Like most habits, learning to be money-savvy is most beneficial when you start young. Here are five easy ways to start saving money that your future self will thank you for.
Track your spending
- Study your bank statements and go through your direct debits and cancel any unused subscriptions/memberships.
- For one month write down every single dollar you spend and what you spend it on. After the month, reading over your list will highlight where you are spending unnecessarily and where you have the capacity to save. Did you spend $300 on restaurant meals and smashed avo when you thought it was more like $100? Are you spending more on Uber trips than you initially thought? Being aware of where you’re spending recklessly will make it much easier to avoid those expenses going forward.
Set some goals
- Start some savings goals right now with your take home pay.
- 50% of your pay toward needs such as bills, groceries, transport, housing etc
- 30% toward ‘wants’ like fun times with family and friends, social outings
- 20% toward ‘future you’ such as additional savings and paying off debt sooner
Don’t take your debit card on a night out
- Try to avoid taking your debit card or credit card with you to social events.
- It makes it easier than ever to pay for things on the go with a simple tap of your debit card, but it can also make it harder to realise just how much you’re spending.
- Instead, bring the amount of cash that you want to spend and use it wisely. Your bank balance will thank you for it the next day.