Saving money is hard and it’s definitely not as difficult as some people make it out to be. In fact, if you can commit to being a regular and disciplined saver, you’ll be well on your way to financial success. We talk a lot about how to attain financial goals but the first step is saving up. How then do you go about becoming a regular and disciplined saver?
It all starts with developing good savings habits. And that’s where we come in. In this post, we’re going to teach you how to be a regular and disciplined saver.
So, are you ready to become a regular and disciplined saver? Let’s get started!
- AUTOMATE FINANCES
One way to make sure you’re a regular saver is to automate your finances. Have a set amount of money transferred from your checking account to your savings account on a monthly basis. That way, you won’t even have to think about it – and you’ll be well on your way to saving for a rainy day.
Another good way to stay disciplined is to find an accountability partner. That’s someone who will help you stay on track and make sure you’re hitting your savings goals.
ALWAYS HAVE A PLAN
And finally, make sure you have a plan! Having a goal gives your saving efforts purpose, and helps keep you motivated when the going gets tough. One method is to create a budget and set specific goals for how much money you want to save each month.
What to Do With Your Savings.
If you’re like most people, you probably stash your savings in a low-yield account where it can barely keep up with inflation. Why not consider investing that money instead? With a little bit of research, you can find high-yield investment options that will give your savings a much-needed boost. Or maybe you’re the kind of person who’s always itching to spend their money on new gadgets and clothes. If that’s the case, consider using your savings to pay down your debt instead. The sooner you pay off your loans, the less interest you’ll have to pay in the long run.
Whatever you do, just make sure you do something! The longer you leave your savings sitting in a boring old account, the less money you’ll have in the end.
How to Stay Disciplined.
Here are a few tips to help you stay disciplined when it comes to your finances:
- Make a budget and stick to it.
- Automate your savings so that a fixed amount is transferred to your savings account every month.
- Find an accountability partner – someone who will check in on you regularly and help keep you accountable.
- Set goals for yourself and make sure your savings account is aligned with those goals.
- Reward yourself for reaching milestones, but be sure to set a limit on how much you can spend.
- Avoid lifestyle inflation – be mindful of how your spending changes when your income goes up.
- Use a cash-back credit card to get rewards for your spending without breaking the bank.
Let’s say you’re finally ready to start saving for a rainy day (or a sunny one, whichever you prefer). Here are some Frequently Asked Questions about how to be a regular and disciplined saver.
Q: How much should I save each month?
A: This depends on your income and expenses. Try to save at least 10% of your income each month.
Q: What should I save my money with?
A: It’s best to save your money in a variety of places, such as a savings account, a fixed deposit account, and/or stocks and shares.
Q: What happens if I get tempted to spend my savings?
A: Put your savings in a difficult-to-access place, such as in a lockable safe or at the bottom of your sock drawer.