Trying to make ends meet can often prove difficult for many. And this often means that saving is put on the back-burner. However, this should never be the case! Here are five tips to train yourself to save more, and why you should.
Save More With An Emergency Fund?
Life has a way of throwing us curve balls when we least expect it, which can completely derail and money-saving routine. In these instances, such as being downsized from your job or having to fork out a huge amount to see a specialist, having a sizable amount of savings can really help to take the pressure off. Set a minimum amount for your emergency fund and maintain that. When emergencies happen and you need to use your emergency fund, make it your top priority to build it back up because another emergency will creep up faster than you’d like! With an emergency fund, you can continue your saving routine without being thrown off-track for weeks or months.
Make Saving a Priority
Just like paying your monthly bills is a priority, saving should be one too. This means setting aside a specific amount of your income every month. It is preferable to create a fixed deposit account in which to store your savings so that you do not feel tempted to ‘dip’ into them when you are a little bit short on cash to buy something you really want (but do not need).
If you live in the USA, Money Magazine recently wrote an article on which savings accounts are the best. Check it out.
Get Rid of Your Debt
The biggest hurdle in your way of saving more money is your debt. Focus on settling all of your existing debt by cutting out as many luxuries in your life as you can. Once your debt has been repaid, you can then look at altering your spending again somewhat, ensuring that you are careful not to incur any further debt going forward!
Avoid Impulsive Purchases
Never allow yourself to purchase an item on impulse. Follow the 48-hour rule where you ‘sleep’ on the decision at least twice before you make a decision to buy.
Set and Stick to a Budget
This is an ‘obvious’ tip, except for the fact that most people have no idea how to actually create a comprehensive budget. Hence, the reason why they often find themselves over-spending unintentionally. Luckily, the CalendarBudget finance app is here to help make the process of budgeting easy and effective. It enables users to:
- Pay bills on time with the help of calendared reminders,
- Know when their income, expenses and regular spending takes place,
- View their account balance on any day in the future,
- Plan ahead for upcoming expenses, and
- Plan to save for their future.
For more “save more” training and information about how the CalendarBudget app can help you to maximize your savings, do not hesitate to get in touch.