Uncontrolled spending
You'll know this as 'impulse buying'. It looks like grabbing that extra item at checkout that's not on your shopping list.
What are good spending habits?
Good spending habits will look different to everyone. So it's easier to keep an eye out for the not-so-good ones. These show up in two ways:
Habitual spending
This is spending that adds up over time, like regular takeaways or meals out.
Keeping on top of spending
Making small changes to the way you spend money can make a big difference in your daily life and over the long term. Stay in control with these three easy steps:
Step 1: Investigate
Dive in and see how and where you're spending money. Try using ASB's budget calculator to work out your daily, weekly and monthly spending. Then, make a note of your money coming in, all your expenses and how much money you're paying into your savings account. If you can find any triggers that cause you to spend money unnecessarily, you can form new habits.
Step 2: Track your spending
This helps you identify where you can make changes with your spending. To get started, try Spend Tracker in the ASB Mobile Banking app. It automatically categorises your transactions and is a great way to see a monthly view of your spending. Most people find this eye-opening and can quickly see where they could cut back. It can also help you budget and prioritise where you're spending money.
Category ideas: Food, Entertainment/Going out, Fitness, Bills, Kids, Travel, Transport
Step 3: Make a game plan
By knowing what's happening with your money, you can start making the best decisions for you.
Spend Tracker
Track and see the trends in your spending with Spend Tracker, available now in the ASB Mobile Banking app.
Quick tips
Review your essential spending
Have a look through bills like your power, phone, and internet - and see if you're getting the best deals that work for you. You might be able to switch to save.
Cut back on non-essentials
These are things like memberships and subscriptions you don't use often - anything from the gym, to magazines and online services.
Separate your accounts
Stick to your budget by having different accounts for specific purposes (like bills, everyday expenses and savings). Some accounts might have fees, so it's handy to keep an eye on this.
Keep track
Track your ASB Visa card subscriptions in one place and see the shops and services where your card details may have been stored. Learn more about Card Tracker here.
Take control of your debt
If you're managing multiple interest rates, payment times and amounts on your debts, it could be a good idea to make a plan for your debt. Try these tips.
Get your bills sorted
If you're with ASB, set up bill payees to regularly pay a person or company, at different times, and for varying amounts. Setting payments up in advance using the ASB Mobile Banking app, or using Bill Payments on FastNet Classic, means you're less likely to forget later and incur penalties.
Pay your savings account like you pay your bills
Setting up automatic payments to your own savings accounts is a good way to ensure you're actively saving. The best time to do this is straight after pay day. See our how-to guide to get this set up now.
Regularly check your balance
Create a regular habit of checking your balance and you're more likely to spend within your means. Download the ASB Mobile Banking app and check your balance daily and on the go.
Stay informed with alerts
By setting up alerts you can keep track of things like your bank balance, when your credit card payment is due or when a payment fails.
Set a spending limit
Set a limit for each transaction and turn off online purchases to help reduce the chance of any unplanned shopping sprees. You can do this with ASB Card Control.
You've got this
It can be easy to lose sight of what you're putting all your hard work towards. Keeping handy visual reminders of what you're saving for, like a photo of your next holiday spot on your phone, will help you stay on track.
The information and tools suggested are intended to provide general information only. It is not financial advice and does not take into consideration your personal needs and financial circumstances. You should consider seeking financial advice before making any decision based on this information.
