Simple Ways to Save: How to save an extra $1000 a year

Think of all the times during the year when you could use an extra $1000... for a trip you want to take, a larger-than-expected bill, or a bit of a splurge.

It's times like these, when we are cash-poor, that we tend to turn to credit as a solution, which does our budget no favours. Nobody needs more debt.

Instead, by making some consistent changes to how you spend and save, you can end up with an extra $1000 each year to play with. Watch the video above to find out how.

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The first step, according to 9Honey's consumer reporter Jo Abi, is to review your phone and utility bills.

"Ring your current providers and ask for a better deal, or compare the market, call back and ask them to match the best deals that you've found," Abi says. "Or, you can simply switch."

Abi also gives the advice of looking into refinancing your car and home loans, and paying down all your consumer debt.

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"That includes credit cards, buy now pay later, and those dreaded pay-day loans," Abi says.

"Throw as much money at them as you can to reduce those interest costs, and better still, pay it all off."

Lastly, the budget-conscious mum advises asking a professional for free advice.

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"You can either find this at your bank, or look for someone who works independently of the banking system," she says.

"You don't have to do this on your own, there's information out there that you can access for free."

To learn more about budgeting tips successful people wished they had known earlier, click here.

For more information about other Simple Ways to Save, click here.