Where Does Your Money Go?

WHERE DOES YOUR MONEY GO? If you earn $51,100 annually (after taxes), you make as much as the average American household - are your monthly expenses typical too?? HOUSING Average spend: $1,3182 Savings tip: Rent out a room in your house. That empty basement or uninhabited guest room could provide a good amount of passive income on a regular basis. UTILITIES Average spend: $1102 Savings tip: Switch to smart bulbs. LED bulbs emit light and heat in a specific direction, meaning they are more energy efficient and could save you more money on your electricity bill over time. FOOD AND BEVERAGES Average spend: $5502 Savings tip: Write a shopping list and stick to it. There are several strategies that supermarkets use to encourage you to spend more. Resist the temptation of "sales" and "limited time offers"-stick to your list to avoid unnecessary purchases. CLOTHING Average spend: $1342 Savings tip: Freshen up old clothes. Don't just buy new clothes because you're bored with your old ones. Instead, consider switching up the accessories you typically pair with them. Transform a day look to night with a great tie or a sassy set of heels. HOUSEHOLD FURNISHINGS Average spend: $1512 Savings tip: Buy at the right time. Sales go through cycles, making certain times of the year better for buying some products rather than others. For example, patio furniture tends to go on heavy discount at the end of summer. HEALTH CARE Average spend: $303 Savings tip: Preventative health care may seem expensive up front, but it should save you more in the long run. Catching problems before they happen or in their early stages usually means more options (i.e. physical therapy over surgery). Set up annual appointments with a general practitioner to touch base and make sure everything is functioning the way it should be! TRANSPORTATION Average spend: $7502 Savings tip: Use alternate transportation. If you live in a bikeable area, consider choosing two wheels over four. Not only is it good for your wallet, it's great for your heart and the environment. RECREATION Average spend: $206? Savings tip: Check out local events. Many park districts put on free or discounted events every month. Look for events like movies in the park, salsa dance nights, festivals and more.