Your Ultimate Guide to Saving Money

Jun 14, 2018 11:45:20 AM

Saving money – we all know it’s an important part of life, but it can be much easier said than done. Some days it seems that the world is designed to nickel and dime at every turn; chipping away at those hard-earned dollars.

Successful money management and saving will ensure a secure future and peace of mind. With a bit of dedication, good habits and a little know-how, anyone can learn to manage and save their money and ensure a safe financial future for themselves and their family.

Switch to a cash budget

In a world of credit cards, tap-to-pay, smartphone apps and digital payments, parting with your money has never been easier. While this has undoubtedly made our lives more convenient, it adds another layer of abstraction between us and our money. Casinos and arcades have relied on this concept for years. It’s easier to forget how much our money's actually worth when it's just a number on a screen or a plastic chip in our hand. Switching to a cash only budget gives you a better sense of how much you’re actually spending. Managing your money becomes easier when you see that cash physically leave your wallet, instead of just a quick swipe of your card or a click on your phone. Of course, some purchases are better suited to cards, and holding credit cards is an essential part to building a good credit score, but for daily purchases try switching to a cash budget and setting firm spending limits. You’ll notice the savings immediately.

Meal planning and prepping

Eating out at a restaurant is one of life’s great pleasures, but restaurants can be a major hindrance to your savings, especially when they become part of your daily routine. Cooking at home is fun, healthy, and an excellent way to save money. Make every Sunday your meal-prep day. Buy ingredients in bulk and prepare lunch boxes for the whole week. When the food is made in advance, it’s harder to make excuses or be lazy during the week. Buying in bulk saves money immediately, and meal prepping ensures you use all of your ingredients before they go bad. A report from the Natural Resources Defense Council found that in America alone, $165 billion in food waste is produced every year. This is bad for the economy, the environment and your pocketbook. Responsible meal planning is an essential aspect of saving money, and both your bank account and your waistline will thank you.

The ‘24-Hour Rule’

Humans rarely make our best decisions under pressure, and this is doubly true when it comes to money. Good salespeople know how to apply pressure when we’re making expensive purchases; confusing us with limited-time offers, narrow discount windows and the pressure to make immediate decisions. Even the best money savers among us can fall victim to impulse purchases, and we all know the sting of regret from making an unwise financial decision in the heat of the moment. The ‘24-Hour Rule’ states that any time you’re making a significant purchase, always consider the offer for 24 hours before deciding. Managing your emotions can be as important as managing your money. Give yourself some time to reflect on the offer, talk to your friends or family, and do more research – that way, you can be more certain that your mind is clear when making a major financial decision. Remember – patience and planning will always help when it comes to saving money.


Tags: Money Tips, Debt Management, Banking Tips, Budgeting