We’d all love to consistently add money to our savings each month, but sometimes it’s not so easy. Even to add extra savings each month can prove difficult.
It takes dedication and hard work to keep building your savings, but the benefits are well worth the effort. Whether you’re saving up for a rainy day, or have a more specific goal in mind, a good savings pot can help you achieve a lot.
So, how can you go about making sure you put away a little bit more money each month? Here are some tips that will help you along the way.
Do Your Budgeting to Add Extra Savings Each Month
If there’s one sure-fire way to find a few extra pennies to put in your savings each month, then it’s by understanding your finances and planning out a budget. This is a really easy step, but there are lots and lots of people who don’t do it.
Sit down and write out all your incomings and outgoings, and find areas where you can reduce your spending. When you can see everything clearly, you’ll generally find there are some expenses you can easily cut out.
The better you do this; the more money you will find you have left over to add to your savings.
Go Through Your Direct Debits
Subscriptions are extremely common features of modern life, and most of us have at least a few direct debits coming out of our accounts. The thing is, it’s easy for these direct debits to continue even when you’re not using a product, and they can really start to add up.
While you’re doing your budget, make sure you highlight the payments that are direct debits and decide whether you actually need them. There’s no point paying for gym memberships and other subscriptions that you barely use, so cancel them.
If you get rid of a few direct debits then you can easily free up an extra $100 or so to add to your savings each month.
Pay Your Bills on Time
When you pay late fees on your bills you might as well be taking that money straight out of your savings. If you’ve got lots of bills going out all at different times, it can be difficult to keep track and make sure you’ve got enough money in your account at the right time, but it’s much easier if you create a bill payment calendar.
Avoiding needless late fees makes it much easier to pay off your debts, and leaves you more money to put into savings.
Make Sure You’re Getting a Good Interest Rate
Interest rates certainly aren’t great at the moment, but that doesn’t mean you should just accept whatever rate you get given. There are some savings accounts out there that will give you better interest rates, so it’s worth looking around to make sure you’re getting the best deal.
It might not equate to massive savings depending on how much you have in your account, but it all helps, and you might as well make your money work as hard for you as you can.
Invest Your Money
If you’re looking for a slightly bigger return than your savings account can offer you, then it might be a good idea to look at making some investments. If you look at something like Bitcoin Era – then you can see that there are viable options to make a good return on your money.
Of course, there is always risk involved with your investments, so make sure you’re comfortable and familiar with what you’re doing. However, if you want to see your savings pot grow a little quicker, then this can be a great option.
When you see your bank balance beginning to grow it’s tempting to lose your discipline and start taking money out for the wrong reasons. You’ve got to remember the reasons why you started to grow your savings in the first place though and continue to work hard at it.
Goal setting is a great way of keeping you on track with your savings, so invest some time into writing them down.
It’s not always easy building your savings, but with discipline and continued effort, it can be done.