Have you been trying to save money for a long time but are not seeing the results of your efforts? Well, these 7 money-saving tips have been hand-picked to help you save money more effectively.
When it comes to saving money, it’s not enough to just save money. You need to do it with intentionality for you to see the results that you want.
There is a way to save money and grow your savings to achieve the results you want. If your goal is to save in a way that produces results, it’s important to be intentional about how you do it.
Here I’m going to share 7 money-saving tips that will help you save money effectively so that you can see results;
Simply saying you want to save without setting specific goals for how much you want to save will not help you see the results that you want to see with your savings.
When saving money, it’s important to be as specific as possible. This is the only way you can measure your progress and see how you are doing; by setting specific goals.
How much do you want to save every month? Ultimately how much do you want to have saved at the end of the year? What are you saving for? These are very specific questions you need to ask yourself when setting goals for your savings.
Have specific time frames and specific amounts so that you have very specific goals.
Know your why
After making your goals specific, the next step is to establish your why. After setting your goals, it’s important to have a why behind the goals.
Why are you saving, and what are you saving for?
Maybe you are saving so that you can have an emergency fund, to buy a house, or so you can leave your job and focus on your business. Whatever it is you are saving for, you need to know the why.
Establishing your why will help you stay disciplined, and having a reason behind doing something helps you stay committed to it.
These money-saving tips will not help you unless you have established a personal why.
Break down your goals into actionable steps
After establishing your goals and the why behind your goals, the next step is to break down your goals into actionable steps.
For example, if your goal is to save money to buy a car, and the car you want to save for costs $4000. The next step is to plan how you are going to make the goal a reality.
An actionable step would be to set a time frame by which you want to buy the car, open a savings account, and put away a specific amount of money evenly throughout that time frame. Now you have an actionable step you can carry out to achieve your savings goal.
Next, it’s time to be disciplined about your savings goal and make you are following the steps you set for yourself.
This is much easier to do when you have established a ‘why’ behind your savings goals and have actionable steps you have set for yourself to follow.
Being disciplined is important if you want to see results. It’s so easy to see the latest iPhone or Nike sneakers and want to spend the money you have been saving for something else on that. But staying disciplined will help you to make sure you are not distracted from the final goal.
Separate your savings from the rest of your money
Keeping your savings in the same account that you use for your day-to-day transactions is a recipe to fail with your savings goals.
Once you know what you want to put aside as savings each month, it is important to separate your savings money from the other money with different goals attached to it.
To achieve this, you can open a separate savings account separate from your checking account, use the traditional piggy bank method or use a savings app to put aside money where you don’t have direct access to it.
Automate your savings
This is one of my favorite money-saving tips. Automating your savings is a great way to make saving more manageable and less of a chore. It helps you put money aside in the background while you focus on making money.
By automating your savings, you allow your bank to put aside money from your checking account into your savings account automatically on your behalf on days you set yourself.
This is a great way to make sure you are consistent and also to make sure money is saved up for a rainy day.
Don’t make your savings easily accessible
Sometimes the best way to make sure you are disciplined and you are not tempted to use the money you are setting aside as your savings is to put extra measures to access the money you saved.
Some banks allow you to withdraw your savings by applying or giving notice days in advance before they release the money. This is a great system to help you make sure you can only access your savings when there is a dere need to.
However, this may not be ideal for an emergency savings fund as you may need to access the money urgently, should an emergency arise.
In all other cases, doing this will help you keep your savings in savings and give you time to think again before touching the money you have been working hard to save.
These 7 money-saving tips and tricks are will help you succeed when saving money.
Set goals, know the behind your goals. Break them down into actionable steps and be disciplined while executing them.
Separate your savings from the rest of your money, don’t make them accessible, so you don’t tempt yourself to use the money otherwise, and automate the process so that it’s smooth and less of a burden.
What has helped you save money effectively? Do you struggle with discipline and sticking to your goals? Let me know in the comments below!