Advertising
Advertising

7 Saving Methods That Really Work For You

7 Saving Methods That Really Work For You

Gone are the days when companies used to include Social Security benefits and pension plans in their employee compensation packages. In the 21st century, neither of these exists any longer. In our lives, we all will ultimately reach a point where we either go for another career opportunity, less intense work life, or finish working for a living altogether.

We always look for the saving methods to help in creating a bright future after your working life ends, or for future use. Embracing money saving method is crucial, and knowing the right steps to take will make the process much easier.

Here are some methods of saving money; by taking some time to look through these options, you’ll be able to save more money faster.

Advertising

1. Save a certain percentage of your income

Whether you are working on a monthly budget plan or not, you might start saving right from today. The key is to pick a small percentage of your income and set it aside. Some people who choose to opt for 5 percent or even 10 percent savings from their daily income. On the other hand, some people prefer to set a standard sum each month. This does not matter, as long as you are saving money somewhere.

Many experts suggest to set at least 10 percent of the income each other. This would be an easier technique to start, because by using this saving method you can set amount of money each month.

2. Save a set dollar amount

Unlike saving a percentage of your income monthly, saving a specific dollar amount in a set time period is also a very valuable saving method. This method is used frequently because it works and can easily be automated.  Always try to aim for short-term savings goals, such as setting aside $30 a week or month rather than long term savings goals, such as $200 over a year. People save more successfully when they keep the short-term goal.

Advertising

3. Save the change

We used to keep the change in our pockets at the end of the day; we’d toss it at our cupboard or put it in a bowl or in the jar. This method of keeping the change could quickly add up to a few hundred dollars that could then be used on groceries and entertainment. Saving the change can help you with small-scale savings aims, such as a distinct purchase or unplanned expenses.

So in the future, each day when you come home from work, take out any loose change and place it in the jar and empty your pockets before going upstairs to change.

4. Participate in a savings challenge

Sometimes, we just need a pushing challenge to get into the swing of saving. There are plenty of money-saving challenges that are worth to try.

Advertising

Here are a few:

  • Saving all of your $1, $5, or $10 bills
  • Saving older bills
  • Saving $1 for each week of the year (e.g,. $1 for week one, $2 for each week or two, and so on. In one year, you’ll have accumulated $1,378.)

5. Buy in bulk whenever possible

When you need to buy non-perishable items, try to buy in bulk whenever there are such items on sale. These items could be your canned goods, cereals, rice, pasta, drinks, toothpaste, body wash, toilet paper, shampoo and other dry goods.

6. Consolidate and pay off debts

If you are in any sort of debt, make an effort to consolidate it on a lower interest rate and paying it off quickly. Money paid in interest for you is like money thrown away! There is no need to spend your hard-earned cash to make the financial institutions rich

Advertising

7. Avoid impulse buying

Make it a routine to escape impulse buying. Mostly, many things you buy do not seem all that necessary, and you save a lot if you could only wait for a day or two. Additionally, by waiting you will be able to check the prices and make a well-versed decision to buy it at the best price.

Making saving feel like a task and nobody likes tasks. Conversely, there are easy ways to save without putting any effort.

 

 

More by this author

Tayyab Babar

Tayyab is a PR/Marketing consultant. He writes about work, productivity and tech tips at Lifehack.

10 Traits of Sucessful Heroic Leaders 25 Signs That You’re A Mentally Strong Person 10 Astonishing Benefits of Marmite That Will Turn Your Hatred Into Love 5 Fun Ways to Make Money Online That You Should Try 4 Crucial Startup Mistakes That Can Kill Your Business: How You Can Avoid

Trending in Money

1 How to Develop a Millionaire Mindset in 6 Simple Steps 2 How to Eat Healthy on a Budget (The Definitive Guide) 3 9 Millionaire Success Habits That Will Inspire Your Life 4 Top 5 Spending Tracker Apps to Manage Your Budget Smart in 2020 5 How to Set Financial Goals and Actually Meet Them

Read Next

Advertising
Advertising
Advertising

Last Updated on January 21, 2020

How to Develop a Millionaire Mindset in 6 Simple Steps

How to Develop a Millionaire Mindset in 6 Simple Steps

We all like to dream about being financially wealthy. For most people though, it remains a dream and nothing more. Why is that?

It’s because most people don’t set their mind to achieving that goal. They might not be happy in their current situation but they’re comfortable – and comfort is one of the biggest enemies of growth.

How do you go about developing that millionaire mindset? By following these simple steps:

1. Focus On What You Want – And Take It!

So many people are too timid to admit they want something and go for it. When there is something that you want to accomplish don’t think “I could never actually do that”, think “I could do that and I WILL do that”.

Millionaires play to win, not to avoid defeat.

This doesn’t mean to have to become a selfish jerk. What it means is becoming more assertive and honest with yourself. You don’t have to grab off other people. There is a big pot of unclaimed gold in the middle of the table — why shouldn’t you be the one to claim it? You deserve it!

Advertising

2. Become Goal-Orientated

It’s almost impossible to achieve anything if you don’t set firm goals. Only lottery winners become millionaires overnight. By setting yourself attainable goals, you will get there eventually. Don’t try to get rich quickly — get rich slowly.

Let’s take the idea of making your first million dollars and expand on what kind of goals you might set to get there. Let’s also say you’re starting at a break-even position – you’re making enough to get by with a few luxuries, but nothing more.

Your goal for the first year can be having $10,000 in the bank within a year. It won’t be easy but it is doable. Next, you need to figure out the steps you need to take to achieve that goal.

Always look at ways to make growth before cutbacks. With that in mind, you might want to see if you can negotiate a pay rise with your boss, or if there’s another job out there that will pay better. You might be comfortable in your old job but remember, comfort stunts growth.

You may also have other skills outside of your workplace that you can monetize to boost your bank balance. Maybe you can design websites for people, at a fee of course, or make alterations to clothes.

If this is still not enough to make the money you need to save $10,000 in a year, then it’s time to look at cutbacks. Do you have a bunch of old junk that someone else might love? Sell it! Do you really need to spend $10 on your lunch everyday when you could make your own for a fraction of the cost?

Advertising

If you are to become a millionaire, you need to start accumulating money.

Here’re some tips to help you: How to Become Goal Oriented and Achieve More in Life

3. Don’t Spend Your Money – Invest It

The reason you need to accumulate money is for step three. Millionaires tend to be frugal people, and that’s because they know the true value of money is in investing. Being your own boss goes hand-in-hand with becoming a millionaire. You’ll want to quit your regular job at some point.

Stop working for your money and make your money work for you.

Rather than buying yourself a new iPad, that $500 could be used to invest in the stock market. Find the right shares (more on that later), and that money could easily double within a year.

There’s not just the stock market — there’s also property, and your own education.

Advertising

4. Never Stop Learning

The best thing you can invest in is yourself.

Once most people leave the education system, they think their learning days are over. Well theirs might be, but yours shouldn’t be. Successful people continually learn and adapt.

Billionaire Warren Buffet estimates that he read at least 100 books on investing before he turned twenty. Most people never read another book after they’ve left school. Who would you rather be?

Learn everything you can about how economics works, how the stocks markets work, how they trend.

Learn new skills. If you have an interest in it, learn everything you can about it. You’d be surprised at how often, seemingly useless skills, can become extremely useful in the right situation.

Start developing the habit of learning continuously: How to Create a Habit of Continuous Learning for a Better You

Advertising

5. Think Big

While I advise to start off with small goals, you absolutely should have a big goal in mind. If you have a business idea, then that is your ultimate goal – to start that business and make a success of it. If you want to invest your way to millions of dollars and do little work other than research, then that is your big goal.

There is no shame in not achieving a big goal. If you run a business and aim to make $1 million profit in a year and “only” make $200,000, then you’re still significantly ahead of most people.

Aim for the stars, if you fail you’ll still be over the moon.

6. Enjoy the Attention

To be successful, you have to be willing to promote yourself and enjoy the attention to a certain extent. Now the attention doesn’t need to be on yourself, it could be on your brand, but attention definitely attracts money.

Never be embarrassed to get your name out there. That means finding a spotlight and being brave enough to step right up underneath it.

If you run a business, try contacting the local papers. You’d be surprised at how amenable they often are to running a story about you and your business, and it’s all free publicity.

Above all, remember: You control your own destiny. Push hard enough for anything and you’ll get it.

More About Thinking Smart

Featured photo credit: Austin Distel via unsplash.com

Read Next