When it comes to budgeting and saving money, we usually tend to overlook personal expenses. They are usually discretionary and are generally quite flexible, so most people don’t really keep track of them – or maybe we don’t keep track simply because we really don’t want to know how much money we are wasting. Well, here are some of the things most of us spend on and tips on how to lower your expenses on them:

On clothing and beauty

According to the U.S. Bureau of Labor Statistics’ most recent Consumer Expenditure Survey, the average consumer spends about $1,850 a year on clothing and its upkeep. You can potentially cut that in half by shopping at consignment shops, auctions and thrift stores, or simply buying items on sale!

If you must buy new, buy off season. If you have kids, this is great for kids’ clothes because they generally go up one size each year. You can also buy clothing at name-brand outlets, factory outlets, or secondary department stores where shops send their overstock items.

Also, cut back on makeup, perfumes and other beauty products. Or look for sales and buy generic brands. Seriously, do you need every expensive brand there is out there? Maybe you can get one or two of your favorite brands. As for the rest, most people won’t notice the difference.

On communication and mobile phones

Use email! Instead of calling, use e-mail if it’s not urgent. It’s free if you already have an internet connection and you will save money on your long distance phone bill. Also, compare long distance plans and find one that works best for your lifestyle and usage.

Keep track of your calling minutes to make sure you don’t exceed your allotted time. Most long distance and cell phone companies have high charges for extra minutes. If you consistently exceed your plan’s minutes, upgrade your plan. Also, shop around for cell phone plans. Cell phone companies and plans vary widely, so compare carefully. You can even take your cell number with you if you switch providers! Before switching from your current company, call them and tell them your plan to switch and see if they will match or beat their competitor’s offer.

On entertainment

Instead of buying, rent or borrow dvds and books! You may only watch a dvd or read a book once or twice. Check the library first and reserve books or dvds even if they are not available right away. You can also trade your favorite novels and dvds with your co-workers, friends or neighbors.

On services

If you are skilled at something, why not offer or barter services? If, say, you have a talent in painting or writing and a friend, co-worker or neighbor has a talent or skill in something that you need, then ask them to “trade” with you. Decide ahead of time on your arrangements, including the amount of time and any materials you need. This can work for small businesses and you can definitely save money with free services.