Top tips to increase your savings
Whilst it’s nice to treat yourself to that new dress or not cook in favour of a takeaway, if you find you’re taking more money out of your savings than you’re putting in, it’s time to make some changes. These three tips can help you to start seeing your savings rise.
1. Work out your outgoings
Before your payday, calculate your necessary outgoings: this means mortgage/rent and any bills, as well as money for food shopping, the gym, etc. Once you’ve worked out how much you need to set aside, you can then divide up the rest between saving and spending – making sure that you actually set your saving money aside, instead of accidentally spending it!
2. Set up a standing order
Once you’ve worked out how much you can afford to put into your savings each month, set up a standing order on each payday so that your designated amount is automatically transferred into a separate savings account. With it not being physically available for you to spend on non-essentials, you’ll start to forget you had that extra money – meaning you’ll be pleasantly surprised when you see how much your savings have grown!
3. Don’t deprive yourself of treats
Whilst it’s great to save, if you deprive yourself of all nights out, takeaways and holidays, you’ll start to resent it. If you can afford to, set yourself a pot of money aside each month that you can dip into for those non-essential extras. Just $50 will cover the cost of a couple of meals out and give you something to look forward to!