Advertising
Advertising

Hacking the 52 Week Money Challenge the Smart Way

Hacking the 52 Week Money Challenge the Smart Way

The financial savings picture in America (and the world) isn’t a good one, at multiple income levels. For example: across people with incomes less than $25,000, 38% have $0 saved. For those with incomes from $100,000 to $149,999, it’s not much better: 18% have $0 saved, and 26% have less than $1,000.[1]

This obviously can create problems in the future. Nearly half of American adults can’t cover an emergency expense of $400 without selling something or borrowing money, and 31% of non-retired adults have no retirement savings or pension at all.[2]

Is there a way to get better at saving money? Yes, here’s a challenge you can take to turn around the situation.

The 52 Week Money Challenge

The 52 Week Money Challenge is fairly simple.

Advertising

  • On Week 1, you deposit $1 in savings. Now your total is $1.
  • On Week 2, you deposit $2, for a new total of $3.

If you follow this for 52 weeks, your eventual total for the year will be $1,378.

Here’s a table showcasing it visually:

    The 52-Week Money Challenge works because of habitual momentum. You have a commitment now to do something every single week, and if you achieve it, it will better your financial situation. Charles Duhigg, a leading researcher on habits, has explained that most habit formation takes place as cue, routine, and reward.[3] The 52-Week Money Challenge is the same way:

    Advertising

    • Cue: Every week, you remember you need to do this.
    • Routine: You keep doing it!
    • Reward: Now you have more savings.

    Hacking the Money Challenge

    How do you make the conscious decision not to spend dollars on fun things?

    For example, you know there’s a good chance you’ll spend more money during the holidays— flights to see family members, gifts for family and co-workers, maybe even New Year’s Eve plans. You might spend more in the summer too: vacations and summer sales.

    How do you make sure you don’t do that and stay on track with your 52-Week Money Challenge? There are three main hacks if you want to get the most out of the 52-Week Money Challenge:

    Automate Money Storing and Transferring

    The whole point of automation is making things simpler, and that can work in the 52-Week Money Challenge too. Just automate out the payments beforehand and you’ll never even think about it. It will just not be there—it’ll be savings. Your bank can help you with this, as can apps like Qapital.

    Advertising

    Combine the Challenge with Another Goal

    Consider merging the 52-Week Money Challenge with a weight loss challenge— lose 1 pound per week, for example— or a spending challenge. You could reduce the number of times you eat out each week in a given month (8, 6, 4, 2) and start from a smaller number each month (7, 5, 3, 1 the next month; then 6, 4, 2, 0).

    If you’re tying a money-saving challenge (the 52-Week Money Challenge) with another challenge that will directly impacting savings (eating out less or trying to lose weight— or both!), there will be increased motivation to save money.

    Go Beyond the 52 Weeks

    Each year you’d save $1,378. In five years, you’d have $6,890. In 10 years, $13,780. It could lead to some pretty nice vacations, if nothing else.

    Just don’t stop. The 52-Week Money Challenge is a low impact way to save money.

    Advertising

    Challenge Accepted

    Go do it. Do the 52-Week Money Challenge. And think on some of the hacks, or create your own— for example, if Week 1 is $2 and then Week 2 is $4, you’d double your savings ($2,756) for the year. In 10 years, you’d have over $27,000 in savings.

    That would be impressive given the numbers we initially discussed. Most Americans have less than $1,000 in savings, so even if you just do the basic 52-Week Money Challenge with the hacks discussed, you’ll end the year with more than most people.

    Saving is important, whether the savings leads to leisure pursuits or solving emergencies. Start with the 52-Week Money Challenge and see how easy it can be.

    Featured photo credit: http://money.cnn.com/2017/05/10/retirement/retirement-savings-return/index.html via money.cnn.com

    Reference

    More by this author

    Brian Lee

    Chief of Product Management at Lifehack

    10 Best New Products That People Don’t Know About 100 Incredible Life Hacks That Make Life So Much Easier Book Summary: The Power of Habit in 2 Minutes 1 Minute Book Summary: How To Make People Like You in 90 Seconds or Less 2 Minutes Book Summary: Thinking Fast and Slow

    Trending in Productivity

    1 How to Stop Multitasking and Become Way More Productive 2 How to Be A Genuine Expert in Your Field 3 How to Get Unstuck and Get Back On Track to Achieving Your Goals 4 What to Do When Bored at Work (And the Reason Why You Feel Bored) 5 10 Things High Achievers Do Differently to Attain Greatness

    Read Next

    Advertising
    Advertising

    Last Updated on September 17, 2018

    How to Stop Multitasking and Become Way More Productive

    How to Stop Multitasking and Become Way More Productive

    Today we are expected to work in highly disruptive environments. We sit down at our desks, turn on our computer and immediately we are hit with hundreds of emails all vying for our attention.

    Our phones are beeping and pinging with new alerts to messages, likes and comments and our colleagues are complaining about the latest company initiative is designed to get us to do more work and spend less time at home.

    All these distractions result in us multitasking where our attention is switching between one crisis and the next.

    Multitasking is a problem. But how to stop multitasking?

    How bad really is multitasking?

    It dilutes your focus and attention so even the easiest of tasks become much harder and take longer to complete.

    Studies have shown that while you think you are multitasking, you are in fact task switching, which means your attention is switching between two or more pieces of work and that depletes the energy resources you have to do your work.

    This is why, even though you may have done little to no physical activity, you arrive home at the end of the day feeling exhausted and not in the mood to do anything.

    Advertising

    We know it is not a good way to get quality work done, but the demands for out attention persist and rather than reduce, are likely to increase as the years go by.

    So what to do about it?

    Ways to stop multitasking and increase productivity

    Now, forget about how to multitask!

    Here are a few strategies on how to stop multitasking so you can get better quality and more work done in the time you have each working day:

    1. Get enough rest

    When you are tired, your brain has less strength to resist even the tiniest attention seeker. This is why when you find your mind wandering, it is a sign your brain is tired and time to take a break.

    This does not just mean taking breaks throughout the day, it also means making sure you get enough sleep every day.

    When you are well rested and take short regular breaks throughout the day your brain is fully refuelled and ready to focus in on the work that is important.

    Advertising

    2. Plan your day

    When you don’t have a plan for the day, the day will create a plan for you. When you allow outside influences to take control of your day, it is very hard not to be dragged off in all directions.

    When you have a plan for the day, when you arrive at work your brain knows exactly what it is you want to accomplish and will subconsciously have prepared itself for a sustained period of focused work.

    Your resistance to distractions and other work will be high and you will focus much better on the work that needs doing.

    3. Remove everything from your desk and screen except for the work you are doing

    I learned this one a long time ago. In my previous work, I worked in a law office and I had case files to deal with. If I had more than one case file on my desk at any one time, I would find my eyes wandering over the other case files on my desk when I had something difficult to do.

    I was looking for something easier. This meant often I was working on three or four cases at one time and that always led to mistakes and slower completion.

    Now when I am working on something, I am in full-screen mode where all I can see is the work I am working on right now.

    4. When at your desk, do work

    We are creatures of habit. If we do our online shopping and news reading at our desks as well as our work, we will always have the temptation to be doing stuff that we should not be doing at that moment.

    Advertising

    Do your online shopping from another place—your home or from your phone when you are having a break—and only do your work when at your desk. This conditions your brain to focus in on your work and not other distractions.

    5. Learn to say no

    Whenever you hear the phrase “learn to say no,” it does not mean going about being rude to everyone. What it does mean is delay saying yes.

    Most problems occur when we say “yes” immediately. We then have to spend an inordinate amount of energy thinking of ways to get ourselves out of the commitment we made.

    By saying “let me think about it” or “can I let you know later” gives you time to evaluate the offer and allows you to get back to what you were doing quicker.

    6. Turn off notifications on your computer

    For most of us, we still use computers to do our work. When you have email alert pop-ups and other notifications turned on, they will distract you no matter how strong you feel.

    Turn them off and schedule email reviewing for times between doing your focused work. Doing this will give you a lot of time back because you will be able to remain focused on the work in front of you.

    7. Find a quiet place to do your most important work

    Most workplaces have meeting rooms that are vacant. If you do have important work to get done, ask if you can use one of those rooms and do your work there.

    Advertising

    You can close the door, put on your headphones and just focus on what is important. This is a great way to remove all the other, non-important, tasks demanding your attention and just focus on one piece of work.

    The bottom line

    Focusing on one piece of work at a time can be hard but the benefits to the amount of work you get done are worth it. You will make fewer mistakes, you will get more done and will feel a lot less tired at the end of the day.

    Make a list of the four or five things you want to get done the next day before you finish your work for the day and when you start the day, begin at the top of the list with the first item.

    Don’t start anything else until you have finished the first one and then move on to the second one. This one trick will help you to become way more productive.

    Featured photo credit: Unsplash via unsplash.com

    Read Next