*This post may contain affiliate links. Please read the full disclosure here.
The best way to stop living Paycheck to Paycheck is by saving money.
I know its nothing new, but there are new ways to do this, and we are going to look at each one of them.
Living a paycheck to paycheck lifestyle can be difficult because things can get out of hand, and when this happens – you need extra cash!
Whether it’s a repair in your home needing attention, a medical condition that needs to be taken care of or to prepare yourself with an emergency fund, extra money is needed.
There are only three tried and tested ways of doing it.
- Cut Down
- Budget
- Grow
As simple as this sounds, you might have trouble cracking it.
Lets first look at how best we can negotiate on this and later in this post, look at some free tools that will help you reach your target sooner than you think.
Are you ready to get rid of living in the paycheck to paycheck cycle?
**This post may contain affiliate links. Please read disclosure.
How to stop living Paycheck to Paycheck
1. Budgeting
Take a look at your income and expenses each month and make sure you have a little bit of money to set aside. You can call this an emergency fund, or some piggy bank money for the rainy days. No matter how small, make sure you do this each month.
It can be as little as $20 or $100.
However, if you do decide on going the $100 dollar route, I recommend you check out CIT bank’s savings builder. They offer one of the highest interest rates for money in your savings account.
CIT is an online bank that provides up to 2.30% APY, but they require you to put down a minimum deposit of $100 each month. If you are going to save $100 each month, might as well put it a savings account that pays you back, right?
There are endless ways you can budget.
As a mom, my biggest expense is usually shopping for groceries and clothes.
With growing kids, it might feel like they need new clothes and shoes every three months. The best way to shop for kids is with cashback sites and making use of digital coupons.
That’s right, I am not a fan of coupon clipping, only because as a mom to little children, finding the time to coupon tends to be difficult.
So I opt for all things legit and automatic.
I’ve found this really interesting online coupon finder called Honey.
The Honey app is a free to download browser extension that will automatically give you relevant coupon codes at the end of your online checkout. Saves you the time looking up coupon codes online – definitely worth a try.
I have saved money with the Honey app when ordering pizza’s online, some of my Amazon shopping and just last week saved $4 on a light bulb that cost me $12!
Definitely worth trying.
2. Cut Down
I know, you might not like the sound of this, but cutting down on expenses can really boost your income.
But where do you start?
Take a look at all your monthly bills.
Compare products available in the market and swap providers if you find one that offers a better price.
If you need help finding the right providers, you can try the Trim app. Trim is a bill negotiating service that helps you cancel unwanted monthly subscriptions or lower your monthly fees.
Another way is to swap for cheaper alternatives when you shop.
Here are some ideas that can help;
- Whole vegetables instead of pre-cut
- Natural oils for moisturises (and a healthy option too!)
- Shop Brand sundries instead of branded ones
- Buy in-season fruit and veg
- Stock up when there are deals available
- At the end of winter bulk up on winter clothing as prices go down.
- Do the same for summer!
If you are ready to experiment, I would recommend giving the no spend challenge a try. For a week, or a month try your best to spend as little as possible.
This not only builds up some savings but it also gives you the confidence that you can spend less.
3. Grow Your Income
Two ways to grow an income is to invest and take on a side job.
Investing with No Money
When we talk about investing, I know it might seem impossible to do so when you are living paycheck to paycheck.
But there is a way.
How does it sound to invest as little as a $1 a day, and… in automation?
With the Acorns app, you can do just that.
I love when you can save or earn money without putting a conscious effort, and this is exactly what this does.
The Acorns app is a micro-investing app where you save little money at a time.
Here’s how it works:
- Sign up with the Acorns app and connect it to a debit/credit card that you normally shop with.
- Next time pay for something using the connected card, the app will round up the total to the closest dollar and invest it for you.
The Acorns app is only available to those in the US. A Canadian alternative is the Mylo app, that works in the same way.
Side Hustles with No Investment
As a stay-at-home mom, there are a few side hustles you can do either when your kid’s nap or when you are out and about, using your phone.
For ideas to make you an extra $200 a month, you can try the following.
1. Survey Junkie is an online survey platform that pays you for your opinion.
They are legit and accept participants from the US, Canada and Australia. Their minimum age requirement is just 13 years and over, so kids at home can join in to earn up to $50 a survey.
2. Get paid to search the web with Swagbucks. This is a hugely popular multi-rewards site that pays you in the form of PayPal or gift cards. You can start withdrawing money from as little as $3.
To begin, you can sign up for Swagbucks here and verify your email.
Next, you can log in to your Swagbucks account and use their dashboard to browse the web and earn points. Additional points can be earned by doing daily surveys and using their cashback offers from thousands of retailers including Walmart and Target.
3. Next, you get hold of your shopping receipt don’t throw them away, instead, use the Receipt Pal app to earn gift cards and cash rewards.
Once you down the app on your phone you can snap pictures of your shopping receipt to earn. Receipts must be from stores located in the US and be no older than a week old.
4. Fetch Rewards is a free grocery app that saves money on shopping. All you need to do is to take a picture of your shopping receipts to earn points.
This is a free app that works at any grocery store in the US. You can also scan receipts from big box stores, drugstores and liquor stores.
No pre-selecting offers, no scanning barcodes, no surveys, no ads – you scan your receipts and you’ll earn points!
Need a little more than $200 a month?
How does food delivery during your kid’s school hours or only a couple hours a week sound?
With DoorDash you can deliver food locally using the DoorDash app. To be eligible to work with DoorDash you will need to be 18+, have a reliable vehicle, own an iPhone or Android smartphone, have valid insurance and pass a background and driver record check.
Another side hustle for moms that pay well is online tutoring. You don’t need to be a teacher or have previous experience to begin. Online tutors can make up to $400 a week, with just mentoring or coaching experience. You will, however, need to live in the UK, US or Canada to apply with VIPkids or Education First.
Make money as a Couple:
If both you and your partner are setting up an online business together, there are two business ideas that can replace your day jobs to make you over $11,000 a month. While there are side hustles that pay at least $1,000 a month, the two listed below are some of the highest paying ones.
Two of the best online jobs that work well for parents who would like to work together are:
1. Selling on eBay – Melissa and husband Rob make over $100,000 a year selling on eBay. The investment is minimal, as they buy flea market items and sell them online for a higher price. If this is something you are interested in learning, do check out their interview post here for details.
2. Virtual Bookkeeping Business – This is a lucrative online job that pays up to $60 an hour managing financial transactions for small businesses. You do not need to have a finance background or a degree in bookkeeping.
There are online courses that certify you to work as a bookkeeper. One such recommended course is the Bookkeeper Launch. A training program that you can complete in 90 days. Most students who take this course, handle clients even before course completion as you get a lot of support and advice from their private Facebook group that you get access to.
Take a free preview of the course here.
I was able to interview a few students who are now making a full-time income as a bookkeeper.
Cheyenne a stay-at-home mom, makes $3,000 a month 9 months in.
Kevin earns over $8,000 a month. Read both Cheyenne and Kevins interview here.
Finally, Amy earns over $11,000 a month with her bookkeeping business at home.
Tools to help you stop living paycheck to paycheck:
- Keep a budget spreadsheet to track your expenses.
- Use cashback apps like Ibotta and Rakuten to earn up to 40% of your money back
- Make use of coupon finding apps like Honey
- Get a flat $3/survey with Pinecone Research
- Earn between $2-$35 for product testing with Vindale Research.
