It’s no secret that we could all stand to save extra but how do you go the distance for your budget without cramping your lifestyle? While the average Australian saves around $427 a month, many households still have some way to go to reach their financial goals.
With consumer debt rising higher than ever before and the cost of living also going up, we all need to pay more attention to our savings. At the same time, you don’t have to compromise on the things you love and enjoy just to save extra bucks each month. Nobody wants to do that.
It’s possible to save an extra 10% each month without cramping your lifestyle. With some practice, you can become an expert saver, adding to your savings account on autopilot. You don’t need a fancy degree or any complex strategy to add a boost to your monthly savings with these tips below.
1. Switch Banks
Is your bank helping you save more? From choosing the right savings account to avoiding extra fees, you’ll need to take a close look at what bank you choose. Not all banks aren’t created equal.
Depending on your credit and savings, you might be eligible for high-interest savings accounts and low fees. Even if your credit needs some work, you can get a better deal if you’re willing to shop around. It might be time to do some research to say goodbye to maintenance fees, ATM fees, and low-interest rates for good.
2. Automate Your Savings
It’s hard to part with your hard earned cash each payday and we all know we should be saving a percentage of each pay. No pressure… Fortunately, saving gets a whole lot easier if you never have to handle that money, to begin with.
Talk to your employer’s payroll department about dividing your earnings between your savings and transaction accounts. In addition, you can automate your savings by setting automatic transfers between your own accounts each month. It’s that simple!
3. Make Healthy Choices
Did you know your health can impact your savings? Being healthy is actually one of the best ways to save extra money. You’ll have a smaller chance of developing expensive illnesses and diseases in the future and you’ll also avoid expensive bad habits like fast food.
Believe it or not, healthy foods are usually more affordable since you’ll be shopping for natural foods instead of pre-packaged, processed foods. According to the Australian Institute of Health and Welfare, almost 2 in 3 Australian adults were overweight or obese in 2015. Let’s fight for our health and our budgets.
4. Go Generic
There’s a stigma surrounding generic products but are they really worse than name-brand items? From the shampoo you buy to over-the-counter medications, 9 times out of 10, the generic brand is just as good when it comes to quality. You could save big just by being a more aware shopper.
5. Try the 52-Week Challenge
What’s the 52-week challenge? It’s probably the easiest way to get a jump start on your savings goals without having to do any major changes to your lifestyle. If you’ve been intimidated with the idea of saving a portion of your income, this challenge is for you.
The idea is simple. You save $1 during Week 1, $2 during Week 2 and so on. The logic behind this strategy is that it’s easy to start with saving $1. Then you continue on your momentum and build your confidence by saving an extra dollar each week. By the end of the year, you’ll have $1,378 in your savings account. That could go to a downpayment on a vacation or even a car.
6. Cut Subscriptions
Are you paying for services you don’t even use? Think back to 5 or even 10 years ago. You probably managed without costly subscriptions just fine. Somewhere along the way you’ve subscribed to all these add-ons in your life but some of these subscriptions may no longer suit your lifestyle today.
The first thing to do is to log into your credit card or bank account. Write down all of your subscription services. Do you really need 3 different TV streaming services if you mainly use 2? Can you find a cheaper mobile phone plan? These are the types of things that can add up each month.
Save Extra With Less Effort
Big savings doesn’t need to take a lot of time and energy. While it can be overwhelming and inconvenient to just think about making all of these changes, most of them can be done in minutes or with just a little bit of prior planning. The only significant effect on your lifestyle should be your growing bank balance. Are you ready to get started today?
For more help with saving money and creating a savings plan, contact our specialists at Debt Busters on 1300 368 322. We can work with your income and expenses to find more ways to save without cramping your lifestyle. At Debt Busters, we believe saving should work for you, not the other way around.