Everyone wants a little extra money in their bank account, but for many people money comes and goes between paydays with no extra room for saving. Saving can be a hard task to do when you are living with a fixed budget that barely gets stretched through the month. There are, however, many different tips that can help you learn how to save without forcing you to give up too much money between paydays. When you use these tips you will find a more functional budget, with a savings account you can fall back on for leisure or emergency expenditures whenever they may occur.
1. The Weekly Challenge
If you’re looking for an easy way to put over one thousand dollars into your savings account then you will certainly love the weekly challenge. There are exactly 52 weeks in a year, which means the highest amount of money you will have to part with during this task is $52. The goal of this challenge is to put $1 into your savings account per week. For example, on the 18th week of the year you will add $18 into your savings account. This is actually a small amount of money that can easily be budgeted in to your paycheck. If you’re afraid of parting with $52 at the end of the year when spending is at its highest then try working your way backwards. On the first week of the year add $52 into your account and work down like a countdown. This will help keep your spending budget in check while adding a great nest egg into your savings.
2. Say No to Fast Food
Fast food is a double edged sword. Sure it taste great, but its not only bad for your body its also terrible for your wallet. Buying fast food can cost your family a week’s worth of meals in just one sitting. If you’re really looking to get into the saving game then one of the best things you can do is remove the fast food from your diet. This doesn’t just mean keep away from McDonalds and other chains, but you need to watch out for what you buy at the grocery store. A lot of the times stores will have quick to eat meals that seem like an amazing deal at first, but when you actually dissect the cost you will see that you are paying a lot for not very much. Staying away from restaurants can be a big saver too. If you have to eat out, try to limit to once a month or special occasions. By doing this you will keep hundreds in your account that you didn’t even know you were losing to begin with!
3. Keep an Eye on Energy Usage
Energy cost can make you lose a fortune, especially in the summer. There are many ways to prevent your energy bill from being too much though, which will add money back to your bank account. One easy way it to keep an eye on the devices you aren’t using. If you are finished with a device unplug it from the wall. Even though the device is off it will still pull energy into the device just because it is plugged in. This includes you televisions and computers too. If you want to save even more purchase items that have an energy saving sticker, as they tend to pull out less power when in use. There is also the option of solar panels. This will not only make your electric bill drop down to nothing, but will ensure that your home is eco friendly. If you still have a problem with the energy bill then have your home inspected. A lot of the time things can go wrong and energy that isn’t actually being used on purpose can be drained into the home. When you cut down on your energy bill there will be a lot more money to move straight into the savings account.
4. Shop in Bulk
There are always items the household goes through quickly, such as toilet paper and bottled water. Sometimes it actually saves you to buy more, even if it means giving up a little extra when you have to make the purchases. When you buy in bulk you are buying items that are actually cheaper per unit. This works out great for some items because it means you won’t have to buy them the next few times you go shopping. By cutting out the amount you spend on the product means you can save a little more on your overall bill. Buying in bulk works out great for most products, even if it seems a bit simple. Next time you go to the store check out the prices of soda. There won’t be a huge different in price between the small 12 pack and the larger 32 pack. By utilizing the bulk buy method you can even split the cost and product with a friend or family member.
5. Rethink Your Entertainment Budget
We tend to throw a lot of money into our entertainment funds without noticing it. Between internet, cable and cellphone bills there is little else to spend elsewhere. A great way to increase your savings is to get rid of some of the expenses. Cable, for starters, tends to cost over $100 a month for a product that can be viewed for around $20 online. There are many programs that allow you to watch TV shows without paying a fortune. Another simple and cost effective way to save is to cut down on the cellphone bill. Talk less on the cell and more on your home phone to save on pricey minutes. Surf the web at home, opposed to at work and if you really need to get a message through send out a text. If you’re a fan of video games try renting a game instead of spending hundreds of dollars on games each year. There are also many free events in most areas. Try checking out a poetry reading, or a local concert. If you love the theater try a discounted theater that plays movies that still aren’t available for purchase. The best thing you can do, however, is utilize family game nights and activities you can do together at home for free.
6. Automatically Send Money to Savings
Many bank accounts will allow you to set up an autocratically referral that will send money directly to your savings account. This is one of the best ways to save as you won’t even notice the money is missing. The best thing is you can customize your transfer according to your current budget. If you don’t have a lot of money to spare each payday, then set it up for a small amount like $10. This money will be secured in your security account so that it can’t be spent and over time it will grow and gain interest, which will give you an even bigger cushion for larger items that you may need.
7. Review Bills and Pay Online
Another simple way to save it to make sure you review all of your bills. Companies make mistakes and sometimes you can get overcharged, or charged too frequently for many services. You should especially keep an eye on your phone, electric, water and gas bill as there can be a lot of different things that can go wrong with your services. If everything is okay with your services then try to pay the bill online or over the phone. By giving an instant payment you will ensure that won’t be any late charges on your account and will know that you have paid off your current balance, which will help your credit score out. Although this might not seem like a huge tip to put more money in your bank, you will be able to budget better and will enjoy the extra little bit you save from not paying for extras or postage.
8. The Envelope System
If you have struggled to keep track of your bank account, but have a hard time keeping track of intangible money then the envelope system might work for you. This system allows you to take your weekly budget and spread the cash out between envelopes. Make sure to create one for food, utilities and other bills that are important to pay. Of course, you should also make entertainment and clothing funds, as well as anything else you think of. The rule is you can only use the money in the envelope for each item. This will allow you to see the money and as you spend it you will know exactly what you have left. If you still have money in the envelopes at the end of the week then you can move it straight into your savings account, or if you looking to splurge keep it in the envelope for next week. This method will not only help you stretch your money and add a little extra to savings, but will also teach you how to maintain your budget.
9. Advance Holiday Shipping
If you seem to struggle through the holidays when it comes to your finances then you might want to try a little advanced holiday shopping. Instead of waiting until the end of the year to grab everyone’s present at once then do a little shopping throughout the year when you have a little extra money, or you find a sale on something someone will like. This will not only save you a lot of stress during the already frustrating holiday season, but will also help you save money in the run. When you keep your spending minimized during the holiday season you will be able to add all the extra cash or even your holiday bonus into your savings account so you can enjoy a great start to the upcoming year.
10. Insurance
Insurance is one of the best ways to save money without forcing yourself to spend too much of it. When you factor in insurance cost to your daily budget you will quickly realize how much money it will save you when it comes to spending money on household repairs, doctor appointments and car troubles. Having adequate insurance will keep you in the positive, so that you can float more money into your savings account. Of course, there is no point in having insurance if you aren’t going to use it. Make sure to take advantage of your annual and bi-annual checkups at the doctor’s and dentist’s office so that you can help avoid any more expensive problems from occurring. It is also important to shop around for the coverage you need. Make sure you are going to pay the best price for the most coverage you can get.
Saving money will never seem so easy when you follow these ten tips. You will love having the extra money to spend on bigger items and will also enjoy having the security of extra money in your nest egg. You will love to save so much that you will do it more often without even realizing it!
