Money Monday 7
The Ultimate List of Savings Tips
(and how to save $1200 in one year)
50 WAYS TO SAVE MORE MONEY
Create a budget: Start by creating a budget that outlines your income and expenses. This will help you understand where your money is going and identify areas where you can cut back.
Budget with a Target + a Range: Instead of limiting your daily/monthly/yearly spending to one specific amount, which doesn’t leave room for unexpected expenses, budget with a range of 3 numbers: Your target, under & over. Aim for your target, challenge yourself to make it under, and be mindful or make a note of when and how much you go over so you can aim to offset it for your next day/month/year.
Track your expenses: Track what you’re buying and how much you’ve spent. It could be a daily assessment (highly recommend), weekly, monthly etc. Making it a fun challenge for yourself can help you stay on budget and reach your savings goals faster.
Track your savings: Track your savings progress by regularly checking your savings accounts. Making this a fun challenge for yourself can help motivate you to save more and reach your savings goals faster.
Use a digital or physical tracker: Keep track of your spending by using a spreadsheet, budgeting app or finance journal. This will help you stay on top of your cash flow and avoid overspending.
Cut back on unnecessary expenses: Look for ways to cut back on expenses that you don't really need, such as cable TV, eating out, or buying coffee every day.
Cancel unused/unnecessary subscriptions: Subscriptions can quickly add up. Keep the ones you absolutely need and get rid of the rest. Your piggy bank will thank you.
Avoid unnecessary purchases: Before making a purchase, ask yourself if you really need it or if you can find a cheaper alternative. If you need help getting into this mindset, check out my blog post on frugal living.
Know what you own: If you have not already, take the time to go through and assess everything you own. Always be mindful of what you already have before buying anything new.
Purchase at the right time: If you can wait to buy something, hold off until the next holiday or big sale to take advantage of deals and avoid paying full-price.
Avoid buying multiples of the same thing: If you have multiples of the same item (clothes, shoes, bags, or accessories for example) avoid buying more until the ones you have can either be sold or thrown out.
Skip spending more to elevate your status: If saving is a priority, then status symbols can take a back seat.
When it’s meant to last, buy quality over quantity: When making a lasting purchase, (ex: clothes, electronics, kitchenware, furniture) buying quality will save you a replacement in the long run over a poor product that doesn’t last as long.
When it’s reusable/disposable, buy quantity over quality: When making everyday purchases (ex: toiletries, food, soaps/detergents) buy items in bulk to avoid paying the premiums on single packaged products.
Buy generic: Consider buying generic products instead of name-brand items, as they are often cheaper and just as good.
Compare prices of quality vs quantity: Only buy in bulk if it’s actually cheaper than 1 expensive item that will last and vice-versa.
Do the math when comparing prices: Actually grab a calculator and do the math instead of rounding prices in your head. Dollars and cents matter & do add-up in the long run.
Cook at home: Cooking at home is generally much cheaper than eating out, so try to make most of your meals at home.
Use coupons and discount codes: Look for coupons and discount codes when you're shopping for groceries, clothes, or other items. There are many websites and apps that can help you find these deals.
Use cashback and points/rewards programs: Use cashback and rewards programs to save money on purchases you were going to make anyway. Many credit cards and retailers offer these programs.
Save on energy & utilities: Save money on your energy bills by turning off lights and electronics when they're not in use, being conscious of water usage & using energy-efficient appliances.
Cut down on transportation costs: Cut down on your transportation costs by carpooling, using public transportation, or walking or biking instead of driving.
Start a savings plan: Make a savings plan and put aside a set amount of money each month. This will help you build up a savings cushion and be prepared for unexpected expenses.
Understand your spending habits: Identify areas where you can cut back by understanding how you spend your money. It may seem obvious, but every situation is different, you may have categories of expenses unique to your situation. Be mindful of them.
Set aside an emergency fund: Before you save for anything, build yourself an emergency fund so that when unexpected expenses come around, you aren’t pulling from your dedicated savings accounts.
The emergency fund is for emergencies: Do not use your emergency fund for “want” purchases. This fund should only be used when a lump sum payment hits you out of the blue.
Save for big expenses: Plan for a home purchase, a car, education etc. If you can, create separate savings accounts for each goal. If not, be mindful of the amount you have set aside for each goal.
Negotiate bills and reduce monthly expenses: Try to re-negotiate the price on your monthly expenses/subscriptions if you can. Ex: Switch phone providers. We use Koodo.
Invest for the future: understand the different investment options available to you and find the right strategy for your unique situation.
Whatch what you spend on gifts: give yourself a budget before going gift-shopping. Gestures for loved ones are great, but they shouldn't break the bank. Don't look to impress anyone with how much you spend.
Shop around for deals: Before making a purchase, research prices and compare options in multiple locations to find the best deal. For example, something might be cheaper in store than paying for shipping online, or vice-versa, and even store-to-store for the same product.
Automate your savings: Set up an automatic transfer from your checking account to your savings account each month. This will help you save without having to think about it.
Build an emergency fund: Set aside some money in a separate savings account for unexpected expenses, such as car repairs or medical bills.
Pay off debt: Pay off high-interest debt as quickly as possible to save money on interest payments.
Utilize free shipping: When shopping online, it’s much cheaper in the long run to buy in bulk and utilize the free shipping threshold than to pay to ship items individually.
Make shopping lists: Make a list of everything you need to buy before you shop. This can help reduce unnecessary purchases by giving yourself a limit of items to buy and allow you to budget accordingly.
Practice energy conservation: Save money on your energy bills by turning off lights and electronics when not in use, using energy-efficient light bulbs, and setting your thermostat to a lower temperature in the winter and a higher temperature in the summer.
Embrace DIY Projects: If you can save money buy buying materials, learn how to make it yourself.
Search for handmade gift ideas: The internet is full of DIY projects that you may have never even thought that can save you money while creating meaningful gifts for your loved ones.
Separate your savings from your spending: Open and label multiple bank accounts for saving & spending. (Ex: emergency fund, saving or “blank,” checking, credit cards etc).
Pay off your debts first: Whatever your debt situation, make this your top priority every month.
Prioritize your spending: Buy the most important items first, that way if your mental budget runs out, you can hold off on the remaining items.
Save more of your paycheck by spending tips: If you’re in a service based business, try limiting your spending to only your earned tips so you keep your paycheck untouched.
Try no-spend days: Make it a fun challenge for yourself to have zero spend days.
Try no spend outings: When going out with friends or loved ones, try zero spend activities. There are plenty of ideas online for this.
Save on gas: Shop for the best gas price even if it means driving a bit father to the nest station and be mindful of the way you drive to save on gas.
Use cash instead of card: Try using cash instead of credit card, you may find you choose to save more when using physical cash than digital currency.
Be Patient: It takes time to build savings. Keep at it and be patient with yourself. Habits take time to build and money takes time to grow.
Shop at thrift stores: Take full advantage of deals for gently used and sometimes even brand new items. You may be surprised at the quality you can find. Thrift stores are great!
Get creative: Have fun with your savings journey and create small challenges and incremental goals for yourself, find ways to get creative with how you budget, track expenses & put away money. The sky’s the limit.
A SIMPLE WAY TO SAVE $1200 IN ONE YEAR:Can you stop yourself from buying one thing worth $3.58 today?
Do you think this is doable?
It could be anything, but the easiest for most people is probably a drink/snack (coffee, boba tea, alcohol, red bull, smoothie, ice cream, chips, chocolate, candy, you name it).
It doesn’t have to be much, but the moment you’re about to spend that $3.58, redirect it. Instead, pretend you spent it, and take that same amount (as if you spent it!) and actually transfer it into to a separate savings bucket/account/TFSA whatever you want.
If you can actively save just $3.58/day:
That's roughly $25/week...
and roughly $100/month.
You can even miss a couple days, or save weekly instead, totally up to you.
Eventually, you'll end up with over $1200 in one year.
All it takes is a little simple math see the possibilities of saving small amounts daily. Save $5 a day, and you'll have over $1800. Save ten and you'll have $3650.
Your savings will eventually start to compound with interest so make sure to place your money in the best place (< scroll to the bottom) to help it grow.
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