Ashley Donohoe
5 min read
If you think about your spending habits, you might easily see ways you’re losing money. Perhaps you often fall for impulse purchases on your Target run, or overspend on clothing and electronics. But other money wasters might not even register with you as expenses.
Read Next: 4 Surprising Things That Could Impact Your Wallet If a Recession Hits
Find Out: 6 Popular SUVs That Aren't Worth the Cost -- and 6 Affordable Alternatives
In a recent YouTube video, financial expert George Kamel discussed nine ways you might lose money without knowing it. Avoid these mistakes to have more cash for your important goals.
If you think you’re saving by paying for streaming services instead of cable, you may be in for a surprise. A CNET survey found that Americans paid $98 per month on average for various subscriptions.
Kamel suggested ditching unused subscriptions, which can be hard to track and expensive. You can go through your statements to find forgotten subscriptions to cancel, as well as consider free alternatives, like free e-books and online videos through your public library.
Read More: 8 Frugal Habits You Should Never Quit, According to Frugal Living Expert Austin Williams
A big problem for many people is that earning more leads them to spend more. Whether you’re splurging on luxuries or just buying unnecessary stuff, that missed money will make reaching your goals a slower process.
Kamel said, “Moral of the story: Any time your income goes up, you’ve got to be intentional with that money and keep living on less.
As tempting as a convenient restaurant meal can be, you’re losing money due to the markups on the food versus cooking something at home. That’s why Kamel suggested only eating out occasionally to treat yourself.
Try planning your meals to make eating at home less stressful. Also, consider opting for generics, shopping for sale items and choosing bulk products to save money on food.
Your various credit cards and bank accounts may have fees that help the financial institutions profit while costing you money — sometimes in a sneaky way. For example, your accounts might have monthly or annual fees, or you might see fees on your statement for using your card at the wrong ATM.
Ideally, you’ll pick financial accounts that avoid or minimize fees. Kamel also suggested taking steps like budgeting to avoid overdrafts, using only in-network ATMs and not making late payments.
Kamel said, “If you’re carrying a credit card balance from month to month, like 48% of cardholders, then you could find yourself paying 25% APR.”
