5 expenses to ditch in 2021 that could boost your savings by thousands

Man and woman sit at kitchen table with laptop and tablet, reviewing expenses for 2021.

Is your takeaway coffee cup always full and your savings account always empty? If you answered a reluctant ‘yes’ to that then it might be time to rethink your expenses.

Albeit a human construct to mark the passing of time, January is as good a month as any to take stock of where your money is going. To help get you started, we’ve come up with a list of expenses to review and ultimately ditch in 2021. By doing this you could save yourself some serious dollars in the new year.

1. Curb the coffee

In 2019 Statista reported that the average price of a latte was around $3.96. This means that buying at least one cup of coffee five out of seven days, could add up to nearly $20 a week. That’s the best part of $80 a month!

What might seem like a harmless treat, could turn into hundreds spent on coffee in one year. If that sounds like you, then why not invest in a coffee machine or even a simple coffee press. Or, if you’re lucky and your workplace has coffee-making facilities, make yourself a cup in the office kitchen. Whatever you do, the savings will be worth it.

2. Have a tupperware party

Buying lunch every working day can really put a dent in your finances. A $10 to $15 meal could add up to $50 to $80 every week. Put into perspective, that could be over $300 per month - a sizable chunk of your pay gone on cafe food. Enter tupperware, the unsung hero of savings.

Not only is meal prep better for your finances, it can also be good for your wellbeing. You can alter recipes to your personal taste and cooking itself is a mindful activity. So, plan a few meals for the week ahead, buy exactly what you need, put on a tune or a podcast and get prepping!

3. Borrow books

At some point after landing our first job and becoming financially independent, many of us tend to forget that there are things we can just borrow. Bookshops with rows of fresh, new books are enticing, but at $20 to $40 each, they’re not cheap. 

Joining the local library is free and the best bit is that once you’re done with a book, you can give it back! No more using precious shelf-space on books you’ll only ever read once. Plus, if there is a piece of literature that really speaks to you, you can still buy yourself a copy.

4. Flick the switch on high energy rates

If the arrival of your energy bill never fails to leave you aghast, think about switching providers. You might not be getting the most competitive rates. Enter your postcode on Mozo’s compare energy providers tool to see what other plans are out there.

Another thing you could do is try and actively cut down on your energy consumption. Try to apply some simple energy saving tips, or have a digital detox and cut down your screen time.

5. Workout for free

If there’s one thing being in various lockdowns has taught us, it’s that exercise can be done on a budget, at home. So, if you really want to save some money this year, think about cancelling your gym membership and taking your workout online. There are oodles of workout videos on YouTube and Instagram to choose from. You could even invest in some simple workout gear, like weights, a matt or a resistance band.

Last but certainly not least, make sure you have a savings account fit for all this money you’ll be offloading into it. Interest rates may not be that competitive right now, but there are a lot of other handy features to look for in a savings account. Think savings buckets, round-ups and spending insights. 

Have a scroll of the options below, or head to Mozo’s compare savings accounts page for a longer list of possibilities.

Compare savings accounts - last updated 28 March 2024

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  • Savings Account

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    Bonus variable rate is available for the first four months.

    Competitive introductory variable rate for first 4 months (on deposits up to $250,000). No account keeping fees to pay. Multiple 2023 Mozo Experts Choice Award winner.

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  • Mozo Expert Choice Badge
    High Interest Savings Account

    5.75% p.a. (for $0 to $250,001)

    4.40% p.a.(for $0 to $250,001)

    Yes up to $250,000

    Bonus rate for the first 4 months from account opening

    Reward yourself with a higher rate for your good savings habits with the Rabobank High Interest Savings Account . Receive the maximum rate when you grow your balance by at least $200 each month. No Account keeping fees. No minimum balance.

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  • Reward Saver Account

    5.25% p.a. (for $0 to $1,000,000)

    0% p.a.(for $0 and over)

    Yes up to $250,000

    Intro bonus rate of 5.25% for balances up to $1,000,000 for the first 4 months, reverting to 3.25%. Minimum deposit of $50 and no withdrawals.

    Introductory bonus rate for balances up to $1,000,000 for the first 4 months. Minimum deposit of $50 and no withdrawals. Start your account online in under 10 minutes and earn interest on balances up to $1,000,000 (T&Cs apply). No monthly account fees, helping you save smarter and faster.

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  • Reward Saver

    5.25% p.a. (for $0 to $100,000)

    0.30% p.a.(for $0 and over)

    Yes up to $250,000

    Earn a high interest bonus rate if you hold an eligible transaction account and meet the bonus rate conditions (T&Cs apply). Only requires $1 to open. Free e-banking transactions. No monthly service fees to pay. Access your account via e-banking or the Bendigo Bank app. Not applicable to business customers.

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  • Mozo Expert Choice Badge
    AMP Saver Account

    5.40% p.a. (for $0 to $250,000)

    1.20% p.a.(for $0 to $5,000,000)

    Yes up to $250,000

    Enjoy a bonus rate when you deposit at least $1000 per month with the AMP Saver Account.

    No account fees. Unlimited transactions when linked to an AMP Bank transaction account. Easy online access to your money. Option to link your savings account to an everyday transaction account. 2024 Mozo Experts Choice Award winner.

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^See information about the Mozo Experts Choice Savings Account Awards

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