Top 3 tips for saving money (without forgoing the smashed avo!)
Saving, is not everyone’s favourite activity. But we do it, why? So, we can enjoy the finer things in life. A holiday, new car, a brand-new house. These things take money and although we have our full proof back up plan of winning the lottery, we think it’s a good idea to save, just in case.
But saving is no easy task, no matter the time of year. On New Year’s, everyone makes these grand plans for the coming year, with expectations of forgoing brunches and ending the year with some seriously good-looking bank accounts and spending habits. Let’s be honest, we generally forget about these grand plans and by the time Feb rolls around and we are up to our 4th weekend of brunches in a row.
Now, when setting goals, we emphasize the idea of REALISTIC goals. There is no point saying ‘No more nights out or no more smashed avo’ ?. Completely ruling out things that you value can be way to extreme to maintain.
Our top 3 tips for saving
1. Set a goal
Goals, by definition, need to be measurable to evaluate the outcome as a success or failure. Start short term, you’ll surprise yourself with the results! Try setting a money goal for 3 months, then 6, then go the full 12. Having a specific figure to work towards, helps to keep you on track. Not to mention the satisfaction you get from achieving that goal.
2. Be REALISTIC
Consider your pay check and how much you spend in a week. How much can you realistically save? Consider how much you spend on necessities? How much on indulgence? Could you reduce your indulgent spending by $10 a week, even $20 a week? We think you can. Just start small.
Even if this means switching from a large cappuccino on your brunch date to a small cappuccino, or packing your lunch instead of heading to the lunch bar down the road. You’ve got this.
Just think about it – even $10 a week put away for 6 months = $260. Or a year, your account will be sitting pretty with a nice $520. Not bad, right? We think that money will lend itself nicely to some dreams of yours… a beautiful long weekend getaway, a new car, your dream home (we can help you out there ?).
3. Use a Budget Planner
Writing out a budget is such an effective way to ensure you have 100% control over your money and spending habits. Tracking where your money is going and seeing what you spend month to month, will allow you to set very realistic savings goals and also will allow you to have waaaay more control over your spending. Who knows, your budget might allow for that beautiful plate of smashed avo for brunch each weekend. It all depends on what you value the most.
If you’re not into writing out a budget planner physically there are plenty of awesome apps to help you stay on track such as Pocketbook or Frollo. These make budgeting even easier by automatically syncing your spending habits from your bank account. Or many banks now offer budgeting features within your banking app!
Serious about saving for a home, but need a bit more help?
Get in touch! Whilst you might not feel financially ready to buy a home just yet, we can get you on track with our professional savings tool, My Home Plan.
My Home Plan is a specialised savings program tailored to you and your spending! You receive a dedicated Finance Coach who looks at your current financial situation and savings goals and creates a personalised finance plan that will put you on the path to home ownership. Simple.
ALL THE GRANTS!
Everything you need to know about the State and Federal building grants. First homebuyers could be eligible for $55K* worth of government grants.
First homebuyer hub
Are you a first homebuyer with no idea where to start? Click here to discover all there is to know about building your first home.