Living cheaply doesn’t mean going without. It means being smart with what you have.

It’s about cutting costs where it counts—without cutting your quality of life.

In this guide, you’ll find 25 simple ways to live more affordably.

The tips are broken down into clear categories like housing, food, transportation, and daily habits, so you can tackle each area one step at a time.

Cut Housing & Utility Costs

Housing is often the single biggest monthly expense. If you’re trying to live as cheaply as possible, this is the first area to tackle.

Cutting back here doesn’t mean sacrificing safety or comfort—it just means being intentional.

These strategies can significantly lower your fixed costs and free up room in your budget.

1. Downsize Your Living Space

Bigger homes come with bigger bills. You’ll pay more in rent or mortgage, more to heat and cool the space, and more to furnish it.

A smaller space naturally keeps your utility costs lower and encourages you to own less.

If you’re renting, look into studio apartments or basement units. If you own, consider whether selling or renting out a portion of your home makes sense.

Even moving to a cheaper neighborhood or rural area can make a big difference. The less space you have, the less you’ll spend to maintain it.

2. Get a Roommate

Living alone is a luxury that comes at a price. Adding a roommate can immediately cut your living expenses in half—or more.

Rent, electricity, water, Wi-Fi, streaming services, and even shared groceries are all opportunities to split costs.

If you’re already living in a multi-bedroom home, this is an easy win. And if you’re looking for a place, consider a shared rental instead of going solo.

Just make sure to agree on boundaries, bills, and responsibilities upfront. The savings are worth the extra coordination.

3. Live With Family (If You Can)

If you’re in a tough spot financially, moving in with family—even temporarily—can help you rebuild. It’s not always easy, but the trade-off is major savings on rent and utilities.

Many people use this option to pay off debt, build an emergency fund, or save for a major goal like a home or car.

The key is to approach it with respect and maturity. Set clear rules around rent contributions, chores, and how long you plan to stay.

Done right, this can be a strategic move that speeds up your financial progress.

4. Negotiate Your Bills

Most people never question their monthly bills—but you should. Call your internet, cell phone, or insurance providers and ask for a better rate.

Mention if you’re considering switching to a competitor or if you’ve been a long-time customer. Many companies offer loyalty discounts, promo rates, or lower-tier plans that aren’t advertised.

You can also bundle services for savings. Home and auto insurance combined is a common one.

Don’t be afraid to shop around and switch if you find a better deal. Just one phone call could save you hundreds per year.

5. Use Fans Instead of AC

Heating and cooling make up a huge chunk of your energy bill. During summer, switch off the air conditioner when you can and use ceiling or box fans to stay cool.

In cooler months, resist the urge to heat the entire house—focus on one room and dress in layers.

You can also use weatherstripping to stop drafts, unplug electronics not in use, and switch to LED bulbs.

These small adjustments lower your utility bill without sacrificing comfort.

Save Big on Food & Groceries

Groceries are another area where costs quietly add up.

But with the right habits, you can eat well without overspending.

These five tips help you cut food costs without sacrificing taste or nutrition.

6. Meal Prep and Cook at Home

Eating out is convenient—but it’s also expensive. Even low-cost fast food can add up fast when it becomes routine. Cooking at home is one of the most effective ways to save money.

Plan a few simple meals each week. Double the recipe and save leftovers for lunch or freeze them for later. Having ready-made meals in the fridge makes it easier to avoid last-minute takeout.

Meal prepping also helps you use ingredients more efficiently. You’re less likely to waste food, and you’ll know exactly what you’re spending.

7. Buy in Bulk

Some items are much cheaper when bought in larger quantities. Think rice, pasta, oats, canned goods, dried beans, and toilet paper.

Buying in bulk reduces the price per unit and means fewer trips to the store.

But not everything is worth buying this way. Only bulk-buy items you use often and that won’t expire quickly.

If storage is limited, consider splitting the cost and quantity with a friend or family member.

8. Eat Less Meat

Meat is one of the most expensive items in most people’s grocery carts. Cutting back—especially on beef, chicken, or pork—can lead to major savings.

You don’t have to go vegetarian. Just swap a few meals per week with cheaper, protein-rich alternatives like eggs, lentils, beans, or tofu. These options are affordable, versatile, and still filling.

9. Stick to a Grocery List

Impulse buys wreck your food budget. A list keeps you focused and prevents you from picking up random snacks or extras you don’t need.

Before you shop, check what you already have. Plan your meals around what’s in your fridge or pantry. Then write a list—and stick to it. If it’s not on the list, it doesn’t go in the cart.

10. Avoid Prepackaged Foods

Convenience comes with a price tag. Pre-cut fruits and vegetables, microwave meals, shredded cheese, and snack packs often cost way more than their whole counterparts.

Do the chopping, slicing, or portioning yourself. It only takes a few minutes and can cut your food bill significantly over time.

You’ll also have more control over ingredients and portion sizes.

Spend Less on Transportation

Cars are convenient, but they’re also expensive. Between gas, insurance, maintenance, and unexpected repairs, the costs add up fast.

If you’re looking to live more cheaply, transportation is another key area to trim. These tips help you get around for less—without giving up your freedom.

11. Use Public Transport or Bike

Owning a car is often one of the largest recurring costs after housing. If you live in a city or town with decent public transit, take advantage of it.

Monthly passes are usually far cheaper than fuel, insurance, and parking fees combined.

If your area is bike-friendly, cycling is another great option. It’s free once you own a bike, and it’s also great for your health.

Even biking a few days a week can lead to noticeable savings.

12. Carpool When Possible

If you need a car for work or errands, consider sharing rides.

Carpooling with coworkers, friends, or neighbors can cut your fuel costs significantly.

It also reduces wear and tear on your car and gives you a chance to split tolls and parking fees.

13. Walk More

Walking is underrated. It’s completely free and perfect for short trips to the store, school, or a friend’s house. The more you walk, the less you spend on gas or transit.

Not to mention, it also helps you stay healthy, which can lower long-term healthcare costs.

Look at your routine and ask yourself: could I walk this instead of drive? You might be surprised how much it saves over time.

Change Your Daily Spending Habits

Your daily habits have a big impact on your finances. Small, routine expenses can quietly drain your wallet.

But with a few intentional shifts, you can reduce spending without feeling like you’re missing out.

These tips help you stay in control of where your money goes—every single day.

14. Cancel Unused Subscriptions

Subscriptions are easy to forget about. Streaming services, apps, subscription boxes, online memberships—they often continue billing long after you’ve stopped using them.

Go through your bank statement line by line. Cancel anything you don’t use regularly. Even cutting just two or three monthly charges could save you hundreds over the year.

15. Buy Secondhand

Before buying anything new, check if you can find it secondhand. Clothes, furniture, electronics, books, and even tools are often available for a fraction of the price.

Thrift stores, garage sales, and online marketplaces like Facebook Marketplace or Gumtree offer great deals. Many items are barely used and still in excellent condition.

16. Use the Library

Your local library is a goldmine of free resources. Books, audiobooks, movies, magazines, and even online courses are available at no cost.

Some libraries also loan out things like tools, sewing machines, or kitchen equipment.

Take advantage of what’s already available to you—it’s one of the easiest ways to save money.

17. Skip the Name Brands

Brand names often cost more without offering better quality. Whether it’s food, cleaning products, or over-the-counter medicine, generic versions usually do the same job.

Try switching to store-brand items next time you shop. If you notice no difference, keep buying the cheaper option. These swaps add up fast.

18. Learn Basic DIY Skills

Fixing things yourself saves money—period. You don’t have to be an expert.

Just knowing how to patch a hole, unclog a drain, sew a button, or jump-start a car can prevent you from paying someone else to do it.

There are free tutorials online for almost everything. Start small. Each new skill helps you avoid future expenses.

19. Cut Back on Dining Out & Takeout

Ordering food is convenient but expensive. Even a “cheap” meal out often costs double—or triple—what it would to cook at home.

Instead of cutting it out completely, limit it. Set a rule—like eating out only once a week or only for special occasions.

You’ll appreciate it more, and your bank account will thank you.

Use Smart Financial Habits

Living cheaply isn’t just about what you stop spending on—it’s also about how you manage your money. These habits help you stay in control and make every dollar count.

20. Use Cash Envelopes

Using cash for specific categories—like groceries, gas, or fun money—helps you stick to your budget. Once the envelope is empty, you stop spending in that area.

This method keeps you aware of how much you’re spending in real time. It also prevents the “just swipe the card” mentality that makes overspending easy.

21. Track Every Expense

You can’t fix what you don’t see. Tracking your spending helps you understand where your money is actually going—not where you think it’s going.

Use a notebook, spreadsheet, or budgeting app. Write down every purchase, no matter how small. This awareness helps you spot habits that are costing more than you realized.

22. Delay Every Purchase

Impulse buying is a budget killer. The 30-day rule helps with that: if you want something, wait 30 days before buying it.

Most of the time, the urge will fade. If it doesn’t, and it still fits your budget, then go ahead.

This simple pause helps separate needs from wants—and keeps more money in your pocket.

Shift Your Mindset for Long-Term Savings

The way you think about money has a huge impact on how you use it.

Living cheaply isn’t just about short-term tricks—it’s about adopting a mindset that supports long-term financial freedom.

These final tips focus on changing how you see spending, so you save more by wanting less.

23. Embrace Minimalism

When you own less, you spend less. Minimalism isn’t about having nothing—it’s about owning only what adds value to your life.

Fewer possessions mean fewer things to clean, maintain, repair, and replace.

You save money, free up space, and reduce mental clutter. It’s a simple shift with big rewards.

24. Swap Instead of Shop

Before you buy something new, ask yourself—can I borrow it or trade for it instead?

Host a swap with friends for clothes, books, tools, or kitchen items. Check local groups online for people giving things away or open to trades.

It’s a smart way to get what you need without spending a cent.

25. Choose Contentment

The cheapest lifestyle shift is learning to be satisfied with what you already have. Constantly chasing more leads to constant spending.

Take stock of what’s already good in your life. Practicing contentment helps you resist the urge to upgrade or buy just for the sake of it.

And that mindset saves more than any coupon ever could.

Conclusion

Living cheaply isn’t about doing without—it’s about making smarter choices.

You don’t need to overhaul your whole life to see results.

Start small. Pick three tips from this list and try them this week.

You might be surprised how much you can save with just a few changes.