Six ways to reduce household expenses

With interest rates and the cost of living rising, it’s more important than ever to reevaluate your expenses.

Here are six ways that you can reduce your cost of living.

Get the most out of your tax return

With the end of financial year approaching, brush up on what you can claim on your tax return so you can  get the best refund possible.

Work-related expenses can include:

• Vehicle and travel expenses.
• Clothing, laundry and dry-cleaning expenses.
• Home office expenses.
• Mobile phone, internet and home phone expense.
• Overtime meals.
• Self-education expenses.
• Tools and equipment.

The Australian Tax Office (ATO) provides lists of occupation-specific deductions which can help you to determine whether an expense is claimable.

You can also claim pandemic-related expenses, including COVID-19 tests if needed for the purpose of returning to work. Click here to learn more.

Review your energy needs

The only time most people think about their energy provider is when a bill is due. If it’s been a few years since you signed your energy contract, there may be a cheaper option available that better meets you needs. The Australian Government’s Energy Made Easy website helps Queenslanders to navigate the often complex electricity and gas retail markets to find a suitable energy plan. You can compare your energy bill against similar households in your area and find discounts and deals.

Compare fuel prices

Fuel is a significant expense for car owners. Find out where the cheapest fuel in your area is located with the RACQ Fair Fuel Finder app. The app automatically compares prices across multiple retailers to help you find the best deal. RACQ members can also save 4c per litre^ by presenting their membership card at participating Caltex and Puma Energy service stations.

Reduce bank fees

The average Australian spends about $876 per year on bank fees* including monthly account keeping fees, ATM withdrawal fees and transaction fees. Switching to a low or no-fee bank account could save you a significant amount of money. Checking your account balance regularly and planning ahead could also help you to save on dishonour fees that most banks charge if there’s insufficient funds for a direct debit to clear.

Use apps to your advantage

Groceries are one of the biggest household expenses, but shopping around can help you cut costs. Apps such as Half Price: Grocery Deals and Frugl can help you find the cheapest price for your regular grocery purchases. RACQ members can save up to 5% on pre-purchased Woolworths Group and Partner eGift Cards^.

Seek professional help

If you’re in financial trouble, reach out to the National Debt Helpline — a free, confidential and independent financial counselling that can help you manage your debts and get your finances back under control.

*Canstar

The information in this article has been prepared for general information purposes only and not as specific advice to any particular person. Any advice contained in the document is general advice and does not take into account any person's particular investment objectives, financial situation or needs. Before acting on anything based on this advice you should consider its appropriateness to you, having regard to your objectives, financial situations and needs.

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