Many of us would like to increase the amount of money that we save each month. It might be that we are saving up for something or that we just want to build up some money to have in case of an emergency. It can give us peace of mind to have some savings behind us and so it is a good idea to think about whether we should be saving more money. If we decide that we want to save more, then we will need to come up with a strategy on how we are going to achieve this. There are different things that we can do.
Put Money Left at End of Month in Savings Account
Many people will put the money that they have left at the end of the month into a savings account. This means that just before they get paid they will take everything that is left in their account and pop it into a savings account. This is better than not saving at all, but there is often a chance that there will be no money left in the account to save. This is because we will often take a look at the account balance and then if we have some money available then we will spend it. Then, there will be nothing left to save. There are therefore better ways of making sure that you save money regularly.
Make Regular Payments at Start of Month
It can be a good idea to set up a transfer each month which take money from your current account, just after you get paid and puts it into your savings account. This will allow you to make sure that you always put some money in there and do not spend it on other things. Of course, you need to get the amount right and make sure that you will still have enough money left to pay for everything that you need for the rest of the month as well. If it happens that, even when you do this schedules payment, you still have money left at the end of the month, you can do the above and put the remainder into the savings as well.
Pay Less for Things
It could the case that you do not have enough money to save very much or anything at all and you would like to have more. There are various things that you can do to get more money and paying less for things is probably the easiest. You may already compare prices and shop at the cheapest places, but often we forget to compare prices on everything. We need to think about things like insurance, lenders, utilities and contracts as well as when we are in shops and supermarkets. If we are constantly checking to see whether we can pay less for things, then we will hopefully be able to save money in lots of ways. We might be able to therefore spend less in several areas and use that money to add to our savings account.
It could have a bigger impact if you buy less things. This is because you will totally cut out buying some things and this will save money than just paying less for them. Obviously, there are some things that we cannot go without but there are things that we buy which we do not really need. These things are items that we can manage without but that are nice to have. These could include alcohol, holidays, jewellery, cushions, music, evenings out, restaurant food, candles, perfume etc. There are so many things that we could do without and it is good to think about whether you are prepared to give up some of the things that you buy so that you can save some money.