Purchasing power and growing purchasing power

Sometimes it can feel impossible to fix one’s finances.  The problems have piled up so much that solving it seems impossible. The most common mistake is to strive to make big changes at once. Your income cannot magically increase in a short period of time to fix the issue, or a few hours of calculations also may not be a long-term fix.

This doesn’t mean that the issue is not solvable or that with small or big changes you couldn’t get a hold of your finances. A lot depends on starting from the right end and keeping goals and expectations as realistic as possible.

Instead of searching for one universal solution to fix the issue in a moment, it is better to look for a long-term solution where you could also change the way you could decrease your everyday life expenses and maybe even get extra income from changing your lifestyle with small changes.

What does purchasing power mean?

Purchasing power means the ability to buy services and products. Your purchasing power depends on your disposable income. 

This article includes:

• How to add income

• How to control your spending

Sell what you don't use, don't buy what you don't need

As important as having an income is, it is as important not to lose what you have earned into things that you don’t really need. 

Almost all of us have things at home that we don’t use anymore but they have value. The value of the unused or unneeded objects doesn’t need to be a significant value but by selling these in your local flea market or Tori.fi or various Facebook marketplaces can balance your everyday life finances.

Savings Tip 1: Home cooked meals

Very rarely people think of the potential of libraries and what they have to offer and how good of a source it is when you want to be spending less. If you’re not a book collector then lending books or audiobooks from the library could help you with unnecessary spending. From the library you can also lend movies and video games and even to those who like to read magazines, most libraries have daily newspapers and magazines available for reading.

Savings Tip 2: Library

Very rarely people think of the potential of libraries and what they have to offer and how good of a source it is when you want to be spending less. If you’re not a book collector then lending books or audiobooks from the library could help you with unnecessary spending. From the library you can also lend movies and video games and even to those who like to read magazines, most libraries have daily newspapers and magazines available for reading.

Savings Tip 3: Free entertainment online

The Internet is a gold mine for those who want to start saving with small things or aren’t very interested in paying too much for entertainment. Many of the Finnish TV stations offer for free access their archives and streaming services where you can watch movies and TV-series online. 

You can cut costs when it comes to your Spotify as well and make it free if you’re willing to listen to some ads between songs. Even YouTube has a lot of programming and music to offer for free.

Also, it’s good to keep an eye on your internet and telephone subscription and have a look at what you’re paying for, what services you are still using and what you are not using. Are they necessary or do you need to make changes to your subscription?

Summary

In this article our intention is to inspire you to think of different ways to increase your purchasing power and in what ways could you add to your savings. How can you keep your expenses in check with small simple steps that are beneficial in the long term for you. 

Think of the ways you’re spending your income and if there are cheaper options available. When you start making small changes into your spending habits can these have considerable changes in your lifestyle.