July 11, 2019 BY

Small, everyday purchases are just one of the obstacles standing in the way of your financial freedom. RYAN FENNELL explains why we can’t afford to ignore the little things

Ever wondered why you struggle to save money? Well, firstly, you are not alone.

According to data from The Household Financial Comfort survey in 2018, a quarter of Australian households have less than $1000 in savings and one in 10 are spending all their income and more each month.

If you are overwhelmed by bills and struggling to save money, it is definitely time to take control of your finances.

Let’s begin by looking at some of the little luxuries you might be treating yourself to that can really add up. I’m not suggesting you give them all up, but understanding your spending habits will help you to make important changes that will save you money to put towards your bigger savings goals.


I know, I know … that takeaway coffee is one of life’s small luxuries that is tough to give up. But it is a costly little habit. Let’s say you spend $5 a day on your morning latte, over the space of a year it will end up costing you $1820. Even if you aimed to cut that spend in half by buying a coffee every second day, you would be saving at least $900 a year.


Buying bottled water is really tipping money down the drain. Not only bad for the environment, it’s also bad for your bottom line. Making the switch to tap water is the best way to pour more cash into your savings.


Check on your app subscriptions to ensure you are not paying unnecessary fees. Rethink any subscriptions you have to entertainment platforms such as Netflix, Stan, iTunes, Spotify and Foxtel. Are you using your gym membership? If not, cancel it if you can.


Buying your lunch from a cafe, as opposed to taking a packed lunch to work, is a convenient but costly option. Eating out will eat up your cash so it’s best done in moderation. According to ASIC, the average Australian household spends $44 per week on eating out. That’s almost $2300 each year without adding in home delivered or takeaway meals. Limit dining out to special occasions or important catch-ups and delete tempting food delivery apps from your phone.


We all have those small staples we buy regularly. Get in the habit of buying in bulk when you see your must-have household or personal items on sale. The savings over a year can add up to hundreds of dollars.


Impulse spending brings instant gratification but prioritising your bank account will put you in a much better position in the long term. As you can see here, small purchases can end up costing thousands of dollars over a year. Self-talk is a powerful thing so instead of telling yourself you deserve those small luxuries, change your mindset to one where you tell yourself you deserve to build wealth and that “every dollar counts”.

At Fennell West we specialise in working side-by-side with clients to get their cash flow right via our proven GPS Program which ensures clients put themselves back into profit and start saving money. We can get you where you want to go. If you would like us to help you map out a plan for your financial goals, contact us on 03 5557 3355.