Decide where you will spend your money. Stick to your spending plan. With less income, each spending decision is critical. Most people give high priority to fixed expenses such as rent or mortgage payments, insurance premiums, car payments and installment debt. Flexible expenses such as food, utilities, clothing, and household expenses can be more easily adjusted to fit your income.
Most people find it easier to cut back on flexible expenses.
All family members need to work together to reduce spending. When everyone pulls together, you are more likely to succeed in living on less. Together, the family should go through the list under each of the flexible expense categories. Check the ideas you think would help your family reduce spending. Add your family's ideas to each list.