Category: Save Money

How to save More Money Every Month

Many of us would like to have a nice sum of money in our savings account. However, it can sometimes seem impossible to be able to have enough money to be able to save any or to be able to save a significant amount. However, there are some tricks and tips that you can use which should help you to be able to save some money every month.

Pay yourself first

By paying yourself first it means that you put money in your savings account as soon as you get paid. By doing this you cannot spend the money on anything else. Many people will wait until the end of the month and then put any money that they have left into their savings account. Although this can lead to you saving some money, it may be that you get to the end of the month and there is nothing left. This could be because you have checked the bank balance and know that there is some money in there to be able to treat yourself. If the money is already in the savings account then you will not be able to do this. You will have to budget better through the month and make sure that you manage on the money that is available.

When calculating how much to pay yourself you will need to carefully check how much income you have and how much you have to pay out for essentials. Then you will know how much money you have left and you can decide how much of that you would like to save.
Set a goal and stick to it

Once you have decided how much you are saving it is wise to set up a direct debit for that money to be transferred to a savings account each time you are paid. This will make it much easier to remember and you will find it harder to find an excuse not to save.
To keep yourself motivated it is worth writing down your saving goal and the reason that you are saving. This is something that you should look at regularly and will act as a reminder to you so that you can keep motivated when you feel like you want to spend a bit more money but there is none left to spend.

Everything helps

It is worth remembering that all money that you put in the savings account will help in the long term. So even if you only manage to put a few pounds in a month, it will still help and you might be able to put in a lot more the following month. If you keep putting money in, even if it just a small amount it will get you into the habit of doing it. Those small amounts will add up anyway and they could make the difference if you get into a sticky situation and need that money to fall back on.

Reduce spending

In order to save more money you may need to reduce the amount that you are spending. You will know whether you spend more than necessary or whether you only buy the essentials. It can be hard to give up things that you treat yourself to but you may not have to. If you compare prices on everything that you buy, you might be able to reduce the cost without having to actually buy less, but just buy them from cheaper places. This is most significant if you do it with large costs such as utility bills, loans or insurance.

It can be wise though to think about everything you are buying and decide whether you really need it. There are many things that we buy, that we do not get lots of pleasure form and so it could be worth deciding whether it is worth keeping up with your magazine subscriptions. Mobile phone packages, TV channels and things like that. It is surprising how much you can change your spending habits based on this.

Look for opportunities to earn more

It can be worth always looking for opportunities to earn a bit more money. If you get paid more then you will be able to save more. This could mean within your own job, perhaps doing some overtime or applying for a pay rise, but it could also mean taking on other jobs. There are many freelance jobs that you could consider doing or other things that could earn extra money. They may just be small amounts and on an ad hoc basis but this could still help you to get some more money in and increase the money in your savings account. Do remember to declare all earnings though as you will have to pay tax on all money earned even if it is outside of your regular job.