Money Saver Tip: How Paying with Cash Can Help You Save

5 Mar


How often do you swipe your debit/credit card?

For me, I would say I use my debit card an average of 5 times per day! I use it for everything and NEVER have cash! It’s so easy to swipe your card for groceries, clothes, little odds and ends and gas.

I am at the convenient store to buy a drink but I don’t have cash, so what do I do? I buy something else like a candy bar or a special snack for my girls because I don’t want to swipe my card for $1.00. So instead of spending $1, I have spent $5-$10. This doesn’t sound like a lot, but if you do this a 3 times a week, instead of spending $3 total on a soda at the convenient store, I spent $15-$30.

What about the grocery store? I have my grocery list and planning on purchasing just the items on my list. My kids ask for a certain snack and I end up buying it!! Or I see things that are not on my list that I end up buying. Why not? I’m using my debit/credit card so what’s a few extra items. So instead of spending $150 at the grocery store, I have spent over $200.

Benefits of Using Cash

  • It is harder to let go of the actual cash than what is is to swipe your card so when using cash, you will see that you are not spending as much money. In return, you will have extra money to put towards other things!

  • If you use cash, you won’t be as tempted to buy all the “extra” things.

  • You are more cautious at the grocery store because you don’t want to go over the allotted amount you have in cash to spend.

  • You don’t buy the extra shirt that you hadn’t planned on purchasing because you don’t want to go over the amount of slotted cash for clothes.

  • You see firsthand the amount of gas you use, so you are more cautious about the gas you use. Instead of running errands a couple times a day, you might get it all done at one time.

Personal Experience

7 years ago, we used the cash system and paid off lots of debt which allowed me to be a stay at home mom. Over the years, we slipped back into using our debit/credit card out of convenience, so we have accumulated debt. After brainstorming ways we could save, (cut back on cable, phone, or Internet), we came to a simple conclusion…… GO BACK TO THE CASH SYSTEM! It worked with us before, so it will work again!!

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