There are many ways to reduce your water usage, however, the number 1 way is to not a cheap way.
Get a front load washer. Instead of using 40 gallons it uses 14 gallons of water per load. However, don’t go out and buy one if the washer you have is working, wait until it needs to be replaced, or you can pawn it off on a friend or relative for some cash to go towards your new one 🙂
Another thing I recently realized, my dishwasher has a few different settings, while I NEVER use the heated dry setting, I realized that for most of my dishes the “china/light” setting works fine, this setting is shorter then all the rest so it uses less water and electric. Also by waiting until after 6pm to run it I get the lower electric rate. And never run it unless it is full!
Do you have a sprinkler system? If so make sure it works and cut down the amount of time you water by half and do it every other day if you can. I live in CA and my yard looks fine. If you can’t do that, at least remember to turn it off when it rains!!
Reduce your laundry by using towels more then once…..when you get out of the shower or bath you should be CLEAN, therefore the towel is only getting water on it. Give everyone their own towel and make sure they spread them out on the towel rack so they can dry with out getting smelly. If the towel gets a little rank, move it to the floor to pick up extra water, before it gets to the laundry hamper. By using towels more then once you will reduce your laundry.