How To Live A Year Unemployed? – 14 Savings Ideas

Ailsa Adam June 2, 2021

Your unemployment must be bothering you way too much, taking away all the peace you have had in life. In addition, finance may have been the most significant player in this. However, obviously, you want to get back the peace of mind, and for that, you have to plan your finances well. It’s incredible how small changes in your financial planning can lead to bigger savings in the future.

Unique Way Of Living Life During Unemployment

This article contains fourteen unique ideas that can help you save money every month. Find out and implement them for a better financial future.

  1. Reduce your rent – Average British spends around £1600 on housing. If you are going through a similar expenditure, it’s time to downsize your rent expense. The easiest way to do this is to get a roommate with whom you can split the rent equally. It will reduce the financial burden on you while you get a partner to spend time with. Consequently, you’ll feel less stressed during the days of unemployment.
  • Refinance your mortgage payment – You may have taken a mortgage loan in the past and facing difficulty in paying the interest now because of no regular earning. In an instance like this, reducing your mortgage payment can drastically bring down your cost of living. To minimize your mortgage, you may look for better refinancing rates. Several mortgage lenders offer competitive interests and benefits. A bit of research can help you find the best option available. It will thus reflect in your overall monthly budget and expenditure.
  • Downsize your living space – Bigger your house is, the bigger will be its rent. In your unemployment period, it’s better to move into a small cosy apartment where the rent is less.  It will also help downsize your utility costs in electricity bills, garage charges, lift bills, and much more. If you think living in a small apartment can make you feel claustrophobic, then you are wrong! Even a small space can make you feel homely if you can decorate it in your own way. 
  • Cancel costly subscriptions – Subscriptions are additional expenses that people opt-in for when they have a regular monthly income. But when you are running low on finance due to recent unemployment, it’s better to cancel your subscriptions or at least lower it down. You can count on free apps like YouTube and Torrent for movies and music for the time being. Later, you’ll get enough time to binge on your favourite OTT platforms when you’ll have any money in hand.
  • Hold back your shopping habit for the time – Who doesn’t like to shop from luxurious brands! But with no regular income, such a luxury can become a burden for you. So, control your shopping desire till the time you cannot find a secure job. In the meanwhile, you can count on local brands! Several local brands offer good products at a lesser price. Also, online platforms provide branded products at discount rates. All you have to do is keeping your eyes open to grab the best deal.
  • Check out the best insurance company – Often, you’ll find different insurance commercials offering distinct interest rates. On doing a bit of research, you may end up getting better savings or investment options than the one you have right now. So, you must consult with multiple insurance providers when you are unemployed. You may end up finding medical insurance at half interest rate — won’t that be fun?
  • Get payday loans in urgency – You are unemployed means you do not have any regular source of income. But you may need a certain amount of money on an urgent notice, say medical emergency. In a situation like that, you can undoubtedly bank on installment loans for the unemployed from direct lenders. You can pay off gradually these short-term loans when you have a static source of income.
  • Avoid credit card debts during unemployment – When you are unemployed, it is better not to exceed your burden by increasing the credit card debts. Debt is a costly affair; especially, the interest rates for credit card debts are higher than other personal loan options. In addition, defaults on credit card payments can hit your civil score badly, resulting in no loan facility during serious exigency. So, try not to borrow from credit cards. You may get in touch with any direct lenders like EasyLoanHub in case of real need.
  • Shop second-hand – You’ll be surprised to know that you can save up to 50% by shopping for second-hand goods. From furniture to electronic products, you can get everything handy if you are opt-in for second-hand items. And on top of that, you can save lumpsum with each purchase. On the internet, you can find different sellers who are decluttering their houses by selling various products. Check you need anything from their list and negotiate as much as you can.
  • Save more on electricity bills – It’s possible to slash your electricity bill in several different ways, and it will help you save a lot of money. Start by unplugging appliances to prevent phantom energy, which is used even when turned off. Other options will include switching to fans instead of the air conditioner. These are simple adjustments that can help you save a lot of money.   
  • Declutter unnecessary items – If you look around your house with the motive of decluttering, you can find multiple redundant items. Consider selling them. It will help you get a certain amount in hand that you can easily transfer to emergency funds. It has been found out that an average decluttering can help you save £10 per square foot.
  • Use coupons while purchasing – Couponing is an easy way to save money. If you haven’t been using coupons all these years, it is high time that you start using as many coupons as possible. You can clip to digital coupons as well. As a result, you’ll see your savings on groceries and bills doubling up easily.
  • Compare cost before every expense – Be it mobile recharge or grocery shopping, or renting an apartment, you must compare the available market prices to choose the best one for you. Well, thanks to smartphones, it’s now easier to compare costs online. There’s no need to visit every store in the market to realize the best available price. In a few clicks, you can know about the best deal to save big bucks.
  • Stay away from gyms and restaurants – These costly expenditures are unnecessary during your time of unemployment. Till you can find a reliable job with a secure monthly income, avoid hitting gyms and restaurants. Instead, work out at home, taking the help of online yoga classes. In addition, cook your food as you’ll enough time for it as long as you are not exhausting hours in your office. Although it sounds cliché, these help you save bucks.

If you can implement these ideas, you can save much more than you think. Often, unemployment hits you so hard that you don’t realize these possibilities. But they are widely available — only, you have to make use of them to get over the hardest times in life.

Ending Remarks

Have you lost your job, or you didn’t get one because of the pandemic? Whatever your situation is, don’t start panicking. Take a few smart approaches to handle the financial crisis, and eventually, you’ll see your life is taking a smooth turn. You can also start listening to financial podcasts and reading financial blogs to stay motivated with your savings goals.

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