Especially in the times like this, many of us find ourselves in a situation when saving money becomes an imperative.
Perhaps our job got downgraded.
Perhaps we decided to get out of the debt burden.
Whatever the reason, here are the three very simple tips on how to save money each month.
At the same time, we'll find how not to become a miser in the process but instead enjoy every minute of it.
There are just three simple steps, Establishing the current financial situation, Reducing the recurring payments, and Routing the remaining payments through a cash back credit card.
Let's put these easy ways to save money in action.
First, establish a complete picture of where the money is going There are only three ways you can spend money.
These are:

• credit cards
• online payments, checks written and debit card money spent from your checking account.
  Disregard online payments to credit cards here
• cash

Inspect your credit card statements from the past month, your checking account statement, paying a particular attention to cash withdrawals.
Categorize all spending into categories such as rent, food, entertainment, transportation, and attack the largest money sinks first.
Second, reduce or remove recurring payments In the previous step you will find that the recurring monthly payments are the ones most easily trimmed:

• Cell Phone: If you are paying more than $15/month, switch to a pre paid cell phone plan.
  You will save as much as $50/month or $600/year and hardly lose any of the functionality.
  
• Still using a home phone? Replace it with Skype, the internet phone service, and save as much as $30-$60/month.
  
• Insurance: Do you feel you must pay so much for your car and health insurance? Think again.
  I suggest you raise the deductibles on your insurance policies.
  With the monthly savings start establishing a health savings account that will cover the deductible, and a car savings account that will cover the deductible and contribute toward the next car purchase

Third, reward yourself Spend some of the money saved and reward yourself with an occasional trip.
Or do something you really like with the saved money, like going to the movies or going to a nice restaurant.
That way you will really enjoy the fact that you are learning how to save money each month.
You do not have to immediately spend all the money you save each month.
But be sure to think about the rewards as you are trimming down your spending.