I know we all went to find ways to save money. Whether you are trying to build you your emergency fund you need to save more. You might even have simpler goals in mind such as needing to find ways to save money to pay for birthday or holiday gifts. Others of you may want to find ways to pay off your debt more quickly.
No matter what your goals are, the key to reaching them is to save money. As soon as poo what we can to save money. Believe it or not, it can be pretty simple! Are you building up your emergency fund? Want to have extra cash to buy holiday gifts? Saving for a down payment on a house? Paying off debt?
Boosting your savings will get you to your goals faster.
I’ve got some of the simplest ways to save money – starting today. The key is to save small amounts, which can create big results!
RIDICULOUSLY SIMPLE WAYS TO SAVE MONEY
AUTOMATE YOUR SAVINGS
We all have good intentions of wanting to save money. But, at the end of the week, your paycheck is gone and there is nothing left to spend. It seems like it is gone before you even have a chance to make any attempt to save. The trick to doing this is to make your savings automatic!
The simple way to do this is through your bank. I recommend you review your options on your online banking account. Some will allow you to set up automated transfers. What I love about this is that the money can come out of your paycheck every payday – before you have a chance to spend it!
If you do automatic deposit through your employer, you can also check to see if they will allow you to split your check into multiple accounts. That way, you don’t even see that money deposited into your account! It just moves from your employer to savings – without you even noticing.
SET UP A SAVINGS CHALLENGE
I love to challenge myself all of the time. For instance, if I saved $20 this week, I want to save $25 next week! Even more fun is to get a group of skill.members or friends and challenge one another!
A fun way to do this is with a 52-week savings challenge! There are options for adults and kids alike! The bonus of this program is that the amounts are small enough not to really be noticeable – but the end result is amazing!
KEEP THE CHANGE
This is the way that I actually help pay for Christmas for our skill. We use a cash budget for just about everything. While some of the envelope balances accrue (such as haircuts and clothing) other envelopes are emptied at the end of each pay period (dining out and groceries).
I then take any leftover cash from those envelopes and save it. I don’t keep it in the envelope to use the following week. If I can stay under our budget, then that is money that goes instantly into our savings.
Then, on top of this, I don’t use coins. Never. Even if my total is $9.05, I will hand over a $10 bill. That $0.95 goes right into my savings. I don’t miss it.
We’ve done this for years and always save more than $500 every single time! This is my favorite way to save because it doesn’t require me to remember to do anything special. It also never hurts our budget.
BANK YOUR SAVINGS
Most of us budget for everything we need. But, what happens when that item ends up costing less than you planned? What do you do with the extra money you’d saved? Why not just keep it in savings?!
For example, if you saved $750 for a new television, but you found an amazing deal and got it for $500, that doesn’t mean you should blow the other $250. Instead, transfer that into your savings account. You won’t miss it!
FOLLOW THE 30 DAY RULE
One of the easiest ways to spend more than you want is to buy on impulse. When you see something that you want (not your needs), don’t buy it. Even if it is on sale. Wait. Think about it for 30 days.
Then, if at the end of 30 days you still want the item (and can pay for it with cash), buy it. But, if you decide you didn’t really need it, bank the cost! You were going to originally spend money on it anyhow, so instead of handing the money over to the store, put it into your savings account.
USE THE RIGHT ACCOUNT
Let’s face it, savings accounts make us little to no money at all these days. That measly 0.01% is definitely not going to make you rich! One way to do that is by moving your money around. Some banks offer incentives when you open a new account, such as a higher yield or even a sign-up bonus! These can give you more savings in your account.
Now, before you sign up, make sure you read the fine print (such as minimum deposits, term lengths, etc).
NEGOTIATE RATES WITH YOUR CREDIT CARD COMPANY
If you find that you are paying a pretty high rate on your credit card balances, it may be time to make a call. As long as you have a good payment history, you might be able to negotiate down your interest rate. It is definitely worth a call to ask.
If they won’t do that for you, then it may be time to transfer to a card with a lower balance. If you are in debt, then this is a simple way to save as you are paying less in interest, which keeps more money in your pocket and can help you pay off your bill even more quickly!
DROP THE VICES
If you smoke or drink, these can really take a toll on your budget. Give them up and you’ll not only get the added benefit of being able to save more, but your body will thank you too!
USE THE 10 SECOND RULE
I’m not talking about the food that you drop on the floor here. This one is when you are in the store. Before you actually buy that item, ask yourself why you are getting it. Is it a need or a want? If you can’t come up with a good answer, put it back. Then, when you get home, transfer the amount you would have spent over into your savings account!
One of the easiest ways to save more is to set up visual reminders. If you are trying to get out of debt, make a chart you can use to monitor your progress. If you are saving for a car, put a photo of it on the fridge. Those visual keys remind you not to spend money if possible and to save it so that you can reach your goals.