Smart money habits and the realization that your financial future depends on what you do now should motivate you to make saving money a top priority. Having an intentional budget that you respect, and follow can give you a clear vision of exactly how your money is being spent. This allows you to account for every dollar earned and be accountable for exactly how it is spent.
Here are some tips to help you save money and free up some of your cashflow.
5 Easy Ways to Save Money
- Direct Deposit Savings – When you plan to save money automatically, your chances for success are greater. Many employers will allow you to send a portion of your paycheck each week to a savings or investment account of your choice. If not, your bank may be able to automatically transfer funds to savings for you. Don’t worry about the amount. The fact that you are saving regularly is key.
- Coffee and Lunch Adds Up – While it may seem like a huge sacrifice to some, splurging on that daily coffee and lunch out can really add up. In fact, the average coffee is $5, and the average lunch is $10. If you brewed your coffee at home and packed a lunch each day, you could potentially save around $300 every month. Not only is that substantial – that’s a car payment, your utility bills, or a deposit of $,3600 to your savings account each year.
- Keep an Eye on Monthly Subscriptions – Be careful of memberships and monthly subscriptions that continue to charge you but aren’t being used. Gym memberships, Netflix accounts, clothing, or beauty regime subscriptions, etc. can be beneficial, but not if you aren’t actually using them each month. Cancel any subscriptions that you don’t use and be sure to disable the auto-renewal and auto-ship features so that you only pay for what you really want.
- Utilize Your Employer’s Retirement Savings Plan – If your employer offers a 401(k) plan that you are not contributing to, you are definitely missing out on a great savings opportunity. Take advantage of this company matched savings plan to help you invest for retirement and the future. Saving now will let you reap the rewards later – not to mention the free money match that is being added to your account each week.
- Slim Down Your Grocery Spending – If you have a hard time staying on budget while food shopping, it’s time to make a new plan. It can be ever-so-tempting to fill the grocery cart with all of your favorites, so instead, make a list and meal plans and stick to it. If that sounds impossible, try the new online grocery pick up options. Adding the items to your cart then picking them up without a chance to blow the budget may be the perfect solution to balancing your grocery spending better.
No matter how impossible it may seem, now is the time to start saving money and planning for your future. Savvy savers can implement these tips now to help them stay on budget and free up some extra cash for savings each month.