- September 17, 2021
- Posted by: admin
- Category: Blog, Media
Face it, there is no easy way to actually save up and yet splurge on that brand new handbag you have been eyeing at Chanel. You have been trying many obscure budgeting tips to chalk your piggy bank and it doesn’t seem to work all that great. Well lucky you, here are 8 budgeting hacks that are so simple, anyone can do it!
1. Make your savings AUTOMATIC
The first tip is the most important. Make sure you save first BEFORE spending! Most people get this wrong — they spend first and then save the rest. But by spending first, you will more likely get carried away when unforeseen bills start appearing. By saving before spending, your money is “hidden” from immediate sight and you will not consciously think that you have more than enough money to spend. But of course, remember to set aside an emergency fund for rainy days!
This is actually the simplest and yet most effective tip on the list.
2. Plan your groceries
Shopping online does have its perks. One such way you can utilize e-commerce and yet help limit your spending is by buying groceries online, doing so helps you keep track of your spending and it’s easier to remove excess food if you ever hit your budget.
3. Cold hard cash
Some might think that carrying less cash would mean less temptation to spend it. Where that concept was true, it is quite the opposite in the world of cashless payment methods, retailers are aware of this and are out to make sure you have lesser excuses to not buy from them. Counter this by going old-school, bring out cold hard cash (not in large amounts) and spend only these, keep your credit card at home or bring along only 1 card for emergency uses. The less numb you are to cashless payments, the better.
4. Tell all your friends
Tell everyone you know what you are saving up for, be it that getaway you always wanted or that dream car your neighbor flaunts, and when you suddenly splurge on something unrelated, chances are your friends will not let you hear the end of it. If you have a partner, you can both set saving goals for each other where you need to disclose your savings milestones or when you have spent a certain amount. Another good place to post a reminder is on your phone wallpaper, use apps that allow you to place widgets on your phone that reminds you of your spending habits.
5. Online shopping
Probably the bane of all your savings. Online retailers strive to make it as effortless as possible for you to spend money, which is why you have to create obstacles for yourself. Do not save your credit card information on websites, this will give you an added pause to stop and think about whether you need that item or not. Also, when tempted to purchase something you deem necessary, add it to your shopping cart and let it simmer there for about a week or so…if by the end of the week you forgot about it, it means you don’t need it.
Also, unsubscribe to newsletters and promotional materials. The less exposed to spending temptations, the better.
6. Make your savings plan fun and exciting
Introduce challenges that help you save better. Save any $5 note that comes your way, or have a no-spending month, etc. Go for freelance jobs that are easy to do and require little of your time, surplus money from these jobs can help negate costs of necessities or even add on to your savings jar.
7. Make the most out of your money
Once you have a liquid amount of savings, you may consider exploring options that stretch your dollar. Perhaps apply for credit cards that reward more points for spending at grocery marts, or cards that give more discounts when you spend at a gas station. But don’t forget to set limits for yourself otherwise you might find yourself spending unnecessarily again.
Tip: Invest only when you are comfortable with losing that excess cash. You can consider investing a small token amount in highly speculative assets such as crypto for an added boost. A $100 in Bitcoin today might be worth a lot more in the future, but be sure to do your own homework; a simple search on the best crypto to invest in should point you in the right direction. (https://www.forbes.com/advisor/investing/top-10-cryptocurrencies/)
8. Reward yourself!
All work and no play make Jack a dull boy. Reward yourself whenever you hit certain milestones, even the small ones. Try treating yourself to a nice meal when your savings account reaches a certain amount, or after completing a challenge. Maybe even treat yourself to your dream road trip after you reached a significant milestone to unwind and you will be back on track, ready to get at it again! Of course, be sure to utilize the best deals and savings as some platforms offer really insane deals for bookings. (https://medium.com/@tripcandy/tripcandy-what-is-it-and-why-should-you-pay-attention-5c1dbdf2d597)