Worried about the lack of savings in your bank account? Don’t worry, you’re not the first person to feel that way, and you won’t be the last.
According to recent studies, around half of today’s Americans have less than $1,000 in savings in their accounts.
Fortunately, you don’t have to live your life worrying about what’s going to happen if you suddenly have an unexpected bill to pay.
By making a few careful changes to your habits, you can upgrade your savings strategy, and become financially independent in no time!
#1 Cut Back on a Few Little Things
One of the biggest mistakes that people make when they want to save money is assuming that they have to cut out all of the luxuries in their life straight away. You don’t have to give up everything you enjoy to save money. Instead, simply start small and cut out some of the more minor things that you won’t miss too much.
For instance, if you bought a gym membership in the new year to work on your abs, but you still haven’t used it, then now’s the time to cancel. Remember, you can always try cheaper forms of exercise instead, like going for a run outside or exercising with friends.
#2 Compare Your Options
Are you really getting the best deal on all the little things you pay for each month? A lot of us assume that we have the best price for our phone bills, cable TV, and other important things like insurance, but the truth is that you won’t know until you go online and compare your options.
Did you know that you can even compare your loan rates online? Comparing your options before you sign up to borrow cash from a bank or building society can reduce the amount of interest you have to pay over the term of your loan. This means that you spend less each month and have more cash to put into your savings.
#3 Try Working as a Team
If you’re living as a couple with two salaries both contributing to the household bills, then it might be a good idea to see whether you can cut down your expenses to the point where you’re only living on a single paycheck.
This isn’t as easy as it seems, but if you can remove as much of your dependence on the second paycheck as possible, then you’ll have a lot more cash to save each month.
Of course, getting rid of one source of income for your bills will mean that you have to make some pretty serious compromises. For instance, you might have to give up your car and get public transport to work instead.
#4 Earn Extra Wherever You Can
If you’re struggling to find extra money that you can save with just the income you and your partner has today, then you could always look at ways to make some quick extra cash. The internet makes it easier than ever to earn additional money through things like freelance gigs. For instance, you might be able to make some money as a part-time virtual assistant or graphic designer.
Sometimes, the easiest way to make extra money is to simply sell the things you don’t need. Consider clearing out your house and selling some old items on sites like eBay for a chance to rake in some quick extra cash. Other options include looking into side-gigs in your local area or signing up for ride-sharing applications like Uber or Lyft. The more money you make, the more you’ll have to save.
#5 Try Some New Technology
Finally, why not turn to the internet or your smartphone for some extra help saving money? Most of us rely on the digital world today more than ever, so it makes sense to look into the apps and tools you can use online to reduce your spending habits.
There are countless applications for your smartphone that will help you to track your spending and reduce the amount you waste on things like impulse buying. You can also find apps that help with things like budget and goal planning.
Online, there are plenty of tools available to support your savvy spending habits too. For instance, you can get plugins for your web browser that let you know whenever a site you’re shopping on has discount codes available for you to use. These codes could save you some serious cash over time.
What are some tips you can share to save more?