expensive, such as holidays, then you will benefit from saving up some money towards it. Putting away a set amount each month using a direct debit to transfer it to a savings account can be the best way to do this. If you do this just after you are paid, you will have the money available to do it. You may need to budget carefully to be able to afford to do this and it can be wise to think about what you can afford. It may just be a small amount but it will all add up and if you stay motivated, you may even be able to save a bit extra if you are careful with your spending each month.
- Borrow – another option is to borrow money from somewhere like Cobra. Many people will borrow moneys o that they can go on holiday, eat out, do things with friends or finance their hobbies. Loans can be handy for this sort of thing but it is important to make sure that you are able to repay them and that you are aware of how much they cost. You will be able to calculate this before you take out the loan and so you can decide whether they will be a good idea for you. Start by working out how much you can afford to repay each month by looking at your bank statement and seeing how much money you have available each month or how much you will able to make available. You might be able to reduce spending in other areas to make it possible. Once you find a loan which will allow you to borrow the amount you need and that you can repay in instalments that you can afford, you can then work out how much it will cost. It could be easiest to ask the lender this question. Of course, if it is a variable interest rate then the cost could go up if interest rates rise, but the cost could also go down if interest rates fall. It could be best to just calculate it based on the current rates and see whether you feel that it would offer good value for money.