SAVING MONEY
Beware of little expenses, a small leak will sink a great ship
- Save More by Saving Less
People often make the mistake of being too motivated and aggressive about saving money in the beginning, without having a plan. Be careful of pulling out too much from your paycheck to go into savings in your initial enthusiasm. If you find yourself pulling most of your money back out of savings every month to cover your expenses, what you’ve lost is not only the potential accumulation of savings but your overall confidence in your ability to save.
Instead, outline a more realistic budget (The Budget Kit book comes in handy here) and see how much money you really need from the paycheck. Then save a much smaller amount and vow not to touch it unless there is a true emergency. You will not only end up saving much more cash, but gaining a great deal more confidence. For help creating a realistic budget check out the Udemy course Create a Budget that Works.
2. Replace One Daily Expense
Find one small daily habit expense that adds up to more than you want to admit and change it.
For example, if you love the flavor of hazelnut in your coffee or tea, rather than do the Starbucks pump and spend an extra .75 for your favorite flavor, buy your own big bottle of syrup for $7, add a small amount to a small, portable container and add it to your daily drink. This will last you months and save you considerable money.
Best of all, you still get to enjoy your hazelnut!
3. Pick One Money Handling Habit to Change. A few examples could be:
One day or week or month, try going cold turkey and use only cash. You’ll be amazed how fast money disappears when your money is tangible again.
Enter the ATM, debit, and cash expenses into your check register, software account, or another tracking system on a daily basis rather than putting it off for a week. Taking in that information daily can have a powerful impact on your spending.
If you like to shop and browse and always manage to spend money doing so, one day a week decide to be a free spirit and leave the cards and cash at home other than the basic needs. Or stay out of all stores or any online shopping for that day.
