Start by making a budget
- Download the Money smart app to track your spending. This will help you determine what you need to cut back on and whether you are doing well with your savings.
- Try to put 50% of your pay away. If you are spending more then what you are bringing in per week, you need to evaluate what you are spending. Attempting to put away 50% of your savings will benefit you more in the future.
- Having a good savings record will likely show the bank you are able to substantiate a loan and will have a better chance of perhaps obtaining a property loan in the future.
- Take a leap out of your grandparents book, no credit or eftpos, withdraw the cash you need for the week and make it last like its all you have.
Have a rainy day fund
- Has your car ever broken down and you need to pull money from your savings account? Leaving you broke for the next week? You can get ahead of these times by having a rainy day account. Simply add a branching account to your main bank account and put in $50-$100 per pay-day and you will soon accumulate an account that will help cover you for the next unexpected occurrence.
Learn to say no
- Credit and debit cards make it super easy to shop online and in-store. If you really want something, hold off a few days before deciding if you actually need it. Often, the urge to spend passes and you may decide you don’t want the item anymore, or you might find the item is similar to something you already own. Another way to work out if you want to buy something is to calculate the amount of hours you worked compared to the price of the item, you may think again and decide to find something cheaper or not buy it at all.
Cut back on your recurring expenses
- Have a subscription to a magazine you don’t read anymore? Or do you have a subscription to Netflix that you don’t use? It’s time to cut back on spending with your online subscriptions. It may be worth waiting for your favourite show to come on Free to air TV then to spend the money per month.
- Go shopping at the beginning of the week and prep what you are going make for your dinners and lunches.
- Food like pastas, stir-fry and rice dishes are easy to pack up, so make extra when preparing your dinner and you’ll have a tasty lunch for the next day.
- Freezing your proteins can help expand the life of your groceries, so you can enjoy them later in the week.
Round out your accounts
- Another good method of saving is to round up your accounts every so often, for example If you have $109.98 in your account, you would transfer the $9.98 to your savings account. Doing this regularly will often accumulate a fair bit of savings!