5 Small Decisions That Have a Big Impact on Your Finances

It’s easy to focus on the big things that affect your finances. The economy, your job, and how much debt you owe certainly impact how easily you can balance the budget or save for the future. 

But these big things can take a lot of time, effort, and a whole lot of luck to change. And in some cases — like inflation rates and global recessions — you don’t have any control over them whatsoever. 

A much more effective financial planning method is to focus on the small things you do have the power to change. Small decisions can have a big impact on your finances for months, years, and even decades to come. 

Not sure what small things can drum up big financial change? Here are some ideas to get you started — from your choice of personal loan to the way you shop for groceries.

Rate Shop Your Next Personal Loan 

You won’t always have enough savings for the next time your car breaks down or your roof leaks unexpectedly. Online personal loans are there to pick up the financial slack, so you can handle these urgent issues without delay. 

In an emergency, it can feel like you need to pick the first online loan for which you qualify, but give yourself some time to rate shop. Comparing the available personal loans online can help you get a feel for the average price of a line of credit or installment loan.

Knowing this information can help you be more informed about the best line of credit rate. 

Embrace a Meatless Diet 

Veganism is on the rise all over the world as people challenge the ethical, environmental, and health values of eating animal products. However, some people are making the switch for financial reasons as inflation hits meat and dairy products hardest. 

According to a recent survey, people who don’t consume meat spend $23 less on food every week. You stand to save $1,196 every year if you don’t buy meat or eggs.  

Hunt Down HISAs (High-Interest Savings Accounts) 

Interest doesn’t just apply to your next line of credit. It also accrues on your savings, paid by the bank. The biggest banks issue very small interest rates on their basic accounts. Most barely keep up with inflation when it’s at its normal 2%, so they’re falling behind today’s record-high inflation. 

To protect the value of your savings long term, switch over to an online High-Interest Savings Account, or HISA. You can earn as much as 5% with one of these. 

Don’t Shop Hungry

Have you ever gone to the grocery store with an empty stomach and come back home with snacks, sauces, and elaborate gourmet ingredients not on your list?

Hunger can convince you to fill your cart — and not just at the grocery store. Research shows hungry people will spend 60% more on non-food items than their less hungry fellow shoppers. According to scientists, the internal message of “I want food” shortens to “I want” whenever you’re out shopping, regardless of the items for sale. 

Simply waiting to shop until after you’ve eaten could save you a lot. 

Automate Your Finances

How often do you miss a due date or forget to save for the month? If you have other important things on your mind, you may overlook these financial tasks. Unfortunately, missed bills come with a price, and skipping your monthly savings leaves you unprepared. 

Automating these tasks can make sure you don’t miss another payment again. 

Bottom Line:

Saving money doesn’t always have to come from huge, sweeping gestures. Sometimes, the small decisions can save you a lot.