LITTLE DROPS OF THE COINS, HEAPS THE CASH UP
(7 SAVINGS TIPS TO BOOST YOUR CASH LIFE)
Saving money doesn’t have to be so hard. It just takes practice. Once you get into the habit of consistently putting money away, it’s possible to save enough cash to achieve the goals you’re hoping to reach. You can do it! Here are 7 savings tips to boost your cash life.
• Start saving now
Saving can be looked at like we do at exercise, the more we exercise our muscles the better we get and the more toned our muscles become. In light of that, there isn’t a better time to begin saving than now. The more we exercise our saving muscle, the better we become at it. So it doesn’t matter what amount we start with – all we have to do is actually start & eventually grow into it. A common myth is that one should only start to save when they begin to earn a stipend or monthly salary but this myth is simply a myth. Being able to save even when you have so little or do not have a fixed source of income will help grow your saving muscle and help you be more disciplined.
• Clearly define your goals.
It is said, ‘If you aim for nothing, you will fall for anything.’ This principle can be applied to our savings too. When it comes to savings, it is extremely important to aim or have clearly defined goals – in regard to how much we will set aside and how much we would like to attain by a certain period. Arkad from ‘The Richest man in Babylon’ has a rule that states, ‘A tenth of all I earn is mine to keep.’ He refers to this in regard to savings and when applied could mean 10% of whatever one earns should be set aside as their savings. Saving for an actual purpose also makes it easier for one to be more disciplined with their savings – Naming your goal can actually make you save faster.
• Set daily, monthly and yearly goals.
Setting a savings goal is a way that can help you focus on achieving your aims. Once you have a set goal, you can then be able to work out how much you need on a daily basis, weekly basis and eventually culminate into a monthly breakdown. This also assists you to stay on track and once you set up a routine and establish it, you’ll feel more in control of your savings.
• Automate your savings.
One of the easiest ways to get to save is to put your savings on autopilot. Saving money is a discipline that one develops and it’s easy to get off track and save less than you set. Automating your savings could be just what you need to get your finances in top shape and ensure you meet your savings goals. Having your savings automated enables you to make deposits into your savings account regularly and you are not bound to only saving what is left after consumption.
• Put your savings in the right place.
Once you get into the habit of saving, it is very important to put your savings in a bank account. As you build up and exercise your muscles, i.e. for anyone below the age of 18 – A piggy bank would also be a good idea.
• Consider a savings account with a bonus.
Make your accounts work for you. Ensure you do your research well, Call up a bank representative & learn as much as you can about the account you intend to put your savings in. Ensure your savings are in an account that has a considerable amount of interest earned on whatever you are setting aside over time.
• Turn saving money into a lifestyle.
A lifestyle is the way in which a person lives and it is possible to turn saving money into a lifestyle. Set goals, Have a savings account that earns you interest and live within your means – See yourself through to financial freedom!
You have nothing to lose by saving – and only a happier future to gain.
AUTHOR:
SheVestor Africa is a pan-African digital community that empowers young African women with financial knowledge to hone their financial skills. Our vision is to contribute to economic development by equipping young African women with financial knowledge and skills, connecting them with personal finance experts and becoming the #1 digi-sphere for financial resources, Inspiration and expert advice.
