Some of you may not know this but I’ve been a single mother for almost 20 years. When I say I raised my daughter by myself it’s not an exaggeration. I own a home, paid for private school education and have been able to travel all while working commission only sales jobs during some of the worst economic times. Right now we are on the verge of yet another sustained economic downturn and as most know, finances can and will get tight. Planning ahead and a lot of creativity can help make a little, go a long way.

Adulting 101. You MUST have a budget. It doesn’t have to be fancy. I prefer simple myself and use a free service called mint.com. In order to get finances in order, you have to know every cent coming in and every cent going out. Sync your accounts and don’t spend more than you have on any given month. Going into debt is the very last resort and you should avoid it at all costs. Avoid using credit cards if you can’t clear the balance every month. Similarly, do NOT dip into your retirement accounts unless it’s to avoid catastrophe.

Here are seven spending categories that can be creatively cut.

1. Housing: Be mindful of how much of your budget goes to housing and if necessary find a cheaper place to live or add roommates to offset the expense. Housing costs include your utilities. Be mindful of energy consumption. Turn off lights, turn down the heat, wear a sweater, close the doors and windows, water the lawn less frequently, etc. All of these will help reduce costs.

2. Food: Eat at home. Eat your way through your freezer and keep in mind, food is fuel. Not every meal will be your favorite. Prep future meals and pack your lunch so you aren’t tempted to go out or grab fast food. Look at how much your food costs and consider cheaper cuts of meat and generic store brands instead of name brand items. Follow sales, clip coupons and look for markdowns.

3. Shopping: Is it a want or a need? All purchases should require a 24 hour waiting period. Sure, you can put it in your virtual cart but you should wait at least a day to buy it. Did the desire for the purchase go away? Do you go shopping to cure boredom? Take your walk outside instead of going into Target. When you go to the store, don’t grab a shopping cart. If you have to lug it to the front of the store you may decide against it. Make a list and only buy what is on the list, regardless of the sale price and perception (deception) of savings.

4. Transportation: Cars are a luxury item. You could sell your car and take public transit or buy a cheaper car if public transit is not available. Car payments, insurance, gas, repairs, and maintenance can cost hundreds if not thousands each month. Locate the nearest bus or train stop and download the local transit app. Unless you live in a remote area there should be frequent and cost efficient ways to travel. If you must have a car consider increasing your deductible, carpooling, and trip planning to avoid unnecessary trips. Heck, you can save the climate at the same time.

5. Personal care: The nails, lashes, extensions, highlights, facials, waxing, and lasers are all optional. You can live without it, I promise. I get one or two haircuts a year and when I want summer highlights, I use a kit from the grocery store or spray lemon juice and sit in the sun. Find a haircut that needs less maintenance. Return to your natural hair color. Watch tutorials online and learn how to do things for yourself.

6. Entertainment: Take a look at your subscriptions and memberships and cancel them all. You don’t need cable television, you can work out at home, find free streaming options for music and videos, and consider your public library with their online options. Take your date out on no cost dates, take the family to the park, on a hike, or play games at home. Have the kids write stories, perform plays, or put on a talent show. Avoid expensive entertainment devices like game systems that require frequent upgrades or expensive games or controllers.

7. Communication: You don’t need a new phone. Really. Avoid the upgrade trap and look at gently used phones on resell sites. Look at your data usage and inquire about a cheaper plan. Consider switching to a new provider if their monthly deal is cheaper, you can always transfer your number.

I’m hopeful that our economy will make a swift recovery from this latest storm but I’m also preparing for the worst. By cutting spending today and creating a mindful budget before it’s a crisis, you will be well on your way to weathering this and all future storms.

Stay safe friends!

XO