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You may not stop to think about money because it’s such a big part of everyday life, but there are lots of fascinating facts about currency. Learning some interesting tidbits may change how you think about money and even come in handy the next time trivia night rolls around.

Read on for 21 fun facts about money.

Surprising Things You Probably Didn’t Know About Money

Maybe you already knew that only two non-presidents grace the front of U.S. bills (Alexander Hamilton on the $10 bill and Benjamin Franklin on the $100 bill). But did you know that our paper currency isn’t really made out of paper? And that no living person can appear on a U.S. coin or dollar bill? It’s true. Here, learn more intriguing money facts.

1. Each Dollar Amount Has Its Own Lifespan

Money doesn’t last forever, but some dollar bills have a longer life cycle than others.

According to the U.S. Federal Reserve, a $10 bill has the shortest lifespan, while a $100 bill has the longest. Here are the estimated lifespans of the different denominations:

•   $1: 7.2 years

•   $5: 5.8 years

•   $10: 5.7 years

•   $20: 11.1 years

•   $50: 14.9 years

•   $100: 24 years

2. A Banknote Can Be Folded 4,000 Times

Our currency is pretty durable. The Bureau of Engraving and Printing, the sole producer of U.S. paper currency, says it would take 4,000 double folds, forward and backward, for a dollar bill to tear. It might be because paper money isn’t actually made of paper. It’s actually a blend of 75% cotton and 25% linen, with tiny blue and red synthetic fibers of various lengths evenly distributed throughout the bill.

3. There’s a Reason US Dollars Are Green

Dollar bills weren’t always green. Colonial money, for example, was tan with black or red ink. It wasn’t until the Civil War that the government started using green ink to print paper money, which is how it got the name “greenbacks”. This color was selected because the ink didn’t fade or easily decompose, protecting against counterfeiting.

4. A Coin Can Last Around 30 Years

Coins stay in circulation for about 20-30 years, at which point they become too worn to use. The Federal Reserve then takes them out of circulation and melts them down to use for other purposes.

Recommended: How Do Federal Reserve Banks Get Funded?

5. The Highest Bill Denomination Issued by the US Was $100,000

Printed in 1934 and featuring President Woodrow Wilson, this $100,000 bill was a gold certificate currency that was never intended for public use, such as being deposited into a checking account. Instead, it was meant only for official transactions between Federal Reserve Banks. The last time this banknote was printed was in 1945, and it can’t be legally held by collectors.

6. A Penny Costs More to Make Than It’s Worth

The most recent report from the U.S. Department of the Treasury said it costs 3.69 cents to make a penny, up from 1.3 cents 10 years prior. Why the increase? Part of it could be the higher prices of copper and zinc, both of which were used to make pennies. Higher labor and overhead costs may also have been contributing factors.

The Treasury stopped producing new pennies in late 2025 due to the costs involved. However, pennies are still in circulation and recognized as legal tender.

7. Money Is Dirtier Than You Think

Both paper currency and coins can carry viruses and bacteria that live on the surfaces and easily transfer to your skin or onto other objects after touching it. Research has found physical currency can change hands numerous times a year. One recent study found banknotes made with cotton or linen fibers, such as U.S. dollar bills, provide bigger areas for germs and have the capacity to retain moisture, which can make it easier for bacteria to thrive.

8. The Dollar Sign Was First Used in 1785

Here’s another fun money fact: The official adoption of the dollar sign in the U.S. can be traced back to 1785, when it evolved from the Spanish symbol for pesos. It’s believed that the “$” originated from the abbreviation PS, which was used to indicate Spanish pesos in the Americas. Gradually, the “S” came to be written over the “P,” eventually morphing into the dollar sign we know today.

9. Martha Washington Is the Only Woman to Appear on a US Bill

America’s first First Lady, Martha Washington, is, to this day, the only woman to have her likeness appear solo on a U.S. paper currency note. Her image appeared on the $1 Silver Certificate, first issued in 1886 and discontinued in 1957. It was the country’s second-longest-issued paper money.

10. America Isn’t the Only Country That Uses the US Dollar

Besides the United States and its five inhabited territories, 11 countries in the world also use the U.S. dollar, the world’s reserve currency, as their official currency. These are the British Virgin Islands, Timor-Leste (or East Timor), Bonaire, Ecuador, El Salvador, Federated States of Micronesia, Marshall Islands, Republic of Palau, Sint Eustatius, Saba, and Turks and Caicos.

Recommended: Examining the Value of the U.S. Dollar

11. You Can Make Your Money Crisp by Ironing It

Ready for a surprising money fact that involves a little bit of fabric know-how? If you’ve got a creased, crumpled, or wrinkled dollar bill, you can make it look new by pressing it with your iron. As mentioned earlier, U.S. dollars are 75% cotton and 25% linen, so it’s actually fabric. To iron the money, dampen the dollar bill slightly with a spritz bottle, sprinkle water by hand, or use the spray function on the iron itself. Set the iron to a low heat, put a towel under the bill and another on top of it, then iron the money in a circular motion. Set aside to air dry. Presto! You should have a nice flattened bill, ready to stick in a gift card or slide into an ATM en route to your savings account.

Recommended: How to Write a Check

12. The Oldest Currency Still in Use Is the British Pound

The British pound dates back to 775 AD and was called the pound sterling, when Anglo-Saxon kings used silver pennies, or sterlings, as money. Today, this foreign currency is the fourth most traded in the foreign exchange market, after the U.S. dollar, the euro, and the Japanese yen.

Recommended: Here’s What You Can Do With Leftover Foreign Currency

13. There Are 1.2 Billion $2 Bills Still in Circulation

The first $2 bills were printed in 1862. Although they originally featured Alexander Hamilton, they were later redesigned to feature Thomas Jefferson. These bills are still in circulation (1.2 billion of them, in fact) and considered to be the rarest currency denomination in the U.S. Some people believed that $2 bills were bad luck, so they would rip off the corners of the bills to undo the curse, making them unusable.

14. The First Universal Credit Card Was Introduced in 1950

Credit cards originated in the U.S. back in the 1920s, but they were issued by individual firms, such as oil companies and hotel chains, to their customers specifically for purchases made at company outlets. It wasn’t until 1950 that Diners Club founders Ralph Schneider and Frank McNamara issued a card that could be used at a variety of establishments. The Diners Club card sparked the modern credit card era. Others soon followed, including American Express, which debuted its card in 1958.

Recommended: 10 Credit Card Rules You Should Know

15. There’s an ATM on Every Continent on Earth

One interesting money fact involves how we access it. There are nearly three million cash machines around the world today. You can get or deposit cash at ATMs in the most remote of places, including Easter Island and McMurdo Station in Antarctica.

16. The Secret Service Originally Fought Counterfeiting

Today we typically think of the U.S. Secret Service as protecting certain political leaders, including the president and vice president and their immediate families. But the agency was originally founded for a very different reason. By the end of the Civil War, fake money was a significant problem, with nearly one-third of all U.S. paper currency in circulation being counterfeit. As a result, the financial stability of the country was in jeopardy, so in 1865, the Treasury Department established the Secret Service to suppress counterfeiting. The agency didn’t start protecting presidents until 1901, after the assassination of President William McKinley.

17. Most Americans Hoard Their Spare Change

One landmark survey by MyBankTracker.com found that 55.5% of people do nothing with the loose change they’ve accumulated. Interestingly, 60.3% of male respondents said they’re more likely to leave their extra coins untouched compared to 51% of female respondents.

Recommended: 7 Tips to Managing Your Money Better

18. Only 8% of the World’s Currency Is Physical Money

Interesting money fact: With mobile banking and electronic payments becoming more and more common, people are earning and spending money without having to even touch it. Economists estimate that only 8% of the world’s currency is physical cash, with the rest existing on computer hard drives in electronic bank accounts.

19. Coins Didn’t Always Say “In God We Trust”

The original American penny, reportedly designed by Benjamin Franklin, features a motto he popularized: “Mind your business.” The message wasn’t telling people not to be nosy. Instead, it was a literal instruction about business and commerce, meaning staying focused on your livelihood.

20. US Airports Make Big Money From Loose Change

According to the Department of Homeland Security, airline passengers leave behind thousands of dollars in coins each year at U.S. airport screening checkpoints. In 2023, the most recent year studied, the Transportation Security Administration collected almost $1 million in unclaimed money (mostly coins) from passengers who emptied their pockets while going through the security line. These funds get deposited into a special fund so that collection and spending can be easily tracked.

21. This Century Is Transforming Money

Online banking has recently transformed how people manage their personal finances, and technology continues to alter how money is handled. New ways to pay for things continue to rise in popularity, including mobile payment technology such as Venmo, PayPal, and Google Pay.

Approximately 60% of people worldwide use mobile or digital wallets.

The Takeaway

Learning fun facts about money reveals that there’s more to it than its face value. Finding out some fascinating money trivia might even change the way you think about it. These facts can enrich your understanding of the history of our currency system, how it’s evolving, and its place in the global market.

Interested in opening an online bank account? When you sign up for a SoFi Checking and Savings account with eligible direct deposit, you’ll get a competitive annual percentage yield (APY), pay zero account fees, and enjoy an array of rewards, such as access to the Allpoint Network of 55,000+ fee-free ATMs globally. Qualifying accounts can even access their paycheck up to two days early.

Better banking is here with SoFi, named the #1 Bank in the U.S. for the fourth year in a row by Forbes (2026).* Enjoy up to 3.10% APY on SoFi Checking and Savings.

FAQ

How long does paper money stay in circulation?

The lifespan of paper money depends on its denomination. Five-dollar bills last just 5.8 years in circulation, while fifty-dollar bills last 14.9 years.

Why was the penny discontinued?

Penny production was suspended because the cost of making the coins surpassed the face value of the coin. Reasons for discontinuing the one-cent coin include increased labor costs and higher costs for raw materials.

Where does the dollar sign come from?

The dollar sign ($) derives from the abbreviation for the Spanish peso, PS. Over time, the two letters were drawn on top of each other and shortened into the dollar sign used today.

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Photo credit: iStock/bob_bosewell

This content is for educational and informational purposes only. The products, services, or features discussed may not currently be available via the SoFi platform. Any references to third-party products, services, or companies do not constitute an endorsement, recommendation, or solicitation by SoFi. Readers should independently evaluate their options and consider their individual financial needs and circumstances before making any decisions. ©2026 SoFi Technologies, Inc. All rights reserved.

SoFi® Checking and Savings is offered through SoFi Bank, N.A. ©2026 SoFi Bank, N.A. All rights reserved. Member FDIC. Equal Housing Lender.

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Saving money can help you to feel more in control of your finances and your life. When you have cash stashed away, you know you are prepared for financial emergencies and can also be working toward your short-term goals (such as planning a wedding) or long-term ones, such as retirement.

Often, though, saving happens gradually, like a slow drip. But there are people who want to save more aggressively, or there could be a moment in your life that motivates you to accrue as much money quickly as you can.

If you’re interested in how to aggressively save money, there are smart strategies to help you do that. Implementing an aggressive savings budget takes a certain amount of commitment, since you may need to make some significant lifestyle changes. That can be worth it, however, if the payoff is watching your money grow faster.

What Is an Aggressive Savings Plan?

An aggressive savings plan is a blueprint for setting aside a sizable amount of your income, typically over a fairly short time period. For example, an individual aiming to save enough for a down payment on a car in three months may need to save 40% of their take-home pay for 90 days vs. 20%.

For perspective, the personal savings rate in the U.S. was 3.0% as of July 2026. That is the percentage of disposable income that citizens are socking away, whether in a savings account or a retirement fund. So the vast majority of people aren’t saving aggressively on a regular basis. Taking an aggressive approach to savings is something you might consider only if you have a specific goal you’re interested in achieving with your money.

Why an Aggressive Savings Plan Can Be Beneficial

Following an aggressive savings budget takes financial discipline, and it may not be right for every person or every financial situation. If you can stick with an aggressive savings plan, however, there are some tangible benefits you might be able to reap.

Here’s why an aggressive savings plan can work in your favor:

•   You can set aside money for large or small goals.

•   You reach your savings goals in less time.

•   You can make saving money a habit.

•   You can learn to manage money better.

•   It becomes easier to learn to live on less.

•   You can avoid debt when you’re focused on saving vs. spending.

•   It teaches you how to prioritize needs vs. wants.

Saving aggressively can become a lifestyle if you’re able to accustom yourself to spending less. But even if you only apply an aggressive savings plan for a few months, you might be surprised at just how much money you can set aside.

Whether you follow a turbocharged savings plan for a short or long time, it may improve your financial status and even be a form of financial self-care, since you’re likely avoiding debt and improving your money mindset.

Tips for Building an Aggressive Savings Plan

There’s no single strategy for how to save aggressively. Instead, there are numerous steps you can take to shape your savings plan. If you’d like to stop overspending money and start saving instead, these tips can help you get your finances on the right track.

1. Paying Yourself First

“Pay yourself first” is an often-repeated piece of personal finance advice. It simply means that you should set some of your paychecks aside for saving before doing anything else. The good news is that paying yourself first is relatively straightforward.

Some of the ways you can pay yourself first include:

•   Contributing part of your salary to your 401(k) plan at work

•   Scheduling recurring transfers from checking to savings each payday

•   Using direct deposit to route payments directly to savings and bypass checking.

Paying yourself first ensures that money makes it to savings, rather than being spent. If you’ve struggled with sticking to a savings habit, adopting this mentality can make it easier to stay the course.

2. Getting Out of Debt

Debt can be a significant obstacle to saving money. If you’re spending hundreds or even thousands of dollars paying off credit cards, student loans, or other debts each month, you might have very little left to save.

Getting rid of your debt can help to free up more money so you can follow through on an aggressive savings budget. Focusing on debt payoff also requires you to control spending habits, since the goal is to not create any new debts in the process.

If you have high-interest credit card debt, consider balance-transfer offers that charge zero percent for a period of time, giving you breathing room to pay down your balance. Or you might take out a lower-interest-rate personal loan to consolidate and pay off your debt.

Recommended: 15 Creative Ways to Save Money

3. Tracking All of Your Spending

An aggressive savings plan won’t really work if you don’t know exactly where your money is going. Keeping track of your spending is essential for making your plan work.

There are different ways to track spending, including:

•   Writing purchases down by hand

•   Using a spreadsheet

•   Linking bank accounts to an expense tracking or budgeting app.

The method you choose isn’t as important as tracking all of your expenses regularly, including cash spending. Getting into the habit of tracking expenses can make the next step in your aggressive savings plan easier to tackle. You’ll be much more aware of where your money goes and how you might economize.

4. Utilizing a Budgeting Method

A budget is a plan for spending money each month. Making a budget each month is central to how to save aggressively, since you can decide how to allocate the money you’re earning.

In its most basic form, making a budget means adding up expenses and subtracting them from income. When you’re trying to save aggressively, the goal is to make the gap between income and expenses as wide as possible.

There’s no single way to make a budget. For example, you might try zero-based budgeting, the 50/30/20 budget method, or cash envelope budgeting. Experimenting with different types of budgets can help you to decide which method works best for you.

Also, consider different tools to help you along. Your financial institution may offer budgeting tools. Or you can download apps, use a journal, or even manage your budget in an Excel spreadsheet.

5. Cutting Down Expenses

How to stop spending money is a common challenge, but succeeding at it can help you save aggressively. The key is knowing how to prioritize needs over wants and looking for areas in your spending that you can reduce or eliminate.

For example, you can start by making the obvious cuts and jettisoning streaming services you don’t use or canceling your gym membership. But you can go a step further and look for more drastic ways to reduce expenses, such as:

•   Renting out a room or taking on a roommate

•   Getting rid of your car and using public transportation

•   Embarking on a no-spend year

•   Moving to a cheaper area

Whether these types of saving tactics will work for you or not can depend on your situation. But allowing yourself to be creative when finding ways to cut expenses can help to bolster your aggressive savings plan.

6. Opening a High-Yield Savings Account

If you’re saving aggressively, it’s important to keep your money in a secure place where it can earn a great interest rate. The higher the rate and annual percentage yield (APY), the more your money can grow.

That’s where high-yield savings accounts come in. High-yield savings accounts may pay an interest rate and APY that’s well above the national average. For example, the typical savings account at a traditional bank pays about 0.38% APY as of summer 2026, according to the Federal Deposit Insurance Corporation (FDIC). But you might find a high-yield account at an online bank that’s over 3.00% APY or more instead.

When looking for a high-yield savings account, consider the APY you can earn. But also pay attention to things such as fees, online and mobile banking access, and monthly withdrawal limits. These are important factors when sizing up the right option.

7. Starting a Side Hustle

Starting a side hustle can help you to generate additional income that you can add into your aggressive savings budget. According to a recent report, 33% of Americans have a side hustle.

There are different types of side hustles you can try, including ones you can do online and ones you can do offline. For example, you might try your hand at freelancing if you want to make money from home or get paid to deliver groceries in your spare time. You could drive an Uber or sell crafts you make on Etsy.

The great thing about side hustles is that you can try different ways to make money to see what works best. Just remember that net earnings from self-employment that are $400 or above are taxable, and it’s also important to consider the expenses that might be involved.

Recommended: 11 Benefits of Having a Side Hustle

8. Avoiding Eating Out at Restaurants

Grabbing dinner out can be convenient, but it can also derail your plans to save aggressively. If you’re spending $50 a week on takeout food or meals with friends, for instance, that’s $2,600 a year that you’re not saving.

Learning to plan meals and make food at home can cut that expense out of your budget. If you want to share meals with friends, consider inviting them to a potluck dinner at your house instead. That can be a great way to try new foods without having to blow your budget.

9. Saving Money Windfalls

Windfalls are any money that comes your way that you might not have been expecting. That may include:

•   Tax refunds

•   Rebates

•   Bonuses

•   Cash-back rewards

•   Financial gifts (i.e., birthday money or wedding money)

•   Inheritances

Some money windfalls may be small and add up to just a few bucks, while others might be hundreds or even thousands of dollars. It may be tempting to spend those amounts (because it feels like free money), but you can make better use of them by adding them to savings instead.

10. Investing Your Money

Investing money gives those funds the opportunity to grow over time through earnings that may be generated as well as the potential for compound returns. With compound returns, investors may see gains on both their original principal and the returns their principal earns over time.

Money invested in a diversified portfolio of stocks, exchange-traded funds (ETFs), and other investments may see a higher rate of growth over the long-term than money stored in a savings account. However, investments are higher risk than deposit accounts since investors face the risk of losing their gains and the principal invested. In addition, investments are not federally insured by the FDIC in the event of a financial institution’s collapse, as are most deposit accounts at banks.

The longer you have to invest, the more time your investments will have to potentially recover from market dips and grow. Given this, it’s generally recommended to start investing sooner rather than later. Some ways to start investing may include adding money to your 401(k), contributing to an individual retirement account (IRA), or opening a taxable brokerage account. A financial and tax professional can help advise you on the options that might be a fit for your own personal circumstances.

11. Automating Your Finances

Deciding to automate your personal finances can make saving aggressively less time-consuming, since it’s something you don’t have to actively think about. As mentioned above, you can set up automatic transfers from checking to savings each payday. What’s more, you may also automate bill payments and deposits to your investment accounts.

Automating ensures that bills get paid on time and that the money you’ve earmarked for savings in your budget gets where it needs to go. You can set up automatic deposits and payments through your bank account, which typically takes just a few minutes.

12. Utilizing the 30-Day Rule

The 30-day rule is fairly straightforward: If you’re tempted to spend money on an unplanned purchase, impose a 30-day waiting period. Thirty days is enough time to decide if you really need to buy whatever it is you’re considering and, if you do, to find the money in your budget to pay for it without having to rely on a credit card.

Using the 30-day rule can help you to curb impulse spending, which can be a hurdle to making an aggressive savings plan work. If you decide the item is still something you want to buy, then you can make the purchase guilt-free. But you might find that what seemed like a smart buy at the time is no longer something you need.

13. Living Below Your Means

Living below your means simply means spending less than you earn each month. When you spend less than your income, you have money left over that you can add to your savings goals.

All of these aggressive savings tips outlined here can help you to get into a mindset of living below your means. When you’re focused on cutting down expenses and sticking to a budget, living on less money than you make doesn’t seem like a struggle.

The Takeaway

Saving aggressively can take some getting used to if you’ve never tried it before, but the end result can be well worth the effort. As you find your savings groove, it’s important to have the right banking tools so you can make the most of your money.

Interested in opening an online bank account? When you sign up for a SoFi Checking and Savings account with eligible direct deposit, you’ll get a competitive annual percentage yield (APY), pay zero account fees, and enjoy an array of rewards, such as access to the Allpoint Network of 55,000+ fee-free ATMs globally. Qualifying accounts can even access their paycheck up to two days early.

Better banking is here with SoFi, named the #1 Bank in the U.S. for the fourth year in a row by Forbes (2026).* Enjoy up to 3.10% APY on SoFi Checking and Savings.

FAQ

Are there downsides to aggressive savings plans?

Saving money aggressively can mean having to make certain sacrifices in the short term. For example, you may have to say no to dinner out with friends, vacations, or new clothes. But those temporary sacrifices can pay off if you’re able to reach your savings goal relatively quickly.

How can I save aggressively if I do not make a lot of money?

Starting a side hustle can help you to create more income so that it’s easier to save aggressively. But if that’s not an option, you can still save at an above-average rate by cutting down your expenses as much as possible and using windfalls to grow your savings whenever they come your way.

Can you aggressively save long-term?

Whether you’re able to save aggressively for the long-term can depend on how committed you are to your plan. If you have a clear reason for saving, then you may not need any added motivation to keep going. On the other hand, you may need to take a temporary break from saving as aggressively if you find yourself chafing under a strict spending regime.

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About the author

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Photo credit: iStock/Farknot_Architect

This content is for educational and informational purposes only. The products, services, or features discussed may not currently be available via the SoFi platform. Any references to third-party products, services, or companies do not constitute an endorsement, recommendation, or solicitation by SoFi. Readers should independently evaluate their options and consider their individual financial needs and circumstances before making any decisions. ©2026 SoFi Technologies, Inc. All rights reserved.

SoFi® Checking and Savings is offered through SoFi Bank, N.A. ©2026 SoFi Bank, N.A. All rights reserved. Member FDIC. Equal Housing Lender.

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Thinking about installing a new deck, replacing a front door, or even adding an extra bedroom to your home to help increase its resale value? Considering that your home is one of the biggest investments you’re likely to ever make, it makes sense that you’d be interested in increasing its value with some upgrades.

But as you probably guessed, not all remodeling projects provide the same return on investment (ROI).

Using Zonda’s 2025 Cost vs. Value report, which compares the average cost of 28 remodeling projects in 119 U.S. housing markets, here’s a look at some of the popular home improvements based on estimated ROI, time commitment, and cost.

Things to Consider Before Starting a Home Improvement Project

It’s important to note that national averages only tell part of the story. Labor and supply costs, styles, and consumer preferences can vary by location. So before you dive into a project, you might want to consider hiring a contractor, real estate agent, or appraiser to come to your house and give an opinion on which upgrades might provide better value based on where you live.

You may also want to factor in any immediate needs that a remodeling project can help satisfy. Say, for instance, you’d like to add an extra bathroom. While you may only recoup part of your expenses, having an additional washroom may be worth the cost of a renovation.

Top Home Improvement Projects to Help Increase Your Home Value,

Looking to prioritize your wish list? These remodeling projects earned top spots on the 2025 Cost vs. Value report.

Garage Door Replacement

Average cost: $4,672

Resale value: $12,507

Costs recouped: 267.7%

General time commitment: Four to eight hours

Removing an old garage door and replacing it with an attractive, sturdy new one could return every dollar of your initial investment — and then some, according to the Cost vs. Value report. It’s an effective way to improve your home’s appearance from the outside while increasing your home’s functionality for years to come.

With an average cost of $4,672, which includes the door and the cost of labor, it’s also a relatively affordable renovation. While many homeowners would likely hire someone to help install the new garage door, it is something that you could potentially do on your own (with the help of a friend) over the course of a weekend.

If you hire someone to install the door for you, they will likely come to your home twice: first to take measurements and give you a quote and then again to install the door.

Entry Door Replacement (Steel)

Average cost: $2,435

Resale value: $5,270

Cost recouped: 216.4%

General time commitment: A half to a full day (for a prehung door)

A new, safe front door is an attractive quality to prospective homebuyers. Replacing your entry door and jambs with a steel door, including a clear dual-pane half-glass panel, jambs, and an aluminum threshold with composite stop, should get you a good bang for your buck, according to the Cost vs. Value report.

Even better, you and a friend can probably handle installation on your own, though you can certainly hire an installation expert. If you decide to go the pro route, they’ll likely need to come to your home to take initial measurements and then return for the installation. Another option is to measure and order the door yourself and just get help with the installation.

Recommended: 33 Inexpensive Ways to Refresh Your Home

Manufactured Stone Veneer

Average cost: $11,702

Resale value: $24,328

Cost recouped: 207.9%

General time commitment: One to two weeks

Removing the vinyl siding and adding a stone veneer to the bottom third of your home’s street-facing façade is an effective way to help increase the value of your home, returning 207.9% of the cost of renovation. First impressions matter when it comes to selling a home, and stone veneer is a popular look right now.

Whether you tackle this project yourself or hire a handyperson to help with the installation, this project will take several days to complete. If you choose to hire someone, understand that the construction days might not be successive, so the exterior of your home could be under construction for several weeks to a month or longer.

Minor Kitchen Remodel (Midrange)

Average cost: $28,458

Resale value: $32,141

Cost recouped: 112.9%

General time commitment: 6-10 weeks

When it comes to kitchen remodels, less may be more, at least when it comes to ROI. According to the Cost vs. Value report, major kitchen remodels recoup around 51% of costs. Meanwhile, a smaller upgrade recoups 112.9% of costs.

What does a minor remodel include? Think faster-turnaround jobs such as installing a new sink and faucet or replacing items such as cabinet fronts, cooktops, oven ranges, refrigerators with new models, countertops, or floors.

When creating your budget, you’ll probably want to factor in the cost of expert help, such as an electrician, plumber, and contractor. You’ll also want to be realistic about how long you can devote to the project — and be without a working kitchen. Expect several months at minimum for a remodel.

Wood Deck Addition

Average cost: $18,263

Resale value: $17,323

Cost recouped: 94.9%

General time commitment: One to six weeks

Nothing beats enjoying family and friends on a deck in your backyard on a sunny day. Potential buyers are typically rightfully happy to pay extra for a deck, and a wooden deck installation could recoup more than half of what you spend. And ideally, you’ll get the chance to enjoy the deck before you sell your home.

A deck installation is a pretty large project. It will likely need to pass an inspection and adhere to your city’s building codes, and it could increase your property taxes and home insurance costs. So it pays to get the job done right the first time, which may mean enlisting the help of a designer or architect. These pros can map out an initial plan, and a contractor can handle the building.

An online home renovation cost calculator can help provide you with a rough idea of how much a wooden deck — and any other home upgrade project — could cost.

HVAC Conversion/Electrification

Average cost: $19,484

Resale value: $14,053

Costs recouped: 72%

General time commitment: Anywhere from one to two days up to several days, depending on whether your home requires structural changes

Replacing a fossil fuel-burning heating, ventilation, and air conditioning (HVAC) system with one that runs on electricity isn’t cheap. Nor is it one to try to DIY. But according to the Cost vs. Value report, you could stand to get back roughly two-thirds of what you put in. Homeowners who decide to make the conversion may also notice savings in their heating and cooling bills. And there are environmental benefits to consider as well.

Unless you’re a licensed HVAC technician, this is a project better suited for the professionals. Consider speaking with a few different HVAC installation teams to compare potential systems and cost options.

Remodeling Projects With the Lowest Potential ROI

While these upgrades may not deliver the biggest returns, they could still be worth exploring if they fit your budget and lifestyle needs.

Primary Bedroom or Bathroom Addition

Average cost: $170,517 for midrange and $351,613 for upscale

Resale value: $55,097 for midrange and $63,136 for upscale

Cost recouped: 32% for midrange and 18% for upscale

General time commitment: Three to four months

Adding on a primary bedroom or bathroom may enhance your living experience, but it might not add much to your bottom line. Despite the project’s hefty financial and time commitment, it generally fails to deliver even one-third of the investment.

However, while not a great return, a home addition project of this size could change the value of your home. For example, a $300,000 home that adds a primary suite for $170,517 could potentially return about $55,000 on the investment. A home that sells for $358,000 instead of $300,000 is a 18.3% increase in the home’s value. If you were to get enough use from the addition to justify the other cost you can’t recoup, it could still be a fine investment.

Again, these figures are purely hypothetical, and the value of expanding your home can depend on a multitude of factors. And if you decide to move ahead with a primary bedroom or bathroom addition, you’ll want to think through how you’ll finance the project. Some options include applying for a home improvement loan, using home equity, dipping into your savings, or using credit cards.

Recommended: Homebuyer’s Guide

Bathroom Addition

Average cost: $60,645 for midrange and $111,255 for upscale

Resale value: $32,347 for midrange and $40,526 for upscale

Cost recouped: 53% for midrange and 36% for upscale

General time commitment: Two to three months

A bathroom remodel tends to be cheaper than a primary bathroom addition, and it generally sees a slightly better potential ROI. But again, a bathroom addition or any large remodeling project should be considered in terms of both ROI and what you want to get out of your home while you are living in it. And that’s a calculation that only you and your family can make.

The Takeaway

Home renovation shows make upgrades look quick and easy. And while sometimes they can be, in many cases, renovations can be costly and time-consuming. As you consider which ones to make, you will likely want to factor in your return on investment (ROI).

Not all remodeling projects provide the same level of ROI. Projects such as replacing a garage door or adding a stone veneer to your home’s façade tend to see better ROI than adding an extra primary bedroom or bathroom. But ROI is only one consideration. You should also consider what you want to get out of your home and whether the time and cost of taking on a big project are worth it.

Think twice before turning to high-interest credit cards. Consider a SoFi personal loan instead. SoFi offers competitive fixed rates and same-day funding. See your rate in minutes.

SoFi’s Personal Loan was named a NerdWallet 2026 winner for Best Personal Loan for Large Loan Amounts.

FAQ

What home improvements offer the most value?

According to Zonda’s 2025 Cost vs. Value report, the top three home improvement projects that offer a strong return on investment (ROI) are: replacing the garage door, replacing the entry door with a steel version, and adding manufactured stone veneer to the home’s exterior. These projects recoup 267.7%, 216.4%, and 207.9% of costs, respectively.

Which home improvement is least likely to increase the value of your home?

Wallpapering, built-in electronics, wall-to-wall carpeting, and a swimming pool are examples of projects that typically don’t increase the resale value of your home. These projects may not provide a strong return on investment when it’s time to sell.

Does new flooring increase home value?

New flooring can potentially boost the value of your home, especially if your current flooring is worn or in poor condition. Hardwood flooring often provides significant return on investment (ROI), though luxury vinyl plank and tile flooring can also add value.

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This content is for educational and informational purposes only. The products, services, or features discussed may not currently be available via the SoFi platform. Any references to third-party products, services, or companies do not constitute an endorsement, recommendation, or solicitation by SoFi. Readers should independently evaluate their options and consider their individual financial needs and circumstances before making any decisions. ©2026 SoFi Technologies, Inc. All rights reserved.

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SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

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A wedding day is typically a celebration you’ve dreamed of and eagerly anticipated, but it can also be a major expense. If you’re wondering whether to finance your wedding, here is some guidance when it comes to making that decision. From payment plans to personal loans and everything in between, options abound for making your big day happen.

Understanding Wedding Costs Before Making a Plan

SoFi’s most recent survey found that the median cost of a wedding is $10,000, and when you look at average costs, you may see figures like the $36,000 price tag shared by Zola, a wedding registry site. Of course, prices can vary tremendously depending on what you plan. A destination wedding or one held in a big city with 300-plus guests will likely be a much bigger expense than having 50 of your nearest and dearest gather in your grandmother’s beautiful backyard flower garden.

Breaking Down Wedding Expenses by Category

Here’s a look at some of the key contributors to the cost of a wedding, according to The Knot, a wedding site:

•   29%: Venue and rentals

•   24%: Catering, cake, and drinks

•   10%: Photography and videography

•   9%: Floral design and decor

•   6%: Music

•   6%: Clothing and beauty

•   5%: Wedding rings

•   5%: Wedding planner

•   3%: Guest entertainment

•   2%: Transportation

•   1%: Stationery

•   1%: Officiant

Setting a Realistic Budget

To set a realistic budget, it’s wise to delve into some real-world prices and see what’s affordable given your financial situation. You may find that swapping out a swanky hotel ballroom for a local, loft-style event space can help you save money or that limiting the guest list to 75 people instead of 175 can be a way to have an affordable wedding of your dreams.

Developing a spreadsheet that lists out your total budget and how much you will spend on each category is a helpful exercise. Also consider what you might be able to borrow or what friends and family can help with (such as handling the flowers and the decor).

An online wedding cost calculator can help you set a realistic budget for your wedding, too.

8 Ways to Pay for Your Wedding

There are many variables that can affect the average cost of a wedding, including the time of year you say “I do,” the day of the week, the number of guests, the reception venue, and a host of other factors (such as unexpected wedding expenses).

Whatever your budget may be, here are some ways to fund your big day.

1. Personal Savings

Perhaps you have already saved up a nice bundle of cash that you can put toward your wedding. Or maybe you have just gotten engaged and have a year or two to save up enough money for the big day. Using this kind of money to finance your wedding can help you avoid interest charges. Keep the cash in a high-yield savings account to help it grow via the power of compound interest.

2. Wedding-Specific Savings Plan

You can also set up a wedding-specific savings plan. This means you have a dedicated amount into which you can regularly deposit a sum of money or use recurring automated transfers to stockpile cash in it. This can help you save enough money for your ceremony and celebration.

3. Family Contributions

Depending on your family situation, your parents and other relatives may be able to pay for some or all of your wedding expenses. It used to be common for the bride’s parents to pay for the wedding, but today, it’s often a matter of the family making a contribution toward the total cost, if at all.

4. Personal Loans

Personal loans are typically unsecured loans that can be used for almost any purpose. The interest rate charged can be lower than those of credit cards, and they offer a lump sum of cash (usually between $1,000 and $50,000 or even $100,000) that is then repaid by the borrower in installments over a few or several years.

Some lenders specifically offer wedding loans, tailored to the needs of couples planning their big day.

5. Credit Cards

A convenient way to finance wedding costs can be breaking out your plastic. While this is a quick and easy way to pay vendors, be sure you are aware of and can afford this kind of high-interest debt. Also be aware of your credit limit. Financial experts say that having a balance of more than 30% of your credit limit can negatively impact your credit score.

6. Wedding Funds or Registries

You can crowdsource money for your “I do” day by opening a wedding fund. Usually, the couple lets people know that they would prefer to receive cash vs. physical gifts from guests by directing invitees to a wedding registry. This money can then be used to fund the wedding costs.

7. Side Hustles and Extra Income

Not everyone has the time or energy for a side hustle, but working a part-time gig can help you pump up your savings for your wedding. Whether that means selling your service as a pet photographer or driving a rideshare every other weekend, these pursuits can help you bring in extra cash to pay for the wedding.

You might also sell stuff you no longer want or need to bring in some additional money.

8. Vendor Payment Plans

You may find that some vendors, such as your event space renter or your caterer, offer payment plans, allowing you to put money toward your debt over time. Check the details carefully to make sure you fully understand the interest rate and fees and that they are affordable.

The Pros of Financing a Wedding

Here are some of the upsides of financing a wedding:

•   You get your day with all the bells and whistles that you’ve dreamed of. You have the wiggle room to have more guests, a highly sought-after DJ or band, and food that will still be talked about on your anniversary. Mission accomplished in having a special day that will create a lifetime of memories, even if you don’t have all the cash sitting in the bank.

•   You might be able to borrow enough money to have a relaxing honeymoon, too, which might be nice after the stress of wedding planning.

•   You won’t deplete your savings to pay for your wedding. Starting your life together without an emergency savings account can be stressful.

The Cons of Financing a Wedding

Here are the downsides of financing a wedding:

•   When the wedding is long over, that monthly loan payment is still lingering. Depending on the amount and term of the loan, that can be a big commitment.

•   Interest rates for loans and lines of credit typically vary based on the borrower’s credit rating and other factors. If you don’t qualify for favorable interest rates, you could end up paying a decent amount in interest over the life of the loan.

•   Taking out a loan also increases your debt-to-income (DTI) ratio. If you are planning on near-future large purchases that will require another loan, such as a mortgage, having a high DTI ratio might make it more difficult to qualify for future loans, or it might affect the rates you qualify for.

Creating Your Wedding Payment Strategy

Paying for wedding expenses can require a significant amount of cash, so it’s wise to be strategic about how you’ll pay your bills. Here are a couple of ideas.

Mixing Different Payment Methods

You don’t have to go all in on just one payment plan. For instance, if your caterer offers a super-low interest rate on their payment plan, you might want to sign up for that, and then use a personal loan to pay for other expenses, such as the wedding dress, rings, music, and photography.

As with any kind of loan or line of credit, but sure you understand the fees and interest rate (and whether, say, prepayment penalties are applicable). Either a lower interest rate or a shorter term may save money in the long run. A personal loan calculator or amortization table can help with this analysis, so you know exactly how much you are spending.

Timeline Considerations

Another important consideration when deciding on financing is how long of a run-up you have to the wedding itself. If you are planning on getting married in, say, two years, you could have a decent amount of time to budget and save.

If, however, you are planning on a short engagement, then financing your wedding or asking for cash gifts might better suit your timeline.

Recommended: A Guide to Unsecured Personal Loans

Tips for Reducing Wedding Costs

If you’re having second thoughts about the cost of your wedding and how to afford it, know that with wedding planning, there’s usually a way to reduce expenses.

Off-Season and Weekday Discounts

The high season for weddings is usually late spring through fall. That’s when demand and prices are highest. You may be able to save big by booking a winter wedding or an early spring one.

Similarly, you’ll find that costs tend to peak for weekend weddings. If you can swing, say, a Thursday night instead of a Saturday, you could save a significant amount.

DIY Elements

Think about how you could save money by DIY-ing some aspects of your wedding vs. paying a professional. Also, you might tap friends and family to contribute. For instance, if you have a friend who loves to bake, perhaps they could make your cake. Or if you have a friend with a flair for photography, they could shoot your wedding pictures as a gift to you and your partner. If you have a cousin who’s in a band, they might play at your wedding at no cost or at a reduced rate. Perhaps your family members would be happy to create centerpieces and bouquets from affordably sourced flowers. Think outside of the box, and call in those favors!

Any of these ideas will help you save money and avoid financing your wedding’s full cost.

Prioritizing What Matters Most

There’s no law that says you have to have a traditional wedding. If what matters most to you is having a wedding that involves dancing till dawn, or having 200 friends and family members with you as you say your vows, go ahead, but then perhaps arrange for a potluck meal so you don’t have to shell out for a huge catering bill on top.

If you’re a foodie, maybe your wedding celebration could be a small dinner in a private room at your favorite restaurant after the ceremony. By prioritizing what matters most to you on your special day, you can have a wonderful wedding without landing in deep debt.

How to Avoid Wedding Debt Altogether

If you’re looking for some inspo on how to avoid wedding debt, consider these possibilities:

•   Postpone the wedding. You might be able to avoid borrowing altogether by postponing the wedding to give yourself time to save the money to pay for it. Cutting unnecessary expenses might free up some money in your budget. Or earning extra money by taking on a side hustle might be a good way to add to your savings.

•   Use a zero-interest credit card. Using a credit card to pay for wedding expenses might be another option. While a personal loan might offer a lower rate than a credit card, you might find credit card offers with low introductory rates — perhaps even 0% — for a limited time. If you’re confident that you can pay the card off in full before the introductory rate ends, this could be an attractive option.

•   Ask your family to contribute. Asking parents for money might not be the most appealing option, but it might be a worthwhile consideration. Even though the average age of newlywed couples is rising, which might mean more couples are established financially before they marry, it’s still common for them to have help paying for the wedding.

•   Elope. If your priorities are saving for a down payment on a house or paying off college debt, maybe you and your partner are the kind of people who would be comfortable eloping or having a city hall ceremony and Champagne with just a few of your nearest and dearest. That can definitely be a way to avoid debt from financing a wedding.

The Takeaway

Your wedding is a special day, but it can be a very expensive one. Think carefully about how to budget for and finance your wedding, which can often cost five figures. Some ideas are saving up for the big day, asking loved ones to contribute, using vendor payment plans, and taking out a personal loan.

Think twice before turning to high-interest credit cards. Consider a SoFi personal loan instead. SoFi offers competitive fixed rates and same-day funding. See your rate in minutes.

SoFi’s Personal Loan was named a NerdWallet 2026 winner for Best Personal Loan for Large Loan Amounts.

FAQ

What’s the best way to pay for a wedding?

There is no one best way to pay for a wedding. Your personal finances and the kind of wedding you want will play a role in deciding what works best. But by saving up for your wedding or asking for help financing it, you may be able to avoid some or all of the interest charges you’ll encounter if you take out a loan or use a credit card.

How far in advance should we start saving for our wedding?

A wise way to figure out when to start saving is to calculate how much your wedding will cost, subtract how much relatives might contribute, and then divide that sum by how much you can save every month. So if you want to raise $10,000 and you and your partner can put aside $500 a month, then it would take 20 months to accumulate the funds needed.

Is it common for parents to pay for weddings today?

It is less common than in the past for parents to pay for the wedding, but many do, or at least make a contribution to the cost. Since the age at which people marry is rising, it has become more natural for the couple to have the financial means to pay their own way.

How can we ask for money instead of gifts?

You can put the word out tactfully among friends and family, or use a wedding website that clearly shows that your registry preference is cash vs. gifts. Zola, Honeyfund, The Knot, and Joy are among the options you may find. Compare fees and features to find the best fit.

Where should I keep a wedding fund?

If you’re saving money toward a wedding, it’s wise to keep it in a high-yield savings account, where it’s safe and accessible and earns interest. Shop around for features and rates that best suit you.

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Photo credit: iStock/PeopleImages

This content is for educational and informational purposes only. The products, services, or features discussed may not currently be available via the SoFi platform. Any references to third-party products, services, or companies do not constitute an endorsement, recommendation, or solicitation by SoFi. Readers should independently evaluate their options and consider their individual financial needs and circumstances before making any decisions. ©2026 SoFi Technologies, Inc. All rights reserved.

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While adopting a frugal lifestyle is a choice for some people, it may be a necessity for others. For example, you might be trying to figure out how to live on $1,000 a month if you’re in school, if you’re working part-time, or if you lost your job and are trying to find a new one.

Getting by on $1,000 a month may not be easy, but it is possible to live well even on a small amount of money. Try these tactics.

What Does Living on $1,000 a Month Look Like?

If your income is limited to $1,000 a month, you might be wondering exactly how far it will go. Breaking it down hourly, weekly, and by paycheck can give you some perspective on how much money you’ll actually have to work with.

An income of $1,000 a month is….

•   $230.76 as a weekly salary

•   $46.15 daily

•   $5.77 an hour, assuming you work 40 hours a week full-time

•   $11.54 an hour, assuming you work 20 hours a week part-time

The numbers above assume that you’re talking about $1,000 in net income, which means the money you bring in after taxes and other deductions.

By comparison, the real median household income in the United States was $83,730 in 2024, according to Census Bureau data. That works out to $6,997.50 in monthly pretax income, but note that it’s for a household, not one person.

Is It Possible to Live Off of $1,000 a Month?

Living off $1,000 a month is possible, and it’s a reality for many individuals and families. Again, you might be living on a low income because you’re in school. So your monthly budget might look something like this:

•   Food: $250

•   Gas: $100

•   School supplies/equipment: $50

•   Rent: $400 (assuming you’re sharing with roommates)

•   Utilities: $100

•   Miscellaneous: $100

As you may notice, there isn’t room in this budget for debt repayment coming out of your checking account, nor is there money to set aside as savings.

In addition to students living on a frugal budget, this kind of scenario may apply to older people on a fixed income. Retirees may choose to cut their expenses to the bone once they stop working. And in some cases, money may be tight because you’re getting through a financial hardship (such as job loss or illness impacting your ability to be employed), and income is lower than normal.

Can you live well on just $1,000 a month? That’s subjective, as the answer can depend on how responsibly you use the money that you have as well as what the cost of living is in your area. Being frugal and flexible are essential to making life on a smaller income work.

How to Live on $1,000 a Month

Figuring out how to live on $1,000 a month, either by choice or when money is tight, requires some creativity and planning. Whether your low-income lifestyle is temporary or you’re making a more permanent shift to financial minimalism, these tips can help you stretch your dollars further.

1. Assess Your Situation

You can’t really learn how to manage your money better if you don’t know where you’re starting from. So the first step is creating your personal financial inventory to understand:

•   Exactly how much income you have

•   Where that money is coming from

•   What you’re spending each month

•   How much you have in savings

•   How much debt you have

It also helps to consider why you might need to know how to live on $1,000 a month. For example, if you’re knee-deep in debt because you’ve been living beyond your means, that can be a strong incentive to curb spending and live on less.

(Also, check to see if bank fees are eating away at your funds. You might consider switching to a low- or no-fee account, which are often offered by online banks, if you are getting hit with charges.)

2. Separate Needs From Wants

Needs are things you spend money on because you need them to maintain a basic standard of living. For example, needs include:

•   Housing

•   Utilities

•   Food

•   Health care

Wants are all the extras that you might spend money on. So that may include dining out, hobbies, or entertainment. If you’re trying to live on $1,000 a month, needs should likely take priority over wants. One good budget plan can be the 50/30/20 rule, which allocates 50% of your take-home pay to needs, 30% to wants, and 20% to savings.

Here’s a hard truth, however: When working with $1,000 per month, you may have to get rid of most (or all) of the wants to make your spending plan work. As you make your budget, focus on the needs first and, if you have money left over, then you can add one or two small extras back in.

For an idea of how your income could be broken up into needs and wants, use the 50/30/20 calculator below.

3. Lower Your Housing Costs

Housing might be your biggest expense, and, if you want to make a $1,000 a month budget work, getting that cost down can help. Some of the ways you might be able to reduce housing costs include:

•   Taking on one or more roommates

•   Moving back in with your parents

•   Renting out a room

•   Refinancing into a new mortgage

•   Selling your home and moving into something smaller or less expensive

Are these options ideal? Not necessarily. Living with parents, roommates, or strangers who are renting out part of your home can mean sacrificing some of your privacy. Refinancing a mortgage or downsizing can be time-consuming and stressful.

But if you’re trying to get your budget to $1,000 or less, these are all legitimate ways to slash your housing expenses.

4. Get Rid of Your Car

Cars can be expensive to own and maintain. A car payment could easily run several hundred dollars per month. Even if you own your car outright, putting gas in it, buying tires, and paying for regular maintenance could still make a sizable dent in your income.

If you have the means to do so, selling your car could free up money in your budget. And you could use the money you collect from the sale to pad your savings account, pay down some debt, or simply get ahead on monthly bills.

If you do sell your vehicle, use an online resource such as the Kelley Blue Book to check your car’s potential resale value before setting a price.

5. Eat at Home

After housing, food can easily be a budget buster, especially if you’re eating out rather than preparing meals at home. The good news is that there’s a simple way to cut your food costs: Ditch the takeout and restaurant meals.

Planning meals around low-cost, healthy ingredients can help you to spend less on food and still eat well. You can also save on food costs by:

•   Using coupons

•   Shopping sales and clearance sections

•   Downloading cash back apps that reward you with cash for grocery purchases

•   Relying on pantry staples that you can make into multiple meals

•   Trying Meatless Mondays (which means eating vegetarian on Mondays, as meat tends to be pricey)

•   Repurposing leftovers as much as possible

You could also save money on food if you’re able to make things such as bread, pizza dough, or pasta yourself using basic ingredients. When shopping at your local grocery stores, take time to compare prices online before heading out. And consider whether you can get in-season vegetables and fruits for less at a local farmers market.

6. Negotiate Your Bills

Some of your bills might be more or less unchanging from month to month. But others may give you some wiggle room to negotiate and bring costs down.

For example, if you’re keeping your car, you don’t have to keep the same car insurance if it’s costing you a lot of money. You can shop around and compare rates with different companies or ask your current provider about discounts. You could also raise your deductible, which can lower your monthly premium, but keep in mind that you’ll need to have cash on hand to pay it if you need to file a claim.

Other bills you might be able to negotiate or reduce include:

•   Internet

•   Cable TV (bonus points if you can get rid of it altogether)

•   Cell phone

•   Subscription services (or better yet, cancel them for extra savings)

•   Credit card interest

Also, if you are hit with a major doctor’s bill, know that it can be possible to negotiate medical bills. It’s worth talking with your provider’s office about this.

There are also services that will handle bill negotiation for you. While those can save you time, you might pay a fee to use them, so consider how much that’s worth to you.

7. Learn to Barter and Trade

Bartering is something of a lost art, but reviving it could be a great idea if you’re trying to live on $1,000 a month. For example, say you need to cut the grass, but there’s no room in your budget to buy a new lawn mower to replace your broken one. You could barter the use of your neighbor’s mower in exchange for a few hours of raking leaves at their place.

Or, say that you have kids who have outgrown their clothes. Instead of resigning yourself to using a credit card to buy new outfits for school, you could set up a clothes swap with other parents in your neighborhood. You can clean out clutter and get things you need, without having to spend any money.

8. Get Rid of Debt

Debt can be one of the biggest obstacles to making a $1,000-a-month income work. If you have debt, whether it’s credit cards, student loans, or a car loan, it’s important to have a plan for paying it down.

When you only have $1,000 a month to work with, you may only be able to pay a little to your debts at a time. But you might be able to make each penny count more by making debts less expensive.

For instance, you might try a 0% APR credit card balance transfer to save on interest charges. Or if you have loans from getting your diploma that have a high interest rate, you may consider the benefits of refinancing your student loans to reduce your rate and lower your monthly payment.

If you’re really struggling with how to pay off debt on a low income, you may want to talk to a nonprofit credit counselor. A credit counselor can review your situation and help you come up with a budget and plan for paying off debt that fits your situation. One option is the National Foundation for Credit Counseling, or NFCC.

9. Adopt a No-Spend Attitude

When you want or need to know how to live on $1,000 a month, the fastest way to get overspending in check is to do a no-spend challenge. How this works: You commit yourself to not spending any money on nonessentials for a set time period.

A no-spend challenge can last a day, a weekend, a week, a month, or even a year. The time frame doesn’t matter as much as being all-in with the idea of not spending money on things you don’t need. And you might be surprised at how much money you’re able to save by avoiding wasteful spending.

10. Find Free or Low-Cost Ways to Have Fun

Living on $1,000 a month might mean you don’t have much room in your budget for fun. But you can still enjoy life without having to spend money.

Some ways you can do that include:

•   Checking out complimentary events in your community, such as festivals or fairs

•   Adopting hobbies that are low- or no-cost, such as walking or bike-riding

•   Checking out books, DVDs, and CDs from your local library

•   Volunteering

•   Visiting local spots that offer no-cost admission days, such as museums or aquariums

Those are all ways to spend an enjoyable afternoon without costing yourself any money. And if you do want to do something that requires a little spending, you can use a site such as Groupon to check for coupons or special deals to save some cash. Or try Meetup to see if any no- or low-cost events of interest are brewing in your area.

11. Grow Your Income

If you try living on $1,000 a month and find that it just isn’t enough, the next thing you can do is see if you can figure out how to bring in more money. Fortunately, there are plenty of ways to do that.

Here are some ideas for making more money to supplement your income:

•   Increase your hours if you’re working an hourly job.

•   Take on a part-time job in addition to your full-time job.

•   Start an online low-cost side hustle, such as freelancing or Pinterest management.

•   Consider an offline side hustle, such as walking dogs or shopping with Instacart.

•   Sell things around the house you don’t need for cash.

•   Check for unclaimed money online.

•   Sell unwanted gift cards for cash.

The great thing about making more money is that you can try multiple things to see what works and what doesn’t. And you can also use found money, such as bonuses, rebates, or refund checks deposited into the bank, to help cover bills or shore up your savings.

The Takeaway

Making your budget work when you have $1,000 in monthly income is possible, though it might take some serious work. Drastically reducing expenses can be a great place to start, and bringing in more income can of course help, too.

Changing banks is one more money-saving tip to know.

Interested in opening an online bank account? When you sign up for a SoFi Checking and Savings account with eligible direct deposit, you’ll get a competitive annual percentage yield (APY), pay zero account fees, and enjoy an array of rewards, such as access to the Allpoint Network of 55,000+ fee-free ATMs globally. Qualifying accounts can even access their paycheck up to two days early.

Better banking is here with SoFi, named the #1 Bank in the U.S. for the fourth year in a row by Forbes (2026).* Enjoy up to 3.10% APY on SoFi Checking and Savings.

FAQ

Where can you live on $1,000 a month?

The best places to live on $1,000 a month are ones that have an exceptionally low cost of living. In the United States, that may mean living in a rural area or a smaller city. When searching for the cheapest places to live, consider what you’ll pay for housing, utilities, transportation, and food, which are among the non-negotiable “musts” in your budget.

How can I live on very little income?

The secret to living on a very little income is being careful with how you spend your money and minimizing or avoiding debt as much as possible. Keeping a budget, cutting out unnecessary expenses, and using only cash to pay can make it easier to live on a smaller income.

What is the lowest amount of money you can live on?

The lowest amount of money you can live on is the amount that allows you to cover all of your basic needs, including housing, utilities, and food. For some people, that might be 25% of their income, and for others, it might be 75% — it really depends on your specific situation (household size, debt, etc.) and the cost of living. Residing in a less expensive area can make it easier to live on less of the money you make.

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Photo credit: iStock/David Commins

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