In today’s world money is the most important thing to live so, it’s important for everyone to know where they should spend and where they should cutoff. It is very hard to save money this is a step-by-step guide on how to save money and can develop a simple and realistic strategy so you can save for all your short and long-term savings goals.
Record Your Expense
At the start of the month only keep a certain amount of money aside and do all the expenses from the rest of the money. Keep an organizer where you can note your data and organize a number of categories like groceries, mortgage, and total each amount. You can also keep the bills and bank statements for accuracy and don’t forget any. There are a lot of apps that help you keeping in maintain the expenditure you do and it will be the easiest way to keep an eye on your budget phones are always in our hands so it will be an easy approach to go for.
Saving
Before starting with the expense just keep a certain amount of money aside every month don’t spend it anyway even if you run out of the budget This will not going help you save a lot of money but also keep you in control of spending your lot of money. Keep the amount in hand which you think is your fixed expense everything month aside so that you know how much you are spending more on other items. This is the best way you can do to plan your spending and limit overspending.
Ways to cut Spending
If you think that your expenses are going too high and you can’t save much it might be time to cut back you certain expenses such as entertainment and dining outlooks different-different ways to save your fixed monthly expenses like mobile bills go for a smarter and less expensive plan. Cancel out subscriptions and membership that you think that you don’t use especially if they ha automatic renewal. Try to go out less for dinners or brunch. 2 alternative month plan where you note spend one month on extra items so that you can save a lot of money one month and even fulfill your demands hot spending on extra things
Saving Goals
One Must start by setting up a saving goal so that you know how much you want to save after one month, after 6 months and after a year this will have you keep an eye on your money and this money can also be used if you undergo some emergency like accidents or you wanted to plan some vacation or surprise somebody even plan to get married you’ll have a lot of money in your hands after some time you can plan what you want to do with your money. Always have short term and long term plans.
Short term
- Vacation
- Down payment of vehicle or any device
Long Term
- Retirement
- Down payment for a home
- Child’s education
Set an achievable goal take short term goals something big enough that you aren’t likely to have cash on hand to pay for it. Don’t just go for bigger goals that seem unachievable and you won’t be able to achieve it because most important is a psychological boost so have some practical goals.
Decide your priorities
Don’t just go for anything to spend on. Just sit relax and think that what is your priorities this month that month can’t go without that. Have your priorities for things clear as groceries, electricity bills, vegetables, etc are counted in top priority things as you can’t go along one day without these things. In the same manner, see what you want more and plan accordingly. Learn how to prioritize your saving Goals so have a clear idea of where to start and where to end. For example, If you are planning to get married in a year or two starts putting away money from now only as this habit will help you a long way in life with managing and organizing.
Review
What is most important among all the process is reviewing your own progress growth or downfall have a regular check-up on your budget like every week, month, or yearly and note your progress because it’s important to keep an eye on your growth which helps you give the motivation to do better and give you satisfaction for all the days that you cut off going out for movies, dinners or spending on a dressing that you liked in the mall. Among all this, you don’t know you have saved a lot and now you can go for something bigger and expensive that you wouldn’t be able to buy even if you didn’t have this saving agenda.
