When it comes to personal saving, it’s often easier said than done.
The world we live in today has become an expensive place, no matter where you live. And while some people manage to meet their savings goals each week, others fall short of the mark.
Here are 6 personal savings tips to help you build up your rainy day savings…
6 Personal Savings Tip to Help Meet Your Goals
Personal saving really isn’t rocket science. It’s not even complicated HTML programming – check out .net pdf for more on that! Personal saving is all about simple, savvy money saving tips and tricks- even for those who consistently struggle to put savings goals into action.
1. Make a Record of All Expenses
The most practical step in organizing your finances is by making a record of all your monthly overheads and spending.
This may sound like a tedious task, but taking the time to record exactly what you’re spending every day will help you to prioritize your finances.
Draw up an Excel spreadsheet create categories for monthly overhead i.e. rent, medical cover, school fees, etc. Then sub-categories for other types of spending.
Alternatively, you could also use a monthly bank statement for this and categorize your spending from there.
2. Look For No-Fee Bank Accounts
Some monthly banking fee rates vary, but generally, these charges range from $5-$10 per month. Now, this may not sound like a whole lot of money, but over time it really does add up!
Look into opening up a no-fee bank account- they aren’t as common, but they are definitely around. Otherwise, many banks waive these charges depending on the amount of money in your account each month. Make sure you’re able to meet this minimum balance and the fee should be waived.
3. Avoid Auto-Saved Credit Card Numbers
Online shopping is a massive industry in the United States and is, quite frankly, a black hole that could sucker you into years of credit card debt.
So when it comes to online shopping, make sure to avoid the auto-save option of your credit card details. This way, you won’t be coaxed into thoughtless spending just because it’s convenient!
4. Prioritize Savings and Entertainment Equally
Now, we understand that life is not all about working, saving your money, and that’s it. Life is meant to be enjoyed – but all within reason, especially if you’re looking to build up your savings.
Make a rule that whatever you choose to spend on entertainment, you’ll match by putting the same amount into your savings. So, if you’re spending $50 on shoes, put the same amount into your savings account.
Ultimately, this will encourage you to reassess your non-essential spending and help your savings grow at the same time!
5. Forget About Your Pay Raise
Hooray, a pay raise! While it’s definitely cause-for-celebration, this doesn’t mean your cost of living should dramatically increase. Instead, the best thing to do is ignore this pay increase and tuck it away into your savings.
Alternatively, take half of your raise and readjust your spending, then put the other half away into a savings account.
6. Reassess the Interest Rate on Your Savings Account
When was the last time you checked the interest rate on your savings account? If it’s still sitting at 1% or less, your money may as well be in a shoebox under your bed!
Ideally, opt for a savings account with an interest rate of 2% or higher. This way your money is likely to grow at a faster rate, without doing a thing to it! And the more you put into your savings account, the faster it will grow.
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