4 Steps to Save More Than Ever Before
Let’s take a minute to think about the world we live in.
We can order coffee from our phones without ever waiting in a line. We can stream just about any television show or movie we want without watching the commercials. And we can buy everything from makeup to furniture and have it delivered to our front door in less than two days.
We’ve gotten pretty great at getting what we want, when we want it.
You can do the same thing with your money, if you plan for your purchases.
Say you want to buy something big, like a new-to-you car. Or you want to take a sweet summer vacation with your friends. You can simplify saving up for those expenses—without ever breaking out a credit card.
Don’t worry. You don’t have to figure this out on your own.
Here are the four steps you need to take to become a seasoned saver.
1. Set a goal. Maybe you want to buy a new wardrobe this year. How much money will you need to trade in your worn-out clothes for some new treasures? Figure out how much your purchase will cost—whether it’s a new wardrobe, a new-to-you car or an upcoming family vacation—and know your number.
2. Visualize the future. As cheesy as it sounds, it’s important to visualize what life will look like once you hit your goal. It’s easy to imagine how it will feel to buy a new pair of shoes on your lunch break, but think about good it would feel to pay for your next car—in cash. Pretty rewarding, huh?
3. Make a plan. Now that you know how much you need to save, it’s time to think about timelines. How many months do you have until you need the money? Say you decide in June that you want to save $600 for Christmas gifts. You need to save $100 each month in order to meet your goal. Breaking a big goal down into smaller, bite-sized chunks makes it more manageable—and it helps you stay motivated when you’re in it for the long haul.
4. Hit cruise control. Now that you have a plan, all you need to do is stick to it. When you get paid, make a point to pay yourself first. Most banks allow you to set up automatic transfers, making it easier than ever to hit your savings goals. You can even use your EveryDollar budget to track your progress!
Saving money takes time, but the feeling you get from making your purchase in cash is well worth the effort. And hey, once you do it the first time, it only gets easier to keep up the habit!
Ready to start saving? Sign up for EveryDollar today and see how quickly you can hit your savings goals. It’s free, and it takes less than 10 minutes!