Do you want to have more than zero in your account? Do you need to save money for Christmas or just create a financial reserve in case of unexpected events?
We have 25 proven tips for you, with the help of which you can save a real package.
Then you can buy a new kitchen, a great holiday or the dream handbag that you have been looking at for so long.
1. Make an overview of income and expenses
Take a moment and write down your monthly income and expenses. Be consistent, don’t forget to budget annual payments such as compulsory liability, liability insurance or public transport. You can throw it on paper, in Excel, mobile applications or use internet banking. In it, individual payments can be classified, eg for rent, food, books, medicines, etc.
Of course, we all know what we’re spending. But when you see it in black and white, you suddenly notice that you pay a tremendous amount of coffee a month or that you pay unnecessary bank fees. You can find places where a lot of money flows through you, but in normal mode you will not notice it at all.
In addition, you will have a better idea of how large a financial reserve you need and how long you will save on it. It is said that it is good to have a financial cushion of at least three, preferably six monthly salaries.
2. Say what you want to save and how much
If you already have a budget, you should see how much money you can put aside each month. Think carefully about what you actually save on and when you want to have a target amount.
With a specific goal in mind, it will be easier for you to save. You can save on big things like owning a home, paying off a mortgage, a car, a vacation, a financial reserve or a pension, but also on new clothes, a better mobile phone or a camera.
Once you know how much you want to save each month, update your financial budget and add savings to it. And most importantly, don’t save what you have left at the end of the month. Ideally, transfer the savings amount immediately after the payout, it is best to set up a standing order so that you do not have to deal with it.
With the money you have left after deducting regular payments and savings, you can do whatever you want. Buy something nice just for fun, go for a good meal, invest or send a little more to save and increase your reserve when you can.
3. Get more accounts
Have one account for current expenses and the other for savings. Once you make a list of income and expenses, you will know exactly how many dollars you can send each month for savings.
I recommend setting up a standing order so that the money goes out regularly. And there is a simple rule: if it is not necessary, do not touch the money from the savings account.
4. Plan your expenses in advance
Impulsive purchases usually lead to a big draft in the wallet. Instead, think in advance about what you really need or want, and where you can get it cheaper. Some companies offer seasonal discounts or a discount on your birthday.
5. Prepare a menu for the week
This is a great way to save on food, and it has worked very well for me. Instead of smaller purchases every day, think about what to cook for the week ahead and buy everything at once. You don’t have to go to the store practically all week, which has three major benefits.
You will save time that you can devote to children or your hobbies. You will save money, because what we are talking about, something that is not planned will always end up in that basket. And you throw less stuff too.
6. Carry lunch in a box
Daily lunches at the restaurant cost a lot. Instead, at least occasionally cook food in a box and just reheat it at work. It’s faster and more economical.
You can also prepare a snack to avoid going to the store for something good. Or coffee. If you have a good coffee, bring your own in a thermo mug. The thermo mug will be great not only in winter, but also in summer, when you can make iced coffee in it.
20. Don’t waste money on cleaners
I’m not saying you have to stop cleaning. But you can try plain vinegar and baking soda like your grandmothers. It costs a few dollars and you can clean the house with them from the cellar to the attic. An ideal way to save at home.
21. Wait a few days with your purchase
Do you want to buy a new handbag, phone or maybe a book? Hold on and wait a few days. If you don’t remember the thing even after a month, you don’t really need it at all. Impulsive purchases are usually advantageous only to the seller, not to you.
22. Borrow things you only use once
Do you need to fix something at home, but you don’t have a single screwdriver? Borrow tools from a neighbor or relatives. Don’t buy things you only need once. They hum in a few bucks, sometimes hundreds, and then lie somewhere in the corner, dust settling on them. Unnecessary expense instead of getting something more useful.
23. Beware of card and credit card payments
They are comfortable, but also treacherous. You do not see that you give up your money. When you pay in cash and get rid of money physically, you think about spending more. Credit cards in particular can get you in trouble. If you do not manage to repay the loan you took in the interest-free period, interest will be added to the amount due. Watch it.
24. Take care of your things
Do not underestimate the maintenance. Every thing needs a little care from time to time. It will last longer. Impregnate your shoes, clean the coffee machine, washing machine and dishwasher, defrost the freezer, clean the clogged window frames, paint the furniture… This will prevent unnecessary malfunctions and slow down wear.
25. Fix what can be fixed
If, despite all your efforts, something breaks, try to fix it. You can find tutorials on almost everything on the Internet, so with a little skill you have a chance of success. However, if you do not feel like it, use the services of the Repair Shop, a website where you will find skilled do-it-yourselfers and services from various parts of the country.
I hope these tips will help you save as much money as possible. But don’t forget that you also have to be rewarded from time to time.