Saving money is a huge part of managing your money well, and there’s no denying that having some savings in the bank leads to better financial security. Good saving habits will help you reach your financial goals, whether you are saving for a new house, a car, a dream holiday, your children’s college funds, or early retirement. But, saving money does not always come easy. Those who are left with little or no disposable income to spare each month will understandably find it more difficult to save money than those who have a larger amount of funds left over. Thankfully, even if you have a low income, these simple saving hacks will help you spend less and save more.
Each month or week when you receive your pay check, paying into your savings account as a priority is an effective method of expanding the total amount that you save. Rather than waiting until the end of each month and hoping that you have some money left to put away, work out how much you can comfortably afford to save and take it from your pay check immediately. Paying yourself first is one of the best savings habits to develop, since you will not be as tempted to spend your money if it has already been transferred. A good way to do this is to set up an automatic payment to your savings account each payday.
There’s no point in trying to save if a large chunk of your income is going to paying off debts. If you’re not in a position to consider paying your debts off, consolidation could be a good idea as this will put everything into one monthly payment, allowing you to save overall thanks to less interest, in addition to being easier to manage. Check out the best credit cards for poor credit, debt consolidation and balance transfers here.
Write Shopping Lists:
Who isn’t guilty of making a trip to the grocery store with no list? Maybe you write a list of items that you need for your main grocery shop each week or month, but don’t when you visit to top up your supply in between visits. Or, like many people today, perhaps you don’t write a shopping list at all and instead try to rely on your memory each time. A list can help you to focus on the items that you need and avoid purchasing anything unnecessary, saving money in the process.
Leave Your Wallet Behind:
It might shock you when you discover just how much money you can save just by leaving your wallet or purse behind when you go to work. During the working day, your expenditure can quickly add up, especially if you go out for lunch with your colleagues or consume numerous coffees from Starbucks throughout the day. Instead, making your own food to take into work can be substantially cheaper. For example, even if you only spend $5 per day on food and drinks at work, you can save $25 per week by taking your own – that’s $1,300 in a year!
Would you like to add a money saving habit of your own to this list? Leave a comment below!