Most of us have goals. For some it is buying a home and for others it is travelling the world. Regardless of what your goals are, they often require money. Here are some money saving tips that we have found to work well in keeping our spending in check and maximizing our money.
Set savings goals: Determine how much an item costs and what you will need to save. For example, if you want to buy a house, calculate how much you will need for a down payment.
Set a time frame: Set specific dates for accomplishing your goals. If you want to travel through Europe in two years, make that your time frame. However, make sure your time lines are realistic and attainable; if it is too aggressive you will find yourself getting discouraged and straying from your plan.
Figure out how much you need to save per week/month/year to reach your goal: Try to make the amount you save consistent and regular so that you see the growth your aiming for. For example, set aside $100 every paycheck. It will add up before you know it. Also, make your savings automatic. Both my husband and I have automatic savings withdrawals come out of each paycheck. This sets the money aside right off the hop so we are not tempted to use it elsewhere.
Track your expenses: keep a record of everything that you spend money on and how often. This will give you an overview of where your money is going and if you need to make any adjustments. Maybe you can save money on gas or insurance. We currently use a software program that I will be posting about shortly.
Make a budget: Write down your plan for each paycheck and stick to it. This way you will know how much you can spend in each category. For example, allow yourself $50 a month on dining out and don’t go over that.
Open a high interest savings account: Once you have gotten into the routine of saving, put those savings in a high interest savings account. In many cases they are free to open and they allow you to collect a higher interest rate than the standard savings account offered at your bank. My husband and I do this and it works great. We even have multiple high interest accounts for different saving categories.
There are many more tips out there but try these out to start. You can also check out my Favourites page to view more savings tips from other bloggers.
Good luck with your savings and feel free to comment on any other tips that have worked for you.