Do You Have Financial Confidence? 5 Ways To Save More
If you’re searching for some extra cash between the couch to make ends meet at the end of the month, you’re not saving enough money. Financial security is the foremost foundation to any budget. Life is unpredictable, and money’s hard to summon at a moment’s grasp. But, if you have money saved up, you can learn to roll with the small excitements. And if circumstances don’t shake you up, you can end up with some consistent extra cash each month (hopefully you save it)!
See, financial security is all about saving more money than you need, and it’s upon that value that this guide is built to help you find creative ways to save money and boost up your financial confidence.
This may not be everyone’s favorite subject, as sometimes just opening those letters and seeing the digits jump from tens to hundred to thousands and hopefully not any higher than that can frighten all but the wisest of penny savers.
However, knowing how much money you owe and who you owe it to is the first step in balancing your credit card debts, a move which can build sturdy ground for financial security. If you can put together a budget to make a little bit more than minimum payments on credit cards, you can create a safety net of wealth (i.e., if needed, you have a some wiggle room to drop your credit card payments in a pinch).
Saving money is not always about spending less, sometimes, it’s about being able to spend more.
Let’s admit it, nobody likes to do math. In the age of pocket calculators and extensive statistics, simple calculations can cause even accounting majors to pause.
This pause, however, offers a perfect moment to grasp just how much you are spending, and that’s why keeping track of cold, hard cash is an indispensable way to save more. Listen, I’m not saying you should pay cash on everything you purchase, it’s always good to build credit.
What I mean is, the best way to keep track of your cash is to
- Buy everything on credit,
- Keep a ledger of your purchases made
- Set aside physical cash to cover the expenses.
This ensures that you never over-spend, and it often helps stop you from spending money on impulse. Plus, it has the added bonus of some extra dollars at the end of the month (if you’re rounding up).
This one’s not for everyone. If you are an impulse spender, or someone who increases their expenses along with their salary, then you may lack the discipline for this money-saving gem. However, if you can spend little while holding a lot of cash, then you can save a lot by planning to spend more.
What I mean is, say you spend $200 a week on food. Adjust your finances to meet $220 a week. This leaves a little cushion room for emergency expenses, and if you can stay faithful to your budget, you’ll have an extra $80 at the end of the month! That extra $80 can be put away into an unemployment fund or invested into a college startup for your kids. Extra money always adds up!
This one’s great for couples who are looking to take the next step in their relationship. It’s also good for college students hoping to earn some leverage in paying back school debts.
The first step is to open up. Talk to somebody you love and trust about your financial situation. Perhaps you can come to an agreement with this person to save money for a particular cause. Whether it be that you and your lover both agree to set aside some portion of your incomes to a retirement plan, or you and your band decide to save up a certain amount of cash each month for a new equipment van.
The point is confiding in others and generating combined wealth can be a huge motivator to save money, and it can generate trust amongst your most intimate confidants. Money always worth more when there’s more of it, that’s why combining your funds with others can lead to even greater savings!
We know that spending less helps you save more, but saving more is not always enough. If you become financially secure enough to have a hefty heap of bills left over at the end of the month, you wouldn’t want to waste it, right? You’re throwing money away if you aren’t investing your left-over cash.
Now, I’m not saying you should jump in and become a stock-broker. what I’m talking about is small, secure investments with money that you don’t need at the moment.
The most important part of investing is to not touch the money, so to be a successful investor, you have to know that you have money to invest. You should save a good cushion of finances to draw from if necessary and then set aside the extra money to invest.
Nothing risky. Government bonds, Collector’s items, etc… something that you know will gain value. If you can keep money in a secure place without touching it, then that money will multiply right before your eyes, and you can see your money make itself as you save it.
You can count twenty dollars in your hands that you didn’t spend, but you can’t pay your bills with money you don’t have at the end of the month. That’s why saving money is the most fundamental of skills for financial freedom. Count those savings, and always save more!