Saving money can seem daunting, especially in the current economic climate. Keeping a budget on track has been made even more difficult by the usual bills piling up and necessary shopping, school starting, and the economic slump caused by Covid-19. However, these easy and achievable tips can help anyone save.
Make a Budget
The most important part of keeping your budget on track is creating the budget in the first place! There are countless websites and tools to help you find the right budget for your finances, but it’s important to choose a realistic budget to fit your needs, income, and expenses. One easy rule to go by is the 50/30/20 rule. Fifty percent of your income should go to needs, thirty to wants, and twenty to savings. Again, though, make sure to make your budget account for your personal financial situation.
Track Your Spending
Websites and apps like Mint provide easy, free budget and spending trackers that make it easier than ever to see exactly how much you should expect to earn, spend, and save each month. Plus, it’s free! Enrolling in mobile banking also allows easy access to your bank accounts to see exactly how much is available, and avoid overspending. Gone are the days of having to track every check, since websites and apps can easily do it all for us. Interact with your accounts, transactions, and budgets like never before with our money management tool.
Dine Out Less
Eating one meal out can easily cost as much as a week’s worth of groceries (especially for nicer restaurants) and even cheap fast food trips can quickly add up. Spend more time preparing meals at home for an easy way to save up, and learn some valuable life skills, too. As an additional tip, order a water when you do dine out to easily save a couple bucks per person.
Cut Out the Unnecessary Subscriptions
Cut out any subscription box or streaming service you don’t love or don’t use. Shop around for the best deals, and narrow down your services to what you really want to keep. Is having Amazon Prime necessary if you only order from Amazon on occasion, never watch their streaming site, and didn’t even know they offered a music app? Do you need to pay for Hulu if you’ve only watched Netflix in the last few months, or vice-versa? Don’t pay for anything you don’t use.
Save Automatically, Pay Automatically
Set up an automatic transfer into a savings account for a hands-off approach to saving. Start with small goals, such as sending $50 per month into a savings account, and increase the amount as your budget allows. Don’t touch that account except for emergencies, and soon you’ll have a nice safety cushion built up. Similarly, set bills and other expenses to auto-pay. Many companies will give you deals for paying automatically, including even cell-phone and credit card companies. It can also help improve credit scores, by ensuring that no bills are paid late. However, it’s important to make sure you have enough money for the payments to avoid any overdraft fees.
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