The daily financial grind of balancing the family budget can be exhausting – and, at times, gets us all down – especially if you’re a family with a few kids.
But sticking to a budget doesn’t mean you have to deprive yourself of life’s little luxuries. After all, life is for living, and we deserve rewards for all our hard work. The trick is, to plan for them, keep impulse buying in check, and have a savvy strategy.
Two years in the making
A colleague of mine’s wife did this a few month back. For his 50th birthday she gave him an all-expenses-paid holiday for the two of them to attend the Italian F1 Grand Prix.
She had secretly put away $50 a week for two years to save for this. That and she also hunted down great travel deals.
So yes, it can be done.
Budget for indulgence
You too can save for a little luxury now and then. Sticking to your savings plan will be easier knowing there’s a reward at the end.
By budgeting for them, you’ll be able to afford some luxuries like dining out, non-essential shopping, or holidays – and treat these items as part of your regular expenses.
Here’s how.
Be a bargain surfer
Luxury products and experiences don’t have to come with luxury price tags. Surfing the internet makes it much easier to track down the best online deals on everything.
For instance:
Travel deals
- House swap: Websites like homeexchange.com and aussiehouseswap.com.au offer platforms for people to list their homes and swap with other like-minded families. If you live in the city, consider swapping with someone in the country or on the coast – and vice versa. A big plus: you get access to a kitchen, which saves on eating out.
- Chase the best currency conversion: If you want a luxury holiday, choose a country where your dollar stretches further. Asia and Pacific destinations such as Vietnam, Cambodia or Tonga often offer great value due to currency exchange rates.
- Travel off-season: Visit destinations when hotels and restaurants aren’t full, and discounts are plentiful. Shoulder seasons still offer good weather, but better value.
- Use credit card rewards: If you’ve always dreamed of flying premium economy or business class, use your credit card points to make it happen – just be prepared to pay those pesky taxes.
- Always ask for an upgrade: There’s no harm in trying! We have a relative who claims it’s their wedding anniversary at every hotel – and they often score a free bottle of wine or a room upgrade. (Tip: don’t say it’s your birthday – they might check your passport.)
- Book the cheapest room in a good hotel: Whether you’re in a suite or a small room, the pool, spa, restaurant, and hotel amenities are the same. Most people don’t go on holidays to spend all day in the room, anyway.
Luxury secondhand products
- Use online marketplaces: Gumtree and eBay have bargains on everything from strollers to televisions – often in mint condition.
- Buy used or older model cars: New cars lose value the minute they leave the dealership – up to 50 per cent in the first five years. Check out sites like carsales.com.au and drive.com.au for deals.
Coupons for luxury
- Don’t be embarrassed to use coupons: They save money on everything from dining out to dry cleaning. Keep them in your wallet or near the front door so you remember to use them.
- Look for online coupon codes: Before making any online purchase, do a quick search for a coupon code. Just type the product name plus “coupons” into your search engine and see what pops up.
Save on fashion
- Buy less, but better: Invest in a few high-quality pieces that last and look great, rather than loads of cheap items that wear out quickly.
- Buy secondhand: Op shops and online resale platforms often have designer and high-end clothing at a fraction of the original cost. Hunt for brands you know and love.
- Rent a great outfit: Men have been renting tuxedos for years – now women can rent designer dresses from websites like GlamCorner or The Volte. Look amazing for $100 instead of spending $500–$1000.
- Embrace costume jewellery: Diamonds may be a girl’s best friend, but cubic zirconia looks just as good – and is far more budget-friendly. There’s a huge range of high-quality costume jewellery available.
Gourmet groceries
- Buy fancy ice cream at the supermarket: Instead of spending $6 on a scoop at a specialty store, grab a premium litre from the supermarket. It’ll cost about the same and last the whole week.
- Shop at the local farmers’ market: Great quality, great value, and a great outing. Make it a weekend tradition.
- Grow your own herbs: Fresh herbs take home-cooked meals to the next level. Basil, mint, and parsley can thrive on a windowsill or balcony.
- Buy in bulk: Stock up on costly or organic groceries by buying in bulk from markets – you’ll save money in the long run.
