Saving money often seems like an impossible challenge. Maybe you could save a few extra dollars each month to deposit them in a savings account! But you wonder, “Will that really make a difference? Yes, a few extra dollars a month can eventually give you the opportunity to raise money for “hard days” or even to pay for a vacation. However, they will not make you rich.
But what if you put $ 1,000 in the bank in the coming year? Here are some ideas that will save you more than “three digits”.
First of all: start!
Start saving, that’s the hardest part! If you do not have a savings account, find the one that does not require a minimum deposit. Put $ 5 in the account or more if you can afford it. You will feel more motivated if you actually start saving instead of just planning on paper without making real deposits.
Put order in your budget.
The next step is to tidy up your budget. You need to make sure that you cover all your expenses and then move on to the next step of reducing them.
Reduce your monthly expenses
You will find many possibilities to reduce your monthly expenses. Why not start with fixed bills? You might find a cheaper package for your cell phone, cancel a streaming video subscription or take steps to cut utility bills. Keep in mind that you need to save about $ 83 a month if you want $ 1,000 in your account at the end of the year. You’ll get there with this one step: reduce your subscriptions and your current bills.
Reduce other expenses
When you buy food and essentials, spend less than the amount you expect. Of course you can not do without food or personal items such as toilet paper or toothpaste. However, you will save by buying cheaper products or generic brands. If every time you shop, you reduce the amount of your purchases from $ 5 to $ 10, this will be a big part of the $ 83 a month you want to save.
Cut the superfluous
Instead of buying your coffee in the restaurant every morning, you can prepare it at home. This small change will cost you a lot, a lot less. In the same way, consider bringing a meal to work that you have prepared yourself instead of having dinner outside every day.
What about additional expenses?
The unexpected will come to ruin your savings plans. Instead of using this money for emergency costs, consider getting a personal loan online. You will find it easy to get if you have a job and a bank account. Once accepted, the loan will pay for your unforeseen expenses. Then you will adjust your budget to repay the loan without affecting your savings. This will keep you on the path to achieving your ultimate goal of $ 100.