Do you need extra cash? Do you want to save a little more money each month? Here are five tips on how to save up and set aside more money each month.
Are you looking to save more money? Do you need extra cash each month? Maybe you want to build up your savings account or set aside more money for investing? Maybe you want to have some money set aside for Christmas shopping or for kids' birthdays? Whatever your reasons for needing more money, here are five ways to find some extra cash each month.
1. Decide Your Savings Goals
Clarify - in writing! - your savings goals. How much money do you want to save each month? And for what purpose are you saving the money?
Will you need to put the money you save in your savings account? Or will savings envelopes suffice? If, for instance, you are only saving a little extra cash each month for Christmas shopping at the end of the year, then an at-home savings envelope labeled "Christmas Shopping" is probably fine, assuming of course you have the discipline to stay away from it.
Whatever your goals, make sure you are clear about them - and that you write them down.
2. Get a Money Change Jar
Get ahold of a big jar. Better it be glass than plastic. The sound of the coins is much better with a glass jar. Each day, put the extra change you've collected in that jar.
Don't touch the jar until the end of each month. If you can drag it out to three or more months, even better. When it's time, roll up the coins in the jar. You can get the coin rolls from your local bank.
After counting and rolling the coins, deposit them in your savings account - or get cash and put the cash in your savings envelopes.
3. Keep a Detailed Record of Your Weekly Expenses
Take a notebook with you wherever you go. Log each and every expenditure - no matter how insignificant. And keep a receipt if at all possible. If you really want to save money, you need to get detailed and disciplined!
After three weeks of solid record-keeping, go back over your spending habits thoroughly - and decide what you can cut out and how much you can save. Develop a savings plan, based on that information, and then work the plan!
4. Stop Charging Your Credit Cards
Say bye-bye to your credit cards. Don't be running up your debt, while trying to save extra cash. It defeats the whole purpose. Say NO to any more debt, unless it's a major emergency. And be honest in how you define "emergency."
5. Pay Yourself Second
Invest your money FIRST in a cause greater than yourself. That means tithing to God's work. If, however, you are not a person of faith and/or you are not plugged into a church, then consider giving a small amount each month to charity. And then...
Pay yourself. Not your bills. Yourself. Take 5% or 10% of each paycheck (after you've paid your tithe or made your charitable contribution) and put it into your savings.
Then, start paying your bills and expenses. You will find it easier to carry out this fifth step after you've carefully logged your day-to-day expenses for three weeks.
Saving money requires planning and discipline. This article is designed to motivate you and get you thinking. It is not a substitute for discussing your specific situation with a qualified financial planner. Be sure to avail yourself of the most qualified and competent help that you can. Good luck in your goals.
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For more information on getting out of debt and establishing a degree of financial freedom, click here.
